A seller’s market is created when there’s high interest in buying, low inventory, low interest rates, or some combination of those factors. This is often a great time to sell a home as you may be able to sell more quickly and for more money than in a neutral or buyer’s market. Regardless, there are still some essential steps you should always take when selling a home: hiring a qualified REALTOR®, cleaning and decluttering, and planning ahead. Here are four essential tips for selling in a seller’s market.
While you should always clean and declutter your home before listing, buyers are more likely to overlook small defects and cosmetic issues during a seller's market. You may want to choose a few key repairs or upgrades to make, but avoid costly cosmetic fixes. They aren’t likely to significantly increase the value of your home, and buyers will be less selective when inventory is low.
Due to the nature of the seller’s market, you may be tempted to increase the sales price to encourage higher offers. It’s better to keep your pricing competitive to encourage interest and multiple offers. Even if you’ve heard stories of homes selling for way over asking, it’s important to remember every home is different. Find an experienced REALTOR® who can complete a CMA and provide informed advice on the best listing price for your home.
Your initial thought may be to accept the highest dollar amount, but there are other important factors you should consider. For instance, if you receive an offer for over-asking that requires financing, you may be out of luck if your home doesn’t appraise and the buyers can’t pay the difference. A cash offer with a waived appraisal is often considered more competitive because it won’t fall through due to a failed appraisal. You should also look at any contingencies, the amount of the earnest money deposit and down payment, and seller costs.
If all goes well, your home could be under agreement in a matter of days. Make sure you have a plan and are prepared to move within the next month or two. If you’re looking to buy a new home with the equity from selling, you may want to consider a rent-back agreement, suitable housing contingency, or finding a short-term rental.
Looking to sell? Check out our blog post on the Top 5 Reasons to have a REALTOR® Sell Your home. Or take a look at our agent list or contact us to speak to our experienced agents today.
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