Four tips to selling your home in today's market

Photo: Francesca Tosolini/Unsplash

NAPSI -- The real estate market is cooling down: Home inventory rose 9.6% between May and June. Interest rates are up. Thirty-year mortgage rates rose to 6.29% a week ago to their highest level since October 2008. And, inflation is still a problem for much of the country.

"The housing market in Illinois is showing signs of a return to normal conditions," Daniel McMillen, Head of the UIC Stuart Handler Department of Real Estate (SHDRE) said in a housing price forecast for the state to Illinois Realtors. "Prices have declined since their peak in June, sales are declining, and foreclosures are increasing. Our prediction is that house prices will continue to decline modestly over the next few months, while the number of sales will show its usual late-year slowdown."

Consequently, potential buyers are delaying their searches and home sellers are facing some daunting challenges.

But the good news is that these challenges are not insurmountable. Amanda Zachman, founder and executive director of MV Realty in Delray Beach, Florida, offers four guidelines to help you sell your home quickly—in any market.

1. Don’t overprice your home. Many homeowners hope to capture the attention of a single buyer willing to pay an inflated listing price but they end up scaring away potential buyers. And if you do attract a buyer at the inflated price, you’ll limit your negotiating power because the buyer has no competition. A better strategy is to list your home at a price equal to or slightly below market value; homeowners who do so often start a bidding war.

The lesson: "You will likely end up with a higher sales price if you begin with a lower list price," says Zachman.

According to Redfin, last month just 37.3% of homes in Illinois sold below asking price.

2. Find a good agent. Yes, you can sell your home without an agent. But should you? The answer is a decisive “no.”

Homeowners offer 6% less than the asking price of an FSBO because they believe they are entitled to a built-in discount since no agent is involved. A seasoned, licensed agent has comprehensive knowledge of the local market and will make the selling process as lucrative, painless and surprise-free as possible.

During a recent sale, for example, Zachman noticed a charge of $6,000 from a title insurance company on the closing statement. She realized that since the sellers had purchased the home less than three years ago, they could use their last policy. Her catch eventually saved the sellers $2,000.

"It’s unlikely that an inexperienced agent would have noticed this," she remarks. To assess the experience of potential agents, Zachman recommends careful research: "Do they know your area? Have they sold other homes in your area? What customer ratings have they earned? These seem like obvious questions, but they’re easy to forget when you’re eager to start the listing process."

3. Take your time. Speaking of eagerness, don’t rush to put your home on the market if it’s not ready. "Don’t list a messy or cluttered house," Zachman cautions. "You want to make sure that it’s orderly, show-ready and professionally photographed. Cellphone photos just won’t cut it."

She adds that the listing should contain all relevant information and that homeowners are prepared to respond to an offer. According to Zachman, "the most important timeframe for a listing is the first 14 days. You need to put your best foot forward so that the listing doesn’t get stale.”

4. Prepare for short-term inconveniences. Bad news for those who hate vacuuming: Your home should stay clean throughout the listing process.

“If you’re pricing your home appropriately, you can expect many showings and some will be at the spur of the moment,” Zachman points out. “But the right price leads to a fast sale, so you won’t be inconvenienced for long. Any effort you put toward mopping floors, washing windows and making beds will be well worth it.

"There are still ample opportunities for both buyers and sellers in this market," Zachman concludes. "If you follow these guidelines, you can successfully navigate through all kinds of market cycles. So, list at a reasonable price, work with an agent experienced in your market, remember that preparation is key, and expect a few inconveniences that shouldn’t last too long. Good luck!”

Don’t list a messy or cluttered house.

~ Amanda Zachman
MV Realty

You have a new business idea, here is how to finance your dream job

Photo:NAPSI

Aaron Mulherin, owner of AM Glass, goes over company financial details with his SCORE mentor John Brockhardt. There are many options for financing a new or existing business, and a mentor can help guide you.

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NAPSI -- If you’re wondering how to finance your startup, you’re not alone. Depending on your business, financing it can either be relatively simple, such as drawing on your personal savings, or more complex, perhaps requiring you to seek loans or investors.

Here are some common ways to finance a business, along with pros and cons to keep in mind:

Personally Finance Your Startup

In the digital age, many small businesses can be up and running with little to almost no capital, which can make financing your business with your own money more realistic.

Personally financing your business has some distinct advantages—you retain full control over your company, take on zero debt and have no loan payments to worry about.

On the flip side, you could lose money if the business doesn’t work out.

The bottom line is that if you’re willing to take on personal financial risk, using your own money is one of the most straightforward methods of funding your startup, while maintaining full control.

Ask Friends and Family For Financial Support

Help from friends and family is another common method for financing a business. This could look similar to personal financing or a private loan.

The advantages depend on the terms of the contributions. You might retain full control over your company and not have to take on debt or you may have to relinquish some control and agree to repay what you’ve received plus interest.

Take Out a Bank Loan

Banks and credit unions are another financing option. However, you’re taking on debt and will need to make regular payments on the loan, which can cut into cash flow. On the plus side, financing your business with a loan means that you retain full control of your company.

Be prepared to show a bank a business plan, expense sheets and financial projections, often for the first five years.

Securing a bank loan is a challenging process. A mentor can help you prepare a loan application, so you have the best chance of securing the loan you need.

Bring in an Outside Investor

Bringing in an outside investor is typically not a realistic option for most businesses. The experts at SCORE found that only about 2% of businesses have a business model that would interest investors.

Most often, equity investors require not only a percentage of ownership in the company but an “exit plan”—otherwise known as your plan for how they’ll recoup their investment and see a healthy return.

With an investor, though, you get relatively quick access to capital without periodic loan payments, potential access to business expertise, and connections you might lack.

If your startup requires a significant capital investment, bringing in an outside investor may be a smart option.

Rally Support Through Crowdfunding

Once considered an unconventional way to finance your business, crowdfunding is now a common method for raising startup funds.

The structure of a crowdfunding campaign depends on your platform host. The idea is to encourage small contributions from a large pool of people. Funders receive gifts for their support which usually includes the product or service you sell.

The downside to crowdfunding: it takes a lot of effort and money and failure is very public, unlike with private ventures.

Choosing the Right Financing Option is Key

As you develop your startup, connect with a SCORE mentor. They can guide you toward the right financing options for your needs and lead you on the pathway to success.

Learn more about traditional and creative ways to help your business by visitig www.score.org.

C-U Pride Fest Parade Saturday

URBANA -- The annual Champaign-Urbana Pride Fest Parade will be held this Saturday, October 1, starting at 11am in Urbana. The route will start on the corner of Busey and Green Street and head east on Green to downtown Urbana.

Judges for this year's parade are Xander Hazel, Executive Director of the Champaign Center Partnership, long-time local radio personality Diane Ducey, and Berry Stevenson, the Executive Director of the Greater Community AIDS Project. Judges will review entries as they pass from under a tent on the corner of Race and Elm.

This year's awards include the Best Float/Vehicle, Best Marching Group, and an Overall Best of Show. Winners will be announced at the Fair Stage in downtown Urbana at 12:30pm.

Parade route

The parade route will terminate near downtown Urbana at the Pride Fest Fair, which starts at noon until 4pm. In addition to live entertainment, dozens of local artists displaying their work will be onhand, informational booths for community groups about the activities or services, pop-up vendors, and food from the downtown restaurants.

For more information on Saturday's parade and Pride Week activities contact Uniting Pride of Champaign County at info@unitingpride.org.