Selling your home is a waiting game. Unfortunately, this game is expensive to play, stressful, and plagued by uncertainty. The real estate market in Canada is slowing – according to the Canadian Real Estate Association, “transactions declined in more than half of local markets” in 2018.
In Calgary, there has been a significant decline in sales in the past year, mostly due to the uncertainty of the job market and the state of the oil and gas sector.
The regulatory mortgage stress-test requirement has also made it harder for potential buyers to access funds to buy their desired homes. This has reduced the number of potential buyers and increased the supply of homes for sale.
PwC confirms that the real estate market in Calgary is especially oversupplied. 50% of homes listed in Calgary don’t sell, and homes can be expected to languish for months without prospective buyers.
As property prices in Calgary continue to decline, the pressure is mounting on home sellers faced with an already difficult sales process. Fortunately, Properly can save you this stress and buy your home directly.
The Traditional Home Selling Process
The traditional process is long, complicated, and uncertain. You must negotiate a contract with a potential buyer and comply with all municipal and national real estate regulations. It takes a lot of time and is quite stressful!
Here’s an overview of the five stages of selling your home the traditional way:
1. Finding a real estate agent
Most people hire a Realtor to mitigate the risk and ambiguity of the home sales process. Hiring a Realtor can save you some headaches, but it carries a commission fee of about 4-5%. For example, a $500,000 home will incur a real estate commission of around $20,000 – $25,000 to be taken off the final selling price.
You’ll want to interview a handful of Realtors to find the most experienced one. This person needs to be able to market your home and navigate the complicated legal paperwork, so avoid cut-rate Realtors.
Once you’ve chosen your Realtor, they will price your home for the current market. You’ll want to conduct your own research to ensure your pricing aligns with the Realtors’ assessment. If the pricing is set too high, the home will fail to attract buyers.
2. Preparing the home for sale
Once you’ve found a Realtor, the next couple weeks will be spent getting the property “
According to the Village Guru, preparing a home for sale requires enormous expenses. Home sellers can expect to pay an average of $50 per hour for a handyman, up to $7,000 for painting, around $1,000 for lighting, and up to $2,000 for staging.
There are many hidden costs of selling, so anticipate this and more when approaching the sales process. After you’ve made all the necessary renovations, your home will be listed on the market.
3. Showing the house
In Calgary, the average home showing period is 60-90 days. It bears repeating that over 50% of the homes listed in Calgary don’t sell. Oftentimes, you and your Realtor will need to tweak the language used to market your home or even adjust the asking price to incentivize buyers.
During this month (or months), your home will need to be kept spotlessly clean in order to be shown to potential buyers around the clock. You’ll also be required to vacate the home before every showing. This is a hassle, but it cannot be avoided.
4. Negotiating the sale
Once you’ve found a buyer, you’ll negotiate the terms of sale. Working out the details of a sales contract can be costly and time-intensive. From our experience, it takes 60 to 90 days to close on the sale on a house, on average. This stage involves many steps, including:
- Scheduling a home appraisal: This typically costs $250-500. If the appraisal you receive is lower than expected, it can influence the buyer’s decision.
- Preparing for the home inspector: You’ll need to complete the inspection checklist given to you by the Realtor and get ready for the buyer’s final walk-through.
- Obtaining any seller-required inspections: For example, If your roof needs to be repaired before the sale, you’ll need to hire someone to conduct the inspection before the contract can be signed.
- Negotiating the buyer’s request for repairs: You don’t have to accept the buyers’ request for repairs, but it can influence the decision to fulfil the contract. Considering that the average cost of replacing a roof is $7,500, or $5,000 to replace scratched floors.
5. Closing the sale
After the buyer confirms that everything is in order, the buyer’s agent drafts The Agreement of Purchase and Sale to prepare for the transfer of property from you to the new owner. The real estate agent deducts their
Selling an average house in Calgary can cost home sellers up to $50,000 in unforeseen expenses, according to Sun Life Financial. This includes property tax, commissions, staging, and insurance. This is an enormous sum, especially considering all the work required from you as the seller.
By comparison, Properly offers a simple, fast and convenient approach to selling your home that puts money in your pocket whenever you are ready.
How Is Selling a Home with Properly Different?
Properly is designed to make selling your home effortless. Our innovative and data-driven platform enables you to streamline the sale of your home. We save you the stress of listing, showings, cleaning and repairs, and you can close in less than seven days.
How does Properly work?
Properly removes all the waiting and guesswork. Our proprietary technology aggregates hundreds of data points and uses algorithms to determine the market value of your home, and the ideal price for the market.
Simply request an offer from our website to receive an assessment of the fair market value of your home in less than three days. An objective third party then validates the appraisal price – for free – to ensure you’re getting the full value for your home. Properly then purchases your home with our own capital. This takes just a few days.
So when you’d still be interviewing Realtors, with Properly, you would have sold your house, gotten paid and moved on to enjoy your next home.
Simply choose the closing date that fits your schedule – between five and 45 days – and get paid. Properly makes it possible to sell your home in seven days or less without the headaches of a traditional home sale.
Who does Properly help?
Properly offers speed, certainty, and convenience to anyone faced with the stressful ordeal of selling their home. Properly benefits a wide range of sellers and can help you if:
- You’ve purchased your next home but your current home has yet to sell. With Properly, you can dissolve the stress of holding two mortgages.
- You’ve found your dream home but don’t want to risk losing it by waiting on a contingent offer for your current home.
- You’re moving to a new city and need to sell before you can leave.
- You’re busy with family and work and want to avoid the hassle of coordinating repairs, cleanings, and showings.
- You’re in a financial pinch and want to sell your home instantly for liquidity.
Properly buys single-family homes (not condos) valued between $250,000 – $600,000, less a service fee.