The entire selling process can be simple or difficult- it all depends on your involvement. Your home will not sell itself, so consider the following tips and be pro-active when it comes to selling your house.
Getting the highest possible price for your home in the shortest amount of time simply comes down to marketing. If your property is not marketed properly and you are under time restraints to sell, you may be forced to lower your asking price.
What is good marketing? To effectively market your property
you need to:
1- Set the right price
2- Hire the right agent
3- Ensure your property is in selling condition
4- ‘Sell’ your property
1. Set the right price
If you are unrealistic in setting the price for your property and
it does not reflect the market or the property value, then buyers
will not take your listing seriously and it will damage your credibility. Price
is the most important factor in marketing your property.
Consider the following (this information is readily available
through any reputable realtor):
- other houses in your price range and area which have sold within the last three
months
- current inventory of houses on the market
- features of other houses on the market (how do they compare to yours?)
- difference between asking and selling price for recent sales
- current market condition
2. Hire the right agent
A good realtor will get maximum exposure for your property
through the multiple listing service, Internet, advertising, signage
and word of mouth. Many realtors in your area are members
of both the Barrie & District and Toronto Real Estate Boards
and ensure maximum exposure for your listing. Select someone
you can work with comfortably who is very familiar with the local
real estate market.
3. Ensure your property is in selling condition
Your home must be ready to sell. Any outstanding repairs, renovations,
cleaning and general maintenance must be completed. Fresh
paint and an immaculate condition will impress buyers considering
your property. Consider having your home professionally ‘staged’ and
a pre-sale inspection completed by a qualified home inspector to
give you an edge over your competition.
4. ‘Sell’ your property
Some buyers will hesitate and refuse to pay your asking price. You
can be creative if you don’t want to budge on price and offer
other incentives such as pre-sale renovations or buyer financing
at lower than market rates. These incentives will help you
to compete against other similarly priced properties. Prepare
to negotiate and try to understand the transaction from the buyer’s
point of view.
A gradual decline in sales activity and an increase in new listings is causing the real estate market to become more balanced, with real estate price increases more stable than in the past two to three years. Because there are so many properties listed for sale at this time, buyers have the opportunity to view more homes before making their decision to buy and properties generally are staying listed for a longer period of time. It’s more important than ever to be competitive in the current real estate market if you are selling.
According to Greg Klump, chief economist for the Canadian Real Estate Association, weaker U.S. economic growth is good news for Canadian interest rates, as slowing Canadian economic growth will keep mortgage interest rates low and the housing market on a solid footing. Overall there is a stabilizing effect of real estate prices here without the free fall of property market values seen in some American states.
TD Chief Economist Don Drummond says that Canadians need not worry that their housing market will take a dive like in the United States. Housing prices did not rise as sharply here as in the U.S. market. Drummond quotes that resale prices jumped 36% in Canada as compared to 51% in the U.S. Other factors which have buffered the Canadian real estate market are that there is less speculation here, Canadian financial institutions have stronger requirements for loans and Canadians are less likely to remortgage their homes to spend any extra equity.
To make your move easier and more stress-free, keep in mind that you need to be very competitive to sell in the current real estate market. Realistic pricing and a good understanding of the current market in your area, as well as making sure your property is at its best, will make all the difference- the good news is, we have a healthy forecast for the real estate market going into 2007.
Tammy Dufault
Century 21 BJ Roth Realty Ltd.
