So you need to sell your home, but don’t know how to find home buyers leads…
As the housing market begins to shake off the malaise of the past few years, you may hear that your city (or even your neighborhood) is a hot market. However, if yours isn’t the nicest house on the block, or if you’re a few blocks away from a neighborhood that has already gone through gentrification, it can still be a challenge to get traffic into your house at all, let alone pull in a decent offer. On the other side of the equation are people who are looking to rent, because they have the income to pay a mortgage but don’t have a good enough credit score for a bank to lend them money, or they don’t have the 20 percent down payment that many traditional lenders require, even with a stellar credit score.
How to find motivated home buyers
Wondering how to find home buyers leads? Before you start pulling your hair out, remember that you’re not the only person in your town who is likely to be having problems selling your home. Learning how to find motivated home buyers isn’t so tough. Consider some of the most common reasons why homes don’t sell quickly, and think about making adjustments to your approach. One example has to do with price. If your home isn’t competitively priced, then it’s not going to sell. A skilled realtor will run an exhaustive comparative market analysis (CMA) to help you figure out the right price for your property. If the price is too high, no one will make any offers. Even if you decide to bring the price down at a later point in time, that will show up on the listing, and people will think that the home has problems. If you set your initial price a little lower, then you often don’t have to lower it later, and you sell it sooner. Base the price on the analysis, not on your own gut feeling or the payoff on your mortgage.
Another common reason why homes don’t sell quickly is their condition. You can make a huge difference by keeping the grass neat, pulling the weeds out of the front and back beds and adding some seasonal flowers. On the inside, while you want to stage the home so people can envision what it’s like to live there, you also want to keep clutter out of your potential buyers’ view. This means that you have to make your bed every day, put the dishes up and clean off those counters.
Some homes have more specific issues, such as an eccentric floor plan or a location near a busy intersection. Your realtor can help you devise ways to point potential buyers toward the positives of your home.
So what are the numbers like for real estate sales? Compared to June 2013, June 2014 had 11 percent more activity in home sales, taking Canada as a whole. In Alberta, 7,782 units were sold, a 14 percent increase from June 2013. Alberta had the best first of half of any recorded year since 2007. Home prices were up too, as the average sale price in June 2014 was $407,166, six percent higher than the average in June 2013. The national average (June to June) went up by 7 percent. So properties are starting to move more briskly in Alberta and the rest of Canada as well. This is good news!
However, if your home is still languishing on the market, all the stats in the world aren’t going to improve your own situation. You have some choices if the listing runs too long: you can cut the price, stay in the house and pull it off the market, or rent it. But if you need to move, don’t want to slash the price, and don’t want to be a property manager, there is another solution that is becoming more popular: blending your role as a seller and a private mortgage lender. If you have enough equity in the home (20 or 30 percent at least), have found a potential buyer who loves your house and wants to meet the price but can’t qualify for traditional financing, then you may have the right situation.
How to find home buyers in your area
How does it work? You agree to finance the property yourself. You become the lender and write the note for the buyer. If you have the right real estate lawyer to draw up the paperwork and a broker that is an expert in private mortgage lending, then this may be the situation for you. Amansad Financial has served as the broker in many of these transactions throughout western Canada and has the relationships to connect you with buyers who are looking in your area but simply can’t qualify for a traditional loan. Contact one of our mortgage professionals today to take a look at your current outlook and see how we can help!