Selling your home is a big decision and requires a lot of work. Every bit of prep work you do helps you get the most return from your investment. Following are 5 tips to help with the home selling process:
1. Investigate the local housing market
Visit the large real estate sites, such as Realtor.com, to see how similar homes are priced in your neighborhood. Check your local newspaper for a listing of selling and asking prices of recently sold homes. Many newspapers will also list the length of time the homes were on the market. Use the prices for your neighborhood over the past several months as a reference point of what your home is worth. Sell my home fast in Dallas
2. Select an agent
Some home sellers opt to sell their home without an agent in an effort to save the 6% of the selling price that a broker typically collects. Don’t forget about the work involved in marketing the house and being available to show it at any time. If you decide to work with an agent, be sure to ask for referrals from friends. Make an appointment with the agent and interview him or her for the job. Ask the agent for thoughts on the selling price to ensure it is comparable to the homework you did. Be wary of agents who boast an inflated selling price. Go by what you know about the current housing market in the area and what you know about your house.
3. Educate yourself on the Commission Structure
Upon finding an agent to work with, you will need to sign a listing agreement. The listing agreement is a contract that outlines the specifics of your arrangement, such as how long you will let the agent represent your home and what the compensation will entail. Be sure to include relevant information, such as when you want the house off-limits for walk throughs.
Some agents will request an exclusive listing which means the property will not be offered in the local MLS and the listing broker will not share their commission with other brokers in the event the house is sold within a specified time frame. In this situation, you should commit to no longer than 3 months to avoid being locked into a bad situation.
Commissions can also be negotiated. For more expensive homes, agents may consider lower commissions of 4 or 5 percent (instead of the usual 6 percent). Or, in a buyer’s market, consider offering a higher commission if the agent sells the house within a certain percentage of your asking price.
4. Prepare for an Open House
Regardless of whether you are a For Sale by Owner or are working with an agent, you’ll need to ensure your home is up-to-par to show to prospective buyers. Remove clutter from every room by packing up what you won’t need in the short-term or by organizing a garage sale to thin things out. Move any unneeded furniture into storage. Paint the interior and/or exterior if it looks worn. Keep the lawn mowed and plant flowers (if it’s the right season). Fix known items, such as roof leaks.
Next, settle on an asking price. To price your home, take a look at what comparable homes are selling for in your neighborhood. Your agent should provide you with sales information as well and help you determine a strategy for pricing your home higher or lower.
5. Execute Good Timing
Research the average length of time homes are on the market in your neighborhood. Price the house according to when you need it to sell.
Your agent will provide guidance on how to respond to bids. Make sure your agent reviews the contingency clauses included with the bid. As a general rule of thumb, it’s not wise to sell your home with a contingency that the buyer must sell their home first.
Restrict the buyer’s contingencies within a specified amount of time. For example, if the sale is contingent upon the home passing an inspection, then get the inspection scheduled within 7 to 10 days of an accepted bid. As far as the closing date is concerned, ensure the buyer commits to a reasonable date, such as 45 to 60 days from acceptance.