Selling your house is a good way to make money, right? Not necessarily. Even if your home went up in value, there are a lot of costs involved in selling a home that can eat away at your profit if you aren't careful. Here are some of the things you can do to keep down those costs, to be able to get the most money after expenses from the sale of your house.
Selling your house is expensive. Although you make a lot of money at the end of the process, you’re bound to spend a few dollars (or more) along the way. It would be an impossible task to cut all costs, but there are certainly ways to save money. Just because you’re on a budget, it doesn’t mean that selling is out of the question. This article will take you through a few steps to take if you want to sell your house whilst spending as little as possible.
To repair or not to repair?
When it comes to home repairs, there are two paths you can go down. Both will ultimately save you some money, but they definitely require different amounts of time, effort, and expenditure.
Spruce up to price up
One option is to do some simple repairs on your home to increase the value of your property. These don’t have to be super costly, major repairs, but spending a little money could help your house sell quicker, and for a higher price.
Repainting is a great example of this. It’s relatively cheap, and you don’t need a professional to come in and do it for you. Choosing a neutral color palette will likely benefit you the most when it comes to prospective buyers. Just because you’d love a neon green feature wall, it doesn't mean that everyone who comes to view your house will.
Once you’ve repainted your walls, consider hanging up a few things on them. If you don’t have any, you can easily source paintings from thrift stores and yard sales for very low prices. Unlike photos, paintings are less personal and so will encourage a buyer to see themselves living in your house. Mirrors are equally effective in encouraging viewers to buy your house. This is because they add light and the illusion of space to the room they’re hung in.
Regarding the exterior of your house, take a look at your doors, windows and fences. The outside of the property is the first thing any viewer will see, and so it’s important you make a good first impression. Whether they need repainting, repairing, or even replacing, it’s worth thinking about these exterior elements as they contribute to what’s known as ‘curb appeal’.
Sell ‘As Is’
If you need to sell your property quickly, then you probably don’t have time for repairs, no matter how small. Another reason you may choose to sell your house ‘as is’ is if your property is unlikely to increase in value unless larger, much pricier repairs are done. Selling ‘as is’ means exactly what it sounds like: you do absolutely nothing to modify your property.
The benefits of selling ‘as is’ include: fewer costs, such as those involved in staging a home; a quicker selling process as the house can be put up for sale immediately; and a smoother closing process on the property. When selling ‘as is’, ensure that you are upfront about the condition of the house. This could mean a lower selling price, fewer interested buyers, and issues in mandating an appraisal of the property. Therefore, these are all elements to consider before you take this path.
If you do decide to go down the route of an ‘as is’ sale, then it’s important to remember you don’t have to sell directly to a new tenant. If you browse the web, you’ll come across sites such as fasterhouse.com that advertise companies which buy your house in whatever condition it’s in. This will avoid you having to spend money on making any changes requested by estate agents, who have certain criteria that must be met by a property before they agree to list it.
Assess how to advertise
There are several ways to advertise your property, all of which have varying costs and results. The cheapest option is to do it yourself. However, for those who may find the DIY approach too time consuming, then advertising online may be more cost effective than using a high street estate agent.
Why D.I.Y?
The primary reason for advertising your property yourself is that it will definitely cost a lot less. Estate agents’ fees are just under 1.5% of the value of your home, and so without them taking their cut, you’re going to receive more of the money you make. If you decide to sell your house yourself, you’ll get to liaise directly with buyers. Although this may cost you time and energy, if you’re a successful and charismatic advertiser, you could end up selling your property in less time.
However, before you sell your house DIY style, you need to take the workload into consideration. Although you may be good at conversing with buyers, because you’re selling privately, you won’t be able to advertise your property on any major commercial sales platforms. This could leave you with a lot less interest, as less people will be informed that the property is for sale.
You’ll also need to host your own viewings. This not only requires expertise, but also incurs a safety risk as at the end of the day, you’re inviting strangers into your home. To conduct these viewings, it’s important to get yourself a ‘for sale’ sign. If you’re qualified, you could make one yourself. If not, eBay and Amazon are likely going to be your best bets for finding a sign at a low price.
Can’t find time? Get online
If selling your house yourself isn’t going to work, then using an online (as opposed to a high street) estate agent is the cheaper alternative. To work with an online agent, you’ll need to pay an upfront fee for the basic package they offer. Unless you decide to pay extra, you’ll still have to host your own viewings and only some agents will provide you with photos and floorplans.
However, with an online agent, you’ll be able to advertise your property on commercial property sale platforms, and therefore increase the number of potential buyers you have. The agent you’re assigned will be able to help you through the sales process and provide advice when it comes to negotiations. This will help ensure you’re paid an amount which aligns correctly with the value of your house.
In conclusion, it’s clear to see that although it may take a lot of hard work, you can definitely sell your house with very few costs. Good luck with the process, and don’t forget to do your research!