Home Downsizing to Sell

 Posted by Caring Transitions on February 15, 2016 at 12:00 PM

Most of us recognize that homes that are correctly priced tend to sell quickly, while those that aren’t often languish on the market. Of course, there is more to consider than price when placing a home on the market. Among those factors, it is important to evaluate the overall appearance and condition of a home.

If you are one of many home sellers who wonder why the house down the street just sold at an asking price similar to yours, while yours remains on the market, it may be time to assess the home environment. When a home is in disrepair, too dirty or too cluttered, buyers may not be able to see beyond the mess to effectively compare the home value to other properties.  Is your home appealing to buyers? Can you do more to add “curb appeal” and ‘house appeal?”  Chances are downsizing can help improve the appearance of your home, as well as reduce your moving expenses by eliminating the cost of packing and moving unnecessary items.

Downsizing is often part of the home staging process. The National Association of Realtors states the average home staging investment is between 1 and 3 percent of the home’s asking price, and generates a return of 8 to 10 percent. 

In those cases where a home is densely cluttered, getting ready to go to market may require more thorough cleaning and aggressive downsizing. Professional estate sale and online auction services can help in these instances. Costs of these services are similar or even less than basic home staging services and produce similar results. Typically, professional estate sale management fees are paid as a percent of sale proceeds. Once those fees, plus any administration fees, have been paid, the net gain on the estate sale belongs to the home owner. As a result, the owner may profit not only from the net revenues of the estate sale, but also the increased value of a decluttered home. Even in situations where the outcome of an estate sale is just “break even”, the seller still benefits from the improved value of the home.

©Caring Transitions 2016