Getting Ready To Sell?
Before You Cost Yourself Thousands…
I met with two homeowners this week who wanted to know what they needed to do to get their homes ready to sell.
One had already met with two other agents who had given her advice about what she needed to do to get her home ready.
As I looked around her home, which was in very good condition considering they hadn’t done any upgrades since it was built, I saw only a few small items that I would change to get the home sale ready.
The other agents she had interviewed had given her a list of items they felt were important to get the home ready for sale. These changes are quite costly.
The list included things like exterior paint touch up, the front door color change and the homeowner was convinced that getting new carpet was a must do change.
I told her bluntly not to change the carpet at all and just get a good cleaning. This alone would save she and her husband upwards of $7000 prior to selling the home. I explained that they would not recoup their investment in the carpet and would be installing something that may be replaced by the new buyer as soon as the home closes. She wasn’t convinced but I insisted that this was the right course of action.
She asked if new carpet would make the house more desirable in the market and I said of course it would but it would make little difference in the sale price. This surprised her and here’s why I gave her this advice.
Before You Pour Thousands Into Improvements To Sell, Consider This
Getting your home ready to sell can be a daunting task. Before any decisions on what to change are made, there is a very important consideration to keep in mind
and that is…
What is the market for homes like mine right now?
Selling a home is a competition. When a seller puts their home on the market, they are competing with other homes in their area for the potential buyers of a home like theirs.
With that in mind, the homeowner needs to consider what the condition of the homes for sale in their area are.
In today’s market throughout South Placer County, and nationwide for that matter, the amount of available homes for sale is extremely low so, in essence, there isn’t much competition.
It’s a seller’s market. This fact alone makes the decision easier on the every home seller.
In this particular case, the home was a in very good condition with minimal visual repairs needed. The carpet is, considering it’s age, in good condition and the issues are such that a good carpet cleaner could have it looking great in just a couple of hours. No need for new carpet in my opinion.
What Will The Buyer Want?
During the course of a home sale, the buyer will have several inspections to ascertain the condition of the home and what repairs, if any, will be requested of the seller.
If you’ve spent thousands getting ready to get your home sold then the buyer asks for another couple thousand in repairs, the money spent upfront may feel wasted. The buyer may not have asked for repairs to the items you thought were important to get the home sold vs. what the buyer thinks is important.
Every agreement, provided the contract of sale has been written on a California Association of Realtors purchase agreement, states that the home is sold in it’s current condition or what’s more commonly known as in “as is” condition.
The buyer comes in says “I’ll take it”, has inspections and wants a $1000 roof repair, another $500 in pest work and didn’t ask for all the carpet to be replaced but did ask for a $1000 carpet allowance to make up for a couple of stains they observed while viewing the home.
In this scenario, you’ve just saved $6000 of the $7000 carpet replacement you were considering prior to putting the home on the market. Additionally, you’ve freed up your willingness to negotiate on repair requests should the buyer have them. Sometimes they don’t. This is a very common scenario in real estate transactions.
Homes don’t only sell because of their condition. There is also location and amenities that goes into the desire for any home. A buyer will overlook some home deficiencies if it’s in the location and has the basic things the buyer needs ESPECIALLY when there aren’t that many homes available for sale.
When To Replace Major Components
Sometimes it is necessary to replace major components of a home prior to getting it on the market.
Flippers do this all the time. Buy a home in rough shape, fix it up and turn it (or flip) for a profit.
When the condition of a major component is damaged or is not functioning as it should then repairs will be necessary in any market to make the house as competitive as possible.
Additionally, if the market favors buyers, which is defined by over 6 months of homes available for sale, then everything that can be done should be done. The competition for buyers will be fierce and you’ve got to be perfect.
However, that’s not the market we’re in in South Placer County right now. It’s a seller’s market.
The best advice I can give would be that if you’re thinking of selling your home and are thinking you should replace your carpet, appliances or other major component of your home but aren’t sure if you should, give me a call. I’m happy to come by and give you an honest assessment. I see a lot of homes and can let you know if selling as is will hurt the market for your home or if it’s good enough to get you the highest price possible. It’s a simple as picking up your phone. 
Thanks for visiting!
I can sell your home in 30 days or less for top dollar. Please call or text me directly at 916-532-7653 or click here, for my contact page and let’s talk about how I can help you.
Saxe Realty Services is the most comprehensive online source for South Placer County real estate information. Whether you are looking for the latest sales, trends or homes for sale in South Placer County, Saxe Realty Services has it all at your fingertips.
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