Selling your home is a big financial and emotional task, which requires lots of planning. So before you decide to put your home on the market, here are five questions to consider.
1. What is my home worth?
Several factors go into determining your home’s market value. These include the condition of the property, square footage, location, amenities, as well as recent comparable property sales. The two main factors are the condition of the home and the level of demand for homes like it. We can help you determine appropriate pricing for your house by using comparable sales in your neighborhood and knowing the Berkshire market.
2. What is my financial position?
You’ll need to know the remaining balance on your mortgage and any home equity loans you have taken out. If your property is valued at more than what you owe, chances are you’ll come out on top. But if you’re upside-down on your loan(s), and market value is less than what you owe, you could be putting yourself at greater financial risk by selling. You’ll need to pay off those debts when you sell, in addition to expenses related to the sale of your home such as repair costs, seller concessions, commissions, and closing costs.
3. How much work is needed to get my house ready for the highest offers?
Before any potential buyer walks through your door, you need to get your property “show ready”. Depending on your home’s needs, this could be simple or could be quite the undertaking. Attention to detail inside and out is important to highlight your home’s best features and to get the highest offers from buyers who can see your home as their new home.
Smaller, cosmetic repairs can be a good idea to make your home more marketable and valuable. There are several simple, low-cost things you can do to boost the value of your home. These include eliminating clutter, washing windows and walls, and installing higher wattage bulbs to create a brighter environment. Staging your home, which helps paint a picture for how buyers will use their new space, can also add value.
On bigger issues, like a damaged roof, you have two options: make the repairs and pay for it yourself or adjust the price accordingly. Most buyers won’t pay top-dollar if they know there are big, expensive projects waiting to be completed.
Are you willing to put the time, effort, and money into doing these repairs and cleanup, or are you willing to accept a lower market value?
You can ask your realtor to recommend professional, well-reviewed vendors to do any electrical, plumbing, HVAC, sewer, roof, or painting work that needs to be done. These repairs and enhancements can be costly, so it’s important to keep in mind the cost vs. the value.
4. Why am I selling?
The emotional and personal aspects of selling a home are just as important as the technical ones. Are you moving in with a new significant other, do you need more or less space, are you financially strapped, are you moving for personal reasons? Take the time to sit down and seriously consider the reasons you are selling to make sure you are making the right move, and decide if selling your home will actually help you achieve your goals.
5. Do I really need to hire an agent?
There are many benefits to hiring an agent. A real estate agent can help with all aspects of the selling process, from proper pricing to marketing to handling the showings, negotiations, contracts, and intricacies of closing. An agent will look at any risks associated with incoming offers and negotiate on your behalf to secure the best price – and quickest sale – possible.
Homes sold by agents fetch an average of 23% more than For Sale By Owner sales and usually sell within a faster timeframe.
While you’re in the process of selling your current home, you may be looking for a new home to move into. This simultaneous sell-and-search can present logistical problems if you’re not prepared.
Should you purchase a new home first, or wait until your current home is under contract? Can you afford two mortgages if you purchase your new home first? Your realtor can help with this as well, with terms set forth in the listing contract, or offers you may put in on another property.
In addition to everything necessary to get you from listing to closing, having a realtor can greatly reduce your overall stress throughout the process.
If you believe you’re ready to sell, CLICK HERE to connect with one of our agents to discuss your specific situation and get a free, no obligation home valuation.