It’s a good time to sell your home! The market is currently experiencing a low inventory, with more buyers than homes available. However, that doesn’t mean selling a home is easier. To get the price you want within a reasonable timeframe, you still need to manage your listing strategies.
Here are 6 tips:
- Hire a real estate agent – It might be tempting to try to sell your home yourself, but it’s almost always better to hire an agent. Their fees are typically low; about 1%-2% of the sale price. And they will be far more experienced at navigating the bureaucracy involved in any home sale. An agent’s ability to avoid problems makes it worth the fee.
- Consider price vs. sales time – The higher the price of your home, especially relative to the area, the longer it will take to sell. While it sits on the market, it will still require maintenance and upkeep, which amounts to money deducted from your final payout. Unless you have plenty of time and money to spare, it’s usually better to keep the asking price low to speed up the sale.
- Invest in repairs and upgrades – Before selling a home, have a professional inspection done. Then make sure to address the major issues noted by the inspector. This not only makes the home more attractive, it also creates documentation. You can show prospective buyers and their agents proof the home is in good condition. An inspection increases your home’s value and sellability.
- Improve the curb appeal – Your front lawn and walk-up should be immaculate. Spend extra time caring for your grass and other greenery. You might even want to add some little touches, like extra flowers along the walkway or driveway. You want it to look as appealing to potential buyers as possible.
- Clean and stage the interior – If you’re living in the home when selling, you need to make it look like a display home. Buyers will simply be put off by too many signs of habitation. Consider rearranging the floor plan to appear as clean and tidy as possible, even if it disrupts your lifestyle while the home is on the market.
- Be prepared to vacate quickly – If you find a motivated buyer, you don’t want your own needs creating a barrier to the sale. Have a plan to move out as quickly as possible if necessary.
If you’re selling a home, we can help! Contact us for a free consultation.
If you’re looking at buying a home, you’re undoubtedly looking for good bargains. And under the right circumstances, a short sale could be just what you’re looking for. However, this is a somewhat rare type of home sale, and there’s no guarantee it will work out.
What Is a Short Sale?
A short sale occurs when a home is valued for less than its remaining mortgage, and the mortgage lender agrees to settle the debt for a smaller sum than they are technically owed. This allows the home to be resold.
Short sales typically happen when homes have depreciated for some reason. For example, neighborhood property values have dropped or a property itself may be neglected and lost value. In some cases, the property may have lost so much value that it’s no longer realistic for the mortgage lender to expect full repayment.
Much of the time, the home’s current owner will be in some form of financial distress that prevents making mortgage payments. In this situation, the lender may be willing to agree to a short sale to get rid of a property that could cost the financial institution more money in the long run. A short sale can also bring in more money than if the home is repossessed and auctioned, which is a great motivator for the lender and a good reason to go along with it.
The Challenges of a Short Sale
The biggest hurdle to overcome when requesting a short sale is the mortgage lender. Financiers aren’t in the business of losing money and will be reluctant to discharge the mortgage for less than its value.
The current homeowner must convince the lender the mortgage is unlikely to ever be paid off. Sellers will need to be highly motivated to go through this process, typically to get out from under debt they can’t comfortably repay.
There’s also a high likelihood that the home has other issues. It may be in poor repair or there could be fines and liens attached to the property. A buyer will need to be very careful, surveying and researching the property thoroughly, to be sure it’s a good deal.
In the right conditions, a short sale can result in a bargain buy. But it’s a difficult deal to broker and many factors could confound the transaction.
If you’re buying a home we can help! Contact us to discuss your needs!
Selling your home isn’t always easy, even in an up-market or a good neighborhood. There are many reasons a house in good condition isn’t attracting enough attention. Identifying the cause can be difficult. In most cases, your best bet is to try a few different things and see if one or more changes the situation.
Eight Options for Selling Your Home More Quickly
1. Lower the price
Is your house priced as are similar homes in your area? Homebuyers typically won’t pay a premium unless there’s something truly special about the property.
2. Improve the listing
Your listing on public sites should be highly detailed and include as many high-quality photos as possible. Consider hiring a professional photographer with a top-tier camera to take the pictures. It can really help.
3. Cleaner is better
You have to strike a balance if you’re still living in a house you want to sell. Be sure it’s kept as clean as possible (without too many signs of customized habitation), to increase its appeal to buyers.
4. Improve the exterior
Curb appeal is a huge part of selling a home, so your exterior should get extra attention. Even a minor upgrade like a new coat of paint can attract more potential buyers.
5. Be more aggressive about marketing
Simply listing your property on the usual sites is a passive method of advertising. Explore expanding the number of listing sites or begin pushing it on social media or other free websites.
6. Replace your real estate agent
If you have a real estate agent and your home isn’t selling, you might want to look at getting a new one. If you’re trying to sell the house without a real estate professional, perhaps it’s time to partner with one.
7. Ask for feedback
If someone visits the property and isn’t impressed, ask why. Then act on their negatives.
8. Consider alternative sales methods
Rather than selling to a homeowner, consider contacting property investment groups. They’ll often pay cash in full in exchange for a lower price. In some situations, that’s better than letting the house sit on the market for months.
We want to help you sell your house! If you’re struggling to find a buyer, contact us to discuss options that can make the sale happen.
There’s a lot that can go wrong if you’re trying to sell a house. Few issues can be more aggravating than a low appraisal.
Appraisals are a part of any property sale. If the appraisal value is lower than the offers you’re considering or worse: lower than what you paid, trying to sell it will be an uphill battle. For example, lenders will likely push back against mortgages valued for more than the home, potentially preventing the sale.
However, there are options.
How To Sell a House With a Low Appraisal
1. Request Another Appraisal
If the property receives a low appraisal, always call for another one. There are a lot of factors that can cause a house to be undervalued, especially if its last appraisal was during the COVID pandemic when “drive-by appraisals” were common.
Be sure to point out any renovations you’ve made that might not be immediately obvious at a glance, such as roof repairs or a refinished basement. You or your real estate agent could also submit documentation citing how much money you’ve put into the property. This may help raise its value.
2. Convince the Buyer To Pay the Difference in Cash
When it’s a seller’s market you have extra leverage. If you and the buyer have agreed on a price but their bank won’t finance it due to a low appraisal, the buyer could simply pay the difference to push the mortgage through. If the buyer wants a compromise, you might need to come down on the price.
3. Help the Buyer Find Another Lender
The real estate agent can help your buyer find a lender willing to finance the deal. If your buyer is willing to do that, it’s probably worth going the extra mile to make the deal happen.
4. Wait for More High-Priced Sales in Your Area
Home sales in your area are a major factor in your own home’s valuation. If you truly believe your house is being under-appraised and the appraisers won’t budge, you might want to simply sit back and watch the market. If a few comparable nearby homes sell at higher prices, that can help make the case for a higher valuation.
A low appraisal can be bad, but it isn’t necessarily a roadblock. Persevere and investigate your options so you can sell your house for the price you want.
Of all the real estate investments you could make, an unfinished home is one of the riskiest. But in the right circumstances, it could also be easy money.
An unfinished home is just that: a house that was under construction and the construction was abandoned before completion. Unfinished homes could be nearly finished, barely begun, or anywhere in between.
Is this a purchase you should consider?
Benefits of Buying an Unfinished Home
Why purchase an unfinished home? There are several potential benefits:
- The price will typically be extremely low. In some cases, you may even be able to buy the entire property for less than the lot alone would sell for.
- If the home is nearly finished, with the roof, windows, and doors already in place, it may be completable without much more investment.
- If the work is barely started, you could potentially bulldoze the construction and then sell the property to turn a profit.
Risks of Buying Unfinished Construction
There’s a lot that could go wrong with buying an unfinished house. Discretion is necessary.
- If the property has been abandoned for a long time, it may be an absolute mess inside. There could be animal life or even squatters in residence.
- The realistic market value of an unfinished house will drop rapidly the longer it’s been abandoned and unkempt.
- The costs of dealing with it – finishing or demolishing – may ultimately eat any profit you could have made.
Other Factors To Consider
What should you examine when deciding whether a particular unfinished property is worth the investment?
The hotter and drier the local environment, the less damage will be done to the extant construction. Buying unfinished homes in a wet climate is rarely a good idea because they deteriorate quickly.
Often, tax assessors will make an initial valuation based on what the value would be if the house was finished. For example, it might be worth $100,000 on paper, but only a tenth of that in reality. This could be an advantage or disadvantage, depending on your situation and goals.
It’s tough convincing people to buy an unfinished home. Think about whether you can realistically make a profit.
Unfinished houses can be a high risk/high reward investment. In the right situations, you could get a property for a song and quickly flip it for a profit. But you could also just as easily get stuck with a costly and rapidly deteriorating encumbrance.