What to Consider Before Selling Your Home

What to Consider Before Selling Your Home

Preparing to sell your new home can be an overwhelming process. However, there are many things that can be forgotten during this time. It is important to make sure that all your bases are covered so you do not have financial trouble later on. Mapping out your plan to sell your home can be a good way to make sure you are not missing anything. A sales plan will ensure that you are not making mindless mistakes and that you are investing your time, money and energy into the things that matter.

Initially you may want to evaluate exactly why you plan to sale. Are your reasons solid and legitimate? Are you currently in debt? What is your plan for the post-sale of your home? Are you eligible for a loan to purchase a new home or rent? All of these factors and much more will tell you if you are making a sound decision. It is important not to act on impulse, home sales are one of the biggest sales people encounter.

Once you decide that selling is the right decision for you, you have to be mindful of your next move. Some home owners move out of necessity and cannot sell their home before they have to move and they end up being stuck with maintaining two properties. If this is the case, you may want to set-up a form of vacancy insurance. Perhaps you might want to even rent out that property to help maintain the space and the financial obligation. For owners planning to sell that are not in a hurry, it is always a good idea to view houses and neighborhoods that you might be interested in (with the help of a Realtor) to stay on-top of the game. Sometimes the buying and selling process has unexpected twists and turns, and it is always good to be as motivated as possible, this means starting early.

Speaking of viewing homes, and working with agents, that is one of the most valuable parts of buying and selling and property management. Whatever you do, it is important to work with a local agency to ensure that you are getting qualified buyers. If you are not sure where to go, you can interview different agencies in your area to see their take on marketing your home to potential buyers. You will want to consider their comparative marketing analysis (CMA); each company’s CMA will tell you their level of success and methods of executing their plan. You will also want to ask about their recommended home pricing as well as the net profits on these sales. This is to help you know what you can expect so you can plan your future accordingly. You can also ask them what additional services they have to help move along the process of selling as quickly as possible. Do they work with an attorney and title company? Is the agency in-cahoots with professional photographers, professional staggers and other companies that will take care of getting the home ready to show? In addition to these things, you will want the agency to help you with getting your home up to code in order to pass inspection. Having a good agent means they are making the process less of a hassle for you.

Another important step in this process is dealing with lenders. You want to make sure the remaining mortgage on your home is taken care of. You could end up owing taxes on that money and it is important to know where you stand. You can order a beneficiary statement to help bring things with your current mortgage to closure. After you take care of your current mortgage, if you are in good standing with your current lender, inquire about receiving a Good Faith Estimate (GFE). A GFE will give you a good idea of what your rates and fees will be. If you are looking for a new lender, your agent should be able to assist you on finding someone that suites your needs.

By the time you get these things squared-away, you are on the fast-track to preparing for your move. Here is a re-cap to make sure all your ducks are in a row:

1. Evaluate why you are selling. You do not want to rush into anything.
2. Find an Agent/Broker to help you sell and buy your next home.
3. Take care of any current business with your lender and find a new lender if you plan to go with a different company.

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