When it’s time to put your house on the market, you’ll want to do everything possible to get it ready for buyers so you can net the most money. Believe it or not, it’s the simple things that can really affect your bottom line when you sell. Many elements of the selling price are bound to the current market and the nature of your property, but there are several things that homeowners can do to increase the value before listing.
Read on as we break down the key factors that will influence the value of your home and what you can do to improve your chances of getting the most money for your investment.
Comparable Homes in the Neighborhood
As soon as you begin the listing process, your realtor will check for comparables in your neighborhood. Comparables are homes with similar features to your own that have recently sold. This is a way that realtors can gauge the selling power of your home and settle on a listing price. This service alone is a primary reason to hire an expert during your sale–they will have the detailed data and analyses available that you just can’t get on your own!
For reference, a good comparable will have a few key similarities. It will have been sold recently, have similar features to yours—square footage, bedrooms, bathrooms, lot size, etc.), and has a similar placement (a lakefront home will not have the same value as one that is situated near the main road).
Location, Location, Location
We all know this often-repeated phrase. The fact is, houses can be remodeled and manipulated to suit your tastes, but your location cannot be changed. This perhaps makes it the most important factor in determining your home’s value to buyers.
If you live in a community or neighborhood that can boast excellent schools, employment opportunities, outdoor recreation, medical facilities, and other amenities, you can count on that increasing the value of your property. Those are items that cannot be changed – unlike dated décor.
Square Footage
The size of your home has a big impact on the value. While tiny living may be trendy, most buyers are looking for sufficient space to spread out and store all their belongings. Usually, the more square feet your home offers, the more value it has.
To be clear, this includes all usable spaces in your home. Outdoor living spaces, garages, basements, and attics are equally as important when it comes to desired space in real estate.
Age Matters
While the idea of a “big old home” may sound romantic and desirable to some, it can be scary to many others. Older homes tend to come with a host of issues that are simply not seen in newer construction. While some buyers may enjoy the challenge, others want no part of it. For that reason, newer homes tend to appraise for more.
Buyers who aren’t interested in renovations or repairs and want a move-in-ready home are often willing to pay more for it. This is something to keep in mind if your home is on the older side.
Market Fluctuations
We are currently living through one of the most dynamic real estate markets in modern history. Interest rates are constantly changing, and things have been fluctuating at a quick pace. These changes have significantly impacted the number of buyers looking at homes.
While the past two years have been a seller’s market and have driven home prices to their current level, the rising interest rates have cooled things down quickly. This has rapidly changed the market to more of a “watch and wait” situation.
Mortgage Lending Rates
Mortgage interest rates have a huge impact on the market and the value of your home to a buyer. When interest rates are low, buyers may be willing to spend a little bit more on the purchase price. The “bigger picture” doesn’t feel as risky
When the interest rates start to climb as they are now, things change. To a buyer, the mortgage payment on a $400,000 house at 2.5 percent is far more reasonable than that same payment at 6%.
Needed Improvements and Updates
One of the biggest mistakes sellers can make when listing their house is to overlook small issues that they may not even notice. Damaged drywall or doors, broken fixtures, cracked tiles, missing electrical covers, etc. are a red flag to buyers.
While these issues may seem insignificant to you, buyers may see them as a sign of overall neglect that could lead to more issues down the road.
Final Thoughts
Working with an experienced realtor who can explain the fluctuations in the market and the steps you can take to sell your home for top dollar is your best bet. Don’t try to do it alone!
Contact Us Today
Reynolds EmpowerHome Team is eager to serve you in your home selling journey! We have a proven proprietary listing launch and a listing omnipresence marketing system that we provide to our sellers, in addition to a fully flushed out market evaluation on comparable homes in your neighborhood. There is no better real estate team than us to get your home sold quickly and for top dollar! Plus, we back up our signature service with multiple guarantees and programs. As we like to say, “Your Price is Our Promise!” This guarantee program promises that we will sell your home for 100% of your asking price, or we will pay you the difference, GUARANTEED!* How can we make such a claim? It’s simply because of the 13,600+ buyers in our exclusive “Buyers in Waiting Program!” If you are considering selling your home, call us now at 304-316-6412.