The housing market continues to favour sellers as we move into the summer months and have firmly left the spring market behind us. If you’re thinking of selling, this is a great time to do so! Not only will your home likely be listed on the market for a shorter period of time, but a few sellers are currently receiving multiple offers on their home. This is due to the unusually high demand for housing this year along with what has been a somewhat limited supply of homes available on the market.
However, even in a seller’s market, there are some things you can do to help improve your chances of selling your home and getting the best offer! Here are some tips for selling your home in a seller’s market:
- List Your Home on a Tuesday: Depending on the location, Tuesday is typically the very best day of the week to put your home up for sale. Most individuals have weekends free or can take a few hours off work during the week should they be interested in a home for sale! They browse the listings to decide on a shortlist to visit later in the week. I have always found that the most serious buyers view homes – with their agents – on weekday afternoons. Be sure your agent includes multiple professional quality photos, a 3D virtual tour and a drafted floor plan of the home in your listing to get your listing off on the right foot. Buyers and agents always look in detail online first before deciding to view a home in person. Make sure your listing gets you filtered in and not filtered out. Listing your home for sale on a Friday or Saturday is a huge mistake! You'd be seriously limiting the number of potential buyers viewing your home.
- Offer Limiting Showings Hours: Another good strategy for maximizing your offers in a seller's market is to limit your showings. Restricting the hours that you show your home will allow you to have multiple buyers touring at the same time, which tends to create quiet competition as the buyers know other individuals are interested. Agents can actually see when other agents have booked appointments in our online system. Limited hours could be: 12 PM to 5 PM and 7 PM to 8 PM. And, of course Saturday from 10 AM to 3 PM. But no open houses – serious buyers don't go to them and they usually are quite beneficial to agents who are merely prospecting for new potential clients.
- Lower the Asking Price: While not always necessary, lowering the asking price slightly can make your home even more attractive to potential buyers. If you get multiple buyers interested, it will leave some wiggle room for buyers to bid over the asking price. Be careful though – don't list your home's price too low or you'll attract home buyers in the completely wrong price bracket while your potential buyer is looking at homes in the a very limited price range around what they can afford. Mostly, you want the best offer, not the fastest!
- Make the Most of a Bidding War: If you do end up with the dreaded bidding war on your home, you will want to try to make the most of it. Firstly, encourage stronger offers. Secondly, respond to one offer with a counteroffer and set the others aside until you get a response. Thirdly, accept the very best offer. However, keep in mind that the highest offer might not always be the best one! Some things to keep an eye out for that are conducive of a "strong" offer include: an offer with no financing condition, fewer or no other conditions and a flexible moving date. A higher deposit may also be considered as stronger motivation, but the amount of their deposit is actually irrelevent to whether or not they can afford to buy your home. An unconditional offer should always include a higher than normal deposit amount.
If you’re looking to sell this year, make sure you utilize a top REALTOR® who can help you navigate the current market settings so that you get the most out of your home! And don’t forget to reach out to your mortgage professional for all the information around moving and how that affects your mortgage PRIOR to listing your home for sale!