When you’re getting ready to put your property on the market, there is a myriad of things to think about, to prepare for and to organize. Here’s a short list of some of the pitfalls to watch out for.
DEADLY MISTAKE NUMBER 1 – PRICING INCORRECTLY
Every seller wants to get as much money as possible when they sell their home. But a listing price that is too high often gets less than a price that is market value. If your house is not priced competitively, people looking in your price range will reject your house in favour of other, larger homes. At the same time, the people who should be looking at your house will not see it because it is priced over their heads. Overpricing usually increases time on the market, and that adds to the carrying costs. Ultimately, many overpriced properties sell below market value.
To help avoid this, I offer my experience and knowledge of the real estate market in your neighbourhood. I will prepare an accurate analysis, free of charge and then will personally consult with you to discuss my findings. With this free consultation you will learn:
- Whether or not you should select an agent based on selling price.
- The difference between cost and selling price: this effects you if you’ve invested a lot of money into your home.
- What is meant by “Market Value”
- How the asking price is set.
- Whether or not it is a good idea to “try it for a while” at a higher than market value price.
- …Plus many more secrets!
Once you learn these principles, you will know how to sell your house for the best price. Not only that, you’ll know how to avoid paying too much for any house you buy for the rest of your life! Just call my office and ask for me to set up a time for your free personal consultation.
DEADLY MISTAKE NUMBER 2- FAILING TO SHOWCASE YOUR HOME
Buyers look for homes, not houses, and they buy the home in which they would like to live. Owners who fail to make necessary repairs, who don’t spruce up the house inside and out, touch up the paint and landscaping, and keep it clean and neat, chase buyers away as rapidly as Realtors can bring.
If you were selling a car, you would wash it, or maybe even have t professionally detailed to get the highest price. Houses are no different! Take the time to prepare your home and call me for advice! My experience with buyers has taught me what buyers are looking for.
DEADLY MISTAKE NUMBER 3- USING THE “HARD SELL” DURING SHOWINGS
Buying a house is an emotional decision. People like to “try on” a house to see if it is comfortable for them. It is difficult for the to do that if you follow them around pointing out every improvement that you have made. It may even have the opposite effect you want. By making them feel they are intruding on your private space, or by your mistakenly pointing out something this particular buyer would consider a negative. Resist the temptation to talk the entire time a buyer is there…let them discover things on their own. Try a tasteful sign posted on a door or wall to point out a hidden amenity that they might miss.
DEADLY MISTAKE NUMBER 4- MISTAKING LOOKERS FOR BUYERS
“For sale by owners” occasionally get more activity than houses listed with an agent. Realtors will only bring qualified buyers, and these may be less than if you opened your front door to anyone walking down your street, or calling on your ad. A qualified buyer is one who is ready, willing and able to buy your home. We find that most people who go looking at For Sale Buy Owners are just starting to think about moving. The may be good buyers, but they call the “By Owner” ads to get a feel for what is available. Many potential buyers may have a house to sell first, or may need to save money, or may have credit problems. When everything is in place, then they go looking for a realtor.
Kimmé Myles will ask a buyer how much they car really spend on a house, how much they have to put down, how good their credit is, how much they can pay each month, how much they will realistically realize when they sell their present home and more! This avoids a parade of “Sundays Shoppers” drifting through your home, with a dream to own a home someday.
DEADLY MISTAKE NUMBER 5- NOT KNOWING YOUR RIGHTS AND OBLIGATIONS
Real estate law is expensive and complex. The contract for purchase and sale is a legally binding document. An improperly written contract can cause the sale to fall through, or cost you thousands for repairs, inspections, and remedies for items included or excluded int he offer. You must be certain which repairs and closing costs you are responsible for. You must know whether the property can legally be sold “as is”, and how deed restrictions and local zoning will affect the transaction. If there are defects in your title or if your property is in conflict with local restrictions, you or your Realtor must remedy them, or you might have to pay substantial damages.
Hiring a professional real estate agent like Kimmé Myles to represent you can alleviate many of these concerns. She will take the time to discuss possible problems that may occur and will work to remedy those problems with little or no hassle to you.
DEADLY MISTAKE NUMBER 6- LIMITING THE MARKETING AND EXPOSURE OF THE PROPERTY
The two most obvious marketing tool (open houses and classified ads) are only moderately effective. Surprisingly, fewer than 3% of homes are sold at an open house. Agents use them to attract future prospects, not necessarily to sell your home. Advertising studies show that fewer than 10% of people purchased their home because they called on an ad. Ad if a machine answers that call, most callers just hang up without leaving a message.
Kimmé employs a broad spectrum of marketing activities, emphasizing the ones she believes will work best for you and your particular property. There are many more effective ways to find buyers than just open houses and advertising in the paper and online. By the way, did you know that most calls some in during business hours when vendors are away at work, and many home showings are between 9:00-5:00 Monday through Friday?
DEADLY MISTAKE NUMBER 7- BELIEVING THAT A BANK MORTGAGE APPRAISAL IS THE MARKET VALUE OF YOUR HOME
An appraisal is an opinion of value for a certain purpose. If the lender wants to lend you the money, they are motivated to have the appraisal come in high. The appraiser may ignore foreclosure or distress sales in order to justify the higher value. But a real buyer in the real world will not ignore these properties. Other properties that have sold or are on the market are your competitors when you try to sell.
Don’t always assume that the value you were told even six months ago when you re-financed your house is what a real buyer would pay today. Ask Kimmé for a free and accurate market analysis of your home. Remember to study ALL comparables sold in your area then you decide.
DEADLY MISTAKE NUMBER 8- CHOOSING THE WRONG REALTOR (OR CHOOSING FOR THE WRONG REASONS)
It may be that you don’t interview people very often. Yet, in order to find the representative who is right for you, you may interview several. The quality of your home-selling experience is dependent upon your skill at selecting the person best qualified.
It is interesting that in the real estate business, someone with many successfully closed transactions usually costs the same as someone who is inexperienced. Bringing that experience to bear on your transaction could mean higher price at the negotiating table, selling in less time and with the minimum amount of hassles.