subject: Selling a House in a Bad Economy - Make Your House Stand Out [print this page] Selling a House in a Bad Economy - Make Your House Stand Out
When selling a home, the idea is to avoid cheap competition and traditional fixer-up starter homes. To overcome this, a seller needs to know what the competition is and how they can make their home stand out from the rest.
To do this, we need to understand what the foreclosure and short sale processes. Additionally, know the pros and cons of foreclosures. This knowledge will help you differentiate yourself from other sellers. First understand that both short sales and foreclosures have advantages that buyers love. They are cheap and in a bad economy, that is the first thing potential buyers look at. On average, a foreclosed home sells for 30%-50% less than the market value. Some think of buying these homes just as an investment.
However, the process of owning a foreclosed or fixer-upper home have some disadvantages. How much money needs to be invested into the home? Some foreclosed homes have been stripped of all appliances, fixtures, lights and molding. Basically, anything that could be taken. Additionally, foreclosed homes require additional paperwork that may include a waiting period. Three to four weeks is no uncommon and can be frustrating since the average traditional real estate market generally averages a 48-hour process. Include a bidding war and the frustration can increase.
As a seller, you will need to emphasize your strengths while playing up your competitions weaknesses. This includes responding to all offers in a timely manner, being available for showing, creating a pleasant environment for the buyer and ensure that your home is ready to move into. You will have a massive advantage over foreclosures and short sales. While some people may like the price of a foreclosed home, they may not want to deal with the headaches and time needed to fix it up.
Since competition is fierce, it is important that your house is priced competitively. A professional real estate agent will understand what is appropriate in your area. The market value of your home needs to be priced to sell, not what you wish you could get. If you list the house too high, you will not attract potential buyers. They won't even want to negotiate.
Motivation is the key to ensuring that your house sells. Although you may have a real estate agent, you need to understand that they are your partner in selling your house. Not the one in charge.
