Getting the best price as quickly as possible.
In order to get the best price in the shortest time, you will need to do your homework so that you can market your home. The better you market your home, the more offers you will get. The more offers you get the more opportunities you have to get the price and/or terms you want.
The key factor in marketing your home is the price. Your price should be in line with the market value and similar properties in the area. You will get more people to view your property by offering a fair price instead of having your property set too high.
Another big factor is the condition of your home. Make sure your home looks ready to be sold. Pack away anything you don’t need and clear out the clutter in every room. Fix any defects like faded paint, cracks, stains, etc. The condition of your home can make a big difference in how fast it sells.
Not only should you fix any defects, but you may want to consider making major repairs and cosmetic improvements before selling. Making improvements can increase the value of your home or help it sell faster.
Finally, ask what people think about your home. If you are listing with a Realtor, ask them to get opinions from other agents who have shown your home. If you are not using an agent, and you host an open house, ask everyone what they liked and didn’t like about your home. If you list your house with an agent, make sure your house is listed on the Internet. On your own, get the word out. It should be obvious to anyone passing by that your home is for sale. Whether you use signs and local ads, or tell your friends, family, and acquaintances – every little bit helps.
First impressions are important.
You want buyers to be interested in your home the moment they see it. It needs to be in the best condition at all times while it is listed. A first impression can influence a buyer to make an offer or continue looking elsewhere. A good first impression influences the buyer on an emotional level. In addition, what the buyer first sees is what they will think of when they consider the asking price.
A bad first impression will most likely discourage potential buyers. Don't show your property until you are finished with repairs. You do not want to give buyers the chance to use the negative impression to try to lower the asking price or use it as a means of negotiation.
Ask for opinions on your home. One of the best opinions you can get will come from real estate agents who see properties every day. They can give you good advice on what needs to be done to your home. Architects and landscape designers are especially good people to ask for an opinion because your home’s landscaping is one of the first things buyers see. You need to get objective opinions. It is hard to separate the personal and emotional ties you have for the home, to see the property itself.
Here are some of general fix-ups that should to be done on both the outside and inside of your home:
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Landscaping: How do your front and backyard look? Do areas need improvement? Is it well kept? Can you see the house well from the street during good conditions?
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Driveway: Make sure your driveway is not cluttered with tools, trash, toys, etc.
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Painting: How does the exterior and the interior paint look? Is it cracked, peeling?
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Carpet: Does it have stains or marks? Does the carpet look dirty or old?
Know your selling points.
Ask most real estate agents and they will tell you that the most important selling points are:
- Kitchen
- Master bedroom
- Master bathroom and additional bathrooms
You want to make sure these three key spots are in good condition; they could make or break a deal. Make sure to consider these locations when planning any upgrades.
Know why you are selling.
If you know exactly why you’re selling, then it is easier for you to set the right price for your home.
If you need to sell as quickly as possible, then you should know that getting the highest price can’t be one of your highest priorities. It does not mean that you won't or can’t get your asking price, but it means that the price is not your deciding factor. A buyer who is pre-approved and can give you a quick closing time will be more appealing to you than a buyer who can offer you more money but the negotiation and closing time could take longer.
It is good to know how low you will go. This will help eliminate offers that are possibly offensive or ludicrous. You should consider all offers seriously but knowing the lowest price you are willing to accept can save time when you are evaluating offers.
Once you know your limits and reasons, discuss them with your agent so they can help you set realistic goals. If your agent knows your absolute low price, they will not trouble you with offers that are too low. If you decide to list your home on your own, make sure you do research on the current market, and you get the proper advice you need in terms of legal issues, etc. The key is to be realistic and to know your goals and limits.
Finding the right agent.
Not all agents work the same way. You want to make sure your agent is well connected in the real estate industry. They should know the market and provide you with information on past sales, current listings, a marketing plan, and at least four solid references. In addition, you want an agent that is honest, aggressive, and one that understands your needs.
Try to go with a local agent. They can better serve your needs; in most cases they are familiar with the local market and local prices.
Setting the price.
The price is the first thing a buyer will notice about your property. If the price is too high, then buyers will not take your property seriously. You want your property to be taken seriously by all buyers and the price will reflect how serious you are about selling your home.
There are several factors that should contribute to your final decision as to price. First, you should compare your home to other homes currently on the market. If you use an agent, he/she will provide you with a Current Market Analysis (CMA). The CMA will reflect the following:
- Houses in your price range and area sold within the last half-year
- Asking and selling prices of houses in your area
- Current inventory of houses on the market in your area
- Features of each house on the market in your area
From the CMA, you will find out the difference between the asking price and selling price for all homes sold, the condition of the market, and how much homes like yours are selling for.
Also, try to find out what types of houses are selling and see if it applies to your area. Buyers follow trends, and these trends can help you set your price.
Be realistic when setting your price. Make sure your property meets the current market situation, so you will be taken seriously.
Be ready for potential buyers.
When a buyer is ready to buy, you do not want to miss their call. Make sure you have a good message on your answering machine. If you do not have an answering machine, get one. The message should mention your property for sale, a few high points, and let them know that you would love to show them your property.
If you have children who may answer the phone while you are away, make sure they let the buyer know that their parents are busy and they should take down the caller’s information so you can call them back. To ensure you get the proper information, you may want to leave a notepad and pen or pencil next to each phone. And to be on the safe side, tell your children they must never let anyone inside when they are alone, and never open the door to strangers.
When talking to a potential buyer on the phone, write down their name, contact information and notes about the conversation. Be sure to note if the buyer mentions having children, being married and if special events are coming up. If a buyer mentions children, look into activities for children in your community and mention it the next time you speak to the buyer.
Also you want to avoid talking numbers over the phone, whether it is the current price or negotiations on the price. You can’t see their reactions over the phone. Instead, ask them to meet you at the property or over coffee.
While your house is on the market, agents will call and ask to list your property. DO NOT BE RUDE TO THEM. Keep in mind that Realtors do this for a living. Even if you don’t work with them, conversation with them can be beneficial to you. Ask them what they think of the listing price, if they are showing the house, and if so, what they think of the property.
Have a seller’s disclosure ready to go before you start listing the house so when it is needed you are ready to go, there is nothing worse the making a buyer wait unnecessarily. You could lose the deal if the buyer thinks you are not motivated.
Advertise.
In addition to posting your home on Find a Home Direct, there are other important things you should do to promote your property. Place a “Home For Sale” sign in your yard to grab the attention of people driving by. A yard sign not only attracts potential buyers, it will also help spread the news by word of mouth. Neighbors often mention homes for sale in their area to friends and coworkers, etc. Make sure the sign lists your phone number, large enough to be seen easily from the street.
If you post your home on Find a Home Direct, you will notice there is an option to print the home’s details. It’s a good idea to print off a few copies to leave in a public location so that people can pick them up. Ask at work if it is OK to leave your print-outs in communal areas.
Let all your friends and family know that you are selling your home. Bottom line, the more people who know your home is for sale, the sooner it will sell.
Schedule an open house.
Sometimes buyers feel more comfortable coming to an open house. They may think that with multiple people there, they can browse without feeling pressured. Buyers who don’t have an agent can come without having to schedule a viewing.
If your house is deep in a neighborhood, it is a good idea to put up “Open House” signs directing people from the main thoroughfare, to your location. During the open house, do not negotiate price. This is a time for people to simply look. If someone wants to place an offer on the house, request that they do so in writing. Keep in mind that if you accept a verbal offer that is $5,000 below your asking price, the next person through the door may offer full price. If a buyer is serious, they will know their offer must be put in writing.
Feel free to host multiple open house events or request that your agent schedule them for you. This is a perfect time to get opinions about your home. As people arrive, ask them to let you know what they liked or didn’t like about your home. You may find that fixing a few small problems can help you sell your home.
Call-backs and second showings.
Great news! The person who came by yesterday wants to see the house again. They are definitely a potential buyer at this point, and they should be treated like royalty. Now you need to prepare for their second visit. If you thought you had to clean up for the open house – your property needs to look even better now. Keep in mind this is an important meeting. They are considering buying your home, therefore you shouldn’t give them any reason not to choose it. This opportunity will either spark an offer, or disqualify your home from consideration. Try to make their visit in your home as relaxing as possible.
Greet them with a smile and offer them a soft drink, coffee, etc. Some sellers find that baking cookies fills the house with a delicious smell. But be careful not to burn the cookies! A bad smell in the house can backfire on you.
While the potential buyer is looking around, let them know that you are willing to answer their questions, but don’t hover. When they are finished looking, they will likely have questions. Always answer truthfully; they could be testing you. Your answers can lead to further negotiations, so be calm and friendly.
Be ready for the big question: “So, what’s the next step?” The next step is for them to put an offer in writing. If you hired someone for the contract, they will provide it to you. If not, a contract can be purchased online. Do not negotiate verbally – it can lead to arguing which can cost you the deal.
If you are placed in a situation where you are negotiating with the seller, keep your cool. They are trying to get the lowest price and you are trying to get the price you original asked for. Anything the buyer says should not be taken personally he will bring up every flaw they see to lower the price.
If the buyer asks you how low you will go, let them know that before you will negotiate, they must make an offer in writing and show evidence they will qualify for the loan. Simply say that you believe you have set a reasonable price, but you would be willing to consider any reasonable offer in writing.
Considering offers.
When reading an offer, most sellers just want to know one thing: the price offered. But keep in mind you want the best price plus the best terms. If you focus solely on the price, you may overlook terms that could be favorable to you. Some of the terms that may work in your favor are:
- Buyer will pay for most or all of the closing costs
- Buyer will take care of any repairs
- Quick close – the buyer is pre-approved and ready to close
- All-cash deal
When reviewing offers, remember to consider the whole offer not just the price. Take time to assess what is being offered and see if it meets your needs and goals.
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