Amin Vaziri - GUIDE TO SELLING A VACANT HOME

GUIDE TO SELLING A VACANT HOME

Amin Vaziri

Table Of Contents

Introduction

To Rent or to Sell? That is the Question

Not Living in Your Home Makes it Easier to Sell

Steps to Selling Your Vacant Home

Choosing the Right Agent

Why Changing Things and Small Improvements Can Gain You Thousands 23

Marketing a Vacant Home

Using Curb Appeal to Sell Your Home for More 33

Importance of Good Pictures

10. Staging Solutions and Options

11. Safety Points While Selling a Vacant Home 55

12. Selling a Home Out-of-Town

13. Negotiating While Selling a Vacant Home

14. A Good Agent Can Help Sell a Vacant Home 75

15. Mistakes to Avoid While Selling a Vacant Home 81

16. Closing the Sale on a Vacant Home

About the author- Amin Vaziri I’m Amin Vaziri, a civil engineer by training, with an MBA degree and nearly 25 years of hands-on experience in the real estate market overseas and Canada. Throughout my career, I have been deeply involved in various projects, from residential and commercial developments to large-scale infrastructure ventures. My engineering background has provided me with a strong technical foundation, while my business education has enabled me to approach real estate with a strategic and entrepreneurial mindset. This blend of skills has shaped my perspective and fueled my passion for building, investing, and helping others navigate the real estate world. Over the past two and a half decades, I’ve built my career on a commitment to integrity, hard work, and results. Through this book, I aim to share the insights and lessons I've learned along the way, inspiring and empowering others to achieve success in real estate and beyond. All the information in this book is based on my knowledge, experience, and effort. However, it remains the reader’s responsibility to conduct further research and seek additional professional advice if any information appears unclear or requires further validation.

CHAPTER 1 Introduction

Vacant homes pose real estate challenges while also offering opportunities. Paradoxically, empty real estate can be easier to sell (e.g., it can be owner-unoccupied and beautifully staged for marketing). At the same time, it is harder to sell (it may be a piece of property left to you in a favorite aunt’s estate that has been neglected for years. That is what we will discuss in this book — the challenges and techniques for successfully selling an empty house. A home can become vacant due to marriage, divorce, job relocation, death, or myriad other life events. The house could be in superb, average, or shabby condition. It may be updated or old-fashioned. It may be starkly empty and beautifully painted in neutral colors throughout, or it may be crammed with old furniture and the previous owner’s (perhaps your own) possessions, with zebra-striped wallpaper in the kitchen and bathrooms. Either way, it needs to be sold. This book considers how. There are two types of vacant home sales. One scenario is where the homeowners/sellers have decided to vacate the home they currently live in and reside elsewhere while the house is sold, such as in an apartment, rental home, or hotel. They do this to make a home appear more appealing to potential buyers. As we will see, this is “staging” a house for the market. The advantages of vacating the house before starting the home marketing and sales process include presenting a better staging opportunity, more frequent showings, easier upkeep to achieve a good curb appeal, a pristine interior, and a less burdensome process for the seller in terms of time and effort. The other situation is where the home is unoccupied. No one lives there, and perhaps no one has lived there for some time. 1

Maybe you left the house, assumed it as payment for a debt, or decided it was an investment that didn't work out. Sometimes, vacancies are due to a bank foreclosure or short sale in which the lender accepts less than the mortgage balance. It is these bank-owned properties, sometimes referred to as “real estate- owned” or REOs, that tend to be “problem homes” in terms of maintenance and sales. A house that’s been vacant may look like a bargain, but buyers should be cautious because expensive problems can exist inside unoccupied homes. While vacating the home during the time it is on the market can be a distinct advantage to the seller, that is not the case with all vacant property. That’s the purpose of this book — to educate the reader on the issues involved in selling a vacant residential property.

CHAPTER 2 To Rent or to Sell? That is the Question

The decision of whether to rent out or sell a vacant home often arises in residential real estate transactions. Real estate is a prime investment. For most Canadians, their home is their most significant investment, with the equity built up in it being of genuine importance in retirement planning. It may be an attractive proposition, either for long-term investment or immediate cash flow, if a homeowner has the opportunity (and the financial ability) to become a landlord and rent out a home while affording to live in another. A family may reach a point where more space is needed, or a change of location is desired, or a new job requires relocation, causing someone to move in while renting out their house to tenants. Other situations where it might be more practical to rent out rather than sell could involve a home that has languished on the market or where the owner is “underwater,” meaning the mortgage is more than the home's value. Renting your home versus selling has many factors to consider. For example, is real estate a good investment in the overall economy? Is the housing market in general moving up or down? If waiting two or three years will result in substantial appreciation of local home prices, or if home prices have been depressed but are slowly rebounding, it may be better to rent out your home than sell now. It makes sense to keep a house as an investment if it shows future growth in worth, provided you have the wherewithal to maintain its value with conscientious renters and appropriate upkeep. In a general down market, it makes sense to hold onto the home and generate rental income until the market recovers. 3

A MAIN REASON TO SELL — NOW

The local situation is a significant factor. Is the home in an area of economic stability and rising house prices or in a steadily decaying area? The fact that the home is in an increasingly unstable neighborhood is a strong financial reason to sell quickly. Should the value of the entire area have vastly decreased, it is hard to know when it will stop, or if it will stop at all. Consulting with a real estate agent who has experience and knowledge about declining neighborhood values will help you determine the best course of action. If the agent believes that the value is not going to go up anytime soon, it is best to sell your vacant home as soon as you can. Using a real estate agent to sell your vacant home will make the process go more smoothly, especially if you need to sell it within a short period of time.

ISSUES IN DECIDING TO RENT YOUR VACANT HOME

Some issues will determine whether you can, or should, rent your home rather than sell it.

Renting costs

Consider the costs of renting your home to decide if you can afford to go that route. Determine the going rental rates in your market using tools like the MLS listings, “shopper” guides, and online websites. Look for comparable properties in your neighborhood to estimate the monthly rent your home could bring. Note features such as square footage, number of rooms, and upgrades, including granite kitchen countertops. Take location and proximity to desirable schools into consideration while looking for comps. You can also consult with real estate agents and property

managers to get their perspective on pricing. If it turns out that you cannot cover your mortgage with the projected rent, then calculate how much of a loss you can take to be still able to afford to rent the house. In addition to mortgage payments, there are taxes, upkeep, and utilities to consider.

Your home-sale situation

Your own economic circumstances may influence whether you decide to rent your home or sell it. Some sellers must evaluate whether they can afford to sell their home. If not, renting is a viable alternative. Here is an example of a situation where a couple had to assess the affordability of selling their house. The couple lives in an area where house values have declined since the peak in 2006, the same year their house was purchased. As they debated whether to sell their home in 2011, they realized that if they chose to sell, they would incur a $50,000 cash loss, excluding closing costs. They looked at the numbers and decided they could not afford to sell their home. For them, it made more sense to rent their home and purchase a second home. When you rent, you may incur a monthly loss, but you do not have to come up with the cash to satisfy the loan immediately upon sale. If you sell at a loss, then there is no tax benefit. The couple bought some time for real estate prices to recover further.

Beneficial tax deductions of renting a home

For homeowners seeking tax deductions, there are benefits to renting out their house rather than selling it. You can deduct expenses related to owning and managing your property when you rent it. This includes mortgage interest payments, insurance, property taxes, maintenance, fixtures, cleaning services, and even travel and local transportation expenses incurred in maintaining and managing the property, as well as rent

collection.

PROS AND CONS OF RENTING OUT

The most significant advantage of renting out your vacant home is gaining an additional source of income. This extra money each month will help you pay property taxes, mortgage, and utilities (unless you rent with the condition that tenants pay for utilities each month, which is entirely your choice). It is possible to return some profit. Another advantage is the increase in value of your vacant home through appreciation and/or by undertaking some renovations for your tenants, which could ultimately result in an enhanced investment at the time of sale. For example, finishing the basement and adding a kitchen and bathroom will transform it into a basement apartment, increasing the home’s value for resale. By renting out your vacant home, you can avoid potential issues such as squatters, vandals, and thieves. For example, if you own a vacant house and are rarely there, squatters and vandals will likely take notice. Therefore, it is best to rent it out, even for the short term, so someone is living there if you are not planning on quickly selling it. You may get lucky and even have tenants who can help with maintaining your property. This could be anything from lawn care to plumbing issues. A tenant could even become a future buyer for your property. One con to renting out is that you become the landlord, with the obligations, responsibilities, and headaches that come with that role. Property management is a dynamic activity, meaning you do not simply rent out your home and await income and tax benefits. There is regular and emergency maintenance (e.g., lawn mowing and the water heater that bursts at 3 AM). Bad tenants are a significant concern for property owners renting out houses. They cause property damage, are late on rent payments, or don’t pay rent at all. This will result in additional expenses for repairs, potentially involve legal fees for eviction

proceedings, and may negate the benefits of renting out your property. Background checks and requiring references on potential tenants are advised. Another con is that if you expect to sell within a few months to a year or two, having tenants in the home can make the property more challenging to sell. For example, if you have informed your tenant that you plan to sell and they must relocate within two months, if they do not have options, they may drag their feet and make it as difficult as possible for you to prepare the home for sale. Whereas, if your home were empty, you could easily clean up and get the property ready for the potential buyers without having to work around your tenant’s schedule. Converting a residential property into a rental property may result in capital gains tax. If you lived in the house for at least two years, then rented it out for under three years, you can use the provision that allows you to exclude up to $500,000 of gains tax-free. If you plan to sell a home you’ve converted to a rental property, you should consult an accountant or tax expert.

CHAPTER 3 Not Living in Your Home our Home Makes it Easier to Sell o Sell

Some real estate professionals profess that it is 10 times easier to sell a house that the seller is not currently living in than an owner-occupied home. For instance, buyer-agent showings may be increased. It is more efficient for real estate agents’ schedules to show unoccupied homes. If they have 20 homes to show and five are occupied, they may show the vacant homes first — or only — because it’s easier. They do not have to call and make an appointment. They can arrange with the seller or the seller’s agent to go to the home and access it via the lockbox. Also, a homeowner is not interrupted at inopportune times to show the home. A seller doesn’t have to go to a neighbor’s, go to the store, or lurk about the house while buyers are looking. Furthermore, the seller isn’t under constant pressure to keep the home in immaculate showing condition and spotless. With small children, this can be almost impossible to do, even if only one parent works outside the home. Finally, the home can be “staged” for sale.

STATISTICS FOR SELLING VACANT HOMES

Statistics from a 2015 survey indicate that homes expiring from their primary listings were generally homes that were lived in by tenants or the homeowners themselves. There were 400 homes listed for sale as owner-occupied. Approximately 36% of these homes’ listings expired, versus the 29% that were unoccupied by the owner. Therefore, the statistics actually show that owner- occupied homes will take longer to sell. 9

MOVING OUT WHILE S T WHILE SELLING

A psychological benefit of moving out of your home while it is on the market is that it signals a “motivated seller” to potential buyers. An occupied home will not convey the message that the seller is ready to negotiate and sell, as does one that appears lived-in. If you’re planning on putting your home on the market soon, it is best to do so after you have moved into a new place. This way, prospective buyers will be able to see that you are ready to sell, finalize, and close the deal as soon as they are prepared to go. This will also help in staging the home with furniture and decor. If the agent or you have decided that the house should not be staged and instead remain empty, then all the better. Minimize furniture within the home when you move out. This will help buyers picture where their furniture will fit into the house, even if they don't like what you currently have. Decorative pictures — not family portraits or pictures of your children — will also help the home feel inviting without being overwhelming. Overall, a staged furnished home looks more spacious and attractive than one that is empty. During the process of moving out, check with your home insurance agent to find out the homeowners' insurance coverage situation while your house is unoccupied. Typically, there is a difference in insurance coverage for an “unoccupied” home (i.e., the owner is on extended vacation) and a vacant home (where no one resides). Your current policy will determine whether additional or different insurance is necessary. As an additional security measure to ensure your house is not a target for potential break-ins, consider installing a battery- operated burglar alarm and exterior sensor lights.

UTILIZING A STORAGE UNIT

Logistics and expenses may preclude the owner from acquiring

another residence during the home marketing and sale period. If moving out is not an option, you can still achieve some of the advantages of selling an unoccupied home by renting a storage unit and putting away as many personal items and belongings as possible. This will also help you when you do move because your things will already be wrapped, boxed, and ready to go. Remove all personal items, anything of value, family pictures, bookshelves, decorations, and anything that has personal value to you. Furniture that would not work well with the showings should also be removed. It is best to make the house appear as if you are not living in it. Having a storage unit, in this case, is your best bet, as you can easily store everything in one place and will not have to impose on friends or family to use their garage.

MOVING BEFORE THE SALE RE THE SALE

If circumstances allow, moving out of the home before the sale is a good approach and a method to prepare your home for the market more adequately. All preparations can be accomplished with a “blank slate” of a house, which can include filling nail holes, painting the walls, replacing dingy carpet, or even turning carpeted floors into wood floors. Ensure that both the interior and the exterior of the home are spotless. This means a continually mowed lawn, raked leaves, trimmed hedges, and freshened or repainted outside of your home. Leave some furnishings, such as couches, beds, plants, and tables, but avoid anything that might give off a too-personal feel or vibe. Even if a home is sparsely furnished, a staged home will sell quickly and at a price that can be higher compared to a house that is cluttered with family possessions. Your home will need to sell quickly if you are buying a new one before you move out. Handling and paying for two mortgages simultaneously can be incredibly burdensome, but if you can do so, moving out and selling your home while it is vacant will be

much easier.

CHAPTER 4 Steps to Selling Your Vacant Home Selling a house is all about the finer details. It is about putting your property up for sale at the perfect time. It is about decorating it enough to look inviting, but not so much that potential buyers cannot visualize their own life there. It's also about the price. Buying a house is a considerable commitment, potentially the most significant chunk of money that someone will ever spend in one sitting, and prospective buyers are easily scared. If one thing, or even one small aspect, makes them unsure, there is a good chance you will lose the sale altogether. In a perfect world, everything would fall into place. You would sell your home at the exact time that you are ready to move into your new one. As we all know, this scenario is rare, and many people move into their new home before selling their current one. This obviously adds pressure to an already stressful time, and as all your furniture and homely touches are moved into your new home, you may be trying to sell an empty house. In sales strategy, buyers might use an empty home as a bargaining chip, believing the seller is anxious to sell. Was it overpriced? Is there something wrong with the property? Selling a vacant house requires taking that extra bit of care to ensure all details are perfect, thereby increasing the chances of a sale and encouraging the buyer to feel confident about considering your property. An advantage of selling an empty house is that it allows the potential buyer’s imagination to run wild during the home viewing. Without the distractions of furniture and homey 13

touches, prospective buyers can envision their own belongings in every room and begin mentally placing their own lives in the vacant spaces. Emptying the house could well be a blessing in disguise if the seller is the type of homeowner who has clutter everywhere or a flamboyant taste in decoration. Too much personalization will leave potential buyers unable to picture themselves there, as they will be distracted by the clutter. There are ways to make an empty house feel homey. The impression you want to give is that it is a home eagerly awaiting a new family to start creating memories. You do not want it to look neglected and forlorn, as if it had been abandoned. A house needs to have character to encourage a sale, and there are ways to give a vacant home the appropriate bit of personality.

CLEAN! THEN CLEAN MORE!!

This sounds obvious — cleanliness is next to salesmanship. However, many sellers believe a quick vacuum once they have packed up their stuff is enough to make the place clean. A house must sparkle to the point where it does not appear as if it has ever been lived in. Buyers are looking for a fresh start in their home-buying experience and will turn away from anything that does not meet their “fresh start” expectations. Bear in mind that moving furniture out of the house exposes all floor and wall areas. Maintain a regular cleaning schedule for as long as it takes to sell your property. The buyer will use their sense of smell as much as their sight when viewing the house. Eliminate all pet and food odors. Ensure the place always smells fresh. Keep the home aired out by opening windows every few days and invest in plug-in air fresheners for a longer-lasting effect. Keep the house smelling fresh and well-maintained, rather than musty and deserted.

LANDSCAPING

First impressions are paramount in home sales, and the last thing you want is for a potential buyer to be put off before they have even entered the house. Give prospects a warm welcome by ensuring the outside of your property looks neat. Trim the hedges, mow the lawn, and, depending on the season, keep on top of snow removal and fallen leaves. You want your house to look as if you just moved out that morning, and the building is still fresh. Allowing anything to become unkempt and derelict will give the impression that the house has been abandoned and neglected, which will never help a sale.

OUTDOOR MAINTENANCE

Like landscaping work, you must also pay attention to the finer details of your house's exterior. Keep the gutters clean to avoid mess and check on the paintwork, roof tiles, and brickwork. Walkways should not be cracked or broken. A frequent turn-off for potential buyers is arriving at a property and having their first thought be of everything they see that they would need to attend to. You also want to create the impression that your house can withstand the different weather elements. If your home remains in great shape even in harsh weather, while other properties look tired and shabby, it will significantly increase your chances of a sale.

PLAY UP YOUR ASSETS

An advantage of selling a vacant house is that your possessions will not obscure any strong or unique features your home has. Buyers may look at a vast number of properties before deciding on which one is for them, so you need to highlight features that make your house stand out. Here is your opportunity to make the most of it and to make your features stand out. If your house has hardwood floors, for example, ensure they are polished to a gleam. Do you have a dramatic view? Take those

curtains down and let the light shine through. Whatever it is that made you fall in love with your house, make sure they see it too. The golden trick to all of this is letting the buyers discover everything for themselves. If you must point out the floor or the view, then it is likely not enough to encourage a sale. There is a psychological aspect to selling a home. If buyers are to be convinced to part with a vast sum of money, they need to have confidence that it is their decision. Buyers do not want to feel convinced into saying yes; they’ll want to fall in love with the house on their own accord. Let the house speak for itself by making it look its best.

SMART COLOURS

Your home is a reflection of who you are. People can get a good sense of who you are by the way you decorate, and your personality is reflected in every room and throughout your home. That is not an advantage in home-selling. It means your home may be filled with a variety of colors or funky wallpaper patterns. The best thing to do when selling is to return everything to neutral. Choose plain but warm colors to invite a buyer in. If you keep the glaring pinks, purples, or football team colors in a teenager’s room, a buyer is going to be reminded that she is stepping into someone else’s memories. No one wants to feel like they are invading someone else’s space, so take it all back to neutral and let prospects put their own spin on it. It is best to paint over any woodwork or fixtures that are starting to look shabby to tidy up the place. The bonus of all that effort is that your house will have the “new home” smell that will make the buyer feel like they are moving into a brand-new home.

FURNITURE

Now that your accumulated memories and belongings have

vacated the house, the buyer can take the opportunity to envision their own life here. The best thing you can do is give them a nudge in the right direction. If you can spare a few pieces of your furniture, and it really takes a few pieces, place certain pieces strategically to help the buyer establish what they can do with the space. One chair by the window is enough for the buyer to picture a relaxing morning with a book staring out at the view. A table in the dining room provides an idea of the space available to work with and the number of people it can accommodate for dinner. These subtle hints are not too much and will create the blank canvas aspect that you are going for, plus they will do wonders to encourage buyers to begin envisioning their own lives here. A few plants here and there on countertops will bring color and life back into the house. It could easily be the difference between a sale and a near miss, so it’s worth the effort.

UPDATE FIXTURES

Anything that is broken must be repaired, and anything that looks rundown should be replaced. Again, this is so the buyer does not straight away get overwhelmed with a list of “little” things to change and fix if they agree to buy. You want your buyer to be comfortable, so they can take possession of the keys and start living. Anything that appears to be too much of a “fixer-upper” will be a major turnoff for most buyers. Ensure that you check all doorknobs, faucets, and lights, and address any issues.

RIGHT TIME, RIGHT PLACE

Let’s backtrack a little. All the advice you have received so far is based on the assumption that you will attract buyers to come for a viewing. Before we reach that stage, you need to consider a few aspects to ensure they are in place. This comes down to the right price and right time. Avoid, if

possible, putting your house up for sale just before Christmas, for example, as not many people will be looking to buy with the expensive holidays coming up. Keep an eye on the property market. Prices are known to fluctuate frequently, so try to avoid selling your property during a price drop, as you may not get the price you are hoping for. Keep a close eye on the competition when determining the price to list your property. Take a look around your area for houses of a similar size with similar features and see what they are listing for — and what they are actually selling for. You can have your house valued by a professional and decide from there, but it's also good to conduct your own research so you know what is fair for you. It is also worth choosing a reputable agent who can get you the correct exposure and optimize your chances of selling. It may cost you a little more than other places in commission, but it’s always worth choosing a company you know will get results because of their experience and reputation. All it does is increase your chances of getting that sale. So that’s everything you need to know about how to sell a vacant house and make it look like a home. Just a few little changes can make all the difference in transforming your house from abandoned and lifeless to homely and enticing. Please make the most of the blank canvas, rather than the remnants of your home, and allow the buyer to picture their life in the property; you’re as good as sold. This means that while you are selling an empty house, it should not be so empty if you wish to sell it as fast as possible.

CHAPTER 5 Choosing the Right Agent ht Agent

Selling a residential property involves more than 100 people with different skills and expertise who participate in the transaction from start to finish. Whether it is for a home inspection or a title search, it takes more than 20 steps to finalize the sale of your home. A knowledgeable real estate professional can make the process much easier by being well-versed in all phases of real estate. You do not need real estate expertise if you engage a real estate professional who has it. Choosing the best real estate agent for you can be problematic. Friends’ and relatives’ recommendations and references are valuable. A friend might recommend an agent because that agent was able to sell the house for 20% more than hoped for (but would be wrong for you, as you are unfamiliar with your neighborhood). Gather all the bits of advice from people who have dealt with one real estate agent or another, but do the legwork yourself. Understand that choosing the best agent can make the difference between selling your vacant house and it still sitting empty a year later. Selling a house is an expense for the homeowner’s effort, time, and resources. It is a complex and emotional exercise because people often become attached to the properties they have owned. Having a good agent can help you through that process, and you will eventually complete the transaction as a happy person. The question that remains is how to find the one that suits your needs and is comfortable to work with. The best way to start the process is to interview agents you might consider using, drawn from your recommendations, existing knowledge of local real estate agents, or an online search. There are many ways of finding a good broker. Personal 19

recommendations from friends and colleagues are often helpful. If someone outside the real estate business with nothing to gain is bringing up a broker, you are likely onto a winner. The best brokers — the top 10%- account for 80% of all business. Who has the most listings in your area? A first meeting does not need to be formal and can be noncommittal. Through conversation, you will learn a lot about the agent. This will also allow you to observe how the agents treat their clients. Through the informal interview, you will have the chance to ask about each agent’s selling record, how well he understands the local market, and how the agent can help you sell your house. You want someone with enthusiasm and drive, someone who will give you the attention you need and steer you through the whole process with courtesy and professionalism. These are appropriate topics to be discussed before making a real estate agent selection:

HOW MANY TRANSACTIONS DOES THE AGENT HANDLE PER YEAR? ER YEAR?

This is intended to give you an idea of how quickly the agent can secure a deal. A competent agent who has some experience in the field of real estate should have a respectable number of sales under his belt. However, do not rate the agent simply according to the transactions per year, as you should also note that more transactions do not necessarily reflect the agent’s capability or compatibility. An agent may have many transactions that left the sellers or buyers deeply unsatisfied.

CAN THE AGENT FULL GENT FULLY EXPLAIN THE SELLING OR BUYING PROCESS?

Any real estate agent should be able to explain the complete process of selling or buying a house. If you notice that the agent does not have a firm grasp on the idea of selling or buying a

house, there is a possibility that the agent might land you in trouble in the long run.

CAN THE AGENT EXP GENT EXPLAIN THE P AIN THE PROGRAMS FOR FIRST-TIME HOME SELLERS? ELLERS?

This is a fundamental interview question. A real estate broker should be familiar with all applicable requirements, whether federal, provincial, or local. The importance of this question lies in ensuring that all legal documents are appropriately crafted. The agent is supposed to advise you on the point at which to hire a lawyer to handle the legal work. The agent should even recommend the best lawyer suited to your needs.

WHICH NEIGHBOURHOODS ARE S DS ARE SPECIALTIES?

This is also important, as it will help you, as a buyer, determine whether the agent can sell your house at the right price.

DOES THE AGENT HAVE REFEREN VE REFERENCES THAT YOU CAN CHECK WITH? U CAN CHECK WITH?

Asking for references is vital. It will help you understand how the agent treats his customers by talking to people who have dealt with him previously. It will also give you a grasp of how capable the agent is in handling the transactions.

HOW OFTEN CAN I EXPECT TO HEAR FROM YOU WHEN S U WHEN SELLING THE HOUSE?

When you put your house on the market, the agent needs to communicate with you regularly. This will give you an idea of the number of offers coming in as well as the amount of money potential buyers are willing to offer. Ultimately, it will help you determine the amount of money you can expect from the sale.

CHAPTER 6 Why Changing Things and Small Improvements ements Can Gain You Thousands ou Thousands

The housing market is more competitive in terms of price than it has ever been. It’s up to the seller to go the extra mile and ensure their house stands out from the crowd. We will now take the necessary steps to increase our earnings from the sale. These are proven methods to raise the price of your home. Statistics support this discussion of “staging” and other strategies, demonstrating the necessity of these additional steps. There are steps you can take to improve your home and make it more welcoming to your audience during a drive-by or walk- through. Taking these steps will also impact the online presence. It is a paradox that, although numerous media and platforms exist today for advertising houses, it is harder to stand out. That places the importance of the home’s immediate appearance on a higher level. You can choose a professional stager or a staging company, as many of them are available in most cities. Even a property stylist is appropriate in some circumstances, since it will just make your house stand out that much more.

WHAT IS “HOME STAGING”?

Home staging is the process of preparing an empty home, dressing it up, and presenting it to look extra attractive and highly welcoming to prospective buyers. Home staging is about creating more space by cleaning clutter, removing unnecessary

objects and furniture, giving rooms a fresh and neutral colour palette, and making necessary repairs. Replacing carpets and flooring is a common practice. The process may involve professional painting, deep cleaning, furniture rental, and the placement of the seller’s furnishings, as well as ongoing maintenance. To minimize expenses in home staging, your first step is to utilize as much as possible of what you already have. The priciest items will likely involve making updates and repairs, both inside and outside the house. The least expensive are the things the sellers are willing and able to do themselves — maximizing space by rearranging objects and cleaning their home. A crucial part is selecting accessories and furniture to enhance your newly created space, thereby creating a welcoming and warm environment. Home staging enables prospective buyers to envision all the possibilities of purchasing and living in the home. They need to be able to imagine their own life unfolding in each part of the home. Money spent on staging should not be considered waste, but rather an investment or cost of doing business, and it will be recovered when the property is sold. It will pay off in the long run when the home’s perceived value is boosted.

DOES HOME STAGING WORK?

According to information from the Real Estate Staging Association, properties that are professionally well-staged appear more appealing and spend less time (approximately 75%) on the market. Buyers most view them as “well-maintained” and “must-see” houses and subsequently sell at a higher price. When it comes to acquiring real estate, most prospective buyers imagine or think they can overlook empty rooms or poor décor and see only potential, but they really do not. The primary purpose of staging is to enable prospective buyers to easily envision themselves living in the house. It provides an example of the type of comfort and lifestyle that prospective buyers can

expect in the house. This is the main reason successful builders use model suites and model homes to sell their projects. Experienced home sellers discover that the same principles used in modeling a house are also helpful in the resale market; thus, they rely on professional home stagers to ensure that they sell at a higher price and get off the market quickly. When hunting for a house, home buyers start with a reasonable list of prospective properties, but the house they buy is often chosen mainly for emotional reasons. The aim of staging a project is to ensure that prospective buyers see the great possibilities owning the house will bring. The prospective buyer can walk into the home and have that “finally, I’ve gotten my dream home” feeling. Potential buyers who are pleased with the staging may be willing to look beyond some of their “must-have” features, such as a two-car garage or a fireplace, to consider the property. It is paramount to consider minute details. Small things that you overlook, such as personal memorabilia, overcrowded rooms, scratched doors, or dripping faucets, can emotionally disengage the buyer from the home. They will envision the problems they will face later, rather than the stone hearth that might tempt them, and immediately shift their attention to the next appointment, while writing it off. Your house. The most effective motivator for someone to make an offer on your property is the connection they form with it while envisioning their life there. If this can be achieved, then you may have put an end to the buyers’ search for their perfect choice. Your motive is to keep them restless with the feeling that if they decide too late, someone else will buy their dream house.

IMPORTANCE OF ONLINE MARKE NLINE MARKETING

This is the online shopping age. Most prospective buyers first look online for what they want before even employing the

services of real estate agents. It is the photos of the home, more so than a written description, that will interest a prospect — or not. When listing a house, your pictures of the house need to be captivating so that buyers become anxious to see the house in person.

SUMMARY OF CHANGES AND IMP GES AND IMPROVEMENTS

There are several steps to take to prepare your property for the market. One of the most important things is to get rid of your clutter. This may be difficult, especially if you do not see it as clutter, but be aware that a prospective buyer will. Emotional attachment to your belongings should be kept in check, as it may prevent you from realizing how cluttered your home appears to others. If your spending is done appropriately by replacing worn-out items and making minor improvements, you stand a better chance of selling your property quickly and at a better price. Here are some basic rules for proper staging of a home:

The house must be clean

“Sparkling” should be the right word to use for your home. The kind of cleaning that attracts top offers is often achievable and only feasible by hiring a professional cleaning crew. It is even a good investment to have the cleaning team come weekly to inspect your home while it is for sale. Your windows and other areas should be professionally cleaned both inside and outside.

Repair or replace

A cracked tile or a dripping faucet will give a negative impression to prospective buyers. Replacing them or getting them fixed before putting your house on the market is mandatory.

Use neutral colours

Neutral colours sell. Conveying an image of neutrality and quality is essential. Prospective buyers walk through your home, imagining themselves as the owners. Odd or loud colours can deter buyers. They won’t be able to imagine living with those colours, or will envision having to paint as part of moving in. Those sports team colours in the den will have to go!

Depersonalize

Remove most objects that personalize the home with your own memories or tastes. Overt signs of political causes or affiliation are unlikely to help the sale and might even detract. This can affect the buyer's desire to work with the seller if the issue is objectionable and subconsciously influence the buyer-seller relationship. There are emotional aspects to buying a home, and you want prospective buyers to attach emotion to your home by making it possible for them to envision themselves as owners. Critical areas While staging, be especially sensitive to the entrance, kitchen, bathroom, and toilet. Buyers put more emphasis on these areas.

CHAPTER 7 Marketing a Vacant Home acant Home

BENEFITS OF ADVERTISING ON MULTIPLE PLATFORMS

The boons bestowed by web technology have rendered it extremely easy to sell property on multiple platforms. While most homeowners hire an agent to sell their property, some opt to use online real estate portals, online classified ads, video- sharing sites, blogs, and social networking sites. Several websites are specifically designed for property sales. In addition, sellers can utilize the capabilities of real estate companies like Trulia and Prelist.org, which also feature mobile apps, to handle the complete range of processes associated with home selling. House buyers make broad and sophisticated use of the online market. However, their online activity significantly varies. Some are hunting for properties by locating specific brands on search engines. Others are keen to go through reviews and ratings of properties or interact with members of various real estate communities on social media sites. Many are also watching property tours presented through YouTube videos. Many make use of handheld devices to search for their dream homes online. The sales scenario of today can provide the widest exposure, reach, and coverage for your property. Due to the diverse kinds of customer behavior online, your sales strategy must involve multiple platforms. About one-fifth of real estate searches happen on handheld devices. Over the past four years, real estate searches on Google have grown by more than 253%. One study found that on average, shoppers make about 11 searches before taking action on a real estate issue. More than half of the actions taken on real estate brands are 29

from a search engine. Many real estate sites and FSBOs have high rankings on popular search engines like Google, Bing, and Yahoo. Added advantages presented by these sites include facilities such as email marketing, social media marketing, and various other marketing strategies that can help drive leads. Research has found that more than 70% of links clicked by search engine users are organic, not paid. Several companies have their own social media channels to post their clients’ properties, including Facebook, Twitter, LinkedIn, Pinterest, and Instagram.

USING SOCIAL MEDIA TO SELL THE HOME

Social media is one of the most prominent platforms for advertising your home sales information. Studies have shown that social media conversations have a significant influence on property buying decisions. The phenomenal amount of exposure that your property will get on social media is encouraging. Using social media enhances the possibility of selling your property and selling it quickly. While providing the widest and most targeted reach possible, social media advertising is also the least expensive avenue — free! To fully leverage this marketing channel, create a social media presence for your house on Facebook and Twitter. Both have advantages. The former is suitable for imagery, and the latter is the best avenue to develop local networks. Make the page appealing to potential buyers by featuring a strong cover, a profile picture of the home, and location details in text boxes. Great images are the key to attracting potential local buyers. Consider using a professional photographer. The amount you spend will come back in attention. Take advantage of the video possibilities on Facebook. Post a walkthrough of your home for potential buyers — a virtual showing. Share information about the locality, neighborhood, and highlights of the property. Share your page with your friends and contacts through your

Facebook and Twitter accounts, and ask them to share it with their friends as well. This can immediately open a network. If there is a local home buyer blog or website, be sure to share it there as well. Post personal emails in the footer region. Once you find people searching for property in your area, you can comment on their tweets. The most important thing is to stay interactive and promptly respond to comments from potential buyers, ensuring you profit from those leads.

CHAPTER 8 Using Curb Appeal t b Appeal to Sell o Sell Your Home for More

Your landscaping, physical exterior, and the facade of your home are fundamental aspects of consideration — vital if you want to sell your house for more. Curb appeal, the overall attractiveness of your home from the street, is the first impression that shows your home for sale.

WHY CURB APPEAL AFFECT EAL AFFECTS THE SALE S THE SALE

Nothing sets the tone of a relationship or transaction more than first impressions. Envision how a potential home buyer sees your home as they drive up to your curb for the first time. Think of curb appeal as a department store window — designed to draw you in to see what else is inside. A potential buyer looks for signs indicating how well the home has been maintained. Neglect and disorder outside portend shabbiness inside. If the exterior has a well-manicured lawn and is maintained to an appealing standard, it indicates that the current homeowner takes pride in their property’s aesthetics. Conversely, if buyers see neglect or decay, there is a good chance they will take that sole impression away with them and go elsewhere. As most buyers look online first to see general photos, curb appeal carries over to virtual home shoppers. Having good curb appeal and attractive photos posted within your ad will help you engage buyers immediately, so they can schedule an appointment with you or your real estate agent to view your home. Even if the interior of your home is kept up-to-date with repairs, 33

has perfect plumbing and electrical work, and is decorated nicely for appeal, the exterior and curb appeal of your home will have an enormous influence on a buyer’s decision within the first minutes.

HAVE A WELCOMING WALKWAY

The pathway to your front door serves as an ambassador for your home. Make it beautiful and pleasant to look at. Your walkway serves as the path to your home, and ensuring that it is as attractive as the rest of your home will gain you points with buyers. The pathway, landing, and your front door should blend to provide an appealing journey from your street or driveway to your house. For example, if your home’s style is Georgian, Greek Revival, or Colonial, a straight path that leads directly from the sidewalk to your door is recommended. With a straight path, you can avoid boring concrete by decorating the lane with flowerpots or beds. Keep in mind that incorporating too much will make your walkway look cluttered and disorganized. Maintain a decent balance, keep it elegant, and avoid going overboard. If you’re looking for something more unique, a wood walkway is suggested. Cedar, redwood, cypress, and teak are all weather- resistant woods that are perfect for creating a beautiful walkway and are easy to work with. For a wooden walkway, you will also need pea gravel or stone to work as a base. Wooden walkways require minimal upkeep, as they only need to be stained and sealed once a year to maintain their appearance. Whatever you decide to do with your walkway, always ensure that there is no overgrowth around the concrete or wood. Regardless of what it’s made of, go easy on the decorations and lawn ornaments. A few are a cute, fun idea that helps to make gardens and walkways pop. It is a terrible idea to bring in an entire army of them. Instead, keep a limit of about 3 or 5,

depending on the size of your walkway and how they blend with flowers, rocks, trees, and other aesthetic elements.

THE IMPORTANCE OF YOUR FRONT DOOR

Repainting your front door is a small but powerful tool to add curb appeal. Please select a colour that is both visually appealing and complements the overall style of the exterior, but enhances it. A contrast between the overall facade of your home and the front door will ensure that your curb appeal is exciting. For example, if your house is white or gray and has black shutters, a red-painted front door will create a more mysterious ambiance and add beauty to your home. Having a wreath on your door, a potted plant by the entrance, or boxed planters lined up on your porch near the front door will help create a more positive and free-flowing atmosphere. Ensure that the front door has a fresh coat of paint, the knob is polished, and any damaged or worn pieces are replaced before listing your home for sale. Do not overlook the rear of the home. Your back door also needs attention. For example, ensure sliding screen doors have perfect screens and function smoothly. A door that sticks or slides out during a showing is a definite faux pax.

A WELL-MANI -MANICURED LAWN MAKES A DIFFERENCE

If your lawn is withering, has brownish dead areas, or is overgrown and spotted with weeds, buyers are not going to be attracted to your home. It is essential to have a well-maintained lawn that complements the rest of your home just as well. A lawn that appears to be too high-maintenance can be a distraction. It is best to go for a look that is neat and attractive. Have the grass regularly trimmed and neatly edged, and ensure it remains healthy. Having a simple garden somewhere around the perimeter of

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