As with any financial transaction, there are choices you should and shouldn’t make when selling your home. The sad reality is that the most common mistakes are arguably the easiest to avoid. Preventing these mishaps is especially important if you are selling or thinking about selling your house independently without a realtor or sales agent. Selling a home alone or even with an agent is an involved process. With so many steps involved, making a mistake now and then might be expected. With more awareness of the most common home selling mistakes, sellers can get the most from their sales.
In this article, CT Homes will navigate some of the most crucial mistakes to avoid when selling your home. While selling a home can be overwhelming at times, knowing what not to do during the real estate transaction can streamline and simplify the experience for all parties involved.
Mistakes to Avoid When Selling Your Home
Selling a house is a time-consuming process. There are numerous steps involved between listing the home on the market and closing escrow with the seller. The home must be listed on the market, promoted, inspected, and toured by prospective buyers. Price negotiations and offer reviewals also take up some time, followed by the drafting of the real estate contract. Within each step of the process, you should exercise mindfulness to get the most value from the sale. Here are the four home selling mistakes you should consider avoiding at all costs
Pricing Too High
Anyone that has watched one of the numerous real estate television shows knows about the damage of pricing a home too high. This home selling mistake is a common tactic real estate agents use to get your home sold quicker and create excitement surrounding a property. Unfortunately, inflated pricing can have a legitimate and lasting negative impact on the final sale. In the world of real estate, first impressions are everything. When a new listing hits the MLS, sellers receive instant feedback from agents and buyers. If your home lists too high, agents will scoff at the listing and not give it a second thought. Redeeming the home’s reputation after an exorbitant initial listing price isn’t easy.
You may think that by listing aggressively and trying to squeeze every dollar from the property, you will improve your return on the investment. The exact opposite is usually the case. The demand and consumer interest will be far less than anticipated, and after a few weeks, you will need to act. Responding could mean lowering your price or spending money on staging to generate interest from those who already moved on. You are almost always better off asking a reasonable price for your property that is in line with the market first things first. By fairly pricing the property at the beginning of the sale, sellers can ensure they have a healthy batch of competitive offers.
There is no such thing as a bad offer. Sure, some will be well below the list price, but you should never ignore those offers. Think about how you acquire a property. You try to get the best possible price on any investment. Sellers think the same way and are always trying to get a steal of a deal. If there is a lowball offer, don’t get offended and take it personally. Dismissing an offer is a common home selling mistake, and can be remedied with open negotiations with potential buyers.
Always counter at a number you are comfortable with, even if it is just under the list price. If their counter is still not as high as desired, then you can move on. Making the mistake of blindly ignoring an offer can result in leaving money on the table. Many buyers make low offers to see where the sellers stand. As a seller, you should view any offer as just the start of negotiations and move on from there.
For any real estate transaction, there should be equal giving and taking. The goal shouldn’t be to dominate every negotiation with potential buyers but to get the property sold. You need to always think about the big picture when selling a home because it’s too easy to get bogged down by the little details along the way. It is very rare for buyers to get everything they desire from the sale, but it doesn’t mean they can’t get reasonably close. Unless you are in the right market and have timed the listing perfectly, you need to be willing to make concessions.
Compromise within this scenario could mean slightly coming down on the price, extending the closing date, or changing something in the property. If you say no to everything, your buyer pool may dry up, forcing you to be left with the property for weeks, possibly months, until another buyer comes along. In light of carrying costs, mortgage payments, taxes, insurance, it can sometimes make more financial sense to accept an offer and close sooner, even if it is lower than preferred.
With some properties, doing quality work and encouraging healthy communication may not be enough. Regardless of whether you are selling a freshly finished rehab or a home you have lived in for multiple decades, buyers need to feel welcomed when they arrive at the property. They should feel an instant appeal as soon as they open the front door, so don’t be afraid of adding some personalities within the home decor to assist in the sale. As much as a blank canvas and limited furniture provide options to the buyer, it may not encourage comfort or make them feel like the property is their home.
You should always at least consider staging the property. Sure, staging comes at a cost, but it should be seen as an investment with pending returns. Spending a few thousand on scheduling a few open houses with proper curb appeal and staging can net you five times your investment for the right property. Staging doesn’t work on every home within all real estate markets but for some homes, it can make all the difference.
Tips for Avoiding Home Selling Mistakes
For first-time home sellers, it’s natural to make a few mistakes when selling your home, especially for homeowners selling their property without the assistance of a realtor. Luckily, by understanding the most common mistakes to avoid when selling your home, the real estate experience can be a much less intimidating time for both buyers and sellers. There are many ways to encourage a quick and efficient sale when listing your home on the market without any prior real estate experience. Here are a few tips for professionally selling a home.
- Choose the Right Realtor: The real estate industry is a 24/7 business, with many legal logistics and listing processes that support thousands of realtors and real estate brokers all over the country. A realtor can help promote and show the property with their extensive experience in real estate law and best practices. Especially valuable to homeowners that might lack the time or resources to sell their homes independently, real estate agents and realtors can provide a care-free real estate sale.
- Remove Pets for Showings: While your loved ones might be fine with spending time with the family pets, potential buyers may not feel the same. Listings are meant to attract as many prospects as possible, and many people touring might have allergies to these animals. Additionally, pets often provide distractions from the more attractive features of the home. Taking the time to be mindful of these factors before major showings can improve the chances of selling.
- Spruce Up but Do Not Over-Upgrade: Curb appeal and staging are important factors of marketing a home, but a common home selling mistake is completing too many rehabs on their property when trying to sell. Make sure the home is clean, well-lit, and open enough for touring but don’t worry about upgrading everything in the kitchen before having legitimate offers on the table. Completing too much work on the property can result in the seller losing money in the long run.
Cash offers can help prevent home selling mistakes!
Prevent Making Home Selling Mistakes with CT Homes!
There are countless reasons why homeowners might choose to place their property on the market. Knowing how to simplify the real estate process can make or break the seller’s experience in getting the best price possible for their initial investment. The easiest way to create a streamlined real estate process is by knowing what mistakes to avoid when selling your home, from fair pricing to proper staging.
CT Homes seeks to simplify the real estate process even further with competitive cash as-is offers for your home. Get a fair price and expedite your real estate experience with the helpful professionalism found at CT Homes. Maximize your investments with a real estate company you can trust. Contact CT Homes today to get started!