How to Sell Your House in a Slow Market Lakeland, Florida

You may be feeling frustrated and find it impossible to sell your Lakeland area house. Before you give up, read this blog. We’ll share some tactics that will help kick-start your efforts to sell your home.

Anyone of the 6 tips below may be the factor that tips the scale in your favor and seals a possible sale. 

1. Offer incentives 

There are several types of incentives that can work well to promote the sale of your house in a slow market. Buyer incentives, such as:

• • • A one-year prepaid home warranty policy—Home buyers are making a huge financial investment when they purchase a home. A home warranty covers the cost of repairs to a home’s major systems and appliances. Service Agreements give buyers important peace of mind that their budget won’t be derailed.
    • Offer to pay points – Seller-paid interest rate buy-downs save buyers money on their monthly payment over the life of their loan, and are usually tax-deductible, to the buyer.
    • Closing cost credits–Offering to pay a credit at closing, to defray the buyer’s closing costs is a great financial help to buyers. It can be a key differentiator that can make your home much more attractive than nearby listings. 

Another type of incentive is a selling agent bonus, which is given in addition to the standard real estate commission. A selling bonus is an effective way to entice agents financially to steer buyers to your home instead of other competing properties.

2. Monitor the price of your Lakeland home 

In a slow market, there is downward pressure on home prices. It is therefore imperative that you continually monitor your local home prices and adjust the price of your home to stay current with market conditions. 

If you do not adjust the asking price of your house, as the overall market prices decrease, your home will become overpriced relative to other comparable homes.

3. Be flexible

When the market is slow, buyers have the upper hand. There is an oversupply of homes relative to the number of buyers in the market. Buyers can pick and choose the houses that are in the best condition and offer them the best features and amenities for their money.  

To attract and keep these buyers be flexible right from the start. Accommodate your buyer’s request for showings, even if that means interrupted meals or canceled weekend plans. 

When it comes time to negotiate the contract, your willingness to compromise on repairs, comply with your buyer’s requests for a quick closing, or additional time to get a mortgage approval are ways that you can seal a deal with your buyers. 

4. Make your Lakeland home stand out 

Highlight a special feature of your home and promote it in all marketing pieces. This is a way to make your home stand out among all the other homes that are on the market. If your home does not have an outstanding feature, then create one. 

Make your home memorable with a backyard oasis full of shrubs, flowers, and outdoor furniture, or landscape your front yard to create a beautiful curbside appeal. You could also promote your home’s location if it’s close to a downtown area, near a transportation hub, or far off the beaten track (ideal for buyers who prefer peace and quiet away from the hustle and bustle of city life). 

5.  Offer seller financing

If your house is paid off or if you have a small mortgage balance, one sure way to enlarge the pool of potential buyers and improve your chances of selling your home in a slow market is to offer seller financing.

You can increase the likelihood that your home will sell by helping the buyers in the following ways: 

• • • Can be used if a buyer doesn’t qualify for traditional financing because of employment, bankruptcy, or foreclosure.
    • Reduces closing costs
    • Avoid strict underwriting guidelines 
    • Makes the purchase process easier 
    • Can close faster 

There are several creative financing options you could offer:

1) Take Back a Mortgage—You could require the buyer to give you a 10% or 20% deposit and finance the balance for the buyers. This way you can receive a steady flow of money (principal + interest) every month and the balance of the mortgage at the end of an agreed-upon date. 

2) Offer a second mortgage–This is similar to taking back a mortgage. The main difference is that your mortgage would be in a second position, usually after a first mortgage given by a bank or mortgage company. 

For example, let’s say a buyer finds a home for sale at $300,000 and has 20% ($60,000) to put down. He qualified for a $200,000 bank loan, so you could carry financing for the remaining $40,000, payable over seven years. This owner-financed mortgage is secondary to the first mortgage from the bank, but is fully enforceable, like any regular mortgage.

In addition to helping you sell your home faster, seller financing can offer you some other distinct advantages. 

• • • Is a form of passive cash flow
    • Spreads your tax liability from the sale of the home over the life of the loan
    • Ideal to grow your retirement portfolio 
    • Is secured by the property, so if the buyer fails to pay the mortgage, you could foreclose and get the property back