Updated: Aug 20, 2021
When it comes to selling luxury homes and high-end properties, there is little room for error given the high stakes involved such as a high profit loss. Additionally, there is a high level of know-how and skills needed in order to successfully close the deal. Surprisingly, most luxury homes do not sell themselves, so it is crucial to be informed, prepared and ready to act. In order to do so, you’ll need to avoid these major mistakes when selling your luxury property.
Hiring the wrong realtor
Believe it or not, there are some incompetent real estate agents out there, just like in any other profession. Hiring the first realtor you come across will most likely end up in your luxury home being on the market for a long time adding to the possibility of your property to drop in price. Working with an agent who has deep experience in the luxury market will be beneficial because these realtors understand the luxury clientele, have the right network and know where to look in order to find you the right buyer.
High end buyers know what they want, and an experienced agent will have the skills to make the potential buyer see the true value of your property and effectively negotiate its price. To find luxury market agents in your area, utilize Google by searching "luxury real estate agent in city/area" or "top real estate brokerage firms near me". Take a look at what pops up on first and second page. Jot down a few agents and make sure to look them up. Take your time to read their online reviews as this is a major factor in deciding who you want to go with.
Once you find a couple of agents, give them a call and have an initial conversation or meet for a coffee. In general, you'll be able to tell if the realtor is a good fit by asking him questions.
If you're looking for an expert agent in the Arlington area, don't hesitate to give me a call.
Pricing the home incorrectly
Luxury homes in general come with a set of unique features and a great deal of personalization that makes it harder to price. From custom build movie theaters to indoor pools and wine cellars, your agent will need to understand and take into consideration all its features in order to come up with the best price. Let's not forget the location and the views! If your high-end home has a top of the line view in a prime location and neighborhood, its pricing should definitely reflect all that.
An agent experienced in selling high end properties understands every single factor that drives home value. These agents understand the luxury market and know how to price a high-end home by identifying its strengths and weaknesses and looking at comparable properties that have recently sold.
Marketing the home ineffectively
Marketing to the wealthy buyer takes time, money and the right agent. Your agent should present you a clear and effective marketing plan including where and how your home will be marketed. From high quality printed materials, to exceptional photos and videos of your property, expect to invest a little more in order to stand out. Simply putting up a listing on MLS is not going to cut it. Luxury clientele don't look on the MLS to find a million-dollar home. These high-end buyers utilize their own agents. This is why it's imperative to find the right agent with the right connections and tools. Not having a plan or waiting for your property to be discovered will make your home sit on the market for months and that is not something you'd want to happen.
Owning a luxury home may be a good investment but it does not mean that it will be easy to sell it. Selling a high-end property requires having a knowledgeable real estate agent by your side. One who understands the luxury market, knows how to accurately price the home and takes advantage of the best marketing tools.
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