Selling a home is tough, especially in today’s market. With so many foreclosures and short sales on the market, the average home value is being drug down by their low prices. However, selling a home in this market doesn’t mean you have to take less than what the home is worth. Just keep these few tips in mind.
Value vs. Price
Many sellers get their home’s value and price confused. Owning a home establishes a connection and personal tie that can often cloud your sense of judgment. Remember that what your home is worth today isn’t what it was worth 5 years ago, or could be worth in a few years from now. If you aren’t willing to accept fair market value in today’s economy, then you may want to consider holding off on the sale. If you must sell, remember that pricing is everything and putting your home up for a lower price than initially desired could bring the offer you want. Just like a short sale, pricing your home competitively can create a multiple offer situation that results in an offer above what you are asking. Many buyers would prefer to pay over asking price for a traditional sale than a short sale or foreclosure.
While it is true that a well maintained home with upgrades sells better than a fixer upper, there are limits to the amount and type of upgrades that should take place. In today’s market, many people have become more willing to put in effort towards renovation and be able to control the costs of the upgrades, rather than buy a fully upgraded home for a higher price. This means that is you are planning to do some upgrades around the home, don’t go crazy. Instead, focus on target areas like the kitchen and bathrooms, choosing neutral materials at a moderate price. Remember that not everyone will love what you love or be willing to pay for your expensive taste.