Listing Courtesy of BERKSHIRE HATHAWAY HOMESERVICES GALLO-L
When the first spring day comes along (as opposed to the first day of spring), a goodly proportion of residents feel the annual pull, toward the garden store aisles. Even those who’ve stoutly resisted ordering seeds, gardening tools, or any of the other back yard paraphernalia the catalogs kept hawking all winter can succumb to this particular Call of Nature.
Burpee, Scotts and Miracle-Gro shareholders can relax: spring has sprung.
The Lewes spring real estate selling season starts stirring, too, pretty much in lockstep with the appearance of the tulips. Whether or not the tulips have succeeded in poking up out of the ground, it’s a cinch that by this time they will have made colorful appearances on store shelves everywhere, just like the Peeps and chocolate bunnies. Unlike the rest of the early spring’s trappings, though, the spring real estate phenomenon doesn’t disappear from sight once Easter Sunday is a memory. In fact, it picks up steam.
There are any number of explanations why spring real estate in Lewes is always expected to ramp up. Part of the reason is the calendar. For families with children, if a move is going to involve a change in school districts, summer vacation is the least disruptive time of year for it to happen, so spring is the time to start house hunting. Part of the reason is due to the comparative difficulty of selling a home in wintertime: not only can foul weather make it harder to keep a home at its showy best, it also can throw a monkey wrench into property maintenance and the few cosmetic fixes that almost every home could use before it hits the Lewes listings. The result is a certain amount of bottled-up inventory that bursts onto the scene all at once—and springtime is the single time of the year when that happens.
Then there is the automatic momentum effect. When you sell a Lewes home, most families need to turn around and buy the next. The National Association of Realtors® tells us that the spring real estate selling season may actually be stronger than the numbers indicate, because many sales that really did begin “in season” don’t actually close until summer begins. Spring real estate as a phenomenon is “real” enough that you can’t blame them for lines like “Spring brings rain and flowers—and possibly extra green in the final sales price of your home.”
The spring real estate selling season is indeed underway, so if you are planning on listing your own Lewes home anytime soon, now is a great time to give me a call. It’s the best way to take advantage of the traditional boom in prospective buyers!
“Ideal” is a Shangri-La kind of a word. It’s not just because of its feel-good, pie-in-the-sky definition (“a standard of perfection or excellence”)—but because contained right there inside the word itself is a tacit admission. It’s only an idea—not something necessarily connected to concrete reality.
Bethany Beach residents don’t come across “ideal” anything very often in their daily routines, so few would be surprised to learn that even in something as important as determining the value of their Sussex County residence, the calculation turns out to be less than straightforward. The ambiguity owes to the fact that it all depends on how you look at it.
In reality, there are two quite different approaches for determining any Bethany Beach home’s value. Ideally, both methods would produce the same value for the same Sussex County property. That would be the Shangri-La outcome—a fine idea—but it’s seldom the case. The two methods are the Market Value approach and the Replacement Cost approach. Knowing how and why they differ explains why they yield dissimilar results.
When Sussex County homeowners examine their home insurance policies, they may find a breakdown of the replacement cost. The face amount of such a policy is meant to cover what the current cost would be to construct a similar building of equal quality—one that would have the same utility as the one that was destroyed. Such factors as materials, labor, the builder’s overhead, profit and fees are probably part of that calculation. In actuality, some of the costs that might be encountered may not be included, though: things like demolition of the old structure, debris removal, licenses and permits. It depends on the policy.
The market value is an estimate of the amount a buyer would pay in today’s market to purchase the same home in its current condition. Right off the bat, you can see that this would include the cost of the land—so you might deduce that its market value would automatically be greater than the replacement value. Ideally, that might be true. If the home were brand new. But for structures that have been in existence for a while, that might or might not hold true. For a home in less than top condition, the total might be less… likewise, if the local residential market were in a slump. On the other hand, for older homes having architectural details with fine workmanship that is expensive to duplicate today, the reverse would be true. You get the idea: given the vast number of variables that can influence the difference between market and replacement value calculations, it would be miraculous if the two ever came out the same.
When you are buying, selling—or even insuring—your Sussex County home, weighing market and replacement values is more than an abstract exercise. I’m here to help with those and many other issues that will help you determine how to make the choices that serve you best. Call me! Call/Text me Russell Stucki at (302) 228-7871, email me at email@example.com, visit more listings at www.beachrealestatemarket.com.