People new to real estate might consider the skill of selling houses to be somewhat elusive. As a result, many myths are surrounding the process of selling a home. Certain myths are more prevalent than others, but sellers must be aware of the truth to get the highest closing price possible. Here are the most common myths about selling a house and the facts that dispel them.
Myth: Overpricing a home will lead to a higher closing price.
Of course, sellers want to do everything in their power to garner the highest closing price possible, but this strategy simply isn’t practical. Overpricing your home causes you to lose money in the long run. Remember, in this day and age, potential buyers can pull out their smartphones and compare home prices at any time, so there’s no fooling them. When you’re in the process of pricing your home before you place it on the market, consider underpricing for a higher closing price. The second buyers realize that your property is a good deal, your property will undoubtedly receive more attention and offers, which will increase your property’s market value.
Myth: A quick offer means the property’s price is too low.
Contrary to popular belief, a quick offer on a home is a good thing. If the bids are pouring in quickly, that means your house’s price is exactly where it needs to be, and buyers are trying to get the best deal possible. A home will never sell below the market price because the market price is what buyers are willing to pay. In addition, quick offers are great because every seller’s goal should be to get the house off of the market as soon as possible. The increase in competition will lead to a higher closing price.
Myth: Houses sell themselves.
If houses sold themselves, there wouldn’t be an entire $9.6 trillion industry based on selling real estate. Real estate agents are well-versed in the various strategies and tools that people use to sell their properties, but part of their job is to make selling houses appear effortless. A seller’s goal should always be to close the sale for the highest possible price. Real estate agents use careful strategies to prepare, stage, price and photograph the house to sell at a high price. Even the most beautiful, luxurious homes will not sell without proper planning and marketing.
Myth: You should never accept the first offer.
In the real estate industry, the first offer is often the best offer you’ll receive. Before you discount this fact, think about the buyer’s process. By the time they make an offer, they’ve likely been on the market and checked out other deals. A serious buyer has already been approved for a mortgage and has been on various showings. When buyers see a property they genuinely want, they’ll make sure that nobody else buys it. If you’ve overpriced your house, an educated buyer knows this already. They’ve been waiting to see how the market reacts to your pricing. The offer that you consider a low-ball might be closer to the amount you should have priced the home in the first place.
When a buyer places the first offer on your home, do some research on the buyer. Staying informed will help you understand how long they’ve been in the market, who they’re working with, and what they are looking for. The first offer could be the best.
Myth: Real estate agents with a lower commission rate will earn sellers a more significant profit.
You always get what you pay for, and real estate agents are no exception to this rule. Anyone willing to work for less than the standard rate has a reason for it, and it’s probably not a good one. While you may save on the commission, you will pay the price elsewhere. Agents who work at a lower rate are likely to settle for a lower asking price to score a deal. A lower commission rate also entails a lower marketing budget, which also harms the closing price. All in all, saving a small percentage on commission rates is not worth it.
Myth: An open house will make your house easier to sell.
People love to believe this myth and even add fuel to the fire by encouraging people to bake cookies at the staging of their house. In the past, this might have worked, but not today. The truth is, only 2% of people sell their homes as a direct result of an open house. The reality is that virtual tours and private showings yield the best results for sellers.
Myth: Staging the house is unnecessary. All you need to do is clean it.
Your house might look great, but your decor will never be as effective as staging your home. A professional home stager’s area of expertise is drawing attention to the most valuable aspects of your home and minimizing the house’s shortcomings. They know all the tricks that will assist the agent in the process of getting the highest asking price for your home. Staging your house makes it easier for 77% of potential buyers to envision the property belonging to them. Even if you’re not willing to invest in professional home staging, it’s worth doing some research and applying their staging techniques to your property.
Call Motivated Sellers
There are many misconceptions about the best way to sell your home, but we hope this article helps you separate fact from fiction so that you can sell your properties for the highest asking price possible. If you’re a homeowner or real estate agent looking to sell your home, Call Motivated Sellers can help. We have years of experience in the real estate industry, along with access to the best information for buyers, sellers, and agents to help you close more leads.
Are you interested in working with us or learning more about the services we offer? Contact our team today, and let’s talk!
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