Are you planning to sell your property? First-time sellers may be concerned about how the sale will go because they have no previous experience with the selling process. Problems may arise when you are selling a property if you're not careful. Discover these typical mistakes first-time home sellers make and how to avoid them.
Mistake #1: Try to sell the property privately without using a real estate agent.
Selling a home without the assistance of a real estate agent is motivated mainly by saving on the real estate agent's commission. You could indeed try to do it alone, but what would be the cost for you? an excellent real estate agent will look out for your best interests. They will increase the chances of getting your house sold for the best price possible quickly and reduce the stress from selling. Because of their expertise in negotiating home sales, your agent can help you get more money for your house than you might if you were selling it on your own.
Most property sellers are not familiar with the legality of the selling procedure, including the contract of sale which real estate agents are.
Professional advice from a knowledgeable agent on any necessary improvement or presentation to your property will improve the potential selling price.
Buyers who buy directly from the owner will expect a price reduction from the usual market price due to no agent commission paid by the seller.
How to avoid: Due to the financial and legal disadvantages mentioned above, it's important to invest in a great real estate agent when selling a house. Consider hiring a real estate agent with a proven track record of selling property at a high price, quick and stress-free.
Mistake #2: Too emotionally involved with the selling process.
Emotional attachment to your home is normal while living in it, but it becomes an issue when it comes time to sell. As a seller, you need to avoid letting your feelings dictate your reactions and responses during the sales process. Logic and reason should guide the transaction.
Some of the top reasons that emotion can derail the selling process:
Not accepting the best offer from the buyer comes typically early in the process because the property seller is not ready emotionally to sell.
Taking negative comments from the buyers personally, you have to remember that purchasers don't see your property the way you do.
Do the transaction with the wrong buyer and rejecting the right buyer based on personal preference.
How to avoid: Remember, you're about to engage in a business transaction that could be the most significant of your life. Don't let your emotions get the better of you, or you could make a costly error and preferable to have someone else other than yourself negotiate with the buyer on your behalf.
Mistake #3: Ignoring required upkeep and repairs
If you don't get the repairs done before putting your house on the market, you'll lose money. Rather than have purchasers notice all of your home's flaws at the open house, spend the money upfront to address them.
Most buyers nowadays are time poor and prefer buying a house with fewer things they have to repair. So if you don't fix anything that needs to be repaired, your prospective buyers will almost certainly make a lower offer.
How to avoid: Always repair and present the property as something they can move in straight away; these will improve the property value in the buyer's eye.
Mistake #4: Setting the wrong asking price.
Another common mistake first-time home sellers make is setting the asking price too much or too little for their property. Having the knowledge and understanding of the local real estate market will significantly impact the optimal asking price for your home. Property sellers need to research recent comparable sales in the area and the competition on the market to understand what their home is worth.
How to avoid: It will be invaluable to know the right selling price for your property by doing your online research on your property's value or get a market appraisal for your property from a local real estate agent.
Mistake #5: Selling at the wrong time.
There are a lot of factors that influence the price of your property which includes: local real estate market, which is constantly shifting. Your sale can be affected by various circumstances, including the season, other nearby property listings, interest rates, new house construction, local zoning changes, school catchment changes and numerous other variables. If you choose the wrong time to sell your property, your home may take longer to sell and fetch less money as fewer potential buyers are viewing.
How to avoid: keep up to date with local news for any update that might affect your local property market and seek advice from your local real estate agent on the best time to put your house on the market.
Mistake #6: Ignoring the house presentation.
When you put your house on the market, your competition will be other properties for sale in the same neighbourhood and price range as yours. All the properties compete for the attention of the same pool of buyers, who will inspect a property and eventually an offer on it. The buyers will not just buy a property because of the advertising or the selling price alone; they will buy because of the property itself. So investing your time and effort to make your home look fantastic is well worth it. You could do this by decluttering and by staging the property with the right furniture.
Clutter decreases property presentation and puts a stop to a deal. De-cluttering will give buyers a greater sense of space and improve your property presentation. When it's time to put your house on the market, you'll see a significant return on your investment.
Home staging that creates an 'emotional trigger' in a buyer increases the likelihood of the sale, increases competition among buyers and eventually increases the final selling price. That's because staged property makes the buyers feel that they've already moved in and visualised themselves as residents of your home. For ideas and inspiration, look through home interior magazines or websites.
How to avoid: If you want to sell for the highest possible price, showcasing your house as best as possible will probably be your best investment. Decluttering as much as possible and see if hiring a staging company or interior consultant is an option with your agent. Ensure your place has a "WOW" factor and get people talking about it.
Knowing all these property selling mistakes and how to avoid them will help you save tens of thousands of dollars down the track. Need more advice? Check out our free home seller’s guide. By having the right mindset, correct information and a skilled real estate agent to help guide you through the home-selling process, selling your first house might be a smooth and stress-free experience. To learn more about the home selling process or how to make your property selling easy, contact Irving today.
Irving Gunawan | RayWhite Kellyville Licensed real estate agent
📞 0468 956 677