It’s not the easiest time to sell a house in Palm Springs. The amount of houses on the market is increasing a lot lately. It’s a trend that can be partly contributed to Canadian home owners cashing in on their foreign investment. They’ve seen their houses go up in value and the rising dollar rate gives them an extra bonus to sell right now. However, it’s still possible to turn the situation in your favor if you put in some extra effort and play your cards right.
It can take quite long to sell a house in today’s real estate market, which gives home buyers a strong position. On average, a house with a value of up to $400,000 takes about 6 months to be sold. For a house in the $1,000,000 price range it already takes an average of more than 2 years to find a buyer.
Being in a buyer’s market means that you’ll have to work a little harder as a seller, or settle for a loss. You might have to go the extra mile to make your house stand out from the rest by having it in perfect condition. If you have a lot of redundant possessions clogging up the space in your house, organize a garage sale to get rid of it all.
In a situation where the demand is stronger than the supply, you could think about selling your house without a real estate agent. However, in the current situation you can really benefit from the expertise of an agent who knows exactly how to advertise your house. Having it listed on the MLS where it will reach a ton of interested people, is a necessity in times like these.
It’s recommendable to have a humble approach when you have a house for sale in a buyer’s market. You should put a price that’s realistic in today’s situation instead of focusing entirely on the value of the house. Take a close look what similar houses are being sold for and ask a little less. Selling it within a short time frame avoids extra costs that can go with holding the house.
Renting out your house can be a great solution if you can’t find a buyer but you do want to move on. In this case you’ll get to benefit from the popularity that the Palm Springs area has gained with tourists staying short term. Airbnb is one of the best platforms to rent your house out short term as they already have over a million listings in a total of 190 countries. Be careful though not to jump in too quickly because there are some rules involved.
Renting out your house for less than 15 days in a year is tax exempt. You’ll have to pay some taxes beyond that but you can deduct some of the costs that are necessary for your rental activities. For this to apply you’ll need to live in the house for less than 10% of the total days it’s rented out or less than 2 weeks in a year.
If you’d like to go this route, don’t hesitate to talk to a lawyer beforehand to check if you’re doing everything according to the rules. For example, some apartments have a HOA that doesn’t allow short term rentals and some areas might have restrictions too.
The beautiful weather here in Palm Springs can work to your advantage. Because there’s such a small chance of rain in the summers, you can move some of your furniture to the garden to make a comfortable outdoor area. It frees up space in the house and you give potential buyers the opportunity to picture themselves relaxing outside with a cocktail in their hands.
A great time to plan house viewings is in the evening hours, after dinnertime. Because the temperature is a bit more comfortable it might put home watchers in a slightly better mood.
Don’t miss the opportunity to offer refreshing juices or some potato salad so they will spend more time in your house. They will be even more inclined to stay in the house if the air-conditioning is keeping it nice and cool.