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How To Prepare Your Home For Selling Like A Pro


The real estate market is heating up in Vernon and the rest of the Okanagan! Prices are increasing from demand far exceeding supply. This type of unbalanced market creates many difficulties for Buyers as they struggle to find housing.


But what does this mean for a Seller?

Unfortunately, far too many Sellers take these market conditions for granted. Using various rationales, they may feel that they simply don’t need to care much about their home preparation since properties seem to “sell themselves.” Now, it’s not my job to place judgement about how people deal with their affairs.


Instead, I’d rather empower you in saying this: Excess Buyer demand presents unique opportunities to make your home stand out among the rest, and without consideration to such factors, you may be leaving money on the table. After all, it's not about the cost of Realtor® fees or the home preparation process; It’s all about the bottom line figure after a sale completes.


This blog will break down in more detail why Sellers should see these high demand/low supply market conditions as an opportunity. Then, I’ll break down two time-tested strategies to give Sellers an advantage over their competition:


  • Thoughtful home preparation, which requires little to no upfront investment

  • Home staging, which does require an upfront investment 


Let’s go!


First Things First - Why Does This Even Matter?

I get it; investing in extra listing preparation seems unnecessary when there are so many more Buyers than Sellers in a given market, like the one in Vernon as of this writing. Yes, it is much easier to sell your property than in a more balanced market. 


However, there’s another side of the argument to consider. The first thing to know is that Buyers don’t usually pay top dollar for homes they perceive to be unkept or needing unnecessary work. They don’t want to inherit work they feel a Seller should have done beforehand. Many will also nit-pick issues and overestimate the time and money it will take to remedy them.


Another consideration involves the bottom line. It still costs money and time to prepare your home correctly no matter the market, whether it involves a Realtor® or not. But would you rather conserve all you can upfront only to receive less money in the end? Or, if you’re able, spend more upfront to recover those investments and more? Consider the following examples of two Sellers with near-identical homes, both of which pay $15,000 in Realtor® fees, and ask yourself: In which Buyer’s shoes would you rather be?




Seller A: 

  • No interest in investing in home prep or minor updates and feels like the home will sell itself. 

  • Lists their home for $450,000. 

  • After 62 days, a price reduction, and a back-and-forth offer process, they sell for $436,000.

  • Bottom line after expenses and real estate fees: $421,000.


Seller B: 

  • Sees value in investing in home prep and bites the bullet. They spend $2,500 in paint and other soft upgrades and $1,000 in home staging.  

  • Lists their home for the same price of $450,000. 

  • Two Buyers impressed with updates and home presentation, home ends up in multiple offers, and they sell for $453,000.

  • Bottom line after expenses and real estate fees: $438,000.


See my point? It’s important to realize that not everyone can afford even minor updates and home staging upfront, but this example doesn’t apply to their position. It does apply to the large segment of the population that makes these types of decisions every day. The above examples happen all the time, andit pains me to see money left on the table!


If you have the financial means, always keep your eyes on the prize and focus on the bottom line first and foremost. Now, let’s turn to two strategies that can give your home the competitive advantage it deserves!


Basic Home Preparation

As mentioned above, basic home preparation takes little to no investment and only a moderate time commitment, in most cases. The goal of this process is to make the home look great for the photography session. From my experience, most Buyer first impressions actually occur before they see the house when they view all the photos.


Having high-quality photography that showcases your home well generally leads to more showings, leading to my next point; be sure to prepare your home correctly for these showings! The goal is to make Buyers feel comfortable enough to picture themselves in that very house. Here are some practical tips for basic home preparation for both photography and showings:

  • Avoid having too many family photos, which can make it hard for potential Buyers to see themselves owning that house. 

  • Declutter as much as you can, walking through the home with an objective point of view. Think to yourself: What would I notice walking through someone else’s home?

  • Clean those areas that get the least attention in day-to-day life, such as baseboards and underneath cabinets. You’d be surprised how particular some buyers can be with cleanliness.

  • If you have pets, clean up as much pet hair as possible and make a conscious effort to remove accompanying odours. You may love your cat, but many Buyers will find it a turn-off!

 

Home Staging


If you want to take it a step further, consider staging your home!


Home staging is particularly important if the property you’re selling is a vacant home. While a vacant house is preferable to a cluttered or unsanitary home, sometimes Buyers can have difficulty seeing themselves feeling comfortable walking through them. They might have difficulty picturing their furniture, seeing how much room they have to entertain, or how big the kid’s playroom will be after a murphy-bed is added. 


Home staging does require an upfront investment and generally includes the help of a professional with an eye for detail and interior design. These professionals have a knack for matching items to a home’s target demographic and creating more vibrant spaces. Sometimes these changes are as simple as changing out a small piece of furniture and including some accent items, like flowers on a dining room table or a throw pillow set in the master bedroom. 





Small changes in a home’s visual appeal can result in significant shifts in Buyer attention! Consider home staging to make your home pop!


Conclusion


No matter what you choose, the key is to make potential Buyers feel welcome. In this way, you affect the outcome! Pay attention to who might want to buy your home, keep your focus on the bottom line as much as financially possible, and make decisions accordingly!



Of course, the help of a Realtor® makes the listing process much smoother. As a long-time Vernon property expert, I’m always willing to talk about the home listing process, even if you don’t plan to list your property in the near future! My dedication is to my clients, regardless of their timeline. 









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Declaration period to Begin for BC Speculation & Vacancy Tax ...


Here is important, time sensitive information on the completion of a declaration and registration of an exemption regarding the speculation and vacancy taxation.... click on the link below for detailed information....


Speculation & Vacancy Tax declaration - click here




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BC Home Sales Continue at Slower Pace

Vancouver, BC – December 14, 2018. The British Columbia Real Estate Association (BCREA) reports that a total of 5,179 residential unit sales were recorded by the Multiple Listing Service® (MLS®) across the province in November, down 33.1 per cent from the same month last year. The average MLS® residential price in BC was $718,903, a decline of 1.9 per cent from November 2017. Total sales dollar volume was $3.7 billion, a 34.3 per cent decline from November 2017.


“BC households continue to struggle with the sharp decline in purchasing power caused by the B20 mortgage stress test,” said Cameron Muir, BCREA Chief Economist. “Most BC regions are now exhibiting relative balance between supply and demand.”

Total active residential listings were up nearly 31 per cent to 33,500 units in November, compared to the same month last year. However, it should be noted that this compares to 2017, when active listings for the month of November were at their lowest level in more than 15 years.

Year-to-date, BC residential sales dollar volume was down 23.1 per cent to $53.4 billion, compared with the same period in 2017. Residential unit sales declined 23.6 per cent to 74,847 units, while the average MLS® residential price was up 0.7 per cent to $713,302.

-30-

For more information, please contact: 

Cameron Muir  
Chief Economist  
Direct: 604.742.2780  
Mobile: 778.229.1884  
Email: cmuir@bcrea.bc.ca  

The British Columbia Real Estate Association (BCREA) is the professional association for about 23,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province's 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.

To demonstrate the profession's commitment to improving Quality of Life in BC communities, BCREA supports policies that help ensure economic vitality, provide housing opportunities, preserve the environment, protect property owners and build better communities with good schools and safe neighbourhoods.

For detailed statistical information, contact your local real estate board. MLS® is a cooperative marketing system used only by Canada's real estate boards to ensure maximum exposure of properties listed for sale.


__________________________________________________________

Zoning By-Law changes for cannabis

approved by Council



(December 11, 2018  ... News)

Vernon City Council has approved the changes to the Zoning Bylaw to permit cannabis sales, processing and cultivation in many of its commercial and industrial zones....


Click Here - for full story........


_____________________________________________________________________



RLP Downtown Realty

Disclosure of Representation in Trading Services Form

A complimentary introduction to the Real Estate Council of British Columbia's new requisite form meant to inform consumers about the types of representation they may receive from a REALTOR in a real estate transaction.


Helping You is What We Do!


Click Here -  Disclosure of Representation in Trading Services


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BC Home Sales to Rise in 2019 
BCREA 2018 Fourth Quarter Housing Forecast

Vancouver, BC – November 8, 2018. The British Columbia Real Estate Association (BCREA) released its 2018 Fourth Quarter Housing Forecast today.

Multiple Listing Service® (MLS®) residential sales in the province are forecast to decline 23 per cent to 80,000 units this year, after recording 103,768 residential sales in 2017. MLS® residential sales are forecast to increase 12 per cent to 89,500 units in 2019. The 10-year average for MLS® residential sales in the province is 84,800 units.


To read the entire article -  click here..


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New Legislation makes it clear:  Farmland is for Farming.......




Legislation introduced on Monday, Nov. 5, 2018, makes it clear that land in the Agricultural Land Reserve (ALR) is for farming and ranching in British Columbia, not for dumping construction waste or building mega-mansions.

To read the entire article, see below....


Click Here to read entire Article


_____________________________________________________________


Province targets speculators and vacant homes, supports housing affordability


The British Columbia government has introduced legislation to tackle speculation in B.C.'s housing market and help turn empty properties into homes for people...


https://news.gov.bc.ca/releases/2018FIN0075-002014

BCREA’s Position on Drug Operations

When a property has been involved in drug production, it can pose serious health and safety risks to the public resulting from mould, chemicals thrown out in the backyard, electrical fires and invasion by criminals looking for drugs, even if the property is no longer being used for drug production. It’s important for members of the public to be informed if a property they are interested in moving into was ever identified as having a history of drug production. Unfortunately, there is no consistency across the province on how municipalities make this information available, nor is there a provincial standard of remediation for buildings used to produce drugs.


To read full article - Click Here

How To Prepare Your Home For Selling Like A Pro


The real estate market is heating up in Vernon and the rest of the Okanagan! Prices are increasing from demand far exceeding supply. This type of unbalanced market creates many difficulties for Buyers as they struggle to find housing.


But what does this mean for a Seller?

Unfortunately, far too many Sellers take these market conditions for granted. Using various rationales, they may feel that they simply don’t need to care much about their home preparation since properties seem to “sell themselves.” Now, it’s not my job to place judgement about how people deal with their affairs.


Instead, I’d rather empower you in saying this: Excess Buyer demand presents unique opportunities to make your home stand out among the rest, and without consideration to such factors, you may be leaving money on the table. After all, it's not about the cost of Realtor® fees or the home preparation process; It’s all about the bottom line figure after a sale completes.


This blog will break down in more detail why Sellers should see these high demand/low supply market conditions as an opportunity. Then, I’ll break down two time-tested strategies to give Sellers an advantage over their competition:


  • Thoughtful home preparation, which requires little to no upfront investment

  • Home staging, which does require an upfront investment 


Let’s go!


First Things First - Why Does This Even Matter?

I get it; investing in extra listing preparation seems unnecessary when there are so many more Buyers than Sellers in a given market, like the one in Vernon as of this writing. Yes, it is much easier to sell your property than in a more balanced market. 


However, there’s another side of the argument to consider. The first thing to know is that Buyers don’t usually pay top dollar for homes they perceive to be unkept or needing unnecessary work. They don’t want to inherit work they feel a Seller should have done beforehand. Many will also nit-pick issues and overestimate the time and money it will take to remedy them.


Another consideration involves the bottom line. It still costs money and time to prepare your home correctly no matter the market, whether it involves a Realtor® or not. But would you rather conserve all you can upfront only to receive less money in the end? Or, if you’re able, spend more upfront to recover those investments and more? Consider the following examples of two Sellers with near-identical homes, both of which pay $15,000 in Realtor® fees, and ask yourself: In which Buyer’s shoes would you rather be?




Seller A: 

  • No interest in investing in home prep or minor updates and feels like the home will sell itself. 

  • Lists their home for $450,000. 

  • After 62 days, a price reduction, and a back-and-forth offer process, they sell for $436,000.

  • Bottom line after expenses and real estate fees: $421,000.


Seller B: 

  • Sees value in investing in home prep and bites the bullet. They spend $2,500 in paint and other soft upgrades and $1,000 in home staging.  

  • Lists their home for the same price of $450,000. 

  • Two Buyers impressed with updates and home presentation, home ends up in multiple offers, and they sell for $453,000.

  • Bottom line after expenses and real estate fees: $438,000.


See my point? It’s important to realize that not everyone can afford even minor updates and home staging upfront, but this example doesn’t apply to their position. It does apply to the large segment of the population that makes these types of decisions every day. The above examples happen all the time, andit pains me to see money left on the table!


If you have the financial means, always keep your eyes on the prize and focus on the bottom line first and foremost. Now, let’s turn to two strategies that can give your home the competitive advantage it deserves!


Basic Home Preparation

As mentioned above, basic home preparation takes little to no investment and only a moderate time commitment, in most cases. The goal of this process is to make the home look great for the photography session. From my experience, most Buyer first impressions actually occur before they see the house when they view all the photos.


Having high-quality photography that showcases your home well generally leads to more showings, leading to my next point; be sure to prepare your home correctly for these showings! The goal is to make Buyers feel comfortable enough to picture themselves in that very house. Here are some practical tips for basic home preparation for both photography and showings:

  • Avoid having too many family photos, which can make it hard for potential Buyers to see themselves owning that house. 

  • Declutter as much as you can, walking through the home with an objective point of view. Think to yourself: What would I notice walking through someone else’s home?

  • Clean those areas that get the least attention in day-to-day life, such as baseboards and underneath cabinets. You’d be surprised how particular some buyers can be with cleanliness.

  • If you have pets, clean up as much pet hair as possible and make a conscious effort to remove accompanying odours. You may love your cat, but many Buyers will find it a turn-off!

 

Home Staging


If you want to take it a step further, consider staging your home!


Home staging is particularly important if the property you’re selling is a vacant home. While a vacant house is preferable to a cluttered or unsanitary home, sometimes Buyers can have difficulty seeing themselves feeling comfortable walking through them. They might have difficulty picturing their furniture, seeing how much room they have to entertain, or how big the kid’s playroom will be after a murphy-bed is added. 


Home staging does require an upfront investment and generally includes the help of a professional with an eye for detail and interior design. These professionals have a knack for matching items to a home’s target demographic and creating more vibrant spaces. Sometimes these changes are as simple as changing out a small piece of furniture and including some accent items, like flowers on a dining room table or a throw pillow set in the master bedroom. 





Small changes in a home’s visual appeal can result in significant shifts in Buyer attention! Consider home staging to make your home pop!


Conclusion


No matter what you choose, the key is to make potential Buyers feel welcome. In this way, you affect the outcome! Pay attention to who might want to buy your home, keep your focus on the bottom line as much as financially possible, and make decisions accordingly!



Of course, the help of a Realtor® makes the listing process much smoother. As a long-time Vernon property expert, I’m always willing to talk about the home listing process, even if you don’t plan to list your property in the near future! My dedication is to my clients, regardless of their timeline. 









Comments:
No comments

Post Your Comment:

Housing Supply Not Keeping Pace With Demand in Most BC Regions...

 

 

Vancouver, BC – June 13, 2017. The British Columbia Real Estate Association (BCREA) reports that a total of 12,402 residential unit sales were recorded by th

e Multiple Listing Service® (MLS®) in May, down 7.9 per cent from the same period last year. Total sales dollar volume was $9.33 billion, down 4.0 per cent from May 2017. The average MLS® residential price in the province was $752,536, a 4.2 per cent increase from the same period last year....

 

Click here to read entire article...

The trademarks REALTOR®, REALTORS®, and the REALTOR® logo are controlled by The Canadian Real Estate Association (CREA) and identify real estate professionals who are member’s of CREA. The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by CREA and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.