With inventories continuing to dwindle, sellers are dominating the real estate market space. But don't let this upper hand fool you - the market has recovered, but is still fragile, and you'll have to play it smart if you're planning on selling. Avoiding these common property selling pitfalls will ensure that you hook your bait right, and reel in your ideal buyer.
Because of the market's condition, buyers will continue to choose from a narrow list of available properties. Slim pickings mean a significant difference in a recovering real estate market, and sellers are indeed on the advantage. Knowing this fact, buyers are also on the defense, and are more vigilant of their purchases. But that doesn't mean your house won't sell - it just means you'll have to make smarter moves to land a buyer.
PARTING WITH YOUR 'EMOTIONAL PRICE TAG' It's normal to be emotionally attached to your home, especially if you've lived there a long time, or if it has been part of significant life events. But allowing this affection to obscure the realities of today's real-estate market is a serious mistake. If your local market is gaining in value, then you'll need to price your home accordingly, without the emotions. Oftentimes, this requires the painful decision to price it probably below the value you personally think it's worth. Don't be one of those sellers who think that their house is the exception, putting a price tag on it far beyond the average selling rate. However true it is that sellers currently have an advantage, it still won't be at par with your personal price tag . This is a business transaction, and sadly, personal emotions have little effect on the grand scheme of things. Make a reasonable profit, and find another living space where you can replant your memories.
CHECKING OUT THE COMPETITION Another reason sellers might price a home too high is that they're simply unaware of the dynamics of their real-estate market. To sell your home, it's essential to have a firm grasp on the conditions in your area. Sellers should study the pricing trends and sales data in their local market. But the data tell only half of the story. To fully understand the market, sellers should get a first-hand look at the nearby homes that are also up for sale. We recommend that sellers take the time to attend open houses with their brokers, so that they'll fully appreciate the price range of properties that are similar to theirs. This way, both you and your broker are on the same page on what an "acceptable" offer would be.
NOT CHECKING YOUR AGENT'S REFERENCES An effective, experienced real estate agent can be a great help in selling your home in today's market. Depending on who you're willing to work with, make sure that they're not only in the business of making commission, but also in the business of finding the best buyers AND the best home for you. These two traits are non-negotiables, since failing to be effective at one means that they're only out to get your listing or your offer. Having said this, finding the "right" broker may not be easy. A lot of agents think you can just advertise online on Craigslist and it will sell, and that's not how it works anymore. The right network, as well as precious information To ensure you're doing business with a solid real-estate professional, contact some of his or her previous clients and ask about their experience.
FAILING TO PREP YOUR PROPERTY Even though buyers don't have many options these days, it doesn't mean sellers don't need to put a little bit of elbow grease into their sale. They need to ensure that their property is in tip-top condition for showings and previews. This means making any and all home repairs, ensuring that the indoor and outdoor portions of the property are spotless, and removing clutter. It's a mistake to think that buyers just suddenly snap up properties, on the contrary, they're even more picky than ever, since they know there's only a handful of listings on the market. You'd want to make sure then, that your property sparkles and shines, assuring prospective buyers that it's worth the price you're asking for.
YOUR ABSENCE IS REQUIRED It's important for sellers to be away from their home during open houses, as their presence can be unnerving to would-be buyers. Some sellers have the mistaken idea that they are the best people to sell their house, and that is absolutely not the case. Even though it seems like a good idea to be present during open houses so you yourself can answer questions pertaining to the property, prospective buyers tend to harbor uneasy feelings when the seller is present at every step of the way. We recommend having a constant open line of communication when you know a preview is in progress, because the last thing you'd want is for prospective buyers to have those 'uneasy feelings' follow them home and eventually influence their purchase decision.
IT'S NOT PERSONAL, IT'S JUST BUSINESS The negotiation process can be tough on sellers, as buyers may demand concessions such as price reductions or help with restoration, renovation, or closing costs. Although such requests might be irksome, it's important that sellers consider them just another part of a business transaction. It's not meant to be personal; the buyer is looking to buy as carefully as they can, and pay as little as they can. It is not about you, it is about them. Keep that in mind when you're in the midst of a friendly pricing war or even a fierce negotiation.
GIVING OUT THE 'SELLER SNUB' In as short as the past two months, Boston's real estate landscape has drastically changed, given how buyers are ready to pay well above and beyond asking prices. Don't let this fact deter you from looking at varied offers, though. Even if you aren't crazy about a buyer's offer, don't dismiss it the minute you see what they're willing to pull out of their pocket. You need to be willing to negotiate with anyone and everyone who puts in an offer, even if it is one of those low-ball offers since more often than not, buyers are willing to stretch it for as long as they're sufficiently interested with your property.
Thinking of listing your property? Contact us now for a risk-free consultation. We'll even valuate your home for FREE! Call us at (617) 505-1781 now!