As real estate investors we are aware that America is “on sale”. It is the perfect time to purchase good properties at bargain prices. For rehabbers the availability of homes in need of various stages of TLC can be purchased for deep discounts as REO properties and motivated sellers continue to increase everyday.
Selling real estate in a slow market is challenging. Everyone from President Osama to the person standing in line beside you at the local Wal-Mart is talking about the decline of real estate values and the difficulty people are experiencing selling their homes. Even with Michael Jackson dominating the news the conversations usually turn back to the housing market, job loss, and the economy, all which have a direct impact of the ability to sell real estate.
So the big question is this. If we locate a good property and invest money to rehab it, can we sell it in today’s market?
The answer is “yes”. You can stimulate your real estate sales even in a slow economy if you educate yourself on what buyers want and fill that need. This process starts from the first moment you look at the property.
- Buyers want a great home for a good price. . Your Realtor can advice you on what list price is creating the highest number of sales in the area. Choose homes in areas where USDA, FHA and first time homebuyer financing is available.
- When you are looking at investment properties, identify the features that will be appealing to a wide range of buyers. Determine the age range of your potential buyer and identify what features they will look for in a home.
- Women usually make the final decision about purchasing a home, but don’t discount the things that appeal to men. While women may fall in love with the spacious kitchen, stainless steel appliances or the master bath, men are looking for other things. Create a workshop area and a space for the John Deere Mower and yard equipment. A nice patio perfect for a family cookout will make the man of the house feel right at home.
- Choose paint colors that create warmth in the home but at the same time are appealing to buyers in general.
- Offer the little “extras” like book nooks, all season rooms, extra storage, special kid friendly spaces and family areas.
- Think green. Install Energy Star appliances and other energy saving features. Even a few energy saving changes in an older home can be appealing to an energy conscious buyer.
- Choose properties with good neighbors and family friendly neighborhoods where buyers feel safe.
- Consider the surrounding area. Is it convenient to shopping, schools, parks, etc. What does the community have to offer the buyer?
Delivering more than your buyer expects + offering the home at a great price = giving the buyer a reason to choose your homes over a competitor.