What sellers should be aware of in today’s declining market.
What should a seller expect in this declining market? If you’re thinking about selling your home, there are a few things you should know about today’s market. There are tools and tricks we can use to help you sell, so you should make yourself aware of your options.
The most important thing to know in this climate is that it’s crucial to price your home correctly from the start. Normally we would look at comparables from three months ago, but in today’s market, we just have to look at what’s pending right now since things have changed too much in the last few months.
We were in this business in 2008 when the market crashed, and we learned then that it is imperative to price ahead of the market. Pricing a home for a little less than your neighbor’s might be hard at first, but it could be the difference between selling your home and having to make price reductions while stuck on the market.
Another thing that sellers should know about is that rate buydowns are becoming more and more common, and they save the seller’s equity. A buydown is when the seller offers to buy down the buyer’s interest rate, whether that be temporarily or permanently. This often ends up saving the buyer and the seller more than a price reduction would. Plus, if the interest rate does go down soon and the buyer refinances, the buydown gets credited toward the principal. With a buydown, the buyer can ease their way into a higher payment, which is especially nice for first-time homebuyers.
Along with offering a buydown, another thing that can set sellers apart in today’s market is getting the home inspection done early. This helps the seller be better prepared and helps the buyer feel more comfortable, so it’s a win-win! Plus, this oftentimes shortens the contingency period, so the seller will know quickly if they truly have a deal or not.
If you have any questions about this stuff or want to know more from a buyer’s perspective, call or text us at (916) 907-8060. We’re here to help you!
