Owning a house has always been the American dream, but fewer people are buying homes now. Since the COVID-19 pandemic, people are more cash-strapped, and loans are becoming harder to acquire.
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This situation is a considerable hurdle for home sellers. With few people buying houses, house sales take more time and are less beneficial for the seller. By following the correct steps, you can hope to sell your home fast and at a reasonable price. Here these steps are mentioned in detail.
- Hire a Real Estate Agent
Hiring a real estate agent is crucial for home selling, especially if it is your first time selling a property. Realtors have experience as they have closed dozens of deals and can help you with crucial information like the best time to sell and the repairs that will raise the property’s value.
While an experienced real estate agent can help sell your house, it is also vital to consider their commission. Hiring a realtor will be the most considerable expense you make in the process, and if a large sum of the sale goes to the real estate agent, you will have less money for your other pursuits. Realtors usually ask for a fixed portion, such as 5%. Online real estate agents are cheaper and ask for a flat fee rather than a percentage of the sale, but you do have to compromise on the services you receive from them.
- Decide a Selling Strategy
Devising a selling strategy with your real estate agent ensures you stay on track and do not invest in extra expenses. The plan will set a time frame for selling the house and set deadlines for when each step. This measure ensures the process does not drag out, and you can make a quick and efficient sale. The strategy also helps you estimate the total fees you will incur in selling, so you can plan your finances accordingly and take out loans if necessary.
- Get a Home Inspection
Buyers want to buy homes that require the least amount of repairs and renovations from their side. Well-maintained and ready-to-move-in homes do better in the market. Consider getting an inspection to ensure your house is in the best condition. A home inspector will give your interiors and exteriors a detailed look and can detect problems in the foundation, roof, plumbing, and electrical. After having all the issues laid before you, you can decide which ones to repair and which to leave.
Fixing all the problems outlined in the inspection report is not essential. Some buyers prefer seeing the inspection report to see the repairs they will need to perform on the house, which helps build trust between both parties.
- Repair and Renovate
Repair and renovation are critical in selling a house as they allow you to sell the property for a higher value. Renovated kitchens and bathrooms attract more customers and let you raise the property’s price. However, these are costly renovations, and the extra money they bring can barely cover the initial cost.
Instead, it is better to invest in repairs that promise the longevity of your house, such as repairing cracks in the foundation, replacing roof shingles, ensuring wire connections are insulated, and fixing leaky pipes. These repairs cost less and help avoid leading to worse problems.
Consider repainting the exterior and interior walls. After years of living in a house, the walls will have sustained damage from rain and heavy winds. A coat of fresh paint can help hide these problems. Old houses are also prone to minor cracks in the walls. You should use a joint compound to seal the gap and then paint over it. You can DIY both of these repairs, so it costs almost nothing but helps add value to the sale.
- Deep Clean and Stage the House
To increase the appeal of your house, you must present it well to potential buyers. One way of achieving this is by staging your home for an open house and private showings. Declutter your space and keep minimal furniture to make your house seem spacious. You can even hire a professional stager to decorate a vacant home. If you occupy the property while it’s on the market, the stager will mix their furniture with yours to add appeal.
Potential buyers also want a clean space. Pay attention to areas you usually skip, such as door handles, windows, and vents. These measures tell the buyers your house is well-maintained and ready to move in.
- Negotiate with Buyers
After receiving offers for your house, you can sit with your real estate agent and start negotiations. Buyers will do their best to get you to lower the price of the home. This step is critical to have an experienced real estate agent, as they have strategies to keep the amount in your favor. You will also decide the amount that will be paid as a downpayment, the number of installments, their rate, and the set interest rates.
Negotiations will take place regarding other aspects such as renovations. If there is a structural problem in the house, the buyer can ask you to compensate by asking for a lower price, or they can ask you to fix it. For a higher price, you can also include fixed appliances in the sale, like heating and cooling units, a security system, and stoves.
Sellers must pay closing costs for selling a home. You can negotiate with the buyer, and both parties can cover the selling costs, or by offering buyers a better deal, you can have them cover it completely.
- Close the Sale
After successfully negotiating the terms, you can finally close the deal on selling your home. Before the contract is signed, some last-minute steps still need to be finished. Most buyers take out loans to purchase a house before loan providers can grant the loan. They appraise the property to ensure it is worth what the buyer agreed to pay. Once the loan providers finalize the deal, escrow will transport the money to you. Both parties can then sign the agreement, and you can take the utilities out of your name and move out if you already haven’t.
Selling a home comes with its complications and stresses, but you can simplify the process if you follow the steps mentioned above. Remember not to hurry the sale and complete each stage to guarantee a profitable result. Selling your house to home-buying companies can be a suitable option if you are in a hurry, as they require no additional inspection, repairs, staging, or negotiating steps. As their quote will be lower than the market value, it is better to follow the proper steps if you are not in a rush. Follow an adequate plan to sell your home quickly and reasonably.