Not sure how to sell your house? You’re not alone.
In a perfect world, selling your home would be as easy as a smile and a handshake. Until then, it takes careful planning, an understanding of the process and a lot of patience with paperwork. Here are six fundamental legal, business and financial steps involved to help your home-selling process go a little more smoothly.
1. Know your responsibilities and costs.
The costs generally associated with the sale of the home include:
As you get ready to sell, one of the first decisions you’ll want to make is whether you want to hire a real estate agent to help you sell, or if you want to go the sell by owner route. Keep in mind that if you decide to sell your house yourself, you’ll be responsible for showings, dealing directly with potential buyers, completing all the needed paperwork and more.
2. Set a price.
Pricing your home sale right is part science, part marketing and part instinct. Ideally, you want to get the maximum price and the best terms during the window of time when your home is on the market. Several factors come into play, including market conditions and interest rate, but as a general rule, sale prices are based on:
In addition, as the seller you could have an appraisal of the home performed to establish the fair market value of the property.
3. Show your home.
There are several simple and relatively inexpensive steps you can take so your home looks as inviting as possible to prospective buyers:
- Spring for a quick spruce up. Make sure a small cosmetic or mechanical glitch doesn’t become a large issue. It could be as easy as replacing a toilet paper holder or fixing a squeaky front door.
- Clean up clutter. Having the “lived-in” look is more of a distraction than a selling point for your home. Clearing off tables and cleaning out closets, for example, help show how much space your home offers.
- Protect your private info. Chances are you’ll have several potential buyers parading through your home. Lock away valuable items and keep personal information (like mail or private documents or photos) out of sight.
4. Negotiating offers.
As the seller, you can either accept or deny an offer, or make a counter-offer indicating what needs to change to be acceptable. The buyer can then accept or refuse your counter-offer, or make another counter-offer to the new terms. Some important tips to keep in mind:
5. Prepare for closing.
A lot of procedures need to take place before you can complete or “close” the sale of your home. These steps usually include:
6. Attend the closing.
Closing is the final step in the process. During the closing, the deed is delivered to the buyer, the title is transferred, financing documents and title insurance policies are exchanged, and the agreed-on costs are paid. Some of the final documents, including the deed and mortgage or deed of trust are signed by the appropriate parties, and then delivered to the county recorder to be recorded. Keep in mind what you may be required to pay at closing:
Need added assistance? Hire a real estate attorney.
Consider hiring a real estate attorney (which is different than a real estate agent) if you need help throughout the process, or if your state requires it during the closing. He or she will:
Have patience and ask questions.
Remember, your home is a valuable asset. And you deserve to get the most out of your investment. But learning how to sell your own home can take some time.
Be patient, and follow up with your realtor if you’ve enlisted one. Ask questions if you don’t understand something, and stay the course so you can have the satisfaction of planting that “sold” sign in your yard.
