Selling a fixer-upper is not a lost cause; it is possible and there are tips and tricks to making a good deal on your property! In this article we will share with you how to market and sell your fixer-upper to the best of your listing agent’s and your home’s ability!
As a realtor, it is your job to set up a realistic, competitive, and profitable asking price for your client’s home. Here are some things you can do to revamp or prepare your clients fixer-upper for the market.
Small Cosmetic Repairs – This is up to the discretion of the homeowner and realtor but if the fixes are easy and cost-effective, it’s almost always better to have them taken care of before putting the home on the market. It’s important to buyers to know a home is well taken care of, so if the repairs are minor or just cosmetic fixes, they are doing to avoid having them used by the buyer as negotiation tools—or worse, turning them away from the home.
Major Repairs – These are listing price deductors but if the homeowner is not interested in fixing them, then listing the home “as is” may be your best option, although the value of the home may take a hit. The condition of the home will always influence the price, and it is important to make the seller understand the more that needs done to the home means the lower the price will need to be to attract buyers. Forgoing repairs could also mean the home loses its competitive edge compared to other homes—but a sale is a sale.
Rather than focusing on the negatives, make the seller and potential buyers see the value in the home by highlighting the positive aspects of the property. This can make your property more attractive to buyers and allow for good advertising speaking points when selling the home. These can include the location of the home, school zones, acreage, or home size, or that the home can be customized to the buyer’s liking.
As a realtor, you want to keep those honest conversations frequent between you and your client, as well as with potential buyers. While it is important to highlight the positives, be careful not to downplay the negative aspects of the home as well. Keep the buyer informed on what has and has not been done to the home to fix existing problems in the home. If the buyer asks about doing a home inspection, do not hesitate to invite them to do so. Keeping transparency and honesty about the property you are representing on all levels will pay off in the end. This honesty-first practice gives you more credibility as well.
Having a pre-listing inspection done on your fixer-upper can help create a comprehensive list of repairs, from minor cosmetic issues to major and must-do repairs. With an inspection completed before listing the home, you can make recommendations to your client on any repairs that should be done or how they will affect the asking price if they go uncompleted. A pre-listing inspection can also be provided to potential buyers with an “as is” clause on the sale of the home. This helps with open and honest communication between your seller and all potential buyers.
Looking for more information on home inspections or looking to set up an appointment to have your client’s home inspected? A pre-listing home inspection from AcuSystem Inspections can help you and your seller get a better picture of what to expect repair wise and from there determine what to fix, your listing price, and prepare for potential repair or pricing negotiations.