Frequent Seller Mistake: Offering a Credit in Lieu of Updating
No one enjoys the process of painting or recarpeting a home. Sellers look at the effort it would take to move their furnishings to accomplish either task to freshen up their home before listing and quickly come to the conclusion that it would be easier for the next owner to do before moving. The solution to overcome beat up or outdated walls and carpets? Offer a buyer credit.
If buyers had only that ONE HOME to chose from, it would be a great solution. But sellers do not list in a vacuum. They are constantly competing with other homes. Homes whose sellers decided to undertake the pain in the rear and freshen up the paint and carpet. When that happens, no buyer credit is going to make the outdated or beat up home even compare to those that are move in ready.
Sellers logic their choice to offer a credit for such things away as, "Well the buyer can choose their own colors." In theory that's true. The reality is that the freedom to choose colors and renovate is rarely the way a buyer chooses to go, despite the buyer incentive or even a lower list price. Those buyers are a rare find. Move in ready wins ninety-nine percent of the time.
And if you do leave it to a buyer to do, they will never feel that the credit offered is what the actual cost will be. As a general rule of thumb, sellers underestimate and buyers overestimate.
The smart way to get picked before your competition is to get your home move in ready. Deal with the inconvenience of the work and expense for the best turnaround time and to make the most money on the sale of your home. Forget the buyer credit when it comes to carpet and paint.