Weighing in Intrinsic Values

Weighing-in-Intrinsic-ValuesWith having been on a showing binge this past month with buyers, I can certainly say I have viewed homes in every price range and style here in Mason City. Since being a Realtor has been my chosen profession for more years than I want to admit, I can say I have learned to watch for tell-tale signs of not only on-going structural problems, but also problematics that would be quick fixes to get the homes more marketable if only the sellers would do them. I’m not into covering up or glossing over problems. If there are structural issues with a home, they either need to be disclosed or remedied. Far too many times over the years I have walked into basements and discovered that there were foundation problems that were covered by either drywall or another wall laid up in front of the bad wall. That is not a good thing. Severely cracked basement floors are an indication of subterranean water pressure, cracked drywall on the main floor and upstairs is another indication of either poor installation or movement, curling shingles on relatively newer roofs is a sign of either poor quality shingles or insufficient roof venting, excessive mildew in a basement is either a sign of not running a dehumidifier or likely not installing a vapor barrier prior to dry-walling. These and many other red lights go off in my mind when walking thru a home. The most strange and curious thing is that there are buyers who don’t make closer investigations of the basic structures and “fly over” homes that have all the “good bones” of becoming showplaces. I showed a home today that has the most terrible exterior appeal as well as quirky do-it-yourself improvements, but every time I look past that home’s deficiencies, I see value. We all must stop looking at what is in the moment, but rather the going forward work horse of a home. Whenever I’m at a closing of a home in that “good bones” category, I tell the buyers, “As long as you work for it, it will work even harder for you.” I do hope the buyers going forward in this year of 2014 start weighing in the intrinsic values of the homes they are viewing and subsequently purchasing.