Top 7 Mistakes To Avoid When Selling Your Home7/30/2015
Top 7 Mistakes To Avoid When Selling Your Home
While the housing market may swing up and down avoiding these 7 mistakes will make selling your home easier. The Allen Team are always here to help with advice on how to best stage your home for viewings, the best and most competitive pricing for your home based on many factors, and more. We can help you get the most for your home sale and get through the process smoothly. You can let us worry about the paperwork and the negotiations to get the best deal available.
If this is your first time selling a home in Michigan or if you're looking to increase your resale value these tips are definitely for you.
1. Don't... ask for too much money... or too little!
While you may know what you paid for your house (and especially what you still owe) your house's only real value is in what someone will be willing to pay for it. An asking price that is too high will scare away potential buyers and an asking price too low will cost you. Understand that there will likely be negotiations from the asking price and you might end up getting slightly less or slightly more.
Pro Tip: Talk to a Realtor who can provide a complete analysis of homes in the area, the school district, and other amenities, recently sold homes that are comparable to yours and their selling price, and other factors to determine the best asking price to list your house at. It is important to compare all of these factors when determining the asking price to avoid asking too much or too little.
2. Don't... skip the marketing.
You may think that listing your home (sale or rental) on Craigslist and sticking a "For Sale by Owner" sign out front are all you need to sell your house and make a profit. While this might have been true in the past with new technology available buyers expect the best when they're researching homes. According to the Pew Research Center, 44% of people surveyed said that they had used their smartphones to look for homes to buy.
Pro Tip: Get a Realtor to list your home. We [The Allen Team] have accounts with all the most popular real estate sites and access to the MLS (what Realtors use to search for homes). When we list your home we will place it on all the most popular sites, we will write up a great description of your home based on our experience with what buyers want to know, we will take the right pictures with a good camera and put them up on all the websites (research has shown that houses with only 1 or 2 photos get less showings). By using a good Realtor, you can get your house in front of more and better-qualified buyers.
3. Don't... go it alone... unless you're a pro.
Because of the liability involved, how much money is at stake, the disclosure laws (which vary by state), and the access a Realtor has it's really better for a seller who isn't a seasoned pro to work with a Realtor.
Pro Tip: We can offer discounts on insurance, we have an in-house Mortgage broker and title company, we have a full short sale team to help you through the legal process, and that's just the beginning of the resources we have. Not only that but we can research the buyers (or renters) for you and get things like a credit check before you even consider them. While using a Realtor to lease out your home may seem like overkill, since we're pro's at the paperwork we can actually save you thousands of dollars by closing up loopholes and keeping you and your investment protected.
4. Don't... neglect to fix things that are broken.
First impressions are everything when a buyer walks into your house and sees a long list of things that need to be fixed they will wonder what else has been neglected that they can't see. This is an easy way to lose money on your home - replacing a door or repainting a room can cost much less to fix than they will take off of your selling price.
Pro Tip: Have a Realtor come and walk through your home - we have experience with different requirements (certain loans require houses to have certain safety features) and what buyers are looking for and we can help you come up with a list of the most cost effective things to fix to get the most bang for your remodel buck.
5. Don't... leave your stuff everywhere.
Remember what I said about first impressions? Well if your personal items are strewn about the house the potential buyer won't be able to imagine themselves living there which is essential in getting them to make an offer.
Pro Tip: Tidy up the house and begin to declutter. You're going to be moving so thinning down your stuff will only make your life easier down the road. Once you've thinned out the clutter invest in a chest or a basket with a lid. The key is nothing visible (unless if has to be). Keep next to nothing on your counters, keep everything under lids or in drawers in the living room and bedrooms, and keep minimal decorations out. A Realtor can help you stage your home or if your home really needs some love (or is empty) a professional stager can help.
6. Don't... get offended by a lowball offer.
Home sales are negotiations - remember earlier when I said your asking price was just a starting point? Well their initial offer is a starting point as well.
Pro Tip: Talk to your Realtor about every offer and explain how you are feeling about it and why. Your Realtor can't read minds (no matter how cool you think they are) so they need you to explain what you're feeling. We can help you determine which offers are too low and which are a good deal for you and help with the negotiations.
Jeff (of the Allen team) just sold his house and got 99% of the way through the sale for it to stall out over something minor. He later sold the home to a different buyer, but the experience is one that can sometimes be avoided. If the buyer is willing to explain what their hesitations are (Jeff's didn't say) it is in your best interest to be as flexible as possible on the small things - especially with a good offer.
Pro Tip: Unless it's a family heirloom you can probably part with appliances or a hot tub if it solidifies the sale of your home. If there are certain things you absolutely can't live without - replace them before you show the house so that they never come up for discussion.
Contact Jeff & Michelle for more information on selling your home, tips on how to stage your home for showings, or a free competitive pricing analysis.
The Allen Team of Michigan