Can we all agree that the Number One Challenge in getting a house sold is finding a qualified buyer and getting them approved for a mortgage?
With all the homes out there on the market, buyers don't need to look hard to find homes with a great kitchen, gorgeous hardwood floors, or whatever other feature most sellers think is important. The real struggle these days is getting a buyer financed so they can purchase your home. And for buyers, every penny saved is a penny that can be used to buy your home.
So while many real estate agents focus on making your house "pretty-as-a-picture," consider these suggestions for making it financially attractive as well:
- "Seller will pay closing costs up to $4K (or whatever you decide)" — You know all buyers will ask and you know you'll end up paying them anyway, so why not make it clear from the start that you'll cover closing costs up to a reasonable, yet generous, maximum?
- "Seller has recently done a professional and impartial inspection report" — If you were shopping for a home, you'd eventually build a list of two or three likely prospects. You'd certainly want to know every defect of each home, but at $300+ for an inspection who can afford to. So you start trimming the list. It would be a huge time- and money-saver if sellers just went ahead and ordered a thorough inspection upfront. That way, your house can stay on the short list of far more buyers, and that means more serious offers.
- "Seller will owner finance a serious buyer" — OK, now this approach will require a skilled agent and a good closing attorney, but it's worth it. If you can offer some form of owner financing, you'll have buyers beating down your door. You are looking for a buyer who needs a year or less to qualify for a bank mortgage. You'll be "the bank" for them in the meantime. They'll pay you a down payment at closing. They'll make monthly mortgage payments to you. Then, within a year, they'll refinance using a conventional mortgage.
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