Proximity to the subject property is one of the first elements to an accurate CMA (Comparable Market Analysis). We want to use homes that are in the same subdivision, school district or zip code.

Style of home would be one of the next factors. We want to compare ranch home to ranch homes, two stories to two stories, etc. The market/marketability of a one story is much different than a two story.

Overall square feet would be next. I try to keep this number around 10%. In other words, if I have  2000 square foot home that I’m trying to do a CMA for, I’ll go from 1800-2200 square feet for possible comparables.

Amenities are next. Number of bedrooms, bathrooms, finished basement, size of garage, size of lot, deck, landscaping and quality of updates/ finishes. This is where it gets a bit more complicated and subjective. This is where an experienced realtor can really help.

Other factors that affect the calculations that go into a good CMA and selecting good comparables are: age of home, subdivision amenities, area amenities, age of major mechanicals, age of roof, size of lot, lot amenities,  etc.

Comparables are much easier to find in an established neighborhood of “like kind” homes. This is much more difficult in rural areas and areas of upscale custom homes.

Always remember that the purpose of a CMA is to approximate the market value of your property. It is not written in stone. Ultimately your property will be sell for what a ready, willing and able Buyer is willing to pay in the current market conditions. You will maximize the potential selling price by fully exposing the property to as many qualified purchasers as possible. This can best be achieved by incorporating various types of marketing, including the internet, MLS, direct mail, print advertising, word of mouth, social networking, etc.

Homeowners must be concerned about unmaintained furnaces, water heaters and appliances that can produce the deadly gas. Other sources could include leaking chimneys, unvented kerosene or gas space heaters and even exhaust from cars operating in an attached garage.

The Environmental Protection Agency suggests the following to reduce exposure in the home:

• Keep gas appliances properly adjusted
• Install and use an exhaust fan vented to the outdoors over gas stoves
• Open flues when fireplaces are in use
• Do not idle car inside garage
• Have a trained professional inspect, clean and tune-up central heating systems annually

There can be many symptoms of carbon monoxide poisoning that can resemble other types of poisoning. Headaches, nausea, vomiting, dizziness and feelings of weakness or fatigue are a few of the most common symptoms. Lower levels of exposure may be mistaken for the flu.

Roughly half the states have laws regarding carbon monoxide detectors in homes. Regardless of the requirements, what person would want to put their family, guests or themselves at risk for something so deadly? The devices can be purchased for as little as $20 and plugged into the wall like a night light.

Please click on this link to view the Housing Trends JANUARY - 2011 Newsletter http://therickwright.housingtrendsenewsletter.com

The Housing Trends eNewsletter contains the latest information from the National Association of REALTORS®, the U.S. Census Bureau, Realtor.org reports and other sources.

Housing Trends eNewsletter is filled with local and national real estate sales and price activity provided by MLSs and the National Association of Realtors, U.S. Census Bureau key market indicators, consumer videos, blogs, real estate glossary, mortgage rates and calculators, consumer articles, and REALTOR.com local community reports.

If you are interested in determining the value of your home, click the “Home Evaluator” link for a free evaluation report:

http://therickwright.housingtrendsenewsletter.com/dispContent.cfm?loadid=2&loadtype=0

Sound decisions can only be made with accurate and reliable information, and I am happy to be a trusted resource for you. Thank you for the opportunity to provide you with this monthly eNewsletter, and I look forward to answering any questions you may have and to the opportunity to be your REALTOR® in the future.

Sincerely yours,

Rick Wright RE/MAX Affiliates 7239 Sawmill Rd. Suite 210 Dublin OH 43016 614-766-5330 191 | 614-327-8081 Rick@RickWright1.com

Whether it's wasting money on the lottery or chasing rainbows in the latest pyramid scheme, the American public seems ever-willing to pursue the something-for-almost nothing dream.

Home sellers are no exception. A small, but noteworthy, number of them continue to opt for the "FSBO" route in marketing their homes.

The basic question is: Can a home be sold without the help of a competent, full-service Realtor? Honest answer: Of course it can, but does it make economic sense to do it that way?

Seldom, indeed--and I've seen no evidence to the contrary during my more than 22 years of residential sales experience.

Before you dismiss my opinion as merely the self serving view of an industry loyalist, please read on; if you're ever going to sell a home, you'll be glad you did.

I'm (safely) assuming that, as a seller, you will be interested in realizing the highest price obtainable. (If the proceeds don't matter, any old marketing plan will do, including an absolute auction or accepting the first cash offer of a speculator)

Realizing that the highest obtainable price is possible only-repeat, only if you can expose the property to the best market, in terms of size and quality, and if you have the proficiency to identify, satisfy and obtain a commitment from the best qualified buyer.

Let's first examine quality. Unless your home comes to the attention of the largest possible pool of potential buyers, you can't even be marginally sure that the best offer you received represents the best possible price.

Consider the facts: Although a Realtor may spend thousands of dollars each month on advertising and may have hundreds of yard signs dotting the landscape, only about 20 percent of actual buyers will be attracted by these media.

So much for doing it yourself: How many of that 20 percent will be attracted by your single yard sign and occasional ad? So-much, too, for the fringe marketers who will sell you a sign, help you write ads and tell you how to generate a few prospects.

If you want to realize that "best price obtainable", you must challenge the whole market, not just a small slice of it.

How to reach the other 80 percent? That's where the quality of the market come in.

In a full-service real estate firm, about 30 percent of it's buyers are brought to the table by cooperating brokers. It is axiomatic that the best qualified buyers are availing themselves of the (usually) free services offered by real estate professionals. Why should they track down ads and signs when a competent practitioner will sift through the available inventory and match their dreams with realty?

The professionals who attract those best buyers play for pay-and the good ones are worth every penny of the six figures in their income.

The only motive, then, that could possibly lure buyers to a for-sale-by-owner home would be the hope of saving the same commission that the FSBO is trying to save-a bit of logic that seems to escape many do-it-yourselfers.

Thus, both the optimum quantity and quality of your potential pool of buyers will be available only through the help of competent professionals, who also supply the third necessary ingredient-proficiency.

It takes skill, experience and objectivity to find, qualify, service and sell a prospective home buyer in an arena where dozens, if not hundreds, of homes, sellers and agents are vying for the same prospect.

It is naive to hope that rank amateurs or cut-rate counselors could effectively compete with full-time experts whose economic lives depend on delivering satisfactory service to buyers and sellers on a daily basis.

There's no law against being your own doctor or lawyer, or hiring a partially qualified person in either profession, but it is foolish to do so.

A bargain, either in goods or services, is measured not so much by what you pay as what you get in return.

In real estate, if you pay less, you settle for inferior marketing. If you settle for inferior marketing, the cost in net proceeds will far exceed the commission dollars you thought you were saving. Only exposing your home to the best market, in terms of quantity and quality, coupled with proficient marketing services, can put that highest obtainable price in your pocket or purse.

Bottom line: One way or another, when a home is sold, someone ALWAYS pays a commission!

(parts of this post were taken from an article writted by Joe Clock who is a syndicated columnist and freelance writer in Key Largo, Florida)

1. How long have you been a licensed Realtor?

2. Are you full-time?

3. What advanced designations have you obtained?

4. How many homes did you sell last year?

5. What is your list to sales price ratio?

6. What percentage of your listings sell?

7. What was the average days on market for your listings?

8. How many listings do you have right now?

9. How many Buyers are you working with right now?

10. Do you have a written marketing plan?

11. What is your internet strategy?

12. How many websites do you have?

13. What makes you unique?

14. Why should I hire you?

One of the 4 pillars to my exclusive W.I.S.E. (warranty, inspection, staging & evaluation) is an appraisal. It may be the most important part of the program. Price is part of marketing. It’s estimated that price is 70-80% of the overall reason a home sells. Getting the price right from the beginning is paramount. So why do I recommend a professional appraisal? Why can’t the Realtor just give me their opinion of price using a CMA-comparative market analysis?

A professional appraisal for the purpose of marketing your home can be a valuable tool in several ways.

Number one, it will help you as the homeowner set a realistic price. The appraiser is an unbiased third party. They have nothing to gain or lose in the sale of your home. A Realtor on the other hand does have something to gain by telling you what you want to hear. This is called "buying the listing". A less than professional Realtor will tell you a price in order to gain the listing and then later push you for numerous price reductions. Ultimately your home will sell for less than it would have if it were priced correctly from the beginning.

Number two, the appraisal can help you defend your price. For example, lets say your home appraises for $350,000 and you list it for $349,900. A buyer has interest and makes an offer of $320,000. The appraisal can then be used in the counter offer phase to compel the Buyer to be realistic. You will also have confidence in your price position, instead of questioning yourself or your Realtor.

An appraisal will be an investment of about $300. It’s a marketing cost and well worth the expense. If you are reluctant to get an appraisal, my guess is that you are fearful of the result. The appraisal is not public knowledge, nor does it have to be. You can keep the appraisal to yourself.

What is required to get pre-approved? The lender will look at 4 areas to determine what you can afford. 1. Yearly income 2. Long term debt, including credit cards, car loans, student loans, etc. 3. Savings for down payment.  4. Your credit score.

I have a mortgage calculator at http://www.rickwright1.com/r_mortgage-calculator_qualifier.asp

If you need a referral to a good local lender just give me a call. 614-766-5330 x191

The class covered a wide range of topics from internet marketing, farming, data base basics, expired listings, pricing, absorption rates, servicing past customers/clients and the role of women in the real estate decision making process just to mention a few.

It was a fun and informative class. I probably learned as much, if not more than the attendees. Many thanks to Mike Parker for the invitation and for presenting a great class!

I put together the following handout for the class:

The Market Value of Your home is NOT:

1. What you have in it

2. What you need out of it

3. What you want

4. What it appraised for

5. What you heard the neighbor's house sold for

6. What the tax office says it is worth

7. How much it is insured for

8. Based on memories and treasures

9. Based on prices of the homes where you are moving

The True Market Value of Your Home is What a Buyer is Willing to Pay:

1. Based on today's market

2. Based on today's competition

3. Based on today's financing

4. Based on today's economic conditions

5. Based on the buyer's perception of the condition

6. Based on location

7. Based on normal marketing time

8. Based on showing accessibility

Properties That Sell in Today's Market: On a Scale of 1-10, the "10's" are the ones that are Selling. How Can Your Property be a "10"?

1. By improving the condition dramatically

2. By offering good terms

3. By improving the way the home shows

4. By adjusting the price

As a Seller You Control:

1. The price you ask

2. The condition of the property

3. Access to the property

4. the Realtor you select to market your property

As a Seller You Do Not Control:

1. Market conditions

2. The motivation of your competition

3. Value

A homeowner is "short" when:

When a borrower owes an amount on his property that when combined with closing costs and commission is higher than current market value/

A Short Sale occurs when:

A negotiation is entered into with the homeowner's mortgage company or companies to accept less than the full balance of the loan at closing. A buyer closes on the property and the property is "sold short".

I have done several of the short sales over the past few years, however with the market trends pointing in the direction of more and more of these situations, I am in the process of obtaining  the Certified Distressed Property Expert designation. I will have the CDPE by the end of October. You can visit tham at http://www.distressedpropertyinstitute.com/

The process sounds easy enough however this is an involved process that takes time, patience, good communication skills, organization and professionalism.

If you, or someone you know may be in the position of having to sell "short" please consider using a real estate professional who has the expertise to handle the situation. The CDPE would be a great start.

*Some of this information was taken from the CDPE field manual.