REAL ESTATE

by Darrin DeRoches February 18 - 24, 2010

The spring market is fast approaching and I thought I would point out the the biggest mistakes a seller can make when listing their property.  It’s a seller’s market, but the house will not sell or it will sit for a long time if you do not avoid the seller’s traps. Overpricing:  It is easy to think since it’s a seller’s market you can raise your price to the highest level since there is very little competition.  Seems simple enough: less houses on the market so you can sell your house for a premium. WRONG! In today’s market place buyers and sellers are more educated than ever, and no one is willing to pay more for anything.  People would rather sit and wait till the market changes than overpay for property.  Properly pricing your property will not only ensure a quicker sale it may cause multiple offers – thus creating competition – which will bring the highest price for your home.  If you overprice, it will get the viewings, but it will sit until you drop into reality. Housekeeping:  Clean, well–kept homes go a long way.  People will imagine themselves living in your home and an unkempt dirty home will scare them away.  You do not have to paint, stage and bake cookies – just have the home cleaned. Fix It: Unless the property is a total fixer upper, prospective buyers will look at the smallest repair as a huge deal and will want it fixed or the price lowered to compensate for a small repair.  A $100 repair may cost thousands in the negotiation.  Fix all the little things because they do add up. Inclusions and Exclusions: Identify them.  Some lazy agents will not bother listing what is included in the sale and what is excluded.  If you have a family heirloom that is coming with you or you are including the fridge and stove, write it down.  When the buyer is drawing up an offer they are taking these things into consideration.  If they believe the fridge, stove, washer, and dryer are included with the house and then they are not,  they will offer thousands of dollars less to compensate, or if the family heirloom is not properly excluded they will own it and you will have to lower your price to get it back.  I have seen the smallest item kill a deal or cost thousands in the negotiation.  Write it down! Understand your agreement: Read the paperwork you are signing.  Understand that if the commissions are not paid, you are responsible.  Understand if you do not have enough equity in the property, you will have to make up the difference.  Take the time to ask questions and have the agent explain things to your satisfaction.  Everything is in writing so read it, understand it, or get a second opinion.     Selling your home may be the biggest transaction in your life and you should take the time to think it through.  It is a seller’s market and if you play your cards right, you will sell your home for the highest price fast.  Play them wrong and you may miss the boat!  Bon voyage! V                           [DARRIN DEROCHES]