Last week the Wall Street Journal called the world’s current real estate climate an insane seller’s market. (We paraphrase.) Locally, houses are often going for above asking price—some selling in mere hours. “2020’s historically low interest rates have driven a surge in demand from people looking to buy homes and this market is showcasing perfectly how demand is exceeding supply,” says Summit Lending USA real estate pro Bobby Kerr. “With more people looking to buy [demand] than homes on the market [supply], sellers are at an advantage.”
If you think you’re automatically going to make out like a bandit by selling your home, think again. There’s a big margin for error(s). Given that a home is one of the most expensive items you’ll ever sell, potentially messing it up can make your stomach turn. Protect yourself from common home-selling mistakes with these handy tips from local realtors:
Mistake #5: Pricing Your Home Too High
“In a seller’s market like the current one, sellers are making more money than ever on the sale of their homes. However, the key to having a high winning offer is to make sure the home is priced correctly to begin with. You want to be priced accurately based on comparable homes in the area—that should help the multiple offers roll in with buyers going above asking price and making you the most money in the end.” — Kathy Koehler, owner, Koehler Bortnick Team at ReeceNichols
Mistake #4: Hiding Problems or Major Repairs Needed
“It’s quite probable that your prospective buyers and even the agents involved will miss seeing that pesky roof leak you’ve known about. But guess who won’t? A great home inspector. If your buyers are smart, they’ll have the home inspected prior to closing. Consider paying for a home inspection before you even list your home to make sure it’s in tip-top shape.” – Kerr
Mistake #3: Making Sure Your Buyer is Preapproved For A Loan
“In this seller’s market, it’s an absolute requirement that your potential buyer has spoken to a lender and received a pre-qualification letter. Better yet—a pre-approval letter shows they’re even more serious about making an offer. (Note for buyers: remember the difference between pre-approval and pre-qualification: pre-qualification means you’ve discussed your finances with your lender; pre-approval means you’ve submitted an application and the required documents.) Trust me, it will help close on any deal more quickly.” —Rosemary Salerno, Keller Williams Northland Partners
Mistake #2: Not Being “Market Ready”
“Sellers must make sure their home is market ready. Taking time to meet with a qualified, seasoned realtor to prepare the home, make any necessary repairs and stage if needed will ensure the home will sell for top dollar. When sellers rush to the market without cleaning, touching up paint and making any needed repairs, those things are discovered in the long run by buyers and inspectors. First impressions matter—especially to buyers who may be fatigued by this already crazy seller’s market. Those same buyers will jump into a bidding war for sure and agree to lots of special terms if you go that extra mile.” — Sarah Page, Page Homes KC Team, Keller Williams Key Partners
Mistake #1: Selling By Yourself
“There’s a reason this is Rule Number #1. Going the For Sale By Owner (FSBO) route is just plain foolish. Sure, you’ll save some cash by not paying the agent’s commission, but you’ll most likely leave thousands (if not tens of thousands) on the table in a market like this. FSBO is a no-no.” — Kerr