Nine errors to avoid
when selling your home
Selling your property is one of the most important transactions of your life. If you’re looking for a quick sale, at the best price, without much hassle, here are some pitfalls to avoid:
1.Choosing a broker for the wrong reasons
Do you want to work with a broker who will explain the process of putting your home on the market, who knows the real estate business inside out, who has access to a bank of eventual buyers, and who will provide indispensable advice to increase your chances of selling? You’ll need to be able to trust the broker you choose to represent you, and have confidence in his or her experience and skills. It is therefore not advisable to choose the broker who gives you the highest value assessment for your home. Instead, choose one who provides you with a fair estimate and offers the best performance tools.
2.Setting an asking price that is too high or low
Establishing a fair price for a property should not be taken lightly. A price that is too high can hurt you just as much as one that is too low. The average buyer will visit at least 15 to 20 homes before making a decision. If your property does not compare favourably to others in the same price range, you will not be taken seriously by potential buyers. Your home will stay on the market longer, which might give the impression that something is wrong with it.
3.Not staying competitive
To remain competitive, stay informed about the selling price for similar homes that have recently sold in your neighborhood. Don’t fall under the sway of a broker who gives you the highest value assessment for your property, only to lower the price once the contract is signed. Keep in mind that it’s not you or your broker that will buy your home, but a potential buyer. The selling price is determined by the conditions of the current market.
4.Being under prepared for showings
The appearance of a product for sale is crucial. Each year, companies in North America invest huge sums of money in product presentation and packaging design. A home’s seller is responsible for the quality of the product, while the broker is responsible for selling it. Although you can’t change the location of your home or easily modify its layout, it is possible to improve its appearance. You will also need to clean like never before: declutter, straighten up, tidy and repair! These small improvements will help create a better first impression for buyers that visit. They will find it easier to imagine how it would feel to live there. Buying a home is more about emotion than logic. You need to make sure buyers feel comfortable when they come to see your property.
5.Not marketing your home properly
Failing to effectively share information about your home can hurt a sale. One of the main reasons to trust a real estate broker with the sale of your property is to take advantage of his or her expertise in publicity and access to specialized marketing tools. Make sure that your broker is easy to reach and publishes listings in outlets with the widest advertising reach. Allow your broker to put up a “For Sale” sign and list your property on the Internet, ideally on a personalized website.
Nobody likes feeling pressured into a sale, and especially not when viewing a property—this could even make potential buyers question why you’re so eager to sell. Having a time limit or following visitors around to point out the smallest details (new water heater, spacious pantry, and so on) will make them feel uneasy. Let your home speak for itself.
7.Hiding problems with your home
Sellers need to disclose everything. They must inform potential buyers of any existing problems that could reduce the property value. This way, the buyer will be able to sign a promise to purchase in full confidence and adjust his or her budget accordingly. This will also make it easier to meet the condition of a house inspection.
8.Not knowing the buyer’s motivation
During the negotiation phase, your objective should be to control the process and, if possible, determine the outcome. To do this, you need to know your buyer’s motivation: Are they looking to move in right away? Do they have the financial resources to conclude the sale? Having this information will give you the upper hand in the negotiation, because you will know how firmly you can push for the price you want.
9.Not knowing your financial limits for your next purchase
According to the statistics, 90% of people sell their homes in order to buy another one that better meets their needs. When putting your house up for sale, your needs should be clearly established with your broker before starting your search. It is also important, throughout the process of selling your current home, to keep track of your progress in buying a new one. By securing your financing through a mortgage broker, you will be able to maintain your interest rate for the next several months. This will give you more control over the negotiations.