1. Get Pre-Approved for a Home Loan

I've known sellers who signed a contract to sell their house before they knew if they were qualified to buy another. Either their financial circumstances had changed since their last purchase, and they could no longer qualify for a loan, or they weren't able to sell at a price that allowed them to buy the type of replacement house they wanted. They ended up renting or buying something that was far from ideal.

Before you decide to sell the house, get pre-approved by a lender you trust and research the housing market in the area where you wish to live so that you have a good idea how much it will take to buy a replacement.

If you don’t know a good lender, please contact us and we’d be happy to refer you to someone we know and trust.

2. Check Your Mortgage Payoff

Call your lender to check the payoff for your current home mortgage. You'll need the figure to complete Step 6.

3. Determine How Much Your House Is Worth

Determine your home's fair market value. We will help you determine value as a courtesy.  Our Comparitive Market Analysis worksheet factors what all the comparable homes in your area have sold for.  Once we’ve determined an average, we can add or deduct from that price based on any particular amenities or circumstances your home may or may not have.

4. Estimate Your Costs to Sell

• Real estate commission if you use an agency to sell.
• Attorney, closing agent and other professional fees.
• Excise tax for the sale.
• Prorated costs for your share of annual expenses, such as property taxes, home owner association fees, and fuel tank rentals.
• Any other fees typically paid by the seller in your area (surveys, inspections, etc.).

We deal with transactions every day and can give you a very close estimate of seller closing costs.

5. Estimate Costs to Buy a New Home

• Calculate moving expenses, loan costs, downpayment, home inspections, title work and title policy, paying for a new hazard insurance policy--all expenses related to buying a home. Your lender should give you a disclosure of estimated costs when you apply for loan pre-approval.  We can explain anything you may have questions about.

6. Calculate Your Estimated Proceeds

1.       Deduct your mortgage payoff from your home's fair market value.

2.       Deduct your costs to sell from the remainder to get an estimate of the proceeds you will be paid at closing.

Will your closing proceeds cover your costs to buy a new home? If not, do you have cash or other funding to make up the difference? Contact us for additional considerations at this point.

7. Make Necessary Repairs

Make all needed repairs unless you want the house to be regarded as a fixer-upper. I'm not referring to cosmetic updates--just items in need of repair. Anything that's obviously broken gives potential buyers a reason to offer you a lower price, especially if it's one of several Key Repairs that worry buyers the most.

8. Get the House Ready to Show

Most houses need at least a little preparing before they are shown to potential buyers. Great curb appeal, fresh paint indoors (and sometimes out), organized closets and cabinets, sparkling clean windows and appliances, and a clutter-free look are essential if you want the house to appeal to buyers.

9. The Showings

If you're listing with a real estate agent, she'll ask you to leave when the house is shown. Why? Because lurking sellers make buyers nervous--they don't feel comfortable inspecting the house when they feel they are intruding in your personal space.

Unless there's a valid reason for it, don't ask your agent to be present for all showings, because that requirement can be the kiss of death for showing activity. Other agents want privacy with their buyers and they don't usually have time to work around your agent's schedule.

Make the house accessible. That means it should always be ready to show. Many agents won't bother showing a house that takes 24 hours to get into.