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Helpful Tips in Selling Your Own Home

Buying or selling your own home can be a huge project, taking a lot of time and effort. While saving money by not working with a Realtor is positive, seller should also realize that for a house to sell successfully, extra effort is needs to made to present the house and to be sure it is a good fit with buyers. Below are some key ideas for people who want to do a 'For Sale By Owner' campaign and how to make the home you are selling more attractive to prospective buyers.

 

The Basics

 

Your goal is to make your home welcoming to potential buyers.  A little time and attention spent before you list your home will pay off in dollars later.  Take inventory of your home's best and worst features:

  • What are you home's best features: is it your garden, large master, or built in shelves? Whatever it is, make sure you highlight them.

  • Determine what your home's weak points are - is it a small kitchen, lack of storage, or  poorly landscaped yard?

It may help to ask a trusted friend who can look at your home objectively.  Make a plan to minimize or eliminate them.  Your prospects should be able to see themselves living in your house.  Accentuate the positive and de-emphasize the negative.

 

Common problems:

  • DUSTY OR NOT SO FRESH ODOR -- Give your home a thorough cleaning before showing it.  Smokers or pets? Use an odor neutralizing spray.

  • DARK--Open or remove all window coverings. Paint walls a light, neutral color.  Clean the windows.

  • SMALL ROOMS--Remove excess clutter-clothes, papers, knickknacks, and furniture. Consider packing unnecessary items early.

  • UNIMPRESSIVE CURB APPEAL-Mow the lawn and trim the hedges; add colorful flowers.

Getting Your House Ready

Making your home a show place does not have to be difficult or expensive. You goal is to help prospective buyers see themselves living in your home. Since prospects come from all walks of life, your home will need to be neutralized to have the widest appeal. After your home is neutralized, it should look like a model home or hotel room:

  • Remove personal photos

  • Clear clutter from: tabletops/desks – figurines, papers, counters – seldom-used appliances, personal products (keep in a decorative basket under the sink)

  • Walls – awards, plaques

  • Rooms – over-sized or excess furniture

  • Cabinets/Closets – prospective buyers open cabinets and closets; don’t simply shove items from the table into the cabinets or closets. Reorganize and de-clutter them as well.

  • Hang clothes neatly in closets or fold in drawers (not overstuffed)

  • Clear table tops, with the exception of a vase or book

  • Paint walls neutrally colored paint (warm, not white) 

Take the opportunity to begin packing early as you prepare your home for sale. In general, the less clutter you have the better. Prospective buyers have a hard time looking past clutter and unique decorating tastes. Neutralizing your home will make it easier to sell. You may be thinking it will no be like home and you are right – your goal is to make it someone else’s home. Removing personal items makes it much easier for prospective buyers took at the home and its features rather than thinking about you or your family, vacations, occupations, etc. 

Advertising

The hardest part of selling your own home is letting everyone know your house is for sale. Be prepared there will be significant time and effort involved in showing and advertising your home. To get the best exposure, consider these options:

  • NEWSPAPER ADS. Place an ad in your local paper which includes price, area of town, and number of bedrooms and bathrooms.

  • ONLINE. Place photos and descriptions of your home online. Newspaper, real estate and community websites are good options.

  • YARD SIGNS. Create a colorful sign and place it in your yard. Make sure drivers can see the phone number from a distance.

  • OPEN HOUSE. Consider an open house. Let potential buyers walk through undisturbed. Smile, invite them in, and stay near the door. Some people feel uncomfortable looking around with the owner close by.

  • FLYERS. Create colorful flyers that point out the wonderful features of your home. At least one good photo is a necessity. Post them everywhere your prospects go: bulletin boards at work, churches, community centers, and grocery stores.

  • WORD OF MOUTH. Inform your friends, family and everyone or do business with that you are selling. They may not be interested, but a friend or co-worker of theirs might be. Have brochures and flyers available at all times.

Pricing Your Home

 

The only thing that matters when settling on a price is what comparable homes are currently selling for your neighborhood1. To your sales price, look into websites such as Realtor.com and Homegain.com.  Also note how long the homes were on the market. If you are in a seller's market (where homes move in a couple of weeks), consider adding a premium to the asking price.

Be careful about pricing too high in the beginning; the first month your home is on the market is the most critical selling time. If your price is too high, you will turn off potential buyers and have a hard time attracting them back, even if you later lower your price.1 “For sellers only”, Money 101 - Lesson 8, www.money.cnn.com, May 12, 2005.

 

Financial Considerations

  • Know the amounts of your current property taxes and utility bills.

LOCATION, LOCATION, LOCATION!!

4BR, 2.5 BA located in the lovely Alpharetta area. Convenient to all.

Asking only $235,000.  Contact John at (555) 555-1212 or jmc@domain.com.

 

Familiarize yourself with at least 3 methods to finance your home. Buyers want to understand the down payments, closing costs and monthly payments.

Find out what the current rates are for fixed rate and adjustable rate loans. 

Hosting an Open House 

  • DAY. Decide on the most popular day for your Open House by researching local newspaper real estate sections.

  • DATE. Schedule the Open House at least one week in advance for 3-4 hours.

  • SIGNAGE. Place directional signs in your neighborhood, including an eye-catching "Open House" sign in your yard.

  • APPEARANCE. Turn on all lights (including closets) and open draperies/blinds.

  • FLYERS. Place flyers (complete with color photos) on the kitchen counter with a sign in sheet.

  • ATMOSPHERE. Play soft, instrumental music and use potpourri or bake cookies. Remember-your house should smell like your prospect’s home.

  • FOLLOW UP. Have a sign up sheet near the flyers for guests to register. You can follow up later if you choose. 

Handling Prospective Buyers

  • Have all prospective buyers pre-approved for financing before signing a contract. Taking this step will save you time by not dealing with prospects that cannot qualify for financing to buy your home.

  • Set appointments at the prospect’s convenience.

  • When you receive an offer to buy, put it in writing where both the seller and buyer sign and date it. Have an attorney who specializes in real estate review it.

Closing or Settlement 

The closing meeting is where you will transfer the ownership of your home to the buyer. Many details need to be handled prior to this meeting. Since you are not using a realtor, invest a few hundred dollars in a real estate attorney. Having someone examine the contract and other documentation on your behalf will save you possible aggravation later. Other settlement issues to be prepared for:

  • Confirm the legal description of the property. This needs to be on the contract.

  • Decide on a title company for the closing meeting. The title company holds the buyer's funds in escrow and may (with a purchased title policy) confirm there are no liens on the property.

  • Decide whether a survey of the property is necessary. A survey determines the property line and will show easements and encroachments.

  • Decide the amount and the payer of the closing costs. Some sellers negotiate to pay part or all of the closing costs.

  • Insure all contract contingencies are handled to the satisfaction of all parties (inspections, repair requests, act.)

  • Decide on a possession date with the buyer.

 

33 Ways to Sell Your Home Fast

Helpful Hints on Marketing and Selling Your Home 

 

Tip #1: Clean up oil spills

First impressions are always critical, and your driveway is one of the first things a buyer will see. Here's a quick tip that may be the solution for your cement driveway: Try Drano or any high- powered liquid drain cleaner and sweep those oil stains away! Please use caution and read all manufacturers' warnings before you begin this task. 

 

Tip #2: Paint walls a neutral color

If your home is decorated in dark or unusual colors, you're going to scare off a lot of potential buyers. It will be worth your while to paint your walls a neutral color, such as off-white. If you're not up to painting your entire house, at least paint the areas that make the biggest impression, such as the entry/foyer, living room, dining room, kitchen, and master bedroom.

 

Tip #3: Make a checklist

Make a checklist to review any time a Realtor is bringing someone in to look at your home. Nothing fancy, just something to remind you to do all the little preparatory tricks we've listed. 

 

Tip #4: Polish fixtures

Polish all fixtures, brass, chrome, glass, etc. with a high polish.  This will add a sparkle to your home! 

 

Tip #5: Clean or paint appliances

Appliances should be clean at all times. If your kitchen appliances have broken knobs, replace them. If your stove is green, your dishwasher is gold, and the trash compactor is black, have a professional come in and paint them one matching neutral color. This is much less expensive than buying all new appliances, and it will add dramatically to the "salability" of your kitchen!

 

Tip #6: Get out of the house

Always leave your house for a few minutes while the Realtor is showing it. Remember, buying a house is an emotional experience. The buyer will tend to feel awkward inspecting the house while you are there. 

 

Tip #7: Bake cookies

Keep a package of ready-made cookie dough on hand. Pop a few

cookies in the oven just when a hot prospect is expected to arrive to view

the home. The smell of freshly baked cookies will conjure up a lot of great memories! Try to trigger emotions that will work toward the sale of your house.

 

Tip #8: Clean the carpets

When you are ready to list your home, it's always a good idea to have the carpets cleaned. A clean home will always sell

faster, and you should accentuate the fact that you take care of your home. Leave a few pairs of shoes just inside the front

door to imply that you are meticulous about the appearance of your house!

 

Tip #9: Organize the garage

Do you ever find that you're having trouble pulling your car into the garage because you have so much stored in there? Clean

it up by storing everything you can at a helpful relative's home or a rented storage unit. This way, your garage area will

appear larger, and when it comes time for you to move, you will be more organized.

 

Tip #10: Offer to make payments

Offer to make the buyer's first 3 mortgage payments. This looks very attractive in your advertising. Many people like the

idea of having a little grace period after moving into a new home, but usually when it gets down to negotiating, a lower

price seems to prevail. Be sure you (or the buyer) are using an experienced lender, since seller concessions seem to confuse

many less experienced lenders.

 

Tip #11: Paint front door and entry way

A fresh coat of paint will always help sell the house faster, but if you can't afford it, try this instead: paint the front door and, if needed, the entry area around the front door. If you don't have any matching paint around to use, see if there is a plate fixture or some other item you can remove. Take it to the paint store to obtain a paint color that matches.

 

Tip #12: Clean the pool

If you have a pool, it should look like you're just ready to throw a pool party, even if it's the dead of winter. You want to be sure to remind the buyer of how much fun a pool really is! This means a clean, uncovered pool with all of the furniture out and looking its best!

 

Tip #13: Carry back a second trust deed

Carrying back a second trust deed on your house can help a lot of people qualify who may not have been able to otherwise. (If you need all of the proceeds from the sale of your house, this method may not work for you.) You carry back a note for, let's say $40,000, but you offer the note to the buyer for only $35,000 providing the note will be paid off within the first month of ownership.

 

The buyer will now need to get approval for an equity line or second trust deed, which can close in as little as 4 days after the buyer takes possession of the home. Have a talented lender assist with this type of a deal, but realize that even though the buyer agrees verbally to this agreement, they aren't obligated to retire your note any sooner than the note itself states. The motivation to retire your note quickly has to come from the discount incentive. Sounds tricky, but it works.

 

Tip #14: Park down the street

Extra parking outside your house will give your property a spacious appearance. Park cars down the street so the Realtor has the most convenient parking. Also, be sure to remove children's toys, garbage cans, or any other unnecessary items from your front yard. All the buyer should see is a well-groomed property!

 

Tip #15: Let there be light

Most people keep curtains, blinds and drapes closed for privacy, but when your house is for sale, be sure to open them all! Your house will look larger and brighter. Make sure that your windows are crystal clear. If your screens are worn out and full of holes, replace them. If you can't replace tattered

screens, take them out entirely to give that clean appearance. Don't forget to wipe down dusty windowsills.

 

Now if you have a window that faces an eyesore, you won't want to keep the drapes or blinds open. In that case, you would keep them closed, but still maintain a neat appearance.

 

Tip #16: Have a garage sale

Have that garage sale you've been meaning to have, but never got around to. This is one of the quickest, easiest, and most cost-effective ways to clear out those items that make your living space look cluttered. Check with your local newspaper to see if they offer a "Garage Sale Kit" including signs if you place a classified ad in this category.

 

Tip #17: Pay down the principal

Seller concessions can attract buyers faster than just about anything else. Attract buyers by offering to pay 1 to 3 years of principal on the buyer's new mortgage (based on a 30-year fixed rate mortgage) if the house is purchased by a certain date. Your Realtor or lender can give you precise figures, but a 3-year principal prepayment usually costs about 1.5% to 2.5% of the loan total amount. This is a small price to pay to sell your house quickly, but to the buyer, it's like getting 3 years of their 30-year mortgage wiped out, with only 27 years remaining! Generally, the buyer will attempt to negotiate a price concession in lieu of a seller's concession, but this will increase the readership of your advertising and get people in the door!

 

Tip #18: Create more space

Remember, you're not selling furniture; you're selling a house! Keeping this in mind, you may want to remove any large or ornate pieces of furniture. Unless your taste in furniture is the same as the potential buyer's, large pieces aren't going to help your house sell. Their absence, however, will make your house appear spacious and inviting.

 

Tip #19: Head to the nursery

When your house is up for sale, it's time to retire all those half-dead plants (both in your yard and in your house) that you keep thinking will come back to life some day. They make a mess by dropping leaves, and to put it frankly, having no plant is better than having a dead one. A quick solution is a trip to the nursery for a few fresh new plants!

 

Tip #20: Start packing

It will take some time to get all your knickknacks packed and ready to move. Why not do it now? Wrapping these little items in newspaper and storing them will make your move easier, and it will help your house show better. Remember, less is more!

 

Tip #21: Wallpaper kitchens &bathrooms

You may have never liked wallpaper, but it is one of the least expensive and quickest ways to dress up the kitchen or a bathroom. Be sure to select wallpaper that will have a universal appeal rather than a personal touch. Also, be sure to pick a paper that won't require the pattern to be matched when it is hung. This will save you time as well.

 

Tip #22: Empty the closets

Take as many of your personal items as possible out of your closet and store them in an out-of-the-way place. When your closets are cleaned up, they will look much larger to the potential home buyer! Abundant closet/storage space is a major selling point for most people. Apply this rule to any storage area.

 

Tip #23: Create an experience

Try writing a letter telling about some of the features of your home. Talk about the schools, good neighbors, malls and shopping centers in the area, perhaps even a little history about the home. Write it in a very personal fashion, as if you were writing to a close friend. Try to create images in the potential buyer's mind of how great it is to live there. Finally, type this letter and make copies, but sign each one by hand. Put the letter in a nice stationery envelope and leave it out where anyone viewing the house couldn't miss it.

 

Tip #24: Buy some new furnishings

Now is the best time for replacing old, worn out items with something new! Use your better judgment as to which items will actually make your current house look better to a prospective buyer.

 

Tip #25: Scope out new developments

When you're selling your home, one of the biggest competitors is the new home development in the area. Visit these developments to size up your competition and get ideas on how to beat them at their own game! Help your home to have the same appeal as the new homes by accenting similar attributes, while pointing out benefits your home may have that the new homes do not. You'll also get a good idea of what the price of your home should be, based on what the new homes

are selling for.

 

Tip #26: Take the dog for a walk

If you own a dog that may be intimidating to the potential buyer, take your furry friend for a walk whenever the home is being shown. Your dog's bark may be worse than its bite, but if its presence alone could potentially cause tension for the buyer, it takes away from the overall emotional experience of looking at the home.

 

Tip #27: Water the lawn

Use your sprinklers as much as possible to ensure everything in your yard is green. Turn on your sprinkler's manual start button whenever a Realtor is bringing a potential buyer to view the home. Newly watered landscaping has a fresh, clean scent and a shimmer that makes it look much better than when it's dry. By leaving

them on, you can also discourage any backyard exploring in the event you have unsightly areas there.

 

Tip #28: Check the price

Price may be a sensitive issue, but it is the one thing that will sell your house faster than anything else. If you price your house right in line with the market, it's not likely to sell quickly. That's because only the 10% or 20% of houses with the best prices are selling each month.

 

Tip #29: Tame wild jungles

An empty yard sells better than an overgrown yard, probably because an empty yard looks larger! When trimming back your shrubbery and trees as you're getting ready to sell your house, don't be timid. Trees and shrubbery should not hide the house itself. Less is more!

 

Tip #30: Buy potted flowers

Flowers always brighten the appearance of a home, and they add a pleasant odor. Most people do not want to buy fresh-cut flowers or spend money on something they will leave behind. A helpful alternative is to use clay or decorative pots as planters. After they have helped to sell your current home, you can use them to brighten up your new home as well!

 

Tip #31: Don't leave a mess

Inspect your house on the way out the door every day to see if there are any messes you have not had time to clean up. Kick clothes under the bed or get a couple of large, plastic tubs for emergencies. In short, don't leave your home a mess if there's any possibility that a potential buyer may see it. As a final note, be careful not to hide your mess where it will be easily discovered, such as in a closet or cupboard.

 

Tip #32: Brighten things up

Add a dramatic appearance to your house with new 100-watt light bulbs! A bright house looks larger, cleaner and more appealing to a potential buyer. This will create an open feeling, similar to the many new homes that are built today with lots of windows and skylights!

 

Tip #33: Dollars and scents

If you're not already popping something in the oven to fill the house with a pleasant aroma, spray a little vanilla air freshener. This particular scent has a great impact. Potpourri around the house is a good idea, too. Remember, we're trying to appeal to as many senses as possible!

 

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