At Equity Real Estate we know that real estate terms can sometimes be confusing. We are going to share with you some common real estate terms and their meanings to help give you a greater understanding when you are trying to buy or sell a home.
*Market Value: the theoretical highest price a buyer, willing but not compelled to buy, would pay, and the lowest price a seller willing but not compelled to sell, would accept.
Example: An appraisal of a home indicates its market value is $75,000. In a normally active market, the home should sell for this amount if allowed to stay on the market for a reasonable time. The owner may, however, deed the home to a relative for $250. The owner may also grow impatient and sell for $70,000. Conversely, an anxious buyer may be found who pays $80,000. Finally the owner may provide favorable financing and sell for $85,000.
At Equity Real Estate we are here to help you navigate the home buying and selling process. Give us a call with any questions!
*Barron's Real Estate Guides; Dictionary of Real Estate Terms