Tag: seller

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Home Insights Home Selling Tips

4 Common Home Seller Myths Exposed

4 Home Selling Myths - BUSTED

Wondering how to sell your home in less time and for more money?
Don’t believe everything you see on HGTV.
Here are four common home seller myths that we’ve debunked for you.

 

#1) Don’t renovate everything

In today’s market, sellers have the upper hand and buyers are competing over a shortage of inventory. While it’s advantageous for your home to stand out, you can likely get a great offer by making smart, minimal repairs.

Work with your Rector Hayden Agent to determine what changes they’d recommend and see if they agree that you could focus on low-cost upgrades like new light fixtures, fresh paint, replaced hardware, and some fresh spring landscaping.

 

#2) Don’t “list high”

Some sellers, especially those who aren’t in a hurry to move, fight to list their home at a price higher than the fair market value. Their idea is that by listing high, they may snag a high-bidding buyer — and if they don’t, they can simply lower the price later on.

This is a dangerous plan for a few reasons:

  • Buyers and their agents are unlikely to overbid on a home that’s being sold for much more than the one down the block.
  • Homes get the most attention in their first two weeks on the market. When a buyer sees that a home has been on the market for a long time, they will either think that there is something wrong with the home or that it is listed for too high a price.

 

 

#3) Don’t sell on your own

The most common reason to sell a home “For Sale by Owner,” or FSBO, is to avoid paying a commission for a real estate agent. While we understand that it can be tough to part with any money from your hard-earned home sale, the reality is that sellers who use a Realtor end up earning more on their home sale, even when the commission is considered.

In 2018, the median selling price of a FSBO home in the U.S. was $185,000, while the median selling price of an agent-assisted home was $245,000.  This large gap may be why the National Association of REALTORS® reports that FSBO sellers have dwindled to their lowest number in more than 35 years.

In short, the act of listing a home for a fair price is best handled by a true market expert who has deep insights on your community, recent sales, housing trends and more.

 

 

#4) Don’t sell using a “retail price” model

It’s interesting to see that homes priced at a round number price point — like $150,000 or $400,000 — often sell faster than homes listed at $149,000 or $399,000.

Why? It’s really a matter of buyer exposure to online listings. Today’s homebuyers mostly shop online, and they enter in search parameters based on price. If you list your home at $299,000 instead of $300,000, buyers who are searching between $300,000-$350,000 won’t end up seeing your property.

That small pricing change can make a massive difference when it comes to online exposure. Homes with round number pricing showed up in search results 58 percent more than those that were listed at a “discount” price.

 

What more tips for buying and selling in the Central Kentucky Market? Get in touch with your Rector Hayden Realtor or join our eNewsletter mailing list!

 

 

 

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Home Selling Tips Newsletter Featurettes

How Sellers Can Pass Their Appraisal

How Sellers Can Pass The Appriasal

How sellers can “pass” their appraisal

 

How does the appraisal process work and what influences it?

If you’re selling your home, here are insights you can use to get a fair, informed appraisal for your property.

 

What does an appraiser do?

In short, an appraiser determines the current value of a property. They do this by performing a walk-through of the interior and exterior of the property and making note of any amenities such as a finished basement. They will also note health and safety code violations or other areas of concern. Most appraisers will utilize comparable home data (often referred to as comps) of nearby recent sales and neighborhood statistics to help determine a home’s value.

 

Understanding an appraiser’s work style

Since appraisers are independent contractors (hired by the lender and typically billed back to the buyer), it’s important to understand that they have their own preferences and work styles. While they are on your property, it’s essential to allow them one to two hours to complete the inspection without interruption. However, there are things you can do to make the appraiser’s job easier — and help your home get an accurate valuation.

 

How can the seller help?

  • Make sure all utilities are on
  • Ensure spaces and mechanicals are clean, functioning and free of debris
  • Replace burned out lights and make needed repairs
  • Make sure crawl spaces, attics and outbuildings are accessible

 

What happens if the home doesn’t appraise?

If a property appraises under the sales price, your options will then be:

  • Request a reconsideration of value. Although unlikely, it’s possible that the appraisal could be reconsidered and you could still close at the price agreed upon by you and the buyer
  • Ask the buyer to pay more than the appraisal by increasing their downpayment
  • Renegotiate the contract, by dropping the contract price to the appraised price

 

What happens if the home appraises?

Hooray, your property appraised at the sales price! All systems are go and you’re on your way to the closing table. Now the buyer’s financial and credit history will be verified, the lender will approve the home mortgage loan and the loan package will be submitted to the title company to prepare the documents for closing.

 

 

 

Categories
Home Insights Home Selling Tips Newsletter Featurettes

5 Tips to Pass Your Inspection When Selling

Rector Hayden Insights: 5 Tips for Passing Your Home Inspection as a Seller

Tips to pass your inspection when selling

 

The vast majority of Central Kentucky homebuyers will want to have a thorough home inspection performed as soon as their offer is accepted by the seller.  Here’s some help on how to ensure that your home passes with the fewest issues possible.

#1. Provide Access

First, provide unfettered access to your electric panels, heating and cooling systems and your attic. The inspector will need to assess all of these areas, so it’s best to let them get in easily. Remember also to clean the space below your sinks so the inspector can easily assess your pipes.

#2. Be Ready to Test

Second, be sure to empty all your appliances to facilitate the inspection (except your refrigerator, of course).  That means your washer, dryer, dishwasher and stove should all be fully empty and ready to test.

#3. Provide Documents

Next – if possible — provide full documentation of your appliances, systems and any work you’ve had done on them.

For example, “if you’ve had an engineer inspect a crack in your foundation and there’s nothing wrong with your structure, display that report so the home inspector doesn’t have to be concerned about the crack,” says a local inspection company.

#4. Lights On!

One incredibly simple tip – replace ALL light bulbs so the inspector won’t have to worry about whether a burnt out bulb is really an issue with your wiring.

#5. Get out of There!

Last, get out of there!  Think of the inspection as another home showing – you need to be out of sight and out of mind so the inspector can speak freely with the buyers and their agent. And if at all possible, take your pets with you or arrange for them to be visiting a friend or relative during the inspection time.