The All-Knowing Zillow and their Zestimate

I post this with a tongue-in-cheek observation of Zillow because most times when I meet with a potential seller it usually comes up in conversation. So, I decided to put this all to rest and do my own research and here is what I found. 

 In a nutshell - Zillow is good and a place to begin your journey but it stops there. It cannot and should not replace a good agent's pricing of your home.  

The following statement comes directly from Zillow.  "As a real estate professional one thing you are always doing is educating your clients on all things real estate. The Zestimate is no different. Armed with an understanding of how the Zestimate is calculated and the Zestimate Data Accuracy table, you can explain - and show Zillow's own accuracy numbers and talk about why the Zestimate is a good starting point as well as a historical reference, but it should not be used for pricing a home".  Click the link to read the entire article. 
http://www.zillow.com/zestimate/#pros

Let me repeat the last sentence..."It should not be used for pricing a home." Zillow uses a very complex algorithm from data such as bedrooms, baths, square footage, acreage, tax records, tax assessments, current sales, past sales and much more to calculate the zestimate.  So you ask, with all this data why is it not accurate? Zillow admits their numbers are not accurate and gives themselves some grace in their calculations. Zillow says they are within 10% of the actual price in almost 70% of cases (http://www.zillow.com/zestimate/#faq-6).  So, if we take a $250,000 home and use this model our home may only sell for $225,000. As a seller are you going to be upset?  I gotta tell my listings sell between 95-98% of list price.  When you use the local data, know the condition of the home, understand the market and the comps there are less surprises and often times more money. What if your home is listed for the Zestimate at $200K but the experience agents says it'll sell at $220,000 which would you rather have?  Zillow does not, and really cannot, investigate all the intricacies of the local market, the condition of the home, repairs needed. the staging of the home, etc.  Only an experienced Realtor can do this and it takes a lot of time to come up with a good CMA (Comparative Market Analysis). If you list too high you don't get any buyers, if you list too low you risk your clients losing money, if you don't pay attention to the comps (which I do by looking at the last 90-180 days of sales of similar typed homes that are geographically close to yours), you mis-price altogether and not do a great job representing your sellers. As a buyer's agent I also make sure I check comps so my buyer does not overpay.  You want someone that is looking out for your best interests. 

I am always looking out for my clients!

I find myself having this conversation too frequently:
Me: So, how much do you think we should list your home for?
Seller: I think we should list for $225,000.
Me: Why
Seller: Because 2 of my neighbors just sold for $185,000 and my home is much nicer. 
Me: Well, that's not exactly how it works so let's take a look at those homes and talk about how to price a home.

Hire a good agent and listen to what they have to say. I encourage sellers and buyers to interview multiple agents (and include me because I know I am confident and very good at what I do) because trust me not all agents are good. Ask them about their experiences, problems they have faced, sales numbers, days on market, etc.  If they can't answer these don't hire them. Also, when I present my listing presentation to you please don't blow me off just because I say something you don't like to hear. Would you rather have a truthful agent or one that tells you what you want to hear and your house sits on the market for months? I think we both know the answer to that.

Call me, Jason Gregg, and I'd be happy to come speak to you about selling your home and/or helping you buy a home. Heck, we'll even take a look at the Zestimate.

-Jason

Who do you know looking to buy or sell real estate. Please call me at 843.696.8627 or email me at Jason.Gregg@kw.com

Autumn in Summerville- jeans, fires, cider, and good beer!

Happy October!  From now until the end of December is my favorite Low Country season. The air starts to chill a bit, I can finally wear my old comfy jeans and flip flops, I can start to enjoy those wonderful dark craft brews (stouts and porters) now that the chilly weather is on the way, I can open my windows and not sweat and I can start to enjoy my fire pit out in the backyard. I took my kayak out the other day in the early morning (we went out from the Pitt St. Bridge in Mt. P) and it was so relaxing and just chill. There's just something healthy for the soul to be out on the water in the quiet of the morning.  Another great reason for fall is that we are finally closing into the Holiday Seasons of Thanksgiving (pumpkin pies) and Christmas (my wife has an unhealthy attachment to Christmas carols).  There are pumpkin patches, corn mazes, scarecrows, pumpkins, Jack O' Lanterns, trick or treating, turkey and stuff  and cider.  Seriously, you gotta love Summerville in the fall. We have the scarecrows on the Square right now, outood activities, Third Thursdays, great food, Christmas parade, lighting of the tree and so much more.  You need to check out the LiveinSummerville calendar for up to date events.

Please share this site with your friends, family, neighbors, co-workers, pastors, teachers, friends of friends... really - just share with everyone. You can also learn more about real estate, homes for sale, ways to stage your home and more... Just make sure you come back often to read the new posts and check our our Facebook page too.

Thanks.

-Jason
If you know anyone looking to sell their home or buy a home call me. You'll have peace of mind knowing you, or your friends/family, are in the hands of a great Realtor.

Here's a great video of our neighbors in another "ville - Asheville and how they enjoy the fall season. 

First Time Buyers....

Moving out of mom and dad's house or decided to move out of your rental? Or, maybe you have not bought a home in 10 years or more and you are out of the loop in home-buying.  Here are 5 tips that Realtor.com suggests and I tend to agree. This of course comes along with my own zany touches and experiences.  http://www.realtor.com/advice/buy/what-every-first-time-home-buyer-needs-to-know/?is_wp_site=1

1. Figure out how much you can afford.  This is why pre-approval is so important.  Before you even think about buying a home or start your search I urge you to speak to a lender (Lucey Mortgage is a great lender based right here in Charleston and does a great job.  Click on the link for more information - http://www.luceymortgage.net/home.html)  Experts (whoever that may be) say your house payment should not exceed 28% of your gross income. For example if you make $4,000/month take that and multiply by 0.28. Your monthly payment should not exceed $1,120/month.  Always let your lender tell you what you can afford and don't exceed that.

2. Pick the right real estate agent.  That's an easy one - Pick me, Jason Gregg. I explain the process of home purchasing thoroughly from our very first meeting and explain to you what to expect. There's a lot of steps to buying a home and you need someone with experience and local knowledge to make sure you get to the closing table and you get the best deal.

3. Understand there is no such thing as a perfect home. This one drives me mad sometimes!  I see buyer's walk into 30 year old homes and expect it to be new construction (which is never perfect either).  I blame the buyer's agents for not clearly explaining clear expectations to their clients. I just emailed a buyer's agent yesterday and I told her if your client wanted new construction he should have bought it - we are not going to make a 15 year old home brand new.  Let the price, location and size drive your decisions...not the color of the carpet or the condition of the garage.

4. Do your homework.  This one can be quite extensive but a good agent will do all the stressful work for you.  See number 2 and choose Jason Gregg as your Realtor.  There is a lot that can go wrong in a real estate transaction and it all starts with the contract.  A good agent will build in contingencies to the contract that will allow the buyer to walk away if the deal is not going in their favor.  Some of these contingencies are financing, home inspection, CL100, buyer contingency that they have to sell their home first, appraisal and more. Here in SC we have the option of a Repair Procedure or Due Diligence (most agents don't even realize there is a difference but it's a big one).  This is too long and complicated for this blog but I'll explain it in a future post.)

5. Realtor.com says to know your tax credits. This is why we have accountants and attorneys that we work with.  Here in SC we are required to close with an attorney.  I am not an accountant or attorney and don't wish to be one. So, on this one I refer out to the professionals.  It is my suggestion to find a good local accountant that you work with so that he/she can advise you and get you the most out of your taxes.

There you have it folks.  

Looking to buy or sell a home. Call me at 

843.696.8627 or email me at Jason.Gregg@kw.com

-Jason

Using an Agent to sell your home...compliments of Lucey Mortgage

This article is compliments of Lucey Mortgage.  

When a homeowner decides to sell their house, they obviously want the best possible price with the least amount of hassles. However, for the vast majority of sellers, the most important result is to actually get the home sold.

In order to accomplish all three goals, a seller should realize the importance of using a real estate professional. We realize that technology has changed the purchaser’s behavior during the home buying process. For the past three years, 92% of all buyers have used the internet in their home search according to the National Association of Realtors’ most recent Profile of Home Buyers & Sellers.

However, the report also revealed that 95% percent of buyers that used the internet when searching for a home purchased their home through either a real estate agent/broker or from a builder or builder’s agent. Only 2% purchased their home directly from a seller whom the buyer didn’t know.

Buyers search for a home online, but then depend on an agent to find the actual home they will buy (53%), to negotiate the terms of the sale & price (48%), or to help understand the process (60%).

The plethora of information now available has resulted in an increase in the percentage of buyers that reach out to real estate professionals to “connect the dots.” This is obvious, as the percentage of overall buyers who used an agent to buy their home has steadily increased from 69% in 2001.

Bottom Line

If you are thinking of selling your home, don’t underestimate the role a real estate professional can play in the process.

 Thanks Lorcan for a great article and I whole-heatedly agree. See below for contact information on Lucey Mortgage.   

Lorcan Lucey
Lucey Mortgage Corporation
861 Coleman Blvd. Mt Pleasant SC 29464
 
Office:  843-884-8133
Mobile: 843-224-3650
Fax:       843-884-6575
NMLS License Per/Corp 185300/185310
lorcan@luceymortgage.net
www.luceymortgage.net

Should I rent...or Should I Own?

I get asked this a lot as a local Realtor here in the Tri-County and especially of those transplants from the Northeast (which I am one of).  Just a side note - how long must one live here  before the term Transplant is no longer used? I've been here 10 years - is that long enough?  OK -back on track!  When I get asked rent or own my initial question is the same, "What is your long term goal."  Even despite my loss of a pay check there are times I recommend renting because it's better for the client. So, what are some of the reasons to rent and not own?

1. If you are only here short-term for a job

2. I think it's a great idea to rent for 6-12 months before investing in a home to learn the area.  Some locations or more family oriented and some are more single oriented.  

3. It definitely depends on the market. With interest rates so low right now you can save a ton of money over the next 15-30 years in payments.  Interest rates are going to go up after the election (My prediction) so it would be a financial advantage to purchase now rather than rent. Also, our rental markets are really hot right now so rent prices are some of the highest they have ever been. 

4. If you just don't want any maintenance or lawn care then maybe renting is a good option. Of course you could also buy and pay someone but many complexes now have pools, gyms, tennis, etc and some people find value in those.  

Here is a great short video link about renting vs buying.  

http://www.realtor.com/videos/is-renting-or-buying-the-smarter-choice-/60370d0c-6dd0-4397-a297-b698e70bd8c0

Call me if you have questions on buying or renting...or about any real estate question.

Who do you know looking to buy a home, sell a home or invest in real estate?  I love referrals!

Jason

843.696.86278

Jason,Gregg@kw.com

www.palmettodreamhomes.com

Ranch for sale in Summerville (Legend Oaks)

Open House Sunday 1-4:00

Everyone loves Legend Oaks and there's a great reason for this.  The people are nice, the homes are nice, the amenities are great and it's connected to great schools.  Buyer's can usually find some of these aspect in a subdivision but not all. This is why Legend Oaks continually remains a hot real estate market and now there's a great new ranch home for sale.  Did you know that in the last 6 months 67 homes in LO sold that were listed in our MLS (Multiple Listing Service) and only 7 of those were Ranch style homes.  Pretty interesting if you ask me.  I dug a little deeper on those 7 ranches and came up with the following market data:

• 7 ranches closed in the last 6 months in LO



Kitchen opens up nicely into the dining and living room

• Average sold price $242,486.00
• Average days on market was 49
• Average price/square foot -  $116,78

Real estate is all about price, location and condition and these numbers don't give any information on the condition of the home.  Let me tell you about 137 Back Tee Circle.  This move-in ready 3 bedroom/2 full bath home is ready for you and your family.  It has an extended driveway for more room (which is always useful), it backs up to complete privacy with woods behind it which you can enjoy on your huge concrete patio.  The 2 car garage not only will hold you car but also your toys (kayaks, mower, golf cart, tools, Christmas decorations, etc) and the open concept yells for a party.  Walking through the front door you notice the open concept and ability to talk to everyone from the kitchen.  After all, it's the kitchen where everyone congregates and not only can you talk to everyone but you can also enjoy the fireplace too.  If the 3 bedrooms are not enough use the finished room over the garage (FROG) as your 4th bedroom or make it into a man-cave. Drive your gold cart to one of a couple pools or to the country club for lunch and a round of golf or a round of tennis.

Come out and see me Sunday between 1-4:00 (August 14th) and tour the home and see if this home is meant to be yours. Ranch homes do not last long so take advantage of this opportunity and call me today to see it.  

Open Living Room

New Town Home On The Market

Great Summerville, SC home for sale

5 minutes to I-26

You are going to love 1001 Yellow Hawthorne Circle located in Summer Wood.  This home has 2 spacious bedrooms and 2 1/2 baths with just under 1,400 square feet. Inside, you'll find beautiful laminate hardwood floors that is very warm and welcoming.  The kitchen has white cabinets and ceramic tile floors and it also boasts a rare garage for a town house.  All the appliances are included in this too. You can sip your morning coffee or grill out on the private screened-in porch and since it's screened you won't get eaten by our state bird - the mosquito.  You can you have choice of swimming in one of multiple pools and live the care-free lifestyle because you won't have to mow or do any exterior work.  Click the link for more information and pictures... http://1001YellowHawthornCircle.BeautifulHome.ForSale

5 minutes to Historic Summerville, SC

Please come out and see me Sunday from 1-3:30 for an open house and check it out. If it's not for you maybe you know someone looking for a great maintenance-free home and can refer it to them.  Also, if you are looking to buy or sell I'm happy to help you any way I can.

Questions - call me at 843.696.8627

-Jason
Keller Williams Realty
Jason.Gregg@kw.com

Do you know anyone looking to buy a home, sell a home or invest in real estate? Call me so I can help them.  You don't want yourself, or your friends or family, being represented by a weak agent.