Selling your home privately can save you thousands of euros in real estate commissions. But there is a reason why many prefer to turn to a real estate agent in these cases - it takes a lot of work, a lot of experience and a lot of patience. Whether it's selling your home for the first time or improving your skills from the previous sale, the first step is to create a great action plan.
Steps
Part 1 of 4: First Steps to Take
Step 1. Clean your home
As soon as you decide to sell it, clean it from top to bottom. Don't forget areas that you rarely clean, such as baseboards, roller shutters, gutters and window frames. If you don't have time to engage in a deep clean, hire a housekeeper or cleaning company. A clean home will help to show the appraiser your home in a better light and give it a higher value, as well as make it more attractive to buyers.
- Since these are things you are familiar with, it is very easy to unintentionally overlook some aspects of cleaning that would not escape the keen eyes of a potential buyer. If you want to make sure you're making the best possible impression, consider spending a little extra money to pay a cleaning company, at least for a thorough first cleaning. Don't underestimate the power of a dust-proof display.
- Tidy up while cleaning. Give your home a more spacious look by getting rid of any unnecessary junk. You will see a big difference in the look of your cabinets, as well as in the garage, porch and bathroom. Buyers want to feel like they're buying enough space, and taking out most of your stuff will help them feel at home. If you can't stand the idea of disposing of things, you can temporarily move them to a warehouse.
Step 2. Get the property valued
While it's natural to want to price your home as high as possible, you need to be realistic. Many landlord direct sale listings fail to sell because owners insist that their home is worth more than the market is offering, or because they have already fixed the amount they want and refuse to change their minds. Having a professional appraisal of the home's value from a third person will help you feel comfortable about the price set, as well as provide you with a solid reference if a buyer or real estate agent accuses you of wanting to sell it for too high a price.
- Do not rely only on the cadastral income. Many cadastral rents on real estate are not up to date, and do not necessarily reflect the current situation in the real estate market.
- Run a comparison. Search your neighborhood for similar properties for sale to make a comparison. In this way you can determine the price range in which your property falls. Always use this verification method when you reach a realistic assessment of your property's selling price.
- Hire an appraiser. A qualified appraiser will come to your home, measure the property, take notes, take photos, ask about any plots, and compare it to other sales in your neighborhood to determine its value. An expert's visit will cost you much less than the services of a real estate agent, and the value set by the appraiser will be more accurate. Many banks have a list of reliable appraisers they contact when granting loans, financing or mortgages; you can ask the manager of the branch in your area to refer you to an honest and qualified professional. After receiving the copy of the report, make a second copy and keep it in a safe place. Have the former available to show to serious buyers.
Step 3. Have the house examined
In some countries, like the United States, many standard real estate contracts give the buyer the right to inspect the property, so be prepared. Before advertising the sale, contact a company that performs this type of inspection. Under a general check you may be forced to make major repairs to some appliances, plumbing, sewer, electrical, heating, and so on. You can also expect an inspection of the roof and foundation. Follow the recommendations and make any necessary repairs. The additional inspections requested by the client are generally at his expense.
Step 4. As much as possible, before you put your home up for sale, make sure it is ready to welcome your buyer and their family
People tend to be lazy, especially when it comes to buying a house. If they feel like they have to go through extra work before they can enjoy their new home, such as tidying up the garden or outdoor space, taking care of the plumbing and / or electrical system maintenance or buying additional appliances, they will hesitate when deciding whether to buy it or not, even if the rest of the property may seem like a bargain. So make it easy for him. Hire a professional or a company that specializes in these projects to make your home look ready for the move.
Part 2 of 4: Introducing the Home and Attracting Buyers
Step 1. Know the added value of your home
Before you start advertising it, make a list of the strengths you think will appeal to buyers. Potential points in favor can be the proximity to a school, recent renovations, the benefits that have been gained in the property, the energy saving of new appliances or the insulation of windows. Highlight these elements in your ads, when talking to people about your home or while you are showing it. Memorize them so you don't forget anything.
Step 2. Find the right time
Be aware that the real estate sector sees a small increase in activity over the summer; people prefer to move in hot weather, and are reluctant to have their children change schools in the middle of the school year. Start listing your home in April or May and keep promoting it throughout the summer. If you didn't sell it in the late fall, scale back your efforts and start more intensely when the weather warms up again.
Take into account the situation in your neighborhood. If the neighborhood is experiencing a mini boom of strong residential sales, these operations can increase the value of your home. Conversely, if the neighborhood has many unsold or foreclosed homes, the value of your home decreases. Try waiting to place your ad so it won't be swayed by other struggling sales. For example, in most areas, a sale similar to yours may run against your interests even after 90 days of the transaction being completed. It might be worth waiting a couple of months before putting your home up for sale, if you can do it for a higher price
Step 3. Get your property ready for potential buyers to visit.
This step is a very important part of selling a home. During the visit of the property, potential buyers will begin to imagine the house furnished with their objects, visualizing their life spent within those walls. If they cannot relate to this situation, because your home is cluttered with objects and things, or dirty, too colorful or excessively particular, you will most likely lose the chance to close the deal. The best way to present your home is to make it look spacious, clean and as normal as possible.
- Try to limit your home furnishings to the essentials. If there are pieces in your furniture that you haven't used in the last three months, sell them, throw them away or store them in another place. This will help make the spaces appear much larger.
- Decorative items that decorate your home should be presented in groups of 1, 2 or 5 pieces. Whenever possible, always choose the least number of items. It is not clear why an odd group of elements is more mentally attractive, but it is. Give a touch of freshness to the environment with some flowers and a nice fruit plate.
- Examine each room and, if necessary, whitewash it. If present, check the carpet and perform a thorough cleaning. The window panes must also be perfectly clean.
- Focus on how your home looks from the outside. Eliminate any plants that may obscure an important part of your property. If necessary, weed problem areas in the garden and mulch. Check the condition of the exterior paint of the house. Put yourself in the shoes of your prospective buyer and inspect what the property looks like from the sidewalk and up close.
Step 4. Display your home
Placing a "for sale - no middlemen" sign in your yard is fine if you live in a high traffic area, but you can do more.
- Advertise online. Place an ad on a website like Immobiliare.it. Buy paid ads in your local newspaper and see if they are also available online. If you frequent social media sites, communicate often that you are selling your home.
- Distribute flyers. If your municipality's regulations allow it, put leaflets on lamp posts, traffic lights, at major intersections.
- Hunt down potential buyers. Call local bank managers, as well as school leaders, and let them know that you have a nice house for sale, and if they know a family they are looking for. If you know that a nearby company often relocates workers to your area, contact their personnel department or human resources department and let them know you have a home for sale. Do whatever you can to spread the word.
- Count on word of mouth. Tell friends, family, and co-workers that you are selling your home. If you need to sell quickly, offer them a prize - let them know that if they can find someone looking for a home and if the buyer makes an offer, you can give them an expensive bottle of wine, offer a nice dinner out, or some other reward.
Step 5. Know how to display your home
When potential buyers or their real estate agents contact you and want to see the house, try to be as helpful and flexible as possible. Be aware that many people will want to see the house in broad daylight when you are working. If you can't be home for appointments, try to organize yourself so that a friend or family member can be there.
- Create a seductive calm atmosphere. Before your potential buyers arrive, clean and tidy up. Put the food off the counter, put the dishes in the dishwasher, and collect all the clothing and put it in the laundry. Light a scented candle, if you have one, or put a few drops of vanilla on a baking sheet in the oven at about 120 ° C. Put some light, and some soft classical music in the background. If the weather is nice, open a couple of windows, otherwise turn on the fireplace or the heat. These little extra tips will make your home look inviting and peaceful.
- Remember to be a good host. This might seem like obvious advice, but some people are so eager to sell their home that they forget the basic rules of a good welcome. When your potential buyers arrive, greet them with a handshake and make eye contact. Introduce yourself, ask for their name, and remember it. As they walk around your house, ask them if you can offer them a glass of water or something cool. Find out about their interests (for example, do they have children? Do they love animals?) And talk about the house in those terms. Guide them from room to room without rushing. At the end of the tour, ask them if they have any questions or if they would like to review something again. Keep your contact information handy, with a small note or card. Appearing polite and knowledgeable will make you seem like someone you can start a real estate transaction with with minimal effort.
- Stay positive. Be honest, but don't dwell on the flaws in your home and don't apologize by saying "I'm sorry it's so messy in here!" If you sell the house because of a divorce, because you lost your job or because of another personal tragedy, don't talk about these problems with the buyers, not even as a joke (like: "I could have kept this house if my husband had kept on your pants! "). Keep the conversation as positive as possible. You want them to leave your home happy and excited about the chance to buy it.
- Protect your valuables. Really lock all your valuables in a safe place before opening the house to strangers. Don't let your buyers walk unsupervised; if they ask to be alone for a moment, try to give them some privacy in the garden or in the kitchen.
Part 3 of 4: Get an Offer Quickly
Step 1. Set a deadline after which to lower the sale price of your property in case you don't receive any acceptable offers
Many homeowners are selling their homes for too high a price. Furthermore, they do not make any changes to the selling price for a long time, neglecting the fact that they are continuing to pay ordinary and extraordinary maintenance work and above all taxes. Before formalizing the sale, set a deadline after which, in the absence of offers, you will decide to lower the sale price of your home. For example, you decide that if you do not receive a valid offer within two months, you will lower the price by € 5/10000 and that, if you do not receive any in the following 6 months, you will lower the price by € 20/30000. Having a predetermined action plan on how to change the sale price in the absence of offers, will allow you not to make critical decisions based on the emotions of the moment and to sell your home in the shortest possible time.
Step 2. Put yourself in the buyer's shoes
If you don't get any valid offers anytime soon, take a walk around the neighborhood. Put yourself in the shoes of a possible buyer and ask yourself: 'Based on the selling prices, would I buy my home or that of another owner? Remember to always be as honest as possible when making these assessments. If you come to the conclusion that other homes for sale might be a more viable option than yours, now is the time to review the selling price, so that your property becomes more attractive.
Step 3. Offer an incentive
Find ways to ease the stakes a little. Don't underestimate the power of a small discount, a guarantee, or just a nice gesture. Here are some tips that can make the deal more attractive to the buyer:
- Offer to pay part or all of the costs involved in closing the transaction. The costs related to buying and selling a house can reach a large sum very quickly (several thousand euros). This can therefore be a big incentive
- Provide insurance coverage that covers any appliance malfunctions. Normally a policy of this type costs a few hundred euros, but allows the buyer to rest easy knowing that he will not have to pay extra money in the event of a problem.
- Offer to clear the house quickly. Many buyers wish they could get into their new home as quickly as possible. So if you are able to assure the prospective buyer that you will vacate your property in 30-60 days or less, the balance will clearly tip in your favor.
Part 4 of 4: Closing the Sale
Step 1. Look for funding
Most sellers believe that the buyer has already gone through this process and knows the steps of buying a home. The fact is, this is one of the many valuable services that a real estate agent usually provides; but now it is up to you, the seller, to find a broker or a bank that can finance the deal and help you close the deal. By locating a mortgage company in the area, you are finding a loan office that can help you sell in return - it's a win-win situation. Mortgage brokers often have clients who have been accepted but have yet to find a home; this is a great way to leverage their customer list and find a qualified buyer.
The broker must also estimate the closing costs for your home and give you strategic financing advice for marketing. With a loan, you can sell a house as quickly as with a good presentation
Step 2. Be willing to negotiate
If a buyer says they like your home but aren't sure they want to buy it, this is your chance to soften the deal. Have you noticed if the buyer is looking forward to your new barbecue? Add it in the sale. Are you puzzled that the patio hasn't been painted in a while? Let's say you are willing to lower the price by 500 euros to cover the repainting costs. Giving up on an appliance or making a small concession for home improvements may cost less than continuing to pay a mortgage on a home you don't want.
Step 3. Try to close the deal quickly
After the buyer has made his offer and is ready to negotiate, he tries to close the deal as soon as possible. Make sure you have provided all the necessary documents required by law. If you don't like the buyer's offer, don't just say no. Always make a counter offer. Try to figure out what your buyer's budget is. Also, consider consulting a lawyer for a professional evaluation. Once everything is sorted out, try to move as quickly and reasonably as possible.
Advice
- If you need to sell fast, try identifying a group of investors who are buying real estate for speculative purposes. They may offer you less money than market value, but you will be able to sell fast.
- Never Lie About Property Defects: Some states have a property disclosure law that may require sellers to list all home defects. If you don't know any flaws or try to hide them, you can risk losing the sale and find yourself in court.
- If you plan on making improvements before selling, choose wisely. The three most important interventions that can re-evaluate the price of the house are the kitchen, the bathroom and the fixtures. Don't pay much attention to the garden or other aesthetic improvements.
- If you are looking to advertise your property on the web, so that it will be available to millions of users, you can take advantage of some portals such as 'Ebay Ads', which allow you to place free ads for sale.
Warnings
- Many mortgage brokers will tell you what you want to hear in order to get you to work with them. The best way to find a good broker is to get advice from someone who works in the real estate field.
- Most buyers know that you are not paying a real estate agent's commission and will offer you a reduced price of the commission fee you would have had to pay if you had hired an agent, substantially eliminating any cost savings.
