If you’re contemplating selling in 2015, you may have heard predictions that it will be a buyers’ market. Only time will tell, but experts are suggesting that the year ahead may be a great time to buy with more inventory on the market. While some new developments – such as the launch of a 3% down payment mortgage program – may attract new buyers, it never hurts to think through your market strategy. A buyers’ market simply means that your home sales plan needs to be strong in order to stand out, a mindset that can benefit buyers regardless of the broader real estate market. Here’s a closer look at the role that price, condition, and exposure play in more competitive markets. Price The number one factor for many buyers is price. It’s often simple economics: based on their salaries and total financial picture, buyers are able to afford a certain maximum. When they’re seeking financing, there’s a ceiling on how much they’ll be approved for in terms of a mortgage. For sellers, this raises the question of how to price your home for maximum profit and maximum visibility. The best way to determine your home’s price is in partnership with your real estate agent. The agent will run a market analysis of comparable properties in your area both on the market and that have sold recently. This – in combination when any specific financial needs you may have – can help determine your initial pricing strategy. Terms Another financial lever that sellers have to play with is sales terms. While you might not be very flexible on your price, often sellers can give buyers some leeway in terms. Specific terms might include more time to seek financing, a delayed closing, or a more urgent move-in date. Often, when a buyer is looking at two properties, sellers can stand out by being flexible on the terms of the offer or specific requests made about transaction timelines. Condition The second most important factor in selling your home is its condition. While buyers might have an upper limit on the funding that they receive, that often represents what they’re willing to spend on the perfect property. As a result, it’s important to look at your property with a critical eye similar to what buyers will use. Does your property need cosmetic improvements, such as paint or updating basic appliances? Have you staged your home, removed clutter and used the existing furniture to highlight the property’s best features? Visibility The final factor that many sellers underestimate is visibility: the most visible homes and those that are marketed strategically get more showings and thus more potential buyers. The best step that a seller can take is partnering with an experienced real estate agent who has a vision for the property. Ideally, your agency will develop a custom marketing plan that could include adding visuals such as a video tour to your listing, hosting open houses, networking with other agents, and more. Discuss how your agent plans to market your property to think through the specifics of what plan is right for you. Even in the toughest markets, sellers can get ahead by thinking clearly about issues related to pricing, condition, and visibility. The most important step that they can take is contacting an experience real estate agent that understands the market and can put that expertise to work on selling in a buyers’ market.
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selling your home, real estate agent, realtor, home pricing strategy, home prices, seller's market, buyer's market,
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