Over the past couple of years home prices across the United States have reached all time highs, mainly due to individuals and families moving to the suburbs because of the coronavirus pandemic, and also historically low interest rates. As HomeLight notes in their Top Agent Insights for New Year 2022, listings selling in minutes and bidding wars of epic proportions were the norm, however in 2022 things are expected to settle slightly.
56% of real estate agents report that bidding wars are on the decline in their territory and only 16% report they are on the rise. This might seem like cause for concern for sellers, however, the demand for homes is still going strong because of the popularity of working from home. In fact, 71% of real estate agents report that they’re helping workers sell or buy homes to better accommodate remote work.
Here’s some information to help you make the most of these trends.
The best time to contact a realtor
The majority of homeowners choose to work with a realtor to facilitate the sale of their home because they work on commission (meaning they only get paid if you’re successful) and because selling a home is like a full-time job. In most cases the homeowners begin working with a real estate agent three months before listing their property because it’s enough time to prepare without being so early that the plan becomes obsolete before listing.
The main variables in determining when to engage with an agent are the homeowner’s:
- Property condition: If a property needs extensive renovations, then the agent should be contacted quickly to allow time to implement recommended changes.
- Selling timeline: If you’re in a rush to sell, you should engage an agent as soon as possible – a month or even two months before listing if possible.
- Speed of the market: In today’s hot housing market home values frequently change which means you should speak with a realtor closer to listing.
- Comfort level: If you’re uncertain about selling your home and feel overwhelmed, contacting an agent early can be helpful. If you’ve sold a house before, then you likely can hold off a bit.
Selling a home with none or few upgrades
While working with a realtor using standard tactics is a great way to get top dollar for your home, the process can be drawn out and depending on your home’s condition, you may need to make upgrades before selling. The quickest way to sell a home is, as-is.
Selling a home as-is means the buyer is purchasing the home in its current condition. This means the seller isn’t required to make repairs and improvements even if they surface on an inspection report. While as-is sales can be done in a matter of weeks, the convenience comes at a cost of a lower selling price.
Additionally, some areas have special regulations around these types of sales which is why you should enlist the help of a real estate agent that specializes in as-is sales so that you don’t get lowballed.