You’re ready to sell your house? Great. One problem, how can you get the best price for your home? This is an issue many home sellers find themselves asking about. On one hand, you need to maximize your returns and get the best possible price for your home but on the other hand, it needs to be priced to sell so you can move into your next property. It all depends on the individual situation, if it needs to be a quick sale then what price do you go for? Is it possible to achieve a quick sale with the best price? All of these questions and more will be answered in this article. We will cover the steps to listing a house for sale from start to finish.
Clean and declutter your home
Step one of the process in getting the best price for your home is to begin the cleaning process. Why? Well, presentation is key. If you can make sure that your home is eye-catching, the minute a possible buyer walks through the door then you are less likely to get low-balled. Cleaning and decluttering your home will make it appear larger. This is one aspect that potential buyers are always looking for, vast open spaces. Not only this but it will also increase the perceived value. A clean home will give the impression that the house has been well-maintained. An interested buyer is likely to be looking for what extra work will need to be carried out on the property. If it looks well-maintained then it will seemingly give them the impression that there won’t be much extra work necessary.
Get a pre-sale home inspection
This step in listing your home for sale is optional however it can be a wise investment for the following steps. A detailed inspection report will identify any structural or mechanical issues that are currently affecting your house. Getting those fixed, depending on the cost may either prove to be a great ROI or may be too expensive but will allow you to mentally set an expectation of the realistic value of your property, The upfront cost may be a little expensive however in the long run it will save time and stress because you will be well-aware of any issues affecting your property.
Easy renovations to boost the value of your home
The next step is to consider what renovations and home improvements can be carried out that will have a good ROI and also boost the value of your home. It may be worth analyzing other properties in the area that have recently sold, also known as comparables or comps before carrying out any renovations. The key is to find out what features potential buyers are actively looking for. You can also speak to real estate agents in the area to get some more ideas on what to spend your time on. Keep in mind your own budget as renovations can be quick and simple from mowing the lawn to larger projects such as kitchen or bathroom remodels. For additional ideas on what renovations work best be sure to check out our guide on home renovations with the largest ROI.
Find the best broker
Now that you’ve put work and effort into the property, it is only normal that you would expect a certain value or price in your head. However, the price you have in mind may not be completely accurate or in accordance with current market trends. So the next step to listing a house for sale is to contact a broker. You want to make sure that you find the best potential candidate that you work with. You can check online for reviews or perhaps through friends and family to find someone that fits the bill. It will be the broker or the real estate agent’s responsibility to conduct marketing in order to gather buyers, so you want to ensure that you’re happy with the costs of commission and other costs that may come up as a result of this. We will shortly release a guide on how to work with brokers and what to look for in more detail.
They will provide a value of your property based on a range of factors including property size, location, comparables and even the renovations you may have carried out. They may even look at recent listings that have sold fast or those that have struggled to be able to give you the best price for your home. This is similar to what a home appraiser would do except a home appraisal can be expensive and is usually carried out in the interest of those funding the buyer with a loan. Whilst we’re on the topic be sure to check out our guide on how to add value to a home appraisal so you can prepare yourself with what to expect. It’s also worth mentioning that if a buyer carries out a home appraisal and it is valued at more than what you have priced the property at then you won’t be able to back away from the deal to try and sell for more. So it is crucial that you set the right price.
Set the right price
Now that you have been given an estimate by the agent it is up to you to decide what price to list the property at. If you don’t mind waiting longer then you can set the price higher but expect to negotiate. Or you can set the price lower for a quick sale as long as you’re not losing out. It is worth considering all the costs of the sale as well as those in the property. Just remember, the final sale and price it sells at are completely up to you, be sure you’re happy with what price it is set at.
Sweeten the deal
If you have an interested buyer but are hesitant about pulling the trigger there are some steps you can take to still get the best price for your home. You can offer to cover closing costs. These closing costs can come in at around 3 and 6 per cent of the sale price which amounts to thousands of dollars that a buyer may not have accounted for. If it is in your best interests, covering this cost will definitely sweeten the pot for any buyer. If you are moving to a new property and are looking to purchase new appliances and furniture you can offer your current items to the potential buyer as freebies included in the deal which can also amount to good savings. It is also worth thinking about what other aspects the buyer may be worried about that can help ease concerns, perhaps you have an insight into the neighborhood be it school car shares or recommendations that would really pique the interest of the buyer to convince them to purchase the property.
FAQ
Here are the answers to some questions which are commonly asked relating to listing a house for sale.
How long does a house need to be off the market to be a new listing?
When a property has been on the market for quite some time, it makes sense to cancel the listing to then relist the property. This is because, in a multiple listing service (MLS), the days on the market or DOM are used to display how long a property has been listed. Those that have been on for some time may point to issues related to the property and may not give off the effect that you want with your property being listed.
Many MLS have differing requirements ranging from 0 to 90 days. So the answer to how long a house needs to be off the market to be a new listing is dependent on the MLS you choose to use. While it is true that buyers can find relisting misleading, properties that have been on the market for 90 days and over are considered ‘stale’ to real estate agents so they are likely to relist to refresh the DOM. It is not unusual for a home to be relisted after being on the market for 90 days and then another 5-7 days before the owner chooses to resell.
What does pending mean on a house listing?
Pending status refers to when a seller accepts an offer, but the transaction has not yet been finalized. Pending is also used interchangeably with contingent which refers to when a sale will be completed once contingencies have been met. In any case, it refers to a deal that is almost complete. However, if a property is listed as pending and is then relisted, this is not always a bad thing as it can be due to issues with the buyer or the seller. For example, an issue on the buyer’s side may be due to finance problems whilst an issue with the seller can be a problem with the inspection affecting the final sale.
What does it mean when a house listing is contingent?
Quite simply, when a house listing is contingent it means that there are certain conditions that must be fulfilled in the event of a sale. Once these conditions have been successfully completed then the sale will go through. The most common contingency clauses include home inspection, financing, appraisal and home sale. There may be set time conditions for example the buyer will have x amount of days to secure financing.
What does under contract mean on a house listing?
The meaning of under contract in real estate is quite similar to pending. Where an offer has been accepted but contingencies are yet to be met. For example, a contingency could be that the buyer had 21 days to secure a loan, during those 21 days whilst the buyer secures financing the home listing will be under contract. So whilst there is a chance the buyer may not be successful, it does mean a buyer is actively attempting to meet the contractual obligations required to secure the property.
There you have it, that’s our guide on how to get the price for your home. We hope you enjoyed this article and found it useful. Feel free to browse the rest of our site for even more useful articles and information!