Analysts expect the U.S. real estate market to reach a market volume of $142.9 trillion by 2028. It’s common knowledge that the industry is competitive, and creative real estate marketing is critical for agents to stand out and make sales. The world of marketing has changed. As an agent, you must keep up with the latest trends to connect with audiences looking to buy what you’re selling.
Although marketing has become more complex, some simple tips are all you need to reach the right people at the right time.
Buying a home is a priority for 84% of Americans, and the homebuying spree in recent years has made the real estate market more competitive. Reaching your target market and making sales requires you to stand out. As clients’ needs change, your marketing efforts must remain agile. The best marketing for realtors involves embracing digital trends, getting creative and educating people instead of confusing them.
Effective marketing helps you connect with the right buyers, improves your online presence, generates leads and boosts your credibility. Combining traditional and innovative marketing methods can help attract the right buyers, allowing you to generate and nurture leads and boost your agency’s profitability.
Part of successful real estate marketing in today’s industry is getting creative. When potential buyers are bombarded with information, giving them more of the same may fall short of grabbing their attention. Remember to stand out and build meaningful connections with potential buyers when creating a marketing plan.
Some actionable real estate marketing ideas include:
The first step to becoming a client’s first choice is ensuring you’re talking to the right people. Consider your strengths and whether you target a specific niche. Like any effective business model, you must play to your abilities — narrowing down your target market means you can position yourself as the agent who best meets their needs.
You need to know as much about your audience as possible to bring something unique to your audience — research demographics, preferences and the most effective communication methods. Ask yourself what they want and how you can give it to them in a way that other agents can’t.
Market trends and demand influence how you connect with clients. Staying on top of what’s happening in your market is critical to effective marketing. Artificial intelligence (AI) transforms the industry with predictive analytics, allowing agents to forecast trends and make more accurate predictions.
Another critical element of the market is the competitive landscape. Identify your key competitors and what they offer. Consider their marketing strategy and look for what they aren’t doing so you can step in.
With 93% of buyers using online websites to search for homes in the U.S., a seamless, aesthetically appealing online presence is your most potent marketing tool. Your online presence begins with a website, and it takes users 0.05 seconds to form an opinion about a website. Yours should load quickly and provide a stellar user experience.
Imagine you’re interacting with a website for the first time. High-quality images, video and infographics are likely to capture your attention. You’re also more likely to connect with a buyer with detailed property listings.
A big part of your website is brand awareness. Your logo, brand voice and aesthetic should convey professionalism and show that they can trust you to act in your best interests.
As much as 93% of global web traffic comes from Google. If you want people to see your listings and connect with your brand, you need to appear in search results. Take the following steps to improve your chances:
A common mistake agents make is focusing exclusively on listings. Educate your audience as well as sell to them by crafting informative articles. Make your content relevant to your target audience, positioning yourself as an authority in your industry and building trust.
Consider what your ideal client wants to know and provide that information, complete with relevant keywords and engaging images. Your website is the perfect opportunity to showcase your expertise and establish yourself as a thought leader.
An active and engaging social media presence keeps your brand at the forefront of your audience’s minds. Set aside time to answer questions on local Facebook groups, showcase your listed properties on Instagram and provide prospective clients with as many opportunities to connect with you as possible.
Part of your business is serving your area, so making local connections is essential to your success. Invite other local companies to participate in a local house event and partner with them to cross-promote each other’s businesses. Sponsor events or charities and build relationships with nearby real estate associations and organizations. Position yourself as a local authority with a column in a magazine or appearing on radio and TV slots.
Digital marketing is one of many avenues available in your marketing arsenal. Traditional real estate marketing materials are still effective in targeting specific locations. As many agents have transitioned entirely to digital marketing, traditional print advertising, like magazines and newspapers, lets you differentiate yourself from your competition. Outdoor advertising, such as billboards, can also be a potent tool in your campaign.
Aesthetics have always been critical in real estate. With most buyers beginning their searches online, your photographs must stand out from the crowd and create a lasting impression. A professional real estate photographer is a sound investment and an asset to your business, boosting sales and adding an air of professionalism to your listings.
Use analytics tools to measure your website and listing performance. With actionable data on conversion rates and user behavior, you can see what works and identify opportunities for improvement, adjusting your strategy to align with market trends.
Virtual tours have transformed the market since the onset of the COVID-19 pandemic. Innovative technology allows viewers to view every nook and cranny of a property from home. You can make your listing more accessible with live tours or add the immersive and interactive qualities of the virtual experience, letting potential buyers explore at their own pace.
Partnering with a quality auction service has considerable benefits when selling or buying properties. It focuses people’s attention on a single property and clarifies when it will be sold. You’re also more likely to get true market value for the properties you sell. The auction service handles the marketing with customized campaigns, showcasing your skills to buyers and sellers.
Working with an auction service is a partnership, and they work with you to sell property, even if you’re on a finite timeline. If you want to combine traditional real estate with auction and bring a property to market fast, auction services are an effective solution.
Effective marketing can be challenging for agents. It’s time-consuming and hit-and-miss, and how you approach it could decide whether or not you make a sale. As auction experts for four generations, Cates Auction and Realty Company brings buyers and sellers together with unparalleled marketing when you need it most.
Our relationship with you is a partnership — accelerating the timeline is a shared goal. We’ll develop a full-stack marketing strategy that empowers you through every step in the process, streamlining the sales timeline and getting the desired results. Contact us to learn more and elevate your next sale today!
The real estate arena is evolving, and at the forefront of this transformation is the rise of virtual house tours. The growing relevance of virtual real estate tours, especially 3D virtual house tours, has revolutionized how properties are showcased and experienced. Prospective buyers can explore every nook and cranny from the comfort of their own space.
This blog delves into the increasing significance of home virtual tours. Specifically tailored for individuals looking to sell their properties, this guide offers insights into virtual home tours — from the benefits and differences to the future of these immersive experiences.
Real estate marketing has come a long way from static images and printed brochures. In the digital age — where visual appeal and immersive experiences matter — the rise of 3D virtual real estate tours has changed the game. Traditional methods struggled to convey a property’s true essence, leading to the rise of technologies like 3D real estate photography.
The year 2020 accelerated the adoption of virtual real estate tours since safety concerns and social distancing measures limited in-person viewings. Buyers sought the convenience and accessibility of 3D virtual house tours, enabling them to explore properties at their own pace and from anywhere. This technology also expanded the market’s reach, attracting global buyers.
Additionally, virtual reality (VR) technologies enable immersive and interactive property viewing experiences. These advancements have made virtual tours more engaging, realistic and accessible — contributing to their growing popularity in the real estate market.
As virtual tour software continues to evolve and become more user-friendly, it further enhances the effectiveness of virtual tours in showcasing properties and attracting potential buyers. To give an idea, the global virtual tour software market value is $384 million in 2023 — and is projected to grow to $941 million by 2030.
Real estate agents adapted to this shift, incorporating virtual tours into their marketing strategies, while buyers’ evolving preferences for work-from-home spaces increased the demand for comprehensive online property exploration. These changes have left a lasting impact, with virtual home tours becoming a standard feature in the real estate industry.
These immersive digital experiences offer advantages that can impact the selling process. Let’s delve into the numerous benefits of embracing 3D virtual tours for showcasing your property:
These tours offer an immersive, engaging and efficient way to showcase your property to a broad audience. They can streamline the selling process and enhance the overall experience for both sellers and buyers. Embracing this technology is a significant step toward a successful and efficient property sale.
Traditional physical tours have long been the norm. However, the emergence of virtual house tours has shifted how properties are experienced.
Let’s explore the main differences between these two approaches and why virtual tours have increasingly become the preferred choice for property sellers in Missouri and Kansas.
Traditional property showings provide a firsthand look, but they lack the immersive quality of virtual tours. Buyers can walk through the property, but their interaction is limited to the physical environment.
Virtual tours offer an entirely immersive and interactive experience. Buyers can explore every inch of the property at their own pace. They can view rooms from multiple angles, zoom in on details and even measure spaces — all from the comfort of their computer or mobile device.
Conducting in-person viewings can be costly and time-consuming. Sellers must prepare the property meticulously for each show — often disrupting their daily routines to accommodate prospective buyers’ schedules.
Virtual tours save sellers valuable time and money. There’s no need for extensive preparations, and showings can happen on-demand, 24/7. It’s an incredibly flexible and convenient way to showcase a property.
Physical tours are restricted by location. Interested buyers must be physically present, limiting the reach of your property’s exposure. Yet, the digital nature of virtual tours breaks down geographical barriers. Potential buyers can explore your property near and far — making it accessible to a broader audience, including out-of-state and international buyers.
While physical tours allow buyers to see the property, they may not catch every detail. This can lead to uncertainties and concerns down the road. Virtual tours, on the other hand, provide a comprehensive and transparent view of the property. Buyers can thoroughly assess it, fostering trust and minimizing surprises.
Physical viewings often involve sellers, buyers and agents driving from property to property, contributing to environmental pollution and high fuel costs. However, embracing virtual tours aligns with a more sustainable lifestyle. It reduces the need for extensive travel and the production of printed marketing materials.
Technological advancements are poised to drive the industry to new heights, offering both property sellers and buyers an array of exciting prospects.
One of the most promising avenues is the integration of virtual reality (VR) and augmented reality (AR). Imagine immersing yourself in virtual reality homes, walking through their rooms as if you were physically present. This technology can provide a level of realism and engagement that was once inconceivable.
Furthermore, the emergence of AI-powered virtual assistants holds immense potential. These digital guides can accompany prospective buyers during virtual tours by offering information, answering questions and providing an interactive experience simulating an in-person viewing.
The real estate industry is continually evolving, and virtual house tours are at the forefront of this transformation. Stay informed about these emerging trends and innovations, as they can shape the future of property marketing and redefine how we buy and sell homes. The coming years promise an exciting reality where the line between the virtual and the physical property showing may blur, offering endless possibilities for property sellers.
In a dynamic real estate landscape, the rise of virtual house tours has become a transformative force. Property sellers in Missouri and Kansas can unlock various advantages, from heightened visibility and increased buyer engagement to swift transactions. Take the leap into this exciting future.
Looking to sell your property? Cates Auction & Realty Company’s four generations of auction expertise and advanced technology will supercharge your property’s journey from listed to “SOLD.” Discover your property’s true market value and connect with the perfect buyer through competitive bidding.
Contact us online today to begin your next chapter.
Artificial intelligence (AI) is a buzzword in almost every industry. It’s unlikely the first thing that jumps to mind when it comes to real estate, but artificial intelligence in real estate has the power to change property investment, streamlining processes for buyers, sellers and real estate professionals. The value of the United States real estate market is expected to reach $113.6 trillion in 2023 and $143.9 trillion by 2028, and understanding the possibilities is essential.
The applications for AI in real estate are growing, and knowing what to expect can set you up for success, regardless of your goals.
Real estate artificial intelligence is the application of AI tools to streamline and inform real estate transactions. When we think of AI, our minds often jump to generative models, which allow chatbots to generate informed responses to complex inputs. While agents could use AI to write property descriptions, AI in real estate is more detailed. It can be used in multiple real estate applications, but the most common include:
AI real estate trends provide valuable information on the potential for future change, which is essential for buyers, sellers and real estate professionals to understand. AI has already streamlined many real estate processes, which gives us an idea of what to expect in the future. It has the potential to affect real estate in the following areas:
Although AI has the ability to transform the real estate industry, one thing is clear — it can only work in conjunction with real estate professionals who see things that computers might miss and understand the emotions involved in selling or buying property. Together, AI and real estate professionals can make a formidable team, changing the industry for the better.
For buyers, AI can remove some investment-related guesswork. Machine learning and predictive analytics can provide more accurate market forecasts, allowing buyers to make strategic property investment decisions. Finding the right property has also changed with the introduction of AI. Up to 97% of homebuyers use the internet to search for property, and AI can simplify and personalize the search process, making it more efficient for buyers.
Machine learning models can pinpoint buyers’ most intricate preferences, automatically showing them properties that meet their needs. AI models may even be able to detect subtle inclinations, further personalizing the experience and making searches fun and interactive.
AI has many potential benefits for property sellers, from predictive maintenance capabilities to keep a property in the best possible shape, to unbiased home appraisals. Market analysis can benefit sellers and buyers, as analytics inform strategic decisions about when to put your property on the market and the best selling method to use for your situation.
AI models can outline who the typical buyer is likely to be for a property and develop a specific marketing strategy to target these buyers, which could result in quick and successful sales. They can add intricate details to the virtual staging process, like staging a home to appeal to a specific demographic. In addition, AI can help buyers decide what changes to make to their property before selling.
AI technologies can also produce automated valuation models (AVMs) that consider factors like location, features, market trends, security and comparative sales data without human bias. With AVMs, sellers can use objective property valuations to get a fair market price for their property and ensure security.
Using AI in real estate has significant benefits, but like any innovation, it also comes with risks. Using technology with such far-reaching implications requires caution. The more data you give an AI, the more it learns, which could spark privacy concerns. AI can also only work with the data you provide, which means if you miss something or include bias in the input phase, it may misunderstand something critical and provide flawed information for decision-making.
AI has limitations. It cannot understand emotions and nuances in human behavior, which can lead to incomplete market forecasts or unusable advice. Human creativity and understanding are fundamental parts of the real estate industry. Misusing AI can cause a lack of creativity in marketing and communications endeavors. Understanding the value of combining AI-driven insights with the expertise and experience of trusted real estate professionals can lead to successful transactions.
Technological innovations in real estate could mean significant changes in how we buy and sell property. While the opportunities are exciting, having a real estate company you can rely on is essential for many sellers. Cates Auction & Realty Company has been bringing buyers and sellers together since 1942, and it’s this dedication to our craft that keeps us innovating year after year.
Our award-winning technology and innovative approach change how real estate is sold, providing sellers with an online marketplace for competitive bidding. This method brings buyers to the table and ensures timely sales and true market value on your property. You can set the terms and auction day of your house, and we’ll put a spotlight on your property, instead of trying to make it stand out among similar real estate. If you’re considering selling in Missouri or Kansas, schedule a complimentary property analysis with us today, or contact us to learn more, and we’ll be happy to answer any questions.
In the world of real estate, where properties are often highly sought-after, finding the most effective method to sell a property can make a significant difference in achieving the highest possible price. One approach that has gained popularity and proven to be effective is competitive bidding.
With its ability to generate excitement, create a sense of urgency and maximize returns for sellers, competitive bidding has emerged as one of the best ways to sell real estate.
Competitive bidding refers to a process in which multiple individuals or entities compete against each other by submitting their offers or bids to purchase a particular item or property. It is commonly used in real estate, auctions, government procurement and business contracts.
In the context of real estate, competitive bidding involves inviting potential buyers to submit their best offers for a property within a specified timeframe. The property is typically listed with an asking price, and interested buyers are given an opportunity to make their offers. These offers are sealed and submitted to the seller or their representative.
During the bidding process, interested buyers compete with each other by submitting higher offers to outbid their competitors. The bidding continues until a predetermined deadline or until the seller decides to accept one of the offers.
Once the bidding period ends, the bid evaluation process begins. The seller reviews the offers and selects the most attractive one based on factors such as price, terms and conditions, financing and additional contingencies. The highest bidder is typically awarded the opportunity to purchase the property, although the seller has the discretion to negotiate further or reject all the offers if they are unsatisfactory.
While competitive bidding shares similarities to how most Realtors manage sales, one difference in selling at auction is the property is sold “as is” and on a “non-contingent” basis, with a 30-day projected closing date. According to the auction terms, a prospective buyer cannot make their bid contingent on any outside factors, such as financing or inspections.
A competitive bidding program in real estate can benefit various parties involved in the buying and selling process. These include:
The effectiveness of a competitive bidding program depends on various factors, such as market conditions, property desirability and the quality of marketing and promotion. Sellers, buyers and other stakeholders should consider the specific circumstances and seek professional advice when participating in a competitive bidding program.
The following are some of the benefits of the competitive bid process:
At Cates Auction & Realty Company, we specialize in conducting competitive bidding events for real estate properties. With our expertise in the auction industry, we offer a platform that brings together sellers and buyers in a transparent and competitive environment. Here’s how competitive bidding at Cates Auction & Realty Company works:
By conducting competitive bidding events, we enable sellers to maximize the value of their properties and offer buyers an opportunity to participate in a transparent auction process. Our expertise and established reputation in the auction industry make us a trusted choice for those seeking to leverage the benefits of competitive bidding in real estate transactions.
Using auction techniques honed over the past 79 years, we have created an innovative online marketplace for competitive bidding. This innovation creates a competitive atmosphere geared toward shifting the buyer’s focus from price to the property’s value. Our digital approach targets and captures qualified buyers, driving elevated results.
As the real estate industry continues to evolve, competitive bidding stands out as the optimal approach for selling real estate in today’s market. Contact us at Cates Auction & Realty Company to sell your home.
Kansas City, Missouri, is a thriving city with delicious barbecue, friendly people and a downtown hub that comes alive at night with food trucks and music performances. It’s a great place to move, whether you want to raise a family, flourish in a career, retire or invest in properties.
Kansas City’s early developers gathered inspiration from the boulevards in Paris. That’s why you can find over 130 miles of practical and aesthetically pleasing passageways throughout the town today. Check out this list to learn more about Kansas City culture.
You can experience the thrill of living in a popular city without the standard traffic and rush hours. On average, the commute to work is less than 24 minutes.
You can save more on housing, transportation and food expenses when you move to Kansas City, Missouri. The cost of living is around 2.1% lower than the nation’s average.
It’s best to diversify your wardrobe with items ranging from flip-flops and hats to boots and jackets. The area features springs, humid summers, vibrant falls and snowy winters.
If you like barbecue, you’ll love relocating to Kansas City, Missouri. You can satisfy your craving for this signature cuisine at more than 100 mouth-watering restaurants in the area.
The Midwest has delightful farmer’s markets! Cooking Light magazine named the Overland Park Farmers Market the best in the city — plus, there are dozens of other markets to explore throughout town whether you’re free mid-week or on the weekend.
Want to experience a relaxing oasis or adventure in the outdoors? The city has over 12,000 acres of parkland, with more than 220 parks. You can travel through almost 160 miles of bikeways and trails with scenic views.
Feel like you’re traveling abroad when you walk through the “City of Fountains.” Early city planners got inspiration from the fountains in Rome, resulting in over 200 displays across the metropolitan area.
Finding real estate through an auction is one of the best tips for moving to Kansas City, Missouri. Cates Auction & Realty Company offers a quick way to buy properties at fair prices.
Want to learn more about our auction process? Fill out a contact form today to get started! We can answer any questions about whether buying at an auction is a good fit for you.
Friends, family and colleagues often offer real estate tips when they learn you’re in the market to sell a property. Learn what doesn’t work and which real estate tips to ignore so you can set yourself up for success.
Typically, good recommendations are relevant to your situation and backed by experience. While many people want to offer guidance, it’s best to identify which suggestions have the most expertise, authority and trustworthiness to support them. Here’s our list of real estate pitfalls you can avoid throughout your property-selling process.
Traditionally, real estate sales reached their peak during spring. Many buyers used to align their purchase timeframes with kids’ school schedules, whereas today’s market shows more diversity. Some alternative priorities include investing, flipping and selling, making a rental income or starting a business.
Should you sell your property in the summer, fall or winter? The best time to sell your property depends on the other options on the market. Research real estate in your area to determine when the available quantities are the lowest. Less competition can help you get offers quickly.
Overpricing your property is a bad real estate tip for many reasons — today’s buyers have access to more research than ever before. Resources like the internet, apps, books and articles provide insight into comparable properties, making it easy for anyone to identify when a listing is overpriced.
Many technology-based systems include filtered results, allowing shoppers to see options in their desired price range. If you list your property at a higher-than-average price, the shoppers who can afford your property may not see your listing. This decision may keep your property from selling for weeks or months, prolonging the process for everyone involved.
When many people think of real estate, they assume they have to sell their property through showings at open houses. While this strategy is common, you can interest buyers in other ways. Auctions offer a smart, innovative alternative for you to explore.
Today’s market allows you to promote your auction’s specific time and date online. The advertisements offer a way to reach a wide audience. You can attract buyers across the city, state, country or globe.
Cates Auction & Realty Company can help you sell your property quickly. Our professionals can help you determine whether an auction suits your needs and goals.
If you’d like to learn more, fill out a contact form today! Our experts can talk about our auction process with a step-by-step overview and answer any questions about selling a property in or around Kansas City, Missouri and surrounding areas.
To help make you feel more comfortable in our auction setting, here is a list of auction terms that are regularly used at auctions.
If you have questions or would like to speak to an auction specialist directly regarding buying or selling your property at Cates Auction, we invite you to give us or a call at 816-781-1134 so we can learn more about how we can best serve you.
If you’re considering auctioning a property, you might have several questions, from how it benefits you and buyers to the terminology used at the auction itself.
At Cate’s Auction Real Estate Company, our relationship-focused agents aim to ensure you know what to expect at a property auction, so you can sell your property confidently and quickly. We’ve answered some common questions we’ve received about how property auctions work below.
An auction is an accelerated method of selling a home or real estate property via an open-cry, competitive bidding process. Auctions attract buyers who have pre-qualified for financing and are ready to buy. Auctions also create healthy competition among buyers, so you are likely to receive an excellent price for the property.
Auctions are excellent for individuals who wish to sell a property at fair market value quickly. An auction eliminates the expenses of long-term carrying costs and the time-consuming need for open houses and private showings. An auction also ensures a robust marketing campaign that improves buyer interest in the property.
Now that you know the benefits of an auction, you might be wondering — what are some typical auction words and phrases you might hear on the lot?
We’ve put together an auction terminology glossary so you know what’s going on at all times. Read on to discover several common auction terms and learn about their meanings.
If you’re ready to sell or buy real estate by auction, contact Cate’s Auction Real Estate Company today. We’ve proudly provided expert auction services to the greater Kansas City metro area for over 70 years, and we are happy to hear from you with any questions you might have. Browse our current auction selection, including residential, commercial, land auctions and more.
Or, if you’re considering auctioning your property, complete our free, no-obligation property auction analysis to see if an auction is the right choice for you!
Your home has served you well over the years. It might be where you raised your family or the first significant purchase you made. But the time has come to move on — either to a bigger home to accommodate a growing family or a smaller place now that your children have grown up.
Before you sell, you’ll want to ensure your home is in the best condition possible so it appeals to buyers. However, you’ll also want to monitor your bottom line. You don’t want to invest more than you stand to recoup.
If you’re wondering what to fix up or if you should renovate before selling, the answer is yes — in some cases. Before jumping into any major renovations, it helps to know what improvements deliver the best return on investment (ROI). Understanding your selling options will also help you decide whether to make repairs and how much work to do before selling your house.
The average homeowner can expect to spend around $30,000 to remodel their home. Preparation costs could include improvement projects, staging costs and hidden fees. While this number might seem daunting, many sellers also sell above the listing price after making renovations, helping them get a return on their investments.
Is it worth renovating a house before selling it? How much should you spend preparing a house for sale? It’s possible to keep spending within budget when preparing your home for buyers. Some investments are costlier than others, like remodels. These investments are usually unnecessary — unless you intend to enjoy them personally before moving.
For example, if you intend to live in your home for the next five to 10 years, then perhaps a remodel is a good investment. However, if you don’t intend to enjoy these renovations, perhaps minor cosmetic updates, lawn care or staging costs are better investments.
The amount someone spends on fixing up their home also depends on how much work the home needs and the seller’s location. Sellers should focus on identifying the most cost-effective renovations for their circumstances that yield the best return on investment.
When deciding what features of your home to upgrade, your mind might first go to the most eye-catching and attention-grabbing renovations possible. While remodeling the most noticeable and in-demand rooms in your house, like the kitchen and bathroom, might have a sizeable return on investment, you might be surprised to learn that less noticeable improvements typically provide the highest ROI.
Take a look at what you can expect to recoup from the following improvements in the Greater Kansas City area and across the U.S.
When was the last time you thought about the siding on your house? If it’s been a while, you might be surprised to learn that upgrading and replacing your home’s siding can lead deliver a considerable ROI. In the Greater Kansas City metro area, the AVERAGE COST TO REPLACE 1,250 SQUARE FEET OF SIDING IS $17,120. The resale value is $15,651, meaning the typical homeowner can recoup around 91 percent of their initial investment. The ROI of siding replacement in Kansas City and the surrounding area is slightly higher than the national average, which is 75 percent.
Another siding-related upgrade with a considerable ROI is replacing vinyl siding with manufactured stone veneer. Replacing 300 square feet of vinyl siding with stone veneer on the front of the house has an average cost of $9,312 in the greater Kansas City area and an ROI of around 85 percent. Adding stone veneer in Kansas City produces a smaller ROI compared to the national average, which is closer to 95 percent.
In some cases, what seem like small improvements to a house can have a considerable impact on its resale value. Replacing a garage door has one of the highest ROIs nationally. The average cost of the replacement across the U.S. is $3,611 and translates to a resale value of $3,520, or an ROI of around 97 percent.
In the Kansas City metro area, the ROI on replacing a garage door is lower, at 78 percent.
The roof of a house might not be the feature people think about the most when they’re looking at properties. But it is a feature that plays an essential role in keeping residents dry and comfortable. A leaking roof or a roof that has other issues can be a deal-breaker in many home sales. Although replacing an older roof doesn’t have the ROI of replacing siding or a garage door, it does make a home more attractive to many buyers and does have a relatively high resale value.
In the Kansas City area, it costs an average of $24,409 to replace an asphalt roof. The average ROI is 65 percent. Metal roofs tend to have a higher price, around $41,000 in Kansas City and the surrounding area, but don’t produce the same ROI as an asphalt roof replacement. The typical resale value of a metal roof is about $24,000 or less than 60 percent of the cost of the replacement.
For many buyers, the kitchen is the most essential room in a house. People look for kitchens that are functional as well as attractive. Before you decide to upgrade your Formica countertops and to swap out your ivory or avocado-green appliances for shiny stainless upgrades, it’s important to understand just how much a kitchen remodeling project can deliver when it comes to ROI.
It might surprise you to learn that smaller projects often provide a higher ROI compared to major overhauls. A “mid-range” kitchen remodel has an average ROI of 82 percent. Meanwhile, an “upscale” kitchen remodel has an ROI of around 59 percent in the Kansas City metro area. Nationwide, the numbers are similar. A minor remodel has an ROI of about 81 percent, while an upscale major remodel has an ROI of about 60 percent.
If you are going to remodel or renovate your kitchen, keeping a few things in mind can help you get the best possible return and can help you avoid spending more than the remodel will end up being worth. One thing to do is use the value of your house to figure out how much to spend on a remodel.
A standard recommendation is to spend NO MORE THAN 15 PERCENT of the value of your home on your kitchen project. If your home is worth $200,000, your kitchen renovation budget should be less than $30,000. Setting a cap for your project will help you recoup as much as possible without breaking the bank in the meantime.
After the kitchen, the bathrooms in a house are the rooms that can make or break a home sale. If a house doesn’t have enough bathrooms, a buyer is likely to walk away. If the bathrooms in the house are outdated or otherwise unappealing, that can also turn off potential buyers.
In some cases, making a few small improvements to an existing bathroom can provide the best ROI. If the bathroom is in good working order, recaulking the tile and replacing fixtures and handles might be all that’s needed to make it a more attractive space. If you decide to do a major renovation or remodel of your bathroom, sticking with the “mid-range” rather than going upscale can help you get a better return on investment.
In the Kansas City metro area, mid-range bathroom renovations typically recouped around 67 percent of the cost while upscale renovations often recouped about 63 percent of the price. If the number of bathrooms in your house is limited, it might be a smart choice to add one before you decide to sell. The average mid-range bathroom addition in the Kansas City area costs around $50,000 and recoups about 65 percent of the cost.
More importantly, adding a bathroom can be what gets your home to sell. If buyers don’t think a house has enough bathrooms for their needs, they’re going to look elsewhere.
The windows in your home let light in and provide a view to the surrounding neighborhood, but they also help to keep your home insulated, warm in the winter and cool in the summer. Older windows often don’t have the insulating abilities of newer ones. For that reason, replacing the windows of your home before you sell can be a smart move.
Window replacement projects also typically have a good return on investment. Nationwide, homeowners often recoup between 70 and 73 percent of the cost to replace their windows while in the greater Kansas City area, homeowners can expect to recover around 65 to 69 percent of the cost of the replacement, depending on whether they replaced wood or vinyl windows.
From kitchen and bathroom remodels to window and garage door replacements, there are many ways you can update your home for buyers. However, not every renovation is worth the investment. When deciding which renovations are best, you’ll want to examine a few factors, including your selling timeline, budget and the listing price and market value of homes in your region.
Ask yourself these questions:
Practically speaking, you’ll want to pick the essential renovations that offer you the best return on investment. Often, expensive renovations like a complete kitchen remodel don’t yield the best financial return. In many cases, it’s best to work with what you have and let homebuyers upgrade the home as they see fit after they’ve moved in.
If possible, start by investing in a home inspection to identify any major concerns. For example, if your home has water or structural damage, or needs a new roof, HVAC unit or sewer line, address these concerns first. Next, move on to other cost-effective updates, like landscaping, cosmetic updates, deep cleaning and home staging. Minor, inexpensive updates such as a fresh coat of paint, updated fixtures and hardware or a deep carpet cleaning are often as appealing to home buyers as remodels.
Another thing to consider when deciding how to renovate a home before selling or what to fix up before selling your house is how you’ll go about selling your property. You have multiple options, including listing your house with a real estate agent, selling it “for-sale-by-owner” or selling it through an auction.
When you work with a real estate agent or go the “by owner” route, the timeline for selling your home is often longer than the timeline for selling a house at auction. When you decide to auction your property, you choose a date for the auction. Usually, the property sells on the date of the auction. In many cases, there are often multiple interested buyers who are willing to bid on the property.
In the case of a traditional listing or for-sale-by-owner listing, there is no set sale date. Your house could sell in under a week if there’s a lot of demand in your area. Alternatively, it could languish on the market for weeks, months, or a year. If you are listing your house the traditionally or selling it by owner, it’s often in your best interest to do what you can to make the property as appealing as possible.
That can mean taking on major renovation projects such as upgrading your kitchen and baths. It can also mean replacing the roof or windows to make the house more functional. If you are working with a real estate agent, they are likely to recommend particular renovation projects to you, based on what they think would provide the best ROI.
If you decide to sell your house through an auction, you usually don’t have to worry as much about upgrading it or investing in it. While traditional listings and for-sale-by-owner properties are typically sold on a contingency basis, meaning that if the home inspection turns up any issues, a buyer has the option of backing out, houses sold through auction are often sold “as-is.”
A buyer who’s purchasing a home at auction recognizes that there might be some issues with it, but is often willing to accept those issues in exchange for getting what seems like a good deal on a home. In some cases, a buyer at auction might be looking for a project, a house they can put their stamp on, and will be happy to purchase something that hasn’t been recently updated and refreshed.
Before you decide to list your home “as-is” and skip out on any repair or renovation projects, it’s a good idea to compare the pros and cons of selling a property “as-is” compared to fixing it up in some way.
One of the pros of SELLING “AS-IS” is that you don’t have to worry about taking the time to find a contractor, arranging for repairs, and then paying for those repairs. You might end up getting a lower price for your house when you sell it if it needs extensive repairs, but you also save money by not having to make those repairs yourself.
Another benefit of selling “as-is” is that you can connect with a pool of buyers who are looking for exactly what you have to offer. Investors and house-flippers are likely to be on the market for a house they can get for a reasonable price, renovate, then sell for a profit. In many cases, these buyers are often savvier than a person who might be looking for their first or second home. They also tend to be cash-buyers, which eliminates the risk that financing will fall through.
It’s also worth looking at the drawbacks of selling your house “as-is.” One of the most significant disadvantages of doing so is that you might get a lower price for your house than if you had spent the time and money to fix it up. Another drawback is that you are limiting your pool of buyers. People looking for a turn-key or move-in-ready property aren’t going to look twice at a listing or auction for an “as-is” house.
Another thing to consider when deciding what’s worth renovating before you sell your house or whether the best option is to sell it “as-is” is the type of market in your area. If it’s a buyer’s market, there are more houses available for sale than buyers who are looking for a property. People who want to sell their house in a buyer’s market typically need to do whatever they can to make their property stand out in a crowded field and to get buyers to take a look and put in an offer.
In a buyer’s market, it can make sense to make as many repairs to your property as possible to give it an extra edge. In contrast, during a seller’s market, inventory is low, and there are often more buyers than houses for sale. The ball is in the court of the seller in this case. You can usually expect bidding wars or multiple offers when you’re trying to sell in a seller’s market. That can mean that you can make fewer upgrades or repairs to the property and still see it move quickly.
Should you decide to sell your house through a traditional agent or for-sale-by-owner, it’s very likely that the buyer will order a home inspection before the sale goes through. During the inspection, an inspector will evaluate the condition of a variety of structures and systems in the home, including:
At the end of the inspection process, the inspector gives the potential buyer a report that outlines what they discovered. The report is likely to list what systems, if any, need repairs or what needs improvement. Following, it’s likely that the buyer will come back to the seller and want to negotiate the cost of any necessary repairs. If you and the buyer can’t agree on repairs or on who should pay for what, there is a chance that the deal will fall through.
Listing your home traditionally or for-sale-by-owner often requires you to make repairs in advance, selling your house at auction doesn’t. Cates Auction serves both Kansas & Missouri and can help get you the best possible price for your home. To LEARN MORE ABOUT THE AUCTION PROCESS and to see what the best option is for you, complete a COMPLIMENTARY PROPERTY ANALYSIS.
Contact us today to learn more about our services or speak with a specialist about your needs.
There are more ways to sell your home than ever before. Alternatives to a standard agent-assisted sale are growing, so deciding on the best course of action is harder than it used to be. We’re often asked about how the “for sale by owner” process compares with an auction. Both methods offer an owner more control over the sales process, so it’s a common question. There are several big differences between selling a house at auction versus a private sale.
This guide will help you understand how marketing and selling a house at auction compares to private sales. Read on to learn more about the pros and cons of each choice and how to decide on the best strategy to sell your home.
Is auctioning your house a good idea? For many, the answer is “Yes!” It’s a fast and hassle-free alternative to attempting to sell your home by yourself or listing it with a Realtor. In its most basic form, a real estate auction occurs when qualified buyers submit competing offers on-site or online, resulting in the sale of the house to the highest bidder. If you’re wondering how to put a house up for auction, here are the steps you should follow.
When you sell a home, choosing an auctioneer is your first step. When selecting an auctioneer, find one who specializes in your specific property. Some auctioneers who sell real estate might specialize in a particular area like commercial or residential. As you research auction companies to sell your home, make sure you choose one that has the experience to sell your property.
Cates Auction has experience selling commercial and residential properties as well as land.
Once you have chosen a qualified auctioneer, your next step is to decide whether to set a reserve price. A house sold at auction can be offered “with reserve” or “absolute” (no reserve). A reserve is the lowest bid that a seller is willing to accept for the property and is established with the auction company in advance.
If you do not set a reserve, your property will sell to the highest bidder in an Absolute Auction.
Unlike most private sales by owner or through a Realtor, houses sold through auction are sold as-is. This means the buyers cannot ask the sellers to do any additional work on the property. Additionally, bidders may not add any conditions or contingencies. With an auction, selling your house isn’t tied to appraisals, inspections, financing for a mortgage or any other conditions the buyer may want to add. Instead, Cates Auction has strict requirements for bidders, which weeds out less serious buyers before they are allowed to bid.
Before the auction, professional real estate auction companies, such as CATES AUCTION, will aggressively market the house in a variety of ways to generate maximum interest. Extensive signage, direct mail, print, online advertising, social media, email marketing, telemarketing, and other channels are all used to promote the property and notify potential buyers of the upcoming auction.
SELLING YOUR HOUSE, LAND, OR PERSONAL PROPERTY by yourself is usually referred to as “For Sale By Owner,” or FSBO. It’s different from auctions and most private real estate sales because you don’t have a professional to guide you or to handle the advertising and selling process.
FSBO sales appeal to motivated, do-it-yourself homeowners. One of the biggest reasons people turn to FSBO sales is to try to avoid paying real estate commissions. Realtors charge a commission (SIX PERCENT IS STANDARD), and sellers are responsible for paying it when their home sells.
Selling a home yourself is contingent on your skills, motivation, and time. If you have plenty of time, don’t have a strict moving date, are familiar with real estate regulations/contracts, and are experienced at marketing, a FSBO sale can work well. Many people don’t fit this profile, so it’s no surprise that many FSBO listings don’t sell, and when they do, the average FSBO home sold for less than other types of homes.
Here A FSBO HOME NETTED $210,000, compared to $249,000 for agent-assisted sales. In short, FSBO home sales tend to take longer than other sales options. One survey showed that one in five FSBOs sells.
Selling a home through a traditional Realtor is a third option and by far the most common approach. We’ll briefly cover agent-assisted house sales, since most people are already familiar with this option. Working with an agent to sell a home includes some of the pros and cons of both FSBO sales and selling a home at auction. You’ll contract with a Realtor who should market and promote your house until it is sold or until your listing agreement expires. A Realtor will represent you in ongoing negotiations with any prospective buyers and their agents.
Unlike an auction, an agent-assisted house listing doesn’t include an actual sale date and the buyer usually stipulates the terms. An agent-assisted sale usually takes longer than selling a house at auction, but can be shorter than trying to sell a home yourself. Prospective buyers can submit offers when they’re interested, and the seller can choose to enter into a negotiation. Typically these offers are contingent on a variety of factors and often include requests for sellers to do additional work or cover additional expenses. A minimal, refundable deposit is usually included. If more than one buyer surfaces, those buyers don’t see each other’s offers or directly compete with one another.
It’s wise to LEARN MORE ABOUT HOW AUCTION SALES COMPARE TO REGULAR SALES before making your decision.
Auctioning a home and selling through other means both have a range of benefits. The option you choose may depend on your specific situation. Here are some significant factors that differ between auctioning and selling a property.
When you sell using an auction process, the buyer must pay real estate commissions and a deposit instead of you. You can also avoid high carrying costs. When selling a property, you may pay commissions to an agent and carrying costs as long as you own the property.
Cates Auction & Realty Company uses targeted marketing like signs, brochures, email and more, to attract a large pool of interested buyers. The shortened timeline of auctions also increases urgency, which may increase competition from buyers. In a traditional selling situation, an agent will advertise your home but may attract a different group of buyers.
In an auction situation, buyers negotiate the price of your property upward. In a traditional selling situation, you set an asking price, and buyers can decide whether to offer more or less than the price you set.
A competitive online bidding platform allows auctioneers like Cates Auction Real Estate Company to find buyers in as little as 30 days. A traditional selling process often takes much longer.
When you sell a property using a Cates Auction, you can set the dates and times for the auction. You can make the selling process fit your schedule. When you work with a Realtor, you have less control because most of the process depends on your agent. In an FSBO situation, you have more control but fewer resources at your disposal.
Sometimes. Though it often depends on the situation, selling your property at auction can help increase the buyer pool, leading to higher competition and selling price. In a market downturn, selling your house at auction can also help you get true market value for your home while selling quickly.
Auctions are used to sell residential and commercial property, as well as tracts of land. The properties sold by professional auction companies are usually similar to those sold directly by owners. So how do you decide whether selling at auction is the right way to sell your home?
The National Association of Realtors (NAR) suggests the two-thirds rule to determine whether selling a house at auction is the best decision for your situation. Assess the market, the property, and your situation. If two of these situations favor an auction, it’s usually a good way to sell your property.
Auctions are a good way to sell homes in a variety of markets. To maximize the value of an auction, look for a market that:
Consider an auction when the property:
Ideal auction situations include scenarios where the seller:
As a side note, auctions are AN IDEAL WAY TO HELP ELDERLY PERSONS SELL A HOME WHEN DOWNSIZING. If you’re helping a family member in the Kansas City area downsize, consider our SENIOR TRANSITION AUCTION SERVICES. We’ll work with you and your family to make their move easy while securing the greatest values for their home and unneeded personal property. If you’re considering selling a house and belongings together, consider our personal property and estate sales.
An auction offers several benefits, such as a set timeline, increased competition and more serious buyers. However, it’s not for everyone. You may choose a private sale for a more discrete selling option with no agent commission and an opportunity to gauge interest in the property before you list it officially.
A number of variables can affect your decision about how to sell your home. Here are some additional considerations to make when choosing to sell a house at auction vs. private sale:
If you’re wondering why auction a house instead of selling, these considerations could help you decide. Also, consider the following answers to some of the most frequently asked questions, or check out our SIX SIMPLE S’S TO SELLING YOUR HOME AT AUCTION.
In addition to vast differences in marketing strategy and purchase terms, your timeline for selling your home is one of the most important considerations when deciding between FSBO and an auction. Selling a house via auction marketing usually takes no more than 30 to 45 days (often less), and the auction itself is simply the conclusion of the process. Most of the work happens leading up to the auction and is focused on promoting your property and the bidding opportunity. Here are the three steps to the auction process:
A well-planned and property-specific marketing campaign with a clear call to action is crucial for selling a home at auction. We (1) use a wide variety of channels to reach potential bidders, both online and in-person, (2) combine signage, print media, MLS and other listings, online marketing, direct mail, digital advertising, and social media to promote a home, (3) also, reach out to buyers’ agents directly.
During this time, we’ll host pre-sale inspections of the property for potential bidders and provide them with more information about the house, encouraging pre-auction offers and advance online bidding.
Throughout this phase, we’ll keep you updated with detailed weekly reports of all our activities and results.
Once the auction ends, the winning bidder is responsible for paying the non-refundable deposit and signing contracts immediately. We’ll work with the title company, buyer and seller to complete the closing process according to the auction terms.
Because they are open-ended and have limited exposure, most FSBO sales take significantly longer than auctions.
If you don’t have an interested buyer right away, expect a FSBO sale to take longer than your other options. Up to half of FSBO homes sold already knew who their buyer was going to be, which is why it has a fast reputation. But those who didn’t have a buyer lined up were listed on the market for a few weeks longer. In addition, FSBO homes sold for an average of 5.5%-26% less than their actual value.
Agent-assisted sales also usually take longer than auctions. In addition to the time to get a property under contract, a traditional sale leaves a number of “outs” for a buyer to exit the process without consequence right up until the closing day. A contract that fails to close means that a property that has been tied up in escrow must now be put back on the market and the process started over.
The auction company’s marketing department promotes an auction for a home, not the homeowner. This removes a significant burden (and risk) during the already busy process of moving and selling a home. For many people, marketing their home is the most intimidating part of the sales process because they don’t possess the necessary expertise or have access to the necessary tools. Working with a professionally staffed real estate auction company removes these obstacles.
Compared to FSBO homes, professional real estate auctions are promoted far more aggressively across a wider variety of channels, helping to generate interest among potential buyers in a much shorter timeframe. This is possible because the sale date is predetermined and the advertising is built on a fixed schedule and budget. The process cannot be replicated on an open-ended listing. Marketing for a home auction targets key buyers by combining:
When we promote an auction for a home, we use a well-planned marketing strategy that targets interested buyers. If you want to sell a home and your personal property simultaneously, our accelerated marketing strategies make it simple without any additional advertising expense.
By contrast, FSBO sales have relatively few marketing channels available to them. The most popular techniques used by homeowners selling their homes include:
Few homeowners use every channel. Generic yard signs are the most popular channel for FSBO homes because they are easy and cheap, but only 42 percent of homeowners use them. Other proven marketing techniques, like direct mail, were used in less than ten percent of FSBO listings. Professional networks and industry tools such as MLS are rarely available to FSBO sellers.
It is worth mentioning, again, that in addition to differences in advertising methods, there are also significant differences in the advertising message or “hook” offered to buyers. The FSBO message is simply that a home is for sale and there is an invitation to begin a negotiation on the buyer’s terms and timeline. In contrast, the auction message is that the home will be sold to the highest bidder on the specific date. Buyers understand that the property will, in fact, be changing hands and that they must act.
Yes, you can convert your listing to an auction at any time. It’s common for agents and homeowners to change strategies to utilize auction marketing to get a home sold. In fact, we have an entire program dedicated to partnering with real estate agents.
That’s great! During the process of advertising the auction, it’s not uncommon for a buyer to want to make an offer in advance of the auction date. They simply submit the offer on the auction contract (all the same terms apply) and you decide whether to accept the offer and cancel your auction or decline the offer and invite the buyer to participate in bidding.
Not likely. Auction marketing exposes your house to a broader audience of buyers and competitive bidding means you sell it to the person willing to pay more than anyone else. That’s market value! The alternative of waiting it out for a particular price can sometimes work, though carrying costs must be considered in the true net, as well as the risk that no one surfaces. Traditional offers with higher purchase prices often include additional expenses to the seller that erode the ultimate net return.
That depends on how the auction was structured. There are two types of real estate auctions: absolute and reserve. An absolute auction will sell to the highest bidder. This type of auction generally draws the largest buyer pools and, therefore, the best selling prices. A reserve auction has a minimum bid requirement set by the seller at the time of the listing. If the high bid falls below the reserve, the seller must decide whether to accept it.
In some instances, the reserve or minimum bid may be published if the auction company believes it will help the sale and the seller agrees.
At Cates Auction and Realty Company, our staff will work with you to determine the best type of auction for your situation and property.
There are several aspects to the cost of selling that must be considered:
Cates Auction offers a property selling option different than the traditional methods. Selling properties the conventional way doesn’t always make sense. With Cates Auction, you can enjoy a home selling experience where we focus on distinguishing your property from others on the market. You’ll also benefit from a timeline that suits your needs.
We’re happy to answer all your questions, discuss your selling goals, and help you determine if real estate auction marketing is the best solution for you. Speak to a Cates Auction Specialist at 816-852-8059 or request a FREE PROPERTY ANALYSIS.
Decluttering, getting rid of things, and moving into a smaller space is a well-trodden road for families all across the nation. If you’re thinking about, or in the beginning stages of downsizing your home, you are not alone by any means.
Every stage of life could bring about reasons to downsize. Young couples who want to move in together have to discard duplicate items. Empty-nesters may consider a smaller home to suit their child-free routines. Retirees may want to spend less time and money maintaining a larger home. Individuals on whom age is taking its toll — and their families — may find themselves searching for extra assistance in a care facility. Even though it can be challenging, downsizing is part of life everyone will eventually experience.
Whether you’re looking to save money or distress your life, and whether you are downsizing your home with kids or for a loved one, you can benefit from knowing both the advantages and disadvantages of downsizing a home and the steps to do it most efficiently.
Essentially, downsizing offers a range of benefits related to escaping frivolous living, from financial savings to a more concentrated, simpler lifestyle. Despite the work and time that goes into it, getting rid of your excess stuff and having less to maintain can be an incredibly refreshing move — and one that pays off in the long run.
Benefit 1: Financial Savings
One of the primary reasons people consider home downsizing is to save money. Smaller homes ensure a smaller mortgage, lower utility costs, less maintenance expense, and lower property insurance. If you are selling your old home, you can use the profits to buy your new place in cash, eliminating your mortgage payment entirely.
Another financial benefit is the increased cash flow downsizing offers. No longer will the equity of your home be tied up in maintenance and furnishings, but instead, you can invest it, put it in the bank to build up your savings, and use the extra money to fund your more exciting pursuits, like hobbies and traveling.
Benefit 2: Reduced Effort on Upkeep
Not only are you downsizing your home to save money, but you are also saving time and energy you usually invest in maintaining your large home. No longer will you spend hours cleaning rooms you barely use and doing tedious yard work. You can now use that time for the fun things you’ve always wanted to do.
Less maintenance is probably the most significant reason downsizing your home for retirement is such an appealing idea. If you’ve already spent enough time and energy working hard, why not reduce the time it now takes to maintain your lifestyle and do the things that bring you the most joy? You’ll be thrilled to find fewer responsibilities and a lower workload that grants you the flexibility to pursue dreams and reduce your stress.
Benefit 3: Better Use of Space
You might be surprised to learn some of the recent statistics on how much stuff we own. For example, on average, American houses contain 300,000 items, and despite these houses having tripled in size over the past 50 years, one out of 10 families continues to rent offsite storage space for additional keepsakes or furniture. Additionally, the average home is nearly 2,700 square feet, 80 percent of which is space we rarely, if ever, use.
Not only is this a waste of real estate, but the cost of maintaining so many belongings can be astronomical, both financially and upkeep-related. Why continue spending so much time, energy, and money on things we don’t use and space we don’t need? Downsizing can lead to a fuller life of less excess, which makes people much happier overall, research shows.
The main disadvantage downsizing could pose is discontent if the timing is not right. Heavy emotional attachment to things, stressful life events, financial burdens, and other factors may indicate right now is not the best time to be thinking about making a lifestyle overhaul. It can feel overwhelming. Here are a few downsides to downsizing for you to consider.
Less storage space: While this may surprise you, it can be easy to forget giving up space means less room for all the furniture and belongings we are so used to enjoying. The china cabinet that has been in the family for generations may need to find a new home, the boxes of children’s elementary school artwork in the garage, and all the dusty memories in the attic may not all fit in the new place.
Less living space: More intimate living situations may turn out to be challenging for some. Having to share or not having room for guests could make space constraints problematic. With this, you’ll also need to consider: If you had a family crisis that necessitated a relative staying with you, would you be able to share spaces, like the single bathroom?
Decluttering difficulties: It can be challenging to let go of family heirlooms that no longer fit or get rid of a closet full of clothing you used to love wearing. It can be heart-wrenching to finally sell that collection you acquired from years of travelling., or throw out the small knickknacks you or a loved one has grown accustomed to hoarding.
Hidden costs: Despite the fact that downsizing your home will save money in the long run, there is a good chance there will be other costs during the relocation process. These include HOA fees, transactional costs of buying and selling homes, a change in taxes, investing in smaller furniture and storage items to fit inside the new home, and the costs of hiring professionals to help you move.
To minimize the amount of time and money it will cost you to get rid of the things you can’t or don’t want to keep, consider the benefits of auctioning your home as a selling alternative that can get you the exposure you need to find the right buyer. You might be surprised to find eliminating some of the legwork helps relieve some of the stress and burden downsizing can cause, while also getting you maximum value.
Since it is primarily a lifestyle decision, determining when you should downsize your home is all about evaluating how your space complements the lifestyle you desire for yourself.
It may be time to downsize if your house is filled with “just-in-case” furniture items, duplicate kitchen appliances, multiple bedrooms that remain empty for extended periods of time, spaces that take too much time to clean or renovation projects that sap all your energy. If you hire help for tasks you used to do yourself, it may be a sign a change would be welcome.
You may also think about whether your current home is close enough to the things you enjoy most, whether it’s family members or just the part of town you love. Why continue living in the suburbs if you’re an empty-nester who’d rather be closer to work or downtown? Retirees often downsize to be closer to services they depend on.
Assuming your current home no longer fits the lifestyle you want or the income and energy you have, you should look for something more suitable, and your search for a new home should definitely reflect that.
First and foremost, prepare as best as you can by starting the process early. Begin asking questions and decluttering gradually, well before the need to move arises. Streamlining the process will help minimize the pain of releasing the stuff you’ve accumulated, and maybe you’ll even find yourself enjoying paring it down. Start by taking a look at the big picture.
1. Determine Your Needs: Ask Big-Picture Questions
Asking the right questions to figure out your needs and goals is the perfect first step to preparing for the huge life event downsizing can become. Follow these tips to keep you on track as you determine functional, worthwhile goals.
After you do some preliminary brainstorming, it’s time to figure out when to begin sorting your stuff and selling and buying properties. Remember to start preparing early to prevent any pitfalls from catching you off-guard.
2. Pinpoint Your Destination: Figure Out Where You’re Moving
Explore numerous options before deciding where downsizing is going to take you. You’ll want to find a community or facility that meets your financial and emotional needs, which is low-maintenance, conveniently located, and accentuates the part of the house you will spend the most time in. Determine the amenities and services that are important to you. A real estate agent or downsizing specialist can help you shuffle through the various options in your city to find the best pick.
After you find the right place, even if it has limited storage amenities, only consider renting an additional storage unit as an absolute last resort. The moving process should help you declutter and purge enough to prevent you from having to invest in extra space for your belongings.
3. Selling Your Home: Put a Price on the Memories
One of the biggest mistakes homeowners make when looking to downsize is overvaluing their current home’s worth. While you see all the memories associated with your home, most onlookers are only looking to determine its true market value. Get a local real estate agent to help you understand the current local market for your home, and mentally prepare yourself to hear a number lower than you previously expected.
It’s worth getting a professional involved to help you get the best value for the home and belongings with the least amount of effort. At Cates Auction, we receive glowing testimonials of the benefits of having someone else handle the trickier aspects of marketing and getting the best return.
Moving in and of itself requires an organized process, but when the space you’re moving into is more confined than you’re used to, you will face additional challenges. To be as prepared as possible, pay close attention to these tips on downsizing to a smaller home.
As more and more baby boomers begin to reach age 65 and plan for retirement, housing preferences and needs may change. Assisting a loved one to downsize their home and transition to a retirement community can be a challenging process for everyone involved — seniors and their adult children.
If the decision to transition to a retirement community comes after the death of a spouse or the onset of a serious health condition, you’ll want to make the transition as seamless and painless as possible. Deciding what to do with the current house and all the belongings that will not fit in the new place can be emotionally overwhelming and stressful. Below are some steps to implement when downsizing to a retirement community:
The transition process can be especially tough for adult children who live far away with limited resources, time, and energy. Utilizing the services of a reputable auction for home downsizing services can provide a solution that fits your needs.
A personal property auction offers a custom, quick and simple way to sell belongings in addition to real estate. The services an auction provides allow you to spend time with your loved ones during the transitional stage without worrying about dealing with a variety of individuals to file the necessary paperwork. You can leave your worries at the doorstep.
Cates Auction Real Estate Company has been assisting adult children and their elderly parents in downsizing for over 70 years. Our comprehensive and qualified senior transition services are comprised of the marketing of the home as well as ensuring the highest return on investment is attained. The goals of both you and your elderly parents are our main priority to create a personalized solution that’s catered to your specific needs and circumstances, providing a seamless and successful transition.
For more information and helpful tips on downsizing elderly parents to a retirement community, contact Cates Auction.
Moving away from the home where your children grew up can be a challenge. If you are helping your parent or loved one relocate, remember to be extra patient with them during the transition and allow for storytime as you sort through items. Don’t be too discard-happy, and allow them to bring items of emotional value with them, especially if they’re small. Remember to check in often after the move is complete. They will love hearing from you.
While there is nothing wrong with traditional selling methods, you may decide you’d rather embark on an auctioning journey to get the best return on your property. Our clients love auctions for their ease and simplicity, and we’d love to share that experience with you!
What are the benefits of an auction? Not only is auctioning an excellent way to get more exposure, leading to more and better buyers, but you can eliminate extra weight from the moving process by selling your property and belongings all at the same time! Auction terms simplify the process and eliminate the frustration of negotiating, plus you can perfectly time the sale with your move to ensure a smooth transition!
At Cates Auction, we understand downsizing, especially for seniors, can be a grueling process, and we work hard to simplify it by offering a free analysis of your property and creating a custom marketing strategy just for you. Leave the dirty work to us, and we’ll make way for the results that work for you. Get in touch with us today to begin your smooth transition in the greater Kansas City area.
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