10 Cost - Saving Tips When
You Sell Your Home
Overview
Selling a home can be a costly endeavor, but with the right strategies, you can significantly cut down on expenses. This ebook list will guide you through ten practical tips to help you save money and maximize your profit when selling your home.
Tip 1: Choose a Reduce Fee 100% Full Service Realtor
90% of ALL closing costs are commission costs associated with the sale of your home. It makes sense to consider cost savings options to minimize this expense that can amount to 10,000 thousands of dollars of savings when choosing a listing agent. It is even more important now for a home seller to consider their commission saving options with the landmark NAR settlement concerning buyer’s agent commission to be implemented this August 2024. A good full service listing agent will guide you through your options with the buyer’s agent commission options as well.
Tip 2: Choose the Right Time to Sell
Timing is crucial in the real estate market. Selling during a seller’s market, when demand is high and inventory is low, can help you get a better price and reduce the time your home sits on the market. Not every home seller has the luxury to choose the perfect time to sell. Also if you are buying another home; what could have been a bad time to sell is now a great time to buy. However, if you have the ability to “time” your sale, you can research local market trends and aim to list your home during peak times.
Tip 3: Enhance Curb Appeal
First impressions matter. Improving your home’s exterior can attract more potential buyers. Simple cost effective tasks like mowing the lawn, planting flowers, and painting the front door can make a big difference without breaking the bank.
Tip 4: Declutter and Depersonalize
Buyers need to envision themselves in your home. Remove personal items and excess clutter to create a clean, inviting space. This not only makes your home look better but also helps it appear more spacious.
Tip 5: Make Minor Repairs & Get Bids on Major Repairs.
Repairs can be broken down into two components: (a) Major and (b) Minor. Fixing minor issues like leaky faucets, cracked tiles, or broken windows is typically a smart move as it can prevent buyers from using these problems as negotiating points to lower your price. A major cost, for example, is a large estimate as an outcome of Pest Report (pest reports usually have more to do with dry rot on a home rather than active termites). In this example, it is a good idea to get a 2nd opinion estimate from someone else rather than taking the pest report company’s estimate; typically pest companies prices can be very inflated. Even if you do not do the work, you can use the lower price for negotiation with the future buyer.
Tip 6: Stage Your Home
Staging your home doesn’t necessarily mean hiring a professional staging company. The concept of staging is for a home buyer to look at the home and for them to see the potential of your space. The goal is to create a welcoming atmosphere that highlights your home’s best features. You can use your own furniture and you can hire a home stager and perhaps a little of both. The end result is for the prospective buyer to quickly identify the use of the room and then imagine how their own furniture might fit in.
Tip 7: Price Your Home Strategically
Pricing your home competitively is crucial for attracting buyers and maximizing your sale price. By reviewing comparable sales in your area and working with your real estate agent to determine a realistic and competitive price for your home you will ultimately succeed at hower sale price and fewer days on the market.
Tip 8: Market Your Home Effectively
To start, take maximum advantage of the “power of MLS” (Multiple Listing Service). These days, once a home is listed on MLS, it is everywhere. It is syndicated to Zillow, Realtor.com, Redfin and every brokerage site both small and large. More buyers than ever are finding homes on these major portals themselves, sometimes even before their agent is aware it has come on the market. It is very important to utilize these online platforms to market your home to the highest level. First and foremost, is to have high-quality professional photos, perhaps virtual tours, and always an engaging description that can attract more buyers. Making sure you cover the crucial components of effective marketing, reduces the time your home is on the market and can save you money on holding costs.
Tip 9: Incentive for Tenant for Cooperation
Perhaps you have a rental property that is currently tenant occupied. In this scenario, you have a lease with the tenant that has several months before expiring and the house needs to be sold with the tenant occupying the property. A high level of cooperation is required from the tenant in order to produce maximum purchase price for two major reasons. (a) Reasonable access (b) Presentation of home when shown to prospective buyers. It is for this reason it might be a good idea for the seller to encourage cooperation with the tenant with reduction of rent or cash incentive at close of escrow.Tip 10: Understand Closing Costs
Closing costs can add up, so it’s important to understand what they are and how they can be minimized. First step is to get an estimated Seller’s NET Sheet, which itemizes your closing costs, before you put your home on the market. Review your closing statement carefully and question any fees that seem unnecessary. Sometimes, you can negotiate to have the buyer cover some of these costs.
Conclusion
Selling your home doesn’t have to be prohibitively expensive. By following these ten tips, especially saving money on commission costs, you can significantly reduce total costs and ensure a smoother, significantly more profitable sale. Remember, knowing your options, preparation and having a strategy are key to maximizing your savings.
