There is plenty of misinformation out there about the real estate market in general and more specifically about selling your home. Each common misconception about real estate in this list might seem like common sense, but believing them will actually sabotage your chances of selling your home quickly and at the right price.
Here are the top real estate myths to look out for and what to know instead:
Myth #1: Spring is the best time of the year to sell your home
Sellers tend to think that spring is the best time to sell because it’s the end of the school year which is a good time for a fresh start. However, many Realtors find that they are able to sell plenty of homes in the winter during the holiday season, or right after.
Selling in the winter means that there is typically less competition than in the spring. Buyers will be paying more attention to your home and doing less shopping around. It’s also to the sellers advantage that buyers who are looking at homes during the winter are much more likely to purchase, and purchase quickly, instead of just window shopping and possibly losing out on their dream home by waiting for the spring when the real estate market picks back up.
If you’re looking to buy a home during the winter season as well, this list of benefits of home shopping in the winter will show you why it’s a good idea and give you some tips.
Myth #2: Only stage your home in neutral colors
Apartment Therapy believes that although color trends for 2020 have been mostly airy and neutral, with everyone staying home that can get monotonous and a little undesirable. Interior design trends are taking a sharp turn into using bold colors to make homes feel more special and exciting since homeowners are spending a lot more time in their own spaces.
Maintaining a mostly neutral palette is still a great idea to appeal to most buyers when listing your home, but don’t be afraid to add pops of color to break up a sterile-feeling atmosphere. Consider striking a good balance between neutral and bold, always aware that your buyer will likely change it anyway. So don’t get too invested in your styling choices if you’re going to sell.
If you are thinking of making any big changes to the home in hopes of appealing to buyers, it’s a great idea to ask your Realtor for advice and opinions. They might encourage you to go ahead with some changes or tell you if it won’t be worth the effort. They may even work with a home stager who will help sell your home so that you won’t have to change anything up yourself.
If you are staging your home yourself, or preparing to have your home staged, How to Stage Your Home has a great list that will help you get started or give you an idea of what to expect when home stagers get your home ready to sell.
Myth #3: Renovating your kitchen and bathrooms before selling is a must
If your home’s kitchen and bathrooms are in okay condition, it is definitely not required to renovate them. Buyers have their own ideas on how their home should look, so unless something really does need to be ripped out and constructed anew, it’s often not worth the investment.
Hiring professionals to do a deep clean of your home before selling? Yes, that is a must. Making big ticket renovations on your kitchen and bathrooms? Probably not.
If you are still unsure about renovating, here is an overview of costs and what exactly to work on in your kitchens and bathroom in What to Renovate for the Best Return on Investment When Selling Your Home.
Myth #4: Selling your home yourself (FSBO) will save you money
It seems like it would be common sense that you would save some money by not hiring a Realtor to help you sell your home. Some people try the for sale by owner (FSBO) approach, but that won’t help you save money.
Selling a home requires so many details, processes, and legalities that will be foreign and hard to understand unless you’re specifically trained in real estate. It would be nice if selling a home was just declaring your home for sale and someone buying it, but that’s not the case.
Realtors put a lot of effort into pricing the home correctly by doing research on comparable homes in the area, they have connections with highly-rated inspectors and mortgage lenders and other professionals, and take care of the legal aspects of selling a home for you. For example, if you are selling a home and end up being liable for something to do with the home from the next homeowner, your Realtor would have insurance to cover that. If you sold the home on your own, you would be responsible for whatever legal payments were required from you.
Realtors often won’t even bring buyers to see a home that is FSBO since those sellers don’t have the knowledge to sell a home properly. FSBO houses tend to be overpriced and the financial transactions are risky.
Myth #5: A lower sale price will make you less money
It could actually be to your benefit to list your home for a lower price. Homes that are lower-priced get more attention from a wider net of interested buyers than the homes that are priced higher. The real estate market is competitive and buyers will get into bidding wars for their dream home, driving the price up by thousands. Which, of course, means more money in your pocket.
Work with your Realtor on the for sale price. Take in their knowledge for what works in your area, comparable home prices in the neighborhood, and current market conditions.
Right now in particular, the market in the Sacramento area has been interesting. You could really benefit from selling here because homes are relatively low in inventory, causing bidding wars. That means homes have been selling in the area for much higher than usual as people are moving out of the metro areas and into suburban areas.
Myth #6: All Realtors are the same
Having a great Realtor in your corner is essential to selling your home quickly and at the price you want. While the processes of buying and selling are the same for all Realtors, a Realtor’s individual experience, know-how, negotiation skills, resources, and connections with other professionals make them vitally important for when you’re buying or selling a home.
Even new realtors can be valuable assets – especially if they work in a brokerage with other great seasoned Realtors. Newer Realtors can have most of the knowledge that Realtors who have been working for a long time have, and can still have valuable connections and insights to help you buy or sell the home that you want effectively.
Your best bet at selling a home at a great price?
Work with a great Realtor. They are an invaluable asset to help you sell your home and have a wealth of knowledge to help you make the best decisions that will work for you.
If state safety guidelines are still required, check out the Coronavirus Real Estate Guide on how your Realtor and potential home buyers can view your property safely. After that, discuss how the process will work with your Realtor, as guidelines can always change.
Navigating the home selling process can be an intimidating process, especially amidst a pandemic. But you can still have a successful home selling experience when you have a good Realtor in your corner working with you.
If you’re looking to buy or sell a home in the Sacramento area, contact us at Quantum Real Estate to schedule a free consultation. We’ll help you through each step of the process.