Arizona’s housing market is piping hot with summers on the horizon. Suppose someone needs to buy a home there, they need to consider the following:
- Mortgage origination fee
- Home appraisal fee
- Property taxes
- Home inspection fee
- Homeowners insurance
- Credit report fee
- Realtor fee.
What prices are prevalent in Arizona?
According to Zillow’s home value index, as of May 2022, homes in Arizona are valued at $436,441. This value is subject to seasonal adjustments, and only includes the middle price tier of homes. This implies that prices of homes in Arizona have shot to a 30% over the past year.
How to evaluate the correct price of home/land in Arizona (or any state)?
Make use of online tools, appraisals, and comparative market analysis. Apply the Federal Housing Financing Agency’s house price index (HPI) calculator. It helps check the amount of value the house has appreciated or depreciated over time even if there is a conventional and conforming loan.
Hire a professional appraiser to approve the mortgage and give value based on the needs of the clients. They evaluate:
- The market (including region, city, and neighborhood in which the home is located)
- Property (including the characteristics of the house with improvements)
- Comparable properties (including sales, listings, cost, vacancies
- Depreciation and other pertinent factors based on other similar houses in the market) of distinctive, luxurious, high-end residential projects.
What should home buyers know about MLS listings?
All the realtors and AVMs rely on the recent sale prices of comparable properties. Looking at comparable properties seems to be the simplest approach to buying or selling a home. What should the buyers do to get started?
Homebuyers looking for apartments with a perfect blend of contemporary architecture, natural beauty, and fresh air should browse MLS listings and find recent sale prices of comparable houses in the neighborhood.
In case a sufficient number of recent sales are not available, sneak – a peek into the listing prices (remember that they are not always real).
Get access to three valid comparisons that come closer to the market value of the house.
Here, things can be trickier. Subtract the value of the interior that is outdated, and add the value of new rooms-bacony-garden in accordance with the latest trends. Such a valuation depends upon the market conditions and may vary widely. But this rough estimation will prove to be very powerful in actual valuation.
Why is it important to know a home value?
For buyers – it helps them assess what they can afford and what comparable prices are available for a property of similar stature.
For sellers – it helps them sell and refinance on home equity lines of credit, insurance, and annual property taxes, giving them greater control over the processes.
It is good to know that property taxes are always open to appeal. So if the assessment is too high by pulling competitors, homebuyers can be rewarded with a substantially lower tax bill.
Arizona Flat Fee MLS
MLS is short of Arizona’s Mountain Lake Services. Some sites that offer MLS Listings that syndicate to local and national real estate websites:
- homes. com
- home smart
- Coldwell banker
How to sell a house in Arizona via MLS Listings?
There is no best time to buy or sell a property. The buyers and sellers must be up-to-date with their research and figures.
Going stepwise, the process to sell a property must involve these points:
- Find an Arizona based realtor (real estate agent)
- Decide the best time to sell
- Discuss the pricing (estimated and comparable)
- Prepare, market, and show the home (to be sold)
- Field offers and negotiations
- Appraisal and inspections
- Complete the paperwork and all required disclosures
- Go through the closing process
What is Arizona Flat Fee MLS?
If home sellers try selling their home in Phoenix downtown or a ranch outside Grand Canyon they have a pay 6% realtor fee. To avoid this some sellers use an Arizona Flat Fee MLS company to list their homes on the MLS, which is the main place where realtors look for homes to show to their clients. A single-time small fee is still applicable.
How does the realtor commission work in Arizona?
There are four stages to selling a house in Arizona.
- Home sellers need to list with an agent and sell to a represented buyer. They have to pay a commission fee to both agents.
- Another way around, they have to list using for sale by owner websites and sell to a represented buyer and pay a commission fee to both.
- In a third case, they might have to list an FSBO and sell to a buyer without an agent. they do not have to pay any commission fee.
- In a fourth case, they have to list with a discount agent and sell to a represented buyer. In this case, they have to pay the buyer’s agent commission. They get a chance to save on the listing commission in this case.
Is selling a home without a real estate agent possible in Arizona?
Also, people must be aware that it is possible to sell a property in Arizona without the need to have a real estate agent. This practice saves a substantial amount of money that could have otherwise gone into paying a commission to the agent/broker.
On average, the realtor commission rate in Arizona is 4.50% – 6.00%. This makes the home sellers give away a huge chunk of their savings. But doing it on its own can reduce the expenses and give more control over the sale. But there is an additional responsibility of listing price, and negotiating with buyer’s agents. This is possible if the home seller is experienced, and they have done it before.
Selling a house in Arizona carries some risk and due to not availability of a real estate agent, it can be a time-consuming process. The home sellers still have to offer a competitive buyer’s agent commission which is 2.70% of the sale price in Arizona. It is advisable to hire a low-commission realtor who can sell homes for a substantially high amount.