Common Mistakes That Sellers Make When Listing a Home on the Market
There are many mistakes that sellers make when listing a home on the market.
The first mistake is not pricing your home correctly. There are guidelines for what price to list your house at and they should be followed as closely as possible, which means doing research and getting advice from experts in the field (i.e., an agent). You don’t want to underprice or overprice your property because it will either sit on the market longer than expected or you’ll run out of potential buyers who would have been interested if only you had priced it right.
Not getting a home inspection before putting the house on the market.
This is a very important step because knowing what problems you have with the house before it goes on the market allows you to turn those problems into selling points. For example, there might be a problem that needs to be fixed. You can then tell how much of an improvement you’re getting by having this fixed professionally done.
Another mistake sellers make relates to the previous one. They sell themselves short by seeing problems as something bad instead of looking at them as opportunities to make their house stand out from others on the market. Being able to see past these problems and focus on how they can potentially improve your home is an important part of selling it successfully.
Staging a home for sale is also important. If you don’t stage your house then it may not show as well as it should in photos or when people visit. You want to make sure that the empty spaces are clean and clutter-free. People need to be able to imagine themselves living in that house, which means no distractions from empty rooms or a messy yard.
Being too low-ball with their asking price.
The best thing you can do for your home is to pick a fair price that’s going to attract potential buyers and yet leave room for negotiation. This means doing research on homes in your area and seeing what they’ve been selling for recently. It’s not a good idea to ask for less than anyone else or you may be undervalued by buyers and the market.
Another common mistake that can cost you money is not getting an agent to help market the home properly. The more work you put into having your home sell, the better it’s going to look on the market. You should make sure that your house looks amazing when people see it because this can sway them in favor of making an offer.
When the market is slow, people start to get desperate and sell for less than they should. This can leave you not only with a lower price but also the stress of taking the house off the market if it doesn’t sell quickly.
Hiring a realtor who doesn't know the area well enough.
This can lead to a loss of time and money as the agent often has to refer you to another realtor who knows the market.
Not doing your research before going into an open house. Many times, an interested buyer will sign up for a tour of a listing without knowing much about it. This leads them to lose a potential property because they abruptly stop looking once they find something.
Falling for a false listing. Sometimes, a seller will want to sell their house fast and they’re willing to leave out details about the home in order to get it off their hands quickly. A buyer needs to know all of the positives and negatives before making an offer.
Not being able to say no. If a buyer can’t say no, they’ll take all offers into consideration and this will delay the process because the sellers want a quick decision. Being indecisive during negotiations is never a good thing.
Using a realtor who doesn’t specialize in your area of interest. Whether you’re looking for an apartment or a business location, using an agent who doesn’t know the area will not get you the best results.
Taking bad photos of your home
Sometimes, homeowners will hire a professional photographer to take photos of their home. But because these photos aren’t executed well, it can hurt your chances of selling your property.
Not listening to the market. A seller needs to understand the market before putting an asking price on your house. This includes knowing how many houses are on the market and what they’re selling for. If a homeowner doesn’t listen to the market, they’ll most likely have their home on the market for months.
Using a realtor who isn’t using current technology. If a realtor is sticking with old methods of reaching potential buyers, it’s time for them to catch up and get in touch with today’s methods. A good example would be video filtering websites like YouTube or Vimeo.
Not giving enough information about your home to buyers. If you don’t provide enough information about the things that are important to potential buyers, it can impact sales because they’ll ask questions and may doubt if this is truly something they want to buy. Providing too much information can also be a bad thing because you’ll end up scaring people away.
Focusing on getting buyers into the home. A seller will show more value for money by focusing on what’s important to potential buyers and providing them with any information they’re looking for on the property. If you only get a buyer in at the last minute, it won’t help your chances of selling it.
Not listening to your realtor. When a homeowner hires their realtor, they need to follow their advice and take any suggestions they make seriously in order for them to get the best results. If you go against what your realtor is saying, you’ll end up losing credibility with them which can lead to less sales.
Hiring an inexperienced agent who doesn't know how to market a property effectively.
Therefore it’s important to hire an agent with the correct experience, knowledge and training before you choose them. Experience is vital as they’ve most likely seen various scenarios that may occur. Knowledge of the current market conditions means that they’ll know what price range your property should be listed at for quick sale. The more knowledgeable agents will know how to market the property, which is how it will get seen.
Hiring an inexperienced agent who doesn’t know how to market a property can lead to your home languishing on the market for months (or longer) with no offers. This means that you will incur costs, such as mortgage repayments and strata fees, for longer than expected. Most likely this scenario will also damage your chances of getting good offers next time around due to the damage it can do to your property’s reputation in the neighborhood.
This can be a costly mistake, but it’s one that many first-time property owners make. It doesn’t mean you need to hire an expert real estate agent with decades of experience, but you should make sure the person has at least sold a couple properties successfully.
Neglecting repairs that need to be made before listing it on the market.
Any potential buyers will be looking at properties with a fine tooth comb, therefore neglecting repairs that need to be done is never advised. Neglecting these repairs can cost you in the long run as it may lead to offers being pulled and even the agent saying its unsellable.
Contractors are expensive, but they’re cheaper than not having any offers on your property and having to drop the price significantly.
However, if you have a fancy looking property this doesn’t mean it has to be renovated from top to bottom. Painting the interior and exterior along with replacing dated carpeting will be enough for some buyers. If you do undertake renovations make sure they are of high quality as poor renovations can also count against your property.
When buying a new home, it’s important to make sure you choose the right real estate agency for your needs. Tunnera Real Estate is a full service real estate agency providing assistance with all stages of the real estate process: including property management, virtual staging, home inspection, home preparation, represent home buyers, home sellers and first time home buyers.