Before listing a home for sale, there are many things a prospective seller should know. Knowledge is power when it comes to real estate. The more educated you are on the process, the better off you will be.
Selling a house is all about being prepared to hit the market. An educated home seller stands a far better chance of success than someone just flying by the seat of their pants.
There is no question that property sales can be stressful events. However, the stress level can be far more manageable if you are well prepared.
Before even considering listing your home for sale, you should clearly understand your goals. Are you moving for a job? Have you outgrown your home? Is it a desire to have your kids in a better school system? Maybe you want a lifestyle change?
Whatever your reason for moving, you want to ensure you are well-versed in what lies ahead. The key to making your move go smoothly, of course, starts with the sale of your current home.
Knowing some essential home-selling tips before listing a home for sale can go a long way!
From almost forty years of experience as a Realtor, there are some common denominators to having a successful home sale. Homeowners who follow simple steps to sell a home almost always come out on top.
By following this information, you will dramatically increase your chances for satisfaction.
Home Selling Checklist
Let’s examine what the home selling process entails. You need to know these items to sell for the most money in the least amount of time with the fewest headaches. Use it as a home selling checklist.
These are all the things a seller should understand before listing for sale.
Determining The Best Time to Sell
Many homeowners ask real estate agents, “Is it a good time to sell my house?”
Let me be clear: the ideal time to sell your house isn’t always right now. A great indicator of an agent thinking more about themselves and the commission they will make is telling you that NOW is always the best time to sell. It’s a blatant lie.
In every area of the country, there are ideal times to sell. For example, in Massachusetts, the spring is head and shoulders better than every other season.
More homes are sold for top dollar this season than in any other. There is more demand, and homes look their best. These are facts. Does this mean you shouldn’t sell at different times of the year? No, it does not.
However, if you want to sell for the most money with the best chance of a bidding war, you wouldn’t try in the dead of winter. You’re less likely to sell a house fast or get top dollar.
Do you think more buyers are looking at homes with a foot of snow on the ground and Christmas carols playing on the radio? Don’t be fooled by terrible agents.
How to Interview a Realtor
One of the most vital steps in selling a home is picking the best professional to represent your interests. Choosing the right Realtor to work with is critical for any Real Estate transaction.
The agent you decide to work with can make or break whether or not you have success. Don’t assume that all Real Estate agents do the same things to sell homes. They do not!
One of the best ways to pick a Real Estate agent to work with should be based on having a track record of success. One of the mistakes consumers always make in choosing a Realtor is doing so based on some other methodology besides if they are good at selling!
Some good things to consider include:
- How many homes does the Realtor sell every year?
- How and where will the house be marketed?
- What is the list price-to-sale ratio of homes they sell?
- What are the average days on the market of the homes they sell?
- How will they communicate with you throughout your relationship?
- Does the Realtor have a robust online presence?
These are just a few things worth mentioning. What you need to know is how to interview a Realtor. You should have a list of great Real Estate agent interview questions to ask the agents you are considering hiring.
It should be part of every home sale checklist.
Picking the best Realtor can dramatically improve your chances of gratification.
The price the agent suggests to list your home shouldn’t be the most significant factor in why you choose them!
Understanding How to Prepare Your House For The Real Estate Market
An excellent real estate agent will be able to guide you on how to improve your property’s appearance. Selling a house as-is will not bring the best results.
Sometimes, doing even the most minor things can make a substantial difference in a home sale. I have witnessed this firsthand over the years as an agent.
Here are sound tips for getting your home ready for prospective home buyers. These items should be a part of any home-selling checklist.
Follow These Staging Tips
Staging a home is vital to being a successful home seller. Here is sensible advice for your consideration.
Do a Comprehensive Cleaning: Clean every corner of the house, paying particular attention to areas like the kitchen, bathrooms, and windows.
Declutter and Remove Personal Items: Consider removing excessive furniture, family photos, and knick-knacks to make the space larger and allow potential buyers to envision themselves living there.
The Organization is Important: Organize closets, cabinets, and storage spaces to showcase ample storage options. Rent a POD or storage unit if necessary.
Repair Small Items: Make necessary repairs and touch-ups, including fixing leaky faucets, patching wall holes, and repainting chipped or outdated walls.
Don’t Skip Out on The Exterior: Enhance curb appeal by mowing the lawn, trimming shrubs, and planting colorful flowers, as first impressions are crucial. Ensure your entryway sparkles. It will be one of the first things buyers focus on when entering the house.
Make Sure There is Maximum Traffic Flow: Stage the home by arranging furniture to maximize space and flow, and consider adding neutral décor and fresh flowers to create an inviting atmosphere.
Put Focus on The Floors: Clean carpets and polish hardwood floors to make them look their best.
Natural Lighting is Vital: Ensure proper lighting throughout the house by replacing burnt-out bulbs and opening curtains or blinds to let in natural light. This is one of the things I have emphasized to my clients over the years. It is a small thing that makes a significant difference.
Eliminate Home Buyer Turnoffs: Remove any odors, such as pet smells or strong cooking scents, and consider using air fresheners or candles with a pleasant aroma. From experience receiving feedback from buyers, this is a substantial no-no!
Remove Over Personalization: Depersonalize the space by removing religious or political items, ensuring a neutral environment that appeals to a broader range of potential buyers.
Figuring Out What Upgrades Should Be Made
When selling a house, strategic upgrades can significantly increase its appeal to potential buyers and ultimately lead to a higher price. However, not all upgrades are created equal, and focusing on those that offer the greatest return on investment (ROI) is essential.
There are some things you shouldn’t fix. It mostly boils down to whether the improvement will put money in your pocket or increase the saleability.
Here are some key areas to consider when deciding on upgrades for a house:
Exterior Appearance
1. Curb Appeal: First impressions matter, and investing in the house’s exterior can significantly impact its value. Enhancing the landscaping, repainting the front door, and ensuring the well-maintained exterior can improve curb appeal and attract more buyers.
Kitchens Are Vital
2. Kitchen Renovation: The kitchen is often considered the heart of the home, and modernizing it can yield a high ROI. Upgrading appliances, replacing outdated countertops, and refreshing cabinets and hardware can make a significant difference.
Consider opting for cost-effective materials that still offer a sleek and updated look. From years of providing advice to sellers, granite is a safe choice. Opt for popular options that are neutral in color.
Bathrooms Are Crucial
3. Bathroom Updates: Bathrooms are another area that can significantly influence a buyer’s decision. Upgrading fixtures, replacing worn-out flooring or tiles, and adding fresh paint can give bathrooms a more polished and modern feel.
Upgrade your ensuite and first-floor half bath.
Consider adding energy-efficient fixtures and water-saving features, as they appeal to environmentally conscious buyers.
Buyers Love Energy Efficiency
4. Energy-Efficient Improvements: In today’s eco-conscious world, energy efficiency is an attractive feature for many buyers. Installing energy-efficient windows, adding insulation, and upgrading to energy-efficient appliances can reduce utility bills.
It also makes the house more appealing and potentially increases its value.
Flooring Matters
5. Flooring: Replacing old or worn-out flooring can instantly transform the look and feel of a home. Hardwood floors are highly desirable and tend to offer a significant ROI.
However, other cost-effective options like laminate or luxury vinyl flooring can also provide a fresh and updated appearance.
Painting Has High ROI
6. Fresh Paint: A fresh coat of paint can work wonders for a home’s overall appeal. Choose neutral colors that appeal to a wide range of potential buyers, allowing them to envision their style and belongings in the space.
Additionally, painting over bold or personalized colors can help neutralize the house and make it more marketable. From experience as a real estate agent, the best advice is to go with light grays or lighter earth tones.
Remember, it is crucial to consider the local real estate market and potential buyers' specific needs and preferences when deciding on upgrades.Click To TweetFocusing on these high-impact areas can make your house more marketable and increase its value when it comes time to sell.
Finding Out Your Home’s Current Condition
Unfortunately, one of the most significant reasons home sales fall through is due to a buyer’s home inspection. A buyer will usually have the property professionally inspected unless in an extreme seller’s market.
Getting a pre-inspection of a home before putting it on the market can provide sellers numerous benefits. A pre-inspection involves hiring a professional home inspector to assess the property’s condition. They will identify potential issues or areas needing repair.
A proactive approach can benefit sellers in several ways, and the cost of an inspection is minor.
You Can Address Issues
First and foremost, a pre-inspection allows sellers to address any necessary repairs or maintenance tasks before listing their home. By taking care of these issues in advance, sellers can eliminate potential roadblocks that could arise during the buyer’s inspection.
This step streamlines the selling process and increases the chances of receiving more competitive offers and potentially higher sale prices.
Second, a pre-inspection allows sellers to understand their home’s condition better. This knowledge can be empowering and provide sellers with the opportunity to disclose any known issues upfront.
Being transparent about the state of the property can help avoid surprises and potential conflicts later on. It leads to smoother negotiations and a more seamless closing process.
Helps Set The Price and Becomes a Marketing Tool
A pre-inspection can also help sellers accurately price their homes. By being aware of the condition of their property, sellers can set a realistic listing price that reflects both the positive aspects and necessary repairs. This can attract serious buyers willing to pay a fair price and avoid overpricing, which could deter potential buyers.
Lastly, having a pre-inspection report can be an excellent marketing tool for sellers. It showcases the effort and care put into maintaining the property while assuring buyers of its quality.
Sharing the inspection report with potential buyers demonstrates transparency and can give them peace of mind, ultimately helping to sell the home faster.
Knowing How to Price Your House Correctly
The main obstacle to selling any home is pricing it correctly. A dangerous game is often played in real estate that can have devastating consequences for a home seller.
Above all else, do not list with a Realtor because they tell you something you want to hear. Listing for the wrong price is a kiss of death and something you will have difficulty recovering from.
Plenty of Pinocchios in the real estate industry has a clear strategy of inflating your present value to get a signed listing contract. Don’t fall for that!
Pricing a home correctly out of the gate is one of the most critical factors for a pleasant experience. Look at the comparable sales data not through your eyes but through the eyes of a buyer.
Separate yourself emotionally from your “home.” Make it a business transaction, not an emotional transaction. I know it is hard to do, but this is the only way to be assured of pricing your home where it should be.
Remember, comparable real estate sales data never lies! This is one of the most critical home-selling tips before listing your home for sale!
Understand What Home Sale Tactics Are Worth It
You’re bound to hear real estate agents bragging about what they will do to sell your house. Some of these tactics will be well worth doing. Others will be more about the agent and less about you.
The perfect example is open houses. These events are far better for a real estate agent than a homeowner. Trust me – from nearly forty years of being in the business; genuine buyers will schedule a showing.
No buyer says to themselves, “If the agent doesn’t have an open house this weekend, I’m not interested.” Of course, many agents would love you to believe this.
Open houses are all about an agent prospecting for business. Your home becomes their office for the weekend. There’s no problem as long as you don’t mind people in your home that don’t belong.
When homes don’t sell, many agents will fall for superstitions such as burying a St. Joseph statue. If this happens, you might want to pray for a different Realtor.
Understanding Showings and Feedback
The best advice I give all my seller clients is to make showing the home as easy as possible. Adding restrictions makes a home more challenging to sell.
A missed showing is a missed opportunity. The more flexible you can be, the better your chances of selling quickly. Some sellers also require that the listing agent is in attendance. This is a big mistake. Make sure you read the reference on why.
Once showings start, you must be prepared to react to the feedback. Sometimes, being a successful seller boils down to heading advice.
An excellent real estate agent will have a system in place to provide you with showing feedback. Showing time is a professional company many top-producing agents use.
How to Evaluate Offers
You’ll want to reap the rewards once you’ve put in all the hard work in preparing to sell. Evaluating a buyer’s offer becomes a critical component to that success.
When you receive an offer, the most vital considerations will be the contingencies found in the contract. The most common real estate contingencies will be the following:
- Home inspection contingency: This will give the buyer the right to inspect the home in a specific amount of time, usually 7-14 days. A deadline will also be set for responding to the seller after the inspection. This is usually 24-48 hours.
- Appraisal contingency: The appraisal contingency will give the buyer the right to terminate the sale or potentially renegotiate if the appraised value is lower than the sales price.
- Mortgage contingency: The financing contingency clause gives a buyer the right to procure a mortgage in a specified time, usually 4-6 weeks. If a buyer cannot get financing despite diligent efforts, their earnest money will be returned.
- Home Sale: Although rare, some buyers will attempt to make the sale subject to selling their existing home first. Accepting this clause is usually a mistake.
- Clean Title: Most real estate contracts are subject to the seller providing a clear title to the property.
Knowing the appropriate time frames for an offer is necessary. Accepting offer terms that don’t make sense could be a significant mistake. Getting counseling from your Realtor or real estate attorney when accepting offer terms is essential.
For example, the buyer might request three months to get financing. This would be a significant red flag because getting a mortgage doesn’t take that long.
Properly Evaluate a Buyer’s Financial Qualification
Pre-approved for a mortgage is crucial for home buyers, as it has several benefits and advantages. First and foremost, pre-approval gives home buyers a clear understanding of their budget and how much they can afford to spend on a property.
This knowledge helps avoid disappointment and wasted time by focusing on homes within the buyer’s price range.
A pre-approval strengthens the buyer’s credibility in the eyes of real estate agents and sellers. It demonstrates that a buyer is serious about purchasing a property and has taken the necessary steps to secure financing. It can give them an edge in a competitive housing market, where sellers often prioritize offers from pre-approved buyers.
As a seller, you would never want to accept an offer without a valid pre-approval letter from a trustworthy mortgage lender. Sellers must also pay special attention to the difference between pre-approved and pre-qualified. Depending on the lender, there can be a significant difference.
Understanding Down Payments, Especially in Robust Seller’s Markets
An ample down payment can be crucial in specific circumstances. For example, if your home has been bid up over the asking price, the buyer’s ability to provide more money could be essential.
With bidding wars, appraisal gaps become more common. You don’t want to accept an offer from a buyer who can’t increase their down payment. The buyer won’t get a mortgage, and you’ll be back at square one.
Avoiding Mistakes
You’ll want to avoid the most common mistakes on your triumphant journey. Here are some of the things you must avoid. These home-selling mistakes lead to failure.
- Overpricing
- No thought was given to real estate agent selection
- Neglecting repairs and maintenance
- Inadequate staging
- Not preparing for showings
- No thought to marketing or photography
- Ignoring feedback and market trends
- Lack of transparency and disclosure
- Inflexibility during negotiations when warranted
Final Thoughts
Any excellent home-selling checklist will put a homeowner in the best position to succeed. Hopefully, you have enjoyed these selling tips and can put them to good use.
Please call me if you are in the Metrowest, Massachusetts, area and need help. I would welcome the chance to interview for your business.
About the Author: Bill Gassett, a nationally recognized leader in his field, provided information on the home sale checklist for success. He is an expert in mortgages, financing, moving, home improvement, and general real estate.
Learn more about Bill Gassett and the publications he has been featured in. Bill can be reached via email at billgassett@remaxexec.com or by phone at 508-625-0191. Bill has helped people move in and out of Metrowest towns for the last 38+ years.
Are you thinking of selling your home? I am passionate about real estate and love sharing my marketing expertise!
I service Real Estate Sales in the following Metrowest MA towns: Ashland, Bellingham, Douglas, Framingham, Franklin, Grafton, Holliston, Hopkinton, Hopedale, Medway, Mendon, Milford, Millbury, Millville, Natick, Northborough, Northbridge, Shrewsbury, Southborough, Sutton, Wayland, Westborough, Whitinsville, Worcester, Upton, and Uxbridge MA.
