So, you have decided that right now is a great time to put your home up for sale, but you have never sold a property before – where do you begin?
Every year, well over a million homes are put on the market. If you’ve been thinking about the possibility of putting your property on the market this year, that means there’s plenty of competition – but that’s not necessarily a bad thing. Use these six steps as a guide, and you can easily make your property stand out from the crowd!
Do Your Research
There are a host of online resources available to help you better understand what is affecting the current real estate market. What is the average cost of living in your area? What does a homeowner need to do
once they decide to sell their property, and how much time will that take? Research the market value of homes similar to yours that have sold recently or what buyers currently expect when they search online
for properties like yours.
You can also research what buyers want from potential properties. Have there been any changes you can make before putting it on the market – such as installing new appliances or fixing roof damage – that may
help entice prospective homeowners who have certain needs?
Make Sure You Are Financially Ready
Selling your home comes with costs you may be unaware of, and having a contingency fund is key. What are the costs you should be prepared for?
– property taxes, if applicable
– homeowners insurance premiums
– mortgage payments (if there is still an outstanding balance)
– home repairs or maintenance that may need to be done before putting your house on the market to achieve the maximum value of your property.
It is important to know how much money will come in from the sale of your home so you can make sure it covers all of these upfront expenses. Calculate what annual income tax liability you expect when selling
this year, as well as estimated capital gains taxes going forward. Don’t forget about any other potential expenses like closing costs or moving fees. Saving up enough cash reserves now could help with covering
these costs along the way.
Get Your Property Valued
Getting your home evaluated will give you an idea of how much you can expect your home to sell for. It may be a lot more or less than you think, so it is important to be prepared for this outcome. If the estimate is more than you anticipated, consider spending some time getting your home looking great before putting it on the market. There are several things that can affect the value of your home, including:
-When it was built
-The quality of its fixtures and fittings
-The condition when inspected by a potential buyer
-How much renovations have been done on the property, and when
Prepare your home for sale.
Once you know how you fare financially right now and which features might be attractive to homebuyers, now is a good time to get started sprucing up your home! Start by decluttering and clearing out any unnecessary furniture or items you don’t use. As well as making your home appear less cluttered and more appealing to prospective buyers, it will make moving a lot easier after you sell.
Private Treaty or Auction
Whether private treaty or auction is suitable for your property is dependent on various factors, including the condition of your home, the suburb you are selling in and the potential buyers you are looking to attract. In general, however, a private treaty (where agents individually negotiate with prospective buyers) attracts flexibility in the length of time your property is listed on the market, with no pressure to sell before a certain date. You can set a price range and negotiate within that range with marketing expenses ultimately cheaper than an auction. If you are in a rush to sell, however, the fixed date of an auction may be a better way to go.
Selling via auction (where buyers bid on your property) is suitable in some instances because not only can you receive offers before the auction day, but the pressured environment of a competitive auction can mean your property sells for more than market value. Auctions also have no cooling-off period, unlike private treaties, which assure the sale is complete on the day of the auction.
Set a realistic price
Make sure when pricing the property that it is reasonable given its current market value. If you set a price that is too high, you run the risk of deterring potential buyers, and you might end up having to drop the price in order to sell it. On the other hand, you don’t want to set a price that is too low because then you might not get the best price for your property.
Get your home ready to show
Do some cosmetic work before putting up a “for sale” sign because this will make the property look better and help sell quickly. If there are any small repairs that need to be done, it is also worth getting these done now as they may have an effect.
We hope these tips will help you get started if you are considering selling your home soon. SRS Properties have the experience necessary to get you the very best price for your home. Speak to our friendly team for help with taking that first step!
