Colorado’s real estate market is experiencing a boom, with home and condo sales averaging a premium of 3.7% over listing price in 2022, according to the Colorado Association of Realtors. This makes the perfect time for sellers to put their houses on the market and potentially make a fortune.
However, just because the market is favorable doesn’t mean selling your home will be a breeze. It takes accurate information, a well-executed plan, and adherence to the established process to close a sale. This guide is here to walk you through the eight essential steps of selling a house in Colorado. From setting the right price to closing the deal, we’ll ensure you have all the knowledge you need to sell your home quickly and for the best price.
Fundamental Steps in Selling a Home in Colorado
- Hire a reliable Colorado realtor.
Selling a property in Colorado is a complex and high-stakes process that requires time and expertise. Engaging the services of a top-rated Colorado realtor is an excellent way to increase the chances of success and minimize stress. A seasoned realtor can provide knowledge of the local market, connect with the right buyers, and guide the process from listing to closing.
- Identify the optimal time to sell your house.
Timing is vital when selling a house, and understanding the market’s rhythm is essential. In northern markets, home buying slows down during winter due to harsh weather. To sell fast, list your property in April or June, as data shows homes listed during these months sell in just 16 days, compared to the state average of 24 days. Keep an eye on market trends and time your sale accordingly for the best chances of a quick, successful sale.
- Determine the basics of pricing your house.
Determining the right asking price for your property is essential to selling it successfully. A Comprehensive Market Analysis (CMA) based on data from similar homes in the area is a more accurate way to set the price than relying on emotions. It’s crucial to set the right price from the start, as the longer a house stays on the market, the less likely it is to sell.
- Plan ahead to market and showcase your house.
It’s vital to make it presentable to potential buyers to sell your home successfully. Declutter, clean, and freshen up the space. Consider updates to the furniture, finishes, and color scheme if necessary. Hire a professional photographer to take high-quality images of your home for the listing and create a compelling listing description highlighting your property’s standout features.
- Consider bids and negotiating proposals.
Once you’ve received an offer on your home, it’s time to review the terms and consider your options. In Colorado, offers are typically made in writing and have an acceptance period of 1-3 days. You can decide to accept, decline, or counter the offer. If you choose to accept, you will have 2-3 days to submit the required paperwork and start the loan application process, which typically takes 2-5 days. Working closely with your real estate agent and attorney during this process is essential to ensure a smooth transaction.
- Conduct home inspections and appraisals.
Get your home inspected and appraised before closing the sale. This will ensure that the buyer’s home loans in Colorado won’t be rejected if the home’s appraisal results are lower than the selling price. A qualified expert will conduct the house appraisal, which lenders use to determine the security of a loan. A lender will be more likely to approve a loan if the appraisal value is equal to or higher than the selling price.
- Complete necessary documents and Colorado disclosures.
Remember that failure to disclose certain information can result in penalties. Colorado has specific mandatory disclosures, including details on the property’s source of drinkable water, gas, and oil activity. Consult with a real estate agent or attorney to ensure all required documentation is completed before signing any agreements.
- Finalize the sale.
The final step in the home selling process is completing the closing process. After reaching an agreement through offers, counteroffers, inspections, appraisals, and negotiations, both parties will meet at the lender’s office or a title company in Colorado. A final walkthrough of the property will be conducted to confirm it’s in the same condition as during the appraisal. The buyer will pay with a cashier’s check, and the seller will give the keys. Both parties will sign the necessary paperwork, and the attorney or title company will file it with the local government.
If you’re planning to put your Colorado home on the market soon, it’s essential to start preparing now. This includes finding a reputable real estate agent, seeking expert guidance, and creating a strategy. It’s crucial to thoroughly understand the process of selling a property in Colorado to ensure a successful sale. The earlier you start, the better position you’ll be in to close a deal.