Our Real Estate Blog
Selling a home for the first time can be tricky. In fact, first-time home sellers often make mistakes that prolong the home selling process. Perhaps even worse, these errors may cause a home seller to miss out on opportunities to optimize the value of his or her residence.
Now, let's take a look at three common mistakes that first-time home sellers make, as well as ways to avoid these problems.
1. Setting an Unrealistic Initial Asking Price
Although you might have paid a hefty sum for your house a few years ago, what your home was worth then is unlikely to match its current value. However, if you set an unrealistic initial asking price for your residence, you risk alienating dozens of potential buyers.
Before you set a price for your house, it pays to perform plenty of housing market research. That way, you can see how your home stacks up against the competition and price it based on the current real estate sector's conditions.
Furthermore, you may want to conduct a home appraisal prior to listing your house. Following a home appraisal, you'll receive a property valuation to help you establish a competitive price for your residence.
2. Failing to Provide Full Details About Your House
No home is perfect, and a home seller who withholds information about his or her residence risks wasting precious time and resources. To better understand why this may be the case, let's consider an example.
If a home seller fails to include information about a faulty heating and cooling system in a home listing, a buyer will be unaware of the problem. A buyer then may submit an offer on this house that a seller accepts. But during a home inspection, a property inspector likely will discover the defective heating and cooling system, which leads the buyer to rescind his or her offer. And at this point, the seller will have to restart the home selling process from square one.
When it comes to selling a home, it helps to be honest. If you provide full details about your residence, you can help a buyer make an informed decision and reduce the risk of that a purchase agreement will fall apart after a home inspection.
3. Choosing an Ineffective Real Estate Agent
A real estate agent should have a seller's best interests in mind. As such, this housing market professional will collaborate with a seller throughout the home selling journey to ensure a seller can optimize his or her earnings.
Unfortunately, not all real estate agents possess the same skills. But if you evaluate a variety of real estate agents, you can increase the likelihood of finding one who matches or exceeds your expectations.
Employ a real estate agent with a proven reputation. And if you're uncertain about whether a real estate agent can help you achieve your home selling goals, it usually helps to request client referrals from this housing market professional.
Streamline the process of selling your home – avoid the aforementioned first-time home seller mistakes, and you can boost your chances of enjoying a quick, profitable home selling experience.
Selling a house should be quick and easy. Yet issues may arise that make it tough to enjoy a fast, profitable house selling experience.
Common problems that come up during the home selling journey include:
1. Lack of Curb Appeal
Dedicate time and resources to bolster your residence's curb appeal – you'll be glad you did. Remember, your residence only gets one chance to make a positive first impression on homebuyers. If your house impresses buyers when they see it for the first time, buyers may continue to pursue your home and submit requests to view your residence in-person.
To improve your house's curb appeal, you should mow the lawn, trim the hedges and perform various home exterior upgrades. Take an objective view of your home's exterior to identify any problems that may make buyers shy away from your residence. Then, you can correct these issues.
2. Initial Asking Price Is Too High
If your home's initial asking price fails to account for your house's condition and the current state of the real estate market, you may struggle to sell your residence. In fact, in this scenario, it may be many weeks or months before you receive an offer to purchase your residence.
Before you list your house, you may want to conduct a property appraisal. This enables you to receive a home valuation from a property expert. With this valuation in hand, you can set a competitive initial asking price for your house, thereby increasing the likelihood of a quick home sale.
3. Buyer's Market in Place
In a buyer's market, there may be an abundance of available houses and a shortage of property buyers. Thus, if a home seller is not careful, this individual may struggle to achieve the best-possible results.
Analyze the real estate market closely, and you can differentiate a buyer's market from a seller's one. If you find that homes linger on the real estate market for many weeks or months before they sell, you likely are preparing to enter a buyer's market. As a result, you'll need to go above and beyond the call of duty to differentiate your house from the competition.
When it comes to selling a house in a buyer's market, it may be beneficial to hire a real estate agent. This housing market professional can help you craft a plan that ensures you can seamlessly navigate the home selling journey, regardless of the current real estate market's conditions.
A real estate agent first will meet with you and learn about your home selling goals. He or she next will develop a personalized home selling strategy and promote your residence to prospective buyers. And if you receive an offer to purchase your house, a real estate agent will help you review this proposal and determine the best course of action.
Take the guesswork out of the home selling journey – collaborate with a real estate agent, and you can get plenty of help as you get ready to sell your residence.
For those who want to sell a house as quickly as possible, it often helps to think about what will happen after you list your residence. That way, you can plan ahead for the home selling journey and minimize the risk of potential roadblocks that otherwise may prevent you from achieving your property selling goals.
Ultimately, there are many questions for a seller to consider before listing a house. These include:
1. What makes my home unique?
No two houses are exactly alike, yet differentiating one home from another in a competitive real estate market may prove to be difficult. Fortunately, a seller who understands a residence's strengths and weaknesses can determine what makes his or her house unique. This seller then can develop a strategy to promote his or her residence to the right groups of prospective buyers.
Sometimes, it is beneficial to conduct a home inspection prior to listing a residence. With an inspection report in hand, a seller can analyze a house's strengths and weaknesses. This seller next can use the inspection report to prioritize home upgrades and find innovative ways to differentiate his or her residence from the competition.
2. How much is my home worth?
What you originally paid for your home is unlikely to match your residence's current value, regardless of when you bought your house. Thankfully, you can conduct a home appraisal to receive an accurate property valuation.
A home appraisal frequently helps a seller establish a competitive initial asking price for his or her house. After a home appraisal, it takes only a few days for a seller to receive an appraisal report. And once this report becomes available, a seller can use it to set an aggressive price for his or her house – something that may help this residence generate lots of interest from potential buyers.
3. Do I need to hire a real estate agent?
Hiring a real estate agent may be crucial, particularly for a seller who is uncertain about how to navigate the property selling journey. A real estate agent will help a seller develop a plan to quickly sell his or her house. Plus, a real estate agent will do whatever it takes to help a seller optimize his or her home sale earnings.
In addition, a real estate agent wants to help a home seller make informed decisions. He or she will educate a seller about the local housing market and ensure this individual understands all aspects of the home selling journey. And if a seller ever has concerns or questions during the home selling process, a real estate agent can provide immediate responses.
When it comes to selling a house, it is beneficial for a seller to prepare for the property selling journey. If a seller knows what to expect after he or she lists a residence, this individual can plan accordingly. Perhaps most important, a seller can map out the home selling journey and take the necessary steps to ensure a quick, seamless and profitable property selling experience.
The good news: a homebuyer has made an offer on your house and is ready to purchase it as quickly as possible. On the other hand, there's the bad news: this homebuyer has many requests that need to be fulfilled to finalize a home sale.
Unfortunately, a stubborn homebuyer can put a home sale in jeopardy. But a home seller who understands how to deal with a stubborn homebuyer effectively may be able to boost his or her chances of a seamless property sale.
Now, let's take a look at three steps that every home seller can use to deal with a stubborn homebuyer:
1. Focus on the End Results
For most home sellers, the end goal of selling a home is getting the best price for your residence, regardless of the current real estate market's conditions. As such, if you remain focused on your ultimate goals, you may be better equipped than others to deal with a stubborn homebuyer.
If a stubborn homebuyer submits a variety of requests, allocate the necessary time and resources to consider each request closely. Then, if you find the requests are overwhelming, you can always submit counter-proposals.
Lastly, don't forget that you can always walk away from a home selling negotiation that appears to be going nowhere. And remember, if a negotiation with a stubborn homebuyer goes south, you can relist your residence and restart the home selling journey.
2. Consider the Homebuyer's Perspective
Why is a homebuyer acting stubborn? Open the lines of communication with a homebuyer, and you may be able to find out the root of a property buyer's stubbornness and proceed accordingly.
A homebuyer may have concerns or questions about buying your residence. Fortunately, if you maintain open lines of communication with a homebuyer, you can address these concerns and questions without delay.
Also, be aware of the homebuyer's perspective as you proceed along a property selling negotiation. Although a homebuyer may make requests along the way, it is important for you and a property buyer to find common ground. If you feel uncomfortable with a homebuyer's requests, you should be unafraid to walk away from a home selling negotiation altogether.
3. Ask a Real Estate Agent for Extra Help
If you're unsure about how to approach a stubborn homebuyer, there is no need to worry. Conversely, meet with an expert real estate agent, and you can find out how to move one step closer to getting the best price for your residence.
An expert real estate agent will be happy to provide honest, unbiased recommendations about how to collaborate with a stubborn property buyer. Next, you and a stubborn homebuyer can work together to complete a home sale.
Plus, an expert real estate agent may act as a liaison between a property seller and buyer. This housing market professional can learn about both sides and what they are looking for in a home sale and take the necessary steps to deliver the ideal results for all parties involved.
Take the guesswork out of dealing with a stubborn homebuyer – use these tips, and you can boost your chances of navigating a successful home selling journey.
If you receive an offer to purchase your home, you may have only a limited amount of time to decide whether to accept this proposal. As such, there are several factors you'll want to consider to determine whether to approve an offer to purchase your home. These factors include:
1. The Price of Your Home
If you established a competitive initial asking price for your home, you should have no trouble determining whether an offer to purchase falls in line with your expectations. Thus, if an offer to purchase your home is at or above your residence's initial asking price, you may want to accept a buyer's proposal and move forward with a house sale.
Of course, if an offer to purchase your house falls below your residence's initial asking price, you should still evaluate the proposal closely. If you feel the offer to purchase is the best proposal you might receive, you may want to accept it.
2. The Current State of the Local Housing Market
Examine the current state of the local housing market – you'll be glad you did. If you discover you are operating in a buyer's or seller's market, you can assess an offer to purchase your home accordingly.
If you find a buyer's market is in place, you may be more inclined than ever before to accept a competitive offer to purchase your home. Because in this market, the number of sellers exceeds the number of buyers, and rejecting a homebuying proposal does not guarantee you will receive better offers to purchase in the near future.
Comparatively, if a seller's market is in place, you may want to take a wait-and-see approach to any offers to purchase your residence. In this market, the number of buyers exceeds the number of quality houses available. As a result, you may receive dozens of offers to acquire your residence if you wait for the local housing market to develop.
3. Your Home Selling Goals
You should feel good about accepting an offer to purchase your house. Therefore, if an offer to purchase enables you to achieve your home selling goals, you may want to accept it sooner rather than later. By doing so, you can take the next step to finalize your house sale.
As you debate how to proceed with an offer to purchase your house, you may want to consult with a real estate agent too. This housing market professional may be able to offer housing market insights that you won't find anywhere else. Plus, he or she can provide honest, unbiased home selling recommendations. And if you ultimately decide to accept an offer to purchase your residence, a real estate agent can guide you along the final stages of the property selling journey.
There is no reason to settle for a subpar offer to purchase your house. But if you consider the aforementioned factors, you can make an informed decision about whether to accept, reject or counter a homebuying proposal.