7 Mistakes Home Sellers Should Avoid in Huntsville, Alabama
Are you planning to sell your home? Before you do, consider these common mistakes that many home sellers make. Our guide sheds light on the challenges faced by sellers, providing insights and practical advice to navigate the selling process effectively. From timing your listing strategically to selecting the right agent, our guide covers essential strategies to help you achieve optimal results. Avoid these seven mistakes to ensure you can sell your home for top dollar in Huntsville, Alabama.
1. Rushing Your Home to Market
One big mistake many home sellers make is rushing their homes to market. That can mean not getting them ready properly, like skipping paint touch-ups or freshening up the carpet. Paying attention to these little things can make a big difference, especially in today's market. It's not like a couple of years ago when homes were selling super fast.
Another thing noticed is when people list their homes at the wrong time. For example, if a home is perfect for families looking to move to a particular school district, listing it during spring break when everyone's away means they might miss out on a lot of potential buyers.
And then there's putting a home on the market without a plan. Just putting it out there and hoping someone will notice it isn't enough. Sellers should recognize that selling a home is like marketing a movie. You wouldn't just throw a new Star Wars movie into the theater without promoting it first. A plan is needed to start marketing the home before it even goes on the market.
2. Selling Your Home Off-Market
The second mistake many home sellers make is selling their home off-market. This can involve receiving unsolicited text messages from investors looking to buy their home or take over their mortgage. Additionally, some postcards that arrive in the mail are sent by wholesalers who don't actually purchase the home but instead put it under contract to make a profit by selling it to another investor. Sellers should avoid selling their home to a wholesaler.
Another scenario is selling the home off-market to a neighbor. This might not always result in getting the best price for the home. There are situations where selling off-market is necessary, such as when there are extensive repairs needed or if facing foreclosure. That's where our 'Instant Offer' program comes in, which typically yields more profit than dealing with wholesalers or investors. If that's the best option for the seller, it can be facilitated. However, most sellers prefer our 'Hot Home' program, which maximizes exposure and potential earnings.
If there is a potential buyer, such as a neighbor or a friend, they can inquire about the 'Find Your Own Buyer' program. This program guarantees that efforts will be made to secure the best price for the home. If the seller does find their own buyer, a different commission plan is offered. Sellers are encouraged to inquire about the 'Find Your Own Buyer' guarantee.
3. Neglecting to Prepare Your Home for Showings
The third common mistake many home sellers make is neglecting to prepare their home before showings. They might leave it disorganized, allow unpleasant odors to linger, or fail to clean up after pets in the yard. It's essential to ensure the home is in the best possible condition. If a showing is scheduled, turning on all the lights and considering baking some cookies to create a welcoming atmosphere and fresh aroma for potential buyers can make a significant difference.
4. Not Reading the Contract
Another issue that arises occasionally is not reading the standard board's contract, specifically paragraph nine, which outlines what items remain with the home.
One of the most common oversights noticed is regarding TV wall mounts. Additionally, a significant concern can arise when homeowners fail to specify the status of high-quality window treatments and hardware affixed to the walls. These treatments and hardware can be quite costly, sometimes reaching tens of thousands of dollars. It's crucial to clarify whether these items stay or go because, by default, paragraph nine states that they are included.
5. Rushing to Accept an Offer
Number five involves rushing to accept an offer. If a home is highly marketable and in high demand, this mistake occurs frequently, resulting in leaving too much money on the table. First offers are typically the best, but not always, especially when multiple offers are expected in a short timeframe. The agent should assess the number of showings and interest in the home to determine the likelihood of multiple offers. This assessment includes examining the MLS data, such as the speed of home sales and the list-to-sales ratio, as well as considering any additional features of the home.
That's why there's a strategy in place with the team, where the home might be listed on a Thursday or a Monday, and all offers are reviewed after a Sunday's open house. Informing potential buyers upfront that multiple offers are anticipated allows them to submit their best and final offers. This approach enables the sellers to review all offers after the Sunday open house and potentially accept the best offer or counter the most favorable offer.
6. Agent Shopping by Price Alone
Number six is shopping for an agent strictly based on price.
It's often said that you get what you pay for. Therefore, it's crucial to hire an agent based on the value they can provide. Marketing and having a competent team do come with costs, but the primary focus should be on the bottom line, not on the agent's commission. If the agent offers additional marketing and enhances the initial exposure of the home, resulting in a higher sales price, it's likely a good investment.
7. Not Interviewing Enough Agents
The last mistake often observed is not interviewing enough agents. Oftentimes, sellers only interview one agent, and sometimes it's their cousins, uncles, brother, sister who have just obtained their real estate license or they fail to do their homework. In terms of the actual number of homes that the agent sold, sellers should consider how long they've been in the business because the average agent in this marketplace and across the nation sells between 0 to 1 homes per year.
That's half of the agents. The median agent in the area sells 0 to 1 homes per year. It's crucial to check the reviews, assess their marketing, budget, and service. Sellers should ensure they have enough marketing budget to sell the home. They should also consider the agent's team size and whether they have a support team in place when they go on vacation. Is there going to be somebody dedicated to you to help you out?
It's essential to evaluate the size of their database as well. Do they have potential buyers for the home? Are they actively marketing the home, or are they waiting passively for buyers to come? Sellers should also inquire about the number of homes they sold in the last 12 months and whether they have the necessary experience to sell the home.
This piece is so important that all potential sellers who meet with our team are provided with a list of interview questions to ask any other agent they are considering.
Those are the seven common mistakes that many sellers make, potentially costing thousands of dollars on the home sale. As the #1 Real Estate Team in Alabama for four straight years, our aim is to put that money back in their pocket.
Posted by Matt Curtis on
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