It’s tempting to price your home as high as possible in an attempt to have some wiggle room for negotiation or to get a higher price.
The problem is that this can cause your home to languish on the market. People may just overlook an overpriced home rather than try to negotiate it down to a reasonable level. And the longer your home sits on the market, the less and less appealing it’s going to look to buyers.
Overpricing your home can actually lead to a lower final sale price than you would have gotten if you had priced it correctly from the get-go.
Sometimes people may feel that a quick offer means that they priced their home too low.
A correctly priced home that’s been marketed well will draw a lot of attention right away, since homes get the most attention in their first days of being on the market. If your market has especially limited inventory, you may get offers within hours of your home being on the market.
We’re so reliant on the internet to give us information that we sometimes forget that some information isn’t very accurate. This is very true of online home value estimates.
Sites like Zillow and Trulia will give you an estimate of your home’s value, but these estimates rely on an algorithm. That algorithm is more accurate in some parts of the country than it is in others. Its accuracy depends on the publicly available data about your home and recent home sales in your area.
They do not take into consideration any updates made to the home or the quality of the materials in the home.
These estimates can be off by a substantial amount, so it’s smart to realize that any online valuations are just ballpark estimates. For fun, plunk an address into Zillow, Trulia, Redfin, and Realtor.com and see how much the estimates vary. There’s no substitute for an expert agent’s analysis (and most agents will provide a comparative market analysis for free).
On the surface, it makes sense that any home improvements you do before putting your home on the market will pay for themselves. A drastically improved kitchen or bathroom may seem to be well worth the money you spend.
The problem is that most home improvements don’t net 100% of what you spend on them. This yearly report shows you exactly what you can expect to get back for a particular improvement in your area. Are you surprised that a kitchen remodel will net you only 59% of what you spend?
However, that doesn’t mean that minor improvements aren’t a great idea! Simple changes can really improve the way your home looks. Think painting over the lime green wall in the den, cleaning dirty carpet, or swapping out a dated light fixture for something more modern.
Make sure to talk to a Realtor® about the changes they think are worth making. They can help you understand what home buyers in your market are looking for.
On the flip side, some sellers think that minor issues with the home are so unnoticeable that people won’t care. After all, haven’t you been ignoring some of those issues for years?
If people come through your home and see a loose doorknob, a cracked window, or lightbulbs that don’t work, they’re likely to get the impression that you haven’t been taking care of your home.
It’s smart to walk through and make note of all those little things that have been bugging you. Then take a day and fix them!
There’s a pervasive myth that spring and summer are universally the best times to sell your home. But this isn’t necessarily true; the optimal time to sell a home depends a lot on the market you’re in.
Know your local market and don’t wait for the supposed “best” time to list. With a good Realtor®, you should be fine selling no matter when you need to do it. This is especially true if you’re in a hot market with high prices or limited inventory.
Some balk at paying a commission when selling a home, but the truth is that a commission check goes a lot of ways, not just to the listing agent.
Typically, the listing and buying agents split the commission. Actually, the commission is paid to the agent’s employing brokerage, which then pays the agent. And the brokerage keeps a portion of the commission (sometimes as high as 50% of the commission) and then splits the rest with the agent.
Don’t forget that your agent also has to pay to market your home, as well as pay for all of their business expenses, out of the commissions they make.
You may be tempted to price your home based on how much you bought it for. Or maybe you’re tempted to price it based on how much you still owe on your mortgage.
Both would be a mistake. The market doesn’t care what you paid or how much you owe the bank. You should price your home based on what the market says it’s actually worth right now.
I hope this helps you feel a little more certain about selling your home! Best of luck no matter what the circumstances are.
“Faye helped me purchase my first home last year. She was very professional and worked very quickly to help me procure financing. She made herself available around my schedule and took the time to explain my options for financing to help me get the lowest rate possible. Would highly recommend her to anyone looking for someone that is professional, highly knowledgeable, polite, and responsive.”
- James Z.
“This review is about Mark and Darci Richardson from CSMC Mortage in Simi Valley. This team is the BEST! For the past 12 years our home was "underwater" due to the "crash" in 2007, and unable to do anything with the mortgage except pay it. These two kept on top of things and finally the house qualified to REFI. We just completed everything and it closed last week... and they saved us over $900 a month!! That's a huge savings for a couple of senior citizens! We are SO happy now and finally can breathe. Thanks to Mark and Darci and CSMC Mortgage for following through, jumping through all the hoops necessary and helping us out! I can't recommend them more... they are the BEST!!!”
- Shari S.
“I had the best experience with CSMC Mortgage. Buying a home is very stressful with all of the paperwork that has to be filled out. Faye was amazing! I have given several people her contact info, who are scared to take the step to homeownership. She took ALL of the stress away for me. I honestly, didn’t have to do much. She accommodated my crazy work schedule and help me get things done in a timely manner. She made me feel so comfortable and at ease. There were no surprises when it was time to sign and pay. I highly recommend her to anyone in need of her services and guidance. I can’t thank her enough.”
- Lisa M.
“CSMC Mortgage took great care of us and our home buying needs. Tony was more than we could have ever asked for, he went above and beyond for us and we couldn’t have been more grateful for all his hard work. CSMC Mortgage has a great and friendly staff, I would highly recommend them to anyone looking into buying a home.”
- Jannet A.
“These folks are conscience and easy to work with. The “calm” as the “storm” of home loans rolls through! I would not use anyone else. They make sure ALL your questions are answered, be that what competitors may have offered, or ads you may have heard or seen. What a pleasure to do business with. Thank you team CSMC.”
- Michael G.
“Baret Grigorian was amazing!! From start to finish Baret was there to help in every way. I never felt like I had to call him to follow up on my loan transaction and he always kept me informed. He was able to get me great financing rates, a lower payment AND money back! Thank you Baret!! I look forward to working with you again in the future!!”
- Kenny D.
“David Honda and his team rocked!! They had great technology that took so much of the pain of home buying away. They were attentive to our specific needs and were on top of our loan process! David was always available, even when he was in Hawaii, and super responsive! Thanks David, Melissa and the team for an easy and great home buying experience.”
- Raymond F.
“With this being my first home purchase, my loan officer was very good at explaining everything to me and helping me with all my needs. Thank you for having such great people in the right place!”
- Cathleen H.