Common Pitfalls to Avoid When Selling a Home

 

The Boehmer Team assists home sellers across the St. Charles County and St. Louis metro area to make the most of their home sale. We like to educate our clients on pitfalls to avoid during the home selling process. Here’s a list we’ve put together of common home selling pitfalls we’ve seen an advised our sellers to avoid.

 

Selling It Yourself

There is tons of data showing that the typical “For Sale By Owner” (FSBO) route is not the best path. Think you’re saving yourself from paying a commission to an agent? True, but you’re likely missing the chance to make a lot more money. Unless you’re an expert at home marketing, know how to set the best price for the market, enjoy detailed contracts and paperwork, have lots of time to show your home and field calls, and are an expert negotiator, then you might have a chance of successfully selling your home yourself. Likely, all of these things don’t apply to you. Hire an a qualified agent and make more money. Currently less than 10% of all sellers sell their home FSBO while 90% use an agent.*

 

Hiring Family or Friends

While it might seem fun to work with a friend or family member to sell you’re home, there’s a few reasons why it isn’t the best idea. Your friend or family member may be lazier complacent and underperform with you because there is less pressure to impress and get future business and/or good reviews. Imagine if things go bad, will you be able to fully express your frustrations and concerns? What would it do to your relationship? Unfortunately, we’ve heard plenty of stories involving ruined relationships due to bad real estate transactions.

Not Interviewing or Researching Your Realtor

Even if a Realtor has years of experience, they may not be the best fit for you. Interview several agents to see if you like their communication style, their local expertise, particular specializations and their home marketing plan. Research the agents to learn about their business history and see customer reviews. Then choose the real estate agent or team that is the best fit for your needs.

 

Waiting for the Right Time to Sell

The right time to sell a home could be anytime. A good Realtor will advise you on what needs to be done to sell your home when you want to sell it. This could include making changes to present your home in it’s best light, or selling your home without changes at a price competitive to similar homes in the market.  A qualified and full time Realtor will be versed in the supply and demand that most affects the sales of homes like yours.

Pricing a Home Too High

We understand the thought to “test the market” with a high price. However, the usual result is the home being on the market for longer than necessary. Do you want to sell the home quickly at a good price or keep paying mortgage payments for months while you slowly lower the price to fair market value?

While there are many home value estimators online, ask a trusted Realtor to provide you with a comparative market analysis for the most accurate valuation of your home including any updates made to it for the best-suggested sale price.

Learn more about the dangers of overpricing here.

Refusing to Make Changes

When selling you want to present your home as best as possible. This includes making any necessary repairs, cleaning, decluttering, and neutralizing the décor to make the home most appealing to the maximum number of buyers. Homebuyers often point to repairs as a reason to offer less money on a home. Also, buyers can be turned off by highly specialized home décor that they will have to change. Be prepared to update your home in ways that will most appeal to buyers.

 

Skimping on Repairs or Hiding Issues

Beware leaving repairs unattended. Even small defects can turn buyers off. If they go through your home and find dirt, loose doorknobs, or leaky faucets, they’ll wonder if you’ve been neglecting bigger issues in the home as well.  In addition, most buyers get a home inspection after you accept their offer. If a major problem with your house comes up during the inspection, it could delay your closing date or even terminate the deal altogether.

Not Using Professional Photos

Most homebuyers will most likely see your home online. Therefor, you want to have the best photos of your home available for online viewers. The photos will indicate to buyers whether they want to tour a home in person or move on to the next home listing.

 

Limiting showings

Once you’ve put your home on the market, there will be requests to tour the home. Try to cooperate when your agent wants to show it. This may mean scampering out at dinnertime for a private showing, vacating for several hours or even most of the day for a weekend open house. The goal is to accommodate as many buyers as possible, even if their timing isn’t necessarily convenient for you.

 

Not Leaving for Home Showings

While you may be curious as to who is interested in your home, sticking around for showings does nothing but make everyone feel awkward. Leave any questions to the agent and allow the buyer room to tour the home without you being present. breathing down their neck. You don’t want to stand in the way of the buyer’s ability to see your house as their dream home.

Not Expecting The Costs of Home Selling

Be prepared for the costs associated with selling a home. A good Realtor knows how to best arrange your home sale with these costs in mind.

• Agent commissions.
  
• Closing costs: usually 1–3% of the home price including sales tax, title transfer fee, and title company closing procedures.
• Professional home staging. If needed, the costs vary depending on where you live, the size of your home, how many rooms you want to stage, whether or not you’ll be renting decor, and different pay structures including an initial consultation and monthly fee. On average, home staging costs around $525–2,000.
• Funds for repairs brought up by the home inspection. Depending on the seriousness of the issues that come up, repairing your house could cost hundreds or thousands. While that doesn’t mean you have to pay to fix it, buyers will expect a discount.
• Moving expenses like hiring movers or rental storage fees can add up too. Be sure to research these costs.

 

Taking a Low Offer Personally

An offer on your home is part of a business transaction and not a reflection of your home, décor or housekeeping abilities. Keep in mind that if the buyers are making an offer, it is because they really like your home. A low offer can be a starting point for negotiating a good counteroffer. A truly interested buyer will likely improve their original offer in negotiations.

 

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If you are considering selling your St. Louis or St. Charles County area home, interview The Boehmer Team. We’re an open book of real estate knowledge that we’re ready to share with our clients. Working with a team is a plus, allowing us to offer superior service, expertise in each area of a transaction, and ensures a qualified agent will always be available for your questions or needs. Learn more about us and our award-winning services at www.TheBoehmerTeam.com. 

 

*Data from Realtor.com

 

Selling a Home That Needs Repairs

When homeowners meet with The Boehmer Team about listing a St. Louis or St. Charles County, Missouri home for sale, they want to know what needs to be done to best prepare their home for market. Homeowners particularly want to know what they must fix, repair or update to sell a home for the most value versus the effect of holding off on any repairs. The answer depends on how fast the homeowners need to sell, how much budget they have for repairs, and how much they are hoping to net from the sale. Here we’ll explain three ways that homeowners handle selling a home that needs some repairs. 

Selling A Home Without Repairs At A Discount

Homeowners needing to sell a home quickly without investing any time or money into the home may decide to skip repairs and sell their home at a discounted price. Why the discount? In order for a home listed for sale that is in need of repairs to compete with other similar homes for sale in the area, the home must be priced at a discount compared to the price of the other homes. Otherwise buyers will simply buy the other homes and the home in need of repairs will linger on the market.

In addition to a lower sale price, homes in need of repair are often referred to as “as is” listings. When a home is listed “as is” it alerts potential buyers that there will be no negotiating for home repairs during the sale process and that what they see is what they get for the price the home is listed. This eliminates confusion and even entices investors and handy homebuyers who are looking for a good deal on a home. But it also could mean that the home takes longer to sell while waiting for the perfect handyman buyer unless it is deeply discounted compared to the competition.

Selling With Some Repairs Negotiated During The Home Sale Process

Homeowners that want to net more money from their home sale that have a little time and money to make some repairs to their home have the option to make some repairs and negotiate additional fixes during the home sale negotiation process. In this case we recommend making any fixes that would affect a homebuyer’s ability to gain an occupancy permit for the home.  Items needed for occupancy include working plumbing, heating, electrical and sound structure among others.

For example, does the home need a new roof but there isn’t enough money to replace it? The price of a new roof could be negotiated in the sale process by offering to lower the final sale price to accommodate for the price of a new roof. This type of negotiating could be done for almost any major repair. But homeowners need to keep in mind that homebuyers will usually choose to purchase a home that needs less of their time and effort to move into. 

Also, some loans, like VA loans for veterans, will not cover the purchase of a home where the roof doesn’t meet certain requirements. Loan requirements, time commitments for repairs, and the amount of savings a homebuyer has to make immediate repairs on a home purchase could diminish the pool of potential homebuyers for a home that needs a major repair.

Selling For Most Value With All Repairs Completed

Homeowners wanting to net the most value from their home sale will want to make their home for sale the best option for any buyer looking in their area by completing all repairs to their home before listing the home for sale. Homebuyers love move-in ready homes that don’t need any additional repairs and are willing to pay premium prices for the quality and convenience. 

Really want to make your home for sale stand out? In addition to making sure all repairs are made to the home, implement home staging to make the home’s best features stand out and to make it most appealing to buyers when compared to other homes. Home staging could include landscaping maintenance, deep cleaning, new paint, removing clutter, removing or changing window treatments, removing extra furniture, or updating fixtures. For more information on staging a home for sale check out our article Advice From Award Winning Home Stagers.

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If you are considering selling a home in the St. Louis or St. Charles County area of Missouri, contact The Boehmer Team to setup an interview. We can give expert advice as to what you can do to make the most from your home sale. We have a list of trusted contractors and repairmen that we can recommend to help with any home repairs. Are you also buying a new home in addition to selling your current one? Our experienced buyers’ agents are truly effective at helping homebuyers navigate the current market conditions. Learn more about us at www.TheBoehmerTeam.com.

Open House Etiquette For Sellers

Part of the process of selling a home is making it available to show to those who are considering purchasing it. An open house is one of the best ways to make it available to lots of potential homebuyers at once. For home sellers looking to sell a St. Louis or St. Charles County, Missouri area home, these ten open house etiquette rules are great guidelines to follow to make the most of your open house.

1. Clean and Declutter

Since the condition of your home is a place that your participation has the most effect, you’ll want to make your home look its very best by cleaning and decluttering. This includes: paint touch ups, organizing, making room in the closets and cabinets to make them look spacious, removing extra furniture and collectibles to make the rooms feel larger, and other projects. For a complete list of projects to prepare your home to sell, read our blog Preparing a Home to Sell.

2. Stage  

Staging a home to sell goes beyond cleaning and decluttering, it is looking at the home through the eyes of potential buyers and setting up the home to most appeal to them. This may mean repainting dark-colored walls to neutral colors, moving furniture placements, and removing personal items and photos that keep potential buyers from envisioning themselves living in the home.  Although in most cases staging is extremely advantageous, selling a vacant home is not always a problem.  Often times the design, finishes and architecture are sufficient to demonstrate the home in its best light. For more advice on staging check out the article Advice From Award Winning Home Stagers or bring in an experienced real estate agent to give you advice on what buyers are looking for.

3. Get the First Impression Right

Don’t forget to clean and declutter the outside of your home and landscaping as well. Cut the grass, trim the shrubs, touch up any paint and put away any toys or yard maintenance items. This will create nice curb appeal and give potential homebuyers a good first impression of your home.

4. Use Light

Brighten up your home with lots of light. Replace any burned-out light bulbs, clean the windows and open the curtains and blinds. Light makes the home appear larger and lighter. Read Enhance Your Home With Lighting for more extensive tips on lighting a home.

5. Smell Test

One of the first things potential buyers will notice is if a home has a smell. Check your home for any lingering odors. This can be difficult because we often become nose-blind to the scents in our home. We recommend having a trusted friend come over and tell you if they notice any smells. For more great info on home smells and how to get rid of them, check out our blog How to Remove Home Smells.

6. Temporarily Remove or Crate Pets

We understand that pets are part of the family. However not all homebuyers are pet owners, and some may even have a fear of certain pets. Show potential homebuyers that you respect their desire to inspect your home without pet interruptions. If you do leave pets in the home, crate them, and consider leaving a sign to alert open house attendees that a pet is crated in a particular area.

7. Secure Valuables and Medications

Though a real estate agent is present to show potential homebuyers your home during an open house, it is not always possible to keep track of multiple people viewing the home at once. A good rule of thumb is to secure valuables and medications in a safe place or off the property during open houses and home showings. 

8. Park Somewhere Else

When hosting an open house for potential homebuyers, park your car somewhere other than the driveway. This will accommodate visitors and allow them to use the driveway, just as they would if they one day owned the home. It’s a great way to set the stage to make them feel at home.

9. Let the Agent Host

Potential homebuyers will be more open about their thoughts on a home they’re viewing if they are viewing with an impartial third party. By letting your agent host the open house you can get valuable feedback that divulges the true thoughts and feelings of those viewing the home. Then you can use that information to make any improvements to create a more positive impression for future homebuyers viewing the home.

10. Be Patient Waiting for Feedback

Your real estate agent may need up to 48 hours to gather all notes and feedback from the open house. Why so long? The agent hosting the open house may have follow-up to do with homebuyers who saw the home, particularly if homebuyers had specific questions the agent couldn’t answer at the time of the open house. The agent will then get back to the homebuyers with the answers and may be able to get even more information from those potential buyers. So be patient. Your agent is working hard to make sure they can give you a full report.

 

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Is moving on your mind? If you are thinking of selling a home in the St. Louis, Missouri metropolitan area, be sure to interview The Boehmer Team. We would be honored to prove our experience and expertise in person. Or you can learn more about The Boehmer Team at www.TheBoehmerTeam.com. 

Tips for Preparing Your Home for Sale

The buying and selling season is definitely picking up steam here with The Boehmer Team at Prudential Select Properties.  The phones are ringing and homes are coming on the market at a rapid pace.  It is amazing what a difference it makes to walk into a home that is truly prepared to be on the market.  Believe me, little things do make a big difference! 

Much of what we are talking about doesn’t cost you much if anything.  It may take a little elbow grease and time, but the payoff is far greater than the effort and you have a well organized home.  The message sent by how the home is presented is far greater than most home sellers realize.  Let’s face it, buyers will snoop.  If they see organized, well maintained and clean areas they assume the home has been well maintained and taken care of.   Buyers don’t want to think that the home has just been surface cleaned for the sale, but has been meticulously maintained throughout the time you have owned the home.  A home with lesser features but impeccably presented stands a good chance of being in the game.

The most critical part of this puzzle is pricing and marketing the home appropriately.   

Here are a few thoughts on preparing your home for sale:

1. Curb appeal counts!  Pull up and take a good look yourself.  Sidewalks should be cleared of debris, the lawn should be mowed if the season allows, landscape should be trimmed with fresh mulch, flowers planted in season (yellow is inviting), the house numbers clearly readable from the street and any planters that are displayed should filled with fresh flowers or removed. 
2. The front door should be clean, dust free, door knob polished and nicely painted.  It is the first thing you see as you approach the home.
3. Make sure your doors (inside and out) are squeak free.  This is a simple fix that takes only minutes.
4. Declutter - Less is more.  If you are committed to moving, pack up items that you do not use on a regular basis and stack them neatly in a storage area either in your basement or in a storage unit.  Kitchen and bathroom counters, drawers, closets and rooms should be simply displayed.
5. Neutral colors- We both love color.  It makes a home show with so much personality, makes pictures show better and adds interest to rooms.  Although, when selling we have found that a neutral color works best for most buyers.  It should be rich enough to make white trim stand out and add warmth to the room but not to dark to make the rooms look small.  Many times we see sellers paint white to be neutral.  We personally do not find that to be the answer, as it appears very stark, cold and impersonal.  Make neutral choices to avoid being remembered as the “house with the purple bathroom”.  Consider adding color with accessories if necessary.
6. Replace burned out bulbs so the home shows bright and airy.
7. Knock down cobwebs, they tend to show up in corners and light fixtures.
8. Laundry Rooms are important.  They should be fresh and organized.  This will make the room look larger and more inviting.
9. Closets are equally important.  They should be orderly, shoes lined up instead of piled, and hanging clothes should be hanging the same direction.  Remove seasonal clothes.  An organized closet will appear larger than a cluttered closet. 
10. Wash your windows, window sills and door tracks.
11. Re-caulk any areas that the caulk has dried up or pulled away, especially in Kitchens and Baths.
12. Dust the ceiling fans, they tend to get overlooked.
13. Clean out the refrigerator and run your dishwasher, believe it or not people do look.
14. Beware of unpleasant odors.  This is a huge turn off whether it is pet odors, cooking odors or an overdose of air freshener.
15. Replace worn throw rugs with fresh, attractive replacements.  This allows you to add a splash of color as well as define an area.
16.  Polish chrome faucets, they will sparkle.
17. If you have a challenging room, stage it.  It is a problem when a buyer can not figure out how to arrange a room.  Solve the problem for them by staging.
18. Fix obvious problems.  If you know that everyone walking through the home will see a flaw in the home that will need to be repaired before selling, fix it before listing the home.
19. Create a focal point in every room.  This gives buyers something to focus on and fall in love with.
20. Concentrate on big impact rooms.  If they love these rooms, buyers will usually accept less than perfect conditions in other areas.
21. Hardwood is in!  It is warm, inviting, can make small rooms appear larger and is a top feature that buyers are looking for.
22. In areas that require a municipal inspection, you may want to consider having the inspection done in advance to address any items that may come up.
23. Consider getting an appraisal in advance if you are unsure of your position in the market.
24. Hire a quality agent.  Interview qualified candidates that have made a commitment to their profession, have embraced technology and are willing to go the extra mile to earn your business.
25. PRICE IT APPROPRIATELY!  The best agent and the best marketing in the world will not sell an overpriced listing.  It will certainly help you be positioned for a sale.  Have your professional Realtor review comparable sales with you to ensure you are positioned to sell in the shortest amount of time at the highest price. 

We hope these home selling tips are helpful to you.  If moving is on your mind or you are considering buying or selling Real Estate in the Metropolitan St. Louis and St. Charles County area, please visit us on the web at www.TheBoehmerTeam.com.