• For Boomers
  • How to decide what price to put on your home?

    Laurel Avenue

    The home owner/seller gets to decide what the asking price will be. Most homes on the market are priced with the help of a real estate agent. We determine how much the home is likely to sell for based on the actual sale prices (not the same as the asking price) of homes in the immediate area that are similar to the home being priced and that have been sold recently. Size, condition and location determine value along with supply and demand.

    A similar home will probably be a home that was built around the same time and is the same or similar style and has the same number of beds, baths and garage stalls. That explanation is a bit simplistic. We actually use a kind of fuzzy logic based on experience and knowledge of the area. So far there isn’t any software of web site that can replicate what an experienced real estate agent can do.

    Most homes are going to get an appraisal too but that is done by the buyers lender after the seller has accepted the offer. The purpose of the appraisal is to help the lender decide if the value of the home is at least high enough so that it can be used as collateral to cover the loan. Appraisers and real estate agents can be wrong.

    Home owners have all sorts of ideas about how to price a home. Many believe that over pricing is better than underpricing and some people like to “try” it at a certain price. Sometimes home owners will contact a few agents and have each one determine a value and they will choose the highest value. Real estate agents are aware of this and will sometimes aim high to win the listing. Just like real estate agents and appraisers sellers can be wrong about value and so can buyers.

    Pricing a home isn’t an exact science. If it were my job wouldn’t be nearly as much fun.

    Also see:

    Asking price Vs. Sale Price

    Is your home priced higher than the zestimate?

    Because mine has bigger nails

    Finished square footage

  • Boardman Realty
  • I can not give financial advice


    Real estate brokers and agents are often encouraged to give their clients all sorts of advice as a way to add value to the services they provide. Legally I can not give financial advice, legal advice or tax advice. I can find the cost of owning a particular home or even the approximate value of a piece of real estate. I have access to a lot of data and I am what you might call a “power” user when it comes to spreadsheets.

    There are people who believe that a “good” real estate agent should be able to give financial advice. That is not true and if your agent isn’t giving you financial advice it could be because they don’t have the licensure to do so.  My licenses restrict my activity to some very specific areas and the same is true for most real estate agents.

  • For Boomers
  • Buyer’s agent Vs. Home owner

    Turret – Queen anne

    I have had some interesting experiences with home owners who do not want to be represented by an agent but have decided to pay a real estate agent to put their home in our MLS. In doing so they have also agreed to work with buyers agents and pay them a commission after a successful closing.

    On the surface to the home seller it seems like a great way to save at least half of the cost of commissions. Yet there are times when a buyer’s agent who has been involved in a few hundred real estate transactions can negotiate better terms for the buyer because the agent is negotiating against home owners who may be armed with data and information, and may have impeccable negotiation skills but have very little or no experience selling a home and are blissfully unaware of common business practices and expectations.

    Some of these home sellers are totally alright with inspection contingencies and amendments that ask for repairs that are really upgrades or other terms where they end up with less money than they could have gotten had they known better. The buyers more or less end up in charge of the transaction and sometimes the seller ends up spending a lot more to sell the home than they would have spent on a sellers agent commission.

    Usually the home owner doesn’t even know what they gave away that they could have kept so I guess it all works out. Sometimes it is about the experience of doing it yourself rather than getting the highest price and best terms for your real estate.

    There is more to selling a home than getting an offer on it. We are in a sellers market. Getting the sale closed is another matter.

    While the internet has made it easier to market homes for sale and easier for buyers to find homes for sale it has done little if anything to make buying or selling real estate less complicated. There are more rules and forms than ever before and there are rule changes every single year.

  • For Boomers
  • I wrote this ten years ago

    This was written on July 20th 2006 before the great recession and the housing market crash. Back when many of us never imagined that houses would decrease in value they way they did in 2007 -2011:

    I am a baby boomer.  Born toward the end of the boom and not one of the 7,918 people a day who are turning 60.

    Twenty years ago would have been a great time to start planning for retirement.  At the time we were just too busy raising our family to get excited about our golden years.  Much of what I have been reading about boomers and retirement indicates that most of us may not have saved enough money to retire at say 65, and live the same way we do now.

    Owning a home will help.  I mean actually owning a home free and clear.  The idea of really owning a home seems to be a concept that my generation has not embraced.   The biggest advantage will be not having to make house payments or pay rent.

    Read why a house is not a piggy bank to tap into for retirement.


    We made our last house payment in 2014 . . . I hope and the house is worth almost as much as it was worth 10 years ago, and much more than we paid for it.

  • For Boomers
  • Remove old carpeting

    Home buyers usually prefer hardwood floors. The National Association of REALTORS® found that 54% of home buyers were willing to pay more for a home with hardwood flooring, but I could have told them that.

    I am not suggesting that people who want to sell their homes run out and replace the carpeting with hardwood floors. Sometimes the carpeting needs to be replaced and there is hardwood flooring under it. Even hardwood floors that needs a little work are better than old carpeting and usually better than new carpeting.

    From experience I know that there are certain types of homes that people expect to see hardwood flooring in. People expect older homes to have hardwood floors. That doesn’t mean that hardwood is preferred in bedrooms, kitchens and baths or that every room in the house has to have hardwood floors.

    It should also be noted that a buyer’s willingness to pay more for a home with hardwood doesn’t mean that they will be willing to pay enough to cover the cost of the hardwood floors. There is quite a price range for the flooring and it doesn’t always have to be oak.

    Nothing is really all that black and white when it comes to making improvements that will have a positive impact on resale value. There are shades of gray but it is good to know that home buyers will pay more for homes with hardwood floors.

    Unit 605
    Unit 605