Did you ever notice that some homes sell quickly while other, similar homes sit on the market for months? It's not luck that sells those homes. It is the result of a systematic process in which all parts of the process work together. If one part of the process is missing, the home will not sell at full market value, or it may not sell at all.
So what is this systematic process? Well, I call it a Full Marketing Plan, though there is more to it than just marketing. It starts before a home is placed on the market and continues until the home is sold. Following is an overview of the process. Follow this process and your home will sell. If you miss any part of the process, your home may not sell for the highest price or sell within a reasonable timeframe.
Before Listing Your Home For Sale
complete any overdue repairs and clean your home inside and out.
call a Realtor. Have the Realtor do a preliminary inspection of your home and advise you of what, if any cost-effective improvements should be made. The preliminary inspection will also aid your Realtor in completing an accurate CMA (Competetive Market Analysis).
be open to the advice of your Realtor. Your Realtor deals with sellers and buyers all the time, and objectively knows what buyers like and what buyers dislike.
List Your Home For Sale
your Realtor is legally bound by a Code of Ethics to look after YOUR best interests, which includes confidentiality.
your Realtor will have completed a CMA to determine the market value of your home. Asking the right price for your home is crucial for many reasons which will be discussed in a separate blog entry. Essentially, you should "lead the market" with your price. If prices are rising, you may list your home at a higher price than recently sold homes. However; if prices are declining, you will need to price your home accordingly. In a declining market, the worst thing you can do is price your home higher than the market will support, only to reduce the price at a future time. You will be following the market, not leading it, and if you are not careful, you may find that you are always 2 weeks behind the market.
follow your Realtor's advice with regards to home staging. Some people have the decorating knack and don't need to have their home staged. The rest of us should carefully consider the advice of a professional Home Stager. Most Realtors have home stagers who they work with all the time and a home staging consultation is often included with your Realtor's services.
don't take it personally. If your Realtor or Home Stager recommends some changes, they are doing it from a professional, objective point of view. The idea is to showcase your home so that potential buyers can see themselves living in your home. While you may love your family pictures or beer bottle collection, these things can make it difficult for buyers to visualize their own family living in your home.
discuss your expectations with your Realtor. Be open with your Realtor with your expectations. If you need to sell before the end of the month, or if you cannot allow showings on Sundays, your Realtor needs to know this. Having your expectations out in the open make the selling process work much smoother and with less stress.
Your Home Is On The Market
well, now it's no longer your HOME. It's a HOUSE that you need to sell.
keep it clean and tidy. Your Realtor is working hard to promote your house with advertising, online marketing, office and MLS tours. Your house needs to be ready for a showing at any time.
if you have pets, consider boarding them with family or friends. If this is not possible, your Realtor should have a game plan for dealing with pets during showings. Ideally you will remove the pet during the showings or open houses.
do not smoke in your house and eliminate offensive odours from cooking
be accomodating for showings. To sell your house, people need to see it.
arrange to be out when showings are scheduled. Buyers never like to see a house while the owner is home. They always rush through the house and make a dash for the exit.
if you must be home during a showing, don't interfere with the showing. Let the Realtor do his or her job of showing the house. Do not offer any information. Even a small off-handed remark may offer information that may work against you.
seek feedback from your Realtor. Many Realtors ask for feedback after showings. (Feedback may not be given by the people who viewed your house.) Feedback may reveal a common objection from buyers. Perhaps decor or minor repairs are turning the buyers off.
many Realtors have access to web statistics for your house. They may reveal the number of viewings of your property on various websites. These statistics can be very helpful in determining whether you house is priced correctly.
What If You Have Not Recieved An Offer
if your home has been on the market for a reasonable time period (compared to the "average days on market" for your area, you should have received at least an offer.)
if there is a common objection from buyers who have viewed your house, perhaps you can overcome the objection. If they feel the rooms are too small, maybe you can remove or re-arrange furniture. If decor is the problem, perhaps you can decorate. Some objections are beyond your control. (Your house is beside an apartment building, train tracks or industrial building.)
if you have had lots of viewings online, and you have had showings at your house, you can rest assured that your property is being exposed to the market.
if your property has been exposed to the market, and you have addressed feedback issues (or if you cannot), then only the price is left to be addressed.
any property will sell, at the right price. The right price is whatever a buyer is willing to pay in an open market.
if you are not able to adjust your price to meet the market, perhaps you should put off selling or look for other solutions. Your Realtor can help you achieve your goals.
The process of selling your home includes:
staging the home to show off it's best features and benefits
pricing it very close to it's realistic market value
exposing your home to the market
allowing a reasonable amount of time
If any one of these components is lacking, the others will have to compensate.
For more information contact Jim Danson, Sales Representative with Royal LePage Crown Realty Services - Brokerage at jim@jimdanson.com or www.JimDanson.com