The world of real estate is often a lot like the stock market. Buying and selling at optional times so as to make the most money, or get the most for your money, requires research, foresight and sometimes, just plain luck.
If you’re buying a home. Currently, the luck is with those looking to buy, as the real estate market enters a cooling phase. What does that mean for you?
* Buyers have a significant advantage in a strong buyer’s market because sellers are more willing to negotiate. There are many more homes for sale, they are taking a little longer to sell and sellers are reducing prices and more frequently paying a portion of closing costs. However, just because there may not be as much competition, don’t think you can lowball a seller. It won’t, work, say the experts. Offending a seller will most likely cause them to not want to negotiate. At the same time, don’t be afraid to ask for a few extras. In a buyer’s market, you don’t have to accept worn hardwoods, cracked tile or an old roof.
If you’re selling a home. The world hasn’t come to an end. Really. As a seller you just need to follow a few basic rules. Boost your home’s curb appeal. Surveys indicate that a clean house with cosmetic upgrades such as fresh paint and flowers can help form a much more positive first impression. Eighty-four percent of home buyers use the Internet to search for homes; that means that people are making decisions whether to even drive by your home based on how it looks in video, virtual tours and photos.
If your budget allows, invest in bigger improvements. The National Association of Realtors found in 2007 that 59 percent of home buyers remodeled or made improvements to their homes within three months of purchase. Forty-seven percent made improvements to the kitchen, another 43 percent remodeled or improved a bathroom and 43 percent remodeled a bedroom. In other words, these are the key rooms when you’re preparing to sell. Focus on fixing up those “make or break” rooms.
Know your market. Finally, whether you’re a buyer or seller, don’t assume that because the national real estate picture has gone cold, it’s that way where you live. The Washington State real estate market, and the Tri-Cities market in particular, are extremely strong and in fact, flourishing.