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Buy or Sell First

Buy or sell first? That’s tricky. After all, if you find a purchaser for your existing home, before you’ve found a new one, you may find yourself living out of a suitcase if convenient closing dates cannot be negotiated. On the other hand, if you find your dream home before you’ve unloaded your old one, you may be faced with carrying two mortgages for a time. So how do you manage? Easy. Do your homework and have a good idea about the neighbourhood and type of home you’re looking for. Do an honest evaluation of your family’s needs and budget. Speak to your sales representative and start your new home search as soon as your existing home hits the market. If you’ve found a home, before you’ve sold your existing one, use “sale of your existing home” as a condition on your offer. If you don’t sell your house within a fixed period of time, you can choose not to go through with the offer. This, however, is a difficult condition for many vendors to agree upon and you may find that you have to forgo your price negotiating power. Purchasing a home before you sell could be a risky strategy if you’re counting on the proceeds from the sale. If you’ve found a purchaser before you’ve found your next home, use “purchase of a new home” as a condition when you sign back the agreement. Again, it will only be for a fixed time. Even if you have not found the ideal next house by the time the deal closes, you may still wish to proceed with the offer. As a buyer with a “sold house” you will be in a better position to negotiate price.

First steps in selling a home?

STEP 1: ARE YOU READY TO SELL? Only once you have a firm answer to this question, are you ready to put the for sale sign on your front lawn. However, just knowing you want to sell your home is not enough. In real estate, timing is everything. Sometimes, in order to get the most value for your home, you have to take advantage when it is a “Sellers market”. Homes tend to sell better in a Sellers market, rather than in a Buyers market. In fact, it has been said that the same listing in an advantageous market can earn up to 20% more than a house listed in a disadvantageous market. You must make sure that your agent understands trends and market conditions to be able to properly advise you as to how to best proceed.

STEP 2: CONSIDER UPGRADES WISELY; Additionally, there are many ways one can go about increasing the value of their home. Updating older appliances, adding a new coat of paint, and remodeling an area can pay huge dividends but many times spending money can be lost if not invested correctly. There are many ways one can increase the value of their home with a home renovation, but many Sellers often spend more than they get back. Knowing what to do is key to generating maximum return on your investment. Your realtor must be very knowledgeable in these areas. An easy way to know which areas of your house can benefit from an upgrade before a sale is by contacting an experienced realtor for a consultation. With the added value of a realtor’s insight, a world of trouble can be avoided, as their advice will help you make more money.

STEP 3: HIRE YOUR AGENT; A real estate agent’s value comes from being able to market your property to the ideal Buyer no matter where they are. In fact, Buyers are coming from farther distances because of the mobile society that we live in. If your property is not getting that extensive marketing you must ask yourself “how much money am I potentially losing”? The objective is to net you as much money as possible for your home. The best way to find the best real estate agent in your area is to do your research. Look for agents that have an impressive marketing strategy, campaign, and reach. This is extremely important and it’s where the true expense will be for the realtor, (follow the money and you will know how much is invested in the marketing of your property). Of course an excellent track record of success, selling a lot of homes, and having clients who are ready to provide glowing testimonials is also very important. Remember, the best agent/client relationship is built on trust. So find the realtor you can trust to get the most value for your home.

STEP 4: LIST YOUR HOME; Once you settle on your ideal real estate agent, their job is to get as many eyes on your home as possible. You will work together to come up with a marketing strategy and decide on a LISTING PRICE that will help position you’re home for the best likelihood of attaining the highest price. THERE ARE 3 WAYS TO PRICE YOUR HOME!! Once the price is set, your realtor should begin to extensively market your home through as many target and mass media marketing avenues as possible (once again advertising is expensive so follow the dollars spent and you will see the value) . Once your home is seen by the masses, you can anticipate a higher level of interest and will not need to have ineffective open houses. It’s important to make your home look its best for potential buyers. Your agent should be able to show you the secrets of making your home look its best.

STEP 5: RECEIVING AN OFFER; You may be presented with offers, each is unique with different prices, terms, and conditions. Not every offer will be a home run, so it is important that your agent be there for you to Counter Offer and further help you negotiate. This is where a Realtor’s experience is hard at work to help you get the best possible results. There is no substitute for experience.

STEP 6: CLOSING THE SALE; Once you and your home realtor have found the offer that best suits your needs, you can prepare for the closing of the sale. The paperwork will be sent to your lawyer, who will facilitate the closing of the property. Then you will be able to collect your cheque from your lawyer once of course you hand over the keys to the new Buyers. Selling can be stressful, but it doesn’t have to be.