Four Steps for Every First-Time Home Seller

Learning how to assess the value range of homes can be a very helpful ability for a home seller. (Andrey_Popov/Shutterstock)

Dear Monty: We have outgrown our first home. I searched for “the best way to sell my house” online. The responses were so different that I realized how little I knew.

The best way isn’t evident to me. They all sounded good. Here is what each ad stated:

• “We buy for cash,” and said they pay market value and that we can avoid the hassle of selling.
• Realtor.com said, “Save thousands in commission fees; in California, people save an average of $1,881 when they sell their home with a Realtor.com agent.”
• Webuyhouse.com said: “We'll Beat Any Serious Offer—Pay Zero Fees or Commissions.”
• “The fastest way to sell your home is to list the home on MLS. The open market gives you maximum exposure, and that exposure can bring you numerous buyers and multiple offers. You close on your terms, regardless of whether you sell fast or wait for better offers.” There was no contact information.

They all can’t be the best way. What is the best way to sell my home?

Monty’s Answer: Each choice is there because they all have potential customers. The other component is that the customer often knows little about valuation, or some of the things they do know are myths. Fortunately, you recognize you are at a disadvantage. Every home has a range of value, so advertisers buying homes at the low end of the range can declare their offer is market value. Motivation is the reason these options work. The final component in the transaction is the seller’s financial condition.

For example, you may contact your first and third advertisements if you face imminent foreclosure. Here are the different home seller strategies.

Your Circumstances

A growing family creates motivation. Here are the steps you can take to determine which is the best way for you to sell.

No. 1: Determine the range of value of your home. The best approach is to learn how for your knowledge, so you don’t have to depend on an appraiser or real estate agent. They may or may not render an accurate opinion. Here is an article about challenging an appraisal that gives you the information you need to know.

No. 2: Determine your requirements in your next home. Take a couple of weekends to spend at open houses. Check social media for for-sale-by-owner open homes; they can be the best values as they are feeless. Ten to 15 open houses will help you zero in on a value range for your next home and build confidence in your ability to evaluate homes, including your current home.

No. 3: Obtain your preapproval letter. Knowing how much you can borrow and your equity in your current home can help you in several ways. You can estimate a future monthly payment, purchase prepared and remove uncertainty in your real estate decisions.

No. 4: Execute your action plan. Should you put your home on the market first or find the home you want? You may or may not be able to purchase, subject to the sale of your current home. If you cannot, you can put your home up for sale, subject to you obtaining your new home. An option you did not mention is PropBox.co. Check it out. When you register as a home seller and start building your own webpage, your home’s range of value appears.

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