Home Sellers' Guide to Selling Your Home
Selling your home can be an intricate and detailed process that involves numerous steps. From comparing it with others on the market, scheduling appointments and walk-throughs, managing offers, negotiating deals, to handling paperwork – there’s much to do when selling your property!
Some homeowners opt to sell their properties without engaging a real estate agent; this practice is known as selling by owner (FSBO).
Price
Price setting for home sellers is one of the most significant decisions during the process, as it determines both its length on the market and what buyers are willing to pay. To set an appropriate asking price, sellers should review comparable sales in their area as well as upgrades and improvements that could increase its value.
Sellers typically hire a real estate agent when selling their home, who will conduct an in-depth market analysis to help them identify an optimal listing price. Their agent will consider factors like current market conditions, goals and past experience when helping determine this figure.
Some homeowners opt for “for sale by owner,” commonly referred to as FSBO. Although less frequent, FSBO sellers will save themselves the commission paid to realtors which typically ranges between 5-6% of the final sales price; however they must still pay a buyer’s agent commission, usually around 3-3% of it.
As you sell your home, keep in mind that buyers want a bargain. Overpricing can turn away potential buyers and prolong the sale process; to maximize sales quickly it is also vitally important that it is priced correctly – often overpriced homes require multiple price reductions before being finally sold off. When selling their property sellers should also keep seasonality in mind: spring and summer tend to be popular seasons for selling while fall and winter tend to be slower sales times.
Marketing
Home sellers aim for a smooth sale in which their home sells quickly and for top dollar, without stress. While some aspects can be controlled – like location and market temperature – others cannot, such as marketing campaigns used to spread word of their property.
Online marketing is key to the success of any listing, as most buyers begin their home search process on websites such as MLS listings, Zillow, social media platforms or single property websites. High-quality photos and videos can capture buyer attention quickly to increase viewings and stimulate offer activity.
Strong sellers markets often mean homes are selling quickly and sometimes at or above asking prices, prompting some real estate agents to question whether quality marketing efforts are necessary if their clients assume their home will “sell itself”.
Marketing remains key in any seller’s market as it can expedite the selling process and lead to multiple offers for the home. Furthermore, quality marketing helps ensure its best features are highlighted for potential buyers who may have specific requirements or interests.
Online marketing is essential to reaching prospective home sellers, particularly through infographics which present data in an engaging format that’s shareable on social media. Another cost-effective method for reaching prospective home sellers would be webinars which deliver pertinent information directly to specific audiences.
Inspections
Home inspectors are an essential component of the selling process, as they’re trained to detect issues the homeowner might overlook or consider normal wear and tear. Once an issue is discovered, it becomes the seller’s responsibility either to rectify it themselves or negotiate with potential buyers about how best to address it; depending on the circumstance they can hire contractors to complete repairs themselves post closing or offer credit so buyers can complete repairs themselves later on.
Traditional home sales transactions involve the buyer paying for an inspection. However, many sellers now opt to conduct their own home inspection prior to listing their property for sale – this can reduce liability and speed up negotiations by eliminating surprises that would have delayed negotiations further.
Pre-inspection services will involve an inspector walking through the home with sellers and their real estate agents to identify any issues that need addressing before proceeding with a sale. Furthermore, receipts from maintenance or routine services performed on the property during its current ownership will also be requested as evidence that its condition was maintained over time; these documents give sellers more negotiating power with potential buyers.
As part of their assessment, it’s also beneficial for sellers to accompany and shadow a home inspector during their assessment of their house. This will give them a deeper understanding of the report and enable them to pose any queries or express any concerns directly with them. At this time, sellers may also highlight any areas they feel have been taken care of or upgraded since inspection day.
After conducting their inspection, buyers will present a list of requests to the seller, which could include repairs for any issues they uncovered as well as price reduction or credit to cover repair costs.
As part of the negotiation process, it’s crucial for sellers and their real estate agent to remain professional and remain calm during negotiations. Anger or frustration on either party could stall or even derail the sale, potentially destabilizing an otherwise smooth transaction.
Closing
Closing is the last step of home selling process and marks when buyers and sellers exchange money, paperwork and keys. Closing can be stressful for both sides but with the right team it should go smoothly.
As part of the closing process, both parties should strive to meet deadlines during contract negotiation and ensure they arrive on time for closing table meetings. A delay could jeopardize your sale completely!
An agent will be an invaluable ally throughout the closing process, from gathering all required paperwork and information from you and your lender to understanding financial obligations such as loan payoffs, transfer taxes, property insurance premiums, homeowners association fees, inspection reports and appraisal reports – among many more responsibilities and rights of homeowners.
Closing can be an exhausting process for both parties involved, as you’ll likely be packing and hiring movers. Furthermore, utility providers and schools will likely change over. Finally, you must make a decision as to which items you will keep versus those you will sell or give away.
If you are buying with a mortgage, your closing or settlement will occur concurrent with your purchase. Settlement refers to the finalization of all agreements among yourself, your mortgage lender, the home seller and their agent as part of your home purchase transaction.
Closing will occur at a title company or another designated location and is attended by your real estate agent, closing agent, home seller’s real estate agent and any co-borrowers. A notary or attorney will also attend and distribute loan documents as needed and disburse funds as appropriate.