When it comes time to put your home on the market, you’ll undoubtedly have plenty of questions, including how to get the best price for your home. Choosing a selling price for your home is one of the most important factors to consider during the home selling process. It involves everything from understanding the local market to tackling those pesky repairs. Luckily, you can read on to learn the top tips to get the best price for your Highland Park home.
Tips to Get Top-dollar for Your Highland Park Home
1. Familiarize Yourself With the Local Market
Once you’ve decided to put your home on the market, it’s time to start familiarizing yourself with the local market, including current real estate trends. Over the past several years, the real estate market has favored the seller, and this trend isn’t expected to shift anytime soon. This results from historically low mortgage interest rates and buyers’ desire for more space.
There are fewer houses on the market than ever before in the United States, with a decline in housing inventory of 39.6% at the national level, and that’s not the only reason for the current seller’s market. The decrease in available properties has also driven up home values nationwide, making it an ideal time to list your home. This trend encompasses everything from metropolitan cities to rural communities.
Because of the seller’s market, it’s not uncommon for buyers to make multiple offers on a home. In fact, a housing trends report revealed that among buyers who made an official offer on a home, 45% made multiple offers. With that in mind, it’s no surprise that bidding wars are becoming increasingly more frequent. A bidding war refers to a situation in which two or more prospective buyers are competing for a property through incrementally increasing bids. Bidding wars commonly happen when the seller’s market is hot, which is precisely what’s happening now.
2. Sell When the Time Is Right
Ideally, it’s best to sell when it’s a seller’s market. Defined by Investopedia as a “market condition characterized by a shortage of goods available for sale, resulting in greater pricing power for the seller,” a seller’s market occurs when a low housing supply means high demand, resulting in fewer homes for sale, higher home prices, and frequent bidding wars. If possible, try to put your home on the market when the local market begins leaning towards sellers. Doing so will help you get the best possible price for your Highland Park home.
Even if you do not find yourself in a seller’s market, there are other ways to determine whether it’s a good time to sell or not. The real estate market traditionally cools down during winter months and picks up again in spring and summer. According to the National Association of Realtors, prices usually experience the largest gains in summer. This is largely due to the pleasant weather, which creates the perfect atmosphere for buying and selling a home.
More specifically, past research has shown that the first two weeks of May are the peak home-buying season. During this time, properties sell an average of six days faster and for more than the listing price. In summary, it’s best to sell when it’s a seller’s market but, if not, try to sell when the seasons are in your favor.
3. Consider Minor Renovations
One of the most persistent questions about selling your home is whether you should renovate it. After all, you’ll be moving on soon, so is it really worth your time and money to renovate? The answer is that it depends. When it comes to renovations, whether major or minor, it’s helpful to remember that not all renovations are created equal – certain projects have a greater return on investment (ROI) than others.
ROI evaluates the probability of an investment or compares the efficiency to a number of different investments. Simply put, certain projects will help you get more money, while other renovations will drain money. That’s why it’s important to do some research before diving into projects. For example, doing a minor bathroom return has an average ROI of 102%. This might include simple upgrades such as updating outdated fixtures or replacing a showerhead with a rain curtain.
4. Get the House in Tip-top Shape
Although this step is far from glamorous, it’s time to knock out those pesky repairs that you’ve been putting off. After all, you don’t want anything to detract from your home’s value or cause potential buyers to lose interest. Start by conducting a thorough walk-through of your home, including interior and exterior. Make note of anything that needs repaired or signals neglect, ranging from holes in the wall or potential water damage. Fixing these repairs before selling will show interested buyers that you’ve cared for your property. Keep in mind that most buyers are looking for properties that require little to no repairs.
5. Up Your Curb Appeal
You know what they say: first impressions matter. When it comes to listing your home, you only have one chance to make a first impression with potential buyers, so be sure to make it count. It’s a good idea to start with landscaping, which helps make your space look more welcoming while simultaneously increasing the value of your home. The exterior of your home is also the first thing potential buyers will see, so you’ll want to spruce this space up to truly make a lasting impression.
According to the National Association of Realtors, houses with high curb appeal usually sell for an average of 7% more than similar homes without the same landscaping. It’s a good idea to bring in a professional to get your yard looking healthy and vibrant in no time. Other ways to increase curb appeal include adding fresh foliage, replacing gutters and downspouts, and incorporating outdoor lighting.
6. Work With a Local Expert
Selling your home can understandably be an overwhelming process, especially if it’s your first time doing so. To avoid feeling stressed and overwhelmed, it’s a good idea to hire a listing agent to help guide you through the process from start to finish. Real estate agents wear many different hats when it comes time to sell, and they are experts in everything from marketing techniques to negotiating. When it’s time to sell, it’s essential to work with someone who understands the local market and what comparable homes have sold for recently.
7. Understand Marketing
If you work with a listing agent, they will be responsible for marketing your property; however, it’s still a good idea for you to familiarize yourself with some of the best practices in marketing. Keep in mind that 52% of buyers find their homes online, so you’ll want your listing agent to be fluent in both online and offline marketing techniques. This encompasses everything from staging to professional photography to open houses.
Marketing your home doesn’t just help attract more attention, it also helps your home sell for more money. For example, staging is one of the most powerful tools available when it comes to marketing. A study conducted by the National Association of Realtors in 2017 revealed that 31% of agents reported that their homes sold for 1-to-5% more thanks to staging, 13% of agents said their homes sold for 6-to-10% more, and 5% of agents indicated that their sold prices increased by 11-to-20%.
8. Price Your Home Correctly
While it’s understandable to want top dollar in a sale, it’s also important to ensure that you are setting the right price for your home. This is undoubtedly one of the most critical decisions when it comes time to sell. After all, if you go too high, you could potentially turn buyers away. On the other hand, you might leave money on the table if you go too low. Pricing your home competitively will attract the top number of buyers and bring attention to your home.
Understanding how to price a home is one of an agent’s most valuable skills and something that shouldn’t be overlooked. The best realtors know how to accurately price a home instead of simply telling a seller what they want to hear in order to get a listing. To accomplish this, a realtor researches other properties in the neighborhood that are similar in comparison to yours and conducts a comparative market analysis (CMA). The CMA helps establish an estimate of a home’s value based on recently sold, similar properties in the nearby vicinity. The best agents price each home using their training and an understanding of the market and comparable sales.
Buying or Selling in Highland Park?
If you’re looking to explore Highland Park houses for sale, contact Ali Lerner today. Whether you’re buying or selling, Ali and her talented team are equipped to walk you through the process from start to finish. With a deep knowledge of Highland Park, IL, real estate, it’s no surprise that Ali is one of the most sought-after agents in the area.
