The 7 Pitfalls of Selling Real Estate.

15 Feb 2018

A new report has just been released which reveals the seven most common and costly mistakes that homeowners make when selling their homes. Knowing these mistakes could help you sell your home faster and for the most amount of money.

I’ve been in the real estate industry for many years and have facilitated the sale of a large number of homes. During this time, I have noticed that there are a number of mistakes repeated by sellers time and time again. Most of these mistakes are not only expensive but can be easily avoided if the seller knows about them!

Each mistake listed below has a financial implication and all should be taken into account when selling your home.

Mistake 1 >>> “To make money, you have to spend money.” The neighbourhood in which your house is situated should form the basis for determining how much time and money you spend ‘upgrading’ your house before you attempt to sell. The temptation is to follow the time-honoured saying, “To make money, you have to spend money” and go on a spending spree that adds little, if anything, to the value of your home.

Mistake 2 >>> "You need to be excited and eager to sell your house.” We all want to sell as quickly as possible, but, in the eagerness to get the property on the market, we often find ourselves in a situation where we will be painting the house when it needs to go on show. Remember that presentation is everything for a buyer, so make sure you have everything in place before you put your house on the market. This mistake could also be used to get you to settle for a lesser amount.

Mistake 3 >>> “You should price your home on what you want to net.” Our biggest temptation is to value our property on what we want to get out as the bottom line at the end of the sale. Unfortunately, we can’t set the price that a person is willing to pay – the market sets that price. With this in mind, it is important to get a true valuation of your property from a licensed professional. People tend to undervalue their homes as often as overvalue them.

Mistake 4 >>> “The best thing to do is to use a trusted friend or family member as your estate agent.” We are all tempted to use family and friends to assist us with the sale of our houses. While this is not a problem in many cases, consider the implications should something go wrong. Not only could your largest asset be in jeopardy, your relationship with the family member or friend can also be placed under huge stress. Make sure that your estate agent has both the experience and credentials required, regardless of their relationship with you.

Mistake 5 >>> “Because selling my home is emotional, it’s OK to let my emotions play a part in the sale.” If we’ve lived in a house for a number of years, chances are that we have grown emotionally attached (through memories and events) to at least some aspects of the home. The problem with these emotional attachments is that they often blackmail us. Emotional baggage should, as far as possible, be left outside the house during a sale. The buyer is not buying you or your memories; they are buying a place where they can make their own memories.

Mistake 6 >>> “If I can hide problems with the house until after the transfer, I’ll be home free!” If you’ve been living in your house for a few years, chances are that you’ve identified at least a few problems that you mean to get to ‘one of these days.’ Now that you are selling your house, the temptation may be to simply cover up the issue. The problem with this is that it leaves a door open for the transfer of the property to be delayed or cancelled completely. The best way to deal with things is to state the facts completely & honestly (or fix the issues before selling).

Mistake 7 >>> “Once you have a valid offer to purchase, the deal is basically done.” It is always a thrill to celebrate a sale once you have a valid offer to purchase. We do this in many ways, including purchasing a new home, spending the extra money we have made, etc. The problem with this is that there are still many things that can go wrong with the transaction. Your buyer could be retrenched, at which stage the bank has the right to withdraw the bond.

Your estate agent should be able to provide guidance on the applicable laws and potential pitfalls. Avoiding these mistakes is not difficult, but it often helps to discuss your sale in detail with an experienced agent.

That is why I’m here. Call me NOW on 0829222203 or 0102107076 to avoid these pitfalls and find out how you can get the most money for your home.

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