5 Real Estate Selling Mistakes That'll Cost You Dearly

Monday 07 Oct 2019

Selling your home is a stressful time. So many things to consider. Which real estate agency to use, what price to list for, how long will it take and what's a fair selling commission to pay.

Granted these decisions are important but there is an underlying current of subliminal decisions you need to consider or you could lose heavily. A pain in the hip pocket could be catastrophic.

Here's 5 real estate selling decisions you must consider if you want to maximise your sale and put more money into your pocket.

1. Choosing an agent because they work for one of the big 'boys'

It's a common thought pattern. Go with the big brands. They employ the best.

That's true in part but instead of employing an agent to sell your most prized possession just because of the brand name, choose an agent who has a track record of getting the job done.

Jump onto realestate.com.au and see who is active in your area. Check out their profile and not only view their current listings but also check their 'sold' record. That's the part you would be most interested in.

There's no point going with an agent with a gazillion listings but very few sold properties accredited to his/her name. That would indicate they are not proficient in finalising a sale and that's costly for you.

2. Choosing a discount real estate agent

Australia has seen many discount agencies come and go. Purplebricks is the latest company to pull up stumps.

On the surface they seem to be appealing. You can save money on the commission you pay to the agency. But with low fees comes low service usually. What seems cheap upfront can cost you more in the long run.

Most of these companies have add on fees including administration charges, upload fees to real estate portals to list your property and signage charges just to erect a for sale sign.

But the hidden cost is in their pricing. The discount agency model requires high turnover of sales to compensate for the low commission payable. This can lead to pricing of your asset at not the best attainable figure.

3. Trying to sell a secret

The premise behind a secret is that the information is not made public. That's an honourable thing to do amongst friends but it's a horrible concept when trying to sell a home.

Everybody needs to know your home is for sale and that means your home needs marketing.

Smart home sellers understand the value of marketing and are willing to contribute to getting it sold. But why should you the seller pay for marketing?

That's a fair question. But there is a lot of behind the scenes activity an agent contributes to getting your home sold.

The agent usually gives access to their database of buyers when you list a home. A well engaged database can be invaluable in selling a property.

Agents usually possess higher quality negotiation skills having been involved in the selling process hundreds of times. Sellers usually only sell once every seven years and therefore are inexperienced in regular negotiation.

An agent only gets paid if and then the property is sold. So, they need to do their very best for you to achieve a sale.

It would seem fair that a seller should have a vested interest in selling their home by providing marketing.

4. My cousin has a friend

Cousin 'Frank' who entered real estate last week is probably not the best agent to sell your house.

You need a skilled agent with a solid track record to maximise the sale price of your home and that's probably not your cousin, next door neighbour or any other relative.

5. Technology is your silent salesman

Look for an agency that uses technology to attract buyers to your property.

While some of the bigger brands insist on full page advertisements in the local newspaper, newspaper reach is declining. Full page ads are great for profiling the agency they might not be the best source to attract a buyer.

Social media now plays a growing role in selling your home. Check out an agency’s Facebook profile and run your eye over their posts and how well they engage with their readers.

Some agencies like First National Paradise Point also use artificial intelligence marketing to directly target possible buyers for your home. Hyper-local marketing is supper cost efficient and should be a bow in your marketing.

Conclusion

To avoid real estate selling mistakes that will cost you dearly, go with an agent that has a good track record for selling property in your area by using social media, AI and database marketing to achieve the highest price possible for you. Contact First National Real Estate today to get a comprehensive property price report on your property.