3 Tips to Selling Your Home in a Buyer’s Market
Are you thinking about selling your home in a buyer’s market? It might not be the best timing considering current market conditions, but you won’t always get to sell your home at a time where your property type has record benchmark prices.
If you live in Calgary as of now, you probably know that the housing market is currently deep into buyer’s territory for all segments. So, what exactly is the best way to sell your home in such a market? Before sharing a few helpful tips, lets discuss what a buyer’s market is in the first place.
Q: What is a Buyer’s Market?
A home market in buyer’s territory means that there are less buyers interested in making a purchase than there are homes for sale. This is usually accompanied by:
- Lower benchmark prices for property types with low demand and high inventories
- Homes often remain unsold and are re-listed at lower prices
- Increasing supply can halt benchmark price recovery and result in further price reductions
- Home buyers have more time to make decisions and leverage in negotiations with sellers
Understanding Market Dynamics
It’s important to keep in mind that just because a regional housing market like Calgary’s is far into “buyer’s territory,” it doesn’t mean that all segments of the residential sector are acting the same.
For example, the apartment sector has currently seen much further price reductions since high’s recorded in 2014 when compared to the detached sector.
Learn more at our month-to-month Calgary Housing Market Statistics, Trends & Analysis, sourced from Calgary Real Estate Board (CREB®).
How Can You Boost Your Home’s Appeal?
When selling your home in a buyer’s market, you’ll want to do whatever you can to make your property more appealing. This might include renovations such as a fresh coat of paint, new flooring or maybe changing an office space into an additional bedroom.
We all know that renovations cost money, so don’t go trigger happy on them just yet. Make sure to ask your REALTOR® about which ones will be worth the money and which won’t. Their knowledge of real estate and experience with helping people sell should give them a good idea as to which can increase your home’s appeal to potential buyers.
There’s many ways of boosting your home’s appeal. Learn more below:
Do Renovations the Right Way
Also, if you do decide to do renovations, make sure you have the proper permits in place. Non-permitted work can be a massive headache and act as a roadblock to getting your home sold!
Also see our guide to Home Renovations and Building Permits for a more in-depth look at doing renovations in the City of Calgary.
The best thing you can do to price your home in a buyer’s market like Calgary’s is as of now (Fall 2018) is to request a competitive market analysis (CMA) from a professional real estate agent and experienced REALTOR®.
It’s important to point out that experienced REALTORS® are often career agents who work full-time in real estate. These individuals will offer you a 100% free, no-obligation CMA which compares your home against others on the market with similar sizing, location and other features to determine the best listing price.
Setting a price too high will often scare off buyers – especially in today’s market where there’s stricter lending rules and regulations and higher interest rates. Setting a price too low may result in more offers, but not necessarily a higher price fetched for your home.
See our Calgary REALTOR® Interview Guide if you don’t have an agent in mind for some helpful tips to finding the best agent for the job.
Be Patient and Flexible with Conditions!
A buyer’s market means that there’s a lot less pressure on buyers to make decisions because of the overwhelming supply of homes available. They may ask you to be flexible over a longer period of time to allow for a home inspection, appraisal and any other conditions they request.
Requests such as these from a potential buyer means they are interested. Be patient and willing to work with them – it may just be the opportunity you’ve been looking for!
Remember that as a seller, you don’t have to accept any purchase offer, but you should consider the consequences of doing so in a market that’s far into buyer’s territory.
See our Calgary Home Seller’s Guide for more helpful tips and be well on your way to a successful sale!
Questions about Selling Your Home in Calgary?
As a highly experienced sellers agent and REALTOR® in Calgary with more than 600 transactions under my belt, I have the knowledge and skills to market your home to the fullest in a buyer’s market and help you get the most money for your property!
Call me anytime at 403-370-4180 or send a message below and I’ll respond as quickly as I can – if not immediately! I am looking forward to helping you accomplish your real estate plans!