Sell Your House Fast in a Slow Real Estate Market

(From my article on Forbes.com)

If the number of “For Sale” signs in your neighborhood seem to be collecting dust, it’s most likely because they are.

With few buyers able to secure mortgages and prices plummeting, sales nationwide have stalled. Year-over-year sales of existing homes dropped 9.5% in August, to 4.91 million, the latest numbers available from the National Association of Realtors. It was the ninth month of dropped sales pace in a year.

The nation’s median home sale price also dropped–by 9.5% to $203,100 from $224,400 a year earlier.

Clearly, these numbers aren’t favorable to sellers. Though widespread economic recovery may be months, even years, off, there are a number of tactics available to increase the likelihood of a deal.

Top TipsPosition yourself in the right price range. Buyers search by price range, such as between $200,000 and $225,000. Make sure your property is properly positioned so that it is the best value within a standard price range. For example, pricing it at $230,000 could miss the people looking for a bargain on a home in the $200,000 to $225,000 range.

 

You also need to be prepared. Delay on the seller’s part is one reason that deals often fall apart. Before you list your home, have information readily available about your schools, taxes, utilities, any neighborhood covenants and information about liens that have to be released prior to closing.

Market to people who are likely buyers. In addition to placing an ad in the newspaper and using the multiple listing service, you should advertise to people who are already in the market for a house. For example, have your real estate agent pull a list of people who have just listed their own house within a five mile radius of your home. People are likely to want to stay within the same school district if they have kids.

What’s more, offer terms. Cash buyers are becoming harder to find in a market where financing is tougher to get. Offer creative financing terms to attract more buyers.

Another possible bet? A private auction. If your reserve price is not met, you are not obligated to sell. If nothing else, it will bring a lot of people through your house during the open house period.

READ THE FULL ARTICLE ON FORBES.COM