Getting Emotionally Involved

Once you decide to sell your home, it can be helpful to start thinking of yourself as a businessperson and a home seller, rather than as the home's owner. By looking at the transaction from a purely financial perspective, you'll distance yourself from the emotional aspects of selling the property that you've undoubtedly created many memories in.

Also, try to remember how you felt when you were shopping for that home. Most buyers will also be in an emotional state. If you can remember that you are selling not just a piece of property but also an image, a dream and a lifestyle, you'll be more likely to put in the extra effort of staging and perhaps some minor remodeling to get top dollar for your home. These changes in appearance will not only help the sales price, but they'll also help you create that emotional distance because the home will look less familiar.

Not Hiring an Agent

Although Real Estate agents command a hefty commission (usually 5 - 6% of the sale price of your home), trying to sell your home on your own, especially if you haven't done it before, is probably ill advised. A good agent will help you set a fair and competitive selling price for your home that will increase your odds of a quick sale. An agent can also help take some of the high emotion out of the process by interacting directly with potential buyers, so you don't have to and eliminating tire kickers who only want to look at your property but have no intention of putting in an offer.

An agent will also have more experience negotiating home sales than you do, potentially helping you get more money than you could on your own. Further, if any problems crop up during the process – and they commonly do – an experienced professional will be there to handle them for you. Finally, agents are familiar with all the paperwork and pitfalls involved in real estate transactions and can help make sure the process goes smoothly.

Assuming You Must Hire an Agent

On the other hand, some people do manage to sell their homes themselves. You'll need to do your own research on recently sold properties in your area and properties currently on the market to determine an attractive selling price.

keep in mind - that most home prices have an agent's commission factored in and you may have to discount your price as a result.

You'll be responsible for your own marketing, so you'll want to make sure to get your home on the Multiple Listing (MLS) in your geographic area to reach the widest possible number of buyers. Also, you'll be the one showing your home and negotiating the sale with the buyer's agent, which can be time-consuming, stressful and emotional for some people.

If you're forgoing an agent, consider hiring a real estate attorney to help you with the finer points of the transaction and escrow. Even with attorney's fees, though, selling a home yourself can save you thousands. Keep in mind, however, that the buyer's agent will expect to be compensated, so you won't be able to save the entire commission, as you'll need to pay 1 - 3% of the home's sale price to the buyer's agent.

Lingering During Showings

Yes, we all want to know how the open house or showing went, but hanging around during either of those events is not a clever idea. Sellers who tend to linger during showings often make the buyers uncomfortable. Buyers like to have time to explore the home at their own pace and without feeling any pressure. Sometimes buyers want to sit on the porch or out in the backyard as they discuss the home’s possibilities. And if buyers are willing to sit for a bit and talk about the home, that’s a great sign. However, the chances of them doing that with the seller present is unlikely. Many times, buyers will say, “Let’s skip the home if the sellers are there.”

For Sale by Owner (FSBO) Trap

Some people are convinced that they can do it on their own. Maybe they can sell their own home, but it likely won’t happen without some headaches. Trained specialists are called “experts” for a reason. An expert real estate agent knows the market, has connections, guides you through the process, negotiates on your behalf, and will make the process of selling your home simpler.

One potential land mine that FSBOs face is the flood of people popping in to see their home. It sounds great that there’s so much traffic, but the problem is many times the people who pop into FSBO properties aren’t actually qualified for a mortgage or may not be serious buyers. Instead they’re just looking and satisfying their curiosity at your expense. Agents know to ask the right questions to make certain the lookers are truly potential home buyers.

Not interviewing agents

Choosing the wrong agent for the job will be a headache and slow the process down. There must be a connection, understanding, and excellent communication between the seller and the agent. There are lots of things that go on during the sale of a home and communicating with the agent should be one of the easier tasks.

Pricing a home incorrectly

This could be the worst mistake sellers make. Yet, this is where, so much help can be found. Real estate agents see homes every single day. They know the neighborhoods and the comps. They are there to help you understand what homes have sold for in the recent past and what they’ll likely sell for during the current market conditions. Get a market evaluation from your agent and understand that what is a fair price for your home in today’s market.