7 Common Mistakes Sellers should avoid (The Bugle)

Having had the great privilege of being involved in the marketing and sale of high end residential real estate for almost two decades, and following on from the recent article in which 7 key things a seller should do to secure a sale were highlighted, it is opportune to provide insight to sellers, especially in the current buyers market, of the 7 most common mistakes to avoid. Selling a home can be an emotional event with prospective buyers invading your home, potentially criticizing it in your presence, and possibly even offering you a price well below your expectations. Apart from this process being time-consuming, it may be infuriating and draining. If I consider every transaction I have had the pleasure of assisting with, the single most important ingredient the property has to offer the prospective buyer is Value with a capital “V”, which brings me to the first mistake sellers make: 

(1) Setting an unrealistic price. Correct pricing is the single most important thing to get right. Realism and access to actual sales statistics of similar properties is essential. A detailed comparative market analysis by an experienced property professional is the starting point. This is best achieved by working with your estate agent of choice, which brings me to the second mistake sellers make: 

(2) Not contracting with an agent. Although estate agents command a commission, which can be as high as 7,5% (plus vat.) of the selling price, a top performing estate agent will add considerable value at every level of the sales process and will most likely be able to negotiate a considerably better outcome than a seller trying to DIY the transaction. Importantly the agent will be able to take the emotion out of the transaction for the seller which leads to the third mistake sellers make: 

(3) Becoming emotionally involved. Most residential homes are purchased on an emotional basis rather than a purely financial consideration. The property has to “speak” to the buyer. Buyers are in turn not overly sensitive to a seller’s emotional attachment to a property, and their criticism of a property can be very offensive. By distancing themself from the process and using a third party estate agent to assist them, a seller will avoid this emotional minefield.  The fourth mistake seller’s make: 

(4) Expecting to get your asking price. Every smart buyer will want and expect to negotiate on the list price. For a buyer to transact they have to believe they are getting a good deal. A seller should therefore set the price within the value range for the property and allow some room for negotiation. The state of the general market and the presentation of the property are factors, which directly determine the eventual pricing achieved. Absolute pricing of your home is irrelevant. It is the pricing relevant to the next best alternate for the buyer that is critical. The fifth mistake seller’s make: 

(5) Skimping on listing photos. Most buyers will first come across your home on-line and what they see there will determine if they even bother enquiring. The quality of the images of your home is an essential ingredient in the marketing and presentation of the property. If your estate agent does not use a professional photographer, contact one that does.  The sixth mistake seller’s make: 

(6) Not accommodating potential buyers. Once you make the important decision to present your property for sale, it is essential to make the property available for viewing, despite the inconvenience. The home has to be consistently clean and presentable and free from clutter. Prospective buyers will be put off by an untidy home. The seventh mistake seller’s make: 

(7) Contracting with an unqualified buyer. As estate agents our job is to present a willing and able buyer. The screening of prospective buyers is an important part of the process and can avoid extensive wasted time and cost to the seller.

(Author: Andreas Wassenaar, published in The Bugle, 13th March 2013)