Market Reports Are NOT The Value of Your Home

Did you just read a marketing report about your Northern Virginia neighborhood and think YEA the value of my home is UP UP UP?  I don’t want to put a damper on your enthusiasm but before you decide to list your home for the great price you see listed let’s talk.

A market report may be about your neighborhood but it isn’t about your home.  Most market reports are “average” numbers gathered from the local multiple listing service.  In some cases the report doesn’t contain information on all of the sales in the neighborhood.   If your neighborhood has a wide variety of home styles or was built over period of year there could be a huge span of prices.  And finally it doesn’t know the condition of your home as compared to those in the report.

This is why before you decide to list your home for sale you need an agent to do a Comparative Market Analysis (CMA) to determine if you are are above, below or right on “average” in your neighborhood.  A CMA is going to drill down to the details about your home.  Updated your kitchen?  Great you may have just gone above the average price.  Have red shag carpet?  OPPS your home just dropped a bit below average.

Putting together a thorough CMA takes time and it also means an agent needs to come to your home.  Adding the pluses and minuses can only happen when we see your home not through what the tax record might say.  Next time you read a local marketing report (remember all real estate is local) don’t forget it isn’t the value of your home.  It’s the AVERAGE value of homes that have sold from the MLS.

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