After the application of a home loan, you will receive two documents, a loan estimate, and closing disclosure. On the surface, these documents are identical but they both serve slightly different purposes. Up Next: Expenses To Expect In The First Year Of Homeownership Here is what you need to know about the differences between these […]
Mistakes To Avoid When Selling A Home
In theory, selling a home should be easy—you find a real estate agent, put your home up for sale, and wait for the home to sell. But since the process is so complicated, there are many opportunities for mistakes to occur. Here are the most common mistakes sellers make when selling their home:
Pricing The Home Too High
We get it, your home is precious to you and you may think it is worth more than what it actually is. When selling your home, it is important that you put aside your personal feelings for the home and think professionally. If your home is priced too high for the market and what it is worth, it won’t attract buyers.
You also shouldn’t expect to get your asking price. The home may sell for more or less than what it is worth based on factors like the current market, repairs needed on the home, and buyer negations.
Selling It On Your Own
Let’s be honest, unless you have experience selling homes, selling a home by yourself is hard and stressful. And while it can save you money in agent fees, it takes a lot of knowledge of the current market and real estate world, what with all of the legal and financial nuances. So it is easy to miss something important like a term in the real estate contract that could make the process a lot harder for all parties.
So take the time to find a professional real estate agent who will help you navigate the housing market waters.
Not Finding A Professional Or Experienced Agent
On the flip side, finding an agent that is neither experienced nor professional puts you in the same boat and will cause a lot of problems like disorganization and things slipping through the cracks. A professional can provide valuable support, advice, and resources so be sure to do your research and not settle for ‘good enough.’
Ask questions like how long they have been in the business, and get recommendations to determine if a real estate agent is the right fit for you and your needs.
Not Cleaning Up Or “Depersonalizing” The Home
Showing your home “as-is” is not recommended, as it is not showing the home at its best. Before a prospective buyer shows up, clean and declutter the home—especially if you are still living in it. That way, buyers can see the home properly without a bunch of clutter obstructing the view. Cleaning up and removing personal items like toys will depersonalize the home, since you want buyers to see the home as theirs, not yours.
Even if the home is a fixer-upper and has problems like mold, it’s still a good idea to clean as much as possible to help the buyer get a good idea of what it will look like upon restoration.
Being Present During Showings
While you may want to be there for every step of the selling process, it’s a good idea to be absent when a realtor is showing your home. That way, prospective buyers won’t feel uncomfortable about expressing their opinions about your home or feel rushed.
So come showing day, head out to a movie or another activity to pass the time and let buyers view your home pressure-free.
Hiding Or Failing To Disclose Problems
Not only is failing to disclose or hide known problems with your home bad practice, but illegal and you could get sued for fraud by the buyer if they purchase the home and discover the problem. Of course, you are protected by disclosure laws. For example, if an issue arose after the buyer moved in or you honestly didn’t know about the issue & it was missed in the inspection, you cannot held responsible.
Get your home pre-inspected before selling to help avoid any problematic surprises.
Using Poor Photos Or None At All
Today, your home will be found online by potential buyers through sites like Zillow. If your home is listed on these real estate sites, it’s imperative that you take good photos of the house. Make sure you follow these rules:
- Take pictures of both inside and outside of the house. No one wants images of just the outside.
- Stage the home. You want your home to look its best. So clean up and remove items like toys to prevent visual distractions and make the home look professional
- Use natural lighting & avoid flash. Natural lighting makes the home appear open and inviting, so if you are able use as much natural lighting as possible. By not using flash, you’re avoiding unsightly shadows that will make your home look unflattering.
- Shoot from the doorway or a corner. These angles will get the best view of a room so potential buyers can get a good idea of what the space looks like before they come in to tour.