Selling a property isn’t just about cold calls and signage in the front yard. Real estate transactions go through an entire lifecycle before they come to an end. Learn about that lifecycle and all that it entails in our comprehensive guide.
Step #1: Prepare Your Listing
The first thing to know about the lifecycle of a real estate sale is how to prepare your listing. After all, you’ll have difficulty finding someone to buy a home if they don’t know it’s on the market.
Moreover, buyers may turn the other way if the property you’re selling doesn’t showcase all of its best features and design elements.
So it’s important to start the preparation process as early as possible. It helps if you approach your prep with an organized structure, and it should look a little something like this:
The most successful real estate agents understand that researching your seller is a surefire way to strengthen your chances of closing the deal. Thus, in your prep stage, reach out to your seller and ask them questions like:
- Is there anything in particular that I should know about the property?
- What are your motivations for selling?
- What do you hope to get out of this experience?
Doing this will strengthen your relationship, help you glean the sense of urgency in your seller, and figure out an approximate timeline for when you should complete the sale. Plus, it’ll help you avoid any potential issues with the home long before you try to sell it.
Once you’ve gathered some preliminary information, it’s time to make your seller’s property sing with a bit of staging. In other words, roll up your sleeves and get to work accentuating the best parts of your client’s property. You can do this on your own, or you can enlist the help of a professional.
Either way, staging a home is all about clearing it out, cleaning it, and filling it with furniture and artwork that makes the space feel less personal and more market-friendly. In the process of staging, you’ll do the following things:
- Declutter and clean
- Spruce things up with staging décor
Doing all this makes it easier for interested parties to see themselves living in the home. Plus, properties that go through staging almost always sell faster than homes that don’t.
Now that the property is market-ready, the next step in the prepping stage is promoting your listing. This is where you reach out to people and let them know how incredible your seller’s property is. Of course, there are various ways to do this.
We suggest taking a few professional-quality photographs of the property. From there, it’s all about advertising, and nowadays, the easiest way to reach the masses is through online channels. For instance, you could post your photos and other promotional media on your brokerage’s site.
You should also take your listing to the Multiple Listing Service (MLS), a renowned resource for realtors everywhere. Then, you can start using other avenues, like social media, to spread the word about your listing!
Step #2: Name Your Price
The next phase in what to know about the lifecycle of a real estate sale is all about the money. If you ask us, pricing your client’s home is undoubtedly the most crucial aspect of your transaction. After all, it’s what dictates your paycheck and what your client can expect to see numbers-wise once you finish everything.
Seasoned agents will tell you that you should avoid pleasing your seller at this stage like the plague. When you under or oversell a property, you and your client lose money, time, and buyer interest. Instead of pricing their property according to what they want, you need to dig deeper and figure out the fairest asking price for the home and go from there.
But how do you go about finding an ideal selling price? We’re glad you asked. You conduct a comprehensive market analysis that compares specific aspects of your client’s homes with those in the area that are most similar to them. The particular process goes like this:
- Look into the price of similar properties in the area
- Factor in any improvements or upgrades made by your client
- Note features that get more at an auction (swimming pools, yard space)
- Look into the market you’re selling the property in; what’s it like?
It’s wise to go beyond the basics to get the best price for a property. But the list above is an excellent place to start and will help you figure out a viable price range for your client.
Step #3: Organize Viewings for Your Property
Once you get the best price for your listing and you’ve prepped everything, the next step is organizing some viewings for prospective buyers. Doing this is also essential, as it’s the only way potential buyers can come marvel at your wonderful listings for themselves.
Most real estate agents start the process of viewings in the following order:
- Set up your open houses (allows a handful of interested buyers to tour the property).
- Follow up for private viewings (narrows things down to individuals likely to make an offer).
Following these viewing guidelines will help you reach the biggest amount of interested buyers. Later on, you can narrow that list to people who want private viewings and are interested in making an offer.
Step #4: Negotiate Your Sale
After you’ve garnered some buyer interest in your listing and gotten an offer or two, the next step is negotiating your sale. This part of the process can be stressful, as it’s up to you to ensure that the buyer agrees to your listing’s price and terms as quickly as possible.
Plus, you’re managing any offers or counteroffers with your client. However, this is a necessary step, and it helps ensure you can close the deal later on. If you expect to get the most value for your client with minimal hiccups, it’s wise to do these two things before negotiations:
- Qualify your prospective buyer.
- Accompany seller to appraisal.
Doing these things will ensure that:
#1. The buyer is qualified to make an offer on your listing.
#2. Your seller isn’t under or over-sold.
Step #5: Close the Deal
The final stage in the lifecycle of any real estate sale is what we endearingly refer to as closing the deal. This is where you wrap everything up, ensuring that there are no loose ends.
Doing this often includes:
- Scheduling a last inspection of the property.
- Handling final negotiations for your seller.
- Ensuring that you have correctly filled out and filed all necessary paperwork.
And remember, if you’re looking for a top-notch agency to help you close the deal on all your listings in Florida, you can trust Lokation Real Estate to answer the call! We have various locations all over the Sunshine State, including our 100 percent commission real estate brokerage in Destin.