How to Sell Expensive Houses

By shaye • July 17th, 2010

So, you have lived in a house for several years and are taking pride in a multitude of improvements, but now it seems to be overvalued. How can you sell such a house?

When talking about the issue selling expensive houses, two scenarios exist:

1) You have a house within a neighborhood that is expensive and you thus ask for prices similar to the homes that are around you. In this situation, you have to sell the expensive home in question through more traditional means, such as through FSBO listings or through realtors. The home has to be cleaned and then listed with multiple listing services. Open houses need to be undertaken and given advertising on the internet with photographs. Within today’s market, you need to have the ability to move homes quite quickly.

2) This scenario is a little more complex since you need to improve your house beyond values supported by the structures surrounding it. This can oftentimes happen if you live within a house for a substantial time period and make

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certain home additions like brand new floors, rooms and renovated kitchens. Homes within the neighborhood are all probably appraised for around $300,000; however, your additions need to make your house worth more than $450,000. This could be a problem since nobody will want to purchase the most expensive house on your block.

Your initial choice would

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be to hold onto your home, with hopes that neighbors will come around and improve their own homes. However, since this strategy is full of problems, you should probably avoid it.

The better choice would be to target your house to specific demographics. If you have added several rooms to the house, you have to produce advertisements that are directed at families with several children that would match the amount of bedrooms in the house. If you have driven yourself crazy with fixture and kitchen improvements, you need to market your house as a cheap luxury. The goal would be to transform any problem into unique selling positions for your home. There will definitely be buyers out there on the lookout for solutions to these problems.

If your home

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happens to be too improved, each possible sale might fall through since the appraised price could make things difficult for buyers to get loans. The ideal to deal with this would be to carry second mortgages

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on your house. By doing so, you will agree to take particular percentages of the overall price within payments over particular periods of time. This will allow buyers to live in the house as you leave. If you take this direction, you need to ensure that you make use of lawyers to ensure that everything is actually legal.

Selling expensive houses can be challenging, but it can be done.

The current real estate market represents a great time to buy real estate. It is a buyer’s market but to take advantage and realize the benefits of that buyers market a person actually has to purchase real estate. If you have ever thought about purchasing real estate for either investment or your own residence now is the time. The first thing you need to do is find a knowledgeable Realtor and explain your goals. Realtors are tuned into the market and can help you obtain financing if needed, find the right home and ensure you get a good deal on it. Happy hunting!

Denver Real Estate Authority Web Directory


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