What Is My House Worth?

Lately this is a question I have been getting a lot of. The truth is your home is worth what somebody is willing to pay for it. For some Homeowners, that is less than what they paid to purchase the property a couple of years ago.

The truth is the value of a property is dictated by what the market is willing to pay. The market price of a property can be greatly influenced by inventory. Economics 101 tells us supply and demand have a great impact on price.

In today's market, there is no shortage of inventory or options for home purchasers. What that means for home sellers is you have more competition for those potential buyers. If your home hits the market and is not priced accurately, you will sit and sit in hopes of selling your home. Homeowners who are quick to recognize the dynamics of the market and price appropriately are able to sell their home and move on to the next.

Nobody is excited to sell for less than what they paid for the property. However, the bright side is the new home you will purchase will cost you less. This means a smaller mortgage and a smaller mortgage payment.

If we were in a sellers market, you would be able to sell your home for more, faster. However, the flip side is true, you would pay more for your new home which would result in a larger mortgage and mortgage payment.

At the end of the day, even in today's market, it is still a great time to buy.