If you tell anyone you’re considering selling property… I mean anyone, a friend, family member, or even someone in line at the grocery store, you have probably gotten all kinds of selling advice.
And, although it is advice given with the best of intentions, some advice is just flat wrong. That isn’t to say that all advice you’ll get from unlicensed acquaintances will be bad, some may be good. The key is knowing the difference, especially if this is the first time you’ve considered selling property.
Truth is, there are all kinds of myths and misconceptions out there concerning selling real estate. I hope this post helps you to be more informed so that you don’t fall into the trap or potential problems that come from following bad advice. So read on to discover what you should know about 4 common myths about selling property in Roseburg.
1. You Should Price It High For Wiggle Room
After 28 years of selling real estate, I can tell you that pricing your home correctly right out of the gate is the #1 single most important thing you can do when selling property in Roseburg… or anywhere else for that matter.
This “price high to give yourself room to negotiate” theory or the “price high — you can always reduce the price later strategy is one of the most common myths, and it is one that you should definitely be careful of. This strategy usually ends up costing the seller in the long run.
Why is this strategy dangerous? Because you risk missing your potential buyer in the most important stage of your listing, the first weeks on the market! Buyers are online, and many of them have auto-listing searches set up to notify them as soon as a potential home hits the market.
The goal is to generate as much buyer interest as possible the moment your property hits the market. If you’re priced more than 3-5% above market, you’ll be considered overpriced and buyers will pass right by your listing.
Historically, home sales typically land between 95%-97% of list price.
History
Don’t get me wrong, as your listing broker I’m all for getting top dollar, but if we miss the price and your home sits on the market for weeks, it might end up causing buyers to assume that either something is wrong with the home or that you are an unrealistic seller.
Of course, lowering the price is an option but again, buyers look at this as a high-motivation sign or that something may be wrong with the property.
The typical end result is that you sell at a lower price than you would have if you had priced correctly in the first place. And, in a transition or market that is shifting downward as we may be in now, you could end up chasing the market down, and that is not a good home-selling strategy.
To avoid this myth when selling property, it is important that you understand what it is worth and have a good handle on the real estate market. Avoid being influenced by emotional value since buyers are not going to consider this “value.” Be rational and look at your price point objectively by being somewhat critical… because that’s how buyers view your home.
Home buyers are looking for reasons to take your home off the list, not keep in on the list.
Troy
Real estate industry experts say, “home evaluations are always better left to the pros.” Sellers aren’t always the best judges of value… It’s just an intensely personal thing to put your home on the market… In fact, homes selling by owners tend to be overpriced exactly because of the one factor of emotions, and that can make it much harder when trying to attract buyers.”
If you are interested in my professional pricing assistance, (particularly, a home evaluation and total real estate market overview for Roseburg OR) contact me at 541-643-1131.
2. You Can Sell As-Is/You Have to Make Major Upgrades
Here are two related myths about selling property in Roseburg… two myths that land on opposite ends of the spectrum.
The first one says “hey, it’s just fine to sell your property as-is without making any upgrades.” There are lots of reasons you might want to sell as-is.
Maybe you think your home is in great shape or at least good enough to sell. The thing is, you very well might be overlooking some necessary changes that could potentially boost your profits. This is usually the case when a seller has lived in a home for a long time and just get accustomed to the way things are… but some of those things might be a turn-off to buyers.
Or, on the other hand, maybe you think the home needs too many repairs and you don’t want to do any of them. This is typically (but not exclusively) the case with inherited homes, probate situations, and distressed properties.
At the other end of the myth spectrum is the home seller who says if you’re considering selling property, you need to make major upgrades. This view is usually wrong, too.
In most cases, you don’t have to do major renovations to get your property ready to sell because major renovations usually don’t bring an acceptable return on the investment. Of course, this might be different if you purchased a fixer with the intent of flipping it after a complete overhaul.
More than likely, you’ll just need to freshen up the kitchen instead of getting a whole new one. Maybe you have to do a bit of front-yard landscaping to boost curb appeal. Or, maybe a little interior paint would spruce things up. No matter what, sellers should be purposeful about improvements . . . Simple things make a big difference.
A recent report published by NAR said that for a majority of people who were preparing to sell a home, the most daunting task was preparing the property for the market. If that sounds like you, shoot me a message or call and I’ll help get you out with some pointers.
3. You Must Sell in the Spring
Yes, it is true that historically, spring and early summer are the hottest seasons in real estate and are considered the best time for selling property. But the reality now is that just about any season can be a good time to sell a property. Why? Housing shortage!
Did you know that America is about 10 years behind on housing starts?
Troy
According to one industry pro, “spring used to be a strong time, but not anymore . . . I think houses sell pretty well all year long… Summer or school break is a busy time, and slow time is generally mid-November to early January, due to holidays and family.” But because inventory is so low, these “slower” times can be “a great time to get a good price.”
In addition, the best-selling season varies from the local market to local market. To find out the best time to sell in Douglas County, shoot me a text at 541-643-1131.
4. You Don’t Really Need an Agent
I hate sounding like a “salesperson” and despise hard sales, so please don’t misunderstand my words here… One of the most persistent myths about selling property nowadays is that you probably don’t need an agent – you can successfully go it alone.
Only 11% of FSBO sellers succeed without a real estate professional.
Yes, you can avoid the agent commission by going solo, but should you? According to NAR, FSBO homes sell for 26% less than listed properties on average. So you save the commission but…
Selling on your own includes doing the home preparation, and the hustle – and there’s a lot of hustle to marketing a home. Plus, you’ll want to screen and prequalify buyers to weed out the creeps and the non-serious buyers.
[An agent] does the heavy lifting – to attract the right kind of buyer, sift out the ones you would never want to do business with, and negotiate the heck out of potential offers to get you the best possible deal. It’s about establishing relationships, trust, and facilitating communication to keep the deal alive until it closes.”
The reality is that most sellers are better off working closely with an experienced Roseburg agent. So don’t fall into the trap of any of these costly myths. If you’re thinking of selling property in Roseburg, contact us today at 541-643-1131.