At The Rudy Group, we focus on providing you with the necessary information and guidance to successfully navigate the complexities of putting your home on the market. We strive to provide excellent programs that are tailored to your needs to ensure that your transaction will be afforded with exceptional professional care.
So now that you’ve decided to put your home on the market, what are the steps that you should take?
Step 1: Prepare Your Home’s Appearance for the Buyer
When showing your home to potential buyers it’s crucial to understand that they are looking for a home, NOT a house. As buyers tour your home it’s important to appeal to their emotions. Only after you have captured their emotions will they begin to consider the logical factors involved in their search for a new home. It is unlikely that your home is the only home a buyer will see and the other properties they look at may be professionally decorated or staged. This is your competition, so it is imperative to make your home shine in order to stand out and make a great impression with potential buyers. The first step to selling your home is to make the buyer feel like they are HOME.
Remember that the home you live in is NOT the home your buyers should be viewing. When selling your home, it is important to understand that it needs to look different than it does when you are living in it. Yes, it is your home, but your goal is for it to be THEIR home. This means preparing your home’s appearance in a way that allows buyers to envision themselves living in it. Your home should appeal to all of a buyer’s senses and your personal belongings and lifestyle should not get in the way of that. It’s easier than you think. Here are a few tips to that will help your home catch the buyer’s eye.
Step 2: Set the Right Price For Your Home
Every seller wants to sell their home at the highest possible price. As such, sellers will often overprice their home with the intention of lowering the price if it doesn’t sell. While that might sound like a good plan, doing so can have the opposite effect, resulting in a sale price that is far lower than if the home had been properly priced from the start.
Setting a Price for Your Home
It’s rather simple: When buyers look at comparable properties that are priced far less than yours, they are going to immediately ignore your home in favor of the lower priced homes with the same features. If a department store sold the same shirt for two different prices, which one would you buy? You’d buy the lower priced shirt, especially if the difference in price was thousands of dollars. Your buyers are going to do the same.
More importantly, agents are far less likely to show your home to their buyers if they know it to be overpriced. And you better believe they know when it is overpriced. Agents don’t want to waste their time and certainly don’t want to waste their client’s time touring a home that is not properly priced. Agents only want to tour homes that their buyers are more likely to want. And if they can show their clients a similar home that’s priced less, they will. In some cases agents may even use your home to help sell another comparable property, as the high price of your home will make a properly priced home more appealing to their buyers. Now they’re wasting your time, showing your home to buyers they know aren’t likely to buy it.
You could sell your home tomorrow if you listed it for half the price of the other homes in your neighborhood. Conversely, you could list your home for twice what it’s worth and wait and see if the right buyer comes along to buy it. You’ll probably be waiting a long time. Why would you want to do either of those things? Price your home properly and you will find that it sells quickly and with little hassle. To get you started, we can provide a complete, no-obligation evaluation of your home.
Step 3: Do Not Limit Your Home’s Exposure
The most obvious and ubiquitous marketing devices in real estate are classified ads and open houses. These techniques are frequently used by agents and do have their advantages, but they are limited in their rewards. To be successful when marketing your home requires a great deal more.
Open houses are great… for the agent. Not so great for the seller as less than one percent of homes are sold as a result of an open house. Instead, the agent uses the open house to attract future buyers they can represent. Furthermore, less than three percent of people have purchased their home because they saw it in an ad.
At The Rudy Group, we excel at selling homes because we use a variety of marketing techniques that are unique to the requirements of your home. We have a well-tested plan for selling your home. Get in touch with us now and we’ll share with you the elements of our strategy.
Step 4: Understand the Market Value of Your Home
It is easy to assume that the price your home appraises for is what it is worth. However, this is not necessarily the case. The purpose of an appraisal is usually for financial institutions that desire mortgage and loan information. Therefore, in an appraisal prepared for a money lender, there may be issues other than simple market value that will come into play. They have different goals in their appraisal.
On the other hand, a buyer will look at factors such as foreclosures, distressed sales, bankruptcies, divorces, and fluctuations in the area. The perceived value by the buyer will therefore be somewhat different from that of a financial institution. For this reason, the appraised value of the home doesn’t definitively determine the market value. It is important to understand what prices the housing market will bear and to price your home accordingly.
We will provide you with all the information needed to make a reliable and reasonable determination of the local California market value of your home. To accomplish this we will gather information about recently sold homes in your area (market history), homes pending sale in your area (market activity), homes for sale in your area (competition), and unsold listings (market rejects).
Step 5: Be Aware of Your Rights and Obligations
If you don’t understand your rights and responsibilities, the laws and regulations of real estate can be a nightmare. The contract to sell your home is a legally binding agreement and should not be taken lightly. You should never sign a contract if you aren’t fully aware of its contents. As the seller you will have a number of important obligations to meet in order to complete the sale. If done improperly, or not at all, you may run in to some serious problems that can be quite costly to resolve.
Before signing the contract you want to know what repairs and closing costs you will be bound to by the contract terms. The contract may prevent you from selling the home in its current state, delaying the sale until the completion of certain repairs or improvements. There may be deed restrictions or local zoning restrictions on your property and you will need to have a thorough review of your title to assure there are not “clouds on title” that would limit or inhibit sale of the property.
If you sell your home without proper awareness of these issues you could end up spending thousands on unexpected legal bills and fines, or on expensive last-minute repairs. Your agent can help you identify and avoid these issues before they become costly problems.
Step 6: Know Your Rights when Signing with an Agent
Your best interests should always be the highest priority for your real estate agent. Although this is usually the case there will always be agents who put their interests before their clients’, or are looking to take advantage of uninformed sellers, or simply aren’t doing a good job. It’s important to know your rights when signing a Listing Agreement with an agent as you may find yourself stuck with a brokerage that isn’t looking out for you.
Whether you’re not getting the marketing exposure you expected or your agent is impossible to get in touch with, an agent that isn’t living up to your expectations can make the process of selling your home very frustrating. You should be able to fire your agent under these circumstances, but if your Listing Agreement binds you to that brokerage, you may find yourself stuck dealing with another agent at the same office. Possibly even an agent that you didn’t choose and don’t know. The broker who runs the office doesn’t want to let you out of your contract so instead they assign you to another agent. And you’ll remain stuck with this brokerage until your contract expires. Don’t let this happen to you.
For additional helpful information, please click on the links below to learn more about putting your house up for sale and general real estate terms.
TOOLS & RESOURCES
- Free Home Evaluation: The first step to selling your home is to determine its value. Our free market analysis will consider the various market conditions relative to your home and determine a price range that the real estate market will bear. Let us help you take this first step.
- Get the Best Price When Selling Your Home: Find out how you can sell your home for more by following The Rudy Group’s simple do’s and don’ts.
- Connect with The Rudy Group: Selling your home with an experienced and knowlegeable realty agent will take the guesswork out of the process. Contact us anytime so we can help you sell your home quickly and profitably.
- See What’s on The Market: Use our convenient property search tool to see what other homes in your area are selling for and what kind of competition your home is up against.