Very confused about housing prices in Heathrow...how much is too much? (Plantation: for sale by owner)

[aneftp]

We've been looking at homes in Heathrow the past 2-3 months. Prices are all over the place.

One home we looked at originally was priced at 730K. Originally this home was purchased for 545K in 2002 and than resold in 2004 for 725K. Now a relocation company brought it over for ????...couldn't ever get the price revealed. So I know the owners took a loss along with the relocation company. But the home finally sold for 640K last month.

Now I'm looking at a home that was purchased for 500K back in 2002 so I know the owners have room to wiggle. The original owners had originally priced it at 700K and now lowered down to about 650K. This second home does not have the same upgraded options as the first home we were interested in that eventually sold for 640K last month.

Both of these homes are in the same neighborhood. Built at the same time by the same builder.

Considering the financial mess this economy is in (especially since the end of September beginning with the Lehman Brothers/AIG/Wash Mutual mess) and that Central FL has a higher than average unemployment.

What would this home that's currently priced at 650K really worth? The people who own this home have moved out already. I'm going to put 20% down. Have more than enough income and not really concerned about getting a mortgage.

[beckycat]

The thing with Heathrow is that it is considered an upscale community. Therefore, you pay more to live there. I think that's why ppl expect to get more for their homes. Honestly, I've been in Heathrow before and I don't think it's any different than any other S/D like Timacuan. They are average homes, maybe some upgrades, that look like average homes on a 0 lot line. Granted, they do keep it spotless and I know ppl like to live there for the golf course and amenities. That maybe a difference of $350K in Timacuan and $650K in Heathrow for the same house. I guess it's all about where you like to live. I would just offer what you think it's worth. If they don't accept youre offer, move on. In this market, there is so much inventory to chose from. It's a buyer's market.

[GregTraub]

I couldn't agree more with alot of the things Beckycat said.

It seems you've done your research about recent home sales...though have you found more than just the one sales comparable from a relocation company? the more comparables you can find the better an idea you will have about what YOU beleive it to be worth, because at the end of the day that's what matters most. If your wondering why the owners of the house your looking at priced it where it's priced, you'd have to ask them and/or their agent for the reasoning, it could be a myriad of things, but since you said a comp was at 640K and they are asking 650K it at least seems they are in the ball park and may be willing to come down, what does your agent say about the probable value? An asking price is just that, what they are asking, it shouldn't have much of an affect on what your willing to offer.

If you were hoping we can tell you what the home is worth based on your sales figures going back to 2002, there is no way to help. Sales don't go by years, they go by what it's worth now compared to other comparable RECENT sales, especially since the last month or two's developments, make sure they are VERY recent or adjust for the age of the sale. Valuing a property requires skill and diligence, sorry I can't help you put a price on it over the internet. I'm shameless and have and will continue to use the recent month's happenings to negotiate hard for my clients, the psychology works both ways and can be helpful in persuading a seller their price may be too high.

[jemelb]

Originally Posted by aneftp

Now I'm looking at a home that was purchased for 500K back in 2002 so I know the owners have room to wiggle. The original owners had originally priced it at 700K and now lowered down to about 650K. This second home does not have the same upgraded options as the first home we were interested in that eventually sold for 640K last month.

As far as wiggle room, they may have refinanced in 2005 and got all the money
out...
Get professional help...either a competent Realtor or Appraiser.

[cfIfan]

The best piece of advice i can give you is essentially a property is only worth what you are willing to pay for it. What you think a property is worth wont be what someone else thinks a property is worth. Everyone wants a great deal and that is alot of what our jobs as realtors are, getting deals for our clients. As an example Celebration is another community where the taxes are double if not more than other comparable areas and the homes are double the price aswell. Is it worth it. With a cold clinical eye and as someone whose family owns property there i would have to say not really. From an outsiders point of view who are Disney mad and want to live in the town Disney built then they may be happy to pay the extra price.

You need to decide what your budget is, and make an offer based on that and what you feel the property is worth. If the seller doesnt agree then they will reject and you can ever negotiate or move on, as was said earlier there is plenty of inventory.

The only thing as was also mentioned is of course you need an excellent realtor but also find out what other services they offer. For example, my wife is a title agent, and i offer her services to my clients aswell free of charge. It allows me to provide a fuller and more rounded service to my clients because there are times when my mls system wont show me the previous resale prices, but because she is a title agent she can pull up all this info extremely quickly for my clients.

Also keep in mind unless you are getting a VA or FHA mortgage, 20% down is pretty much the minimum you would need to do. The days of that looking attractive as opposed a 100% financing are long gone now. Also if you havent make sure you get pre approved for a mortgage. I cant tell you how many times in my experience i have had clients who i have recommended getting this and putting an aggressive offer in and it gets accepted. An offer with a pre approval letter holds more weight and is more attractive than and offer with no pre approval letter.

Good luck

[PAM03]

I agree with the last post and could nothave said it better myself.

"The best piece of advice i can give you is essentially a property is only worth what you are willing to pay for it."

I am not sure which neighborhood you are looking at in Heathrow but we have a home that is in Wembley Park that we are selling for $465,000. Below is the link that will take you straight to the property details.

[url=http://www.evenyoucanownahome.com/property.cfm?property_id=22976]HP Investment Group, Inc.[/url]

Good luck and just make sure you always do your due diligence. With the market today, you have to constantly keep checking values because they change monthly.

[jemelb]

Originally Posted by cfIfan

The only thing as was also mentioned is of course you need an excellent realtor but also find out what other services they offer. For example, my wife is a title agent, and i offer her services to my clients aswell free of charge. It allows me to provide a fuller and more rounded service to my clients because there are times when my mls system wont show me the previous resale prices, but because she is a title agent she can pull up all this info extremely quickly for my clients.

Excellent point! MLS is a great tool, but does not show "For sale by owner" data. Unless, the Agent subscribes to a different data source, he or she does not have all the information.

[AONE]

There are prices across the board in most of the SD's in Lake Mary. as size, and features change, newness, and lot size so will the price. Some homes in Heathrow are great deals, some not so in comparison.
Heathrow has some of the older homes, compared to Magnolia Plantation. generally one bases value off of what you can get for the same money. If you can buy a larger home with a pool for the same money then it is a clue you are not getting the best deal, but there may be other reasons for that, condition, location, views and such. each house should be looked at individually. I tend to evaluate them in comparison to determine how low we can get it for. Short sales confuse the process but if you have patience you can get a great deal.
Talk to one of us agents unless they have admin fees it costs nothign to utilize us and generally we can get you a better deal. Thats's my 2 cents...lol good luck.
ken