The success of selling your house depends on the market you’re selling into. In this article, you’ll read about how to take maximum advantage of a seller’s market in Coachella Valley for home selling…
In a buyer’s market, there are more houses available to buy than there are sellers. In a seller’s market, it’s the opposite – many buyers and not as many sellers. If you’re a seller in a seller’s market, you have the advantage already of having a scarce commodity that buyers want. As I’m sure you’ve heard, as of this writing we are very much in a seller’s market.
HOWEVER, it’s very easy to get sucked into a high offer but unqualified or picky buyer and lose weeks and even months of valuable market time, EVEN IN THIS MARKET.
Here’s how to take advantage of a seller’s market in Coachella Valley for home selling…
How To Take Advantage Of A Seller’s Market In Coachella Valley For Home Selling
Advantage #1 You Can Ask A Higher Price
Following the simple rule of supply and demand, you can ask a higher price (and often get it) because buyers don’t have as many choices available to them. So the first way to take advantage of the seller’s market is to simply ask for more money. However, if the offer involves bank financing (and the vast majority, despite the common perception that most offers are “all cash”), then it has to appraise. Hitting appraisal can be a huge problem, especially in a hot market because appraisers have to use properties that have already sold (aka “comps”). Well, if the market is going up, then the properties that have already sold will be under market, right? So then what happens if the property doesn’t appraise? It means the seller will either have to come in with more cash, or
Advantage #2 Ask For Or Remove Conditions
Price is just one component of selling a house. Another component is the conditions that are also placed on the sale – including an inspection, a site survey, repairs, or appliances that will remain in place. But these are what the buyer might ask for. When the buyer has contingencies, they can cancel under most conditions without losing any of their deposit. Savvy buyers may know that they can ask for the moon and the stars like repairs, a lower price, etc and the most you can do is say no but you can’t cancel. The buyer can pretty much cancel when they want and they risk nothing. That is why it is SO important to demand they release their contingencies as soon as possible. This is one of the biggest mistakes agents make is not making the demand on the buyer to “release” their contingencies. If they try to cancel after releasing the contingencies, they could forfeit their deposit so at least you walk away with some monetary gain.
Advantage #3 Generate Multiple Offers
When you only have one offer, you sometimes feel forced to take it. But when you’re presented with multiple offers from multiple buyers, you can get picky, and you can also negotiate from a position of strength. Generate multiple offers by getting a lot of interest and only accepting offers at a certain time. Then go through each offer at your leisure to determine which one is right for you. Remember, the highest price isn’t always the best offer. Also, there are two strategies here: you can pick what you think is the best offer and accept it, or you can request a “highest and best” offer from all of the potential buyers. You may get everyone to raise their offer price. It’s a great strategy, but beware it can sometimes backfire- some buyers don’t like being in a bidding war and will sometimes walk away because they feel intimidated.
Summary
Selling in a seller’s market in Coachella Valley sure beat trying to sell in a buyer’s market If you’re selling your house in Coachella Valley during a seller’s market, use these tips to take advantage of the situation and enjoy a higher return, the addition or removal of conditions, and multiple offers to choose from.