House on Fire - That Burning Feeling for Sellers

Your home may not actually be on fire, but if you need to sell in a short period of time, that burning sensation in your stomach may feel like a fire extinguisher is required or you may beg for a bottle of Mylanta.  But before you take out the wrecking ball, consider a few things that may realistically affect your ability to sell quickly.  The first question might be, should I try to sell it myself to save commission or do I need a Realtor? 

Consider the following:

1. How quickly do you need to sell the home?  Is the timeframe 3 months, 6 months or a year; or do you need to dump it ASAP?  Selling without an agent saves commission, but you need some skills and you need some luck.  Using a Realtor may very well help, but there is no guarantee.
2. Do you have net equity in your home? (Is the house worth more than you owe in mortgages?)  If "yes," you have some wiggle room on price.  If "no," then you have to decide how much of a hit you can handle if you sell for less than you owe and, is losing money out of your pocket better than going through foreclosure.  This can be a really tough decision.
3. How do you decide between using an agent and saving 6 percent, or hiring an agent and possibly getting the home sold more quickly?  Consider the following:  Are other houses selling in your neighborhood?  How quickly?  Can you price your home competitively to those around you?  Can you afford to price it lower than comparable houses already on the market?  How much time do you really have to sell before trouble?  Do you know a good lawyer who can help with contracts and legal issues?  Do you know enough to promote your home on The Internet?  (e.g.: setting up an individual website for your home; posting your home on Craigslist, Facebook and other sites; Tweeting about your home, etc.).  Without exposure, your home will not sell.
4. How presentable is your home?  Is it clean and reasonably modern compared to other homes in the area?  Does it need structural work in order to pass an inspection?

Selling a Home is All about Price, Attractiveness and Exposure.

Price: You need to price your home appropriately for this market, your neighborhood and your eagerness to sell.  There is no question that a lower price usually equals a faster sale.

Attractiveness:  Appearance is very important.  When a buyer looks at your  home from the street will they say, "Wow" or "Ow!"?  When they enter your home will they say, "Great" or "Ouch"?  Do you have a sense of style and the ability to paint and repair?  Can you afford to hire the help to enhance the look?

Exposure:  This is critically important!  No exposure - No sale!  A yard sign is essential.  Being listed in the local MLS (multiple listing service) gives great exposure, but you need to work with a Realtor to be listed.  (There are brokerages which will list your home for a flat fee and do very little else to promote or sell your home.)  You can post on Craigslist and some other Internet sites.  You may consider paying for ads in the local paper.  You need, also, to consider your availability to show your home.

Bottom Line:  If your stomach says your house is on fire, you must consider the trade-offs.  If you are truly in a hurry, you likely need a Realtor who knows your neighborhood, has an excellent referral network, has access to the data to help you price your home for quick sale and is active on The Internet.  But choose wisely.  Don't just choose the first agent you find.  Ask them questions about their approach and their track record.