When the questions on our mind are “How long will my job keep me on?”, “When will I be able to live life normally?”, or even “When will I be able to go to the movies?” the furthest thing from most of our minds is “How do I sell my home?” The reality for some folks, however, is that they cannot afford to pay their mortgages. In fact, the Federal Housing Administration (FHA) reported that there are record high residential mortgage delinquencies this year. After losing their job, many homeowners have had no choice but to stop paying their mortgages. This leads to delinquent payments, a lower credit score, and eventually foreclosure. There may even be investors who offer to buy the home for an outrageously low price to take on the loan for the sellers, just to turn around and sell the home and keep all the money that would have gone to the homeowners to help buy another home. This can leave the seller in a really difficult financial situation to overcome. Those homeowner’s will want to receive the best price possible to help propel them into their future or to help bring security in the present. Here are a few helpful tips for selling your home in during the COVID crisis.
Historically Low Mortgage Interest Rates
Colorado is a sellers market and it has been for the recent years. This means that the advantage lies with the seller due to supply and demand. However; with some of the lowest mortgage interest rates since the early 1970’s reported by lender Freddie Mac, it has motivated many potential buyers to search for homes on the market to secure such a great rate. With this influx of new buyers it certainly is a great time to see which offers on a home are the best for you as the seller of the home. You don’t have to sell to the first offer. If you have a good real estate agent you’ll be receiving multiple offers.
Get Prepared/Make it Presentable
Be sure your agent gets stunning photos or videos of the home. We live in an attention driven world and anything that you can do to get the attention of the best buyers will help you receive more for your home. Ask your Realtor to look into staging your home. If you’re unable to stage your home, clear the clutter. You want to make it look like it did when you moved in and got everything in its place. This allows a professional photographer to make your home stick out to all the potential buyers scrolling through homes online and will wow them when they see it in person. When they see your home they won’t see a used home, but a home that looks like it has been prepared just for them. The right photos combined with the right staging will help get you multiple offers.
The Right Price Leads to a Better Price
With the end price seemingly leaning in the sellers favor, many want to sell their home for a little bit over the average price of comparable homes in the area. They have a few upgrades they have made on the home and that new deck or pool means that the buyers should pay more for the home, right? Not exactly. Selling the home for way over or even a little over the average price may have a negative impact and can cause the property to remain on the market and stagnate. This doesn’t look good to potential buyers and gives the impression that something is wrong with the home. People are always looking to get the best deal especially on the biggest investment of many of their lives. That being said, that pool that means so much to you can really make your home attractive but if your prices are higher than another home without the pool, they’ll think twice about your home, and may end up buying the cheaper home. This doesn’t mean that you can’t get more for your home, though. By pricing your home correctly (a good Realtor can help you determine a good price) it will attract a large number of buyers. Once enough people are more invested in your home, they will be willing to pay more, which can cause a bidding war and the price for your home will rise.
Tailor Your Selling Points to the Current Market
During the COVID crisis, peoples perspectives have changed as to what is possible for them and for what they want in life and a home. When marketing your home, it can be useful to point out things that will foster a positive atmosphere. For many, this year has had a negative impact on their physical and mental health. A couple ideas on things to market to your current buyers: an “extra room” can be called the “workout room” or “home gym area”, a backyard with a privacy fence can be the “outdoor social area” or even the “backyard oasis” if your yard is landscaped and well taken care of. You want to bring attention to the ability for your property to foster well-being and happiness, which will help your home stand above the others in the area.
Find the Right Realtor
After reading these points we really hope to have given you a few useful things to consider. Selling your home privately is an option to be aware of and can save you some money on a commission in theory, but dedicating all the time to get all the points discussed above and loads of behind the scenes work taken care of is a full-time job in and of itself. Many that sell their homes by themselves find themselves taking on a “second job” by selling their home or realize they don’t have the time to really market and sell their homes. This leads to their home remaining stagnate on the market. A good Realtor takes care of all of these things for you and with their experience in the industry, they might even be able to help you sell above listing price. Take time to hear from a couple Realtors, ask lots of questions, and make sure you feel that you are in the right hands to take care of your investment.