When working to sell a tangible product like a car or a new pair of shoes, usually the marketing department of a particular company manages the sales campaign. But, in real estate, many people play the role of salesman which leaves a lot of room for errors that may drive away the potential renters or buyers. Here are the most common mistakes people seem to make when trying to sell or rent their property.
Starting the process by setting a high price is not always a good strategy. Many believe that it is important to start with a high price, as that leaves room for negotiations later in reaching a desired price. However this doesn’t always work. In fact, that high price may be losing you potential clients looking to buy or rent.
Not anticipating the possibility of vacancies during the year. You should take into account that the house may not rent for part of the year. For example, if the rent is $1,000/month and the property is vacant for 6 months, then you are actually losing $6,000 over the year. But if you are willing to lower the rent for that first year to $900/month, then you are more likely to find a tenant and not lose that rental income over the year. Also, consider the costs in monthly and yearly expenses, such as monthly electric bills or yearly condominium fees.
Including false or insufficient information in their ads. When prospective clients are looking for information about property to rent or buy, they are looking for as much information as possible, and honesty is the key in this process. Using lots of photos is the best way for people to get more information on the different specifics of the property, such as the parking available, number of bedrooms and bathrooms, the square meters, etc. Posting false information will only waste time for all parties involved.
Not keeping the property clean and tidy. Although it may seem obvious, it is surprising how many people don’t, or they keep the curtains closed, low-lighting, unmade beds, nasty odors in the house, etc. While potential buyers or renters may see the property as a whole, the condition of the house will affect their decision on whether to buy or rent at all. First impressions are crucial, and if your property is not looking its best for their visit, they may not even see the other features of the property. So always keep the property in good condition, the house should be clean and tidy, and that will contribute to a great first impression. And then hopefully they will want more information on reaching a rental agreement or purchase.
Don’t sign a rental or sales contract. In the case of rentals, there should be a contract with outlined details on what furnishings, features, and services are to be included, what are the obligations of both parties, and all financial agreements made. The agreement should also include details on what would be the grounds for eviction or termination of the rental agreement.
Contact Us for more tips on how to sell or rent your property.