Avoid These Mistakes When Selling Your Home
Inaccurately pricing
It’s important to remember that the local real estate board’s multiple listing system (MLS) keeps track of sales in your neighborhood. The value of your home compared to other recently sold homes nearby is determined by factors such as condition, amenities, and location. While third-party websites like Zillow or Trulia may seem like a convenient way to get an accurate estimate, it’s essential to consider all these factors for a precise evaluation. Relying solely on these websites may cost you money and create headaches. It is recommended to consult with licensed and experienced realtors or local appraisers.
See Accurate pricing: the key to selling your home
Lowest commission
It is crucial to understand that hiring a realtor who offers the lowest commission is not wise. Such realtors may not provide you with the necessary skill, care, and diligence in the transaction. Instead, it is recommended to go for an experienced agent who has negotiated millions of dollars of sales in residential contracts. Such an agent can help you get the best price for your property and ensure a smooth transaction. Don’t be fooled by agents who cut their commission to get the listing. They might not be the best negotiators and might shortcut you to obtain their commission. Choose an agent who can provide you with the best service and value for your money.
Real Estate Fallacies
Many people falsely believe that they can get the sale price they want for their home by listing it above the price they want to net. However, there are more realistic approaches. It’s best to list your home at market value, which will generate the most interest in the first few days on the market. This is because buyers are very knowledgeable about the market value of homes they are searching for, having viewed many homes that are your competition for sale. If you overprice your home, you may appear unreasonable or dishonest, which could deter potential buyers. On the other hand, listing your home at market value gives buyers the chance to compete for the purchase through their ability to purchase. This will ensure you get the most money for your home and a quick sale with minimal hassle. Remembering that the goal is to get the most money while making the selling process as smooth as possible is always important.
Skipping the home inspection
Another common mistake sellers make is not getting a home inspection before listing their property. Realtors and sellers are not home inspectors, so it’s crucial to have a pre-selling inspection. This type of inspection examines four significant systems: roofing, electrical, plumbing, and HVAC. It provides a direct insight into the current condition of your house, which can help you identify any necessary repairs before you list your property. This can reduce the amount of stress that both the seller and buyer will experience during the selling process. By getting a pre-selling inspection, you can ensure that your home is in good condition and ready to sell.
Not decluttering
It’s really important to declutter your home before putting it up for sale. You should start by sorting your belongings into three categories – keep, toss, and sell. It can be overwhelming to box up everything you own, so it’s best to only keep the items that are truly important to you. If you haven’t used something in years, it’s safe to say that you don’t need it. Selling the items you no longer need can be a great way to make some extra money and reduce the amount of stuff you have to move. Many people find that having a yard sale is a good way to get rid of unwanted items while also determining what they want to keep. Remember, this is an excellent opportunity to start fresh and simplify your life!
Avoiding the obvious
It’s a good idea to keep in mind that two relatively easy and inexpensive items to solve when it comes to home improvement are paint and carpet. It’s crucial to make an excellent first impression on your home. If you need help deciding what colors to paint your walls, a good rule of thumb is to visit a builder and get a copy of their color schemes. If you have kids, it might be difficult to remove their favorite themes from the walls, but it’s worth considering making your home more appealing to potential buyers.
I remember hearing from a friend who sells homes that if a seller picks a non-neutral color, he often asks them, “Are you planning on staying?” Once you have painted the walls, pay attention to the garage. A clean garage floor can make a huge difference, so consider using an acrylic stain. Next, think about replacing the carpet. Your local builder will have a variety of samples to choose from. If you can’t paint or replace the carpet, consider cleaning the carpets professionally and washing down the walls and doors.
Messy house
Packing and moving takes a lot of physical and emotional energy. Sometimes, that task is overwhelming, and there is not much energy left to make the house sparkle clean. A solid day or two of deep cleaning can make your home feel fresher and more inviting to potential buyers. Make sure to clean every nook and cranny, including the windows, floors, walls, kitchen cabinets, closets, appliances, and bathrooms. A sparkling clean home is more likely to attract potential buyers and fetch a higher price in the sale. If you don’t have the energy to clean it, hire a cleaning service. Hiring a service has been a secret weapon I have used for years to give a house curb appeal.
Failure to stage
There is a reason builders stage their properties for sale: it gives buyers visual reference so they see themselves living in the space they are buying. Leave open spaces, make room, if you need to, purchase plastic tubs and put belongings in them, and stack them neatly in the garage. Do the same for the outside of the house; it is incredible how this free step makes all the difference in the world.
Where to?
If you are selling home “A” to buy home “B,” you could experience a level of stress you have never imagined. Why? Underwriters and inexperienced buyers and their agents make silly mistakes. Here is the reality: when an agent puts a closing date on a contract unless it is cash, they cannot control the underwriter, i.e., the person who decides if the lender will lend the buyer the money to purchase your property. Now, repeat this process for the home you are buying; add to it the seller’s life situation. There can be a lot of moving parts. However, an experienced realtor will understand this and have contingency plans well thought-out ahead of time and hopefully, you have discussed these with them at great length.
Worse case scenarios-You have a contract on your house to sell it, you have a contract on the home you are purchasing, you are packed and waiting for the “clear-to-close” from both parties and suddenly your buyer’s underwriter finds some final stipulations that will delay the closing a few days, now what? You asked your seller for an extension. However, that seller is also selling to move and buy, and the seller of the home they are purchasing cannot extend, have a contingency plan!
And finally, the top mistake sellers make…
Taking negotiation personally
When a buyer makes an insultingly low offer or asks for something outrageous in the seller’s mind, that is the time to detach, assess, and come back with your strategy to “get the most money, quickest sale for the least amount of hassle.” When asked, “why are you selling?” The answer is “to get the money.” When a seller starts to (and they will) point out every material defect of a fifty-year-old house, the answer is simple: the best practice is to smile and always confidently say, “I have a realtor handling all those questions; that’s what they get paid for…” Don’t let the buyer get into your head; it is just a tactic. Don’t endlessly debate negative criticism of your property. Give your realtor a chance to make counteroffers, and keep the goal in mind: to get the most money, the quickest sale, for the least hassle.
John Keller has been a licensed realtor since 2002, has a master’s degree from Liberty University, specializes in Strategic Communications, and has earned the Seniors Real Estate Specialist Designation. “I am in the business of people; it is my honor and privilege to serve others.”
