Selling Your Home
Time to sell your home? Here are some things to consider when marketing your home:
How long will it take to sell my home?
Ordinarily, it takes 15-60 days to sell a home in Calgary. Some will sell in a few days and some may take several months. Buyers make their buying decision based on the comparison of logical and emotional appeal. A look at comparables in your neighbourhood will give a more accurate picture of how quickly your community sells and the time of year that is more favourable.
The single most important factor in selling your home is PRICE.
Am I priced to sell?
Attracting buyers is the name of the game. As a seller you have two goals:
- To get the most money possible;
- To sell as quickly as possible.
Be realistic. Price is the number one factor that most home buyers use in determining which homes to view. Although the price is set by you, the seller, the value of the home is determined by the buyer. Don't allow your enthusiasm to warp your judgement and overprice your home - a mistake you cannot afford to make.
Here are some factors to consider. This information is not all-inclusive and does not replace the expertise provided by a residential realtor for your individual property.
What affects your asking price?
- Urgency - How quickly must you sell?
- Competition - Are there just a few or many homes available in your price category and area?
- Available financing - What are current mortgage rates and terms? Will your home appraise for the sale price so that a buyer may obtain financing?
- Comparable Market Analysis (CMA) - do you know what similar homes in your area have sold for in the last 90 days? do you know what similar homes on your street have sold for in the last six months?
- Expenses - This will not have bearing on what a buyer is willing to pay for your home, but it will affect your bottom line. What are your selling costs?
not affect your asking price?
- Original cost - your price is determined by today's market.
- Improvements - Professionally completed renovations will increase value in your home, but poorly done projects, renovations more than 10 years old, or personalized choices such as wallpaper and themed rooms, will not.
- The cost to build your home today.
- Personal attachment.
- The Neighbour's claims.
What happens to an overpriced house?
- You will help sell the competition - The "correctly priced" homes look even better if your home is overpriced and all buyers are comparable shoppers.
- Your home will stay on the market a long time - Did you know that 80% of your potential buyers will see your home in the first 30 days? If you don't sell them during that initial marketing period, it will take three months to replace them with an equal number of new buyers in the market place.
- You will lose market interest and qualified buyers - Serious buyers use the value, quality and price of similar properties as deciding factors.
- A negative impression is created - People will wonder why your house is still on the market. They'll believe something is wrong with your home, or the sellers are not willing to negotiate on their home.
- You (the seller) will lose money - You may have to make extra mortgage payments as well as incur taxes, insurance and unplanned maintenance costs.
- You (the seller) may have to accept less money - Studies show that the longer a house is on the market, the greater the discount off the list price. Often a seller will accept less than fair market value in order to sell because of approaching deadline.
- There is the potential for appraisal problems - The appraiser from your buyer's lender must agree that the home is worth the asking price. If the appraiser believes the price is inflated, the loan may not be approved and your conditional offer will fall through.
As you can see, there are a multitude of factors that determine the asking price of your home. Finding this price yourself can be a long and difficult task. That is why thousands of satisfied homeowners use a residential REALTOR. As specialists in residential resale, they have the tools necessary to compute the fair market value of your home quickly and accurately while allowing for personal considerations (such as the date you must sell by). Your REALTOR® can also confidently answer your questions about listing, pricing and marketing of your home.
Our goals are the same as yours: To get you the most amount of money in as short a time as possible, and to make selling your home a pleasant and profitable experience for you.
Request a free home evaluation today