In recent years the Colorado housing market has been booming. With homes selling recordly fast – within days or hours of listing – it has been a seller’s market.
However, the market is shifting slightly, as the supply of homes is slowly catching up with demand. This means that sellers are going to have to put in a little more effort to sell their home for top market value.
Here is everything you need to know to get the most out of your home.
The Price is Right
Pricing your home should be simple enough, however in a high-demand market it is easy to overestimate the value of a home. Starting out with a reasonable listing price will encourage buyers and make you a competitive market player.
Too often, homeowners think that they can set the price of their home without getting an appraisal, and then lower it as needed. However, this isn’t always the best tactic.
Putting a home way above market value will decrease the chances of serious buyers looking at it, and will put other homes that are priced competitively ahead of yours. Meaning that other homes will be bought before yours, and your home may be overlooked for quite a while.
It’s Not a Fixer-Upper
Homes that need work and are still priced fairly high are much less likely to be considered by buyers in a market that isn’t as competitive as it once was. With more options and room for indecision, buyers are able to weigh their options and decide whether they want to take on a project or not.
By fixing up your home before listing it, buyers will be more incentivized to buy a home that is newly renovated – because it is “move in ready” – although there may still be some changes that they will want to make.
Many people are moving to Colorado from out-of-state, so they don’t want a home that they will have to wait to move into.
Renovating areas of your home will also increase the value of your home, and allow you to start out at a higher offering-price.
With more homes available on the market, buyers can be more picky with what they are asking for.
Basically – when the housing market is hot and homes are going quickly, buyers don’t have room to bargain – so they will make an offer on a home that has problems just so that they don’t lose it to someone else.
However, when a home has been on the market for a while and the buyer’s inspector finds problems, they are more likely to make a counter offer that is lower.
Sometimes buyers even request that the homeowner fixes the problems – and the sale is contingent on whether their demands are met or not.
In order to avoid this, getting your own pre-inspection of your home before listing it will allow you to see the potential problems and fix them. Getting a pre-inspection will:
Eliminate potential surprises (damage-wise).
Create more trust with the buyer & agent.
Help you determine an appropriate price should you choose not to fix the problems the inspector finds.
Increase the value of your home.
List at a higher selling value.
In a still widely competitive market, it is important to do everything you can to make your home memorable and eye-catching.
For pictures of your home on the listing websites and flyers, a great way to automatically make your home more attractive is to clean it up and make it look fresh. Eye-catching pictures make a difference and can make a good first impression on the buyer before they even see your home in person.
On the Outside:
Increasing curb-appeal is a great way to do just that.
New paint, clean windows, manicured lawn and trimmed trees will make your home that much more desirable.
Power-washing the driveway, re-staining the deck/fence and removing clutter will also make your home look nicer.
On the Inside:
You can add fresh paint, steam clean the carpet, polish wood floors and update light fixtures.
While it may not seem like much, your home will have a fresh and new feel to it, something that can make a difference in buyer decisions.
Real estate experts still consider Colorado to be largely a seller’s market, however it is important to take into consideration that buyers do have some power still.
Making these small efforts can make a big difference in your home-selling process.