7 Things You Can Do When Your House is Not Selling
Guest Blogger: Irina Sidorenko
It is very frustrating when you have done everything by the book in order to get a good price for selling your home, but unfortunately, your property is still just not getting any offers at all. You have already spent a lot of time, effort, and even financial resources to get a real estate to sell your house, but buyers just aren’t willing to cut a deal. There may be several reasons for the lack of offers such as selling in the wrong season with fewer buyers because of the cold, being stuck in a market slump, or just having plain bad luck. Aside from literally waiting for the house to sell, here are some things you can do when your home is not selling.
Rent Out Your Property
If you are already struggling to pay your mortgage because you’re having a financial crisis or your could have moved to a new location because of a job and paying for two homes is not feasible, then offering your house up for rent may be a viable temporary solution if it is not selling. You just may be able to find renters who can pay rent that can cover your mortgage. If paying the entire mortgage cost is impossible because it is too high, at least finding someone to rent to cover a certain portion of the mortgage will make things more bearable for you.
Consider a Lease to Own Option
Closely related to the aforementioned category, consider putting up the property in a Rent to Own Scheme. This is a favorable option that can attract quite a few buyers. Often, people aren’t sure about the area where they want to settle down. This gives them a good chance to get the feel of the place. They can rent your home with the option to buy it later for a specified price. The nice part about this option is that you can ask for a slightly higher price than the market standard rent because this is favor or special privilege you are awarding your tenant/ future home buyer. In addition, rent to home tenants is most likely to take better care of the house in terms of maintenance and repairs when compared to the average renter.
Find a Better Real Estate Agent
The problem with getting your house to sell sometimes does not even rest on your home quality. Instead, it has everything to do with the real estate agent you have hired to sell the property on your behalf. The real estate industry is a business and there really are just some agents who are better than the others out there. Any professional real estate agent who has not managed to sell your home for a long period of time has to right to get angry or offended should he or she be replaced. In fact, if your incompetent agent had any modicum of self-respect and decency, the said agent won’t have any complaints about your desire for a replacement. In the first place, this agent has been unable to perform the job well.
Opting to change your agent when your home is not selling is a simple yet very effective way to gain ideas to different tactics and fresher perspectives. Some agents really don’t do much other than post your listings in high traffic areas while hoping for the best. You will definitely need a more proactive agent. Searching a well-known top producing agent with a solid reputation for bagging great deals is a critical component to selling your property.
Look at a Guaranteed Purchase Program
If you are moving because of work, do inquire about a guaranteed purchase program your company provides, which you may be unaware of. Big companies that want you to make a lateral transfer by uprooting your life often have business arrangements with relocation professionals. These relocation companies do all the worrying, so employees can move with ease and not have to worry about paying for two residences. The only way to find out if you are eligible is to ask. You may be worrying for nothing, so inquire with HR if they offer this incentive, especially since you shall be moving for the company. Often enough, some big corporations do go as far as to doing home buyouts to entice their most competent employee to move. You can be sitting on a gold mine and not even know about.
Consider a Second Mortgage
Sometimes, getting a second mortgage is a great way to generate quick cash if you really need it. Something like a home equity loan or refinancing your existing mortgage can help tide you over the hard times. You can renegotiate better loan terms or ask for a lower interest rate. You'd be surprised that some lenders are actually willing to work with you. You can even inquire about extending the loan term payments, especially if you have paid a lot, so that it can lower your monthly payment.
If your home is not selling as fast as it should be, going this route can help you immensely. It can help you tide things over, so you can wait longer to sell your house when the real estate market improves. Sometimes, waiting a couple of months or even a year will be beneficial for you. With real estate, timing is everything. Selling during the holidays and winter is also a bad idea. Analyze your situation and make the necessary adjustments.
Sell for Less than the Market Value
When everything seems to not be working, offering the home for sale a deeply reduced price is a last resort. There are investors and buyers out there who are always in search of Fire Sales, the technical term for desperate and quick selling, in the real estate industry. The moment they see a good deal, these people will be ready to pounce to snatch it up before it is gone.
On top of that, there are other quick sale features like putting your house up for bidding in a real estate auction or opting to do a short sale. Working with an auction house is a good and hassle-free alternative than listing with a realtor. They can help you dispense your property to the highest bidder. The price may be a little short than your asking, but at least you get offers. As for a short sale, this means you owe more than what your home is worth because of a market downturn. You need to get the permission of the lender to allow you to sell the property at the lower price the house is now worth.
Reducing the price is always attractive to the equity purchasers and cash investors, who are always on the lookout for a steal. Anything will sell for if the price is right. You may be able to earn less than what you want, or even suffer a loss, but at least you will be able to finally sell the property.
Once again, choosing to sell your home for less than its market value is the last option to take. It must only be done if you have exhausted all the other means. Often, changing your real estate agent, waiting for a better time to sell, or temporarily renting are enough to tide you over to help you sell your house for a better price. The most important thing here is to do your research and weigh your pros and cons before making your final decision.
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