Realtor Charleston SC: Information Home Sellers Need
If you own a home in the Charleston SC area, here is some realtor Charleston SC advice and tips for getting your home sold.
It should be no surprise that the Charleston SC real estate market is very hot right now.
In fact, home sales in June hit a 9 year high. Home values also hit a 8 year high in June.
Currently, Charleston is in a sellers market.
The Months Supply of Inventory dropped in June to 4.2 months, which is the lowest since February 2006.
In a normal, neutral real estate market there is a 6 month supply.
Basically, there is a strong buyer demand and not enough inventory to meet it.
This is causing home values to soar, and homes are selling faster than they have in almost 9 years.
This is also leading to homes receiving multiple offers in many cases.
So, all of this is good news to home owners thinking about selling.
Getting a home sold in Charleston SC right now should be pretty easy, right?
Not necessarily so.
Even in a hot market, there are potential mistakes sellers can make that will either cause them to sell for much less than they could have, or worse, not sell at all.
The biggest mistake sellers make regardless of market conditions is overpricing their home.
I recently came across a great article that discusses this in greater detail.
You can (and should) read the article I referenced, “8 Reasons Not To Set A Home Price High” by Laura Agadoni on AOL.
Here’s basically what happens when you overprice. The first 30 days are the most important for a listing.
During this time, sellers have the most leverage.
Price your home right, and it will get a lot of attraction and could receive multiple offers.
You are much more likely to get an offer, and one that is close to list price.
If your listing sits on the market longer than 30 days, then it will become a “stale listing”.
Buyers will perceive that something is wrong with your home.
At this point, you are chasing the market. You may have to start dropping the price, and this is when the sharks smell blood in the water.
Buyers will sense your desperation, and any offer you get will likely be low.
Eventually you might sell, but it will be for much less than you could have. This graph below is a great visual of this:
Sellers mistakenly believe that if they overprice their home that they might “get lucky”.
Or, they may think it gives them some room to negotiate.
Problem is, buyers in today’s market are savvy. They can tell about where a home should be priced at.
If it is overpriced, they will likely not even bother looking at it.
Buyers do not necessarily want to negotiate.
If your home is overpriced, then they may feel you are unreasonable and any negotiation will be a hassle.
Buyers are more than willing to pay fair market value for a home in today’s market and would prefer not to have to do battle to pay it.
Another factor that overpriced sellers overlook is the fact that they are actually helping their neighbors–the competition–to get their homes sold.
Buyers will see that your home is priced higher than the rest of the homes in the neighborhood.
Even if they like your home better, they will still go with the lower priced homes because they perceive them as better values.
Appraisal Is Key
Most buyers will likely need a mortgage to purchase your home.
This will require an appraisal.
If the appraisal comes back lower than the contract, they cannot get the mortgage.
Even if you have a cash buyer, they will not pay more than appraised value for your home.
The appraisal is a key part of the home selling process.
Many deals fall apart because of the appraisal.
Sellers have to be willing to come down to the appraised value, or risk losing the buyer.
There is nothing to gain by losing the buyer. Sure, right now there are plenty of them out there.
But they will also need a mortgage which will require another appraisal.
That one might come back slightly higher, but even so, that is a minimal gain.
You have to also take into consideration of the hassle and time it takes to get the second buyer on the hook.
Some sellers might look at current market conditions and figure they can price their home slightly above the market.
By the time you get an offer and have the appraisal done, the market might catch up to your price.
Your home might even appraise for the higher price.
And if it doesn’t, you will likely still end up with fair market value. Seems like a win-win, doesn’t it?
Absolutely not. This is playing Russian Roulette. You have a lot more to lose than gain.
Keep in mind that buyers are smarter in today’s market, and the fact that you could lose visibility to many buyers.
The risks far outweigh any potential rewards.
The smartest strategy is still to price your home right, from the beginning.
This will lead to more buyer interest and get you more money faster.
Realtor Charleston SC: Smart Ways To Get Sold Faster And For More Money
Homes for sale in Charleston that are in good condition, show well, and are priced right do not last long–literally days.
Your home can be one of these just by being a little proactive.
Besides the typical advice such as curb appeal, declutter, and make your home sparkling clean, here are some things you should consider doing to help get your home sold fast.
These items will cost some money, but think of it as an investment to help you sell for more.
Spend a little, make a lot more.
1) Get An Appraisal
Prior to listing, get an appraisal done.
This eliminates any guesswork and gives you a solid number to base your price on.
Plus, you can advertise the fact that your list price is the appraised value.
Buyers being savvy will notice this and will be attracted.
TIP: it is even better to actually price 5%-10% below appraised value.
This will really create a buyer frenzy, multiple offers and lead your sale price back up to fair market/appraised value.
2) Get A Home Inspection
Besides appraisals, home inspections also are a leading cause of deals getting derailed. Eliminate issues before they are issues.
You can also use this for marketing your home. Buyers will know exactly what they are getting into before they buy.
Buyers don’t want a fixer upper, they want a move in ready home.
Your home will stand above the rest because you have eliminated any mystery and given buyers peace of mind.
Staging doesn’t necessarily mean having a lot of expensive furniture put in your home.
Nor does it have to be expensive.
Some things you could even do yourself.
(You can read more about staging here).
But it is worth doing because it will help your home really stand out, and it will net you 6%-10% more.
Remember, the buyers are out there. Demand is strong. But that doesn’t mean they will overpay for a home.
Despite the demand, there are still plenty of homes on the market that have been listed for 3 months or even longer.
Set yourself apart from the crowd and set yourself up for success.
At the end of the day, you simply want to get your home sold fast and for top dollar.
One final tip, and this one is very important. Even in this market, you still need to choose the right Realtor Charleston SC.
You need something more than “I’m #1” or “Top Agent”.
You need an agent that has a marketing strategy beyond simply putting a sign in the yard, placing your home on the MLS and then waiting for it to sell.
You need an agent that has an internet focused marketing strategy, because after all, that is where the buyers in today’s market are.
You can learn more about my marketing and see why I am the right realtor Charleston SC to get your home sold by visiting my Pam Marshall Realtor website.