Are you looking for tips to sell a historic home? Any homeowner that has been following the news recently probably is aware of the strong seller’s market over the past couple of years. As Home Light notes in their Top Agent Insights for New Year 2022, 58% of real estate agents believe that cash offers will persist in transactions as they provide convenience, speed, and certainty. Additionally, across the US, more than 64% of agents report that many buyers are using appraisal gap coverage or appraisal waivers to close deals.
Both of these dynamics work well for homeowners in historic properties as they help reduce the hurdles required to close the deal. If you’re thinking of putting your historic home on the market, look no further than the tips in this article.
Get a Ballpark Estimate of Your Historic Home
Before preparing to put your historic home on the market, you’ll want to get a general idea of its worth so you can budget for improvements and determine the budget for your next property. Free home appraisal tools leverage automated valuation models (AVMs) to deliver near-instant appraisals to homeowners.
AVMs consider a variety of data points such as data from county auditor and tax assessor records, user-submitted information such as details on recent renovations, and MLS listings and sales details. While these data sets are generally comprehensive, AVMs aren’t replacing professional appraisals because of a few limitations.
The most notable limitation is that AVMs don’t factor precise measurements of each room in the estimated value, and they also don’t fully consider the condition and upkeep of the property. These are all important factors that have a significant impact on your home’s value and its attractiveness to buyers.
Have a Real Estate Agent Handle The Transaction
Real estate agents are a unique type of professional because they work entirely on commission, meaning there are no upfront costs and they are only successful when their clients are successful. Real estate agents generally charge 5%-6% of the home’s sale price, and while that sounds like a lot, the seller’s agent doesn’t keep the commission all for themselves.
Commissions are generally split between the seller’s real estate agent, the buyer’s real estate agent, the listing broker, and the buyer’s broker. The seller’s real estate agent then has to pay for professional dues, MLS subscriptions, marketing collateral to promote their client’s historic home, fuel and tolls, and much more.
Putting those aspects aside, working with a real estate agent is a great value. Consider the fact that real estate agents help homeowners identify the best improvements to implement before listing their historic home, provide guidance on competitively pricing the home, and also manage negotiations with buyers to help the homeowner get a better price for their property.
If a real estate agent isn’t able to sell a historic home within the timeframe specified in their agreement (which is very unlikely in today’s hot market), then you aren’t obligated to pay the agent. If you’re still not convinced about an agent’s value, consider the fact that homeowners that DIY their home sale often sell for 11% less than those who have a real estate agent handle the transactions.