How to Sell a Home: Successful Real Estate Tips

Many factors are involved when determining whether a house will sell quickly. Buyers look at the price, location, age and benefits of potential homes. The good news is tips on how to sell are easy to find. When worried about finding a buyer, trying to evaluate every piece of how-to advice for effectiveness can cause more headaches. Of all the information available, there are some key points to remember. These tips for selling a house will have potential buyers knocking at the door.

Work With a Real Estate Agent to Sell a Home

Working with a real estate agent is perhaps the most important step to take when selling a home. Research shows more homes are sold with the help of a real estate professional. An agent has the education, experience and resources to find home buyers. He or she will help sellers decide on an appropriate selling price, advertise the home where it can be viewed most effectively, host open houses and, finally, communicate with potential buyers and their agents.

Sell a Home With a Good Price

The selling price of a home is based on several factors such as comparable sales and interest rates. Becoming familiar with the market area and knowing the selling prices of recently sold homes helps to set a price. An appraisal helps to establish a home’s market value by assessing its features, examining its condition and comparing it with similar properties. With an appraiser’s report and the help of a real estate agent, an appropriate price can be established to satisfy both seller and potential buyers.

Advertise Homes for Sale

Finding a buyer for homes is difficult if no one knows it is for sale. Two common forms of advertising are MLS listings and open houses. MLS listings give in-depth information about houses for sale while open houses provide interested buyers a chance to view the homes in person. A real estate agent will take care of these marketing strategies for sellers.

Take Advantage of Home Staging

Once a home is on the market, it should always be ready for potential buyers to view. This means undergoing a major cleaning process inside and out. Take care of messy yards, cluttered rooms and filthy bathrooms that might prevent buyers from seeing a home’s true potential. Entryways, floors, bathrooms and kitchens are areas buyers will focus on the most, so make sure these areas are especially clean.

Stay Optimistic When Selling a Home

Some sellers are lucky and sell their home within its first few weeks of being on the market. Others may not find a buyer for several months. If working with a real estate agent, discuss new strategies with him or her. It may be time to rethink the selling price or consider repairs that may increase the home’s value in the eyes of a buyer.

Holiday Letting an Investment Property: Doing the Initial Sums on a Holiday Home Investment

It sounds wonderful, doesn’t it? Owning real estate in a prime capital-growth location, gaining maximum rental returns on a nightly basis and getting free holiday accommodation for the family as well?

That is the dream that has been drawing property investors into the holiday letting real estate market for decades. Some would say it sounds too good to be true… but some swear it’s totally possible to have it all. The trick is to enter the market armed with all the information to ensure the recipe is right from purchase to profit.

Holiday Home Income

As with any investment property, the first thing to do is decide the buying budget and then calculate the necessary rental returns in order to ensure it’s affordable. It is true that holiday let investment properties almost always have higher weekly rents than permanent rentals and peak season rates can be 300% higher than the same property would if let on a permanent basis. However, it is also important to realise these rates are seasonal and estimated annual returns must account for significant variation throughout the year. A beach property for example, may rent for $1500 per week in summer, $1000 per week in other holiday periods and just $500 per week in winter.

Occupancy rates also need to be factored into estimated returns. While short-term rental occupancy rates may be as high as 90% in metropolitan areas, they are commonly 20-40% in regional areas. Talking to local holiday letting agents is the only way to get an accurate picture of area-specific occupancy rates. Particular types of properties may be more highly sought in some locales also, so quiz local letting agents on occupancy according to specific property styles and buy accordingly.

Most importantly, factor personal use into the investment return calculations. To ensure maximum revenue, avoid using the property during peak season or if personal use is one of the key reasons for purchasing the property, make sure personal time is deducted from the availability calendar prior to calculating revenue.

Vacation Investment Outgoings

Local letting agents can also provide an idea of regular holiday letting expenses. While it’s true that rental rates are higher, running costs are also more expensive than a permanent rental. Regular cleaning costs, marketing fees, linen hire and furnishing maintenance may all need to be added to management fees and standard holding costs and they can amount to more than 50% of quoted weekly rental rates.

Of course, the flip side of the higher outgoings is more tax write-offs. Because holiday homes are often let fully-furnished, right down to the crockery and the tennis racquets, there are a host of added depreciation benefits for investors keen to negative gear their holiday let property. Keeping holiday home furniture in top condition with a high replacement rate is a strong return-customer draw card and may also be in the best interests of the holiday home investor.

To sum up quickly, it is recommended the following basic figures have been estimated on an area-specific basis before beginning the holiday home property shopping:

  • Weekly/nightly rental rates
  • Seasonal rate variation
  • Seasonal occupancy rates
  • Management fees
  • Maintenance and cleaning costs
  • Cost of furnishing property and related depreciation
  • Standard council rates/body corporate fees
  • Lending costs based on budgeted purchase price
  • Extent of associated taxable claims and depreciable items.

Then it is time to consider the capital gains and marketing of a holiday-let as an investment property.