In the last year there has been a pent-up demand in buyers looking to buy a home in the Calgary market. With some sellers still hesitant to let prospective homebuyers in their homes, there remains an undersupply of homes. You’ve probably seen homes which are selling within hours, or within a day or two of being on the market. Or you hear of an agent bragging that a home they listed for sale for "over asking price." This brings us to the first mistake to avoid in selling your home: Don’t undervalue your home! A home that sells immediately has almost always been underpriced. A good rule of thumb is that homes should sell in 1 month. Don’t fall for the current artificially created sellers' market that we appear to be in.
The second mistake to avoid is not getting your Real Property Report (RPR) updated BEFORE you list your home for sale. The number one issue that lawyers have in real estate transactions are issues with real property reports not being current. As a realtor, we have the knowledge to know when one needs to be updated, but ultimately it is your responsibility to ask. If they feel there is a questionable issue that they can't (or prefer not to) answer, they will refer you to your real estate lawyer before the home is place on the market. The current RPR is part of the determination of value that you and your real estate agent must make in setting your asking price and your potential sale price.
The third mistake to avoid is not offering an acceptable incentive to buyers and their agents to bring their clients to view, and eventually buy your home. Each market has its own unique "market normal" compensation being offered. Since the implementation of mandatory buyer representation agreements (in Alberta), no longer do we see agents steering clients to the sellers are that paying the highest compensation. We now have prospective buyers actually asking not to see homes that offer lower than expected compensation to their agents knowing that they will be required to make up any shortfall. Today's buyer also has the unique advantage of getting reimbursed for any excess of compensation that would otherwise be directed to their agent. Offering above or below these market norms, is essentially unnecessary – there is no added incentive for the buyer’s agent to advantage your property.