I am sure that home prices and rents have gone up in your area, regardless of where you read this article. More or less, inflation is part of our life, and the signs are that it will continue to affect the purchasing power of each and every person.
The effects of inflation depend on your perspective. You may be worried by the complicated context. Most people do, so don’t blame yourself. However, you’d be better off looking for opportunities. We at Superb Themes prefer to focus on the positive side of things. For instance, we believe that right now is the perfect time to sell your home online. It’s a good time to sell your properties because prices are pretty high. Sooner or later, a correction will come, and you will regret missing out on the current opportunity.
Selling your property isn’t rocket science, even if you aren’t a real estate agent or keen on this area. Stick with us to learn how to sell your property at the right price.
Internet & Real Estate
High street agents will continue to exist and make money for many years. Experience matters, and a casual seller can’t beat an agent in terms of experience. However, times have changed, and the role of high street online agents diminished considerably.
Entrepreneurs have started to invest in fractional real estate. Essentially, you can buy only a portion of a property and get a proportional profit from renting or selling it. In a tokenized economy, this kind of business is nothing special. For instance, you may buy a small portion of a real estate complex from the US and exchange it with a part of a condo in Dubai later. In this light, selling your property on the Internet doesn’t seem so impossible, does it?
How to Sell Your Home Online—Prerequisites
Of course, selling your home online isn’t all positive. There are a few notable drawbacks. First, with little to no experience in real estate, you will need to learn a lot. Be prepared to spend a lot of time doing online research. Finally, you have to discuss and negotiate with potential customers. It’s not simple, but it pays off when you close the deal.
Look at it as paying yourself the commission by adopting the for-sale-by-owner approach. It varies from country to country, from agent to agent, but you would need to pay an agent commission to close the deal. For a property worth $300,000 and an agent’s fee of 2%, the commission would be $6,000. Calculate the commission for your property, and decide if it’s worth your endeavors. From this point, you take an educated decision by going either with a real estate agent or as a solo landlord.
Methods to Sell Your Home
Nowadays, you have multiple options to sell your properties. As I mentioned in the introduction, fractional real estate is in its early stages, but it has huge advantages. Certainly, you will hear more about it in the next few years. Facebook announcements and other social media postings aren’t reliable methods of selling properties, but it happens to be a solution in some cases. Ignoring the less common ways, there are three major methods to sell your property:
- high-street real estate agents;
- hybrid agencies;
We will dissect each alternative and highlight the pros and cons. No method is better or worse; it all depends on the type of property and your availability.
High-Street Real Estate Agents
The traditional method passes the test of time as it’s the most convenient for both sellers and buyers. Even though the commission is pretty big, the experience and connections of a real estate agent are irreplaceable for most people. They will market your property, propose it to listing agents, and eventually feature it on real estate marketplaces. Professional agents hire photographers to take the best photos for online listings.
As a property owner, your responsibility is to find the proper agent. It depends on each country’s particularities, but generally speaking, there are two types of real estate agents:
buyer’s agents, whose job is to help the buyer give a good estimation of the property and negotiate with the sellers;
Listing agents, whose job is to find the property in accordance with the seller’s expectations and negotiate with the buyers.
An agent can represent both the buyer’s and seller’s sides. Check out the following steps to find the right agent for your property.
Ask Relatives and Friends
At some moment in life, everyone has interacted with real estate agents. Experiences vary, and you may be tempted to keep the details of a good agent. Referring the agent’s services to other people is the best method to show your appreciation. Don’t be afraid to ask your relatives and friends about a real estate agent. They may suggest a good agent who might be more motivated to help you thanks to the good reference.
Look for Local Agencies
It takes time but saves you in the long term. Search for local agencies, and look for testimonials, commissions, expertise, and availability.
The agent is of strategic importance for the selling process. Don’t rush to select your agent—compare all the pros and cons without hurrying yourself.
Pros and Cons of High-Street Real Estate Agents
A high-street real estate agent can make or break your sale. An experienced agent knows the market sentiment, the prices of similar properties, and how to deal with sellers and buyers. They combine economy, math, and psychology, and it’s not a job for everyone. Here are the pros and cons of hiring a real estate agent.
Well-established real estate agencies have a reputation and don’t allow poor services. They know how important the brand is in this industry, and any negative review affects the current and future clients’ credibility. The agents have the know-how and the proper connections to successfully close the deal in a short time.
Time and Nerve Saving
An agent is an ideal solution If you don’t have the time and patience to handle the sale process. It depends on the agent and the plan you selected, but, in some cases, you only get the email with the document you must sign to confirm the transaction.
The commission is the biggest drawback of a real estate agent. Yet, it doesn’t mean that the agent doesn’t deserve this commission. It takes a lot of time and energy to close a deal. Besides, having a good reputation is crucial for an agent, and making happy clients in the real estate agency is a close-to-impossible mission.
Just Another Client
You are no longer independent; you must depend on the agent’s skills, experience, and availability. In fact, you hire an agent for these traits, but you don’t know the agent’s timeline and priorities. You are likely just another customer, and other properties may be top priorities.
Pros and Cons of Hybrid Agencies
Hybrid agencies try to combine the advantages of real estate agents and for-sale-by-owner. Yet, they combine the drawbacks, too. The definition of a hybrid agency differs from country to country. You don’t care about definitions; you want to sell your property. In this light, a hybrid agency does make sense. Usually, a hybrid agency doesn’t have an office, and agents arrange accompanied visits. You are responsible for home availability and the price (of course, the agents may do these for you for a fee or even for free).
The hybrid agencies are more flexible and willing to attract customers. It’s a relatively new type of real estate activity, and these agencies want to get traction. The commissions are smaller and come with extra services, depending on the seller’s preferences.
Small, Dynamic teams
Typically, hybrid agencies are smaller and more dynamic than traditional real estate agencies. That means that you receive more attention from the agents, and it increases your chance of getting a good price in a short time.
There are two possible outcomes of a lack of reputation. On the one hand, you may collaborate with active and dedicated agents ready to meet all your requirements. They will do everything in their power to earn your trust and respect. On the other, a hybrid agency that doesn’t have to maintain its reputation might disappoint you. They may do their job mechanically, lacking the initiation needed in this industry.
In general, you know what a high-street agent should do to sell your property. You also know that everything depends on you when selling a property without the help of an agent. Hybrid agencies are somewhere in the middle, but you have to do some detective work to find that middle point.
Pros and Cons of the For Sale by Owner Method
You are the only one responsible for the success of your transaction. Even if it isn’t your first time selling a property, it’s never simple. Yet, it is achievable!
Once again, your perspective matters more than anything. Selling the property yourself may make you feel helpless and unlucky. Despite this, look on the bright side—you are in complete control. We prefer to focus on the positives, and having total freedom is excellent! At the end of the process, you can congratulate yourself on your good job!
Avoid Commission Fees
This is a simple and obvious advantage—you don’t have to pay an agent commission. Of course, you’ll save depending on many factors, but it’s a pretty solid amount of money remaining in your wallet.
Time and Energy Wasted
“Be prepared for everything” should be the motto of anyone who doesn’t hire an agent. You’ll need to do the following yourself:
- take relevant photos or videos of your property;
- list the sale announcement on local marketplaces;
- discuss and negotiate with the potential buyers;
- take care of purchase agreements.
Don’t expect fast results—the experience isn’t on your side. Know that you will spend a lot of time and energy closing the deal.
Lack of Technical Experience
Even though you agreed with the buyer on a price, the sale is far from finished. There’s a lot of paperwork, depending on your country’s regulations. You’d better ask your lawyer for guidance to avoid any problems with the law.
How to Sell Your House Online
If you are well-prepared, you shouldn’t have any major problems selling your house online. The following steps are the pillars of your selling strategy. Be sure to read through and adapt them according to your circumstances.
Everything online begins with solid research, and selling your property is no exception. You should look into the real estate situation in your area, online marketplaces for property owners, prices of similar houses, paperwork aspects, loan procedures, and past experiences of others who have sold properties in your area.
Don’t skip this phase! Make sure to allocate enough time for it, as any surprises could put you in a difficult situation. At the end of this phase, you should have a good idea of the value of your property.
Prepare for Online Listing
Take relevant photos of your house and, if possible, a video to show your offering to anyone interested in it. You can narrow down the potential customers by offering relevant images and videos. Uninterested buyers won’t waste time visiting your property if they already have a clear idea from the images and videos. You save prospective buyers’ time, as well as your own!
Next, write a clear description, providing all the details to the buyers. Draw inspiration from other listings. You don’t know which details matter to buyers, so write a complete and concise description.
List the Property
This step should take about one hour if you did an excellent job with the previous steps. You have already identified the best marketplaces in your area. In addition, you compiled all the data for listing an informative announcement. All you have to do now is list your property and provide additional info to people who contact you.
Help Potential Buyers
Each person is unique, so their needs are unique too. Some people might bother you with countless requirements, and others might offer you a considerably lower price. This is why the agent gets that commission—to deal with every kind of individual. Although some messages might bother you, try to pass them over and remain calm. Help people who ask for details or property inspections—it’s the best way to close the deal.
Negotiate and Shake Hands on the Deal
It may take weeks or months to find the buyer—good luck plays an important role. Sooner or later, you will find a buyer—often through negotiation with the buyer directly or through a listing agent. Let’s assume that, at a given moment, you and the buyer agree with the price, and both of you keep on with the paperwork.
Guidance on Legal Procedures
You are lucky if you are familiar with the bureaucratic aspects. However, in most countries, selling a property requires filling out a lot of paperwork. It’s highly recommended to reach out to a lawyer specializing in real estate to ensure that the transaction is legally finalized.
Finally, you get the money in your account and enjoy your much-deserved commission!
Over to You
Reading an article isn’t enough to learn how to sell your house online. Do your own research to find out if it’s the proper moment for selling, look at the prices of the properties, and talk to real estate agents or people working in adjacent fields. Choose the services of a real estate agency if you don’t have the time or energy to manage all selling procedures. We hope that this article will help you make an educated decision.