You Want To Sell Your Home For More Then You Owe
Brian Scates | Tuesday, February 17, 2015
As a Scates Real Estate broker/agent, I have received numerous questions from homeowners wondering what they need to do to obtain the highest price possible for their home when they finally list it. I share with them how to prepare your home to sell and when to properly list it and consider a figure that will realistically allow you to sell your home at or close to your asking price. Home sales are up in the Twin Cities market and weíre short inventory for the available buyers in the marketplace. With mortgage rates low and single family home inventories tightening itís a perfect time to sell your home. If have any questions, or if youíre thinking about selling your home in the Greater Twin Cities market which includes the cities of Minneapolis / St. Paul and surrounding suburbs, please feel free to get in touch with me.
Make Sure You Can Afford to Sell
Itís not as easy as you think trying to figure out how much youíll make from selling your home by just subtracting your outstanding mortgage from the amount you expect to receive. First, you will need to recognize a number of expenditures when selling your home which includes the buyer agent commission, excise tax, title insurance and any other closing costs, which will vary by state. Just make a call to one of our Scates Real Estate agents or myself and we can provide an estimation of those expenses and an approximate sale price when determining your present situation with the home you own.
Of course, it only makes sense to sell your property if your proceeds look to be in the black. Nevertheless, many people who bought a home in the peak bubble years of 2004 through 2006 are still not in a position to sell. If thatís you, you should consider renting out your home if you really need to move or visiting with your mortgagor that is carrying the debt and see if something can be worked out to walk away cleared of the debt by handing them over the keys. There are agents that have specialized in this process and I am one of them.
List Your Home with Scates Real Estate
This may sound a little bit like I am tooting my own horn, but the numbers donít lie. I am very proud of our companyís success. Scates Real Estate listed a large number of properties in 2014 and found that homes listed with Scates Real Estate agents sold an average of three days faster and for more money than their competitorís comparable homes. Why? Scates Real Estate listings come up first in relevant searches on our site and Scates Real Estate provides clients with a customized, online marketing campaign for their site and listings.
In addition to getting a higher selling price, Scates Real Estate charges a lower commission. Instead of the typical 3 percent commission for selling your home, Scates Real Estate only charges 2 to 2.8 percent. When you combine the commission savings with the higher average sales price, sellers who list with Scates will have up to $5,000 more in their pocket which is totally dependent on the sale price of the home.
Set a Competitive Asking Price
Making a determination of what your list price for your home should be takes great insight into the present marketplace, the right buyer type and an understanding of how to reach that buyer in the most effective manner. Thus, before you go ahead and list your property, ask your prospective real estate agents for a comparative market analysis of your home, which will help your realtor and you, determine a price that is competitive with most recent sales of comparable homes in your market area. Itís absolutely necessary to set a good price initially to create an early swell of interest from multiple buyers and hopefully, gain multiple offers on your property to thrust you near or above your stated asking price. Various studies by the National Association of Realtors and other organizations have shown that the first week that a listing goes on the market it receives nearly four times the amount of visits online than it does a month later. A price drop down the road will not create a similar level of interest as a new listing does.
If you as an owner have any doubt you should start with a lower asking price. Bidding wars are a good thing if youíre the one selling the home. Sometimes by pricing your home $10,000 below your market price you could create a sworm of buyers to bid the price above your goal selling price. However, if you overprice the property by $10,000, that same home may sit on the market for months and you may experience losing a lot more value.
Is the Timing Right to sell?
YesÖ. It is!
You should always consider of selling your home in late winter or early spring. There have been multiple studies done that show homes listed between January 15th and April 15th sold one week faster and for slightly more on average than any other time of the year. This research goes against the grain of conventional thinking that spring is the best time to sell your home.
Nevertheless, again as stated earlier, interest rates are low and inventory of single family homes have tightened significantly in the Greater Twin Cities area so our market is prime for more listings to come available. If you have any interest of selling your home or buying just contact me today on my cell at 612-877-2100 to find out more on the facts related to your area.
Your Home may require some updates but donít spend too much
From my experience, if your kitchen and/or bathrooms are significantly outdated, it may pay to remodel them, but thatís the only reason you should consider a major home improvement project. There are a lot of cheaper projects you can do to make a great first impression, including replacing your front door, installing dual-pane windows, adding a fresh coat of paint to the exterior and maintaining the yard. A deep clean is also very important: wash the windows, steam clean the carpets, pressure wash the deck and scrub your appliances. Additionally, you need to open up your space and remove any clutter from the home so prospective buyers can easily flow through your property so they have a feeling your home is of adequate size and not squished.
After your home is looking its best you should require the realtor you had chosen to use a professional photographer to take the listing photos. Most people start their home search online, so quality images are crucial to getting their attention. If you sell your home with a Scates Real Estate agent, weíll provide free professional photography to make sure your home looks its best.
All reasonable offers should be considered and be prepared to Negotiate on the price.
At Scates Real Estate, our experienced listing agents will know a good offer when they receive it. Our professional team of qualified agents can guide you through the whole process and advise you when to negotiate prices and suggested terms. A knowledgeable agent will know whatís "normalĒ when it comes to offers, and when someone is trying to steal your home. You should always consider all the terms of the offer, not just the price, to make sure youíre receiving the best possible deal.
Visit Scates Real Estate for more information on selling your home with a Scates real estate agent, or to request a free, no-obligation consultation on your homeís value. For more information on listing your home, check out our agents and contact us to show you how you should be treated by a qualified team.
About Brian Scates
Brian is the acting broker for Scates Real Estate in the Twin Cities Market, serving the suburbs surrounding Minneapolis and St. Paul, Minnesota. He created and upholds the Scates mission of total transparency, relentless customer support and always trying to educate his clients of the process as much as possible. We provide a no-pressure environment that allows clients to do their own research AND have the unbiased support of a full team of experienced real estate professionals. Arm yourself with Scates proven track record, online presence and customer support, driven to provide clients with the right information so they can make an informed decision when buying or selling a home.
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