Tuesday, January 26, 2010
by Matt Borushko Keller Williams Realty
Selling a home is not "fun", and it isn't easy. It is made impossible when sellers use poor logic when it comes to selling, pricing, staging, and choosing their agent. Listed below are some of the biggest mistakes we see sellers make and solutions to those issues.
3 HUGE Seller Mistakes
- Choosing an agent who tells you what you want to hear. Do not choose your agent because they tell you your home is worth more than any other agent. This is an unfortunate ploy by desperate agents who are looking to use your home to pick up buyers from sign calls. Look at the raw data regarding comps in your area. You should look at very recent sales (90 days or less) and also the homes you are competing with. Take your seller hat off and look through the eyes of a buyer and ask yourself if you would buy your home compared to the others. If not, than do not buy in to this ploy. In a declining market you will absolutely lose money by chasing the market downward.
- Choose an agent based on what they charge. Do not confuse what you spend with what you net out of a sale. As in every business, it is your bottom line that truly counts. There are great products for sale on the market that you've never heard of. They probably aren't paying much for their marketing efforts and aren't making a profit either.
- Base your decision to sell on future market values. No one can tell you what the future holds. We can all guess both short and long term and all be wrong. I hear that the housing market is improving on the news and the next week new construction starts were the worst in history. We saw a surge in first time buyers due to the ending tax credit while unemployment figures continue to rise. The point is you cannot count on values to be higher in the near future and shouldn't make a decision based upon that.
So now that we've established what not to do, what should you as a seller do when hiring an agent?
What to Do When Hiring an Agent
- Hire the agent who will tell you what you need to hear rather than what you want to hear. Yes it may be painful but it will result in your being able to move. That agent should be comfortable sharing with you raw data about the market which you can review together and make mutual decisions.
- Hire the best negotiator. You will know who they are when you ask them to reduce their commission. In this market negotiation takes place from the moment the home is listed until the moment it closes. A great negotiator will net you more money and help keep deals together.
- Hire a full time agent. In this ever changing market negotiating, inspections, marketing, and communication are more than full time jobs if done properly. Marketing a home takes a lot of time. Done right, it will expose your home to a far greater number of potential buyers. More potential buyers equals a better chance to sell you home at a higher price. It takes a full time agent to properly keep up with our changing industry and handle the items mentioned above.
- Make your decision to sell based on your needs and affordability today. A decision to sell should be based upon what you and your family need. Waiting for the value of your home to go up also means your next home will cost more...they are tied together. A Decision based upon need and affordability will almost always provide you with better results than one based on trying to time the market.
Simply stated, applying the above information...a reality check if you will, will help you make more money when you go to sell your home. In fact it will often be the difference between selling your home or just being listed. And just being "listed" is not why you hire an agent in the first place.
If you are looking for a great agent to sell you home in the Indianapolis areas of Carmel, Fishers, Noblesville, or Westfield, the Borushko Team of Keller Williams Realty would love the oportunity to help. We promise to tell you what you need to hear and most importantly will net you the most money for your home!