In today’s Real Estate market, short-sales and bank-owned homes predominate the available list of homes for sale. It is rather uncommon to find a homeowner with home equity today. When they want to sell their home, how can they maximize profits and find a buyer in a short period of time?
First and foremost, hire a Realtor. You must find a full-time professional who is familiar with your neighborhood. They must have a clear and concise marketing plan, whereby a reliable fair market price is established and exposure to the internet is included.
Realtors will employ several methods when establishing your homes list price. What are homes in your neighborhood selling for? How does the general condition of your home compare with the existing homes for sale? Most buyers today do not have the available funds to consider a “fixer-upper”.
What must be done to repair or renovate your home so as to enable it to compete favorably with existing homes for sale? Does the home need paint, floor coverings, landscaping, or maybe simply a good clean up? New kitchen appliances or colorful landscaping can draw the attention of a perspective buyer. Removing clutter from the home certainly will make the home appear larger and less personalized.
When a Realtor first sits down with a buyer, he will ask if the buyer is pre-approved for a mortgage. They typically then will search for homes according to price range. Price ranges are usually in $10,000 increments. If your home is priced at $205,000, you will lose out on a tremendous amount of activity by being priced in the next price bracket. A seller would maximize their position by pricing the home at $199,900.
Staging the home can be the difference between someone looking at the property and someone buying the property. Turn the lights on, open the window covers to allow natural light in, have soft background music on, and make sure the homeowner is away. This will allow the potential buyer to view the home, while imagining their family sitting at the kitchen table instead of the current owner.
Realtor feedback is essential. This allows the homeowner to hear constructive criticism and possibly change or improve on things. The next buyer may find these changes or improvements just what they were looking for.
With the increased number of distressed properties on the market, and poised to come on the market, the homeowner must stay aware of market changes within their community. Pending home sales are a positive sign of activity. Price reductions do not have such a positive effect. These factors will play a significant role in determining current and future pricing.