Selling a home is not always the easiest thing to do but selling a luxury home can be even harder. Not only do you need to find the right pricing structure, but the right agent as well. You need a level of expertise when selling a luxury home because those agents have connections with other luxury buyers and other luxury buyers agents. Going with an agent that is only familiar with selling homes up to about $400,000 may not give you the right advice or expertise you need to sell $1 million-plus home. There are five essential tips to selling a luxury property.
#1. Choosing the right price.
Depending on where the home is located, there may or may not be comparables in the area. A comparable property is one that is similar in size, condition, and lot size so that you have an idea of how to price the home. From there, you can adjust up or down depending on what your comparables offer. For instance, if you have two almost identical homes but one has a swimming pool all the other does not, the one with a swimming pool could be valued at about $10,000-$20,000 more. This is how appraisers figure out the right price range for homes and real estate brokers and agents are no different. Starting out high and then dropping the price is a common strategy although it hardly works very well. Pricing it correctly from the beginning is the best way to get an offer.
#2. The right marketing.
Because I deal with luxury homes on Mercer Island and Bellevue, I understand who to specifically market too. We can’t break equal housing laws of course, but we can market to the type of buyer that’s interested in your home. Not only do I utilize the Internet but all older marketing and advertising tools currently available including technology, social media, networking and connections.
#3. The right photos, videos, and virtual tours.
Most luxury homeowners will spare no expense when it comes to marketing their home because they want the right buyer at the right price and that may mean putting in several hundred dollars into virtual tours, professional photography, and videos. Most of the time, agents and brokers absorb this cost and turn it around when negotiating commissions but it is essential to appeal to the right buyer. A luxury homebuyer is not going to pick up a cheap flyer and decide right then and there to spend $5 million on a home. They want to see every little amazing aspect of the home and many buyers are from overseas or out of the area and simply cannot engage in a personal walk-through.
#4. Showcase the perks.
Many luxury homes may be in a development with clubhouses, yacht club privileges, Marina slips, or other community amenities and those definitely should be highlighted in the listing information. Prospective buyers may also want to know who else is in the general area or community and what the lifestyle entails. Many luxury home buyers are purchasing a lifestyle, not just a property.
#5. Staging is key.
Staging doesn’t always sell the home but it definitely helps. Staging can help maximize price and minimize time on the market so it’s important to have the home professionally staged if possible.
Selling a luxury home can be a little bit trickier than a home in a popular price range and patience is a must. Choosing the right agent, the right price, and the right set up is the key to getting a home sold.
More valuable tips for home sellers:
3 More Tips for Luxury Sellers Via Kyle Hiscock
10 Things to Know About Pricing a Home Via Bruce Simon
10 Biggest Selling Myths Via Harmony Real Estate Group