Profile picture for bido1972

"A property is worth whatever someone is willing to pay for it"

I am a byer interested in south west coast of Florida market. As I am trying to find related information about the market and Real Estate Agents I often read posts from REA writing “A property is worth whatever someone is willing to pay for it”. Of course it is referred to property sellers. Do they mean that qualifications and the abilities of REA do not matter?
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013 - Sarasota
We think we've answered this question for you!
  • Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.
 
 

Answers (7)

I disagree, Tim & Rachel. Appraised value is a separate thing, and it means exactly that. The market value is the contract price. The value of the collateral to the lender is a different matter.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013
Profile picture for Pasadenan
"Otherwise the property is only worth what an appraiser says it is and what a lender will loan on it" -

Appraised values don't come from thin air... they are supposed to be based on what has sold that is similar in the area in the past 3 months, and present listings of similar, and changes in market trends for similar.  The only things a lender wants to know are: 1) Does the client have the ability to pay the loan back, 2) is it probable that the client will pay the loan back without defaulting, and 3) is there enough collateral in the house that it can be liquidated to recoup the loan amount if there is a default by the borrower, even if the market values sag for a period of time.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013
Profile picture for sunnyview
"Do they mean that qualifications and the abilities of REA do not matter?"

No. They mean that exposure to the open market is largely responsible for setting the price of a property. Of course, that is made easier if you have a good agent who is good at creating positive, targeted marketing, providing internet exposure and helping set a price that attracts buyer interest.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013
I am an agent serving Manatee, Sarasota, and Charlotte counties on the SW coast of Florida.  If you'd like to contact me to learn more about our local market I'd be happy to help.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013
"A property is worth whatever someone is willing to pay for it" is true if it's a cash deal. Otherwise the property is only worth what an appraiser says it is and what a lender will loan on it.

tim
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013
Profile picture for Pasadenan
"Present Market value" is a very nebulous concept... it doesn't matter what a buyer is willing to pay if a seller refuses to sell for that.  Both parties mus agree.

And as you can see from television advertisements, how something is "marketed" determines who sees it, and what they are willing to pay, and what they think of it compared to something else.

Not to mention, if most people can't get a mortgage due to freezing up of mortgage funds, or due to lack of employment, or due to extremely high interest rates, there won't be a very large demand for housing, thus driving pricing down.  And if no one is building, and new families are being created wanting housing, and lots of good jobs in the local area, the prices will be driven up.

As far as "Realtors" for "buyers"?  Going without is not going to lower your price any, and is going to limit your access to the homes available.  And the Realtors are frequently posting on the site that in spite them claiming it is "free" to buyers to use a Realtor, that the Realtors will try to make sure that the seller NETS 15% more in addition to the seller paying about 6% commission.  Realtors know nothing about "economics", they only know "sales propaganda".  Some know "marketing techniques".

If you want to learn negotiation strategies, you need to spend some time observing the open markets in Mexico, and practicing.  It spite of agent's claiming they negotiate for you, they don't.  All offers and counter offers are up to you and only you.  Sure, you can ask for advice, but it is still your money and your decision.

Don't forget, that what you are willing to pay states little about what someone else is willing to pay.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013
Only if you want it to, bido.

  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
December 30 2013
 
Related Questions
How to delete a search from "My Zillow"?
Profile picture for zuser20140613152352937
Latest answer by zuser20140613152352937
June 16 | 3 answers
Want to buy my first home.
Profile picture for Scuba Lou Sansevero
Latest answer by Scuba Lou Sansevero
April 10 | 4 answers
How do I get referrals for a good agent?
Profile picture for Josh Barnett
Latest answer by Josh Barnett
March 17 | 9 answers
If I have the zillow number how do I look it up?
Profile picture for Francis Ignacio
Latest answer by Francis Ignacio
March 13 | 1 answers
WHen do I pay for the house?
Profile picture for Robert Harris
Latest answer by Robert Harris
March 10 | 2 answers
Mortgage Rates
 
Be A Good Neighbor

Zillow Advice depends on each member to keep it a safe, fun, and positive place. If you see abuse, flag it. More on our Good Neighbor Policy.

Homes for Sale
  1. 6632 Taeda Dr, Sarasota, FL Home For Sale
    6632 Taeda Dr, Sarasota, FL 34241

     For Sale: $569,500

    • Beds: 4
    • Sqft: 2846
    • Baths: 3.0
    • Lot: 22215
  2. Balmoral Way, Sarasota, FL Home For Sale
    Balmoral Way, Sarasota, FL 34238

     For Sale: $359,900

    • Beds: 3
    • Sqft: 2356
    • Baths: 2.0
    • Lot: 9583
  3. 128 Shady Pine Ln, Nokomis, FL Home For Sale
    128 Shady Pine Ln, Nokomis, FL 34275

     For Sale: $205,500

    • Beds: 3
    • Sqft: 1697
    • Baths: 2.0
    • Lot: 11325