Century 21 Associates Realty LLC 
     Karen J. McLinden
      Phone 508-677-3233
       Fax 508-679-2006
       657 Pleasant St., Fall River, MA 02721 
                                                                                                                                   
 
Residential Real Estate, Commercial Real Estate, New Construction, Investment Property, Rentals, First Time Home Buyers, Relocating Assistance, Short Sale Assistance.   Areas Include But Not Limited To: Fall River, MA - Swansea, MA - Somerset, MA - Westport, MA - Dartmouth, MA - Tiverton, RI - Assonet, MA - Freetown, MA - Berkley, MA - Taunton, MA - Dighton, MA - Rehoboth, MA - Seekonk, MA - Warren, RI - Portsmouth, RI - Middletown, RI - Little Compton, RI - New Bedford, MA - Lakeville, MA - Middleboro, MA - Fairhaven, MA -   Wareham, MA

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Thinking about selling without a Real Estate Professional?  Here is some information to help you.

COMMON MISTAKES

Don't get stuck with two homes or worst NONE!  Common mistakes to avoid when selling on your own.

  1. Buying a replacement home before selling the old one.

The temptation may be great to buy a replacement home first.  That way you’ll know where you are going, how much you’ll be paying, and you won’t have to worry about being left out in the cold with nowhere to go if your home sells quickly.

  However, the financial risks of buying first are great.  It’s far better to sell your current home first and put a contingency in the contract that will let you stay in your current home until you find your new home.  Or you may decide to move to an interim rental and take your time looking for your new home.

  1. Basing the list price of your home on the price you would like to get rather than on market value.

  Market value determines the price of your home – not wishful thinking.  A buyer won’t pay more for your home just because you think you need more money in order to purchase your next home.  Find out the market value of your current home by having a local real estate agent – (like Karen Archambault for example) prepare a comparative market analysis or by getting an appraisal from a local appraisal firm.  This will tell you the value of your home based on comparable sales information.  With this information you can determine an accurate list price for the current market value.

  After you know what your home is likely to sell for, ask your agent to prepare a net proceeds estimate.  It will tell you approximately how much cash you will receive from the sale.  Then visit a mortgage officer or loan agent to get pre-qualified for a mortgage.  This will let you know what price home you can afford to buy.

  1. Failing to disclose known defects.

  Sellers know the condition of their home before they sell and need to disclose any known defects with the property to the buyers before they make an offer. These disclosures should be in writing before signing a Purchase and Sales agreement.  This is very important to avoid future lawsuits against you.

  1. Putting a home on the market before it is spruced up.

Buyers remember what they see.  Their first impressions are lasting ones.  If a property looks a mess when it hits the market, that is how buyers will remember it.

Most people lack the vision to imagine what the home will look like when it’s fixed up.  It’s usually better to delay marketing a home until it’s spruced up for sale. 

  1. Refusing to reduce a listing price that is too high for the market.

It’s hard to be objective about the value of your home.  This is why it’s important to get a professional opinion before setting a list price.  Over priced listings often take a long time to sell.  Then they often sell for less than they would have if they were priced right to begin with.  It’s natural to want to get the most money possible when you sell.  Competitive pricing is the way to achieve that result.  If you find that your list price is too high for the market, reduce your price sooner rather than later.  The longer it sits on the market unsold, the lower the ultimate selling price is likely to be.

  1. Refusing to counter a low offer.

Sellers want to sell high; buyers like to buy low.  A low offer from well-qualified buyers is better than no offer at all.  A high offer form unqualified buyers only leads to disappointment.  The price buyer’s offer is not the most important part of their offer – if they are willing to negotiate.

  1. Insisting on being present when the home is shown to prospective buyers.

One way to discourage buyers from buying your home is to be home during showings.  For buyers to decide to buy a home, they first must discover, and discuss, all of its flaws.  Buyers are reluctant to say anything negative about a home in the seller’s presence.  It’s best to leave your home when it’s shown to prospective buyers.

  1. Not testing for Title V before listing.

Sellers often do not test their septic system before putting the property on the market.  This causes problems later if the system fails and the seller expected it to pass or if the system fails and costs more than the seller expected.  Once you know what the expenses will be then you won’t have unexpected expenses later on.

  1. Refusing to do anything to get your home ready to sell.

The way most people live in their homes is usually very different from the way a home should look when it goes on the market.  In order for someone to want to buy a home they must be able to envision themselves living there.  Most sellers have to de-clutter and clear their homes – at the very least.

Often there is quite a bit more that needs to be done before home is ready to sell.  In order to get the highest price possible when you sell a car, it’s wise to have it cleaned up first.  The same applies to selling houses.  Buyers pay a premium for homes that are in move-in condition.

  1. Selling on your own will save you money.

Homes that are sold ‘by owners’ are usually sold for less than homes that are sold with professional Real Estate agents.  This is because agents have more buyers that are pre-qualified than a ‘by owner’ ad can produce.  Also the buyers are expecting the homes to be lower in price because they know you are not paying a commission.  They expect your home to be cheaper because they can either use a real estate agent (at no cost to them) Another reason is that the buyers are usually not pre-qualified with a bank and at the end find out they qualify for less. 

I hope these tips and ideas help you.  If there is any way I can be of service please contact me at (508) 677-3233 or email me at emailme@karentherealtor.com it would be a privilege to serve you!

 

© 2013, Karen McLinden & Century 21 Real Estate LLC. CENTURY 21® is a registered trademark licensed to Century 21 Real Estate LLC. Equal Housing Opportunity. Each Office is Independently Owned and Operated.