YOUR EBOOK TITLE THE NEW CMA: COMPETITIVE NOT COMPARATIVE
Looking at pricing at the higher end of our range at $800,000 we set our quadrants at the 3500 square foot of our example property and what we find is there are three properties for sale in the bottom left neutral quadrant and one in the bottom right disadvantage quadrant. That gives us a net competitive disadvantage. But the other home listed at around $800,000 is so much smaller, why is that not an advantage to us? Looking at the details of the other home listed at around $800,000 we can also see that it is on a prominent lake in the area. This immutable bonus to that home really makes the value for it climb and wipes out the price and size extra value we would have had. If we think back to the properties, we looked at just before, we may actually be in a major disadvantage, because we now are priced $25,000 above the fixed-up home and don’t match their condition, and the larger home we are in disadvantage too. That means because of the situation we could be a net major disadvantage.
Now, let’s split the difference and look at a price near the middle of the competitive range.
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