9 Mistakes to Avoid When Selling Your Home

The process of selling your home is not a simple one, both in terms of the practical logistics involved and the emotional attachment that people frequently have to their homes. According to the Zillow Group Consumer Housing Trends Report 2021, the typical homeowner stays in their home for around 14 years before selling it. This information was obtained from sellers who reported residing in their homes before selling them. Even though the majority of sales do not go off without a hitch one hundred percent of the time, there are some common mistakes that sellers make when selling their homes that can be avoided to help make the process less stressful and less emotional.

Being aware of what to look out for makes all the difference, regardless of whether you are selling something for the first time or have gone through the process in the past. The following are some of the most common errors people make while selling their homes:

• Overpricing

• Failing to appropriately time the event

• Ignoring repairs

• Getting emotional

• Not completing enough preparation work

• Not hiring a photographer

• Not having sufficient landscaping

• Not having enough money saved up

• Not having enough landscaping

• Not correctly timing the event

• Failing to be aware of both your capabilities and limitations

1. Setting an inflated price for your home

Choosing the appropriate selling price for your home is one of the most essential aspects in the process of selling it. This is the price that will enable you to sell the home in an appropriate period of time and for a profit that is satisfactory to you.

The danger of setting a too high asking price for your house

When you put your house up for sale, one of the most common mistakes that people make is giving in to the temptation of setting the listing price too high. This is why:

• It discourages potential buyers who can afford your home; • It can cause your property to remain on the market for a longer period of time. And the longer your house is on the market, the less pressure buyers feel to make a quick offer on it when they do decide to make an offer.

• In the event that you wind up needing to lower your asking price, customers will perceive that they have increased leverage in the negotiation process.

If your listing becomes outdated, you may find that you sell it for a price that is lower than what you could have gotten if you had priced it correctly from the beginning.

Finding the optimal price to list your home at

There are not many distinct options available to sellers to choose from when trying to establish an accurate listing price.

Obtain a CMA from a real estate agent.

A local real estate agent will conduct a comparative market analysis, sometimes known as a CMA for short. This analysis will provide an estimate of the value of your home. They base their assessment on the most recently sold properties of homes that are comparable to the one you own, and they frequently offer to perform this service at no cost in order to win your business.

Gather complimentary items on your own.

You are free to conduct your own market research if you are not working with a real estate professional. Find properties that are comparable to yours and have sold within the past three to six months by utilising the Recently Sold filter on Zillow. The following criteria should be used to make your selections.

• Same neighborhood

• Similar size (within about 300 square feet)

• Same home type (condo, house, or townhouse)

• Similar condition or upgrades (if a comp has hardwoods and your home has vinyl flooring, you’ll want to adjust a bit)

• Similar condition or upgrades (if a comp has hardwoods and your home has vinyl flooring, you’ll want to adjust a bit)

• Same home type (condo, house,

Hire an appraiser

It may be worthwhile to pay the $500 to $700 that a professional appraiser would charge in order to obtain an expert opinion on the value of your house if you are selling in a market that is especially competitive or if you need to sell your home quickly. Your confidence in the price you’ve set for your property can be bolstered by an appraisal report, which can also serve as a useful negotiating tool with prospective purchasers.

Don’t be concerned if you underprice your product.

It is common for sellers to be concerned about underpricing, but it is important to note that overpricing is an even greater worry. In competitive real estate markets, one method that real estate brokers employ is known as underpricing. This is done because a lower asking price has the potential to bring in numerous purchasers and spark a bidding war. Because of the demand, it’s possible that you’ll end up selling for a price that’s higher than the current market worth.

2. Making sales at the incorrect time

When you decide to sell something, the timing of that decision can have a significant impact on the price you are able to obtain. In most parts of the world, the second half of April is considered to be the finest time of year to sell. When compared to prices at other points in the year, the typical home in the United States that was put up for sale during this period sold for $9,300 more. When investigating the ideal times to sell in your location, make sure to take in mind the possibility that the weather will play a role in the selling window for your city.

One more aspect of timing that you’ll need to keep in mind, thanks to which you’ll wish to: has more to do with the length of time you’ve been the owner of the home rather than the particular month of the year. In order to avoid paying capital gains taxes on the profit made from the sale of your primary residence, you will need to have occupied the property as your primary residence for at least two out of the previous five years.

3. Being cheap when making repairs

Even relatively minor flaws can discourage potential purchasers. If they walk through your home and find things like loose doorknobs, leaky faucets, or dings in the walls, they will question whether or not you have been ignoring more significant problems in the home as well.

According to the Consumer Housing Trends Report 2020, the typical homeowner prepares their home for sale by making 2.3 renovations or upgrades, and 79% of homeowners prepare their homes for sale by making at least one improvement. The most common improvements are painting the interior of the home (performed by 35% of sellers), landscaping the yard (performed by 28% of sellers), improving the kitchen (24%), replacing or repairing carpet or flooring (24%), and improving the bathroom (24%). (27 percent).

Option 1: Pre-inspect and make any necessary corrections

There are times when sellers choose to foot the bill for a pre-inspection. You will be able to set a sale price that is more acceptable for the property and head off possible problems before buyers discover them if you hire an inspector to examine it before you put it for sale. People who are looking for homes that are move-in ready and turn-key will be interested in purchasing your property if you are able to complete any necessary repairs before prospective buyers even set foot in it.

It may be more cost-effective to complete a repair before listing a property for sale rather than to wait for a buyer to discover an issue and then attempt to negotiate a closing credit after the fact. For instance, the heating, ventilation, and air conditioning (HVAC) system in your home might only require a couple of new parts, but a buyer might insist that you replace the entire system. You will also have the ability to choose the contractor, as well as the cost and the components that will be utilized.

Costs associated with the most expensive house repairs on average

Even though the majority of house repairs are aesthetic in nature and can be completed at a relatively low cost, sellers are frequently unprepared for the major concerns that need to be resolved prior to advertising their property. The following is a list of some of the common expenditures associated with the most expensive major repairs:

• Plumbing costs $7,000; a new roof costs $6,200; and a new driveway costs $4,000.

• Exterior paint: $3,500

• Windows and doors: between $600 and $900 for each window, with an additional $100 for each window to have the old ones removed

• Cost of a brand-new furnace: $2,300

• Electrical: $2,000

• Carpeting and flooring: two thousand dollars

• Deck: two thousand dollars

Option 2: Provide a credit for the cost of repairs

When there are known issues in the home (either as a result of a previous pre-inspection or as a result of the buyers discovering something during their own inspection), one way to help a deal move forward when there are known issues in the home is to offer a repair credit, which allows the buyers to complete the repairs on their own, after the closing of the deal.

Option 3: Reduce the asking price of the property.

If you’ve found problems in your home before you put it for sale, you have the option of immediately reducing the asking price of the property. Be aware that some purchasers may still attempt to negotiate a lower sale price; thus, ensure that it is crystal apparent in the description of your ad that the price of the item reflects a known concern.

4. Allowing your feelings to get in the way of selling your home.

It is essential to dissociate your emotional attachment to the property from the specifics of the transaction if you are to have any chance of effectively selling your home. When you really love the home you’re selling, it might be challenging to haggle with potential buyers, but it’s crucial to keep a professional demeanour throughout the process.

Making the emotional error of taking the negotiation process personally

Keep a level mind throughout the entirety of the selling process, but especially during any talks that are very significant. It is important to keep your expectations in check and to anticipate that the house inspector will find some problems throughout the examination. There is no such thing as a perfect house, especially not an older one. Don’t let the buyer’s desire for some modest fixes throw the whole transaction into disarray.

You are aware of all the tender loving care that you have invested in your property, but this does not guarantee that a particular buyer will be interested in it, nor does it necessarily guarantee that it will add genuine value to the home. For instance, if you painted the interior of your home yourself but the buyer wants it redone by a professional, you shouldn’t view it as a personal affront to your painting abilities if they want it redone by a professional.

Failure to accommodate showings due to insufficient emotional preparedness

Even though having multiple showings and an open house every once in a while can be annoying, they are both necessary steps in the process of selling a home. After all, there aren’t many people who are willing to buy something without first seeing it! If you have a listing agent, they should be in charge of scheduling showings or providing a lockbox for buyer’s agents to use when conducting tours of the property (at times that you have agreed to, of course).

When potential buyers are seeing your house, it is imperative that you remove yourself, your children, and any pets from the premises. Having the seller there throughout the transaction can make the buyers feel awkward. You want potential buyers to be able to see themselves living in the property, but it’s difficult for them to accomplish so if you’re standing behind them the whole time.

5. A failure to properly prepare and set the stage

Spending time and money to make sure that your house looks as good as possible before you list it for sale is time and money well spent, especially when you consider that potential buyers may base their offer solely on what they see on a screen. According to the results of a survey conducted by Zillow and distributed the previous year, nearly sixty percent of millennials stated that they would feel at least somewhat confident making an offer on a home after doing just a 3D-virtual tour of the property.

Make use of the following advice for cleaning, preparing, and staging your home before selling it, as well as these pointers for improving the visual appeal of your property.

Complete the cleaning.

• Vacuum, sweep and mop.

• Polish the appliances and surfaces, and then wipe them down.

• Keep the restrooms clean.

• Eliminate smells.

• Fold the laundry, and put it away.

• Maintain a tidy and orderly closet (buyers love storage space).

• Before each showing, you should continue with this technique.

Depersonalize, Decluttr and stage

As was just discussed, it is essential that prospective buyers be able to imagine themselves living in the property in question. And when your things are scattered all over the place, that might be a difficult request to fulfil. Here are some DE cluttering and staging tips:

• Either rent a space in a storage facility or store your things at the home of a friend.

• Remove items one by one as you walk from room to room. When there are less things in a room, that area gives the impression of being larger and has more open space.

• Donate! Getting ready to sell your home is the ideal moment to get rid of items you no longer require, which will help you save money on moving and storage expenses.

• Keep in mind that potential customers might not share your sense of style. Reduce the amount of decorative items you have and rearrange the furniture in a way that is unobtrusive and practical. If the home’s furnishings have a very specific aesthetic, you might want to consider working with a professional stager who can help broaden the pool of potential purchasers for the property.

• Stage areas designed to appeal to a wide audience. For instance, rather than turning your guest room into a home gym, it would be more effective to stage it as a guest room.

• Think about painting the interior. A new coat of paint makes every room look better than it did before. This is of much more significance if you have rooms that include bold or unusual wall colours, as these won’t appeal to the majority of potential purchasers.

6. Failing to work with a skilled and experienced photographer

Even if you aren’t working with a real estate agent, you should still get professional photos taken of your home to sell it. Many real estate brokers will pay the cost of listing shots taken by a professional photographer. After all, nearly all buyers (95%) start their search for a new home online, and the listing images serve as the first impression potential buyers get of your property.

The majority of professional photographers only charge a couple hundred dollars for their services, and the resulting photographs will be clear and uncluttered, with enough of natural light, and will highlight the finest qualities of your home.

7. Skipping curb appeal

The exterior of your property is the first thing that a prospective purchaser sees when they come to look at it for a possible purchase. You shouldn’t let the preparation of the inside of your home consume so much of your time that you forget about the outside. According to the Zillow Group’s Consumer Housing Trends Report 2020, approximately 28 percent of sellers make some kind of landscaping improvement before placing their home for sale. The following are examples of typical tasks associated with landscaping: mowing the grass; painting the exterior (if necessary); clearing pathways.

• Maintenance that is specific to the season, such as raking leaves and trimming bushes and branches • Floral plantings

8. Overlooking the cost of the closing

Forgetting to include your closing costs in the total amount of profit you expect to make from the sale of your home is one of the most significant errors you can make when selling your home. There is a possibility that the seller’s closing costs could amount to as much as 8 to 10 percent of the sale price. Your total costs for closing consist of a few different components, including the following:

• Commissions: It is common practice for sellers to pay a total of 6 percent of the sale price in commissions. Of this amount, 3 percent goes to the agent representing the seller, and the remaining 3 percent goes to the agent representing the buyer.

• Transfer tax: Also referred to as a title fee, this is the tax that is imposed by the state in which you reside. Both the state in which the property is located and the price at which it is sold can have a significant impact on the rate.

• Title insurance: It is common practise for sellers to pay for a title insurance policy on behalf of the buyer. This policy protects the buyer against any liens or disputes over the ownership of your home and is paid for by the seller. The price may range anywhere from $1,000 to $4,000 total.

• Fees for using an Escrow Service: During the entirety of the transaction, the money are held by an escrow service, which then distributes them to the proper parties at the end of the process. These costs are often divided between the buyer and the seller and can range anywhere from $500 to $2,000 total.

• A prorated fee for property taxes because you will be responsible for the property taxes on your home up to the closing date, which typically results in a prorated charge being assessed at closing.

• HOA fees: In a similar vein, you’ll be responsible for making a prorated payment toward your HOA dues.

• You will be responsible for the payment of any promotional expenditures, such as those associated with internet advertisements, fliers, and signs, if you decide to sell your house on your own.

• Legal fees: If you retain legal representation, you will be responsible for paying the attorney’s fee. You are required to utilise the services of an attorney for any transaction involving real estate in 21 of the states and the District of Columbia in the United States. These states are Alabama, Connecticut, Delaware, Florida, Georgia, Kansas, Kentucky, Maine, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New York, North Dakota, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, and West Virginia. Other states in this group are Maine, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New York, North Dakota, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, and

9. Failing to hire an agent (if you are not willing to put in the necessary effort).

If you do not have the time, commitment, or knowledge necessary to advertise your home as “for sale by owner” (FSBO), you could be better suited working with a real estate agent. According to the findings of the Zillow Group Consumer Housing Trends Report 2022, just approximately 8% of sellers choose to pursue the route of a “for-sale-by-owner” (FSBO). Another 17% of people conducted the most of the work on their own, but in the end they worked with an agent to close the deal. The following are some of the most important advantages of working with an agent:

• Your agent will reduce the amount of stress you feel by minimizing the amount of paperwork that has to be completed.

• Your agent will help you focus on the facts rather than your feelings.

• An agent has expertise in the market in your area and knows what buyers are searching for.

• An agent will price your home for you based on a comparative market analysis.

Be sure you pick the correct agent to represent you. You want to make sure that the person you go with has expertise selling homes in your area and is well-versed in the current state of the local housing market. You can locate a terrific agent by reading reviews, asking friends and family for references, interviewing many agents, and establishing clear goals for the relationship. Also, negotiate! Slightly more than half of sellers do not attempt to negotiate the terms offered by their agent, but among those who do, there is a success rate of approximately 55 percent in some capacity.