I have noticed from open houses recently that the number of buyers out looking has dramatically decreased, as well as a decline in the number of multiple offers on our listings. There is no doubt the market is changing.
The main reasons for the shift are obvious. 1. Rising interest rates. 2. Lower amounts of liquid assets, which translates to down payments and closing costs, due to falling stock markets. This has made many buyers pause or completely stop their property buying process.
But don’t worry too much, even if home prices fall a bit, it is projected that, due to our continued lack of inventory, the declines will not be significant enough to offset the projected increases in interest rates. And in our highly desirable area, home prices will probably not stay low for long. Buyers will catch on to this quickly and will be back in the game before too long.
In the meantime, If you or any of your friends or family are needing to get your home on the market in the next few months, these are the 3 most important things you can do to get the most return on your investment.
1. Price Correctly!
If the past few years have taught us anything, it’s that buyers will pay almost anything to get a home. But that was their decision, not the sellers. The buyers that are still out there looking that also need financing may not be in a position financially to overbid anymore. Pricing your home competitively now means looking at recently sold property’s LIST prices, not the SOLD prices. Work closely with your agent to determine an appropriate list price and adhere to it. Their price range has shifted, and they are looking for well-priced homes. I can show you those numbers, and help you determine the best list price for your home.
2. Make Sure Your Home Really Stands Out Online!
Top-notch, world-class level marketing is more important than ever. You need buyers to fall in love with your home immediately! Professional marketing is key! You or your agent need to hire a professional designer and/or stager. De-personalize and clean, brighten up the lighting, and get a great photographer. My team does all this and more, so if you’re interested in finding out how we “Strockify” homes, give me a call!
3. Be flexible and creative with the contract terms.
There are ways to make a deal a win-win situation for you and the buyers without giving up too much money. In this new market climate, you may need to help the buyer with a credit toward their closing costs or repairs, or help with their last month’s rent before they move in. These small concessions are much better than a big price reduction, and make the buyer feel like they got something of value. A good agent will help you with these creative negotiations to get the deal done! I would love to be that agent!
If you’d like to take a deeper dive into anything I’ve discussed in this article, get your home evaluated for market, or to see if selling now is the best choice for you, I’m here to help! I hope you found this article helpful, and I hope to talk with you soon!
I believe that with Information, Preparation, and Strategy, you can achieve great success. Let me show you how!
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