Despite what you have heard, rehabbing properties and selling them at a profit in this crazy market does work. You need to make sure the numbers on deal work, you do your research and, perhaps most importantly, you need to have a strategy for getting the property sold and sold quickly.
Below is a short note I came across that mentions some good points on how to get properties sold quickly in a slow market.
Here are some tips from real estate professionals who now have a couple of years experience selling homes quickly in slow-moving markets:
Be the best buy on the block. “Run an accurate market analysis for the last six months and price the property accordingly,� says Alex Harb, a practitioner in Orlando, Fla.
Schedule your discounts. If someone has to sell in say, six weeks, start with a 10 percent or 15 percent discount from the comparables and then reduce the property another 5 percent to 10 percent each week.
Clean-up time. Scrub the house until it shines. Paint anything that needs it, and manicure the lawn.
Don’t sound desperate. When a buyer asks why the house is for sale, an effective response is, “I have a new opportunity in another city.� This answer sounds hopeful while selling in the midst of a divorce or other emotionally difficult time which otherwise could make the buyer leery about the home.
Offer to hold the mortgage. If a seller can live without the proceeds from a sale, a seller-financing arrangement may make sense. This helps those who can’t qualify conventionally and increases the pool of buyers.
Source: TheStreet.com, John Morell (10/27/2008)
Posted by Carter Brown
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