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Home Selling Tip - How to Sell Your Home in Minneapolis, St Paul
Because your home may well
be your largest asset, selling it is probably one of the most important
decisions you will make in your life. To better understand the home selling
process, a guide has been prepared from current industry insider reports.
Through these tips you will discover how to protect and capitalize on your most
important investment, reduce stress, be in control of your situation, and make
the most profit possible.
1.
Understand Why You Are Selling Your Home.
Your motivation to sell is the determining factor as to how you will approach
the process. It affects everything from what you set your asking price at to how
much time, money and effort you're willing to invest in order to prepare your
home for sale.
2.
Keep the Reasons You are Selling to Yourself.
The reasons you are selling your home will affect the way you negotiate its
sale. By keeping this to yourself you don't provide ammunition to your
prospective buyers. For example, should they learn that you must move quickly,
you could be placed at a disadvantage in the negotiation process. When asked,
simply say that your housing needs have changed.
3.
Before Setting a Price - Do Your Homework.
When you set your price, you make buyers aware of the absolute maximum they have
to pay for your home. As a seller, you will want to get a selling price as close
to the list price as possible. If you start out by pricing too high you run the
risk of not being taken seriously by buyers and their agents and pricing too low
can result in selling for much less than you were hoping for.
4.
Do Some "Home Shopping" Yourself.
The best way to learn about your competition and discover what turns buyers off
is to check out other open houses. Note floor plans, condition, appearance, size
of lot, location and other features. Particularly note not only the asking
prices but what they are actually selling for. Remember, if you're serious about
getting your home sold fast; don't price it higher than your neighbor's.
5.
When Getting an Appraisal is a Benefit.
Sometimes a good appraisal can be a benefit in marketing your home. Getting an
appraisal is a good way to let prospective buyers know that your home can be
financed. However, an appraisal does cost money, has a limited life, and there's
no guarantee you'll like the figure you hear.
6.
Tax Assessments - What They Really Mean.
Some people think that tax assessments are a way of evaluating a home. The
difficulty here is that assessments are based on a number of criteria that may
not be related to property values, so they may not necessarily reflect your
home's true value.
7.
Deciding Upon a Realtor. According to the National
Association of Realtors, two-thirds of the people surveyed who sell their own
homes say they wouldn't do it again themselves. Primary reasons included setting
a price, marketing handicaps, liability concerns, and time constraints. When
deciding upon a
Minnesota Realtor,
consider two or three. A professional Realtor knows the Minneapolis St Paul real
estate market and has information on past sales, current listings, a marketing
plan, and will provide their background and references. Be sure you choose
someone that you trust and feel confident that they will do a good job on your
behalf. If you choose to sell on your own, you can still talk to a Realtor. Many
are more than willing to help do-it-your-selfers with paperwork, contracts, etc.
and should problems arise, you now have someone you can readily call upon.
8.
Ensure You Have Room to Negotiate.
Before settling on your asking price make sure you leave yourself enough room in
which to bargain. For example, set your lowest and highest selling price. Then
check your priori-ties to know if you'll price high to maximize your profit or
price closer to market value if you want sell quickly.
9.
Appearances Do Matter - Make them Count!
Appearance is so critical that it would be unwise to ignore this when selling
your home. The look and "feel" of your home will generate a greater emotional
response than any other factor. Prospective buyers react to what they see, hear,
feel, and smell even though you may have priced your home to sell.
10.
Invite the Honest Opinions of Others.
The biggest mistake you can make at this point is to rely solely on your own
judgment. Don't be shy about seeking the honest opinions of others. You need to
be objective about your home's good points as well as bad. Fortunately, your
Realtor will be unabashed about discussing what should be done to make your home
more marketable.
11.
Get it Clean and Fix Everything, Even If It Seems Insignificant.
Scrub, scour, tidy up, straighten, get rid of the clutter, declare war on dust,
repair squeaks, the light switch that doesn't work, and the tiny crack in the
bathroom mirror because these can be deal-killers and you'll never know what
turns buyers off. Remember, you're not just competing with other resale homes,
but brand-new ones as well.
12.
Allow Prospective Buyers to Visualize Themselves in Your Home.
The last thing you want prospective buyers to feel when viewing your home is
that they may be intruding into someone's life. Avoid clutter such as too many
knick-knacks, etc. Decorate in neutral colors, like white or beige and place a
few carefully chosen items to add warmth and character. You can enhance the
attractiveness of your home with a well-placed vase of flowers or potpourri in
the bathroom. Home-decor magazines are great for tips.
13.
Deal Killer Odors - Must Go! You may not realize but
odd smells like traces of food, pets and smoking odors can kill deals quickly.
If prospective buyers know you have a dog, or that you smoke, they'll start
being aware of odors and seeing stains that may not even exist. Don't leave any
clues.
14.
Be a Smart Seller - Disclose Everything.
Smart sellers are proactive in disclosing all known defects to their buyers in
writing. This can reduce liability and prevent law suits later on.
15.
It's Better With More Prospects. When you maximize your
home's marketability, you will most likely attract more than one prospective
buyer. It is much better to have several buyers because they will compete with
each other; a single buyer will end up competing with you.
16.
Keep Emotions in Check During Negotiations.
Let go of the emotion you've invested in your home. Be detached, using a
business-like manner in your negotiations. You'll definitely have an advantage
over those who get caught up emotionally in the situation.
17.
Learn Why Your Buyer is Motivated.
The better you know your buyers the better you can use the negotiation process
to your advantage. This allows you to control the pace and duration of the
process. As a rule, buyers are looking to purchase the best affordable property
for the least amount of money. Knowing what motivates them enables you to
negotiate more effectively. For example, does your buyer need to move quickly.
Armed with this information you are in a better position to bargain.
18.
What the Buyer Can Really Pay. As soon as possible, try
to learn the amount of mortgage the buyer is qualified to carry and how much
his/her down payment is. If their offer is low, ask their Realtor about the
buyer's ability to pay what your home is worth.
19.
When the Buyer Would Like to Close.
Quite often, when buyers would "like" to close is when they need to close.
Knowledge of their deadlines for completing negotiations again creates a
negotiating advantage for you.
20.
Never Sign a Deal on Your Next Home Until You Sell Your Current Home. Beware of closing on your new home while you're still making mortgage
payments on the old one or you might end up becoming a seller who is eager (even
desperate) for the first deal that comes along.
21.
Moving Out Before You Sell Can Put You at a Disadvantage.
It has been proven that it's more difficult to sell a home that is vacant
because it becomes forlorn looking, forgotten, no longer an appealing sight.
Buyers start getting the message that you have another home and are probably
motivated to sell. This could cost you thousands of dollars.
22.
Deadlines Create A Serious Disadvantage.
Don't try to sell by a certain date. This adds unnecessary pressure and is a
serious disadvantage in negotiations. When deadlines are absolutely necessary,
start early and employ a Realtor as listed homes generally sell much quicker.
23.
A Low Offer - Don't Take It Personally.
Invariably the initial offer is below what both you and the buyer knows he'll
pay for your property. Don't be upset, evaluate the offer objectively. Ensure it
spells out the offering price, sufficient deposit, amount of down payment,
mortgage amount, a closing date and any special requests. This can simply
provide a starting point from which you can negotiate.
24.
Turn That Low Offer Around. You can counter a low
offer or even an offer that's just under your asking price. This lets the buyer
know that the first offer isn't seen as being a serious one. Now you'll be
negotiating only with buyers with serious offers.
25.
Maybe the Buyer's Not Qualified. If you feel an offer is
inadequate, now is the time to make sure the buyer is qualified to carry the
size of mortgage the deal requires. Inquire how they arrived at their figure,
and suggest they compare your price to the prices of homes for sale in your
neighborhood.
26.
Ensure the Contract is Complete. To avoid problems,
ensure that all terms, costs and responsibilities are spelled out in the
contract of sale. It should include such items as the date it was made, names of
parties involved, address of property being sold, purchase price, where deposit
monies will be held, date for loan approval, date and place of closing, type of
deed, including any contingencies that remain to be settled and what personal
property is included (or not) in the sale.
27.
Resist Deviating From the Contract.
For example, if the buyer requests a move-in prior to closing, just say no. That
you've been advised against it. Now is not the time to take any chances of the
deal falling through.
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