The days of rock-bottom mortgage interest rates and buyers waiving contingencies, which defined the pandemic housing market, are long gone. Today’s market still favors sellers due to record-low inventory, but high mortgage rates have placed affordability constraints on buyers, making them more cautious with their decisions.
If you’re planning to sell your home in 2024, you’ll need a fresh approach to maximize the equity from your most valuable asset. Fortunately, you don’t have to navigate this market alone. We’ve gathered insights from top real estate agents across the nation to guide you on how to market your house effectively.
Understand the Market
Mortgage interest rates are the elephant in the room when it comes to market trends. After two years of historically low rates, the Federal Reserve raised rates eleven times since March 2022 to combat inflation. Although the federal funds rate has remained steady since July 2023, today’s 6%-7%+ mortgage rates are significantly higher than what many buyers were accustomed to during the pandemic.
While these rates are still lower than the 18.63% seen in 1981, they’ve prompted many buyers to be more cautious. At the end of 2023, 50% of top agents described their local housing markets as seller’s markets, but not nearly as strong as in 2022. The 2024 housing market is still characterized by low inventory and rising inflation, which continue to make affordability a challenge.
Optimize Opportunities
Despite the market changes, it’s still a good time to sell your home. Low inventory means there’s less competition, giving your property a chance to stand out. According to Suzanne Macnab, a seasoned agent from coastal Maryland, the current market is ideal for sellers, especially those looking to downsize or those with well-maintained homes priced appropriately.
Inventory is expected to remain low as many homeowners who purchased during the pandemic at historically low rates are likely to hold onto their properties. This gives your home a better chance of catching the attention of serious buyers, especially if it’s move-in ready and well-priced.
Set a Competitive Price
Pricing your home correctly is crucial. According to the National Association of Realtors (NAR), the typical recently purchased home was built in 1985, with 1,860 square feet, three bedrooms, and two bathrooms. The majority of buyers (87%) purchased existing homes, with many opting for pre-owned properties over new construction for better pricing.
To get an accurate idea of your home’s value in the current market, start with a free online estimate and follow it up with a Comparative Market Analysis (CMA) from a real estate agent. A CMA will consider the prices of recently sold properties in your area with similar features, as well as any unique aspects of your home.
Take Professional Photos
High-quality photos are essential in today’s digital-driven market. Homes with professional photography tend to sell faster and for more money. With buyers conducting searches on both mobile devices and desktops, it’s important to ensure your listing photos are of magazine quality. Consider working with an agent who contracts with a professional photographer to capture your home in its best light.
Write an Enticing Listing Description
Once the photos draw in potential buyers, your listing description should build on that interest by highlighting what makes your home special. This is your opportunity to tell your home’s story, whether it’s a charming craftsman near a top-ranked school or a modern home with a stunning view. A well-crafted description can significantly enhance buyer interest.
Stage Your Home
Staging is a powerful tool in the selling process. By arranging furniture, decluttering, and adding tasteful decor, you can create a space where buyers can easily envision themselves living. According to recent data, professionally staged homes not only sell faster but also often command higher offers. Staging could potentially add thousands to your home’s resale value.
Highlight Outdoor Features
Outdoor spaces have become increasingly important to homebuyers since the pandemic. Whether it’s a backyard oasis, a deck perfect for entertaining, or a cozy firepit, make sure to showcase these features in your listing. Consider using drone footage or aerial shots to provide a comprehensive view of your property’s outdoor amenities.
Mention Energy-Efficient Features
With rising utility costs, energy-efficient homes are in high demand. If your home includes features like a heat pump HVAC, solar panels, or efficient lighting, be sure to highlight these in your listing. Energy-efficient upgrades not only appeal to eco-conscious buyers but can also increase your home’s value.
Sell Your Location
The location of your home is just as important as the home itself. In your marketing materials, emphasize the benefits of your neighborhood, such as proximity to schools, parks, restaurants, and shopping. Highlighting nearby amenities can make your property more attractive to potential buyers.
Add a Virtual Tour or 3D Walkthrough
In today’s tech-savvy market, a virtual tour or 3D walkthrough can be a game-changer. These tools allow buyers to explore your home from the comfort of their own space, which is especially appealing in a fast-paced market. A multimedia approach to marketing can help your home stand out, even among buyers who may not be able to visit in person.
By understanding the market, optimizing your opportunities, and using strategic marketing techniques, you can position your home to attract the right buyers and sell for the best possible price in 2024.
