How to get the maximum price for your home
Entire books are written on this subject, but to be as concise as possible, a successful sale requires that you concentrate on four considerations: the market, price, condition of the property, and exposure. You can't control the market, but you can control the other three.
The Market
There are numerous forces at work that shape the real estate market. Most notably, housing supply, interest rates, employment, lifestyles, demographics, taxes and, of course, location. Unless your name is Alan Greenspan, chances are you won't have much control over the market.
Price
The price you set is directly under your control. Although it is common for sellers to have emotional attachments to their home, it is important to be realistic about its value, and price it accordingly. A good place to start is by determining the fair market value.
Simply put, the fair market value of a house is the highest price an informed buyer will pay, assuming there is no unusual pressure to complete the purchase. It is usually not the asking price.
To get an estimate of fair market value, ask your agent for a Competitive Market Analysis (CMA) of your property. This service is free of any charge, without obligation. The analysis will give you a realistic figure based on the most salient points of the local real estate market. It should provide information about recent sales of similar houses, including how much they sold for and how long it took.
Condition of the Property
The condition of the property is also under your control, but may require a little more work. Properly preparing your home for sale can make the difference between a quick sale above asking price, and a home that sits unsold for months... even after several price reductions.
The first order of business is to forget your emotional attachment to your home and look at it through the eyes of a potential buyer. Be impartial, and recognize the weaknesses of your home.
With a mental picture of a model home in your mind, make an "attack list" of items to be completed on your home. It may be a short or long list, depending on the condition of your home, but keep in mind that all your efforts now will pay off big on closing day. The objective is to make your home appear well maintained, spacious, organized and clean. Many factors such as how light it is, the colors, sounds and smell subtly effect the buyer's impression of your home.
When a buyer views a home, they want to be able to picture themselves living there. A dirty, cluttered home in disrepair is not very attractive. On the other hand, it is not necessary to upgrade the entire kitchen. A fresh coat of paint and new carpeting are relatively inexpensive but pay big dividends.
Exposure
Exposure or marketing of your property is a key component in the selling process and is probably the number one short coming of For Sale By Owners (FSBOs). The greater the number of buyers that know your property is for sale, the greater your chances of finding a buyer at your asking price.
Today, the internet is the first place buyers begin their home buying journey. If you want to have maximum exposure for your property and get top dollar, your property needs to have a web presence.
Listing your home on the local Mutliple Listing Service (MLS), is almost standard protocol when marketing your home. This is the database Realtors use to locate properties for their clients.
Also important are open houses and newspaper ads. Your Realtor can help you identify the local papers to use and the wording of the advertisements.
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