Whether you are looking to sell your primary home or an investment property the less “noise” you have going through your head the better.
Let’s talk about three home selling myths to ignore so you can stay focused on getting a sale done as efficiently and cost effective as possible.
Three Home Selling Myths to Ignore
1.) Price Your Home High and Wait For a Buyer to Come
There is a reason “comps” or comparable sales are used when buying a home. Buyers aren’t just going to blindly pay whatever price you ask. They will want to find a price that is “fair” compared to the market.
That is not to say you can’t get an above market price in a reasonable time frame, but if you price a property 25% above recent comps you are putting the odds in favor of it sitting for a while.
Now, if you are living there and our in no rush to sell it, have at it then. Maybe someone falls in love with it. Otherwise, your best bet is to find recent sales and recent listings and price accordingly. If your property deserves a slight premium be sure to give it one.
Things like having an end unit town-home or an updated kitchen are just a couple examples of why your property can be priced a little higher.
2.) You Need to Have an Open House to Sell Your Home
Open houses are great and all the HGTV shows make it look like they are the holy grail to selling a home quick. My reaction is, meh – I guess.
If you have your home listed then buyer agents are going to bring clients to see your property if they think it is a good fit for them, regardless if there is a set showing day.
Can having a one day showing blitz help, sure. Maybe it stirs up the competitive spirits between a couple potential buyers viewing it, but you’d be surprised how often many of the visitors are just looky-loos window shopping.
Most buyers requesting one on one showings are serious about purchasing a property.
3.) You Need to Pay Full Commission to Sell for Top Dollar
Let me apologize to all my realtor friends for this one. However, the landscape of the real estate industry is changing drastically with all the information and technology available to us.
Many realtors are shifting to meet this change. Making their operations leaner with the use of technology, giving them the ability to do more transactions and charge a lower rate.
You should still pay for good help, but absolutely paying 6% for it is becoming a thing of the past. There are several brokers willing to do 2% selling and 3% to the buyer agent, saving you a percent.
Then there are the new wave brokers that are doing 1% with a 2.5% commission to the buyer agent. A 3.5% rate against 6% adds up really quick and the difference in service is marginal at best these days.
Plus, if you read the blog posts or have read the investing in rental property book then you are already well versed enough to spot when an agent is giving sub-par service. Use the knowledge to your advantage.
If you enjoy my rental property investing tips, then you will love the book:
I walk you step-by-step through finding, buying and renting out a rental property. The book is your personal mentor!
Be sure to use the property calculator so you can run the numbers and buy right!