1. Choosing The Right Real Estate Agent
The market is flooded with real estate agents that are hungry for your business. They all have special selling methods that give them a point of difference, but does any of the real estate agent bling actually work?
Watch out for real estate agents that:
- Have the highest rate of commission. They usually sell you all the advertising under the sun and charge you an arm and a leg in commission. Spending more money doesn’t calculate into a higher property price.
- Have the lowest rate of commission. Everyone that does a good job should be paid fairly. Real estate agents that work for the cheapest price come in and out of the industry, they lack market knowledge and experience in all aspects of selling.
- Don’t charge any advertising unless your property sells. Real estate agents don’t earn a weekly wage, they’re paid by properties they sell. So if a real estate agent starts off in the red at the beginning of your selling campaign, they will use every pressure tactic under the sun to make sure the deal closes smoothly for them. Regardless of price.
- Allow multiple agents to sell a property. Smart buyers can spot the opportunity to shop each agent for the lowest price, little does the vendor know he is dealing with the same buyer!
- Request a pay bonus once a price level is achieved. If a seller isn’t aware of their property’s true market value, an agent can swindle a lot more than it’s worth. They do this by setting their bonus or commission kicker below market value, tricking the un-aware seller. This demonstrates why real estate agents have the reputation of being sharks.
- Our No frills agent (purple bricks type agent). They offer a very basic service, how do you spot them? The phones are answered in call centres and their selling agents don’t know the ins and outs of your property.
When spending money, everybody wants service. Service helps build rapport and trust, it helps bring down the defensive walls so buyers are comfortable during a bidding process.
The best agent is experienced because they have spent time in the industry, they’re paid well with reasonable incentives in place for over achieving. They don’t display any of the above attributes.
2. Advertising The Right Price Right
Pricing a property too low can attract the wrong type of property buyer. People who can’t pay what you really want, in essence, cheapening your biggest asset.
The benefit of a low price is a quick sale. If a speedy sale isn’t your main goal, the most likely outcome is under selling you home.
Price a property too high and you might not see a buyer come through an open. They will think the property is out of budget or overpriced.
No buyers via inspections equals no sale, no sale means lengthy time on market. New and old buyers will ask questions like, ‘what’s wrong with your property?’
An optimum selling time should be 3 to 4 weeks. Why?
- This is the peak of your advertising campaign. Typically, after 28 days your advert can drop to the bottom of the internet search where less buyers are looking.
- Old buyers (spend 12 to 16 weeks looking) and new buyers (2 weeks looking) have seen your property and should be ready to compete with each other. If this doesn’t happen, you will be waiting for a new buyer to hit the market.
Buyers need to see other buyers at your property, they need to feel like they’re going to miss out because they have made eye contact with the competition that are going to take their future home from under their feet.
The purpose of getting the balance right is to create hype with the right group of buyers. A bit like dinner time at the zoo, there’s a feed frenzy at the lion’s den.
Summary: 5 Factors You Need To Know Before Deciding On Your Homes Value.
- What type real estate market are you in? A buyers or seller’s market.
- How long do properties like yours take to sell? 3 weeks or 3 months?
- Are there many homes like yours in the local area or is yours unique?
- Are there many property buyers in your area?
- How does your home present? A high-quality finish or a renovator’s delight.
3. Presenting Your Home For Sale.
You don’t get a second chance of creating first impression.
Consider the property buyer, at an open for inspection Saturday, they will look at 5 – 6 properties every Saturday for a number of weeks. Typically, they will create a short list of two or three homes then make a purchasing decision from their options.
Presenting your home the best it can look is important as you want to create a property that gives a lasting impression.
Gardens: An over grown garden can make the whole property feel rundown, buyers can negatively judge your property from the curb. Trim and manicure your garden, it will set a positive theme of a cared for house.
If there are no gardens, put in some pot plants with some flash greenery. Consider some basic landscaping that you can do yourself.
Exterior: A fresh coat of paint on the gutters, roof tiles, window frames and doors are ideal. If you can’t afford to spend the dosh, give your house a wash down so at a minimum, it looks clean.
Interior: This is much the same as the exterior when it comes to painting. Consider hiring furniture throughout the property, this distracts from your property’s imperfections. Once again, if your budget is restricted, declutter and clean your property so a buyer can see their future selves in the home rather than a vendor’s house.
Presenting your home correctly will help you sell your property. It will have a positive effect on creating a bidding environment and shorten your time on market.
Check out my podcast on adding value to a property. June 2020.
When steering a ship, even the smallest error can change the desired course.
Selling your home requires a number of calculated decisions that need to be executed correctly to achieve a fantastic sales result. The part that makes it so difficult is that the real estate market is forever changing. Property prices dictate how real estate agents approach the market which flows on to how buyers react.
Each change of market brings a grey area that estate agents leverage to their own advantage. For instance, under quoting is used when houses are selling well. On the flip side, when prices are going down, agents use pressure tactics on their clients to gain price reductions.
Take advantage of our experience.
If you’re the type of person that wants to do things properly the first time, it’s wise to get a Vendor Advocate on your side to level out the playing field.
Vendor Advocates used to sell house, so they have great knowledge of what pressures a real estate agent encounters in their day to day, understanding different markets and how to sell a home effectively.
Talk to us before you list your property for sale
What do they do? They apply their years of experience to manage your real estate campaign from the start to finish. Specifically:
- Prepping your property for market.
- Interview and select the best agent in the area.
- Taylor an effective marketing plan and selling method.
- Manage negotiations.
- Assist with final settlement.
Sellers and buyers alike usually overlook the small tactics an agent uses to gain a sale. A vendor advocate is on your side as your real estate advisor.
How much do they charge?
A vendor advocates fee is shared with the real estate agents commission. So engaging a VA won’t cost you anymore than just using an agent on their own.
Note : if a property doesn’t sell, the real estate agent and vendor advocate are not paid any fees.