Luxury homes are just as much a statement as they are houses. They’re a reflection of their owners’ lifestyle and level of comfort.
The uniqueness of a luxury home makes selling it a challenge and leaves room for many questions. If you’re considering a sale, You may be asked the same set of questions you yourself asked from your time as a home buyer. Read below for additional insight.
How much is my home worth?
As mentioned earlier, the main selling point for luxury homes is that they have no duplicates. Each one reflects a lifestyle, an intersection of particular tastes. How do you put a figure on that?
The best agents use these variables as a baseline for pricing a luxury home:
- lot size
- the home’s condition
- local and national trends
To narrow the price down further, an agent may look for a similar property elsewhere, analyze its price and comps, then make adjustments based on your home’s market and the kind of buyer that may take an interest.
In the end, the final price will have to satisfy the expectations of an already limited buyer pool. Practical observations have to win out over sentiment or the owner’s own perception of home value.
How do I reach the right buyers?
Privacy is a strong currency in the luxury segment. Undisclosed proceedings are run-of-the-mill and luxury homes often change hands outside of the usual channels. If you hire the luxury real estate agent with the right connections and skills, you reach the right buyers and get to a successful sale much faster.
In a market as exacting as luxury real estate, your agent must have:
- detailed knowledge of your neighborhood;
- high awareness of active buyers in the segment and area;
- a wide reach (including other clients, other agents, firms and brokerages, and social media); and
- a commitment to always working with your best interests in mind.
These aspects influence how effectively they can market your property to the right people. Check if their network includes the kind of people your home may appeal to and ask for references from past clients if possible.
What needs to happen before listing?
Luxury homebuyers don’t have too many qualms about price. But they need to be ensured that the home they’re buying perfectly suits them in many ways. As a seller, you meet this expectation with a professional and high-quality presentation of your home.
Staging your luxury home is highly preferred because you’re attempting to convey a lifestyle. According to NAR’s 2019 home staging survey, more than 80% of buyers found it easier to picture themselves living in a home that had been staged. The top three rooms with the greatest impact on opinion were the living room, master bedroom, and kitchen.
At the very least, your real estate agent will offer staging tips for sellers and recommend the services of a luxury home staging professional and a real estate photographer. A professional stager will declutter and arrange your home to appeal to buyers, while a professional photographer will showcase it in its best light.
During this stage, consider having a home inspection done to confirm that your residence has no structural issues. Like with other properties, the fewer issues that materialize during the buyer’s own inspection, the more inclined they will be to view your home as their future space.
How long will it take to sell?
Generally speaking, your luxury home may take longer to sell than a typical residential home. The list month or season, the limited number of qualified buyers, and buyer expectations are only some of the variables that influence how fast you arrive toward negotiations with a buyer.
Depending on the market and coincidence, the wait may be from several weeks to as long as two years. Spring is still the most ideal time and winter the worst.
For the first half of 2020, the L.A. Times reported an interesting activity uptick in the luxury home market—partly corroborated by the Institute for Luxury Home Marketing’s April 2020 days-on-market data (relevant figures below):
|Market||Days on Market (DOM)|
|L.A. Beach Cities||13|
|L.A. The Valley||28|
It’s difficult to predict if the uptick will continue into the future. However, the questions above remain constant for luxury home sellers.
So, if you’re asking yourself now, “How do I sell my house fast in Los Angeles?”, call us today at 310.963.9680 or send a message here. The Sasha Rahban Team will guide you through the stages of selling your luxury home, from the best price to set to when you should list for great results.