Real Estate - Can we talk short-sales?

[SvilleKid]

Originally Posted by jmsremax

In a static or depreciating market it's hard to pin point "market value".

The best way to figure out what you should pay will be based on a home inspection, appraisal, and a comparative market analysis of other properties with similiar features. If there are any issues that arise from the inspection then deduct it from the price you are willing to pay and add or deduct any features from the property you are interested in to the ones in the CMA. Then take note of what the selling price was and the listing price. Determine what the % of the listing price was actually paid. Hopefully your agent has already informed you about these tools and again good luck.

I have to strongly disagree with you here. An agent IS NOT, and cannot take the place of an appraiser. A CMA IS NOT, and never will be an appraisal.

Unless an agent is expert on home construction, repair costs, market acceptances of depreciation and obsolescence, a student of governmental regulations and laws and their effects on value, an expert in determining highest and best use analysis, plus versed in considering dozens of other factors and their value effects, he/she cannot start to rise to the level of an appraiser.

A qualified appraiser takes all the things you speak of in consideration. All the other professions you have names take only one or two of the factors in consideration. That's why they are what they are, NOT appraisers. How do I know??? Because I am an appraiser, and have been one for over 30 years. Agents/brokers owe their legal allegiance to their principle, and can act only for the benefit of that principle, and are thus, by definition, cannot be un-bias. Not a slap at agents, it's just legally how it works.

While there are a lot of agents out there that are very good at what they do, unless they are qualified and certified as appraisers, they cannot give you an appraisal, and they are even less qualified to determine Market Value than a home inspector is. Sorry. Why is it called a CMA??? Because legally, it cannot be called an appraisal because it does not meet the requirements of an appraisal.

And, NO, it isn't hard to "pinpoint" market value. That is, if you are an appraiser worth your billing.