If you have ever mentioned interest in selling your house to friends, you’ve probably been on the receiving end of lots of advice. Today, it seems like everyone has an opinion or some sort of “trick” you should try to selling – but a lot of that information may not stand true anymore. And mistakes in real estate can cost thousands of dollars. To help get you on the right path to selling your house, we’re bringing common seller myths to court and putting them on trial. Here are the verdicts:
Court Case #1: The Outside of My House Isn’t As Important as the Inside
The Defense: The interior will sell the home, not the yard-space. Buyers care more about what features the home contains than how it looks on the outside.
Prosecution: People judge books by their cover, and it holds true in real estate. It’s why first impressions matter. In reality, you have 6 seconds to create a positive outlook before buyers reach a judgment – and that time is spent walking up to the front door. You need to tidy up the yard, add some flowers, and craft a welcoming entrance. That way, you aren’t fighting an uphill battle (of negative impressions) to sell the house.
Verdict: First impressions set a buyer’s frame of mind. Impress them with the outside and they’ll be more likely to buy.
Court Case #2: I’ll Get 100% of My Investment Back on Home Renovations
The Defense: By installing and remodeling the house to look “new” and offer more stuff, buyers will pay more money for the house (giving me a full return on my investment).
Prosecution: Typically, you won’t receive 100% return profit on your home renovations. Most major remodels costs thousands of dollars, but will only increase your home’s value by a slight margin. Homeowners also forget to take into account current market conditions, so even though you make renovations, it doesn’t mean buyers can afford it. Instead, you should focus on making small, cosmetic repairs to help sell the house. Don’t focus too much on the return profit.
Verdict: Large home renovations don’t promise a 100% return investment. Focus on smaller repairs to get your home sold
Court Case #3: You Should Overprice Your Home to Leave Room for Negotiation
The Defense: Buyers always try to bargain, so why not bake in extra room to get the price I want?
Prosecution: Overpricing can be a slippery slope in real estate. Every buyer is on a budget and that’s how they start their home search. If your home is priced out of the usual standard, they’re going to pass over your property and look at your neighbors. Why pay a higher price for a similar home? Save your negotiation strategies for when you have interested buyers. Price to the market, so you generate interest.
Verdict: Price your home to current market trends, so you attract buyers. Pricing above average will leave your home sitting on the market longer.
The Jury on Home Selling Myths
Dozens of homeowners have made these mistakes when they sold their house. A lot of it stemmed from misinformation. By doing your homework, communicating with your real estate agent, and looking at current data, you can effectively sell your house. It’s better to hear pro-advice rather than a friend’s advice. If you have any questions about selling your house, contact us and we’ll help guide you.