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Selling A House As-Is: Our Writer’s Firsthand Guide | Bankrate

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When preparing to sell your home, getting the property into pristine show-ready shape can feel overwhelming — and cost a fair amount too. But instead of sinking more money into it when what you really want is to get rid of it, there’s another option to consider: selling the home as-is. This tells buyers that there will be no changes made, no concessions, no bargaining — what you see is what you get.

I speak from experience. When my father passed away, I decided to sell his house in as-is condition rather than put a lot of time, effort and money into fixing it up. This is my story — plus pros, cons and tips if you’re thinking of doing the same.

“As-is” is not, strictly speaking, a legal term — rather, it’s a contractual term. In real estate transactions, it means that the seller makes no guarantees or representations about the property’s condition or the working order of its features, and will do nothing to change the condition or features. And, crucially, it means that the buyer accepts these terms in purchasing the property.

I sold my father’s house as-is — here’s what I learned

The time had come to sell my old Kentucky home. My 90-year father had died, and I had no desire to move back to my birthplace. Built in the French Provincial style by my parents in 1963, the house was beautiful, with a pool and tennis court, surrounded by woods. But it hadn’t been updated in 15 years, since my mom’s death, and in his decline, my dad had let things go.

“Spare yourself the expense of renovating and the hassle of negotiating,” friends and real estate pros advised me. They thought people would want the property for the land, a three-acre lot, and the location, a peaceful suburb only 20 minutes from downtown Louisville. So I decided to sell the place in its existing state, as-is.

We listed it at $650,000. After some frivolous nibbles, a serious offer came in: $600,000. My broker said “take it,” but — feeling emboldened by experience in eBay bidding wars — I countered with $625,000. Sold! Well, that was easy, I thought.

Until the requests began.

I’d allowed the buyers a generous period of time to inspect the property and plan their renovations. But I wasn’t prepared for the pop quizzes that followed: Did the septic lines run under the tennis court? When was the oil tank last lined? Was the county ever going to run gas lines out to the neighborhood? Each one was accompanied by a follow-up question: If this turns out to be a big expense for us, can you adjust the asking price?

Each time, I furnished the requested info as best I could while ignoring the hints about the price. Then, just one week before the scheduled closing, the buyers suddenly got scared the house might have asbestos. Would I pay for a special inspection and removal if it were true? If not — basically a threat, not a hint this time — the sale was off.

I panicked: Could I afford, not just financially but emotionally, to put the house back on the market, especially since the prime summer selling season was nearly over?

But after a careful look at our purchase and sale agreement, sanity returned. “Remind these folks of the contractual facts of life,” I instructed my broker. They had agreed, in writing, to buy the home in its current state, with no repairs or concessions on my (the seller’s) part. That was the deal; that’s what “as-is” means. If they reneged now, I would sue them for breach of contract — and probably win, a real estate attorney who looked at the agreement told me.

After a tense few days, they finally backed down, and the closing went through as planned. I signed remotely, having canceled my flight during my moment of panic. After closing costs, the broker’s fee and paying off the mortgage, I netted a small profit.

Do I have regrets about selling the house as-is? To be honest, yes, a little. Not so much about the money — I was resigned to getting less — but because it didn’t save me as much hassle as I’d expected. Still, the as-is status did give me the grounds, and the guts, to stand firm at a crucial moment. I think Daddy, a lawyer and master negotiator, would have been proud.

Common reasons to sell a house as-is

Much of my decision to go the as-is route had to do with convenience. But people opt to sell homes in their current state for a variety of reasons, usually related to money, time or effort — or a combination of the three.

Finances: Home-improvement projects can be very expensive. There are already plenty of costs that add up when selling a house, and a home in disrepair can raise those costs even further. Selling a house as-is allows you to skip that expense.

Timeliness: The as-is status can also expedite your timeline. Let’s say you need to relocate for work and sell your home as quickly as possible. Undertaking a renovation project would seriously delay your listing. If there’s enough demand out there from buyers, selling as-is can help speed up the process.

Convenience: Sometimes, selling as-is just seems the most practical course. In cases where a home is inherited (like mine) or needs to be sold following a divorce, for example, the seller might opt for an as-is sale to avoid the hassle and responsibility of preparing the house for the market.

Does selling as-is lose you money?

Broadly speaking, properties listed as-is do tend to be priced lower: Buyers just aren’t going to offer as much if they know they’ll have to invest in repairs and renovations once they take possession.

It’s hard to set a specific percentage on how much less you will make selling as-is versus fixing the home up before listing it. Much depends on the condition of the property, its location and how competitive the local real estate market is. In a strong seller’s market, the price gap typically found between an as-is sale and a regular sale will be smaller.

And if a home is on a prime piece of property or in a highly desirable neighborhood — especially one that doesn’t see new listings often — its condition matters less because the location is paramount. That certainly characterized my situation. My family home was in a subdivision that had only 12 houses, all widely spaced throughout hilly terrain with river views. Lots as large as ours were getting rare in fast-growing Louisville, my broker noted.

Pros and cons of selling a house as-is

Just like any real estate transaction, an as-is home sale has upsides and downsides.

Pros

Fewer costs: Avoiding expensive repairs helps you avoid potential financial strain. Plus, selling a house as-is means there’s no pressure to make it look perfect — no need to pay for professional staging inside or enhanced curb appeal outside — which translates to less of a ding on your bank account.

Faster process: Rather than waiting weeks or even months for repairs and other projects to be completed, you can list your home on the market and start showing it immediately. The sooner you list it, the sooner it can sell — my own listing was up within weeks of signing the broker’s contract.

Smoother closing: The upfront knowledge that no repairs will be made means there’s less negotiation and no haggling back and forth over concession requests, which helps smooth the path toward a straightforward, uncomplicated closing (in theory, at least).

Cons

Reduced profit: Homes sold as-is generally fetch a lower price, due to the anticipated repair costs the buyers will have to shoulder. Skipping the repairs saves you money on the front end, but you can’t expect to price an as-is property the same way you would if it were in move-in-ready condition. If my father’s house had been thoroughly modernized and in tip-top shape, I might have listed it for $100,000 more, or even higher.

Fewer buyers: While some folks love a fixer-upper, many house-hunters are looking for move-in-ready properties and don’t feel comfortable taking on a “project.” So,the number of interested buyers will likely be less for an as-is listing, and selling could take longer. In my case, it took four months before a serious offer came along.

Financing challenges: Potential buyers might face difficulties in securing a loan for a house in poor shape, which can prolong the selling timeframe. It might even lead to the deal falling through, particularly if the home appraisal comes in short of the agreed-upon price.

5 tips for how to sell a house as-is

These tips can help get you to a smooth and successful as-is sale:

1. Be upfront about the home’s condition

Make it clear from the get-go — in the listing and any other marketing materials — that the home is being offered in as-is condition and that you will not be making repairs or addressing problems. And put it in writing in your purchase and sale agreement as well.

Star

Keep in mind: Make it clear from the get-go that you will not be making repairs or addressing problems.

It may be useful to get a pre-listing home inspection so that you can be specific about exactly what work is needed and offer transparency to potential buyers. Providing inspection details upfront can instill trust, making the situation more appealing to a buyer and possibly accelerating the sale. The inspection report can also help you determine a fair list price.

2. Remember seller’s disclosures

Selling as-is doesn’t excuse you from disclosing known defects. For example, if you know there’s a mold problem or a crack in the foundation, you’re legally obligated to inform the buyer. If you misrepresent the condition of the property, you could potentially be held liable for any issues that arise.

Nearly all states across the country have laws in place outlining what home sellers must disclose. Many have specific disclosure forms that sellers are legally obligated to complete and supply to buyers. And in many places, real estate brokers and agents are also required to disclose any known defects.

Star

Keep in mind: You’re responsible for disclosing information that’s within your personal knowledge — you’re not required to go searching for problems.

“Known” is the operative word here, though: You’re responsible for disclosing information that’s within your personal knowledge — you’re not required to go searching for problems. I carefully read and signed Kentucky’s disclosure statement, attesting that there were no issues I was aware of.

3. Keep things as tidy as possible

You might not be investing in any major upgrades, but that doesn’t mean you should give up on presenting your home in its best light. You can still make sure the property is neat and tidy. Keep the yard mowed, surfaces clean, beds made and dishes put away, and minimize clutter as much as possible. Be ready for viewings at all times, as you would with any home sale.

Star

Keep in mind: Looking dated is one thing, looking derelict is another.

You might also invest in some small fixes beforehand, as I did at my broker’s recommendation: replaced broken window panes, smoothed over wall cracks and repainted several rooms. All told, it came to about $1,600 — a small price to pay to spruce things up. Looking dated is one thing, looking derelict is another.

4. Know how low you can go

Think about what your rock-bottom price would be — the lowest offer you’d be willing to accept — and be ready to make a quick counter-offer if someone bids lower. That’s what I did: I had a $600,000 threshold in my head. Anything above that, I figured, was gravy.

Speaking of compromises: Even with an as-is listing, some buyers will still try to negotiate based on home inspection results, as mine did. If a few hundred (or thousand) dollars is all that’s standing in the way of making a deal, you can always agree to make a repair. Or, trim your asking price accordingly.

Star

Keep in mind: If a few hundred dollars is all that’s standing in the way of making a deal, you can always agree to make a repair.

However, if they’re asking for major modifications, as mine were, stand firm. I provided paperwork that proved recent repairs or attested to the condition of the HVAC and plumbing systems and other infrastructure. But I drew the line at agreeing to finance special inspections or carry out expensive upgrades — that would negate the whole point of an as-is sale.

5. Find a trusted real estate agent

It might be tempting to try to sell your house on your own to avoid paying a Realtor’s commission fee, but it’s probably smarter to enlist a professional who has experience selling as-is homes. An experienced agent can help you set a price that accurately reflects the value of the home, and show it in a way that helps buyers see its potential.

Star

Keep in mind: An experienced agent can show the home in a way that helps buyers see its potential.

My broker and his team certainly aimed for “the fixer-upper folks,” as he dubbed them. And I will always greatly appreciate the professional way he drew up our contract, making the as-is clause watertight enough for me to rely on it when I had to.

I sold my father’s house as-is — here’s what I learned

The time had come to sell my old Kentucky home. My 90-year father had died, and I had no desire to move back to my birthplace. Built in the French Provincial style by my parents in 1963, the house was beautiful, with a pool and tennis court, surrounded by woods. But it hadn’t been updated in 15 years, since my mom’s death, and in his decline, my dad had let things go.

“Spare yourself the expense of renovating and the hassle of negotiating,” friends and real estate pros advised me. They thought people would want the property for the land, a three-acre lot, and the location, a peaceful suburb only 20 minutes from downtown Louisville. So I decided to sell the place in its existing state, as-is.

We listed it at $650,000. After some frivolous nibbles, a serious offer came in: $600,000. My broker said “take it,” but — feeling emboldened by experience in eBay bidding wars — I countered with $625,000. Sold! Well, that was easy, I thought.

Until the requests began.

I’d allowed the buyers a generous period of time to inspect the property and plan their renovations. But I wasn’t prepared for the pop quizzes that followed: Did the septic lines run under the tennis court? When was the oil tank last lined? Was the county ever going to run gas lines out to the neighborhood? Each one was accompanied by a follow-up question: If this turns out to be a big expense for us, can you adjust the asking price?

Each time, I furnished the requested info as best I could while ignoring the hints about the price. Then, just one week before the scheduled closing, the buyers suddenly got scared the house might have asbestos. Would I pay for a special inspection and removal if it were true? If not — basically a threat, not a hint this time — the sale was off.

I panicked: Could I afford, not just financially but emotionally, to put the house back on the market, especially since the prime summer selling season was nearly over?

But after a careful look at our purchase and sale agreement, sanity returned. “Remind these folks of the contractual facts of life,” I instructed my broker. They had agreed, in writing, to buy the home in its current state, with no repairs or concessions on my (the seller’s) part. That was the deal; that’s what “as-is” means. If they reneged now, I would sue them for breach of contract — and probably win, a real estate attorney who looked at the agreement told me.

After a tense few days, they finally backed down, and the closing went through as planned. I signed remotely, having canceled my flight during my moment of panic. After closing costs, the broker’s fee and paying off the mortgage, I netted a small profit.

Do I have regrets about selling the house as-is? To be honest, yes, a little. Not so much about the money — I was resigned to getting less — but because it didn’t save me as much hassle as I’d expected. Still, the as-is status did give me the grounds, and the guts, to stand firm at a crucial moment. I think Daddy, a lawyer and master negotiator, would have been proud.

Common reasons to sell a house as-is

People opt to sell homes in their current state for a variety of reasons, usually related to money, time or effort — or a combination of the three.

Finances: Home-improvement projects can be very expensive. There are already plenty of costs that add up when selling a house, and a home in disrepair can raise those costs even further. Selling a house as-is allows you to skip that expense.

Timeliness: The as-is status can also expedite your timeline. Let’s say you need to relocate for work and sell your home as quickly as possible. Undertaking a renovation project would seriously delay your listing. If there’s enough demand out there from buyers, selling as-is can help speed up the process.

Convenience: Sometimes, selling as-is just seems the most practical course. In cases where a home is inherited (like mine) or needs to be sold following a divorce, for example, the seller might opt for an as-is sale to avoid the hassle and responsibility of preparing the house for the market.

Does selling as-is lose you money?

Broadly speaking, properties listed as-is do tend to be priced lower: Buyers just aren’t going to offer as much if they know they’ll have to invest in repairs and renovations once they take possession.

It’s hard to set a specific percentage on how much less you will make selling as-is versus fixing the home up before listing it. Much depends on the condition of the property, its location and how competitive the local real estate market is. In a strong seller’s market, the price gap typically found between an as-is sale and a regular sale will be smaller.

And if a home is on a prime piece of property or in a highly desirable neighborhood — especially one that doesn’t see new listings often — its condition matters less because the location is paramount. That certainly characterized my situation. My family home was in a subdivision that had only 12 houses, all widely spaced throughout hilly terrain with river views. Lots as large as ours were getting rare in fast-growing Louisville, my broker noted.

Pros and cons of selling a house as-is

Just like any real estate transaction, an as-is home sale has upsides and downsides.

Pros

Fewer costs: Avoiding expensive repairs helps you avoid potential financial strain. Plus, selling a house as-is means there’s no pressure to make it look perfect — no need to pay for professional staging inside or enhanced curb appeal outside — which translates to less of a ding on your bank account.

Faster process: Rather than waiting weeks or even months for repairs and other projects to be completed, you can list your home on the market and start showing it immediately. The sooner you list it, the sooner it can sell — my own listing was up within weeks of signing the broker’s contract.

Smoother closing: The upfront knowledge that no repairs will be made means there’s less negotiation and no haggling back and forth over concession requests, which helps smooth the path toward a straightforward, uncomplicated closing (in theory, at least).

Cons

Reduced profit: Homes sold as-is generally fetch a lower price, due to the anticipated repair costs the buyers will have to shoulder. Skipping the repairs saves you money on the front end, but you can’t expect to price an as-is property the same way you would if it were in move-in-ready condition. If my father’s house had been thoroughly modernized and in tip-top shape, I might have listed it for $100,000 more, or even higher.

Fewer buyers: While some folks love a fixer-upper, many house-hunters are looking for move-in-ready properties and don’t feel comfortable taking on a “project.” So,the number of interested buyers will likely be less for an as-is listing, and selling could take longer. In my case, it took four months before a serious offer came along.

Financing challenges: Potential buyers might face difficulties in securing a loan for a house in poor shape, which can prolong the selling timeframe. It might even lead to the deal falling through, particularly if the home appraisal comes in short of the agreed-upon price.

5 tips for how to sell a house as-is

These tips can help get you to a smooth and successful as-is sale:

1. Be upfront about the home’s condition

Make it clear from the get-go — in the listing and any other marketing materials — that the home is being offered in as-is condition and that you will not be making repairs or addressing problems. And put it in writing in your purchase and sale agreement as well.

Star

Keep in mind: Make it clear from the get-go that you will not be making repairs or addressing problems.

It may be useful to get a pre-listing home inspection so that you can be specific about exactly what work is needed and offer transparency to potential buyers. Providing inspection details upfront can instill trust, making the situation more appealing to a buyer and possibly accelerating the sale. The inspection report can also help you determine a fair list price.

2. Remember seller’s disclosures

Selling as-is doesn’t excuse you from disclosing known defects. For example, if you know there’s a mold problem or a crack in the foundation, you’re legally obligated to inform the buyer. If you misrepresent the condition of the property, you could potentially be held liable for any issues that arise.

Nearly all states across the country have laws in place outlining what home sellers must disclose. Many have specific disclosure forms that sellers are legally obligated to complete and supply to buyers. And in many places, real estate brokers and agents are also required to disclose any known defects.

Star

Keep in mind: You’re responsible for disclosing information that’s within your personal knowledge — you’re not required to go searching for problems.

“Known” is the operative word here, though: You’re responsible for disclosing information that’s within your personal knowledge — you’re not required to go searching for problems. I carefully read and signed Kentucky’s disclosure statement, attesting that there were no issues I was aware of.

3. Keep things as tidy as possible

You might not be investing in any major upgrades, but that doesn’t mean you should give up on presenting your home in its best light. You can still make sure the property is neat and tidy. Keep the yard mowed, surfaces clean, beds made and dishes put away, and minimize clutter as much as possible. Be ready for viewings at all times, as you would with any home sale.

Star

Keep in mind: Looking dated is one thing, looking derelict is another.

You might also invest in some small fixes beforehand, as I did at my broker’s recommendation: replaced broken window panes, smoothed over wall cracks and repainted several rooms. All told, it came to about $1,600 — a small price to pay to spruce things up. Looking dated is one thing, looking derelict is another.

4. Know how low you can go

Think about what your rock-bottom price would be — the lowest offer you’d be willing to accept — and be ready to make a quick counter-offer if someone bids lower. That’s what I did: I had a $600,000 threshold in my head. Anything above that, I figured, was gravy.

Speaking of compromises: Even with an as-is listing, some buyers will still try to negotiate based on home inspection results, as mine did. If a few hundred (or thousand) dollars is all that’s standing in the way of making a deal, you can always agree to make a repair. Or, trim your asking price accordingly.

Star

Keep in mind: If a few hundred dollars is all that’s standing in the way of making a deal, you can always agree to make a repair.

However, if they’re asking for major modifications, as mine were, stand firm. I provided paperwork that proved recent repairs or attested to the condition of the HVAC and plumbing systems and other infrastructure. But I drew the line at agreeing to finance special inspections or carry out expensive upgrades — that would negate the whole point of an as-is sale.

5. Find a trusted real estate agent

It might be tempting to try to sell your house on your own to avoid paying a Realtor’s commission fee, but it’s probably smarter to enlist a professional who has experience selling as-is homes. An experienced agent can help you set a price that accurately reflects the value of the home, and show it in a way that helps buyers see its potential.

Star

Keep in mind: An experienced agent can show the home in a way that helps buyers see its potential.

My broker and his team certainly aimed for “the fixer-upper folks,” as he dubbed them. And I will always greatly appreciate the professional way he drew up our contract, making the as-is clause watertight enough for me to rely on it when I had to.



This article was originally published by a www.bankrate.com . Read the Original article here. .

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How To Sell Your House In Oregon Fast | Bankrate

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David Gn Photography/Getty Images

The Oregon real estate market is hot, with strong demand for homes and buyers competing for limited inventory. Home prices are well above the national averages and are steadily increasing, with the current statewide median price at $513,100, up 3.6 percent from last year, according to April Redfin data.

Even amid such favorable market conditions, though, it typically takes a month for homes to go into contract. But the good news is, there are ways to speed up the process. Here’s a primer on how to sell your house in Oregon — fast.

How fast can you sell a house in Oregon?

As of April 2024, the median number of days a home spent on the market in Oregon was 28, per Redfin. That’s two days longer than the previous year, and it means it could be a month before your home even goes into contract. (Then, you’ll have to wait even longer for your buyer’s financing to be approved.)

Need to sell faster?

If you list during the window of Oregon’s best time to sell a home, which tends to be between May and July, things will likely move a bit faster. But if you need to speed things up considerably — say, if you’re relocating ASAP for a new job or you need the cash urgently — you have several options to consider.

Sell for cash: One of the quickest ways to sell a home is by working with one of the many companies that buy houses for cash in Oregon. Cash sales means there’s no need to wait on financing, and businesses of this type specialize in speed. Often you’ll have a cash offer within 24 hours and close in a matter of weeks, or even days. But there’s a caveat: You are not likely to get as much money for your home as you would selling the traditional way.

Use an iBuyer: Working on a similar model, iBuyers are known for providing instant offers on homes. However, they also don’t pay top dollar, and they may charge steep fees to boot. One of the largest iBuyers, Opendoor, buys homes in the Portland area.

Price aggressively: Pricing your home to sell is another tactic to consider. This involves studying the market and listing your home to undercut area prices — something that should be done with the guidance of a real estate agent who knows your local market very well.

Sell as-is: If you list your house as-is, you’re telling buyers “what you see is what you get.” As-is listings mean you aren’t willing to negotiate back and forth about repairs with potential buyers, which saves time.

Selling your home in Oregon

If you decide to sell the traditional way, with the assistance of a local Realtor, here are some of the factors to consider and discuss before you list the home.

How should you price your listing?

Getting the pricing right is one of the biggest challenges for home sellers. If you aim too high, you might turn off prospective buyers. And if you aim too low, you might leave money on the table. Pricing your home competitively usually involves your agent pulling and analyzing comps, or similar homes in the neighborhood that have recently sold. This helps you figure out how much your house is worth by giving you a sense of what local buyers have paid for other properties similar to yours,

What should you fix before selling your home in Oregon?

Put yourself in the buyer’s shoes to figure out what you need to repair before listing your home. Obvious issues, like a leaky shower, cracked kitchen tiles or carpeting that’s been ripped up by your dog, should be addressed before they turn off prospective buyers. But you don’t need to go crazy — ask your agent what’s worth doing and what’s not.

Is it worth upgrading your home before you sell?

Probably not. Major upgrades, like full kitchen remodels, rarely recoup their costs. Plus, supply chain issues and labor challenges may delay your sale. Look into faster (and cheaper) ways to increase your home’s value, such as adding an energy-efficient thermostat or repainting the front door.

Should you pay to stage your home?

First impressions are everything, and home staging is one way to make sure your house impresses everyone who sees it. From virtual staging that can make the property pop in online photos to in-person staging with furniture rentals and more, the costs of home staging can vary widely, so consult with your Realtor to see if your home could benefit from this service.

What do you need to disclose to a buyer?

As an Oregon home seller, you will need to complete the state’s seller’s disclosure form, a lengthy document that outlines any defects that could impact the value of the home. The buyer has five business days to revoke their offer after reviewing this disclosure statement. Additionally, if your property is part of a homeowners association, be prepared to hand over documents that share the association’s financials, bylaws and more.

The closing

Selling a home isn’t free, in Oregon or anywhere. Home sellers should be prepared to direct a portion of their proceeds to cover a range of closing costs and other expenses.

Costs of selling a home in Oregon

Realtor commissions: One of the biggest costs associated with selling a home is the money owed to the real estate agent(s) involved in the transaction. A listing agent typically receives between 2.5 and 3 percent of the home’s sale price — on a median-priced $513,100 Oregon home, 2.5 percent comes to more than $12,800. Depending on the deal you strike, you may or may not have to pay your buyer’s agent’s fee as well.

Title insurance: This expense is your responsibility as the seller, and the cost depends on the purchase price of your home. For example, a standard Oregon title policy on a $400,000 home is $1,150, while the price jumps to $1,500 for a $600,000 property.

Transfer taxes: While sellers in many states must pay real estate transfer taxes to shift ownership to the buyer, most counties in Oregon don’t charge this common tax. One exception is Washington County (home to Beaverton, where Nike’s corporate headquarters are based): For sellers here, it’s standard practice to split this fee with the buyer.

Escrow fees: You will likely need to pay a fee for the escrow account that manages funds for the transaction; this cost may be able to be split with the buyer.

Attorney fees: Home sellers in Oregon are not required to hire an attorney. But it’s smart to consider adding one to your team anyway, to oversee the legal details and make sure the paperwork is in order.

Capital gains taxes: Because property values have skyrocketed in many parts of Oregon, there may be tax implications from your home sale. Whether you will be subject to capital gains taxes depends on several factors, including how much of a profit you make on the sale.

Next steps

Ready to get moving on selling your house in Oregon? Your next step will depend on what’s more important to you: speed or price. If you need to sell quickly, and are willing to sacrifice a bit of profit to make that happen, reach out to an iBuyer or cash-homebuying company in your area. They will be able to close a deal fastest. If time is not a pressing factor and you’d rather hold out for the best price possible, start looking for local Realtors who can help you bring in top dollar for your Oregon home.

FAQs

Is it a good time to sell a home in Oregon?

Yes. Oregon is currently experiencing a seller’s market, with high prices and not enough inventory to meet demand. April 2024 data from Redfin shows that the state has only a two-month supply of available homes for sale — it typically takes a five- or six-month supply for a balanced market that doesn’t favor either buyers or sellers.

Do you need an attorney to sell your house in Oregon?

No, Oregon law does not require sellers to hire a lawyer for the transaction. However, hiring legal expertise is usually a good decision. Selling a home is complex, with lengthy contracts, legal disclosures and a lot of money at stake. A real estate attorney can make sure your interests are protected and that any issues are resolved properly.

Who pays for the title policy in Oregon?

The seller is usually responsible for paying for the title insurance policy in Oregon. The cost varies based on the price of the home: The more expensive a home is, the more expensive the title policy will be.



This article was originally published by a www.bankrate.com . Read the Original article here. .

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How To Sell Your House In 2024: A Step-By-Step Guide | Bankrate

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Key takeaways

Selling a house can take several months from start to finish, so it’s crucial to plan ahead and stay organized.

Start by setting a timeline to stick to and hiring a local real estate agent who knows your market well.

Be sure to get professional-quality listing photos taken — National Association of Realtors data shows that 100 percent of homebuyers look at listings online.

Most home sellers dream of a stress-free sale in which they simply list their house, quickly find a qualified buyer, collect the cash and hand over the keys. If only it were that simple! In reality, selling a home involves many moving parts — some that you can control, and some that are out of your hands.

For example, geography might influence how long your house lingers on the market or how high of a list price you can get away with. In locations where competition is hot and inventory is low, odds are you’ll sell faster and command a higher price. Conversely, in places where home sales have cooled, you will likely have to work harder to attract the right buyer.

The real estate market has shifted significantly since the frenzied heights of the pandemic. Today, high prices are combining with high interest rates to create serious affordability challenges: The median price for a home is more than $400,000, and mortgage rates hit a 22-year high in 2023. It’s no wonder many buyers have little choice but to stay on the sidelines until either rates or prices (or both) come down.

So, as a seller, it’s smart to be prepared and control whatever factors you’re able to. Things like hiring a great real estate agent and maximizing your home’s online appeal can translate into a smoother sale — and more money in the bank. Here’s a nine-step guide to how to sell your house successfully.

Set a timeline: Start prepping your home well before you plan to list.

Hire an agent: An experienced agent who knows the market well can best position your home for local buyers.

Determine upgrades: Take on only projects your house really needs — you don’t have to upgrade everything.

Set a realistic price: Your agent can help you find the sweet spot.

List with pro photos: Buyers look at homes online first, so be sure you have a solid digital presence.

Review offers: Consider all factors, not just the highest dollar amount.

Weigh closing costs: Keep track of how much more you’ll need to pay at the closing table.

Consider an attorney: Legal expertise can help protect this significant financial transaction.

Close: Make sure you have all your documentation ready.

1. Set a timeline for selling your home

Selling a house is a major undertaking that can take several months from start to finish — or much longer, depending on local market conditions. So it makes sense to plan ahead and stay organized.

At least two or three months before you plan to list, consider getting a pre-sale home inspection. This isn’t mandatory, but it can be wise, especially in an older home. For a few hundred dollars, you’ll get a detailed inspection report that identifies any major problems. This alerts you in advance to issues that buyers will likely flag when they do their own inspection later. By being a couple steps ahead, you might be able to speed up the selling process by doing needed repairs in tandem with other home-prep work. Then, by the time your house hits the market, it should be ready to sell, drama-free and quickly.

About a month before listing your house, start working on deep cleaning in preparation for taking listing photos. Keep clutter to a minimum, and consider moving excess items to a storage unit to show your home in its best light.

2. Hire an agent who knows the market

The internet makes it easy to delve into a real estate agent’s experience, helping you choose the right person to work with. Look up agents’ online profiles to learn how long they’ve been in the industry, how many sales they’ve closed and what professional designations they may have earned. Pay attention to how and where they market their listings, and how professional their listings’ photos look.

“Any designation they’ve earned is a huge plus, because it’s a sign they’ve taken the time to learn about a particular niche,” says Jorge Guerra, president and CEO of Real Estate Sales Force in Florida.

Some homeowners might be tempted to save on paying a commission and instead sell their home themselves, without an agent. This is known as “for sale by owner,” or FSBO. The amount sellers stand to save on that fee can be significant, usually 2.5 percent or 3 percent of the total sale price. On a $400,000 home sale, for example, 3 percent comes to $12,000.

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Keep in mind: Real estate commissions are often negotiable.

However, a listing agent does a lot to earn their fee. For example, they can expose your house to the broadest audience and negotiate on your behalf to garner the best offers possible. If you go it alone, you’ll have to personally manage prepping your home, marketing it, reviewing buyers’ offers and handling all the negotiations and closing details.

When working with an agent, keep in mind too that real estate commissions are often negotiable. As a result, you might be able to get a break at the closing table. But, depending on the deal, you may still have to pay your buyer’s agent’s fee.

3. Determine what to upgrade — and what not to

Before you spend money on costly upgrades, be sure the changes you make will have a high return on investment. It doesn’t make sense to install new granite countertops, for example, if you only stand to break even on them, or even lose money. Plus, these improvements may not be necessary, particularly if inventory levels are low in your area (which they are in most areas these days). A good real estate agent will know what local buyers expect and can help you decide what needs doing and what doesn’t.

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Keep in mind: Inexpensive DIY projects can also go a long way. A fresh coat of neutral paint and spruced-up landscaping are low-cost ways to make a great first impression.

Updates to the kitchen and bathrooms often provide the highest return on investment. But inexpensive DIY projects can also go a long way: A fresh coat of neutral paint and spruced-up landscaping are low-cost ways to make a great first impression.

4. Set a realistic price

Even in competitive markets, buyers don’t want to pay more than they have to, so it’s crucial to get the pricing right. Going too high can backfire, while underestimating a home’s value might leave money on the table. To price your home perfectly from the start, consult local real estate comps. This information about recently sold properties in your neighborhood gives you an idea of what comparable homes around you are selling for, thus helping you decide how much you might reasonably ask.

“A frequent mistake sellers make is pricing a home too high and then lowering it periodically,” says Grant Lopez, a Realtor at Keller Williams Heritage in Texas and the former chairman of the San Antonio Board of Realtors. “Some sellers think this practice will yield the highest return. But in reality, the opposite is often true: Homes that are priced too high will turn off potential buyers, who may not even consider looking at the property.”

In addition, homes with multiple price reductions may give buyers the impression there’s something wrong with it. So it’s best to eliminate the need for multiple reductions by pricing your home to attract the widest pool of buyers from the start.

5. Include professional listing photos

This step will likely involve your real estate agent hiring a photographer to take marketing photos of your home, and registering the listing with the local MLS (multiple listing service). Here are some tips to get your home market-ready:

Star

Keep in mind: You’ve probably heard of curb appeal, but pros say online appeal is now even more important.

Take professional photos: With the ubiquity of online house-hunting these days, high-quality photos are critical. A pro photographer knows how to make rooms appear bigger, brighter and more attractive. The same goes for the property’s exterior and outdoor areas.

Focus on online appeal: You’ve probably heard of curb appeal, but professionals say online appeal is now even more important. In fact, 100 percent of homebuyers use the internet to search for a home, according to the National Association of Realtors, so online listings are crucial. “Your home’s first showing is online,” Guerra says. “The quality of your web presentation will determine whether someone calls and makes an appointment or clicks on the next listing.”

Stage it and keep it clean: Staging a home entails removing excess furniture, personal belongings and unsightly items from the home and arranging rooms for optimal flow and purpose. If you’re in a slower market or selling a luxury home, investing in a professional stager could help you stand out. Nationally, professional home staging costs an average of around $1,808, according to HomeAdvisor, but prices range between $792 and $2,840.

Clear out for showings: Make yourself scarce when potential buyers come to view your home. Let them imagine themselves in the space, free from distraction. “Seeing the current homeowner lurking can cause buyers to be hesitant to express their opinions,” says Lopez. “It could keep them from really considering your home as an option.” Generally, buyers are accompanied by their real estate agent to view your home. You can also ask your own agent to be present at showings.

6. Review and negotiate offers

Once buyers have seen your home, offers will ideally start rolling in. (Keep in mind, though, that with mortgage rates currently high, the number of buyers who can still afford to buy might be smaller than you’d like.) This is where a real estate agent is your best advocate and go-to source for advice. If your local market favors sellers, buyers will likely offer close to asking price, or possibly even above. On the other hand, if sales are slow in your area, you may have to be open to negotiating.

When you do receive an offer, you’ll have a few choices: accept it, make a counter-offer or reject the offer. A counter-offer is a response to an offer in which you negotiate on terms and/or price. You can offer a credit for fresh paint and carpet, for example, but insist on keeping your original asking price in place. Counters should always be made in writing and provide a short time frame (ideally 48 hours or less) for the buyer to respond.

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Keep in mind: You might be tempted to simply go with the highest bid, but look closely at other aspects of the offer, too.

If you’re lucky enough to get multiple offers, you might be tempted to simply go with the highest bid. But look closely at other aspects of the offer, too, such as:

Form of payment (cash versus financing)
Type of financing
Down payment amount
Contingencies
Concession requests
Proposed closing date

Be mindful that if a buyer is relying on lender financing, the property will have to be appraised. If there’s any shortfall between the purchase price and appraised value, that gap will have to be made up somehow, or the deal could fall apart.

7. Weigh closing costs and tax implications

In any real estate transaction, both parties must pay at least some closing costs. It has long been the custom that the seller pays the real estate agents’ commissions, which usually total between 5 and 6 percent of the home’s sale price. This can be a big chunk of change: For example, on a $400,000 home, 5 percent comes to $20,000. However, that may soon change due to a federal lawsuit, and as of late summer, homebuyers may pay their own agent’s commission.

Some other closing costs commonly paid by the seller include transfer taxes and recording fees. Additionally, if the buyer has negotiated any credits to be paid at closing — to cover repairs, for example — the seller will pay those, too. Your real estate agent or the closing agent should provide you with a complete list of costs you’ll be responsible for at the closing table.

The good news is that you may not owe the IRS taxes on your profits from the sale. It depends on whether it was your primary residence, how long you lived there and how much you make on the sale. If you’ve owned and lived in your home for at least two out of the previous five years before selling it, then you will not have to pay taxes on any profit up to $250,000. For married couples, the amount you can exclude from taxes increases to $500,000. If your profit from the home sale is greater than that, though, you’ll need to report it to the IRS as a capital gain.

8. Consider hiring a real estate attorney

Some states require sellers to have a real estate attorney to close on a home sale, but many don’t. Regardless of your state’s laws, the expense is worth it to protect such a large financial transaction. It may cost you a couple thousand dollars, but there’s a lot more money than that at stake, and it’s always smart to have a legal expert give everything the OK.

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Keep in mind: Even if your state doesn’t require you to hire a real estate attorney, it’s worth the expense to protect such a large financial transaction.

In addition, an attorney can help fill out paperwork correctly, review contracts and documents, identify potential issues and ensure the sale goes as smoothly as possible. If you’re not sure where to find one, your real estate agent can probably recommend someone.

9. Gather paperwork and close

Lots of paperwork is needed to properly document a home sale, so keep it organized all in one place to help things go more quickly. Your agent can help you make sure you’ve got everything you need. Some of the main documents you’ll need to compile include:

Original purchase contract
Property survey, certificate of occupancy and certificates of compliance with local codes
Mortgage documents
Tax records
Appraisal from your home purchase
Homeowners insurance
Home inspection report, if you had one
Seller’s disclosure statement

Finally, bring all that paperwork — plus payment of any fees and the keys to give the new owners — to the closing. Once everything is signed and handed over, your house is sold!

FAQs

What should I do first when selling my house?

Putting your home on the market is a major step, and like most big life decisions, it’s best to get organized before you dive in. The process can take several months, so once you decide you want to sell, the best thing to do first is to consider your timeline. When do you need to move? What date do you hope to be closed by? Make sure you give yourself enough time to prep the property for showings and find a real estate agent you trust before actually putting the home on the market.

What is the fastest way to sell my house?

If you’re wondering how to sell your house in a hurry, consider foregoing a traditional agent-assisted sale in favor of selling to a cash homebuyer or iBuyer. These companies make quick cash offers and close home sales very quickly — in a matter of a few weeks, or even less. But you likely won’t get as high of an offer as you’d get if you sold on the open market.

Do I need a lawyer to sell my house?

That depends on what state you live in. Some states require a real estate attorney to manage any sale transaction, some don’t. Even if it’s not a legal requirement, though, consider hiring one anyway — real estate contracts can be very complicated, and there is a lot of paperwork involved and a lot of money at stake. It’s worth the cost to have legal expertise looking out for your interests.

Do I need a Realtor to sell my house?

No. It’s perfectly possible to sell a home on your own with what’s called a for sale by owner (FSBO) listing. However, going without a real estate agent means all the work an agent would normally do — researching comps, determining the best list price, coordinating showings, negotiating with potential buyers — is up to you to do yourself. It’s a lot of work, and a big time commitment.



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10 Tips To Sell Your Home For More Money | Bankrate

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Even in a seller’s market, where inventory is scarce and bidding wars are common, it still pays to invest some time and energy in positioning your home to sell for top dollar. This can involve a variety of steps, from working with a real estate agent who truly understands your local market to spending some money to make sure your home looks its best for buyers. Here are 10 tips for selling your home that Realtors say will separate you from the competition — and help you bring in a higher price.

1. Find a real estate agent

Working with a skilled local real estate agent who knows your area inside and out can help you sell your home more quickly, and often, for more money. In fact, data from the National Association of Realtors shows that between July 2022 and June 2023, homes listed without the assistance of a Realtor sold for a median price of $310,000, while those sold with one fetched a median of $405,000. Interview several candidates before you commit to one agent — the better you get along, the smoother the process is likely to be.

2. Invest in value-adding improvements

Determining which home improvements to invest in can be daunting, and the costs can add up quickly. The key is to spend your money on projects that will provide the most return on your investment.

Minor kitchen upgrades are typically a wise choice, says San Diego–area Realtor Jade Lee-Duffy. “The heart of the home is the kitchen, and many buyers will judge a property by its kitchen,” she says. Just don’t go overboard: “While a complete overhaul of this space can run into the tens of thousands, a minor update is where you can gain the greatest return,” she says. “Think about resurfacing cabinets, replacing countertops, a fresh coat of paint or updating the fixtures and hardware.”

Updating a bathroom is another smart investment, says Katie Severance, a Realtor with Douglas Elliman in Palm Beach, Florida, and author of “The Brilliant Home Buyer.” “Renovated kitchens and baths are the ‘money rooms’ — those that add the most value to a home,” she says.

3. Up your curb appeal

As the saying goes, you don’t get a second chance to make a first impression. “Make sure your front yard is free of debris, the bushes are pruned and the grass has been cut,” says Lee-Duffy. “Also, add some bright potted plants by the front door to make buyers feel welcome.”

Some other easy updates that can improve curb appeal include:

Touching up exterior paint
Adding window flower boxes
Installing a new mailbox
Adding new mulch around shrubs and trees

4. Get a pre-listing inspection

Investing in a home inspection before putting your property on the market is another step to consider. “You don’t want any unexpected surprises,” says Lee-Duffy. “It’s best to find out beforehand if there are any issues that you can fix, before buyers find out on their own.” That would give them negotiating power for a lower price or, worst case scenario, a reason to back out of the deal. So it may be worth a few hundred dollars for the peace of mind.

There is, however, a downside to a pre-listing inspection: “Beware, because once a seller becomes aware of an existing defect and does not correct it prior to listing, they are obligated to disclose it to a buyer,” says Severance. “Defects that a buyer learns were known but not disclosed, prior to accepting an offer, can kill the deal.”

5. Highlight the positive with professional photos

Spending a bit of money on high-quality photography can go a long way toward helping your home sell for a higher price. “The majority of people search for properties online,” says Lee-Duffy. “If the photos pop, it can translate into a higher sale price — and sell faster, too.”

It’s OK to leave some things to the imagination when it comes to your home’s online listing, though. “I advise against photographing every square foot of the home,” says Severance. “The goal of photographs is not to give all the goodies away online; it’s to make a buyer want to see more — to whet their whistle enough to entice them to see it in person. If they don’t come see the house, they probably aren’t making an offer.”

6. Stage your home

When it comes to home staging, says Severance, there are two rules of thumb: less is more and keep it neutral. “It’s very important to capture buyers’ interest from the front door,” she says. “Pay extra attention to the entry: Repaint; place flowers; buy a new area rug, an impressive mirror or a dramatic piece of art.”

Remove objects and clutter that visually shrink a room, such as large ottomans or too many plants, and remove everything from the kitchen counters except for one or two new-looking appliances. “And don’t forget to stage the deck or patio, because that is an extension of the house that can make a small home feel much larger than it is,” Severance adds.

You can do the staging work on your own or up the ante by hiring a professional stager.  A pro will average around $1,800, according to HomeAdvisor.

7. Set the right asking price

Identifying the best price for your home can be critical to your success. “Setting the price too high can be detrimental and prevent buyers from walking through your front door,” says Lee-Duffy.

How do you find that sweet spot of pricing for profit but not overpricing? The expertise of your agent can be truly valuable here. A knowledgeable agent will understand fair market value in your area, how much your house is worth and how much you might reasonably expect to get for it in the current market.

“Good pricing requires the expertise to thread the needle,” says Severance. “List at a number that is lower than comparable properties, in order to draw attention to it, but not so low that you will be disappointed if you only get one offer right at list price.” If enough buyers are enticed, you might even set the stage for a bidding war.

8. Remove personal items

“The goal of any showing is for the buyer to envision their own belongings in the space,” says Severance. So, while family photos and other knickknacks might seem like they have no bearing on how much money your home commands, they really do matter — especially if you are still living in the home while you’re trying to sell it.

If buyers are distracted by personal items, then chances are they won’t be able to see themselves in the space, and will not end up making an offer. “Buyers are thinking of their own furniture, where it will go and how it will fit. It’s the house they came to see, not the items inside of it,” she says.

9. Be ready to move fast

Once your property is listed on the market, things can happen quickly. It’s important to be well prepared ahead of time so that you can be as responsive as possible to potential offers. “Fill out all the necessary documents, such as any seller disclosures, and have paperwork for recent repair work, home renovation costs and utility bills on-hand for any buyer requests that come in,” says Lee-Duffy.

Sellers who are slow in reaction time or unresponsive can lose buyers, adds Severance. “If the buyer feels that they are not being dealt with fairly, they are very likely to walk away,” she says.

10. Use your head, not your heart

Finally, try to remove emotion from the equation and see the process as a simple transaction — your home is no longer “home” but a product for sale. It’s not unusual for prospective buyers to request credits or repairs, and it’s easy as a seller to take offense, so try to have a clear understanding of what issues and items you may be willing to make concessions on.

“It’s important to take emotion out of it and remember that the buyer usually doesn’t expect to get everything they ask for,” says Severance. “Take a closer look at which requests are valid and fair, and offer something. The cost to you is not in giving the concession — it’s the expense of losing the buyer, putting the property back on the market, starting all over again and getting a potentially lower offer.”

FAQs

How can I maximize my net proceeds from selling my home?

To maximize how much you earn from the sale, it’s important to put in some work to get your property market-ready. This includes improving your home’s curb appeal, investing in professional listing photos and staging your home before opening it up to buyers. Your real estate agent can provide home-selling tips based on your specific situation.

Do I need a real estate agent to sell my home?

No, you don’t necessarily need a real estate agent to sell your house. Selling without one is called a “for sale by owner” transaction, and they are not unusual. However, partnering with an agent can make the process much easier for you — agents help with important tasks like determining the right asking price, creating a listing that will attract buyers and hosting showings and open houses. Later in the process, they’ll negotiate with buyers and guide you through the closing, ensuring your interests are protected.

How can I sell my house fast?

If you’re in a hurry to move, consider selling to a cash homebuying company or iBuyer. These businesses buy properties for cash, often in as-is condition, and they can close deals far faster than a traditional market sale — often in just a couple of weeks or less. The downside is that you’ll likely earn less money selling this way than you would with a traditional home listing.



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How To Sell A House By Owner In Colorado | Bankrate

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Key takeaways

You don’t have to work with a real estate agent to sell your house in Colorado. However, doing so can make the process much easier.

If you take the “for sale by owner” route, you won’t pay a listing agent’s commission, but you’re still on the hook for the buyer’s agent’s fee.

Without agent representation, it’s a good idea to hire a real estate attorney to review the contract and other important paperwork.

Realtor fees are one of the biggest expenses homeowners face when selling their home, no matter what state they’re located in. If you’re trying to cut costs, you might have considered not hiring one and instead taking the “for sale by owner” or FSBO path.

There are pros and cons to this method: Owner-sellers are responsible for all the work a listing agent typically handles, which is significant. On the other hand, you’ll have more control over the process and won’t have to pay the commission for that agent. Here’s an overview of how to sell by owner in Colorado, so you can decide if going it alone is right for you.

Selling a house without a Realtor in Colorado

When you sell your house without a real estate agent’s help, you take on all of an agent’s usual duties yourself. This includes everything from creating the listing to preparing the closing paperwork — and everything in-between. Here are some of the main responsibilities you’ll assume with a FSBO sale.

Create your listing

Putting together a listing is one of the first things you’ll need to do to get the word out about your home. This involves writing a compelling description of your property that covers:

Basic information about your house: Its age, lot size, square footage and number of bedrooms and bathrooms are all important to include.

Special features: Got a hot tub for post-skiing soaks, or an impressive mountain view? Be sure to play them up.

Other relevant details: You’ll also want to add information about the neighborhood and local school district. Distance to amenities, shopping or main roads might be important in smaller towns, too. And if your property is part of a homeowners’ association (HOA), go into detail on that, too.

To bring your listing to life, include high-quality photos — taken by a professional, if possible — depicting both the inside and outside of the house. Buyers will see your listing online first, and if they aren’t impressed, they’ll keep on scrolling and never bother to come see it in person, so photos matter more than you might think.

But of course, the most crucial part of your listing is the asking price. How much is your home worth? To determine the answer, you’ll need to research local comps, or how much other, similar homes in your area are selling for.

Try to set aside your feelings as the owner and be as objective as you can when setting your price. The median sale price of a single-family home in Colorado was $548,950 as of January 2023, according to the Colorado Association of Realtors (CAR). However, prices vary widely across the state, so prices in your area may be lower or higher.

Market your property

When your listing is ready, your next task is to get it seen by prospective buyers. Start by putting it on your local multiple listing service (MLS), a database of for-sale properties in your area. Usually, only real estate professionals can access the MLS, but there are local and national services that will list it on your behalf, usually for a flat fee. In Colorado, these companies include Home Savings Realty, Flat Fee Group and Houzeo. Some firms have multiple packages to choose from, which might include yard signs, photos and more.

On top of that, you can promote your property in local community groups, on websites like Craigslist and on social media. Be mindful about how much personal information you share online, though — you don’t want to attract scammers or compromise your safety.

Next up: Scheduling open houses or private viewings to get home shoppers onto your property. Ask interested buyers to include their mortgage preapproval letter with their offer so you can confirm that they have the financial means to back it up.

Close your deal

Ideally, you’ll bring in a few offers so you can compare them and pick the best one. This part of the process often involves negotiating pricing, contingencies and seller concessions, so be prepared for some back and forth with the buyer’s agent.

Once you’ve agreed on a price and other details, you’ll draft a purchase and sale agreement. It’s a good idea to have a real estate attorney review this legal document — or even better, draw it up. An attorney can also look over other important paperwork to make sure your interests are protected.

Required disclosures for Colorado home sellers

As a home seller in Colorado, you must complete the state’s seller’s property disclosure form. In it, you’ll describe any previous or current problems with the house, including the building itself or its appliances and major systems (such as electrical and water). If the property is part of an HOA, you’ll also need to disclose that, and provide the buyer with information about its rules, bylaws and finances. Other required forms may include a green disclosure, which details your property’s energy-efficiency features, and a lead-based paint disclosure.

Do I need a lawyer to sell my house in Colorado?

No, you don’t need a lawyer to sell a house in Colorado. But hiring one anyway is a smart idea for all sellers, especially those who are going it alone. Navigating a real estate transaction can be tricky, with a lot of paperwork and complex contract language, and any misstep can have serious implications. A local real estate attorney will know your area’s laws, look after your interests and ensure the deal is completed correctly.

Pros and cons of selling a house by owner in Colorado

If you’re on the fence about selling without an agent, consider the benefits and drawbacks as they apply to your situation:

Pros

You’ll pay less in commission: Without an agent representing you, there’s no need to pay their commission. Agents typically receive between 2 and 3 percent of a home’s sale price, so based on the median price in Colorado, you’d save between $10,979 and $16,468. You’ll still have to pay the same amount to the buyer’s agent, though.

You call the shots: With a FSBO listing, you’re free to do things however you’d like. From pricing to marketing to negotiating, it’s all up to you.

There’s less back-and-forth: Real estate agents usually have multiple clients at the same time, so there might be delays in scheduling and communication. You don’t have to worry about this if you sell independently.

Cons

It’s hard work: As licensed professionals, agents know the ins and outs of the Colorado housing market and have extensive experience with creating listings, attracting buyers and managing the closing process. Without this knowledge, selling a home can be challenging.

You might earn less money: There’s a lot of money at play in a real estate transaction, and a negotiation misstep or mistake in your paperwork can be costly. In addition, according to NAR data, you might not earn as much on your home sale: In 2023, they say, FSBO homes sold for a median of $310,000, while agent-assisted properties had a median sale price of $405,000.

It can be harder to find buyers: Agents work hard to promote your property, and they often tap into their network of fellow agents to do so. Without these connections, you might struggle to attract buyers. In fact, NAR data shows that 57 percent of FSBO sellers sold to someone they already knew.

FAQs

Can you sell a house in Colorado without a Realtor?


Yes, you’re free to sell a home without hiring a Realtor in Colorado. But a FSBO sale require a lot of work, including creating and promoting your listing, showing your home to buyers and negotiating a deal, so make sure you’re ready for the time commitment.

Do I need a lawyer to sell my house in Colorado?


No, Colorado does not legally require you to hire an attorney to sell your house. However, it’s advisable to do so anyway to protect your interests in such a big financial transaction — especially if you don’t have an agent guiding you through the process.



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The Best and Worst Time To Sell A House | Bankrate

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Key takeaways

Broadly speaking, spring is generally the best time of year to sell your home.

Many families need to be in their new home by the start of the school year, and house-hunting is easier when days are warmer and longer.

Fall and winter typically see the lowest amount of homebuying activity.

During the height of the pandemic, normal seasonal patterns all but disappeared from the housing market. There was so much demand for homes that any time was a good time to sell. But now that the market has settled back into a more normal cadence, timing is once again becoming an important consideration for home sellers.

Some patterns and trends usually do hold true throughout the year, and one is that late spring and early summer are the best times to sell. Sellers can net thousands of dollars more if they sell during the peak months of May, June and April compared to the three slowest months of the year, October, November and December, according to a 2023 report by ATTOM Data Solutions.

Best month to sell a house

Spring — specifically, the month of May — is the best time to sell a house. Homes sold in May net a 12.8 percent seller premium (the amount above the home’s market value), based on ATTOM’s analysis of single-family home and condo sales over the past 10 years.

Best and worst times to sell a house, by month

To determine the premium or discount sellers realized on a given day, ATTOM compared the median sale price for homes with a purchase closing on that day with the median automated valuation model (AVM) for those same properties at the time of sale. Here’s how each month of the year ranked for the best time to sell a house.

May
$220,000
$195,000
12.8%

June
$228,000
$206,000
10.7%

April
$215,000
$195,000
10.3%

March
$210,000
$191,357
9.7%

July
$227,500
$207,537
9.6%

February
$200,000
$184,000
8.7%

August
$225,000
$208,000
8.2%

September
$223,504
$207,000
8.0%

January
$200,000
$186,000
7.5%

October
$220,000
$206,000
6.8%

December
$220,000
$206,000
6.8%

November
$220,000
$207,000
6.3%

The highest-earning months are, in ranking order, May, June, April and March. Just over 18 million purchase transactions took place during this period, according to ATTOM.

June edges out April for second place, with a 10.7 percent seller premium compared to May’s 12.8 percent. March and April usher in prime homebuying season with premiums of 9.7 percent and 10.3 percent, respectively. By October, seller premiums have tapered off, falling to 6.8 percent.

These stats underscore the conventional wisdom about selling a home: Spring and summer attract the most buyer attention. Conversely, that can be a challenging time to buy, owing to high prices and more demand.

Seasonality is important

While all regions experience seasonality, it is more or less pronounced depending on where you are in the country.

For example, in the South and West — where temperatures are largely more moderate — there’s less discrepancy between the peak and slow seasons, according to the National Association of Realtors. However, there’s more disparity between summer and winter in the Midwest and Northeast.

These seasonal patterns can help give sellers an indication of what to expect throughout the year.

Spring and summer are the best seasons to sell

Typically, sellers list their homes in the spring and summer because the weather is good, especially for people in colder climates. In addition, families want to buy their next home before school starts, says Realtor Liede DeValdivielso, one half of the DeValdivielso Team with the Keyes Company in Coral Gables, Florida.

Daylight savings time might also play a part in why the warmer months stimulate buying activity. “One of the reasons buyers are more eager to view properties during spring and summer may be due to the longer days,” says Marilyn Blume, a real estate agent with Sotheby’s International Realty in New York City. “By getting more exposure for your listing through more traffic, you increase the chances to receive more offers.”

Homebuyers on a deadline — for example, those who want to acquire a house before the school year begins — should make sure they’re in top financial shape before spring. That means checking your credit score and debt-to-income ratio to ensure you’re in a strong position to get a mortgage preapproval. Otherwise, your efforts might be delayed.

“April is plenty of time to get a house before school starts, as long as your financing is in order,” DeValdivielso says. “The best thing to do is shop around for a loan before you start looking for a house. This will give you a good idea of what you can qualify for.”

Fall and winter are the worst seasons to sell

The decline in seller premiums typically begins in September, when the average premium drops to 8 percent — significantly less than the peak in May. By then, many buyers with school-aged kids have likely found a home, so the sharp drop is no surprise.

Combine the new school year with the start of the busy holiday season, and homebuying goes on the back burner during the latter part of the year. Just like in the warmer months, the weather plays a factor in the winter months, too. As the days get dark earlier and temperatures drop, people tend to stay closer to home. This means less foot traffic for sellers.

November is the worst month to sell

The worst month of the year to sell a house is November, with a 6.3 percent seller premium, according to ATTOM. And those premiums stay pretty low in ensuing months. Homebuying activity typically comes to a near-standstill in December, when people tend to travel and are busy with holiday celebrations.

Of course, if you’re a buyer, the opposite holds true: The cooler months can actually be a hot time to house-hunt. There’s less competition from other buyers, and antsy sellers might be more willing to negotiate on price or offer other concessions.

The best day of the week to list your home

Want to get even more specific? If you really want to maximize your profits and sell quickly, list your home on a Thursday. Data from Zillow suggests that Thursday is the sweet spot for new listings to appear on the market, as both house-hunters and real estate agents tend to plan their weekend showings toward the end of the week. Friday is a good bet as well, per Redfin data. Avoid listing at the beginning of the week, as that raises the likelihood that the listing will sit for a few days before most buyers are ready to look — newly added listings look fresher to buyers.

What if there’s a recession?

As happened during the pandemic, the possibility of a recession might see established housing-market trends fly out the window. Recessions can be a dicey time to sell — or buy — a home. When the economy contracts, unemployment rises and potential buyers may experience a decline in income, making it more difficult for them to be approved for a mortgage.

In addition, selling a home requires paying real estate commissions and closing costs that will likely total tens of thousands of dollars. So it’s only worth doing if you really need to. If you’re worried about a recession and can afford to hold off until the economy stabilizes a bit, that could be the smarter financial option.

More tips for sellers

Here are a few more suggestions for homeowners hoping to maximize their selling success:

Real estate is very localized, so speak with an experienced real estate agent in your market who understands local sales trends. Agents can give you neighborhood-specific information to help you make the most strategic decision about when to list your home.
Keep prep time in mind. Sellers should consider making key repairs and updates to their homes to maximize their return, but this can be a lengthy process. Even simple decluttering can be time-consuming, so plan accordingly and finish these projects before putting your home on the market.
Make sure you get expert, professional-quality listing photos taken. All homebuyers search for homes online these days — a full 100 percent, according to National Association of Realtors data — so it’s important to put your home’s best foot forward right from the beginning.



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Documents Needed to Sell Your Home | Bankrate

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AleksandarNakic/ Getty Images; Illustration by Austin Courregé/Bankrate

Key takeaways

Selling a home comes with a lot of documentation, most of which you’ll gather before listing the property on the market.

One important document is the seller net sheet, which will detail your all-in costs and potential profit.

Keep records of any major home improvements or repairs. This is not only helpful for the buyer, but also for your agent in pricing the home.

Selling a home is a complex process that requires a long list of documents from start to finish. From the initial listing agreement to mandatory disclosures, here are the key pieces of paperwork in the transaction.

Documents needed to sell a house

If you’re thinking of putting your home on the market, it can be helpful to understand the documents involved, some of which you can gather on your own and some of which will be provided by the professionals who facilitate the transaction. Here’s an overview of what you need to obtain, what you might see, and what you might need to sign during the transaction:

Pre-listing documents

Prior to listing your home for sale, track down the paperwork related to your ownership as well as any changes you made to the property while living there. This includes:

Documents related to your purchase of the home: This will include the closing documents and a copy of the deed.

Homeowners insurance policy documents: Keep a copy of your policy handy during the transaction, and be sure to maintain your coverage until the closing has taken place.

HOA documents: If your home is in a homeowners association, gather up any documents related to the HOA, such as CC&Rs or due schedules to disclose to the buyer. The title company involved in the transaction will order a review of these and information like the HOA’s financials, as well.

Major home improvement, maintenance and repair records: Aside from helping the buyer understand upkeep and any improvements to the home, these records can be used to more accurately price the home or dispute a low home appraisal.

Manuals and warranties: This isn’t a requirement to sell your home, but it’s customary for the seller to provide the buyer manuals for the home’s major appliances and systems, plus any warranty documentation if the seller has one.

Pre-listing inspection report: If you want to know what repairs a buyer might ask you to make, you can pay for a pre-listing home inspection. This report can help you prepare for these expenses, or even motivate you to make the repairs yourself before your home hits the market.

Listing agreement: If working with a real estate agent to sell your home, you’re required to sign a listing contract. Here’s more on exclusive right to sell agreements.

Comparative market analysis: “A licensed agent prepares a report of sold, pending and active listings in order to provide the seller with a sense of fair market value for their property,” says Tim Garrity, partner and broker of record at Copper Hill Real Estate in Philadelphia.

Seller net sheet: Sometimes referred to as the seller’s estimated costs, this document breaks down all of the costs associated with selling a home, as well as what the seller stands to profit when all is said and done. “It provides the seller with a sense of what they could potentially walk away with,” says Garrity.

Preliminary title check: Preliminary title searches help both the real estate agent and seller understand what’s owed on the property, as well as whether there are any issues impacting the title that could hold up the sale or reduce the home’s value. “Similar to CarFax for cars, a title search helps buyers and sellers understand more about a property before deciding to buy or sell,” says Garrity.

Seller’s disclosures: This mandatory disclosure form provides information to buyers about any significant issues or defects related to the home. The requirements surrounding such disclosures vary by state.

Mortgage payoff statement: The closing agent will request a mortgage payoff statement from your lender.

Listing documents

Once you list your home and receive offers, you’ll see the buyer’s proposed purchase agreement. This includes information regarding the method of payment (mortgage or cash), closing date and any contingencies, such as a financing or home inspection clause.

During this time, you’ll also receive the home appraisal report. If you had an appraisal done recently prior to listing, provide that documentation to the buyer, as well.

Closing documents

At the closing, you’ll work with the closing attorney or settlement agent to finalize the sale. You’ll see many documents, including an itemized closing statement of the closing costs and financials related to the deal, with any seller concessions you agreed to; the deed; and a proof of sale document.

FAQ

Do I need the original deed to sell my house?


Yes, you’ll need the deed to sell your home. But if you cannot locate this document, it’s possible to obtain a duplicate from your local recorder’s office.

What legal documents do I need to sell my house?


You’ll need a variety of documents in order to sell your home. Some of the most important include your mortgage loan documentation, mandatory disclosures and the deed.

What is a proof of sale document?


A proof of sale document is a record of the property’s transfer in ownership from the seller to the buyer.



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