Colorado Real Estate News

Right Pricing Tips for Selling Your Home

Figuring out how to price your home when preparing to sell puts many into a classically coined “Goldilocks” situation; you don’t want to set the price too high and scare off potential buyers, but you also don’t want to sell too low. In our shifting Luxury Market of today, it creates a quandary. Proper pricing can provide more exposure to buyers, expedite the home sale process and it prevents your house from sitting on the market for too long. Here are a few pricing strategies to consider when deciding how to price your home for this market.

Be Cautious of Overpricing
Though it’s easier said than done, you want to avoid overpricing your home. We know that the past couple of years felt like anyone could price their home for nearly anything and expect a bidding war, but those days are slimming. Potential buyers may not see the listing if it is priced too high or they may ignore it altogether. In other words, buyers have some leverage again.
Overpricing can also cause the property to sit on the market for too long and become “shopworn”, causing it to sell for less down the road. Since most of the activity around your home’s sale occurs within the first week or so, it’s vital for it to be properly priced and create that sense of urgency in the buyer’s mind.

Watch the Seasonal Market Shifts
The season you decide to sell your home during can have an impact on your home’s sale. In Denver, homes sold in early March saw sales for $30,000 over the listing price. Monitor the home selling trends throughout the four seasons, as you may see buying patterns shift before your eyes. For example, you may see a surge in home sales during the end of autumn as people are eager to purchase and move in quickly before the first major snowfall.

Sale Price Doesn’t Always Mean List Price
The price you list isn’t always the sale you get. Buyers will often make an offer that’s slightly lower than your asking price, and then it is up to you whether to accept, deny or begin negotiations. But it doesn’t stop there. Once the buyer has the house appraised and inspected, they may ask for a price reduction to cover any issues that were uncovered along the way. It’s important to set a price that takes these potential reductions into consideration, without also overstretching and setting the price too high.

Don’t Forget the Internet
Thanks to the internet, we have access to tons of property data at our fingertips. You can find out when your home was built, the last sale price of your home, look at current real estate market trends and even get a free home value estimate. The free estimate may be a good starting point to work from if you are in the very early stages of selling. Though it may not become your exact listing price, it will provide you with a general idea of your home’s value and how you stack up to other houses sold in your area.

Shop Your Competition
To ensure you are pricing your home in the appropriate range, observe how other properties similar to yours have sold recently. The houses should be around or very close to your own in terms of size, type, age and in the same location. While you can do some of this research yourself, our expert brokers at Kentwood can prepare this for you as well during the home selling process.

There are many different factors that play into pricing your home appropriately. If they are all taken into thoughtful consideration when determining the listing price your chances of a speedy and successful home sale will skyrocket. If you are ready to put your home on the market, contact one of our experienced Kentwood brokers today at Kentwood.com.

Colorado Real Estate News

How to Sell Your Home for More

Anyone can get lost in the vast real estate market. People looking to sell their home want it to be a quick and easy process, but the reality is often the opposite. There is a ladder of steps with many moving parts, from hiring a real estate agent, price estimations, determining the best time to sell and so much more!

However, selling your home doesn’t need to be daunting and strenuous. Properly marketing your home can make the value surge and quickly attract buyers. Consider these valuable approaches to maximize your profits.

Know When to Sell

The housing market can be highly volatile, and oftentimes demand can dictate prices. Home sellers must stay on top of current market trends to pinpoint the right time to sell. Since the onset of the pandemic, there has been a strong seller’s market nationwide, especially in Denver. 

However, Realtor.com predicts buyers will have better chances to find homes in 2022 and the seller’s market will increase in competitiveness. So it might be in the best interest of home sellers to sell sooner rather than later.

Convert Your Home into a House

Staging is the preparation of a property so it appeals to specific buyers. As the name suggests, it’s “setting the stage” and essentially the depersonalization of home. Staging should be one of the leading goals for all homesellers as it allows for buyers to visualize a property as their future home. 

According to the National Association of Realtors 2021 Profile of Home Staging, eighty-two percent of agents report that home staging makes this visualization easier. Although, for staging to pay off, homesellers must first know their target audience.

Know Your Buyer

Buyer demographics can vary from property to property, so it’s crucial to research ideal homebuyers that will pay top dollar. For example, a condo could appeal to younger buyers searching for their first place, whereas a single-family home would appeal to families seeking a move-in ready home. 

Proper Real Estate Marketing

An established real estate agency will take the time to research appropriate marketing techniques that attract the most buyers. Inadequate execution can jeopardize the client’s money, and it can be challenging to find a trustworthy agency. 

For over forty years, Kentwood has provided renowned service and local expertise to clients, so you won’t have to worry about placing your trust in our brokers

Selling your home is a big decision and should be employed with due diligence. These selling strategies will help you get started and provide you the basics of making the most off your sale.

Colorado Real Estate News

How to Start Selling Your Home

There are many reasons you may want to sell your home: your family could be growing or shrinking, you could be relocating for work, you might want to move into an upgraded property, etc. Now that you’ve decided to sell, what comes next? Here is a checklist of eight things to do to jumpstart the process:

Get Your Home Ready

I know that seems like a ‘duh’ here, but what does it mean to really get your home … ready? To start, you’ll want to check the value of your home. You can get a free home value estimate easily online. HomeLight has a great home value calculator; they look at housing market data with information about your house. After checking the estimation of your property, take a look at your equity, and most importantly, start packing and performing your version of Marie Kondo shedding!

Hire an Agent Who Knows the Market

According to Bankrate, “An experienced agent earns the fee by exposing your house to the broadest audience to garner the best offers possible, and negotiating on your behalf.” A real estate agent helps bring attention to your home by figuring out your most valuable offers. If you do this by yourself, it would be far too much work to take on.

Kentwood’s knowledgeable real estate brokers would love to help you sell your home; you can learn more about our experienced group here.

Set a Timeline for Selling Your Home

Selling your home can take two to four months from start to finish and potentially longer, depending on the market conditions. When you decide to sell your house, it’s essential to start looking at real estate agents to find what will fit best for your situation.

Prepare Your Home for the Market

  • Get an optional home inspection.
  • Clean, clean, clean!
  • Take professional photos: they can make your home more appealing to buyers and renters. (Trust us, it’s worth the extra money to get these professionally done.)
  • Stage your home to make it inviting for those coming to look.

Kentwood’s Amplify services provide access to a team of professionals to help elevate your home’s value, and they tell you precisely what they believe you need done. They have options for renovation projects and cosmetic updates, such as staging, painting and decluttering. They also have options for deep cleaning, moving and packing assistance, and trash removal.

Set a Realistic Price

It’s critical to get your pricing right the first time. If you set it too high, your house might not sell. If you set it too low, it might misrepresent your home’s value. Evaluate your pricing based on the other homes in your neighborhood that have gone up for sale.

Put Your House on the Market

Promote your home, both online and offline, and prepare for showings by staging it and keeping it clean. A pro-tip from Bankrate is to let someone else show your home so that the potential buyers can come in and imagine themselves in your house.

Review and Negotiate Offers

When the offers start to come in, your real estate agent is your best advocate. Depending on the market at that time, you might get several offers or not as many as you would’ve hoped.

If you receive an offer, you can either accept that offer, reject the bid or make a counteroffer. Counteroffers have a short timeframe for the buyer to respond, and they should always be in writing.

Bankrate advises to look at other aspects of the offer, rather than taking the highest one:

  •  How the buyer is paying (cash or financing).
  •  The type of financing.
  •  Down payment amount.
  •  Contingencies.
  •  Requests for credits or personal property.
  •  Proposed closing date.

Sign the Final Paperwork

When you find the buyer and price that’s right for you, sign those papers! Review the settlement, determine what the buyer owes on the sale and receive your money. Selling your home is a process that can be time-consuming, but it’s extremely important and rewarding. By taking these steps, you’ll be able to find a perfect buyer. Good luck on your next homeselling journey, and congratulations on a new home! Kentwood Real Estate is all about helping people live their best lives. With a top-tier team of brokers, Kentwood is excited to help you with all of your home needs, including marketing for your home, intimate, local real estate knowledge and opportunities to get more for your home. Contact our team today at 1-888-621-7157!

Colorado Real Estate News

Denver Market Trends

October 2021 Exhibits Consistency With Past Years

In a year of turbulence, October represented a month of ease in the bumpy Denver real estate market. Across the board, the majority of statistics were seasonally consistent with what Denver has seen in years past, boding well for more households.

In Month-End Active Inventory, Denver Saw When Lower Numbers Change, They Yield Higher Percentages

At the end of October, there were 3,376 properties on the market, a 14.98% decrease from the previous month. The amount of listings also decreased by 13.28%, showing minimal changes in the month-end inventory.

While Properties Are Still Closing Above Asking, Realities Caught Up With Expectations

At 101.82% of the list price, buyers can be grateful that the extreme bidding wars are less common, and those without 20% to put down have a fair shot at a house, and the continued low interest rates can keep monthly payments down.

In the Luxury Market, Sellers Also Had a Lot To Be Thankful for in October

With homes only taking 25 median days in MLS to sell and sellers receiving 101.77% of their list price, luxury sellers have great opportunities to sell quickly and for top dollar. New listings were down 19.51% from the prior month and down 5.94% from one year ago. As soon as a listing came on the market, it was under contract, with 421 homes moving to pending status, up 4.21% from last month. With fewer homes on the market, Denver saw a 17.01% decrease in our sales volume month-over-month and a 12.04% dip year-over-year.

October Ultimately Showed That Even Though the Homebuying And Selling Process Is Hard, There Is Still Hope

Realtors® have had to re-strategize as buyers have felt demoralized and sellers have had to move, but there have been more homes purchased year-to-date than years past, and seasonal effects have re-opened the door for those that had previously felt discouraged from the buying process.

Colorado Real Estate News

Do’s & Dont’s of Preparing to Sell Your Home

Image of a woman hanging a photo on the wall

If you’ve been considering selling your home, now is the perfect time, and if it hasn’t crossed your mind, maybe it should! Springtime is in full swing and the Denver housing market shows signs that NOW is the time to sell. As you prepare to list your property and search for your dream home, here are a few key “Do’s & Don’ts” of preparing to sell to keep in mind.

With our spectacular state offering various unique and breathtaking activities during all months of the year, we urge you to take advantage of the warming weather and embrace Colorado’s beauty. So, get outside, connect with nature and slake your thirst for adventure.

Do’s

Declutter Before Showing

  • When you’re preparing for potential buyers to walk through your home, you want them to enter into a clean and inviting space. That is why it is essential to declutter and reorganize your home. Getting rid of unnecessary items that have piled up over time will make your rooms look bigger and more spacious, it will be easier for guests to walk around and it better displays the best features of your home. Real Homes stresses that forgetting this critical step may cause buyers to worry that the clutter covers spaces that would require repairs and renovations. So, take some time to go through each room and declutter so that you can show off that built-in shelving unit or beautiful granite countertops!

Consider Curb Appeal

  • First impressions are everything, and when potential buyers arrive at your home, the first thing they see is the front of the house. Therefore, it could be worth it to spend some time and money updating your landscaping with some new shrubs and a freshly trimmed lawn or adding some eye-catching decor to the front porch.

Depersonalize the Living Spaces

  • As people stroll through your home during a showing, they want to be able to picture themselves and their significant others or families living there. By removing some large family portraits, vibrant wallpaper and scattered personalized decor and replacing them with aesthetic and neutral decorations, you give the buyer more creative room to imagine what the space would look like if it were their own. Homelight offers a great list of specific aspects to depersonalize before you begin showings.

Don’ts

Wait Until the Spring to Sell

  • While many homeowners put their houses on the market in the springtime, houses are constantly selling throughout the year! As we approach summer, don’t wait until next year to list your property. Choosing to start your selling journey NOW with ravenous buyers engaging in bidding wars can position you to earn a premium on your home sale.

Be Present At Showings

  • There are a couple of reasons why it is always best to elect not to be present when a potential buyer is visiting your home for a showing, according to SFGATE. First of all, it can make the guests feel uncomfortable and hesitant to truly examine the space, such as peek into the cabinets and explore the closets. Secondly, it can appear more like desperation to sell as opposed to your excitement for new opportunities. Finally, agents are experts in what to say and how to present the home, and while you may know more than anyone as the current homeowner, you may reveal information that the agent doesn’t appreciate. To avoid any of these potential mishaps, make yourself scarce during showings.

Make Major Renovations

  • While you may have a beautiful, updated vision for your home, Realtor.com notes that it is impossible to read the minds of your future buyers. This is why making major design renovations could be both a waste of money and a disadvantage for your likelihood to sell. Additionally, inexpensive or DIY renovations could make aspects of your home end up looking cheaper than before, which may be especially unappealing to buyers. When considering updating your home prior to putting it on the market, it is best to focus on maintenance repairs like plumbing, as opposed to updating the appearance.

Now that you have learned some of the major “Do’s and Don’ts” of preparing to sell your home, it may be time to consider exploring new options in a new place or a new house and putting your home on the market! Denver real estate is booming, so there is truly no time like the present!

Colorado Real Estate News

Three Reasons to Sell Your Home Now!

photo depicting a mother holding up her toddler daughter in a kitchen

If you are a real estate fanatic like we are, you know that 2020 has been a record-breaking year for the market and it likely won’t be slowing down in 2021. Zillow expects home values to increase 10.3 percent from November 2020 to November 2021 despite the ongoing pandemic challenges. The sales growth continues to be affected by similar factors such as strong demographic trends and a shift in buyer preference ignited by the pandemic. If you considered selling in 2020, this year proves to be just as promising. Still not convinced? Here are three reasons why now is the perfect time to sell your home: 

Interest Rates Are Expected To Stay Low
Get excited because the 2020 below-average interest rates are here to stay! Last year, interest rates were below 4 percent and while they may slightly increase in 2021, they are predicted to remain low compared to historical averages. Let’s put these rates into perspective. According to Freddie Mac, December 10th had a record low rate of 2.71 percent for a 30-year, fixed-rate mortgage. Compared to a year like 2018, where the annual average was 4.54 percent, these record-breaking rates are incredibly beneficial to all homebuyers. Buyers can secure a long-term mortgage at an insanely low rate, and sellers can capitalize on high prices. It’s a win-win situation!

There Are More Buyers Than Sellers
As demand continues to rise, inventory remains low. But this isn’t necessarily a negative situation for individuals looking to sell their homes. Buyers are eager and anxious to purchase a house quickly, especially when the real estate market provides such ideal financial solutions for potential buyers. As mentioned earlier, the low interest rates provide affordable mortgages, ultimately resulting in an inadequate supply of homes to satisfy consumer demand. With such high competition to close a deal, buyers are aggressive with their purchase offers. So why not benefit from these multiple offers and rising prices?

TIP: if you are looking to sell your home, consider investing in house repairs to amp up the curb appeal and receive a higher asking price.

Seasonality of Homebuyers.
Did you know there are seasonal trends for selling and buying a home? In previous years, the spring months are historically the best time to list a home. However, with the unpredictable and uncertain living conditions that we are experiencing, the usually defined “peak of interest” in the market has become blurred. With that being said, the most desirable time to list your home is NOW, so do your homework and prepare to capitalize on the eager homebuyers.

How Kentwood Can Help
Have we convinced you? While there is no better time to sell your home than now, we understand the process can be daunting and often complex. With our local expertise and exceptional service, Kentwood is here to guide you through a pleasurable selling experience! Reach out today!

Colorado Real Estate News

Three Reasons to Sell Your Home TODAY!

wooden block house on snow

Are you considering selling your home? Denver-metro’s real estate market is white-hot right now and homesellers have an opportunity to earn a premium by listing their properties. Below are some statistics and insights into why NOW is the prime moment to sell your home and effectively capitalize on the extraordinarily potent real estate market. The bubble will not burst and in this seller’s market, the benefits and supporting evidence speaks for themselves.

1. Make a Significant Profit on Your Home Sale
According to Mansion Global at the end of October, the median U.S. homebuyer is paying about $20,000 more than they did three months ago. Denver-metro has experienced a spectacular median home price growth of 11.67% over last year and an extremely positive 7.14% year to date.

With interest rates hitting a new historical low 14 times this year, homebuyers have more purchasing power, and they are willing to make a strong offer to secure the homes they love among the stiff competition.

Due to this elevated buying ability, multiple offer scenarios are continuing later this year than they have in the past and in price points that typically haven’t seen that before. With voraciously hungry buyers engaging in bidding wars for your home, homesellers stand to maximize their profits.

2. Inventory Is Low and Demand Is High
According to the Denver Metro Association of REALTORS®, more than seven in 10 homes sold in October 2020 and 72% were on the market for less than a month with the median days in MLS for detached single-family homes at a speedy five days, representing a tie for the lowest number on record.

Housing inventory hit an all-time low of 3,415 active listings at the end of November. Compare this to the average active listings for November month-end of over 14,000 and you can see how homes are flying off the metaphorical shelves.

The Denver-metro area has had more closed homes than active listings every month-end since July 2020 and with extremely limited housing inventory, you have your pick of the litter with buyer offers.

3. Colorado Cities are Some of the Best Places to Live
The U.S. News and World Report published its list of the 150 best places to live in the U.S. and the first four out of 5 are all in Colorado with Denver earning second place overall.

Also, in Niche’s Best Cities for Young Professionals in America list, Denver placed 11th and Denver Business Journal ranked Denver 13th for overall real estate investment and development.

With the high desirability of our beautiful state, not only is there the potential for Coloradans to purchase your home among the low housing inventory, but many individuals out of state will be pining for your property.

Partnering with Kentwood
The benefits of listing your home in this market are plain as day with a high potential for homes to not only sell quickly, but for a large amount. If you would like to capitalize on Denver-metro’s phenomenal housing market and maximize your profit, consider partnering with an experienced Kentwood broker to elevate your home’s marketing, staging and overall value.

Colorado Real Estate News

4 Signs It’s Time to Sell Your Home

Not only is moving a daunting process, but making the choice to sell your home is a decision that requires lots of consideration. If you have been on the fence about whether to sell your home, here are four telltale signs that now might be the time to act.

You’re Bursting At The Seams

One of the main reasons for selling your home is to accommodate a growing family. That house that once fit two newlyweds comfortably feels smaller and smaller by the day. Your family has started to grow and now includes a dog, toddler, and you’re expecting a new baby sometime soon. Your kids will eventually need spaces of their own – bedrooms, work areas, and play areas. The point is, you are quickly out-growing your home and it’s time to start searching for something that is better suited to your needs.

Sell Your Home | Not Enough Space

Your Home No Longer Suits Your Lifestyle

A lifestyle change can mean a wide variety of things depending on the individual. Your kids have grown up and moved out, and now you find yourself with an empty nest that is much too big for what you need or can manage. Maybe you have a new job with a longer commute and want to cut back on your drive time. Anything from retirement or divorce, to an in-law moving in can rearrange the lifestyle you have become accustom to. A happy home is one that syncs up with the current phase of life you are in, and it’s important to make sure that you have the right fit.

Empty Nester | Sell Your Home

Remodeling Won’t Offer Return on Your Investment

Every now and then it’s nice to give your home a face-lift to help re-energize your house and make it feel new again. Small updates to the kitchen or the bathroom might be all you need to decide that you want to stay put for a few more years. But making significant remodels to your home might not always be the best decision. Before taking on any large home improvement projects, understand your neighborhood and know the highest price point in the area. If your home is already similar in style and condition to the other homes in your surrounding area, remodeling might be a bad investment.

Sell Your Home | Remodel

Equity Is On Your Side

After years of paying your mortgage and keeping your home in quality condition, you’ve probably built up quite a bit of equity. After the housing market crash, many people found that their equity had all but evaporated. That is no longer the current climate, and many homeowners are cashing out on positive equity. Selling your home and moving into something less expensive can put some of that extra equity to work for you in other ways. Do some research, have your house reappraised, and see if it’s the right time for you to sell your home.

Equity | Sell Your Home

 

Colorado Real Estate News

Five Types of Buyers You’ll Face While Selling Your Home

Keys To Your New Home

Does it pay to know the different types of buyers you will likely encounter when selling your home? Leading Realtors think so. It pays, literally, to know what type of person lurks behind the offer so you’ll know how best to deal with them for optimum results. Following are five types of buyers you may encounter:

Type No. 1: The all-cash showoff.

All-cash buyers may seem a little cocky…understandably. With no worries of financing falling through, this buyer means business and can even ask for a shorter escrow period to seal the deal. The downside is you may have to be ready to be flexible. The all-cash buyer may aim for a lower offer or have specific contingencies in mind. The promise of cold, hard cash is more of a bragging point than a financial benefit to you. So be prepared to drop them if their demands get too outrageous.

Type No. 2: The scrappy underdog.

These buyers are the opposite of the all-cash buyer. They have little available cash for a down payment. Buyers with FHA loans can fall into this category which can sometimes be rough on sellers since FHA loans have stricter home qualifying requirements. Additionally, the more work a buyer needs to finance the property, the more work a seller might need to do as well…like contributing to closing costs.

The good news is these buyers usually know they’re a headache and, as a result, should be more flexible to your needs, as long as they don’t require cash, a later move-in date or fewer repairs

Type No. 3: The doe-eyed charity case.

These buyers are so in love with your home they submit an offer accompanied by a sweet emotional letter with photos of their children or pets. They are probably the most rewarding buyer out there, but beware. Warm and fuzzy feelings will not pay the bills. If their plea is not accompanied by a heartfelt offer, they could just be playing your heartstrings with one hand and reserving a fistful of cash in the other.

Type No. 4: The window shopper.

These buyers dream of owning a home someday. They gallivant around town, swooning at every open house, but flake when it comes to sealing the deal. They might even pose as negotiators with low ball offers. The reality is they just aren’t all that serious about buying a home. It’s best not to waste your time dealing with this type of buyer…or non-buyer.

Type No. 5: The coyote.

If you’re property has been aging on the market, you might start seeing this type of buyer sniffing. They want to see if there is a crack in the foundation or something that’s kept it on the market for so long. Don’t get intimidated.  Just be honest. Work with your Realtor to see what concessions need to be made and if the price you’re asking is right. Chances are if it hasn’t sold for a while, you might need to come down a bit.