Do you know all the local, regional, and national factors that impact the value of a home?
At Beverly-Hanks, we understand that buying a home is one of the biggest and most important decisions you will make in your lifetime. And after working with tens of thousands of buyers, we’ve learned that there are three concerns (we call them the “BIG THREE”) that all homebuyers have in common.
Our goal is to make sure you never have to ask yourself: How do I know that I’m not overpaying on my new home? That’s why our process begins broadly and narrows its focus until it is specific to you. Here are just a few of the tools we use to make sure you are making the right offer on a home:
FHFA House Price Index (HPI)
The Federal Housing Finance Agency (FHFA) serves as an indicator of house price trends at various geographic levels, including state and Metropolitan Statistical Areas (MSA). Their index “does not project the actual value of any particular house. Rather, it projects what a given house purchased at a point in time would be worth today if it appreciated at the average appreciation rate of all homes in the area.”
In short, the FHFA measures average price changes in repeat sales on the same properties.
It’s important to note that FHFA lags local MLS data by 90 days. However, it is considered to be the more accurate indicator of MSA and regional trends. To determine the actual value of any particular property, we have to narrow our focus to examine the local real estate market and specific factors related to the condition of home.
Beverly-Hanks Quarterly Market Report
At Beverly-Hanks, we strive to make homeownership a reality for everyone in our community. In today’s fast-paced real estate environment, that means beginning your search armed with knowledge of local markets. That’s why each quarter we release a comprehensive, 24-page Quarterly Market Report.
When highlighting our regional residential real estate markets, we consider four key metrics: the supply of homes for sale, sales pace, home prices, and the availability of financing. This information allows you to track regional real estate metrics over the past five years for seven counties in Western North Carolina. In addition, we highlight mortgage vital signs and quarterly sales of lots, acreage, and commercial real estate.
The latest Beverly-Hanks Quarterly Market Report is available from your agent or our Market Research Center on beverly-hanks.com.
Vital Signs Videos
Beverly-Hanks also provides monthly updates for home values, time on market, and supply trends through our Vital Signs videos. These videos cover valuable information at the neighborhood level for 50 different area communities.
Compare neighborhoods today at beverly-hanks.tv.
Beverly-Hanks Comparative Market Analysis
A Competitive Market Analysis (CMA) is an evaluation of similar, recently sold homes that are near a home that you want to buy. The price range from the CMA can then be used as a guide for deciding on an offer price. Preparing a CMA for your chosen property before submitting your offer is one of the most valuable services your agent can provide you.
In the meantime, you can begin your own research. Each property listing on beverly-hanks.com offers detailed market information. View median sales price, days on market, available inventory and more from the listing Overview and Research Center tabs.
Beverly-Hanks prefers to utilize the above resources to help you determine the most appropriate offer to make on your dream home. However, if you’re shopping around on other sites, as well, you may come across the infamous Zillow ZestimateⓇ. The Zestimate is an estimate of value using a proprietary formula, calculated from tax records and user submitted data. It’s a starting point that doesn’t account for condition, features, or specific location. Only 32% of the time is a Zestimate within 5% of the selling price in our WNC markets.
Begin Your Buyer’s Experience Today
By its very nature, all real estate is local, but national and regional trends also impact value. Interpreting each of these trends to establish reasonable market value is one of the most important services your Beverly-Hanks associate can perform for you.
The Beverly-Hanks Buyer’s Experience introduces you to our proven strategies for conquering your homebuyer concerns, from planning for your home search to preparing for closing. But nothing can replace having a Beverly-Hanks agent by your side. If you would like more information about buying a home, our experts at Beverly-Hanks are here to help.
Contact us today to request a free Beverly-Hanks Buyer’s Guide and to speak with a professional Beverly-Hanks real estate agent about buying homes and land in Western North Carolina.