After being in the Real Estate business for the last twenty five years I have been involved in all types of markets. I have been through boom times and recently some of the most difficult times you could ever imagine.
With these experiences I have continued to learn what makes a home sell for the most money, in the shortest period of time, with the least amount of headaches.
When I interview with a potential client I like to share what works and what doesn’t. I am also candid even if it is not what the seller wants to hear. A “yes” man will never be a great Realtor. Keeping this in mind here are the top home selling tips for Real Estate.
Over Pricing A home
The best piece of home selling advice I can ever give any client is to price the home properly coming out of the gate.
Overpricing a home is one of the hardest things to overcome. In fact I tell people all the time that the price you set on a home is 80% of the marketing. What do you mean by that Bill? If you set the wrong price all of your other efforts to sell the home will be meaningless.
The best online marketing, fantastic photography, beautiful brochures and fancy video tours aren’t going to mean squat if you help sell the competition by overpricing YOUR home. One of the sure fire ways to prevent your home from selling is to list it at a price that the market will not bear. Most people don’t like to overpay for any kind of purchase, never mind one as large as a home.
Selling a property can become an emotionally charged event. Many people think of their homes as an extension of who they are and their life time memories. Our homes are places where some of the most important events and memories in our lives occur. From holiday gatherings, birthday parties, the baby’s first steps, to simple things like family meals. These are all special things to many of us.
When selling a home however, you need to take the emotion out of it and think of it strictly as a business transaction. Trust me I know this can be hard to do!
Keep in mind that market value is determined by what a motivated and qualified buyer is willing to pay for your home, not simply what you feel it should be worth. Carefully looking at comparable sales data is very important. The last thing you want as a seller is to let “the days on market” become inflated. I can tell you with certainty every buyer will ask their Realtor how long has the home been on the market. Buyer’s do this because they want to know how much they can negotiate.
A home that has been on for a long time is inviting lower offers. Over the years I have met numerous sellers that have explained they want to try a higher price because they have all the time in the world to sell. Folks this is totally incorrect thinking. In Real Estate time is your enemy NOT your friend. The longer it takes to sell your home the fewer dollars you will be putting in your pocket.
Neglecting Necessary Home Repairs
In a challenging Real Estate market otherwise known as a “buyers market” the condition of a home becomes critical. In a tough Real Estate environment the homes that need work of the ones that take a beating at the negotiating table. Buyer’s today are spoiled.
They do not want to lift a finger. They want to move into their home and that’s it. They look for turn-key properties where the owner has taken pride in the property. Buyer’s today have plenty of choices and they know it!
If you put yourself in the buyer’s shoes for a moment it would probably be pretty easy to see why they won’t settle for a home they need to invest a significant amount of time and money into when they can go down the street and find something else without these headaches.
If you have a significant amount of issues be prepared for a second round of negotiations after the buyer does a home inspection.
Neglecting To Stage and Prepare For Sale
There are times where some folks just don’t have the money to make repairs for some major items. This is where the appeal and showing condition of the rest of the home become critical.
First and foremost the home should be cleared off all clutter and unnecessary items. The term “de-clutter” is one that is often used in Real Estate circles. If you have no where to put the items in the home to maximize the appearance I would suggest either putting them in storage or getting a temporary solution such as PODS. PODS are the containers that allow you to store items right on your property in a compact container.
Making sure your home shows well is an absolute necessity in a competitive market. For some excellent tips see Massachusetts home staging. If you don’t have the time or the inclination you may want to hire a professional home stager to take care of really putting the a nice showing touch to your home.
One of the things that will bring the biggest bang for your buck if needed is painting. First impressions are critical. A fresh coat of paint on walls and wood work can dramatically change a homes feel. You will want to stay as neutral as possible. Light earth tones work really well when selling a home. You want your home to appeal to the masses! This is the reason you will see many of the national home builders hiring professional decorators to assist with the design and staging details.
One last tip is to eliminate any odd decor items that may appeal to your unique sense of style, but which may appear strange to buyers.
Getting Hung Up On The Small Stuff
There are times in my career where sellers get worked up over some of the most minute issues. It could be the buyer has just rubbed them the wrong way and because of it they loose focus. A few times over the years I have seen sellers almost blow an entire deal over $500.
When you are selling your home you need to keep the big picture in mind rather than allowing yourself to get hung up on something small. Is it really worth blowing the sale over a cheap repair?
Turning A Business Issue Into An Emotional Issue
As previously mentioned a home sale is really just a business transaction, although it can often be difficult to make this distinction when you have so much of yourself and your finances invested into your home. On a number of occasions a client of mine just not personally like the people buying their home.
I have had to gently remind them that they will not have to deal with the buyer for very long and will soon be moving on with their lives. Don’t let your emotions prevent you from getting your home sold. If you don’t like the buyers, does it really matter as long as the terms are in your favor? Keep the big picture in mind and get to the closing table!
Trying To Sell For Sale By Owner
Nationally, over 80% of all homes listed “for sale by owner” end up failing to sell and then listing with an agent. Clearly, this is a very poor success rate which gets even worse in tougher times. There are a host of reasons why so many Massachusetts Real Estate for sale by owners fail. These include improper price, lack of marketing and accessibility to the home among others.
To be sure, there can be exceptions, such as when you are in a great area with high visibility such as a main road.
If you do decide to “go it alone”, keep in mind that you are responsible for screening everyone that sees the house, and for being available during the day for showings and then making sure the buyer is qualified. These are all details that a Real Estate agent can and will handle for you.
Choosing The Wrong Realtor
Other than over pricing your home the next biggest mistake that many consumers make is picking the WRONG Realtor to represent their best interest. The problem is that many people think all Realtors do the same things to sell homes. This could not be further from the truth! Trust me there are some great agents and others that are absolutely clueless.
If you choose the wrong Realtor to list your home, it is a difficult mistake to overcome during the sales process. If the agent has pushy or argumentative personality run the other way! Above all else choose and honest and ethical agent.
Some Realtors will mislead you by giving you an inflated value for your home in order to get you to list the home with them. They then brow beat your for price reductions for the remainder of the contract until the home sells.
Primarily, you want someone who is friendly, loyal, honest, and who has your best needs in mind. Having someone who knows market values inside and out is really important. The Realtor you hire should be making sure you understand what homes you are competing with and which homes have recently sold.
Lastly, an agent with great marketing skills is worth their weight in gold. Make sure the Realtor you choose knows how to market your home online This should be a critical piece of the agent selection process. Asking great Real Estate interview questions of the Realtor can go a long way in selecting a real pro!
Selling At The Wrong Time
Selling with bad timing can happen in a few different ways:- You decide to sell your home but have no where to go to.
- You put your home on the market immediately before you have to move.
- You decide to sell at the wrong time of year.
If you don’t have a clue where you are going to buy next, it is probably not the greatest idea to put your home on the market, unless you simply cannot afford your home anymore. The inevitable outcome of listing too soon is that you will get an offer from someone who wants to move into the home right away. You will then be forced to either reject the offer or move to temporary housing. The flip side of this is finding a home you love and then not being in a position to buy because you don’t have your home sold.
It’s never too early to contact a Realtor and ask when you should list with your particular needs and timing. We sometimes have clients who spend too much time getting their homes ready to sell, and they end up missing the big selling window in our market. Don’t spend an inordinate amount of time preparing your home for sale and end up missing the primary selling season. Here in Massachusetts the best time to sell a home is in the Spring.
Not Giving Buyers Access or Having Accompanied Showings
Not Giving Buyers Access or Having Accompanied Showings
Home buyers should not be made to work around your ideal schedule. If it is a reasonable time of day LET THEM LOOK. Even if things are in disarray, LET THEM LOOK. Even if the buyer’s agent doesn’t give you any notice, LET THEM LOOK. Every showing you miss is a lost opportunity that you many NEVER get back. I can’t even count how many times over the years where a seller refused a showing and a buyer never made it back to the house because they found something else before doing so!
Although we like Realtors to call for showings the day before they happen (or at least several hours ahead of time), there are times when a buyer will spot a sign or see something online and want to see it right away. Sometimes this is the home they end up buying. Keep that in mind when you have your home listed.
Make showing your home as easy as possible. DO NOT require accompanied Real Estate showings. Realtors do not sell homes. Homes sell themselves! A home purchase is an emotional transaction – NOT a sales pitch. Click the link to see why buyers do not need or want a listing agent present at the showing.
You should also vacate the home. At the very least go for a walk so the buyer can feel comfortable speaking to their agent in private. Buyers never feel at ease when you are in the home hovering around them. LET THEM LOOK on their terms. If you are concerned about valuables, lock them up somewhere. Most importantly a lock box is highly advisable! Don’t make a Realtor NOT want to show your home.
Buying The Wrong Home In The First Place
This is where a good buyer’s agent is necessary for a buyer to make a smart decision. After all at some point you will be probably be selling the home.
While you are certainly able to think on your own, an excellent buyer’s agent will advise you against buying something that is not a wise investment. Things like being near a hazardous waste site or close to a loud highway might not be good decisions. When it comes time to sell you will be glad you listened.
Following all these top home selling tips will greatly increase your chances for a smooth and effortless home sale. Best of luck!
No comments:
Post a Comment