Mistakes Seller’s Make
1) Asking the wrong price for your property Sellers have considerable equity in their properties -both financial and personal. Unfortunately, this may cloud their judgement when selling. Sellers need to adopt an arms-length perspective when pricing as the home becomes a commodity that will compete with other properties for sale. The agent that the seller engages must provide a report of like for like properties to determine a price. Land size, bedrooms, bathrooms, living areas, proximity to transport and shops, construction material are critical comparisons that the seller must examine to set a competitive price.
2) Not preparing the home for sale
The property is competing with other properties and presentation sells. All necessary repairs must be completed as well as; decluttering all living spaces, enhancing the property with subtle desired improvements that your agent outlines and a fresh smell prepares the property for sale.
3) Negotiations with the buyers
When choosing an agent, it is important sellers ask about the current needs and problems of purchasers.
What is finance like?
What do they want from properties in your area?
What do I have to do to reduce problems in the negotiation stage?
What will I need to take out of the property to make it more sellable?
Answering these questions and adjusting the property accordingly at listing, reduces the potential problems that could jeopardize a sale.
4) Home inspections
Optimising the best times to show the property as well as clear access impact the sale. Leased property can reduce the amount of inspections and can leave a property lingering on the market too long -affecting the sale price. Negotiating a favourable incentive for tenants during a sale can improve the process considerably. Presenting the property at times that are beneficial to both purchasers, tenants and sellers is also imperative as missed opportunities result in extra time on market.
5) Listing the property for sale
Choosing the wrong real estate agent is a very costly mistake as having to go through the process twice means extended time on market. The important questions to ask include: What have they sold? Are the properties like for like? Time on market?
Prices attained? What are they like in quiet markets? Do they stage?
Selling methods used? Reviews?
6) Property appraisal Sellers need to firstly readjust from home owner to property seller -equity position to arms-length transaction. The agent’s property appraisal should then be similar to the expectation of the seller. The seller must research the market in advance to know that the agent is professional and that the agent is not just “buying” the listing by appeasing the seller. Both parties loose in this scenario. The seller has a property on the market too long and the agent builds a reputation of incompetence. Accurate property appraisals conversely sell quickly and often with heated demand.
7) Closing a sale
In markets that are not booming closing a sale is critical. Ensuring that both sellers and purchasers don’t lose site of the ‘prize’ is often easier said than done. Sellers and purchasers that want their conditions met and become embroiled over chattels can jeopardise their mutual investment. An agent that stays focused on the outcome whilst appeasing both parties equally is an asset.Indeed, negotiation is a critical and essential skill and sellers should examine thisability prior to listing by reading the agent reviews.