Is it possible to sell your home in a reasonable marketing time frame?
The answer is absolutely "YES!" But YOU NEED TO FOLLOW these 10 Important Home Seller Guidelines for a Shifting Real Estate Market -
1. HOW STRONG IS YOUR MOTIVATION TO MOVE?
2. HOW MUCH EQUITY DO YOU TRULY HAVE IN YOUR HOME TODAY? If your Projected Home Equity is low, and you have little additional savings for your new home, you might not be able to gather together enough of a down payment on your new home to qualify for a new home mortgage loan. It's important here to be true to yourself here - and trust the candid advice of your real estate and lending professionals.
3. PRICE YOUR HOME CORRECTLY - RIGHT FROM THE START! We often plead with our clients - despite what your friends, family, and elder parents might advise you - today, do not "test the waters" with a higher than market price, thinking you can "always come down" in negotiation. Take a close look at the SOLD prices (not the ASKING prices) of comparable properties within a tight, three-month maximum time frame, and include the comparable data of houses in historically-more-expensive neighborhoods a little further away. Use these guidelines as your ABSOLUTE MAXIMUM PRICE. Depending on your timing, the condition of your home, and your specific needs, it might be prudent to set your asking price SOMEWHAT LOWER than these comparable properties, to ensure a faster sale, for close to your asking price.
4. STAGE YOUR HOUSE PROPERLY! Home Staging involves preparing your house for sale so it creates an instant positive impression. It involves a number of steps. First, furniture must be selected and arranged to make the rooms appear larger. Room lighting is CRITICAL - brightly-lit rooms appear much larger than those lit dimly. Also, SPARKLING CLEAN and CLUTTER-FREE are absolute imperatives! Homes with less-than-pristine housekeeping will generate a "let's move on" response from potential buyers. I will be happy to provide you with a number of skillful and qualified Home Stagers you can talk to ... just ask me!
5. HAVE YOUR PROPERTY SHOWABLE AT ALL TIMES, AND WITH SHORT NOTICE! Today, with scheduled showings fewer in number, and qualified home buyers at a premium, you will never know if that showing you refused because "you're tired," or "it's inconvenient" might have been the perfect buyer that you threw away.
6. NEVER REJECT AN OFFER TO PURCHASE - EVEN IF IT'S A LOWBALL! Don't get me wrong - I'm not advising you to become a pushover. But, please COUNTER OFFER EVERYTHING, and don't take low offers from any buyer personally! Remember, there is no sin in saving money, and buyers - perhaps even YOU, when you buy your next home - might be inclined to "test" with a low offer, while maintaining every intention to INCREASE THE OFFER if necessary. Even if your Real Estate Professional advises you to counter a low offer with one close to your asking price - COUNTER ALL OFFERS TO PURCHASE - NEVER REJECT OUT OF HAND!
7. LOWER YOUR PRICE QUICKLY, AND SYSTEMATICALLY, UNTIL YOU RECEIVE AN OFFER! Every property, in any kind of market - weak or strong - will sell eventually ... AT THE RIGHT PRICE! Often, however, it may take time to find the correct price level. If there are no offers within the first TWO WEEKS your house is on the market, REDUCE YOUR ASKING PRICE A MINIMUM OF 2% until you receive an offer. Continue this pricing strategy until the house goes under contract. Always maintain a "price lower, then stay firm," mentality. My advice: I would rather have you counter offer a lowball offer, than keep your price too high and receive no offers at all on your homel!
8. FSBO - NO GO! Are you considering selling by-owner? You'll save Real Estate Fees - yes? DEAD WRONG! In most cases, buyers looking at For Sale By Owner (FSBO) properties offer far less on these homes than those represented by a Professional, Full-Service Realtor. Why? FSBO Buyers want to save the same money YOU want to save by flying without Professional Realtor Help. They will offer less, and attempt to nickel-and-dime during Home Inspection periods. Many by-owner buyers delay closings, or raise final walk through issues. Also, in today's more stringent lending environment for home buyers, many FSBO Buyers have flaws in their credit credentials and pre-approval. This could doom a sale very close to the time of closing!
9. GET YOUR HOME SOLD FIRST - THEN, START LOOKING FOR A NEW ONE! Today, unfortunately, many of our seller clients are finding their ultimate sales price is often quite a bit lower than what they originally projected. If you purchase your new home FIRST, you are completing the move process IN REVERSE - you purchase your new place without knowing exactly how much you'll be walking away with on your old one. The seller of your new home will read that risk, and negotiate for more money, versus your likely price if you sold first, when you purchase to cover the perceived risk. Those buying before the sell often find themselves lowering the sales price of their old house by an even greater amount, to avoid losing the new home on a Home Sale Contingency Contract. To our clients, we always advise to SELL FIRST, then NEGOTIATE POST-CLOSING POSSESSION on your old home, and then - ONLY THEN - seek out your new home. I would be happy to explain how this would work for you!
10. DON'T MAKE COSTLY, UNNECESSARY IMPROVEMENTS ON YOUR OLD HOME! Yes, it is a beauty pageant in a price war type of market, however, over-improving a home for sale can get very costly, very quickly! My experience in selling homes over the past 20 years suggests most of these late-improvement investments have a negligible impact on the ultimate sales price of the home! Yes, some repairs should be completed - a defective hot water heater needs to be replaced, a running toilet needs to be repaired, a leaky roof must be made leak-free, a total paint job can sometimes reap huge benefits. However, in most cases, costly pre-sale home improvements or extensive decorating is truly not necessary to sell! In most cases, KEEP YOUR WALLET IN YOUR POCKET regarding most improvements when it is time to sell.
I hope this Checklist for Home Sellers is helpful. Remember, as well, I am always available for questions and consultation for any Oshawa or Durham Region neighbourhood you are interested in. Just let me know!
