Secrets to Selling in Today’s Market

You may have heard once or twice (or a zillion times by now) that it’s a seller’s market currently. And while this is still true, it doesn’t necessarily mean the same thing it did a generation ago (or even a few years ago). This market is markedly different, in large part due to the pandemic and the low inventory of homes for sale and high demand of buyers. And while it does mean that homes are selling at record speed, it doesn’t mean you should hastily throw your house on the market and choose the first good offer that comes along. Here are a few secrets we’ve complied.

1. Have a place to go

One pro tip is to have a place lined up to go once your house sells. It most likely will sell quickly and you won’t have the luxury to find another house in the meantime. Because, after your home sells, you will now be in the position of buyer and need to fight on the other side of things. So, if you don’t have another home lined up, consider renting until you can plan your next move. It could take a little while to purchase your next home with the slew of buyers out there. But don’t give up. Just make sure you’re not stressing about where to stay while you find your next spot.

2. Consider your marketing

While your home might sell right away without you hardly lifting a finger, it might not sell for top dollar if you don’t invest in the right marketing. It’s not always enough these days to throw a few photos up (even if they’re professionally taken). A lot of buyers want interactive floorplans, video walkthroughs of the home and even aerial photos. Turnkey home has come to take on a whole new meaning. They want the works. So yes, listing photos are great, but to get asking price (or even above) go the extra step with some of these marketing bells and whistles.

3. Take your time choosing an offer

It might be tempting to accept the first good offer you receive, especially if the offer is above asking price. However, be wary of these offers. It might be fine and go through. But you also run the risk of having the appraisal come back under that amount of the offer. Then you would be forced to lower the price of the deal. Or, the buyer could offer above asking but then rescind their offer or demand lower after the home inspection. You might be better off choosing an offer that is at or slightly above asking but perhaps they waive the inspection or they have a bit of a flexible closing date. These types of contingencies will go a long way in your peace of mind and the ease of the transaction. And if that sky-high offer is rescinded because of the home inspection or because of an appraisal gap, then you’re back to square 1 anyways.

4. Prepare to be busy…very busy

Another aspect of the selling game that differs from past markets is how quickly the showings will come at you. It used to be perhaps that a seller would have a showing scheduled once every couple of days with maybe more on the weekend. But with the onslaught of eager buyers vying to get in there quickly to scoop up your house, you’re most likely going to have back to back showings for several days. You might want to get out of dodge for a bit or at least stay with friends, family or at a hotel for a few days to make your life (and your agent’s) easier.

Consider these secrets for successfully selling your home in the current market. And contact me today to learn more about the market and how I can help sell your New Jersey home for top dollar.

4 Hard Truths to Keep in Mind When Selling a Home in New Jersey

While selling a home is an event that most of us experience at some point in our lives, no-one actually pays attention to how difficult it actually is. Here are 4 important facts to keep in mind when selling a home, especially because it’s going to be frustrating to get through these home-selling moments.

Keep tabs on the market

Know what’s going on in your local real estate market and what’s driving it? If you’re unsure, make sure your Realtor is aware. If your Realtor doesn’t know, look for someone who does. Real estate will always be local, and knowing what the local trends are for your neighbourhood is crucial to selling your house.

Remember cleanliness matters

A home that is clean and uncluttered sells faster – A filthy home reduces your earnings by hundreds of dollars, because it taints the buyers first impression, immediately lowering the perceived value of your home. It’s true, if you don’t put in a little effort, you could lose a lot of money. One of the most significant benefits of selling your home is the time you will save cleaning and decluttering it.

Price your home right

Your home should be priced to sell. You will attract the most competent and eager buyers from the first day you offer your home for sale. A new house listing shines brightest in the first few weeks. Buyers who have been waiting for a new home to come on the market, as well as those who have just begun shopping, will notice your property priced properly and will break down your front door to take a closer look. When a listing sits on the market for weeks or months without selling, it becomes stale and is sometimes maligned for why it hasn’t sold. They’ll either presume there’s a problem with the house or that it’s overpriced. Buyers will seek a reduction if they believe anything is wrong with the property, and if it’s been on the market for a long time due to being overpriced, they’ll assume you’re getting desperate since your home hasn’t sold and that you’d be willing to take a discount. Minimize the discounts, value it correctly, and you’ll have a better chance of attracting numerous buyers.

Repair all loose ends

Repairs that you’ve been intending to make will be a lot less expensive if you do them prior to selling your house. When a Buyer notices that a repair is required, they will inflate the actual cost of repair to account for their emotions. This is because when they observe a basic repair that could have been done, they will wonder what else is in need of repair and if you have properly maintained the home. They’ll be curious about what’s lurking beneath the surface, concealed and unseen by the human eye. They are apprehensive about the unknown and will demand a higher discount just in case something else comes up after they purchase your home.

Keep these 4 hard truths in mind when selling this season! And as always, let me know how I can help your real estate dreams become a reality.

Factors Sellers Should Consider When Comparing Offers

When selling your home, you may think the only thing that matters in an offer is the amount. Are they offering full asking? Over? Under? While this is certainly one of the most important aspects to look at, there are other factors to consider that can be very important as well. Let’s look at a few of these factors.

1. How are they paying?

While you do want an offer that’s full asking (or even above that), you also want to know how the buyer plans to pay. If they are going through a lender, you’ll want to see their pre-approval letter. This should be included in the offer. This means the lender is ready to back them for said amount. Even if an offer is at or slightly below asking, if it’s an offer with pre-approval and up against an offer without, it’s worth considering.

If the buyer is offering cash, that can be a great deal. It can mean less hassle and time waiting for the mortgage to be fully approved. But also be aware that in return for cash, the buyer has leverage to negotiate and they could ask for things such as a decrease in overall price or some other perk.

2. What’s the earnest amount offered?

The earnest amount is like a deposit the buyer will put down that your brokerage will hold until the sale goes through. It’s then applied to the down payment. It’s a good faith deposit, showing that the buyer is serious about purchasing your home. The nice part is, if something happens and the sale doesn’t close, you often will get to keep this deposit. The higher this earnest amount, the better. It shows the buyers are more committed to going through with the sale.

3. How many contingencies are added?

Contingencies are extra terms or benchmarks added in along the sale process that the seller must satisfy in order for the sale to go through successfully. The home inspection and appraisal are the two most common contingencies added in to offers and contracts. The home inspection means that if large issues are found with your home, the buyers could require that you repair those items or they are allowed to walk away from the sale. And the appraisal establishes that the home is worth the sale price. If it’s found not to be, you will have to renegotiate the sale price.

These contingencies aren’t necessarily working against you. However, the fewer the contingencies, the better. The sale will go through quicker without these and there will be fewer chances for a buyer to back out.

4. What’s the closing timeline?

Chances are if you’re selling, you might also need to find a new home for you and your family. This might lead to time deadlines or pressure to sell by or on a specific date. So consider what the buyers can offer for a closing timeline and closing date. If a buyer is flexible and can work with your timeline, this could really benefit you even if their offer is slightly less compared to another.

Keep all these aspects of selling in mind when you start receiving offers. Weigh the pros and cons of an offer, not only limited to the initial payment offered.