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The emotional value of a property

Jun 15, 2023

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If properties were supermarket items, buyers would simply pick off the shelf the property they want and pay the ticket price with no negotiations. The sale price is known or set before it hits the market. This process would really make an agent's role somewhat obsolete.

However, for now, property is still personal and the way individual property values are assessed involves three different groups:

  1. The Agent who uses knowledge and expertise to provide a suggested price range.
  2. The Buyer who has a list of wants and needs, and a budget, and finds a product that suits.
  3. The Property Owner who, no doubt, has their own ideas of the property's worth

It's important to remember that each of these groups values a property in different ways:

  • The Agent has a motivational value; the price they think they need to secure the listing.
  • The Buyer has a logical value; they look at comparisons and what the property specifically offers.
  • The Seller has, understandably, an emotional value; this value carries with it the love, hard work and memories acquired over time.
Does your property have something unique about it, or that 'certain something' that buyers will pay the emotional price for?

The emotional price can be 5-10% above the logical value. That is a lot of money!

If you'd like to know your property's logical and emotional value, we would welcome the opportunity to work through this with you. Please give us a call, use the webchat at the bottom of your screen or email us at mail@cepg.com.au