What is the Process of Selling a Home?
Published on June 24, 2023 | 4 Minute read
Melanie
Ortiz Reyes
Content Specialist
There are many reasons why you might be considering selling your home. Whether you’re looking to upsize or downsize, relocate, or because of a personal circumstance, selling your home can be stressful if you don’t know what the process looks like. It’s important to note that the home selling process can vary depending on your location, local regulations, and method of sale.
Here’s an outline of what the selling process typically looks like:
Determine Your Goals - Establish your financial goals and timeframe. Do you want to maximize your profit, or would you rather sell quickly? There are several options to choose from when selling a home, such as listing it on the market, selling for cash, and for sale by owner (FSBO). Weigh the pros and cons of each and determine which one is the best option for you and your family based on your specific situation.
Prepare Your Home - Make your home attractive to buyers by decluttering, making repairs, cleaning, and enhancing curb appeal. Make your house stand out among the others on your street. Consider staging the home to showcase its features and make it more appealing to potential buyers that tour it.
Find an Agent - If you decide to list your home on the market, find a reputable agent to help you through the transaction. A real estate agent can simplify the selling process, as they can provide insight, market your home, negotiate offers, and help you handle complicated paperwork.
Set a Price - If you decide to work with an agent, choose one with experience in your local market who can provide an accurate comparative market analysis and help you price the home. If you decide to sell your home without the assistance of a real estate agent, research similar properties in your area that have sold recently. This will help you determine a realistic yet competitive price for your home that reflects current market value.
List the Home - This is the time to decide whether or not you’ll be staging your home. Make a list of your home’s most attractive features and include them in both the description and pictures of your listing. A real estate agent can easily assist with this process by marketing your property on various platforms.
Schedule Showings and Open Houses - Potential buyers and their agents will begin requesting showings of your homes. Make sure your home is clean and presentable to attract buyers.
Negotiations - Review each offer carefully. This is where working with a real estate agent will work to your benefit, as they can provide their input regarding their offer. If you’re not working with an agent, you must carefully determine whether it’s a good offer or not. You can accept, reject, or negotiate the offer by countering with different terms. Negotiations may involve price, contingencies, financing, and closing dates.
Accept an Offer - After careful consideration, accept the offer that best fits your goals and needs. Once both parties agree on the terms, you’ll enter into a legally binding contract. This is typically when the buyer provides earnest money.
Complete Contingencies - The buyer will probably have contingencies such as a home inspection and financial approval. These contingencies will need to be met within the agreed-upon timeframe. If the home inspector finds an issue with the property, negotiations may occur to adjust the sales price to cover the needed repairs.
Complete Paperwork - As the closing date approaches, both parties will finalize the necessary paperwork and fulfill any requirements. Some examples include coordinating with the buyer’s lender and obtaining a title search and title insurance.
Closing - On closing day, both parties will meet, typically with an attorney present. The buyer will provide funds, and you will transfer ownership of the property. You’ll receive the proceeds from the sale once the transaction is complete.
Selling your home is a personal decision that depends on your circumstances and goals. Although the process seems long and tedious, working with a real estate will expedite it and make it less stressful for you and your family.