The Top Five Mistakes That Sellers Make And How to Avoid Them
By Brad Lacher

Selling your home? Dont fall into the trap that many homeowners fall into.
And that is overvaluing their home. Its an understandable mistake, but one
that could prove costly if it slows down the sale and/or makes other homes
look like a good value in comparison.

Ive listed what I find are five of the most common mistakes sellers make. I
ve listed them here, along with how to avoid them in order to get the best
price for your home in the shortest amount of time:

1. Over-pricingBased on an emotional assessment, it is easy to think your
home is worth more than the current market may support. After all, it has
been special to you and your family, and what about those little additions,
changes and improvements you've made over the years? The question is, how
important are those changes to a potential buyer? How up-to-date are they?
Considering your home and other comparable homes on the market, how does
your home really stand up to the others? There are many things to consider.

To determine a reasonable listing price, work with a real estate
professional familiar with your area. Ask for sales statistics on homes in
the neighborhood including listing prices and actual sales prices, how long
it took for the homes to sell, and government valuation comparisons. Be sure
to ask your real estate professional for a market appraisal on your
property. Talk to friends or neighbors who've recently bought or sold a
home. Visit homes for sale in your area and compare what you see in terms of
sales appeal.

Remember that real estate markets can change quickly, and that comparables
from several months ago may not give you an exact picture of the current
market. Determine if there are more or fewer new listings at present. Are
prices up or down? If it's a soft market, there's likely to be a larger gap
between listing and selling prices. If homes are selling quickly with
multiple offers, demand may be outstripping the current supply of available
properties for sale. All of these factors will play a role in determining
your listing price.

2. Negligent HousekeepingTake a good, objective look at the condition of
your home. Is the paint fresh on walls and wood trim? Is the carpet clean?
Are windows sparkling? Are tiles chipped and in need of repair? Does the
front of the house have "curb appeal," meaning is it inviting and
attractive? Clean, well-kept homes with an updated appearance always have an
advantage, and a little decorating appeal can go a long way. Be sure to
gather up any clutter and put it away. Potential buyers don't want to see
your "messes." They need to envision themselves living in the home.

Consider that home developers spend hundreds of thousands of dollars
"marketing" model homes that are picture- perfect with attractive wallpaper,
carpet, furnishing and accessories for a reason. They create a mood, an
ambiance, an overwhelming sales appeal that makes the potential buyer fall
in love. Would-be buyers, after all, are looking for a "lifestyle" as well
as shelter. Give it to them. You don't have to buy new furniture to create
charm, but you can put toys and clutter away, freshen up paint and carpet,
make the most of window coverings, and add a few key accessories in order to
send out welcoming signals. You want to put out the message that life will
be good, better, best in your home!

3. Failing to Fix-ItIn keeping with the sales appeal message above,
consider that new buyers are probably going to be happiest moving into a new
home that is in perfect or near-perfect condition. If they have to fix the
roof, a broken tile floor, the garage door, sagging wallpaper or just about
anything, this may give them pause about buying. At the least, it may lower
the value of the home in the prospective buyer's mind. For best results,
make sure any work on the home and the landscaping is done ahead of time. A
model-perfect home is going to attract the highest price.

4. Failing to Identify ExclusionsThis can be a cause of contention just at
a critical point in the sale. To avoid any problems, be sure to specify any
special sales considerations or exclusions from the chattel list. Generally,
anything permanently fixed to the house is a "chattel" or asset that stays
with the home after the sale. If your grandmother's antique chandelier is
hanging in the dining room and you intend to take it with you, specify
clearly that it is not included in the sale price.

5. Failure to Understand Your Agent AgreementBe sure to check on fees,
commission percentages and timeframes. Understand the types of agency
agreements when you sign with a real estate professional or company. Your
real estate professional should explain the differences between exclusive
and general agencies. Understand exactly what the sales professional's fee
percentage is and get it in writing. You may want to get several written
quotes on fees before you select a real estate professional. And, be sure
that you understand your agreement in terms of the timeframe you are
contracting for with your representative. Discuss details such as when you
want to hold open houses. Your sales endeavor is likely to go the smoothest
when all parties have a clear understanding of what is expected and nothing
is left to question.