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Maximize Seller Profits When the Market Favors Buyers

Even though high inflation and rising interest rates are beginning to dampen homebuyer demand, we’re still in a seller’s market. There still isn’t enough inventory to meet the demand that’s out there, so your sellers continue to have some advantages in the market.

Use these guidelines to help make the selling process easier, faster and more profitable.

Monitor comp sales like a hawk.

Buyers and their agents are more informed than ever about what houses are selling for in the neighborhoods they’re considering. But with the market changing as rapidly as it is, you can be the first to inform them of the month-to-month or week-­to-week shifts in your area. You’ll have to keep a close eye on recent sales of comparable homes and commit to frequent communication with buyers interested in your listing. Preparing a CMA and distributing it to potential buyers will show your listing’s value.

Avoid price gimmicks.

Helping your seller set a reasonable list price goes hand-in-hand with your role in monitoring comp sales. As an experienced agent, you can present an objective view based on market activity to figure out a fair and competitive asking price prior to listing to set your client on a path for success when the home goes to market.

Be vigilant when reviewing contracts.

It can be overwhelming for a seller to try and understand a sales contract. Now imagine, as an inexperienced seller, being in a bidding war and having many contracts from multiple bidders to consider. Sellers need you to help them discern the contracts that most closely meet their needs. It’s a good idea to remind your client that the best contract isn’t necessarily dependent on the amount of the offer.

Choose the right offer.

Other questions to ask as you’re reviewing offers: Is there an escalation clause? What type of financing is the buyer using? Who are the buyer’s lender and settlement agent, and are they local? Does the proposed settlement date work for the seller? All these issues need to be weighed before your seller accepts an offer.

August 8, 2022.Realtor Magazine. Maximize Seller Profits When the Market Favors Buyers.

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