Your Home Should Not Be a Commodity

[ 0 ] October 11, 2016 |

corn

 

Your home should not be like corn. Corn is a commodity; a commodity is an economic good whose value is NOT based on any sort of qualitative measure. The buyer of corn is not looking for better corn and doesn’t think about worse corn; corn is corn to this buyer. Because of this, because corn is all the same, the buyer will determine value based solely on price.

You do not want your home, which doubles as an investment, to be viewed as  a commodity. In the absence of a quality, feature or something else to differentiate between two similar items, buyers will base buying decisions on price alone. As a homeowner, you are in a precarious position if buyers are viewing your home as a commodity. If they do, the only reason they will buy your home over another home is if the price is lower. You would never place your home in the same category as a commodity such as corn, so make sure potential buyers don’t, either.

In a market where nearly everything sells, and seemingly for a premium, a discussion like this might seem out of place. But it may also be this is exactly the right time to have this discussion. It’s easy in a market like this, in a market where the attainable property is the best property, to make a poor decision. Buying the right property now can be the best hedge against owning a home that won’t sell later. And/or if you already own your home, there is always something you can do to make it worth more, and to make it more marketable, later. And I’m not necessarily talking about updating baths & kitchens. Sometimes, for instance, planting trees in the backyard (in the right places) will do more to help your home’s future value than anything else you can do. Or, it may be that adding a backyard shed that serves as an artist’s studio will help more than anything else. The type of home you have and the neighborhood in which it sits are the strongest indicators of what qualities or features will have the biggest impact on value. There is no absolute when it comes to home improvements (as far as adding value goes). The buyer of an Old Town property will have completely different expectations/desires than the new construction buyer, for example.

While it’s certainly possible to overthink the value of your current property and what you can do to add to its value, we feel it’s our job to help narrow your focus and give you all the information necessary to make that determination. And while it’s possible to complicate the home-buying process with too much talk about buying the “right” property, we feel it’s our job to gently introduce to you new and different ways to measure value.

You don’t have to be an expert in what impacts value given your specific home and neighborhood because we are experts, and we want to be a resource for you as you move through this process. Your home is not a commodity, and therefore shouldn’t be treated as such. We can help ensure that potential buyers see beyond the commodity, and see the unique value in your home.

 

Category: Real Estate, Sellers

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