How to sell any home in Venice Florida
Some homes in Venice FL sell within one or two days, but most homes need several months until a new owner moves in. However, some homes sit on the market “forever”. Why is that?
Some people call it luck – or just bad luck. in deed, luck is also one component of the “house selling game”, but the “luck factor” should not be overestimated. In most cases, there is a more serious reason involved why some homes sell fast and other homes need months. They often need repeated drastic price reductions before they find a new owner – if they find one at all.
Let’s shed some light on this problem. “Functional Obsolescence” is the keyword we need to focus on. So, what does this term mean? Let’s ask “Investopedia”: “Functional Obsolescence‘ [is] A reduction in the usefulness or desirability of an object because of an outdated design feature, usually one that cannot be easily changed. The term is commonly used in real estate, but has a wide application.”
That definition seems to give a relatively clear answer of what is wrong with some houses. However, the challenge in today’s market is that some of the functional obsolete homes are actually hard to pinpoint as to exactly why they are functional obsolete.
Some items are easy to detect. When you walk through the front door you immediately know – you immediately feel – what is wrong: low popcorn ceilings are really bad, tiny bedrooms or bathrooms are also bad. No closet space or an odd floor plan (usually called “custom designed”) kills the desire to buy this home within a heartbeat.
Low sinks and countertops, a dated kitchen with antique appliances and old air-conditioning units (or maybe even wall units) are also deal killer. Outdated plumbing and outdated electrical wiring only adds to the potential buyer’s depression. “No way”, he steps out of that place and takes a deep breath of crisp air. He even noticed the smell of the leaking sink erator. Or did he not? Never mind, he just survived the worst attack of “Functional Obsolescence”.
We don’t want to overdo it, but as a realtor this happens pretty often when you are showing homes in the lower price section. We know, and a realistic buyer knows it also, that nothing in this world is perfect. But those “flaws” should at least not be too bad. Therefore, let us specify more precisely the term “Functional Obsolescence”. The addition “curable” or “incurable” really makes a huge difference.
“Reduced usefulness can be cured as long as the cost is less than the added value. If it is impossible or too costly to correct the functional obsolescence it is called “incurable”.
Most of the items listed above are incurable. What can you do about a low ceiling in a condo, or a missing second bathroom? What do you want to do with an odd floor plan? Is it really worth all the money and afford to gut the whole
house and rebuild from scratch? Some grossly functionally obsolete properties will languish on the market because resale pricing doesn’t support the total cost of the house.
In a case like this the homeowner has only two choices: tear down or renovate. However, only a home with good bones will most likely be a renovation candidate.
The curable obsolescence is easier to handle.
Here we are basically talking about outdated style. C’mon – only outdated style? Yes, but be aware that that outdated style can kill a deal with lightning speed, too. Those ugly heavy drapes or the busy wallpaper in the living room (which makes you dizzy) do have a serious impact on the saleability of your home and of the sales price as well.
Some “easy to fix” curable functionally obsolete items are”: remove the pink and apply more neutral paint colors, get rid of the heavy drapes and replace them with new window coverings, replace old carpet with new one – or even wood/laminate. New fixtures, new knobs and new electrical outlets can also work wonders.
All this is very cost effective and can be done by the home seller himself unless his fingers are all thumbs.
So far we have covered the functional obsolescence; however, there is another one called “External Obsolescence”. This one is very easy to explain and to observe, and id generally not curable: external obsolescence refers to an undesirable factor outside the property.
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Some examples are: Gas stations, 24 hour pharmacies and busy shopping malls next to a private residence never add value. A railroad track, unless you are a railroad fan, can rain on your parade. A close by highway may attract some NASCAR fans, but even most of them don’t think a home next to a highway is in the most desirable location. High voltage power lines running across the property are a problem, too.
Even if You don’t believe in scientific studies “proving” that the electrical current could cause cancer – many people do. If it is not about scientific studies it is at least about esthetics – those power lines are ugly. By the way, when the air is humid they are always making a sizzling noise. Who wants that?
Consumer tastes, along with architecture, have changed and will always change with the times. Great rooms, media rooms and separate dining rooms are a must in certain years; maybe 10 years later nobody cares about it anymore because now everybody wants a great big kitchen to become the hub of the family’s daily activities. A cozy bedroom tucked away from the hustle and bustle of family life maybe a desirable feature today; however, years from now nobody may like it anymore. Unfortunately there is no real logic behind it. Taste and style will always change in unpredictable ways.
Fact is though: Tiny rooms, an odd floor plan, a tired looking kitchen, old fashioned colors and unfavorable wallpaper, or antiquated bathrooms, all this will always hurt a deal. If the Functional Obsolescence‘ is curable than it is always better to fix it before the home hits the market. If the obsolescence is incurable ….only a low price can fix that problem.
If you are thinking of selling your home in the Venice area and need some real world advice, contact us anytime so we can have a straight talk. We are easy to talk to and without any obligation.
Categories: Insider Tips for selling a home, Real Estate
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