Key insights
- While there are always pros and cons to selling a home, listing your home for sale in the summer has unique benefits and drawbacks.
- This summer, sellers in certain price ranges can expect high buyer competition and record-high prices to help them as they move on from their current residence.
- Low inventory can also lead to seller frustrations, as they can expect a large influx of discerning (and demanding) buyers booking showings.
Summer is in full swing and many homeowners are watching as their neighbors receive top dollar for their recently sold homes. If you’re thinking of selling this summer, consider these pros and cons before you place your home on the market.
The pros of selling your house this summer
Pro #1: Home prices are soaring
As you may have heard in local news reports, Minnesota and western Wisconsin home prices are still on the rise, and many sellers are earning top dollar for their properties.
Just how much are sellers pocketing? Across our 13-county metro area, the median price of sold homes rose to $284,000 in April. That’s an increase of 9 percent over last year.*
Pro #2: Buyers are competing over a shortage of homes
Inventory continues to be tight in the low- to mid-tier priced market of homes priced under $500,000. Whether it’s millennials trying to buy their first-ever homes or starter home owners moving up to more expansive properties, there are a lot of buyers in the market and not enough homes for sale in this price range.
Of course, competition among buyers is great news for today’s sellers. In April, metro homes listed for under $500,000:
- Sold for 100 percent of their list price.
- Sold in a median of 24 days on the market.
These are both incredible metrics, as they give a clear indication of just how competitive the market is getting. Desirable homes are often selling for more than their list price, as buyers enter bidding wars and drive the price up. And that happens fast — often in just the first few days after the home is listed.
*Based on information from the REGIONAL MULTIPLE LISTING SERVICE OF MINNESOTA, INC. for the 13-County Twin Cities metro area for April 2018.
Pro #3: Summer buyers have a sense of urgency
It’s not just this year’s competitive marketplace that makes summer a good time to sell. Typically, selling during these months is smart, because summer buyers are eager to move into their new digs quickly.
This is especially true for buyers with school-aged children, who may hope to take advantage of the slower summer months — and to get into their preferred school district before classes start again in the fall.
Pro #4: You get to avoid a winter move
While you may mutter under your breath about the humidity as you lug a couch down your steps and into the moving van, we can promise you that a July or August move is preferable to moving in the dead of a Minnesota winter.
The cold! The slush and ice! The money wasted as you “heat the whole neighborhood” with every opening and closing of your front door. Yes, winter moves tend to be better for those who really have to get out of their home, not for sellers who get to choose their ideal selling timeline.
The cons of selling your house this summer
Con #1: Longer days make for more showings
As a homeowner, you may love that the sun doesn’t go down until later during the summer. As a home seller, you may realize that this can be an invitation for later-in-the-day home showings — which means that you may have to stay out of your home even after your work day wraps up.
Of course, it’s your house and you make the rules. You can always say no to buyers who are hoping to swing by later in the evening, but as your REALTOR® will likely remind you, it’s also important to be accomodating so more buyers can tour your home.
Con #2: High buyer competition means more looky loos and bad fits
Because of our market’s low inventory, some buyer agents may encourage their clients to attend showings for homes that don’t meet all their criteria. As we said before, a higher number of showings can help you to sell your house faster and for more money. But it can also increase the odds that your house is being shown to buyers who may be unlikely to purchase it.
To minimize showings that don’t lead to any buyer activity, hire a Realtor who is dedicated to holding open houses during the first week or weeks after you list. By timing your listing date right, you can ensure the looky-loos come in all at once — and that you don’t turn away any serious buyers because you’re burnt out on go-nowhere showings.
READ: Learn how to plan a picture-perfect open house
Con #3: You may have to pay more to get your house in tip-top shape
Summer buyers want to pull up to a house that oozes curb appeal, and preparing your home’s exterior before listing can take a little bit more time and money this time of year.
Consider:
- Hiring a landscaper who can help your lawn and shrubs look their best.
- Power-washing your house’s siding.
- Adding new, modern house numbers to the front of your home.
- Painting the front door a bright color, so it stands out from other houses on the block.
READ: More summer staging tips
Ready to earn top dollar for your home?
If you’re ready to dive into the market as a seller, you couldn’t pick a better time to do so. To hire a Realtor who specializes in home sales in your neighborhood, contact Edina Realty’s customer care team
For more seller tips, follow #SellerInsights on Facebook, Twitter, YouTube and Instagram.
