When you are planning to sell your house and move to a new location, it is a bittersweet feeling. You are moving from your old home to a new home – so many new changes and challenges are ready for you. One of the gigantic challenges here is finding the right buyer for your home, which isn’t an easy task.
From finding the right realtor to knowing the market value of your home – there are so many challenges ahead of you. So, if you are wondering what to expect when selling your home? Then, you should start by learning about the mistakes to avoid while selling your home. Once you stop making common mistakes, you don’t need any other tips for selling your home.
Common Mistakes to Avoid While Selling your Home
To sell your home quickly at a reasonable market price, you have to start making the following mistakes instantly –
#1. Not Creating a Perfect House Selling Checklist
One of the most vital tips for selling your home is preparing a house selling checklist. Foremost, you have to make a complete house selling checklist where you have to mention everything – from finding a good agent to searching for a good moving company. When you have all the essential steps pen down, you won’t forget anything important and can avoid last-minute surprises. So, before putting the “Sale” board in your front yard, prepare a house selling to-do list.
#2. Not Clarifying Real Estate Agent’s Commission Terms
The crucial mistakes to avoid while selling your home is to not clarifying commission terms with your real estate agent. Sellers have to use their proceeds to cover the commission of their agent and the buyer’s agent; thus, all the terms need to clarify in the beginning to avoid future conflicts.
Based on the average real estate websites’ data, the seller has to pay around 6% of the home price to cover the commission. For instance, if you are selling a home for $100,000, you have to pay $6,000 for agent commission. Now, if you aren’t alright with the commission rate or your agent is charging an insanely high commission, you have to clear this point in the very beginning.
#3. Not Setting the Right Sale Price
Determining the right sale price is one the most vital part of the house selling process. You have to set the sale price – not too high or low. The price has to be something that covers the initial cost at which the house was bought and close to the market price. Now, if you set a too high sale price, no buyer will approach your listing, and if you set a too low price, you are putting a strain on your pocket.
Thus, you and your realtor should draw a comparative market analysis – evaluating all the factors such as market price, depreciation rates, condition of a house, etc. Just take your time and set the right sale price to make the process simple and quick.
#4. Not Leaving Room for Bargain
What to expect when selling your home? Lots of counteroffers. Any smart buyer wants to negotiate the deal and get the price down – it is the number one buyer’s tactic. So, when you are listing your home at a certain rate, you should leave room for negotiation. This way, you can make the buyer feel that they have gotten a good deal from the monetary aspects. While preparing your selling strategies, it is good to have room for price wiggles.
#5. Not Preparing the Legal Documents
Before signing down your name on the house selling agreement, you have to ensure that all the legal documents are in order. From a seller side, you have to prepare multiple legal documents such as sale deed, letter of allotment, sanctioned plan, society plan, encumbrance certificate, and many more. So, it would be a big legal mistake on your part if you don’t get all the legal documents ready before selling your house. If you don’t know what legal documents to prepare before selling a house? Then, ask your agent.
#6. Not Getting House Inspected
Before opening your doors to potential buyers, you should get your home’s repair inspection done. Spending a few bucks on minor as well as major repairs can help you in cracking a good deal. When a buyer is going to inspect your home, even a small leak in facets or sinks can put your potential buyer off. So, if you want to sell your home at good rates, get your home inspected once and fix all the flawless.
#7. Not Considering your Next Home
It would be an enormous mistake not to considering your next home while selling your old one. Most people want to cover at least the down payment amount with the selling price. If you are buying a bigger home than your current one, you have to make sure that you are eligible to get a mortgage to fit your budget. It is recommended that you keep your monthly payment to 25%. You need to keep yourself financially secure to buy a new home.
#8. Not Paying Attention to Moving Expenses
As we have mentioned at the beginning that you have to prepare a complete house selling checklist before starting the process. And, moving is one of the vital parts of selling a house. You need to create room for moving expenses in your budget. Sometimes, if your new home isn’t ready and your old home is sold, you might have to keep your house stuff in the storage units. So, keep all the different types of moving costs in your mind.
Selling a house needs your full dedication and attention – because one mistake can be a deal-breaker. If you want to sell your home without a small mistake, you can visit Pannazz. It is a dynamic technology-aided real estate platform operated by industry experts. So, for quick and effective home selling, connect with us!
#9- Hiring cheap agents
One of the common mistakes is to pick a discounter agent, thinking you will be saving a percentage of the commission, but think about it, if an agent can not negotiate for their commission which is usually 6+%, how do you think they can go out there and negotiate for you?
Think about this, you have lots to lose when you have a discount on your side, they are trained to discount everything, even the price of your house.