A Guide For Homeowners Planning To Sell
When you’re preparing to sell your home, there is a lot more to it than fixing and staging your home. Your mental state plays a huge role. The more informed and prepared you are, the less stress you’ll feel, better decisions you’ll make, and the better you’ll negotiate. So, take some time to get your head in the game. It’ll make the whole selling process a lot less chaotic and save you from wasting a lot of time, money, and stress.
Prepare Yourself
First of all, don't waste your energy worrying about factors that are not in your control, like location, age, economic factors, neighborhood reputation, etc. It’s best to concentrate on manageable tasks that are in your control, which make significant difference in your financial outcome and overall experience. Here are summaries of some tasks I want to share with you.
Be clear about your financial goals. You need to figure out what is the net cash you will have on hand after you pay off your remaining mortgage, all the sales fees, realtor commissions, taxes, and money you will spend to get your house ready to list. When I first meet with my clients, I run all the numbers for them and explain each line item and confirm if they still want to move forward with their decision to sell their home.
Approach your home sale as a business transaction and your home as a product - not your personal space. This mindset will help you detach emotionally, allowing for better decision-making and ultimately leading to a stronger financial outcome. Throughout the process, you'll need to make numerous decisions and navigate negotiations with your family, realtor, and potential buyers. By maintaining an objective perspective, you can manage these challenges more effectively and achieve your goals with less stress.
Transparency is essential. Hidden issues can derail inspections and negotiations, so honesty is key to a successful sale. Clients who address most issues before listing or explicitly disclose them in the listing tend to secure better deals and experience smoother transitions to the closing table. Being upfront about your home's condition builds trust and helps avoid surprises, leading to a more prosperous outcome.
Time the market to maximize your sale price. Typically, spring and summer are peak seasons for selling homes. While I understand this is part of the “In Your Control” list, and you may not always have the luxury of waiting several months, it’s wise to at least avoid listing your home during major holiday weeks. If you have more flexibility, consider waiting for a seller’s market, as the balance between a buyer’s or seller’s market significantly impacts your sale price and contract terms.
Price it right. Of course nobody wants to leave money on the table, but overpricing can lead to longer market times and lower sale prices – it can be devastating. Before you call a realtor do your own research and have some idea about your home value. You can use a real estate app such as Zillow, Redfin, or Homes.com and look up your address. Once you have a realtor, they will provide you with Comparative Market Analysis (CMA). Because you’ve done your research, you’ll be looking at the CMA with some knowledge, which will help you better strategize your price with your realtor.
Professional photographs are essential. Your realtor should arrange for a professional photographer to capture your house at its best, including detailed floor plans and virtual tours. They should also guide you on how to prepare your home for the photoshoot, ensuring everything is in top condition. Research shows that 96% of buyers first look at photos before deciding to tour a home, making quality images a critical component in attracting potential buyers.
Choosing the right realtor isn't just about convenience — it's pivotal to both your stress level and financial success when selling your home. Remember, you'll be paying them thousands of dollars to handle one of your biggest financial transactions. It's crucial to interview multiple agents until you find someone you genuinely trust, with the competence and integrity to act in your best interest. A good realtor might even advise against selling if it isn't right for you. Avoid unnecessary stress by steering clear of agents who lack transparency or recommend hiding known defects. Always verify their credentials through the Department of Professional and Occupational Regulation (DPOR) and ask for references.
Prepare Your House
Considereing all things equal, the most well maintained house on the block will get the best deal. Well maintained means clean, decluttered, tastefully furnished, energy efficient appliances, upgraded kitchen and bathrooms, welcoming curb appeal, newer roof, everything functions properly and no structural damages or deteriorations. In short it is a house that is loved and cared for. Maintaining your house is not an easy task though. Most of us cannot keep up with fixing everything as the house wears and tears. So my recommendation is to maintain it as much as we can while we live in it and enjoy them. Then do a little more before selling to get the best deal.
Unless you're selling your house as a fixer-upper or in "as-is" condition, if your house is not sparkling clean you're leaving money on the table. Among all the preparations for selling, cleaning is the least costly yet offers the highest return. I strongly recommend getting your home professionally cleaned, both inside and out, covering every nook and cranny. If you prefer to do it yourself, be prepared for hard work, especially if deep cleaning isn't a regular habit. When I take buyers to a semi-clean house, they often can't pinpoint why they weren't impressed, but it's usually the lack of cleanliness. It's not just about them noticing dirt; it's about how they feel as they walk through, imagining themselves living there. Buyers view your house as a product they're purchasing, which costs a lot of money. Cleanliness plays a crucial role in making them feel confident about their choice.
Decluttering is essential. Store non-essential items in a storage unit, donate, or sell them—just don't pile them up in the garage or basement. A few neatly stacked boxes are fine, but aim to keep only essential furniture in each room. For example, in the bedroom, keep the bed with linens, nightstands with lamps, and a floor rug. I provide my clients with a detailed cleaning list and specific items to keep in each room to ensure the home looks its best.
When staging your home, prioritize key areas like the living room, kitchen, master bedroom, and bathrooms, as these are the most impactful for buyers. If your budget allows, consider hiring a professional stager to elevate your home’s appeal with high-quality furnishings and decor. For clients moving out before listing, I recommend leaving some furniture behind to stage select rooms. An empty house tends to feel less inviting, leading buyers to focus on wear and tear rather than envisioning their belongings in the space. Staged homes typically sell faster and at a higher price, much like model homes that are carefully furnished to showcase their potential.
Don’t rush to list your house. It's essential to ensure all cleaning, repairs, and updates are completed before you show it to potential buyers. The first two weeks your home is on the market are critical, as those who tour during this period are often the ones most likely to buy. For example, if you're planning to install new hardwood flooring, but it's been delayed, don’t show your home until the work is finished. Most people struggle to envision an unfinished update, and this could hurt your chances of making a sale.
Repairs and upgrades can be beneficial, but the scope of work depends heavily on your home's overall condition, the current market, and your specific situation. Before spending thousands on improvements, consult with your agent to determine which upgrades are truly necessary and will provide the best return on investment. For big items that you couldn’t get fixed it’s better to disclose from the beggining rather than having them find out later.