Whether it's your first time buying or selling a house or it's your fifth, you'll likely have lots of questions about the process. We understand that, which is why we're answering some of the most frequently asked questions about the home-buying and home-selling process. Read on to get the answers you seek!
Buying a Home
Should I work with an agent?
Yes! When searching for a home, it's important to know what you want. The right agent will help you determine must-haves and deal-breakers, as well as educate you on the communities you're interested in. Your agent will also help you navigate the complexities of the home-buying process. They're the expert, after all!
Should I go to the bank before starting my house search?
Getting pre-approved before starting your house search can be very helpful. By measuring factors like income, credit, and assets, a lender can determine what type of loan best suits your needs and how much home you can afford. Not only will you know your spending budget, it can also give you an upper hand as a buyer because it shows sellers you're serious about making a purchase.
How many houses should I tour?
As many as it takes until you find the perfect home for you. Everyone's needs, wants, and deal-breakers will be different, and you want to avoid settling for a house you'll dislike after a few months. Even if it takes time, it's worth the extra effort.
Do I need money for a big down payment?
Not necessarily. Today, more loan options and homebuying programs exist, giving buyers a larger variety of approaches to buying a house. While some people may still want to complete a large down payment, it is absolutely not vital to purchase a home. In fact, the average first-time buyer only puts 6% down, and many loans and programs available to first-time buyers require even less than that.
How long will closing last?
After negotiations have settled and your offer is accepted, the loan process and title work begin. Inspections and other walkthroughs will be completed as well. Most closings last 30 to 45 days.
Selling a Home
Should I sell on my own or with an agent?
You've probably heard from one person or another that going the For Sale By Owner (FSBO) route is optimal as it will save you money that you would otherwise spend on commission fees. However, the benefits of listing, marketing, and exposing your home to potential buyers an agent provides are often worth the commission fee.
What's more, you may end up spending less money by selling with an agent. A typical home sale process that requires lots of time and effort likely won't net you much savings at all if you go it alone.
When should I put my home on the market?
This is the first of many steps where an agent's expertise will help you make a decision. When there are fewer available homes to purchase to meet buyers' demands, you get a seller's market. Each home for sale becomes a hot commodity in this sort of market.
There's no truly bad time to sell, necessarily. Even in a buyer's market, your home will still draw attention so long as it's promoted properly.
Should I make any changes to my home before selling?
Definitely! Do a deep clean, make necessary repairs and replacements, organize cabinets and closets, declutter and depersonalize, and spruce up your home's curb appeal. Be careful about spending too much money on major repairs and renovations, however; you may not make back what you spent in the sale.
How should I price my home?
Determining your home's value can be tricky; setting an accurate sale price can be even tougher. Your agent will help you assess your home's value by analyzing other similar homes in the area that have sold. A home inspection will also help to paint the picture of your home's value.
Setting a sale price is a delicate art. Price it too high and you risk pushing buyers away. Price it too low and you might raise suspicions in buyers' minds. Again, your agent will help you find the sweet spot and price your home favorably.
Still have questions about the home-buying or selling process? Contact one of our expert agents to have your questions answered.
Whether you've sold a home or not, you're likely familiar with some common home-selling tips or pieces of advice that you've been told or read in some article. You may even believe some of them! Even if delivered with the best intentions, the fact is a lot of the most common home-selling tropes are myths, and we're here to play the role of real estate myth busters. Here are eight home-selling myths you shouldn't believe.
The Truth: Your home may very well sell in the first week! We're currently in a seller's market, which means there's more demand than there are homes for sale. So if you were to list today, there actually is a good chance your home would sell very quickly.
However, that's only true when the market favors sellers. In other times, selling in the first week just isn't likely. Having lived in your own home for years, you've naturally developed a strong emotional connection to it. Unfortunately, not everyone else has the same connection, and it might take time to find someone who vibes with your house the same way you do.
The Truth: So you've poured thousands of dollars into a remade kitchen or a high-class bathroom in hopes that it will increase your home's value. On a very technical level, they may have. But it doesn't necessarily mean your house will sell at a higher price. The unfortunate truth is that depending on what you spent, you may not even make it back in the sale. Everyone's taste is different, so sweeping upgrades may not gel with potential buyers. Instead, talk to your agent about which upgrades might pay off. You can also take notice of other homes in the area and see what they're doing.
The Truth: Unless you find a buyer who is head-over-heels smitten with your home, the only thing a high asking price will get you is a price change after a few weeks. Instead of creating room for negotiation, you're pushing away serious buyers who will balk at the exorbitant asking price. Instead, trust your agent to set an appropriate listing price based on the market, your home's value, and other factors.
The Truth: Remember when we said it's unlikely your home will sell in the first week? Sometimes, it does happen – you might get a bite just days after hitting the market. Don't overthink it: you didn't underprice your house. If anything, you likely priced it perfectly, which is why you're attracting serious buyers so quickly.
The Truth: A common thought when receiving an initial offer – especially if you deem it less than attractive – is to hold out for a better offer from someone else. Of course, if the first offer fits what you're looking for, then by all means accept it – you know what's best for you. Talk with your agent about evaluating the offer – is there room to negotiate to bring it closer to what you want?
But turning down an offer just because it's the first can have unforeseen consequences. For example, the longer your home stays on the market, the more questions buyers will begin to have. What's so wrong with those house that it hasn't sold yet? What am I not seeing? Suddenly that first offer you turned down doesn't look so bad.
The Truth: As we mentioned earlier, you likely have a strong emotional attachment to your home. It's full of personal memories that you'd never dream of hiding. But you really should when it comes time to prepare your home to sell. You want potential buyers to be able to envision themselves in the home. Let them imagine making their own emotional connection without the roadblock of your family photos lining the shelves.
The Truth: Lovely though it may be, your house is highly unlikely to sell on its own merits alone. A well-thought strategy goes into every home sale, including marketing, staging, studying the market, and so much more. Simply sticking a For Sale sign in your front yard isn't going to get the job done. That's why hiring a trusted real estate agent to assist you is paramount in selling.
The Truth: Go with the agent who properly researches the local market and values your property fairly according to said market. That's who will give your home the best chance to sell.