If you have never sold a home before, you may have questions about what happens on the seller’s side of the transaction. Just like when you bought your home, there are multiple steps that go into selling a home. Here we will give you a breakdown of what happens before, during, and after you sell your home.
What Happens Before Selling a Home?
After you make the decision to sell your home, you need to choose your listing agent. Choose wisely! Interview at least three agents and base your decision on their experience and whether you feel they will look out for your best interests. Don’t forget to ask about your listing agreement, including what their commission covers and how long the home will be listed.
To help determine a fair market asking price for your home, your listing agent will perform a comparative analysis report. This is where your home will be compared with comparable homes that have sold recently in your area.
If you haven’t always done so, your home should be prepared to go up for sale. This means having a deep cleaning/decluttering done and making any necessary repairs to your home. You should also try to do things to improve its curb appeal by tidying up your landscape and front entrance to make your home appear more inviting if needed. Ask your listing agent what they recommend to improve the appearance both inside and out of your home. If needed, consider hiring a professional stager to prepare your home for listing photos and showings.
The marketing process of your home begins with photos being taken of your house, both inside and out. They will be used in the sales listing. Along with your listing being placed on the local MLS, it should also be placed on the major online real estate sites to generate interest in your home.
What Happens During the Home Selling Process?
Once your home has been listed for sale, your agent will likely ask to conduct an open house. You also need to be prepared for potential buyers wanting to see your home if you choose to have viewings via an appointment basis. If you have children or pets, you need to have a strategy for them to be out of the house during showings.
While your home is up for sale, you may receive multiple offers. You will need to review these offers with your listing agent and negotiate terms and possibly counteroffers. Once a sales contract is signed, the clock starts ticking on completing the process.
Your agent or their transaction coordinator will open the escrow process and coordinate with the buyer’s title company to begin the title search for your home. This ensures that there are no liens attached to your property that you might be unaware of.
Unless specified, like with an entire cash sale, your home will need to be appraised by an appraiser hired through the buyer’s lender. The buyer and their lender will also likely require a:
- Home inspection
- Termite inspection
- Roof inspection
- Possibly a pool or sewer inspection
You will need to disclose any known issues with your home by filling out a seller’s disclosure form, including a lead-based paint disclosure. Your buyer may request based on the home inspection reports that you make certain repairs. You don’t have to accept their requests or you may choose to provide a credit at closing. You are entitled to receive a copy of the reports if repairs are requested.
Once your home has cleared title, contingencies in the sales contracts have been released and the buyer’s lender has green-lit their mortgage, you then wait for the closing date to arrive. Meanwhile, you should be packing and getting ready to move into your new home.
What Happens After Selling a Home?
On closing day, you, your agent, the buyer, their agent, attorneys (if used), and the title company representative will meet to close escrow on your home. Don’t forget to bring a valid photo ID! At this meeting, you will sign the final paperwork for selling a home and hand over your keys to the new owners.
Depending on your agreement, you will either be handed a check for the proceeds for your home, or it will be wired to your bank account. The sales proceeds will be the amount that is left after deducting:
- Agent commissions
- Applicable fees
- Any agreed-upon seller credits
After the closing is complete, the property deed, deed of reconveyance (showing that your mortgage, if applicable, has been paid in full), and deed of trust are recorded in the public record.
When you hire a listing agent from Palmetto Realty, you have an experienced professional on your side throughout all stages of the home selling process. The agent will help keep the process moving and on track from start to finish. Contact us today to learn more about the services we provide.