Get Ready
People sell their homes for a million different reasons, but all sellers have
one thing in common: The desire to get as much money as possible from their
existing residence as quickly and effortlessly as possible. Before you begin
the selling process, take time to evaluate why you're really moving and what
you really need. Do you have too few rooms? Or too many? Has your job taken you
to another neighborhood? Or another city? Are the neighbors driving you away?
Or are you simply looking for a change? A complete analysis of your position
and expectations will help you set goals for house selling.
Of course, the first step in ensuring a positive home selling experience can be
choosing the right agent. RE/MAX associates are trained professionals who
understand all aspects of the real estate market, which means they can also
save you time, money and aggravation.
Just as with purchasing a home, you'll want work with a RE/MAX associate who
has experience in your neighborhood. Potential buyers will be calling this
"area expert" to inquire about homes for sale and chances are, there will be
several who are knowledgeable about your neck of the woods. For a complete list
of RE/MAX associates in your area, click any of the Find An Agent links in this
website. Then call and interview a few of them as potential partners. You'll
need to feel completely comfortable with your new agent, since they'll be
working so closely with you. For your convenience, we've added a Smart Seller
Agent Interview at the bottom of this webpage.
When Is The Best Time?
Everyone
has his or her own ideas regarding the right time to sell. Some base their
theories on the overall economy, while others focus on key buying months. But
if you're not buying and selling strategically for the purpose of investment,
the best time to sell is really when you feel your existing home will not meet
your future needs. The best reason to purchase a new home is to accommodate
changes in your family or lifestyle. Do you want to be closer to a school? Are
you switching jobs? Do you have an aging parent to care for?
In our part of the country, seasonal weather and holidays also play a factor.
Few of us are willing to give up our summer vacations, and fewer still go off
house hunting around the winter holidays. Of course, those with school-aged
children are less likely to move during the school year, so spring and summer
can be an ideal time. In some areas, there is a definite "spring cycle" --
perhaps it's a bit of spring fever and a wish to break the bonds of winter.
Some gamblers look for winter bargains and then try to sell their homes during
the spring cycle. But overall, that can create more tension and aggravation
than you wish.
Another key factor to consider is the economy. Are interest rates higher or
lower in comparison to your current mortgage? If they're higher, you may want
to stick to the neighborhood, since your new mortgage payments could be
uncomfortable. If rates are lower, you might be able to trade up to a more
expensive home without a significant increase in your monthly mortgage
obligation.
Regardless of these factors, however, it's always a good idea to place your home
on the market as far in advance of purchasing another as possible.
Buy or Sell First?
Good question.
If you find a buyer for your current home before you've found a new one, you
may find yourself living out of a suitcase if convenient closing dates can't be
negotiated. On the other hand, if you find your new home before you've sold
your old one, you may be faced with carrying two mortgages for a time.
So, how do you manage it? Do your homework, have a good idea about the
neighborhoods that interest you and the type of homes that best suit you. Do an
honest evaluation of your family's needs and budget. Then speak to your RE/MAX
agent and start your new home search as soon as your existing home hits the
market.
If you've found a new home before you've sold yours, use "sale of your existing
home" as a condition on your offer. If you don't sell your house within a fixed
period of time, you can choose not to go through with the offer. However, this
is a difficult condition for many sellers to accept and you may find you have
to forgo your price negotiating power. On the other hand, buying a home before
you sell yours can be a risky strategy if you're counting on the proceeds from
the sale.
If you've found a buyer before you've found your next home, use "purchase of a
new home" as a condition when you sign back the agreement. Again, it will only
be for a fixed time. Even if you haven't found the ideal next home by the time
the deal closes, you may still wish to proceed with the offer. As a buyer with
a "sold house," you'll be in a better position to negotiate.
What Are The Costs?
The price you earn for your home should cover more than just the value of the
property. You should also try to recoup part of the investment you've made to
make your home more attractive in the first place. Examples of such costs
include:
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Professional home inspection
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Major renovations and minor repairs
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Advertising and marketing
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Attorney, closing agent and other professional fees
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Real estate agent commissions
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Excise tax for the sale
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Prorated annual costs such as property taxes and association fees
Don't forget that selling your home can also have a major impact on your federal and state tax return. Check with your tax consultant regarding factors that may affect your specific situation.
Your RE/MAX associate can provide you with a thorough estimate of any additional closing costs or fees that are customarily borne by the seller. To get a head start on your home sale, use the RE/MAX Smart Seller Checklist below.
The Selling Checklist
Before you head to your RE/MAX agent to inform them of your decision to sell,
refer to The Selling Checklist below. It will provide you with a list of points
and costs to consider before selling.
Smart
Seller Agent Interview
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