Ottawa’s market has been trending upwards for the past couple of years, and is continuing that trend in 2018. Buyers are coming from as far as Toronto, and there’s no shortage of them. What there is a shortage of is houses for them to buy.
The five-year average for January listings is approximately 1,896 in total. January 2018’s number of listings was 1,400. While there are still plenty of great listings, inventory is definitely down.
When sellers hear those numbers, they immediately think that correlates to tons of buyers jumping at the chance to buy their home. Because of that, they don’t think they need a professional real estate agent to sell. Instead, they’ll do it themselves and save paying a commission, or higher a discount brokerage and save that way. After all, with this many buyers, the house will sell itself.
This is NOT the case. Buyers today are very choosy about their homes, and just because the market is hot and there are lots of them doesn’t mean your home will sell, or that you shouldn’t hire a pro. We’ll explain how skipping the most important step in your home sale could potentially kill it.
Doing it Yourself with a Discount Brokerage Comes with Risks
Some sellers think that discount brokerages are the way to go when they sell their house. Discount brokerages are companies that advertise a lower commission percentage or charge a flat fee for their services.
You get what you pay for, and at discount brokerages, you don’t get much. The way most of these companies are set up, you’re not getting someone with the experience, resources or motivation necessary to sell your home. They’ll simply put up the listing, leaving you to do everything else, including staging your home, arranging viewings, and negotiating over price. DIY selling is overwhelming, and comes with its own risks.
If your own brokerage isn’t paying attention to your home, chances are a lot of buyers won’t either. A lack of marketing means that buyers might not even be aware your home is on the market! On the other hand, poor marketing will cause buyers to dismiss your home from their list of prospects. For example, a buyer might pass because the photos are bad, and buyers are starting their real estate journeys online these days.
Lack of attention, and the wrong kind of attention, can cause your home to sit on the market for months, which doesn’t give the buyers who do see it a very good impression.
When you hire a professional real estate company like Paul Rushforth Real Estate, you get more than an agent. For the commission price, you get an agent who’s only focused on selling your home, a marketing team, professional photographs and staging, and so much more. And you don’t pay until your home is sold!
The best part is that we guarantee home sales! If you take possession of your new home before your old one sells, we’ll buy it. Learn more >
Overconfident Pricing is a Sale-Killing Mistake
People who are selling their own homes, or some inexperienced agents, will look at a sea of buyers and just see dollar signs. They think that because there’s such a low inventory, they can price the house at whatever they want.
This is simply not true. As Paul always says, there are 2 things that will sell a house: condition and price. If your home is in great condition but it’s not selling, you have a price problem.
Pricing your home too high is a sale-killing mistake, especially since the recent mortgage rate rule changes have altered the pool of buyers who can purchase your home. A home that is overpriced will sit untouched on the market for months. The longer it sits, the more people start to whisper that there’s something wrong with it. An unsold house gives off the impression that there’s something wrong with it.
Now you’ve wasted tons of time and money, and have to reprice your home. Instead of sitting on the market for months, get an experienced real estate agent to price your home correctly the first time.
We set prices based on a home’s value and market data so that your first price is fair and accurate.
Multiple Offer Situations Can Get Out of Hand, and Cost You Money
A fair and accurate price is all well and good, but what happens when your home gets multiple offers? That’s becoming more and more common in 2018, with more and more buyers vying for the same property.
In the case of multiple offers, buyers are always trying to make their offer the most appealing. They’ll put in an offer way above asking price, they say they’ll take a home with no conditions on the sale, or they’ll offer flexible closing dates where others cannot.
Multiple offer situations can quickly get out of hand for sellers. You have agents or the buyers themselves constantly telling you why you should accept their offer, and without the proper negotiation experience, you could be persuaded by a buyer’s agent into leaving money on the table. Imagine finding out that with a real estate agent representing your interests, you could have gotten $15,000 more!
Skip the regret and the stress by hiring an agent with experience in multiple offer situations who will be able to do all the processing and negotiating for you.
An Experienced Real Estate Agent Is Your Best Friend in Markets Like Ottawa
In markets as strong as Ottawa, it’s worth it to list now. It’s also totally worth it to have a strong, experienced representative looking out for you. At Paul Rushforth Real Estate, you’ll be in the best, most capable hands, who will be 100% devoted to selling your home.
So what are you waiting for?