Most sellers are interested in maximizing their profit when it comes to selling their homes. It is also worth noting that buyers have changed their expectations of what a home should look like due to the increase in remote work. Although it is too soon to predict what these changes will mean over the long term, the impact they are having on the current market is undeniable.
Kerrie Kelly, the creative director of the Kerrie Kelly Design Lab in Sacramento, has witnessed a pandemic-driven emphasis on outdoor spaces. She said that her home office moved to the porch or side patio. “People are really taking advantage of those spaces to spread out, enjoy areas that may not have been before.” When you make decisions about selling your house, consider the extra attention potential buyers might pay to your outdoor spaces.
Tips on how to make more profit on your home sale
These are just a few of the other options you have to maximize your home-selling strategy.
1. Use a discount broker
This tip has to be number one because it is by far the easiest. For those who do not yet know what a discount broker is, let me explain. Traditional real estate agents list homes for about 6% commission. That commission is really a 3% commission for the listing agent and a 3% commission for the buyer’s agent.
Discount realtors do everything that a traditional real estate agent does, but their listing fee is significantly lower. If you’re realtor only charges a 1% listing commission and puts a buyer’s agent commission of let’s say 2.5% in the contract then you are only paying 3.5% total commission. That means that you could save up to $8,750 selling a $350,000 home.
That’s almost $9,000 dollars more in your pocket and you didn’t have to do anything other than choose a discount real estate broker.
2. The right listing price
It can be difficult to determine the right price for your home.
You not only want to make the highest amount of money but also attract potential buyers and quickly sell your house. A good agent will help you with this step. A comparative marketplace analysis (CMA) will help you see what comparable properties have sold for in your area.
Another and the most common way to help decide on the listing price is using the closing prices of comparable homes, also known as comps. Looking at these statistics can not only tell you what homes are being listed for but also what they are selling for.
You risk losing money if you list your house too low. If you list your home too high, it could scare away buyers. Successful sellers aren’t emotionally invested in their decisions. Everybody thinks that their home is the best, however, sellers who are emotionally attached to their homes tend to overprice them and cause them to take longer to sell.
3. Improve curb appeal
Your home’s first impression will make a lasting impression on potential buyers.
Fortune Builders CEO, Than Merrill, suggested that you invest in a new front entrance. He suggested that if buying a new front door is out of your budget, you might consider repainting it to give it a fresh, cleaner look. This is an inexpensive renovation that you can do for less than 1,000 dollars.
You don’t have to spend a lot on renovations or costly repairs. Simple improvements such as trimming the hedges and painting exterior accents, pressure washing the driveway, and giving the hedges and trees a trim will make your home look better for potential buyers.
Landscaping falls under curb appeal but is worth mentioning separately as well. That’s because according to SFGate, a well-landscaped house can sell for between 5.5%-12.7% more than a home without landscaping. That equates to a lot more money in your pocket.
As a minimum, make sure your home has a neat lawn, a tidy patio, and high-quality garden furniture. These simple efforts can increase the appeal of your home to potential buyers.
5. Remodeling kitchens and bathrooms
Bathrooms and the kitchen are the most used and most abused rooms in a house. They are also the rooms that home buyers most often ask about.
These rooms can look brand new even if they are undergoing minor remodeling or upgrades to their countertops, cabinets, and fixtures. You can also increase the home’s value and resale value by upgrading your appliances, but that may only be worth the investment if your current appliances are older.
6. Make necessary repairs
Although you are not required to hire an inspector, it is a good idea to do so. It is recommended that homeowners have an inspection done before they list. This can help to avoid potential issues for buyers. It can also help speed up the closing process by being able to make any necessary repairs ahead of time.
Regardless of whether you choose to get an inspection or not, you absolutely need to address any repairs that may stand out to potential buyers. Even minor repairs can make a huge difference. If someone looking at your home notices a few small problems, it gives a negative lasting impression. It also makes them wonder what else could be wrong that they aren’t seeing.
7. Get rid of all the clutter
It is important to present your home in the best possible condition. You should remove all clutter and keep the rooms clean and well-organized for any potential buyers that will be walking through. Clean and well-organized rooms will make the home seem more cared for and maintained. Rooms that are clean and tidy will appear larger than messy ones. Clean the baseboards, cabinets, and vents to remove dirt and dust.
A clean and organized home shows much better than a messy one. Many potential buyers will not be able to see past the clutter.
8. Stage your property
According to the 2017 Profile of Home Staging by the National Association of Realtors, 77% of realtors believe it is easier for buyers to envision a staged property being their future home. According to data from Realtor.com, the average cost of staging a home ranges between $2,000 to $2,400. Of course, you can do this yourself with the helpful advice of a good real estate agent.
According to the report, staging the living room was the most important. The master bedroom and kitchen were next. There are also a ton of great online articles on this topic.
9. Put your personal items away
Part of staging your home involves the clearing of any personal items not required for daily life. Potential buyers like to imagine themselves living in the house. They may have trouble picturing themselves in the home if all they can see are pictures of you and your kids.
Besides family photos, you should remove certain items, such as trophies and awards. You should also take the time to eliminate excessive wall art and furniture. Most people do not like homes cluttered with too much stuff.
10. Light it up
A room that is naturally lit will be more attractive. Most real estate agents will suggest that you clean the windows and open the blinds to let natural light in.
Also, artificial light upgrades can be very profitable. According to the National Association of Realtors, lighting is one of the most popular home improvements that new homeowners make.
Hopefully, these tips for making more money when selling your home have been helpful. They may even help you avoid common mistakes sellers make. With a little bit of planning and choosing the right realtor, you can keep more of the money from the sale of your home.