7 Home Selling Mistakes You Should Be Aware Of
Selling your home is a big decision, and one that you definitely want to get right. Unfortunately, there are a number of mistakes that many sellers make when putting their home on the market – and these mistakes can end up costing you time and money.
Read on for 7 mistakes to be aware of as you prepare your home for sale:
Too High or Too Low Sale Price
Pricing your home is one of the most important aspects of the selling process. And most home sellers make the mistake of pricing their home too high or too low when selling it.
This is understandable, as setting a price for your house can be difficult, particularly if you don’t have any prior experience with real estate transactions. But choosing to set your sale price higher or lower than what the market will bear can ultimately result in less money in your pocket at the end of the day.
How can you avoid making this critical error and ensure that you get an optimal price for your home? Here are some tips:
- Do your research. Before coming up with a sale price, take a good look at recent sales data in your area. Consider factors such as what similar homes have sold for, what they feature, and how they were marketed.
- Get some offers from Cash Offer companies.
If you want a quick and easy estimate of your home’s value, you can find companies that can offer cash for your house. Usually you need to fill in some main information about your house, and you’ll get a cash offer in a few hours.
Get YOUR FAIR cash offer
- Look at comparable properties in your neighborhood that are still on the market and have been listed for quite some time without being sold. Homes like these may be overpriced, and this is another factor you should consider as you set your own sale price.
- Don’t forget about expenses when pricing your home for sale. Whether it’s staging costs, attorney fees, or closing costs, there are many expenses associated with selling a home. Make sure to factor these in when coming up with your asking price so you don’t end up losing money on the deal.
- Pay attention to your gut feeling. At the end of the day, you know your home best, so trust your instincts when coming up with a sale price. If you truly believe that your home is worth a certain amount, there’s a good chance that buyers will too.
By following these tips, you can help ensure that you set an appropriate sale price for your home and avoid making the costly mistake of pricing it too high or too low.
Underestimating the Costs of Selling
Selling a house can be an expensive process. There are a number of costs and fees associated with the sale that you should account for so that you don’t end up getting hit with unexpected charges.
First, there is the cost of listing your home on the market. If you choose to list it through a real estate agent or broker, you will likely pay between 5% and 6% of the total sale price in commission fees. While this may seem like a lot, it is standard practice in real estate – and many home sellers find that using a professional has benefits such as getting higher offers on their home and having it sold more quickly. For example, if your home sells for $200,000, you could be looking at a commission fee of between $10,000 and $12,000 – depending on what percentage the real estate agent charges.
Another major expense that can arise when selling your home is property taxes. These are paid by the seller until the house is transferred to the new owners. If you have owned your home for a long time, there’s a good chance that property taxes have gone up over time and there will likely be an adjustment after closing day as well as any reassessments in progress or upcoming during the period while your house is listed on the market. A typical tax adjustment can cost anywhere from $500 to $1,000.
The next type of cost you should be aware of are closing costs, which can include fees for home inspections, appraisal and lawyer fees, transfer taxes and mortgage prepayment penalties. These can add up quickly depending on how much your house is worth and what types of loans or mortgages you may have going into the deal. For example, transferring a property valued at $200,000 can mean paying anywhere from around $4,000 to $9,000 in various expenses – this includes things like inspection fees and legal fees. Be sure to ask real estate agents about these charges when they come up – it’s important that they don’t catch you by surprise!
Finally there are general moving costs, which can range from renting a moving truck to hiring professional packers and movers. These are often the most overlooked costs associated with selling a home but they can really add up – especially if you have a lot of belongings or live in a large home. On average, it costs around $1,000 to move locally and around $5,000 when moving long distance.
Keep all of these potential expenses in mind when budgeting for the sale of your home! By underestimating the cost of selling, you could end up being blindsided by unexpected charges down the line.
Failing to Prepare a House for Sale
It’s widely known that most home buyers prefer to purchase homes that are in “move in ready” condition. However, many homeowners fail to prepare their houses for sale before putting them on the market, which can ultimately lead to lengthy and expensive delays as they try to make repairs after the fact.
If you’re selling your home, it’s important to assess what needs fixing or updating before you start showing your home. Small issues that aren’t immediately noticeable could end up costing you a lot of time and money down the road if not addressed right away. And spending too much time and effort making cosmetic changes may prevent you from focusing on more important items like organizing belongings or clearing out clutter.
Unrealistic Time Frames
Unrealistic time frames for selling a house are a common problem, and one that can lead to stress and frustration for sellers. In many cases, sellers have no real idea of how long it will take to sell their home.
They often think they’ll be able to make a quick sale at the price they want, only to discover that there’s far more competition than expected, or that buyers don’t like their particular property.
This can result in a lot of wasted time and effort on your part, not to mention significant costs associated with preparing your home for sale and holding open houses or showing appointments when you’re not around.
Fortunately you can speed up the selling process by checking Cash Offers that companies can offer.
Hiding Major Problems
There are many reasons why homeowners choose to close their eyes and ignore the elephant in the room when it comes to selling their home. When that elephant is a serious problem, however, closing your eyes can cost you big time when selling your home. Here are some of the worst mistakes sellers make – and how to fix them so you don’t get burned on a deal.
One of the most common problems ignored by real estate sellers is a bad roof or siding. Homebuyers will usually discover these problems during the inspection process before closing, but this doesn’t mean they won’t try to use them as leverage if they aren’t satisfied with other aspects of your home’s condition. Your best bet is to fix these problems before they have a chance to become an issue.
Another common problem that sellers often choose to ignore is termites or other pests. These can be expensive problems to deal with, but they will almost certainly come up during the home inspection. If you know there are termites or other pests in your home, it’s best to deal with them before putting your home on the market. This way, you can avoid any potential issues that could arise from these problems later on.
Ignoring major repairs is another huge mistake that sellers make when trying to sell their homes. If you have a broken furnace or water heater, for example, these are things that potential buyers are going to notice right away. Not only will these repairs be expensive, but they could also end up scaring away potential buyers who don’t want to deal with them. Again, it’s best to take care of these problems before listing your home for sale.
If you’re selling your home, it’s important to be upfront about any issues that exist. Hiding major problems from potential buyers is only going to come back and bite you later on down the road. Be honest about the condition of your home and make any necessary repairs before putting it on the market. This way, you can avoid any stressful situations or last-minute surprises later on.
Not Removing Clutter
One of the most common mistakes sellers make is not removing clutter before listing their homes. Clutter can be anything from personal items to extra furniture.
Having too much stuff in your home can make it appear smaller and less inviting. It can also be a turn-off for potential buyers who are trying to imagine themselves living in the space.
If you’re serious about selling your home, it’s important to take the time to declutter and stage it properly. This will help your home show its best and give buyers a better impression of what they’re getting.
Ignore Cash Offers
When selling your home, don’t ignore cash offers. While a high price may seem more desirable than a quick closing, it’s important to consider the value of your time.
By taking the cash offer, you’ll be free to move on with other projects at work or home immediately after closing instead of waiting weeks – even months – for your next paycheck.
Get YOUR FAIR cash offer