Are you prepared to sell your home? If so, then you must confront the challenge of accurately determining its value in Chicago. Many sellers become emotionally attached to their homes and base their perception of their value on sentimental memories. However, this can lead to difficulties in accurately pricing the property, resulting in it being listed far above comparable homes on the market. To avoid this common mistake, it is crucial to understand how professionals assess property values. Although it may be challenging to detach yourself from your emotional connection to your home, it is important to remember that real estate is ultimately a business. The key factor in determining the value of a home in Chicago is the numerical data, as home values in this area are constantly fluctuating.
CMA
A Comparative Market Analysis (CMA) is a valuable tool used by professionals in Chicago to determine the value of a home. This process involves comparing similar properties in close proximity and taking into account additional features, such as a 2-car garage versus a one-car garage, to establish a fair value. If the surrounding properties have features that the home being evaluated lacks, those values would be deducted from the average selling price of the most comparable properties. Regardless of the listing method chosen to sell your home, it is advisable to conduct your own CMA. This will provide you with a clear understanding of your home’s value, based on the current market conditions. By doing so, you can avoid being unpleasantly surprised or offended by a buyer’s low offer that may seem disrespectful.
Holding Costs
Many homeowners who attempt to sell their properties independently often become entangled in the complexities of internet marketing. After a significant amount of time passes without success, many find themselves turning to a real estate agent in the hopes of expediting the sale. Unfortunately, regardless of whether you opt to sell your home on your own or hire an agent, it is impossible to accurately predict how long your property will remain on the market. This factor should be taken into account when determining the value of your home. Consider reducing your asking price to distinguish your property from competitors, as buyers typically filter their online searches based on home values in the market city.
Commissions
When calculating home values in Chicago, it is important to consider the costs involved, including marketing expenses and potential commissions if you choose to work with a real estate agent. The commission is typically a percentage of the sale price, usually around 3% per side in a real estate transaction. For instance, if a home sells for $400,000, the commission alone would amount to $24,000, in addition to the customary closing fees for sellers. Furthermore, there might be transaction fees charged by the closing agent and the real estate agent’s office.
Repair Costs
Being prepared is essential when selling your home, and this includes ordering a property inspection. In the event of any major structural issues, you may be required to cover the costs of repairs before closing or make smaller repairs out of your own pocket. It is advisable to consult professionals and obtain estimates for repairs from at least two sources. If you plan on doing the repairs yourself, it is important to create a realistic budget based on reliable information regarding the project timeline and expenses. This will enable you to make an informed decision as to whether you should invest more in the home for potential larger profits or sell the property “as-is.” By deducting the repair expenses from the asking price, you can determine a realistic current market value. Additionally, you can assess whether an offer is fair by comparing it to other home values in your market. However, it is important to note that buyers who purchase “as-is” properties often expect to secure a significant profit and may present low ball offers, exploiting sellers who may be desperate or uninformed.
Why not allow our team at Cash Offer Partners to assist you in determining the value of your property without any obligation on your part? Our professional buyers are highly skilled in the process of evaluating home values in the Chicago area. We can guide you through each step of the process and help you determine if selling to a professional buyer is the best option for your property. At Cash Offer Partners, we typically close deals in 30 days or less, without taking additional fees or charges from your asking price. All costs are factored into our offer, so you can save both time and thousands of dollars. We do not charge commissions, transaction fees or require repairs. When you’re ready to sell your house, there are many factors to consider. We invite you to reach out to us today via message or phone call at 312-818-4472 to discuss selling your house in Chicago, IL.