Selling a Home in a Buyer's Market

Selling a Home in a Buyer's Market

There's no doubt that a buyer's market can be challenging for sellers.  Yet it does not mean that sellers cannot enter the market - or that they cannot garner a fair price for their homes.  Home sales in a buyer's market may take longer.  But a little creativity can go a long way toward help sellers move homes, without having to significantly drop the price.

 

The professionals at Coldwell Banker Real Estate LLC offer the following suggestions for sellers who want to speed the process:

 

Price Your Home According to the Current Market. Just because a house comparable to yours sold for a very high price last year does not mean you will be able to realize the same price when selling your home now. Work with a full-service real estate professional to determine the appropriate, competitive listing price for your home. Remember that in this market, your sales associate may encourage a list price in accordance with others currently on the market, rather than those previously sold. Visit the Home Value Estimator to get a sense of comparative sales prior to meeting with your sales associate.

 

Be Realistic About Appreciation. Since the housing market began to slow significantly in late 2007, home prices have fallen all over the country.  Yet understanding trends in your specific market is critical - as not all areas have experienced the same drops.  Some regions of the country have remained more steady relative to prices, and are even back to experiencing modest appreciations.  And if you bought your home many years ago, the gains you made in the decades before the downturn may still be far more than recent drops. So speak with your real estate professional to get a realistic view on how your home has gained or lost relative to its value and potential price. 

 

Make Your Home More Marketable. When a buyer sees your house for the first time, a critical first impression is made. If applicable, maximize curb appeal by trimming trees and planting flowers. A fresh exterior coat of paint might also prove valuable. Consider neutral colors for interior walls and carpets. Dark colors on walls, along with unnecessary clutter, make rooms look smaller.

 

Conduct a Full Home Inspection. If repairs are required, it is a good idea to go ahead and fix the problems. Potential buyers will cast an extremely critical eye over your home and, in a situation when more houses are available on the market, they may take a pass on a home that needs too many repairs. Be sure to have the home inspection report available for prospective buyers itemizing all of the repairs that have been made and the associated cost for each.

 

Offer a "Seller's Contribution." A seller can sweeten the deal by offering assistance to the buyer in ways that do not require lowering the asking price. These tactics can help your home to stand out from the crowd. For example:

· Offer to buy down the interest rate on the buyer's mortgage.

· Offer to pay a portion of the closing costs.

· Cover the buyer's mortgage payments for up to the first six months. Depending upon the size of the mortgage, the buyer can save several thousand dollars and the seller still gets the original asking price for the home. It is generally more financially advantageous to do this than dropping the asking price by $30-, $20- or even just $10,000.

· Many condos and houses across the country belong to homeowners' associations that require annual dues. Paying the first year's fees could be a big incentive to a buyer nearing the limit of his or her liquid assets.

· Offer to pay off a buyer's bills. According to Realty Times, some loan programs allow sellers to pay off the credit card debt or auto loans of the buyer which will help him or her qualify for a better mortgage and prevent the need to buy a smaller, less expensive house.

 

Don't Worry. Properly priced homes that stand out from the competition are likely to sell. Speak to your Coldwell Banker® sales associate to find out how long an appropriately priced home is expected to remain on the market in your area.

 

About Coldwell Banker®
Since 1906, the Coldwell Banker® organization has been a premier full-service real estate provider. In 2008, Franchise Times magazine's prestigious Top 200 issue ranked the Coldwell Banker system No. 1 in real estate for the ninth straight year and 12th among franchisors in all industries. The Coldwell Banker System has approximately 3,500 residential real estate offices and approximately 100,000 sales associates in 47 countries and territories. The Coldwell Banker System is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. It is a pioneer in consumer services with its Coldwell Banker Concierge ® Service Program and award-winning Web site, www.coldwellbanker.com. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.