5 Home Selling Secrets
1. Declutter and Make Updates that Will Help Your House Sell
The best agent paid the highest commissions won’t sell a house if it’s not presented well. Proper preparation coupled with the best pricing strategy is CRITICAL– and will have a large impact on the bottom line of your settlement statement at closing.
One of the best places to start before contacting a real estate agent is to read and implement Caroline Carter’s book “Smart Moves: How to Save Time and Money While Transitioning Your Life.”
2. Hire an Appraiser
This may sound counter-intuitive… this is the real estate agent’s job, right? Yes, a real estate professional can provide a market analysis and a suggested price range. However- interview three agents and you will most likely be shocked at the difference in suggested listing prices. An appraiser however, undergoes stricter standards and is held to a higher level of accountability than an agent who may tell you your home is worth $20k more in order to get the listing (ask any agent, it happens far too often). An appraisal of value takes away the guess-work.
3. Hire an Inspector and Make Needed Repairs
Again, this is often not suggested by an agent, especially as in most states you must reveal an inspection has been performed in the Seller’s Disclosure. However, it will allow a seller the opportunity to address any red flag issues and minor repairs before listing. This not only prevents surprises at the buyer’s inspection, a clean report give you leverage in any negotiations. (I recently sold my home and after the buyer’s inspection, they asked to reduce the price an additional $4000! But because I knew they were bluffing, I suggested they ask their agent to rebate it from her commission- they settled with her for $1000). Knowledge is power.
4. BEFORE Hiring an Agent, FIRST Check with your ‘Sphere of Influence’
It’s not unusual for sellers to find out a friend or acquaintance is interested in their home after they have agreed to pay a real estate agent. So once you’ve interviewed a few agents and have an idea of the correct market price, but before signing a listing agreement, consider hiring a professional home photographer (you can later negotiate this cost with an agent but typically it’s less than $200) and share photos on social media or host a neighborhood coffee and offer a gift card to anyone who shares with their sphere of influence. Offer your home at a purchase price below list price but one that creates a win for both buyer and seller. On a $500,000 house a seller could save as much as $30,000 of their hard-earned equity!
5. When Listing, Determine the RIGHT Commission and Marketing Strategy
Of course, not everyone has time, interest or will be successful in marketing their home themselves. But it is critical when ready to sell to take into account that every home and seller is unique– and therefore needs a tailored strategy. Technology has changed the industry drastically and sellers now have an array of options. But, they MUST know the questions to ask to determine the right strategy and commission structure for their particular situation to ensure the highest NET price. Sellers need to know the questions to ask to determine if they need a full-service 6% brokerage, a flat-fee no-frills brokerage, ibuyer service... or something in between.
If your home is priced to sell and staged properly, a full-service 6% commission is probably overpaying. But if your home has challenges, paying less for someone to do little more than stick a sign in the yard will actually cost you more in the long run than hiring a full-service brokerage. And then there are sellers who don’t need to pay commissions at all IF they have a home that will easily sell and the time to tap into their own sphere of influence.
Knowing the questions to ask to find the right selling strategy can prevent a homeowner from spending thousands of their hard-earned equity unnecessarily.
If you’d like to know more, let’s connect!