Two Tips to Get the Most Money From the Sale of Your Home
Two Tips to Get the Most Money From the Sale of Your Home. Every homeowner wants to maximize their financial reward when selling their home. But how do you guarantee that you receive maximum value for your house? Here are two keys to ensure you get the highest price possible.
1. Price it a LITTLE LOW
This may seem counterintuitive. However, let’s look at this concept for a moment. Many homeowners think that pricing their home a little OVER market value will leave them room for negotiation. In actuality, this just dramatically lessens the demand for your house (see chart below).
Two Tips to Get the Most Money From the Sale of Your Home
Instead of the seller trying to ‘win’ the negotiation with one buyer, they should price it so that demand for the home is maximized. By doing this, the seller will not be fighting with a buyer over the price, but will instead have multiple buyers fighting with each other over the house.
Realtor.com gives this advice:
“Aim to price your property at or just slightly below the going rate. Today’s buyers are highly informed, so if they sense they’re getting a deal, they’re likely to bid up a property that’s slightly underpriced, especially in areas with low inventory.”
2. Use a Real Estate Professional
This, too, may seem counterintuitive. The seller may think they would make more money if they didn’t have to pay a real estate commission. With this being said, studies have shown that homes typically sell for more money when handled by a real estate professional. A new study by Collateral Analytics, reveals that FSBOs don’t actually save any money, and in some cases may be costing themselves more, by not listing with an agent.
Two Tips to Get the Most Money From the Sale of Your Home
In the study, they analyzed home sales in a variety of markets in 2016 and the first half of 2017. The data showed that:
“FSBOs tend to sell for lower prices than comparable home sales, and in many cases below the average differential represented by the prevailing commission rate.”
The results of the study showed that the differential in selling prices for FSBOs when compared to MLS sales of similar properties is about 5.5%. Sales in 2017 suggest the average price was near 6% lower for FSBO sales of similar properties.
Bottom Line
Price your house at or slightly below the current market value and hire a professional. This will guarantee that you maximize the price you get for your house.
Call Us Now To Sell Your Home…
Office: 909.985.9392 or Text Us: 714.657.6634
[gravityform id=”15″ title=”true” description=”true”]
Consumer Prices Plunge!
Not everything we write is about real estate. Today it was announced that consumer prices have dropped a record 1%, the largest decline since 1947. Why? Simply put, there is increased competition by retailers to get our dollar. We, as consumers are spending less as...
Put the Leaders on Trial for Negligence of These Loan Servicing Companies!
Tragedy…this home could have been saved only if… This is the final chapter in a painful story of a Short Sale gone bad. The “Bankruptcy Negotiator II”, Ryan Bickerton with American Home Mortgage Servicing Inc(AHMSI), refused to accept a short sale purchase agreement...
Is it REALY worth it….Loan Modification.
With all of the hype of "loan modifications" and "government bailouts" you can't help but feel that there is a solution somewhere that will save you from loosing your home. I've been watching the news, reading everything that comes across my emails and can only say...
The FHFA announced a new program to assist homeowners….
Note that this does not include principal reduction as a solution. This new plan is limited to: “extending the term, reducing the interest rate, and forbearing interest” This is intended to help “thousands” (a drop in the bucket unless it is several hundred thousand),...
Can you say Dirt Bags!….Desperate to keep your home…Beware, you can't trust everyone who tells you they want to help.
Sadly.... I am going to tell you about a family that was recently lied to and taken for a lot of money in hopes of keeping the home they were living in by doing a loan modification. The ending on this true story left the family loosing the home to foreclosure, filing...
Hope for Homeowners (H4H) implemented on Oct. 1, Guidlines are stiff!
Here is some great information that I located that will explain the very detailed rules and restrictions that support the Hope for Homeowners initiative that kicked off at the first of October. If you are trying to keep your home and reduce your payments. This program...
Must READ! Foreclosed Home Sold At Auction….$115,000 Less Than Offer Lender Rejected???
If you follow our blogs, one of my recent posts " In the business to foreclose...ask Ryan" told of a loan servicing company that declined to order a bpo on a property due to the fact they had done their own appraisal months prior to the offer we had provided them....
Heather Shares Her Experience Of Short Selling Her Home
Meet Glenn and Rose our new neighbors….
The Subprime Boom….then Bust. Short Sale Anyone?
I found some great information on a blog post today from the OC Register. The story was focused on the Orange County area, but clearly shows the degree and areas that were hard hit with unsavory loans in the Inland Empire. The loans that shook the financial world...
Can I live in my home while I'm Short Selling it, even though I'm not making the payments?
Today I was talking to a fellow that called me to find out about how a Short Sale works. I realized after talking with him for nearly an hour that there are a lot of people (real estate agents) that give out conflicting and incorrect information. I don't believe...
California Loan Holders could see some relief with Countrywide
It appears that their is something coming to California Homeowners that have Counrywide loans. We will find out more today concerning the specifics. We will keep you posted. Countrywide mortgage pact may be worth $3.5 billion to California loan holders Bank of America...
In Business To Foreclose? Ask Ryan…Option One are you aware of this?
This is for our clients...you have been wonderful to work with! Thanks for letting us share. Like most of our clients, the ***** family were no longer able to make their mortgage payments. Their home had a sale date set in less than two weeks from them contacting us....
Bail Out Plan for Homeowners…Really?
It’s being called a rescue package for our financial system. Obvious goal is to slow down the foreclosures. Keep people in their homes….Let’s take a look at the specifics of this $700 Billion “rescue Package”. How does the bailout plan help homeowners facing...
HOPE for Homeowners-Foreclosure Prevention Act of 2008
Important Information about Title IV of H.R. 3221 Foreclosure Prevention Act of 2008 - HOPE for Homeowners For many homeowners the dream of owning a home has become a nightmare. An option that has received a lot of attention is the FHA Housing recovery bill of 2008....
Banks, Servicing Companies, Short Sale or Foreclosure…Some get it…Some DON'T
Just a quick vent session and I will get back to the wacky world of Short Sales! I'm not a genius, but as I listen to CNN discussing the bank crisis.....I have to ask myself this question: Who are these people that are making the call at our lenders to foreclose...
Foreclosures drop in California….State bill 1137 working….this month.???
Foreclosure notices fell nearly 90% in California with the implementation of state bill 1137 on September 8th. I found a great chart that shows the huge decline in Notice of Defaults and Trustee Sales here in the state of Ca. Here’s the staggering fact! We went from...
Bank of America's new Short Sale Criteria sends California Homes to Foreclosure!
Kris and I live in the "Inland Empire"; one of the hardest hit areas of the country. Being Real Estate Agents, our decision to become Short Sale experts was an easy one. Our lives are touched daily with calls from people that are loosing their homes. Using everything...