How to Sell a House For The First Time
Are you considering selling a home for the first time? As a first-time seller, it is crucial to understand the process.
Selling your house is a big deal and is not an exercise that most people go through too often.
As you progress with your sale, many things must be considered if you want to sell quickly and for a reasonable price.
From picking the right agent to pricing your home correctly, you put yourself in the best position to get the desired results when you do things right.
How to sell a home for the first time is not something you should take lightly. It is easy to make mistakes without the proper guidance.
No matter what the market is doing now, understand that you can sell your home if you want to.
You can sell it, and you can sell it for a price comparable to other similar homes – as long as you work with the right agent and you listen to their advice.
Selling a home for the first time can sometimes be daunting because you don’t have any experience to fall back on. There are numerous things home sellers should know. Having a checklist can help.
It is relatively easy to make mistakes as a first-time home seller if you don’t have the proper guidance.
From nearly forty years of experience selling real estate, many homeowners fail to grasp the vital steps it takes to be successful. From picking a terrible Realtor, to overpricing, to not spending any time staging, they make consequential mistakes.
The key is realizing how crucial these things are to achieving your goals. Asking the right questions and understanding what potential home buyers want is part of being successful.
Put the following tips for first-time home sellers to work for you and start down the path to a successful sale!
11 Best Tips For First-Time Home Sellers
Here are some essential things to know when selling a house for the first time.
1. Understand The Best Time to Sell Your House
Understanding the current local real estate market trend can benefit individuals looking to sell their homes. Is it a buyer’s or seller’s market? Those with a more flexible timeline may want to wait for a more profitable seller’s market.
A seller’s market will offer a higher demand for homes than supply, giving sellers an advantage during negotiations and potentially increasing the prices of their properties.
In most real estate markets, spring is the best time to sell a home. Based on experience, this happens due to far more buyers being in the market then.
Homes look their best with green lawns and flowers blossoming. The weather is also changing for the better with warmer temperatures. Other times of the year can be excellent, too.
Consult with a local real estate agent to discuss optimal selling time frames. Stay away from agents that say “NOW” is the best time to sell. You’ve likely found an agent who wants to put a commission in their pocket as soon as possible.
When potential sellers ask me the best time to sell, they get the truth. Here in my market of Massachusetts, the spring is much better than any other season. You will maximize your profits at this time of year.
From experience, you are far more likely to experience a bidding war at that time.
Please understand that every market has home-selling seasons.
2. Pick The Right Realtor
While it is possible to sell your home without the help of a professional, doing so is not recommended. There is too much at stake in a home sale, and many things can go wrong. A good agent will handle all the details and help you understand your options – specific to your area.
You can read all the information you want about real estate sales, but you will still not have the connections or experience to market your home effectively and avoid making costly mistakes.
Look for a top local real estate agent that provides recent, satisfied customers. You want an agent who sells homes for close to the price they are listed – demonstrating an understanding of the market.
Interview several Realtors before deciding on the best one. Knowing how to interview a Realtor properly is perhaps one of your most essential tasks. If you choose the wrong agent, your chances of success drop dramatically.
The person you choose will be responsible for how your sale goes, so it is worth your time to look around and be demanding.
There are plenty of real estate agents, but not all are necessarily great. Do your homework and choose someone to help you accomplish your sales goals.
As a Realtor, I see first-hand the lousy decisions people make when choosing an agent. Throughout my career, many have become clients after the first agent failed.
There is a Difference Between Listing Agents and Buyer’s Agents
Understanding the difference between a listing agent vs. a selling agent is especially important. There are two distinct facets of the real estate business. Some agents do an exceptional job working with sellers, and some agents do with buyers.
If you are selling your home for the first time, working with someone who specializes in working with sellers is imperative.
Rarely does an agent do both facets of the business well. Remember that if your listing agent is also out showing houses daily, they will not have the time necessary to invest in selling your home.
Qualifications to Look For in a Real Estate Agent
You should work with an agent with outstanding marketing skills when selling your home. This is one of the vital traits to look for in a great listing agent. Over 90 percent of all buyers find their home online, so you want an agent with the skills and drive to make your home stand out.
Outstanding photography, detailed listing descriptions, and video tours are all part of a top-producing agent’s marketing arsenal. There are lots of real estate agents who do none of these things! Check to ensure you know what you are getting with the agent you hire.
Here are some additional things you should expect from your real estate agent when selling, including attending the home inspection and appraisal to represent your best interests.
Real Estate agents are a dime a dozen – pick one that goes the extra mile in everything they do.
3. Price Your Home Appropriately
A First-time home seller should understand there is nothing more vital to selling a home than pricing it correctly.
Picking the right real estate agent and price go hand in hand.
Accurate house pricing is another skill the best agents possess. Everyone wants to sell for the highest possible price. But be careful because pricing a home too high will repel home buyers.
If your home stays on the market long enough, it could develop a stigma and be seen as undesirable by a potential home buyer. Looking at your neighbor’s house to see what they sell for is insufficient.
Numerous real estate pricing factors need to be considered, of which your agent should have a good grasp.
If you find an experienced agent with a history of selling at close to the original selling price, you know you are working with someone who knows what they are doing.
The Market Analysis Doesn’t Lie, But Agents Do
Your neighbor’s home may or may not be priced correctly. Consider similar closed sales as a basis for establishing the right asking price. The best real estate agents will prepare a comparative market analysis.
The information provided should make sense. The comparable sales should be comparable. Real Estate agents choosing the wrong comps will lead to an inappropriate asking price.
Correcting the price a month or two later will not fix the problem. By that point, you can expect to be low-balled whatever price you set.
Talk with your Realtor and try to price the home appropriately to the market you are in. If you have a real estate agent you trust, you want to price the home at the point recommended by the professional you are working with.
Do be careful when choosing an agent based on the value they provide for your home. Many agents will pull your heartstrings by giving you an unrealistic market value.
This is the kind of agent you need to stay away from. Sometimes, real estate agents will blatantly misrepresent the value of your home to get you to sign an exclusive contract with them.
4. Spend Time Getting The Home Ready
Understanding how to prepare your home for sale as a first-time seller is crucial.
One of the biggest mistakes numerous sellers make is not being completely ready to put their home on the market. Remember, you compete with many other sellers to accomplish the same thing.
It stands to reason you need to keep up with the Joneses when selling a home! What exactly does this mean? It means understanding the importance of proper home staging.
It is one of the first things I routinely discuss with my clients. One common mistake first-time home sellers make is not putting in enough effort to make their properties visually appealing.
Start with these things, and you will be on the right track:
Make Exterior Home Improvements
- Make sure your curb appeal is exceptional.
- Make any necessary repairs to any blatant defects like rotted siding or trim.
- Keep decks, patios, and walkways clean and tidy.
- Freshen up the landscaping by planting some flowers with color, pulling any weeds, and adding some fresh mulch to beds.
- Seal coat the driveway if necessary.
Make Interior Home Improvements:
- Clean the home from top to bottom – this is one of the cheapest improvements you can make that make a real difference.
- Remove any pet or smoking odors.
- Paint any rooms that need a fresh or neutral coat of paint.
- Add brighter light bulbs in darker areas of the home.
- Correct any visible defect a buyer will likely bring up at a home inspection. This article has some great tips on preparing for a home inspection.
- Replace stained or worn carpeting.
- Refinish hardwood floors.
- Call a junk removal company like 1-800-Got-Junk to de-clutter your property.
- Consider donating furniture to charity to make your home more spacious and open.
It is understood that there are times when an owner has no money to do some of the abovementioned things, like replacing carpeting or refinishing hardwood floors.
If you have the funds, however, you will get a great return on your investment, as these things can change the whole complexion of a home.
Staging should never be overlooked.
5. Marketing and Advertising Are Vital
Marketing and advertising play a crucial role in the success of selling a property. In today’s competitive real estate market, listing a house and hoping for potential buyers to find it is not enough.
Effective marketing and advertising strategies are essential for attracting the right audience. They maximize the chances of selling a home quickly and at a desirable price.
First and foremost, marketing and advertising increase the visibility and exposure of a home. By implementing various marketing techniques such as online listings, social media campaigns, and print advertisements, sellers can reach a wider audience of potential buyers.
The increased visibility increases the likelihood of finding the right buyer quickly and efficiently.
Furthermore, marketing and advertising allow sellers to showcase their property’s best features and highlights. Sellers can present their homes most appealingly through high-quality photos, videos, and virtual tours.
A visual representation helps create a positive first impression and generates interest among potential buyers.
The best real estate agents invest in professional marketing materials and well-executed advertising campaigns. Doing so signals to buyers that the seller is serious and committed to selling their home.
6. Be Flexible With Your House Showings
There are few things more essential than being flexible with showings. A first-time seller often does not realize this. A lost showing is a lost opportunity. You should strive to get as many people through your home as possible.
Turning down showings will make selling your property far more challenging. It is also advisable to leave the home for the showings so buyers and their agents can view it with privacy.
I've had numerous discussions with my clients about the necessity of saying yes to as many potential buyers as possible. Not providing access can end up being a significant mistake. A lost opportunity you may never get back.Click To TweetDeferred Showings is an Excellent Marketing Strategy
One of the best strategies from experience is deferring your showings.
Delayed showings work by listing your home on a Monday but not starting the showings until Friday. The home goes into the Multiple Listing Service immediately, but buyers cannot see the home until Friday.
It puts your home in a better position to receive multiple offers potentially. You’ll also want to put in the MLS that you will not consider an offer until the deadline of Monday.
Doing this increases the odds your home will have a bidding war.
7. Consider Skipping Open Houses
Many real estate agents will tell you how wonderful an open house will be to sell your home. Unfortunately, most of the time, open houses are nothing more than an opportunity for an agent to prospect for business.
Genuine buyers will schedule a showing for homes they would like to view. Despite what some agents will tell you, skipping an open house won’t be a big deal.
When making a home purchase, genuine buyers schedule showings with their agent. A home buyer won’t skip out on viewing a home in a neighborhood they love because you don’t have an open house.
Anyone who believes that is foolish. If you don’t mind people who don’t belong in your property, go ahead and have one.
8. Be Ready to Move if You Get an Offer
When someone makes an offer on your home, you must be ready to move quickly to finalize your relocation and get everything out of your home.
Sometimes, it can feel like you have a lot of time, especially if you have not received any offers. But once you’re under contract, you must get into gear and take care of your business as quickly as possible.
Know where you are going to go before the sale closes. Moving is a time-consuming and tiresome process all on its own. Be prepared for it.
Oftentimes, first-time sellers don’t understand the concept of selling and buying a home simultaneously. Some common mistakes are thinking another seller will allow you a home sale contingency or putting a clause into your listing agreement that says something like “sale subject to successfully finding another home of choice.
These kinds of contingencies muddy up the home-selling process and make it far more challenging to achieve the goal of selling your home.
In most markets, owners will not accept a home sale contingency or even a right of first refusal. You should consult your agent about this before listing your home for sale.
9. Understanding a Buyer’s Inspections and Appraisal
Understanding the buyer’s home inspection and appraisal process is crucial. These steps are critical in determining the condition and value of the property.
Here are some key points that you should know:
Home Inspections
1. Home Inspection: A home inspection is a thorough examination of the property’s condition performed by a professional inspector hired by the buyer. The inspection typically includes reviewing the home’s structure, electrical systems, plumbing, HVAC, and other essential components.
The purpose of the inspection is to identify any existing or potential issues that may affect the value or safety of the property.
Disclosures
2. Disclosure: Sellers are legally required to disclose any known defects or issues with the property to potential buyers when asked. Providing accurate and detailed information about the property’s condition is essential to avoid legal complications.
Failure to disclose could lead to legal disputes and financial consequences. Your real estate agent will likely ask you to complete a seller’s disclosure statement.
Negotiations
3. Negotiation: The buyer may request repairs or further negotiations based on the findings after the home inspection. Sellers have the option to negotiate and come to an agreement with the buyer regarding any necessary repairs or adjustments.
Sellers need to consider the cost of repairs and evaluate whether it’s more beneficial to address the issues or negotiate the price accordingly.
Negotiating an inspection is where an excellent seller’s agent becomes more valuable.
Home Appraisals
4. Appraisal: The appraisal, conducted by a licensed appraiser, evaluates the property’s market value. The appraiser assesses various factors such as the property’s location, size, condition, recent sales of comparable properties, and current market conditions.
The appraisal is essential for lenders as it determines the maximum loan amount they will provide to the buyer. The appraiser will look for numerous things to complete their valuation.
Pricing Factors
5. Pricing: Home sellers should know that the appraisal can significantly impact the final sale price. If the appraisal comes in lower than the agreed-upon purchase price, it may lead to renegotiation or even potential cancellation of the deal.
Setting a realistic asking price and considering recent comparable sales in the area is crucial to avoid potential appraisal issues.
Home sellers must understand the buyer’s home inspection and appraisal process. It adequately prepares sellers for potential repairs or negotiations and ensures a smooth and successful property sale.
Open communication and transparency between the seller and buyer throughout these processes can help create a positive experience for both parties.
10. Understand What The Costs Will Be For Closing The Sale
There can be a lot of extra costs associated with selling a home, which you may be expected to take care of as the seller.
You must also pay your real estate agent the commission once the house sells. First, understand that many of these costs, including the real estate commission, can be negotiated.
The perfect example is when you are selling your home, turning around, and buying another with the same agent. Real Estate agents love these kinds of transactions!
A business-savvy agent will not turn down the opportunity to make two sales. A closed-minded agent who says no to any negotiation might not be the best bet to work with.
It is in your best interests to seek a fair deal, so don’t be afraid to seek a middle ground between the offer presented to you and what you think is fair to pay.
I love working with clients who purchase and sell. Who wouldn’t love that situation? You’ll get no resistance to a discount from me!
Second, make sure you understand all the closing costs that will be coming your way. Have your real estate agent present you with a list of all costs and ensure you are prepared to pay them.
Feel free to question anything you are uncertain about.
11. Know Your Local Real Estate Market
Local real estate markets are unique, meaning that what works in one market may not work in another. Just because you see a home like yours, the next town over that sells for a specific price, does not mean your home will sell for a similar price.
So many factors go into real estate markets that it takes a lot of training and experience working in each market to understand what to expect clearly.
For example, in my neck of the woods, the same home in Hopkinton, Massachusetts, could be over $100,000 more than the same home in Milford, Massachusetts, and these two towns are right next to each other!
Your real estate agent should be an expert on your local market. They should be able to tell you if you want to sell in spring, summer, fall, or winter.
Real Estate agents should know what houses similar to yours are selling for and how to compare your home to those other homes to decide on the best-selling price.
The more your agent knows about your area, the better job they can do when selling your house.
12. Get Your Moving Tasks Squared Away
Selling a house for the first time means you could be going through your first significant move. There are many tasks you’ll need to consider.
Here are some things you’ll want to square away early in the process.
- Changing addresses: you’ll want a checklist to let everyone know you’re moving. Here is an exhaustive list of who to notify.
- Change your address with the post office – it will also be vital to set up forwarding your mail at your new location. Follow the steps for changing your address with USPS.
- Get your boxes for moving – the first step in the moving process will be getting boxes to move so you can start packing.
- Hire a moving company – perhaps one of the most essential tasks for a first-time seller is picking a moving company you’ll love. Check out our reviews for the best moving companies.
Noteworthy Statistics
1. According to recent data, staged homes sell 73% faster than those not.
2. Pricing your home 5% below market value can attract up to 80% more potential buyers.
3. Homes listed on a Monday receive an average of 12% more views than on other weekdays.
4. Including high-quality professional photos in your listing can increase the chances of selling by 61%.
5. Upgrading your kitchen appliances to energy-efficient ones can boost the selling price.
6. Buyers purchasing homes priced accurately will likely receive mortgages from a lender without appraisal issues.
Final Thoughts
Selling a home is not rocket science, but it is easy to make mistakes when you are not entirely educated. Following the above tips for selling a home for the first time will increase your odds of an enjoyable and profitable sale.
Additional Helpful Home Selling References
- The best tips for selling a home will get your property sold quickly for the most money via Maximum Real Estate Exposure.
- How to get rid of a hard-to-sell home is a concept that should be understood when selling a house for the first time. It’s covered well via The Las Vegas Luxury Home Pro.
Use these additional resources to make intelligent business decisions when selling a home for the first time. A well-informed seller will always have the upper hand on those owners who do not educate themselves properly.
About the Author: Bill Gassett, a nationally recognized leader in his field, provided tips for a first-time home seller. 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
