Potential Deal Breakers and How to Avoid Them
There’s more to selling a home than placing a sign in the front yard. Establishing an asking price, preparing the home and property, and attracting buyers can be overwhelming. Buyers can be fickle. What may seem like small potatoes can become a focal point, threatening to dismantle the sale. Buyers view homes in a different way than sellers do, and that creates a challenge.
Oftentimes, sellers expect their emotional investment in the home to be automatically expressed in the asking price. Likewise, the condition of the home and inner workings may appear very different to both parties. Removing emotions from the equation is easier said than done, yet emotions can cloud seller thinking. Selling a home is, after all, making a deal and as with most deals, the wrong move can gum up the entire works. Before placing a home on the market look out for these potential deal breakers – and learn how to avoid them.
Finding the Right Asking Price
There’s a lot riding on finding the right asking price when selling a home. Sellers want to get the most for their home and buyers want to get the best value. What sellers want and what buyers are willing to pay may not always match. On top of that, too high an asking price and lending institutions will balk and refuse to back home loans for potential buyers.
Nostalgic connections have to be put aside, and a realistic asking price established. So, how do you find the right asking price? Home prices are market driven. Check recent home sales in your local area or speak to a real estate agent. The right price will attract multiple offers, satisfy lending institution requirements, and leave you feeling pleased with the sale.
Preparing a Home for Sale
For renters it’s easy. When they’re finished living somewhere simply patch the walls and turn the keys in. Selling a home, however, involves so much more. Before making an offer, buyers will hire a professional home inspector. The home inspector will inspect the home and property with a fine-tooth comb, looking for any details the buyer should be aware of. Crumbling foundation, rotted shingles, missing roof tiles and more will all be listed as a matter of record. This can cause even minute details to become major issues with buyers, causing headaches on both sides.
Home inspectors will also inspect plumbing, electrical, and HVAC systems for function and upkeep. Stay up to date with regularly-scheduled, professional cleaning and maintenance to keep systems working properly. During the sales process may just be one of the worst times to replace an HVAC system. Ensure home mechanical systems are clean, up to date, and safe before courting potential buyers. Reduce the onset of damage by replacing rotten wooded shingles, fresh paint, and caulking the exterior of your home. Extensive repairs during a deal can reduce sales price, increase seller obligations, and potentially derail negotiations.
A local example I encountered was a Houston couple listing a home for sale. After purchasing the home it became a rental property and, over the years, received minimal attention from the owners. When it came time to sell it was listed as-is. Their phone remained suspiciously quiet until finally, a single potential buyer called. Following the home inspection, over $4000.00 in necessary improvements had to be made, and the buyer low-balled. The sellers were indignant to receive a lower offer yet with only one, they had to make the investment and hope for the best. While they ultimately came to an agreement and made the sale, it came at a risk as the buyer could, at any moment, have walked away from the deal.
Attracting Potential Buyers
The inspection is going to be a large part of the deal, but there are many more details buyers will look at that may cost the sale. For attracting buyers, think of how the home affects all their five senses. Be sure to look at both the exterior and interior of the home. For the exterior, the landscape, doorway, property upkeep and more will present an impression to the buyer. Unsightly brush, unpleasant odors, and more can drive buyers away.
Indoors, there is even more to consider. Buyers may share different tastes about designs, lighting, color selections and more. Pet odors, poor lighting, stains and more can send signals to buyers. Before selling, prepare the inside of the home for showing. A professional staging can help drive buyer interest and secure a higher sales price. Walk through multiple times to find the smallest “gotchas” before the buyers do. Cleaning and preparing a home ahead of time can help sell homes faster and net the best asking price.
Improving Your Odds
It’s a buyer’s market and sellers have their work cut out. To maximize the potential sale of your home, talk to a local realtor. A realtor will be current on market trends and local home values, and can present a home in a way buyer will respond to. Selling a home is a large transaction; consult a professional to get the most from your sale. Let me help guide you through what’s important. For help buying or selling a home in the Houston area call Diosana Group Properties at 713-965-4338 or visit diosanagroupproperties.com.