Selling property online is not a new method its just one that over time has become more and more popular. The popularity of selling a home privately may be a reaction to housing slumps and the costs involved in selling a property. Home owners faced with trying to find a buyer need to save every penny and selling real estate without an agent can save thousands. One thing is certain once you have had the pleasure of selling a property by yourself its hard to go back to more traditional methods.
So what is the key to selling your home online. There is no one single answer it is a mixture of realistic pricing, presentation , good images and choosing the right property websites for maximum exposure.
Preparing your house before you photograph it is an important aspect of presenting your home when selling it online. You will be inviting thousands of people into your home via your photographs .
A well-kept garden, pathway and fence, plus a freshly painted front door are immediately appealing, whereas a scruffy outdoor space with a litter bin outside the front door may turn many prospective buyers away.
De-clutter - don't underestimate the appeal of a tidy property. Throw out the junk - use moving as a good excuse to get rid of old, unwanted and unused items.
Clean - dust and clean the whole house thoroughly, from cobwebs on the ceiling to crumbs and stains on carpets and rugs. Remember to wash down paintwork and clean windows.
Natural Colours - research shows that, most buyers prefer natural, earthy colours to bright, bold shades. Although there is a wide range of paint colours available, magnolia is still the top-selling colour.
Add a bit of colour - to prevent rooms looking too bland, use strong colours for accent walls or cushions and accessories.
De-personalise - remove personal items, such as family photographs and children's drawings, which may distract potential buyers.It may sound harsh but it really helps sell property
Maintenance ? Complete all minor repairs. Major Jobs- If you don't spend out on home improvements to complete major repairs it could have a disproportionate affect on the value of the property.
Lighting - the right lighting can improve the mood of a room. A room looks cozier with a few table lamps rather than bright general lighting.
Take pets out - ask friends or family to look after pets during viewings. Fresh flowers and fruit - flowers and a bowl of fruit will brighten up a room and provide a pleasant smell.
Define your rooms - a property will be more appealing if rooms have a specific purpose and this allows buyers to see the full potential of the property.
Last of all when writing your property description makes sure it includes details for those who may want to buy it as an investment . So gather rental values this will increase the scope of people who may wish to buy your property.
Jack and Mary were desperate. Mary received a big promotion in another state and Jack was looking for a new job in the same city. It was just too good to pass up. Mary was a rising star in the health care industry and with the huge pay boost and promotion it was a job she had dreamed of ever since leaving graduate school armed with her MBA. Jack was a natural born salesperson and could work anywhere selling just about anything. He liked high tech sales in the high ticket electronics field and was close to catching on with a company in the same city as Mary’s new job. One problem, they had a large house to sell in a very slow and slumping real estate market.
Jack and Mary counseled with the local real estate ace that had long been the resident expert Realtor for their community. They had been in their home for six years and with the past real estate surge they had lots of equity now. Because this was happening so fast, Mary moved to a small apartment near her new job. The relocation price offered by the company was way too low for what they felt they could command in the market. This option was rejected. With ongoing brain storming with Tyler the Realtor, the scenarios included, lease options, lease purchase, and a seller held second. The lease scenarios would be the iffiest of the three. Jack and Mary instructed Tyler to hold the price and offer to pay the selling Realtor a selling fee plus a bonus of $2,500 and agreed to pay the closing costs and prepaid expenses (pre-paid interest, tax and insurance escrows) up to an offered $14,000. Likewise, Tyler was instructed to offer through the MLS selling terms to include a seller held second of 5% to 10% of the purchase price. The list price of $475,000 would mean that the Jack and Mary were willing to hold a second mortgage of 5% Loan To Value (LTV) or $475,000 x 5% = $23,750 or 10% LTV at $475,000 x 10% = $47,500. Tyler, the listing Realtor, had been in discussion with a mortgage broker active in their area and had some clients that could only get a 90% to 95% LTV first mortgage. They had some credit dings, which were holding them back. Each had fully documented income and was making good money. There were valid reasons for their rocky credit history and both needed time to rebuild their credit. Tyler showed the home to both the prospective buyers who had credit challenges. The first couple didn’t like the kitchen layout or the back yard size. The second couple liked the house and had similar reservations but with the flexible financing they figured they could live with it and make changes and improvements down the road when they could refinance down the road and get sufficient monies to do some home improvements.
Jack had closed up the house and had moved with the furniture in tow to join Mary at her new location. The furniture was put into storage in hopes that it wouldn’t be there long with Realtor Tyler on the case. Jack had been actively working on his job hunt in the new city for two weeks now. Tyler was now on the phone presenting the offer from the buyers who needed seller help. The buyers would need Jack and Mary to pay $15,000 in closing costs and prepaid expenses. Tyler was making the deal himself so there was no bonus involved. The offer was based on a seller held second mortgage of $47,500 with an interest rate of 10% with a 30-year term and a three-year balloon. The payments would be $416.85/month. At closing, Jack and Mary would payoff their first mortgage of $200,000 and would get somewhere around $188,000 in cash at closing and the seller held second of $47,500.00 paying $416.85/month. Tyler went on to explain that the buyers were putting very little of their own money in the deal and explained the downside risk involved if the buyers defaulted. The only way they could protect their 2nd mortgage equity would be to buy in the first mortgage or just take the loss. Tyler and the mortgage broker, with the buyer’s permission, indicated that Jack and Mary were in essence underwriting the 2nd mortgage loan on part of the buyers. It was up to them to pass or deny.
On weekends Jack and Mary were looking at new homes, which might meet their needs. One in particular, due to the soft market, the builder was offering major concessions and sales inducements including paying all the closing costs and prepaid expenses. With potentially $180,000 cash available for any purchase they were looking at a builder deal loaded with incentives for a home worth $750,000, which they could now buy for $650,000. The nagging fear was what would happen if the 2nd mortgage payer defaulted. Since, it was up to Jack and Mary to pass on the buyer’s credit worthiness, with the buyer’s permission, they went over their entire credit package and personally interviewed them on the phone to find out something of the character of the buyers and the back ground of the of how the credit dings had taken place. It turns out it was a temporary medical problem that had put them behind the eight ball and precipitated their credit dings. Jack and Mary decided to take the deal. Since the buyers had been already pre-qualified, the sale took place in two weeks.
Jack and Mary, with closing funds in hand, closed moved into their new home. Six months had passed and the buyer’s of their prior residence had made their second mortgage payments on time as agreed. The home had everything they wanted in a home except a pool and spa. The dilemma for Jack and Mary, even though they had got an incredible interest rate in the soft market they were reluctant to incur any additional debt with the 2nd mortgage paying off in now 2.5 years. Jack received a letter in the mail from an investment note buyer who was offering to buy the note at a discount since the note now has some “seasoning". Running the math, with the investor getting a 15%+ yield on a 10% face rate ballooning in the next 30 months were offering to buy the note for $42,900 cash. Just for grins, Jack being the super salesman and dealmaker had been working on construction quotes with a pool contractor. He had managed to negotiate a $5,000 reduction and could put everything they wanted for $40,000. Pool contractors were slow right along with the rest of the real estate market. Jack and Mary showed the documentation to the note buyer that indicated six months of on time payments together with copies of the note and mortgage. The note was sold netting out $42,000 in cash. The pool was built the following week. Life was good.
Soft markets can lead to flexible terms which can help complete real estate deals. Keep and open mind. There is more than one way to skin a…real estate deal.
Both Nicholas Marr & Dale Rogers are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Nicholas Marr has sinced written about articles on various topics from Real Estate, Property Investment and Home. Nicholas Marr is a lifetime overseas property investor and CEO of Marr International Ltd a UK based property marketing company that is responsible for international real estate web site at. Nicholas Marr's top article generates over 74000 views. to your Favourites.
Dale Rogers has sinced written about articles on various topics from Finances, Current Affairs and Finances. Dale Rogers is a thirty-year mortgage veteran and frequent contributor to the Broken Credit Blog. The BCB is a free website created to assist the general public with information about credit repair and responsible mortgage lending.. Dale Rogers's top article generates over 60500 views. to your Favourites.