Tuesday, August 30, 2016

5 More home selling science and psychology secrets that will make you big money! (Part 3)

When it comes to selling your home, everyone wants to walk away with the highest profit possible. Fortunately, there is a whole hidden science to selling a home, based on mountains of data, copious independent research, and the psychology of perceptions and human behavior. When you list your home for sale with The Alfano Group, you not only have hard work and great service at your disposal, but strategies and tactics developed over decades of successfully representing home sellers. 

We'll share more and more of these home selling tips so stay tuned, and of course contact us if you want to find out how to make the most money when you sell your home!

1. Your greatest marketers could be your neighbors!
Your neighbors are one of your best assets to help market and sell your home, yet rarely utilized. But it makes perfect sense to spread the word about your home hitting the market to those live around you, as they have a vested interest in choosing a great new neighbor. In fact, if you go knock on their door (or have us do it) and let them know the details of the sale and even provide them flyers or brochures, they’ll do a great job telling their friends and coworkers, providing a boost of serious and motivated buyers.

They’ll actually thank you for briefing them before the listing even officially hits the market, and will hustle to generate interest. In the same vein, you can also spread the word about your for sale home to neighborhood associations, local schools, and other community organizations.

2. Personalize your listing with a quick introduction video.
When buyers are in a competitive offer situation, Realtors often advise them to write a personal letter about how much they love the house and a little bit about themselves. In some cases, it can absolutely sway the sellers into accepting their offer, as the personal touch balances out all of the contracts and numbers inherent in a real estate transaction.

The same tactic can work for sellers if they put together a very short (maybe one minute or less) video about their family and their home. Talking candidly about how much they loved the house, the great memories they had there, how they loved the neighborhood and schools, their favorite local parks and restaurants, and giving a valid reason why they’re selling and moving can all be part of a seller’s video.

It’s not the information in the video per se that will make a difference to buyers, but psychology shows that it will humanize the listing, allowing it to stand out from the pack and establishing positive feelings of trust and familiarity. Ask us more about what would be appropriate for a great seller video and how we can use it on YouTube, Instagram, Facebook, etc. to help market your home.

3. Focus on low-cost home improvements in kitchens and bathrooms.
To fix up or not fix up, that is the question for many homeowners before they list their home. Research shows that it doesn’t pay to undertake huge and expensive home improvements before listing your home, unless they are essential or safety concerns, like leaking roofs or faulty electrical systems. But additions, adding a pool, remodeling every room, and other significant upgrades will probably only yield you 20-40 cents on the dollar once the home sells.

Instead, data shows that the wisest investment is to put resources into smaller, cosmetic improvements into your kitchen and bathrooms. Repainting the walls, replacing dated appliances with stainless steel, modernizing light fixtures and possible retiling floors in the kitchen all keep the budget under control but will be a huge selling point when buyers walk through. In fact, that will yield an ROI of 85% or higher, and buyers pay most attention to the kitchen and master bathroom when making a first impression of a home.

4. Impress buyers (and their agents) by having your inspections all done.
There is a lot of uncertainty in any real estate transaction, with inspections, appraisals, disclosures, and contingency periods all reason for a buyer to get cold feet – or choose to renegotiate. But one great way to relieve that uncertainty from the get-go is for sellers to get all of their inspections done before they even list the home. Potential buyers (and their agents, especially!) will love reading in your listing description that the house has a clear pest report, a roof certification, a completed home inspection with the appropriate fixes already done, and maybe even a current appraisal.

Not only will it eliminate any surprises during the transaction so it’s psychologically comfortable and safe, it signals that you are serious and ready to close. By having all of your inspections completed ahead of time, you’ll attract a better, more motivated breed of buyer that won’t waste your time or nickel and dime you on every fee and issue that comes up. This strategy works especially well for higher end and luxury listings, but for all sellers it ultimately saves a lot of time since the deal can now close as soon as their loan clears, saving days or weeks, and we all know that time is money when you’re selling your home!

5. Have your home professionally staged.
For any high end or luxury home, enlisting the services of a professional stager is a must. But is it really worth it? If you’re worried about the cost or inconvenience, consider these statistics from Realtor Magazine and The International Association of Home Staging Professionals:

95% of professionally staged homes sell faster than non-staged homes.
Homes that are staged stay on market only half as long as homes that aren’t.
Staged homes sell for an average 11% higher purchase price than non-staged homes.
Only 4% of homes in high price brackets are staged (which means two things: some real estate agents aren’t doing their jobs correctly, and your luxury home will stand out like a diamond in a pile of coal when you do stage it.)
The median dollar value for home staging services is only $675 (but higher based on more work and the nicer the home/higher the listing price),
But the great news is that surveys show that staging generates a Return On Investment of 8-10% when the home sells

With those benefits and financial returns, can you afford NOT to stage your home?

If you'd like to check out more home selling secrets from The Alfano Group, try these past blogs: 

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