Asking price for a property I own

Seattle, Washington
Buying & Selling Real Estate
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Asking price for a property I own

Lisa R.
New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes

Is there anyone in the Seattle area willing to let me know how much I should be asking for a property I own? 🙏🙏🙏 

I have asked this question before, but everyone who got a hold of me was more interested in seeing how low I would go… That is not helpful.  Obviously, I want as much for it as possible :)

I just really need someone’s expertise to inform me if I am asking enough. 

Thank you in advance If you are willing to give me a little bit of your time!

Lisa

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Russell BrazilBusiness Member
Moderator
Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
2y
Quote from @Lisa R.:

@Dru Hill

Thanks Dru, but I am selling it myself.

Lisa

You should hire @Beth Traverso to sell it. 

Youve already illustrated one major pitfall in selling it yourself. You dont know how to price it or even who you should be asking for help in doing so.

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  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Dru Hill

    Thanks Dru, but I am selling it myself.

    Lisa

    1Reply
  • Dru Hill
    Real Estate Agent · Member since 2020 · 17 posts · 6 votes
    2y
    Quote from @Lisa R.:

    @Dru Hill

    Thanks Dru, but I am selling it myself.

    Lisa

    Oh... Yeah. Not sure a group of investors is the best pool of people to get a proper valuation. Because I'm a kind person, I can give you a quick "yes thats probably a good price" or "no you are off"
    4Reply
  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    2y
    Quote from @Lisa R.:

    @Dru Hill

    Thanks Dru, but I am selling it myself.

    Lisa

    You should hire @Beth Traverso to sell it. 

    Youve already illustrated one major pitfall in selling it yourself. You dont know how to price it or even who you should be asking for help in doing so.

    [email protected]301-893-4635Podcast Guest on Show #192
    District Invest Group546 Reviews
    WebsiteView Page
    5Reply
  • Mya Toohey
    Real Estate Agent · Tampa Florida · Member since 2013 · 630 posts · 303 votes
    2y

    I am in Florida, but I agree that you need a Real Estate Agent to give you an accurate Comparative Analysis.  

    0Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Dru Hill

    Yeah, I guess I was looking for an investors point of view because I figured they would want to get as much as they could for it. But in reality I guess that is what everybody wants, lol. 
    Do you mind DM’ing me? I’m hesitant to put the address down. I don’t want anyone contacting me about it, trying to buy it. 
    Thank you Dru!

    Lisa

    0Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Mya Toohey

    Thank you Mya-  I appreciate your advice :)

    Lisa

    0Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Account Closed

    Okay-Sounds good! I appreciate your help Ken! 
    Thank you so much! 
    Lisa

    1Reply
  • Julien J.
    Investor · CO · Member since 2016 · 757 posts · 1k+ votes
    2y

    @Lisa R.

    Couple tips to keep in mind for a successful listing:

    The listing price is part of a pricing strategy, make sure you've got that figured out to take advantage of this market.

    Market comps along with a competitive analysis are just 2 data point, be sure to have a line into what is happening in real time. Depending on the market and neighborhood those can be outdated very quickly. For example if properties within a 3mi radius are going pending $50k to $100k above listing with 25+ offers, that changes the approach to achieve the highest price with best terms as possible.

    Something else to keep in mind. You'll be up against agents who negotiate for living who understand contracts and contingencies inside and out.

    Totally doable for sale by owner. I wish you the best.

    2Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Julien J.

    Thank you Julien! I probably am a little off in my asking price… that’s okay though. It’s not worth me giving thousands away to a realtor. The buyer and I both are not using realtors. 
    I appreciate you taking the time to give me your opinion! 
    Lisa 

    0Reply
  • Jonathan Bock
    Accountant · Bryn Mawr, PA · Member since 2023 · 409 posts · 321 votes
    2y
    Quote from @Lisa R.:

    @Julien J.

    Thank you Julien! I probably am a little off in my asking price… that’s okay though. It’s not worth me giving thousands away to a realtor. The buyer and I both are not using realtors. 
    I appreciate you taking the time to give me your opinion! 
    Lisa 


     I’ve made this mistake plenty of times it’s pennywise and pound foolish most times unless you already have lots of relationships.  As you progress in real estate it will pay to have a producer who can more than earn their commission and put more in your pocket at the same time.  

    1Reply
  • Beth TraversoPro Member
    Real Estate Broker · Seattle, WA · Member since 2019 · 15 posts · 7 votes
    2y
    Quote from @Russell Brazil:
    Quote from @Lisa R.:

    @Dru Hill

    Thanks Dru, but I am selling it myself.

    Lisa

    You should hire @Beth Traverso to sell it. 

    Youve already illustrated one major pitfall in selling it yourself. You dont know how to price it or even who you should be asking for help in doing so.


    Thank you, @Russell Brazil. @Lisa B., I'd be happy to connect if you'd like some guidance. No obligation or strings attached.

    0Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Russell Brazil

    Yes Russell-That would be appreciated, since you offered!

    Are you willing to review a purchase agreement for me? :) 

    0Reply
  • Tim Johnson
    Real Estate Agent · Skagit Valley, WA · Member since 2021 · 256 posts · 283 votes
    2y

    @Lisa R. Selling on your own is admirable .....and yes, totally doable. 

    Statistics show an interesting reality however. Every year, less than 10% of homes are sold as FSBOs (for sale by owner) - and less than half of these sales are "at arms length" - meaning that the other half are sales between family members or close friends, etc. Why would over 90% of people still employ the help of realtors and attorneys in selling their homes?   top two reasons:

    1. they can usually command a higher price through a real estate brokerage. This may not seem fair but perception is at times reality. Do you want to sell your diamond ring at a garage sale.....where everyone expects a bargain?... or have it consigned at a well-known jeweler? That's the difference. The $25,000 of commission on a $500K home suddenly doesn't look so terrible when you're able to have a real estate brokerage sell it for $30K dollars more than you could on your own. 

    2. The hassle of it all - directly communicating with and qualifying potential buyers, constantly scheduling showings, understanding the paperwork, contracts, contingencies, and timelines.....all cause some sellers to give up on selling it themselves. Many would nevertheless soldier on, being willing to gut it out, learn the details....and simply hang in there - if they could actually keep the money that would go toward commissions. That would be well worth the hassle.....but alas.... see #1 above. Again, less than 10% of Americans go FSBO - and I don't think it's because they're lazy.

    Yes I'm a realtor so I'm showing a bit of my own bias.....but every year I've also given advice and helped homeowners who wish to sell their homes by themselves. Sometimes I'm able to help them...and other times less successfully. Even I can see that there are situations and times when FSBO is the smart way for a homeowner to go.

    So yes Lisa, give it a try. There's some good advice for pricing your home in this thread.....and there is lots of good advice online for the rest of it. Best wishes.

    1Reply
  • Steve K.
    Realtor · Boulder, CO · Member since 2016 · 3k+ posts · 5k+ votes
    2y

    Is the buyer using financing or cash? If financing, they'll be getting an appraisal and that should clear up the pricing uncertainty. If it's cash you might consider paying for an appraisal anyway, or split the appraisal with the buyer, or hire an experienced agent to do a CMA.

    Ken's advice above is good but even better would be to find someone who has been inside the comps rather than relying on just pictures (which can often do a surprising job making a house look nicer than it really is if the photographer is good, or not as nice as it is in person if the photographer is bad). Someone who knows the area on a house by house basis will know which recent sales are good comps and which aren't, as well as what the market trends are etc. in order to come up with fair market value like an appraiser or a true market expert/agent would. 

    You'll get the most for your property by working with a good agent, by putting it on the MLS to market it to the maximum number of potential buyers. FSBO deals are often a mess in my experience, but sure it can be done and they aren't always a mess, probably just 99% of the time lol ;). If you're determined not to list the property in order to fetch top dollar and are set on selling to this buyer, it may be worth bringing in an agent to manage the paperwork for a negotiated fee. Good luck!

    1Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Steve K.

    Thank you so much Steve for your input extra! It’s basically just Property, the houses on there will be mowed down.  The same thing was done to the property right next to this one and they are the same size. I just added an extra 20K on because the other property was purchased a few years ago. The buyer wrote up a purchase and sale agreement, including of course the necessary Washington addendums (not sure what they are called) when purchasing and selling real estate. I had a real estate attorney look it over. In your opinion, will that be fine? Or would you still recommend that I hire a realtor? 

    Thank you again Steve!

    Lisa

    0Reply
  • Steve K.
    Realtor · Boulder, CO · Member since 2016 · 3k+ posts · 5k+ votes
    2y
    Quote from @Lisa R.:

    @Steve K.

    Thank you so much Steve for your input extra! It’s basically just Property, the houses on there will be mowed down.  The same thing was done to the property right next to this one and they are the same size. I just added an extra 20K on because the other property was purchased a few years ago. The buyer wrote up a purchase and sale agreement, including of course the necessary Washington addendums (not sure what they are called) when purchasing and selling real estate. I had a real estate attorney look it over. In your opinion, will that be fine? Or would you still recommend that I hire a realtor? 

    Thank you again Steve!

    Lisa

    Is $20k enough? How many years ago was that sale? What percentage is that of the total purchase price? Not sure on your market, but mine and many others went up 20-30%/yr. In 2020,21,22, then flat or slightly negative in 23. So it could have appreciated a lot more than 20% compared to that other property. Comps are supposed to be recent, ideally within 3-6 months. If I were you I’d want to chat with a good Realtor about everything to make sure you’re not leaving money on the table. Almost every FSBO I’ve see personally, mistakes were made and one side got the short end of the stick.  I’ve also gotten many phone calls after the deal is closed asking whether it’s worth suing over something that was missed or falsely represented, but it’s usually too late by then/ not worth it after the fact and those people wish they had used a Realtor. I’d probably call the Realtor that Russell recommended above and ask for their input. Or look up similar sold listings and call one of the agents involved in those sales because they’ll have the best hands-on knowledge specific to the situation. They may be willing to help for a negotiated fee, provide a CMA and document review for a negotiated amount or to build a relationship on future transactions. 
    0Reply
  • Julien J.
    Investor · CO · Member since 2016 · 757 posts · 1k+ votes
    2y
    Quote from @Jonathan Bock:
    Quote from @Lisa R.:

    @Julien J.

    Thank you Julien! I probably am a little off in my asking price… that’s okay though. It’s not worth me giving thousands away to a realtor. The buyer and I both are not using realtors. 
    I appreciate you taking the time to give me your opinion! 
    Lisa 


     I’ve made this mistake plenty of times it’s pennywise and pound foolish most times unless you already have lots of relationships.  As you progress in real estate it will pay to have a producer who can more than earn their commission and put more in your pocket at the same time.  


     Solid point, I just had a client decide to sell on their own and left $200k+ on the table. Would have more than covered my compensation. 

    3Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Julien J.

    I think you are probably right, Julian. Thank you for taking the time to send me this. I guess this will not be getting taken care of this week., lol…

    I couldn’t find any numbers from the last 3 to 6 months because none of the lots near this house have sold that had houses on them that needed to be torn down… so it’s nearly impossible to find the exact same situation, but I will call a realtor this week and see if they will run some numbers for me. 

    Gracias!!

    Lisa

    0Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Account Closed


    98208. It’s a third of an acre and the houses on it need to be torn down and a septic tank removed and connected to city sewer. 

    0Reply
  • Julien J.
    Investor · CO · Member since 2016 · 757 posts · 1k+ votes
    2y
    Quote from @Account Closed:
    Quote from @Lisa R.:

    @Account Closed


    98208. It’s a third of an acre and the houses on it need to be torn down and a septic tank removed and connected to city sewer. 

    Beautful area. It will sell quickly.

     Agreed. I own a duplex on .57 acres in 98208 and its definitely a seller's market up there.

    My buyers in that area are competing in 10+ offer scenarios with waived inspections and other contingencies. Lots of investors hunting around, especially with the new middle market initiative now imposed in WA. Granted for move in ready houses, house hacks or even flips.

    @Lisa R. Since it sounds like a nice opportunity for a developer. Now, I'm real curious.

    - How close is the sewer from the lot?

    - Topographic level?

    - Corner lot? Any access to the back of the property?

    Another way to back into the a price a developer would be willing to pay is to figure out the best use of the land, hard and soft cost to build cost, holding cost, and profit margin.

    I'd suggest a realtor who specializes in that type of product with active clients. Not my specialty, but I know a few.

    1Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Julien J.

    Hi Julian – I do not know exactly what you are asking. Assuming the sewer is located at the street, I guess the house is about 50 feet from that.

    I’m not sure what you mean by topographic level. And you asked if there is access to the back of the property?  are you asking if it is possible to drive to the very back of the property?  

    The property right next to mine was purchased and they removed the mobile home and put a duplex on it. I would assume that is the most the land could be used for. 
    I will have to do research on that middle market initiative, I guess. 
    it’s just a headache, to be honest :)

    Thank you for your time!

    Lisa 

    0Reply
  • Timothy Hero
    Lender · United States · Member since 2020 · 1k+ posts · 499 votes
    2y

    Seattle region is the prettiest place in the U.S. I've ever been, so if the property offers mountain views, I'll pay 3x the ask, lol.

    0Reply
  • Lisa R.
    OP
    New to Real Estate · Seattle, WA · Member since 2016 · 95 posts · 32 votes
    2y

    @Account Closed

    Hello – land is level, not swampy. I may have given off the wrong impression. It is solid land where I am currently living., lol. The house is located on the street where the sewer is. Elementary school less than one block away., lol. 

    1Reply
  • Melanie P.Pro Member
    Rental Property Investor · Member since 2023 · 1k+ posts · 922 votes
    2y

    We have investments in Seattle and I'd be happy to give you my guess if you PM me the address. 

    Regardless of any thoughts I or others may have you should certainly order an appraisal. Even when I work with a Realtor I order an appraisal before discussing the transaction with a Realtor. Typically $300-500 it's a drop in the bucket, can save your buyer money, gives you confidence in your pricing and eliminates one stress of pending buyer financing. 

    Do keep in mind no agent is going to show your place to their clients, ever. That's a HUGE segment of the market. Many buyers just don't want to work their own deal out.

    0Reply
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