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Real Estate Value | How to price your home in Inver Grove Heights

Thinking about selling your home? Wondering what factors to consider when pricing your home to sell? Here are a few ideas to consider.

Real Estate Value | How to price your home in Inver Grove Heights

 

There are a lot of common denominator's that are the same no matter what price range your home is in but I want to cover a few of the differences within the different price ranges. You want to know what the current market real estate market is in Inver Grove Heights before you can accurately price your home. Every city and neighborhood is different so you want to look within 2 miles of your current home for sold properties that are the closest to your home. That's with the appraiser is going to do to determine your value.  They will look at square footage, foundation sizes, number of bedrooms and baths; along with a host of other things.

 

What's the current market doing?

Prices are up and from all indications they will continue to trend upward this year. Please keep in mind that this is not a full recovery and you need to know why this is happening. Sometimes what you're reading the newspaper is 100% accurate. Yes it's true that the market is improving but I challenge you to consider that the market is correcting not due to the economy but just the flow of the real estate market. An example would be in 2009 we saw an all-time high of over 47,000 listings for sale in the Twin Cities Metro area. In July 2012 we dipped below 17,000 listings. That was the lowest since around the year 2000. We now have more buyers than we do inventory in certain cities and markets. Inver Grove Heights is no exception and remains to be a very popular place that people want to live.

 

Homes under $200,000

This is the market that has seen the most amount of growth over the last 12 months. In 2011 the average sale price was $155,000 in the metro area towards the end of 2012 it was $169,000. That's quite a jump but you're not seeing that all over. When considering pricing your home in this range you have to look at the buyers which are mostly first-time homebuyers and what their needs are. There are also investors looking to purchase homes to either flip or keep his rentals. There's a lot of competition for good quality homes which will help you with your value. You want to present a clean and well cared for home no matter what price range are in. You want to be aware of what the foreclosures and short sales are selling for because they are your competition. They may not affect your bottom line when it comes to pricing but you have to be aware of what the buyers are looking at.

 

Homes between $200,000 and $300,000

This is still a first-time homebuyers market as well as some buyers that are moving up. It still very active but the buyers are starting to look for more amenities in this price range. Square footage and updates become a bigger concern for them. At this point you may want to consider bringing in the stager and you definitely want to make sure that you add some much needed updates. It may not increase the value all that much but it can make the difference between getting your home sold and not selling it. What you have to offer always factors in to what your value is when you're considering it against other properties.

 

Homes between $300,000 and $400,000

In this range you really have to consider what your amenities are when it comes to pricing your home and you must be aware of new construction. Buyers will be comparing your home against what they can get in new construction. So if you have a traditional home that was built in 1995 and you have not changed the carpet, upgraded the countertops and you still have vinyl flooring this is definitely going to affect your price. A lot of the new construction especially around $350,000 and up will offer the buyer four bedrooms up, finished lower level, stainless steel appliances, granite countertops and many other amenities. So you have to come up with a strategy when pricing your home to work toward your strengths. Every single detail that you have done to improve your home counts towards the value. You have to be more appealing than that new construction by showing your value added amenities.

 

Homes from $400,000 and up

I know that you're thinking this is a very broad price range, I agree with you it is. But there similarities here that need to be talked about. Once you hit $400,000 you really start to see all of the extras come in to play. Buyers are typically moving up from the $300,000 range and are looking for all the extras including granite countertops, stainless steel appliances, hardwood floors, larger bedrooms, finished lower level, larger yards, landscaping, and the quality of the craftsmanship. You have to remember you're competing with foreclosures that in some cases have lost almost half of their value. So you have to show your value through your amenities and all of the extras. You have to sow the buyer things that are unique to your home that higher-priced homes do not; for example reasonable property taxes.  

There is so much more to talk about with this subject of pricing your home to sell in the Inver Grove Heights real estate market but I wanted to hit some of the highlights that should be considered. If you are interested in a free market evaluation we are happy to provide you with one at no obligation, just give us a call.

This post is contributed by a community member. The views expressed in this blog are those of the author and do not necessarily reflect those of Patch Media Corporation. Everyone is welcome to submit a post to Patch. If you'd like to post a blog, go here to get started.

Al Tate February 01, 2013 at 03:51 PM
This is a scam article. This article was written for a general audience and has no factual info that relates directly to Inver Grove Heights. Why? Because it's obvious this person wrote this article and simply filled in "Inver Grove Heights" for whatever city it was aiming to target. Look at how the city is mentioned throughout the article, it's just plugged in. This article was likely used in other locations too, and just switched out the city for whatever target audience it was referring to. There is no research related to the actual IGH market at all here. What a crock! This article was likely developed by the Edina Realty PR team and then sent out, asking the places that post this to simply replace the city information for each place it's posted. This is crappy by Edina Realty and by IGH Patch. I would never trust Edina Realty and as for Patch, well, to each their own. Shame on Edina Realty and the realtor trying to pull one on us. If they do this here, just think what they would pull as your real estate agent? Scam!
Tom Sommers/Edina Realty February 01, 2013 at 09:45 PM
Hi Al, Thank you for your feedback. I personally create (select) the content that I share on Patch. I want to assure you that all of my data is accurate and highlights trends that can be seen throughout the metro area. While some market conditions can vary from city to city, some strategies --such as pricing a home -- remain largely the same for most markets in our area. This is the case with the information I posted and I feel it has value for all Twin Cities home owners. Because of this, I posted it to the Patch community pages in areas where I do business in order for as many home owners to benefit from this information as possible. Tom Sommers | Edina Realty
Al Tate February 05, 2013 at 05:56 PM
How about some real data related to the city housing market? What are houses going for in the Arbor Pointe development compared to a few years ago? How about the new development in the Northwest Quadrant? What are houses going for there? How about the older area of IGH, below Cahill down the hill? What is the difference for a house on Cloman, Craig or Crosby compared to a house on 73rd, or 80th street? What are the major differences, is it square footage? Number of bathrooms? Could you break that down? I am guessing probably not, because you probably haven't been in that area in months, if at all ever.
IGH Resident February 11, 2013 at 06:58 PM
Personally, I found the article interesting and helpful and I don't care if the information was specific to IGH or not. If Mr. Sommers feels this information is relevant to the IGH market, then I find it helpful. Would I rely on it entirely for my opinion of the IGH real estate value? No, no more than I would rely on any one internet source as the ultimate truth. I'm a little surprised at Mr. Tate's reaction to the article. (and no, I'm not affiliated with Mr. Tate, Edina Realty or the real estate industry in general)
Tom Sommers/Edina Realty February 11, 2013 at 08:49 PM
Dear IGH Resident, Thank you for taking the time to read my post and to leave a comment.
Tom Sommers/Edina Realty February 11, 2013 at 09:02 PM
Hi Al, If you are looking for that type of information, it is out there and available but I have found that most people don't like statistics. That is usually what I cover in a CMA or listing appointment. Plus all that information changes so fast that is is outdated before you know it. The tips in this article are solid and will be important even a year from now. All areas are different but it always starts with square footage and foundation size then you consider the amenities. You have to stay within a 2 mile radius for appraisals, that is what the banks are looking for. I broke the article down the way I did so that someone who only wanted information about their price range could find it without having to read the entire article. For the record I have family that lives in Inver Grove Heights, they have been there for the better part of 20 years. I have sold many homes here over the years as well. In fact as I am writing this I have an offer in on a home for a client off 86th. I am working with 2 other buyers who are looking in Inver Grove Heights but are also considering Rosemount. They want their kids to stay in the same school district. Tom Sommers | Edina Realty
Luke Johnson February 10, 2014 at 04:56 PM
I would love to buy a smaller home that has the nice finishing touches that are typically found in the larger more expensive homes. To me it's not a size game rather it's a quality game. I would like to start smaller and stay in a small well built home for as long as possible. I think that way I won't have to give up the small details I love so much. Luke | http://www.servicelineup.com

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