It’s important that you know the facts before you sell your home if you’re serious about it. Selling a home may seem as simple as putting it on the market, showing it to a few buyers, and closing the deal – but as many sellers learn, it can be an expensive, time-consuming and difficult process. It’s important to know some valuable information about the real estate industry and some tips and tricks for selling your property so that you can more effectively tackle the real estate market of today.
Mistakes Sellers Make When Selling a Home
Since you’ll be competing with hundreds of other homes, selling your home can be difficult. When it comes to selling a home, you must know what works and does not work. Here are the most common mistakes made by home sellers.
1). Setting the Wrong Price for Your Home
There is no doubt that the right price sells a house faster than anything else. Buyers are discouraged when the listing price is more than 5% over market value. In other words, an overpriced home scares away potential buyers who think they can’t even afford to look. When buyers do look at an overpriced house, they know they can get a better deal elsewhere.
2). Selling the Wrong Way or Choosing the Wrong Agent
You should select a real estate agent with your best interests at heart if you decide to work with one. According to the Raymond Kang Real Estate Agent, Some agents charge a flat fee, while others charge a percentage of the sale price. Commissions can be negotiated by sellers. Ensure you’re getting the most bang for your buck by interviewing potential real estate agents. Verify their licensing and credentials, speak with past clients, and ensure they have plenty of experience in the area and price range you are looking for.
3). Selling Home in ‘As-Is’ Condition
In today’s market, most buyers won’t even consider a home that needs work. When it comes to the bottom line, a sparkling showcase home sells for top dollar. Most buyers want a home that is in move-in condition, one that looks as good as a model home. A buyer who is willing to carry out repairs after moving in automatically deducts the costs of repairs from the price they offer. Either way, you do not save anything by putting off fixes, and you likely slow down the sale of a home.
4). ‘Curb Appeal’ is Not Important
The first impression of home counts for only one. That’s why “curb appeal” is so important. Most buyers fall in love at first sight–or not at all. In the absence of curb appeal, chances are the first impression will not be enhanced by a perfectly planned floor plan or tastefully decorated interior. Beautify the street view of the house, including the lawn, shutters, shrubs, windows, and front door. Make your home more appealing with a wreath on the door, potted flowers outside, and brass outdoor lighting fixtures.
5). Selling Without a Professional
It could be disastrous to act alone like General Custer. If you don’t have a professional advisor, you probably will not sell. Even if you sell yourself, surveys show sellers who use a real estate agent usually net more money per sale. When a home is on the market, you should work closely with the listing agent. You’ll find that agents do a lot more than most people realize–from bringing qualified buyers to keeping settlements on track.
6). Home Over-Improvement
If you are getting your home ready for sale, you should fix whatever needs fixing. However, a major project could cost more than you would recover from the sale. You simply drain your pocketbook by spending too much on remodeling. Don’t expect to recoup the entire cost of your improvements if they will increase your home’s value by more than 20% over the average neighboring homes.
7). Being Unaware of Your Rights and Obligations
Signing a contract to sell your property is a complex and legally binding document. You may lose thousands of dollars if you use an improperly written contract. You should have an experienced REALTOR explain the contract in detail before signing it.
8). Ignoring Your Broader Financial Situation
A lot of sellers don’t have a clear understanding of their financial situation before selling. This can result in unpleasant surprises. It may be helpful to estimate your income, debt, and any upcoming moving expenses before you decide to sell. If you are unsure how much you owe on your current home, contact your bank or a mortgage advisor. Your target sale price, the total selling costs, and your target sale price will give you a general idea of how much money you may walk away with.