During my nearly 20 years in real estate, there are some myths I encounter over and over. And they can keep people for getting the most money from the sale of their home. So today, I’m busting myths and helping my clients improve their bottom line.
Myth 1 - You should always price your home high and negotiate down.
Truth: Pricing too high can be as bad as pricing too low. If you list too high, you’ll miss out on buyers looking the price range where your home should be. Offers may not even come in because buyers who are interested in your home are scared off by the price and won’t even take time to look at it. By the time you correct the price and list your home at its fair market value, you will have lost that window of opportunity when your home draws the most attention from the public and other real estate agents – this is the first 30 days your home is on the market. A well-trained agent who looks out for your best interest will consult with you on your home’s fair market value and different pricing strategies for the current market.
Myth 2 - Minor repairs can wait until later. There are more important things to be done.
Truth: Minor repairs make your house more marketable, allowing you to maximize your return or minimize losses on the sale. Most buyers are looking for homes that are ready for them to move in to. If your home happens to attract a buyer who is willing to make repairs, he or she will begin asking for repair allowances that come out of the asking price. The amount of an allowance that you must offer a buyer is usually more than what it would cost for you to make the repair (or hire someone to make the repair). Remember, buyers are comparing your home to other homes that are currently on the market. Your home should be inviting so that everyone who looks at it can see themselves living there.
Myth 3 - Once a potential buyer sees the inside of your home, curb appeal won’t matter.
Truth: Buyers probably won’t make it inside your home if the outside doesn’t appeal to them. Buyers and their agents often do drive-bys before deciding whether a home is worth their time to look inside. All it takes is keeping the lawn mowed, shrubs and trees trimmed, gardens weeded and edged, and clutter put away.
Myth 4 - Your home must be every home buyer’s dream home.
Truth: If you get carried away with repairs and replacements to your home, you may end up over-improving the house. There’s a point where improving your home doesn’t pay off – at least not dollar for dollar. The key is to consider what competing properties feature and look like. A highly motivated real estate agent will consult with you on what competing properties have to offer so you know what home improvement decisions to make.
Myth 5 - You’re better off selling your home on your own and saving money on the commission you would have paid to a real estate agent.
Truth: Statistically, many sellers who attempt to sell their homes on their own can’t complete the sale without the service of an agent. Homeowners who succeed in selling their home themselves usually net less than if they had a real estate agent working for them. The National Association of Realtors surveys consumers ever year, including homeowners who sold homes on their own. Over 70% of these homeowners say they would never do it again.
Myth 6 - When you receive an offer, you should make the buyer wait. This gives you a better negotiating position.
Truth: You should reply immediately to an offer. When a buyer makes an offer, they are at that moment in time ready to buyer your home. Moods can change and you do not want to lose the sale because you have stalled in replying.
There you have it - my top myths about selling your home. Are there any I missed? Any that you didn't know? If you're thinking about selling, I'd love to talk to you and share my proven track record of getting homes sold fast and for more money.
Have a great day!
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