Buyers' Perspective:
• Affordability: Buyers focus on what they can afford, which is influenced by their financial situation, mortgage rates, and overall economic conditions. High mortgage rates can limit the amount they are willing to spend • Market Comparisons: Buyers look at comparable properties (comps) in the same area to determine if a home is priced fairly. They tend to be more objective, basing their valuation on recent sales data rather than emotional factors. • Condition and Features: The condition of the home and its features (such as updated kitchens, bathrooms, and energy-efficient systems) significantly impact buyers' perceived value. Homes requiring significant repairs or lacking modern amenities may be valued lower.
Summary
Both buyers and sellers are influenced by broader market trends, such as housing supply, demand, and economic conditions. Professional appraisals and real estate agents' insights also play a crucial role in bridging the gap between sellers' and buyers' perceptions of home value. Understanding these differing perspectives helps negotiate a fair price that satisfies both parties. Buyer and seller perspectives are also part of the game when it comes to valuing a home. Let's say your home has a lot of mature trees, a plus for you. But for a buyer who hates raking leaves, it will appear as a negative. If you just spent $10,000 to replace your roof, you might think you can set a higher price, but buyers already expect the roof to be in excellent condition. Proximity to schools, bus routes, and medical facilities can create value that certain buyers are willing to pay for. 71
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