Maximize Your Home Sale
In January 2015, Zillow released a new book reflecting on home prices across the United States. The book is called “Zillow Talk: The New Rules of Real Estate” and is penned by CEO Spencer Rascoff and Stan Humphries Zillow chief economist. From their data, they share the three main ways t increase your homes value.
1) Redo the Bathroom (not the kitchen)
Contrary to previous wisdom, the kitchen is no longer the best ROI in your home. According to Humphries, “we actually crunched an enormous amount of data…what we found is actually it’s the bathroom remodel that adds the most value to a house.”
Why? Likely due to the utility of a bathroom remodel versus the style or fashion that’s updated with a kitchen makeover.
Zillow shows a mid-range bathroom remodel ($3K) results in a $1.71 increase in home value for each $1.00 spent. An upscale bathroom however only results in an $0.87 increase / per $1.
2) Sell during THE Season
The peak every year comes during the last month of June where sales are approximately 40% higher than average.
In order to have sold and settled by then, you should look to listing as early as January or February. According to Dave Geipel of Home Marketsite, “you find there’s a large carryover of home buyers from the previous year that’s waiting for a fresh listing to hit the market. Furthermore, there’s a new crop of buyers who have flipped the calendar to the year they will buy their next home.” If you’re looking to sell in the Spring, Geipel adds you should “have it listed by the middle of March.”
According to Humphries with Zillow, “put your home on the market after you fill out your NCAA March Madness basketball brackets, but before someone slips on an ivy-green jacket at the Masters Golf Tournament.”
Great advice for the spring seller.
3) Price your home with Purpose
Whenever you shop at retail stores, they’ve employed a pricing model to get the most number of people interested in buying that item on the shelf. While you may want to net $150,000 for your home, pricing it down by $1000 and selling it for $149,000 ends up in you making $2175 more than you would if you priced it at $150,000,” explains Humphries. This “900” principle works for most price ranges.
Zillow also found that homes using ‘9’ in the thousands digit sold four days to one-week faster than those that didn’t.
So price matters to sell your home at a higher price, faster.
Want to maximize your home sale price? Contact us today to see how we let our clients Take More Home!
Credit: Zillow Talk: The New Rules of Real Estate