Homes have continued to sell nationwide due to an increase in lending options, low interest rates, low inventory, and low foreclosure rates. That's fantastic news for sellers, but when you put your house on the market it can end up in one of two categories:
1. Homes that sell for above-asking sale price with multiple offers soon after they hit the market.
2. Homes that sit on the market for months without any offers or promising prospects.
All sellers hope their home will end up in the first category - acquiring multiple offers, selling in a timely manner, and for the right price! One way to make sure this happens is by avoiding common seller mistakes. When you work with a qualified and skilled real estate agent they can provide the best advice and services along the way.
✨10 common mistakes sellers make, and how you can avoid them! ✨
1. Seller Never Ordered or Approved a Pre-listing Appraisal
Getting a Pre-Listing Appraisal by a professional appraiser ensures a proper list price. An appraiser researches appropriate market areas and analyses statistics and information about the property. An appraiser then provides unbiased opinions about the value of your property and works with sellers and agents to establish a list price. They may also give advice on pricing strategies.
You never want the buyer, buyers agent, or lender to tell you the value of your home. Just as you would take your car to get appraised prior to taking it to a dealership, you should do the same for your home. It's important you get your home appraised before it's listed. That way you know the true value of what your home is worth, and can work with your Realtor to establish a fair listing price.
2. Seller Never Ordered or Approved a Pre-listing Home Inspection
Its great to be able to disclose the current condition of your home to potential buyers. Having a professional home inspection completed before your home goes on the market is important because it covers the infrastructure of your home. Everything from foundations, roof, furnace, to plumbing, electrical, heating and insulation will be checked and assessed. Inspectors can be effective by uncovering the less obvious issues and work with you to properly evaluate the future buyer’s inspection report since many buyers will request their own home inspection.
If you have a home inspection completed prior to going on the market this allows you to repair any items that may cause issues, reduce the price of your home, or deter buyers. Leaving too many necessary repairs is one of the many issues that can prevent your house from selling.
After your home inspection is completed the inspector’s report can be available to potential buyers. This lets them know more details of the home and makes them feel reassured. In addition, many buyers may be willing to rely on your report and remove the home inspection condition in their offer. Having a home inspection also gives you more control over how you want to market your home.
3. Seller Never Ordered or Approved a Pre-listing Home Warranty
When you have a warranty on your home, all systems like plumbing, electrical, appliances, water heater, and AC are covered. When you have a warranty prior to listing, your home will be under warranty while on the market. It also conveys to the buyer your home is protected and they can include this warranty at settlement. Any remaining coverage can transfer to the new buyer as of the date of closing.
The buyer will also have the option to renew the same warranty at the end of the original contract term. As a closing agreement you can also choose to renew ahead of time in order to provide additional coverage to your buyer. Whatever you decide is the best option for you, having a home warranty provides reassurance to potential buyers.
4. Seller Never Ordered or Approved Pre-listing Title Work
A title work is an insurance product that guarantees that when the buyer buys a home they are acquiring it without anyone else having a claim to the property. When you do title work upfront, there will be a search of the history of the property's title to find any claim(s) against it. This will provide a report of anything that needs to be paid off so that the buyer gets a clear title and the seller won't have any obligations.
5. Seller Never Disclosed Pre-listing Appraisal, Home Inspection, Home Warranty, and Title Work to the Buying Public
If you have the pre-listing appraisal, home inspection, home warranty, and title work, you're off to a great start! We call this the Integrity package. Having these 4 tasks completed gives your home integrity on the market. Many sellers will not complete these pre-listing tasks, therefore your home will stand out among the rest. At Team Crumbz we make sure to upload these documents on the MLS and disclose this information to potential buyers and their agents. This shows them you're a prepared and motivated seller. Buyers can walk through your home rest assured knowing the value and condition of your home, that it's under warranty, and that there are no title issues. A great reassurance to provide!
6. Seller Never Disclosed Their Needs and Goals to Their Agent
It's important you are open and upfront with your agent. We are here to make the process of selling your home smooth and enjoyable. We will help you get the most money for your home in the least amount of time. Before we begin we need to know your goals - when you need to move, how quickly you would like to put your house on the market, and what you need or are hoping to make from your home (your net.)
After your home is on the market and we find a buyer, you and the buyer will agree on price and terms, then we will go to settlement. After paying closing costs and professional fees you will leave the settlement table with your net. In order for us to best prepare your home, we need to be informed of your goals and needs. Discussing your goals and needs will ensure we get you the most money on the sale of your home in a timely manner.
7. Seller Never Reviewed the Listing Agents Marketing Presentation
Approximately 60 -70% of sellers and buyers only interview one agent when looking to buy or sell. Before you choose an agent, it's important to interview many agents until you find one you feel comfortable working with. A few important things to know are their sales history, average days on market, list price-to-sales price ratio, and most importantly, what they are going to do to market your home.
At Team Crumbz we go above and beyond to put together a custom marketing campaign for your home. Click here to see our marketing presentation and how we exceed our clients expectations.
8. Seller Never Determined a Pricing Strategy With Their Realtor
One of the most important elements of selling your home is: The Price! Pricing your home right is very critical. So how do we come up with a price for your home? Using a pricing strategy. It's important to work with an experienced Realtor who knows the market and takes the time to research homes in your area in order to know how to properly price your home in the market. We get a pre-appraisal prior to listing your home then we develop a listing price using that number and other current market factors.
Pricing too low and too high are very common mistakes. Too low and you miss out on money in your pocket. Too high and you get few to no offers, and well under asking price. Your real estate agent (hopefully us at Team Crumbz!) can help guide you on the sales in your area, latest trends, and the reality of what your home is worth. This will give you the best opportunity to get multiple offers and the absolute best price for your home.
The National Association of Realtors states that if the home is priced right, you should get 12-25 showings in the first two weeks, and for every 10 showings you should get one offer. If that's not happening by the end of the second week you and your Realtor need to adjust the price, and adjust it quickly. You want your house priced properly within the market so it's competitive among motivated buyers.
9. Seller Never Reviewed or Approved a Net Sheet
Your Realtor will give you a net sheet when you put your house on the market. The net sheet will tell you what price the property will be listed for, any obligations you may have to take into account like a mortgage or a second mortgage, agent and professional fees, closing costs, taxes, transfer title, and buyer closing costs. This will give you the bottom line of what you're going to net at settlement.
We provide our sellers net sheet options that vary depending on different listing prices we have discussed. It's important to review these net sheets and approve them with your agent so there is no confusion or surprises when it comes time to sell your home.
10. Seller Never Reviewed or Approved Their Agents Marketing Plan
It's important you choose an agent that takes the time to put together the best marketing plan for your home. Your Realtor should review how and where they will market your home. Are they going to expose your home to their local boards, nationally or globally? Do they have networks in other places across the globe to expose your home? Will they provide a video tour of your home? Are they up-to-date on digital content marketing? Find out what marketing services they provide.
At Team Crumbz we do things differently than the average Realtor. We put together a custom marketing plan for your home. Our marketing campaigns get 100's of potential home buyers interested in your home before it even hits the market. We exceed our clients expectations, and take great pride in delivering a high level of service.
At Team Crumbz you will receive premiere services, and the highest level of customer service available in Fountain Hills, Scottsdale, Paradise Valley, Phoenix Metro Area, and your neck of the woods.
We believe in providing “service beyond the sale.” Working with our clients is about more than a closing a deal. It’s about guiding them through the major life event of buying or selling a home, and negotiating the best outcome.
Download our helpful guide for things to consider when selling your house.
We hope these common seller mistakes will help guide you on the sale of your home. Make sure to keep a look out on our blog page for Part 2 of our blog series; Mistakes Sellers Make and How You Can Avoid Them.
Listing your property with the Team Crumbz will give your listing the ❤️ it deserves.
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