Thinking of selling your home? Before it becomes urgent, put a sign in the yard and try selling it FSBO. You have nothing to lose and plenty to gain.
Determine the Sales Price:
Have at least two Real Estate Agents appraise your home.
RULE #1: Do your homework. Look up listings and find out the price of homes like yours in your area. Add on for additions, pools, curb and inside appeal, and any extras that would make your home more valuable than your neighbors. Used houses in clean and great condition are not that common, if yours is it will have a major edge. A Realty Agent's goal may be to sell the property very quickly. It saves them time and thousands of dollars in marketing with costly TV and print ads and they may under price your property in order to do this. A fast sell at $200,000 yields them $12,000 commission, taking three months to get $240,000 yields them $14,400 commission but less profit. We have frequently seen Agents push people to list their houses for low numbers and also to negotiate and accept a lower price when a buyer is interested to sell the house ASAP. Make sure you find out how much it is really worth, whether you list with a Real Estate Agent or or not.
Market it FSBO, a half plan will not work, do it all the way:
After you know how much your house is worth, if you are on a busy street, a professional For Sale sign in the front yard, with your phone number and by-appointment-only should sell your home. It would also be nice to put a brochure holder on the sign so people can learn more and become motivated to call you, and to pre-screen the people who want something your house does not offer (fireplace, 4th bedroom, etc.) Also, place color flyers with photos in a newer church with young families, at work, and in corporate centers. Ads in the newspaper get mixed reviews. Grocery store bulletin boards also mixed reviews. Also put "For Sale" directional signs at major intersections.
Take Advantage of Extra Time:
Put your home for sale or try FSBO a month before it's crucial at the maximum possible price you think you may be able to obtain. A Real Estate Agent may try and discourage this, but if you have the time, you should "throw the bait out" for a few weeks and see if you get any bites. You have nothing to lose.
Put it on the MLS:
In a down market, you need Realtors to bring you the limited amount of buyers. Many of the buyers driving buy and calling you from the brochure may be those who can not obtain a mortgage or have other issues. I use a flat fee MLS listing service that places my home on the MLS. I pay the selling agent 2.75%. It cost $900 for the MLS package and if your house does not sell, they credit it towards your listing with a Realtor.
Your home has to sell itself, not you or an agent will have luck selling a too worn house for what it could be worth.
Make your house beautiful, fast. A sparkling home will make a prospect fall in love with your house - you know the feeling when you test drive a car or maybe when you bought this house - though you hide your excitement from the seller, you had to have it. You will pay a little more than you budgeted and let the seller call the shots, because there is no other house like this. With our plan, a few hundred dollars and less than 15 hours of work should make someone fall in love with your house and pay full price.
A clean house will sell. People need to picture themselves in it and feel at home. Ever go to an airy, clean hotel room? How about a dark and dirty one? Or maybe one that smells musty or like smoke, or has stains in it? Which one makes you feel more comfortable? We all prefer a new or just renovated hotel because it's clean. Your house should present itself like a nice hotel, no dirt, no clutter, not overdone with personal affects that say this is your home, no obvious deferred repairs, just welcoming and manicured.
Outside = Curb appeal (many people drive up to see a house and are turned off and drive away, canceling their appointment). First Impressions are VERY important:
Make sure any prospects are pre qualified before you entertain their offer. We will do this for free for Pennsylvania properties. Many people are willing, but not able, to buy a home. Don't get your hopes up too soon! Keep your options open and keep showing the home until you have a nice deposit (at least 5%). Do not take verbal offers seriously, many of them never come through or they wouldn't be verbal. If someone wants your house badly, they will write a check for $1,000 right away so you take it off the market. Anything else is talk - and not to be taken seriously!
We offer free advice and pre qualifications to anyone in Pennsylvania. Call 610 882-4140.
Hire an attorney to draw up the sales contract. It will cost only a few hundred dollars (you pay for it since it is your attorney, - don't use the buyers attorney) but an RE Agent usually will charge thousands just to draft a contract. We believe a lawyer is more qualified, and they are thousands of dollars cheaper.
Inside: Immaculate and uncluttered. Move in condition.
This is our opinion and to be uses for informational purposes only.
Not to be redistributed or copied without express written permission from Allegiance Mortgage Services.