Tips for selling smart, part two
June 11, 2022
Summer is here and once again many potential sellers are watching rates rise, thinking prices are dropping and wondering if this is the right time to stay or go. Selling smart is as much about knowing what you need to do as it is what you do not. Part two is focused on exactly that.
Don't sell in fear!
I have seen many people over the past year panic sell. Selling because of potential regulations, housing bubble fears, forbearance ending and more. Many sales people use fear as a tactic to get you to do what they want, selling a home can be no different. A Realtor who is eager to have your listing may instill fear that doesn't align with your best interest. It is very important to be aligned with professionals who provide valuable guidance and information without instilling fear. There is always more than one way to evaluate how to overcome your challenges or concerns.
Don't overdo repairs!
Yes, your goal should be to maximize your profits and have a home that is desirable to sell. Different markets call for different requirements. Your carpet needs to be changed? Before you spend the money, find out what the market demands or even consider just giving a flooring allowance equal to what you would be spending. Buyers love the idea of getting to make their new house their own, so picking their own flooring becomes an enticement to pick your home over another. Sometimes it is not cosmetic, it is necessary. Necessary items can vary based on the buyer and the loan type. Trusted advice prior to spending your money will not only allow your money to go further, but may save you in unnecessary expense and time. Often repairs can be done while in escrow and negotiated. One last thing on repairs: different markets demand different show ready homes. Individual agents will give distinct advice and can be a valuable insight to what the market is or is not demanding.
Don't treat cash as king!
When evaluating offers, cash and loan programs can have different requirements but more often are surprisingly equal in benefits. A lender is your best resource in evaluating loans as they pertain to your offer so you can understand those nuances. Consult with a professional ahead of time so that you have an educated way to evaluate the cost vs. benefits. According to 2020/21 research by Polygon Research, VA loans were closing at a 4% higher success rate than any other loan type. Cash offers also fall through often due to the buyer (often an investor) making offers on multiple different properties at once. Knowing you have a well-qualified buyer, and a vetted lender can often be better than cash.
Don't think an iBuyer is your best solution!
iBuyer's have been out in force in many markets. Offering a quick, all cash close with no repairs. A good tip I was once given is that if it seems fast and cheap, it is probably not a good idea. The same goes for these processes. Sales is often a game of speed. Who can get the person locked in the fastest wins. That doesn't mean you as the seller will win. There are many hidden fees with iBuyer programs and if you don't know what your home is worth, with the advice of a local professional Realtor, you could lose out on more than you expected. Local Realtors are your best resource!
Alysha Boles – Mortgage Strategy Advisor for the Navigate Lending Team is a licensed loan officer serving California and Texas personally and in multiple states nationwide as a team. She can be reached at (661) 858-7214, or inquire online http://www.advisoralysha.com.