Navigating Home Ownership – Part 3, Selling Your Home
The process of selling your home can be broken into a few stages before final settlement.
Staging – At this point, your realtor should bring a stager through the home. It was at this point that my wife and I looked at each other and said “Why didn’t we do all these upgrades when we moved in?” Keep in mind this is usually a very complete list and it’s not expected that you get to everything so I would ask them to prioritize the list from most to least important.
Deciding on an offer – Once your home is on the market and an offer or two start coming in, is helpful to do a little research to see if everything adds up. A few details to review include -
- Sale Contingency – Does the person buying your home still have to sell theirs? If so, you may want to see what other offers come in because you are taking the risk of selling two homes!
- Financing - Your realtor should call their lender to see how well they know the client and judge their confidence in the ability to be approved.
- Rent back – Most of the time, it is wise to get under contract on your home before putting offers in. If this is the case, you may need to rent back your home after settlement until you can move into your new home. Are they willing to accommodate a rent back?
Contingencies – During this time you work through varies contingencies related to the sale
- Home Inspection – The biggest of the contingencies involves a thorough look at your home. The buyer will then request repairs. If the repair is simple but your timeline is tight, offering a credit in lieu of repair often works.
- HOA right of rescission – Common citations include power washing siding, damaged steps or front facing windows, overgrown shrubbery in the front. It’s best to take care of these before they come out.
- Financing –There is not a whole lot that you can do about this but your realtor should be in constant contact with their lender to make sure things are moving along.
Disclaimer: Alex Voorhees and Reston Wealth Management do not provide legal, accounting, realty or tax advice. This information is not intended to be a substitute for specific individualized legal, realty or tax advice. We suggest that you discuss your specific situation with a qualified investment, tax or legal advisor and/or licensed realtor. The opinions voiced in this article are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) or strategies may be appropriate for you, consult your financial advisor prior to implementing a strategy. No strategy assures success or protects against loss. You should consider the investment objectives, risks, charges and expenses of any investment carefully before investing.