The pandemic has changed the world in so many ways. It affects the things we do, the way we interact with each other, and even the home buying decisions we make.

If you want to help your home sell quickly, make sure you’re paying attention to the things that are important to buyers these days.

When it comes to home buying, people are looking for properties with home offices, they are looking for areas where socialization can be done safely, and they are looking for access to outdoor locations.

During these unusual times, buyers are seeking homes that are COVID friendly while agents are emphasizing the characteristics to make them more desirable.

This article will help make your home more attractive to buyers with the new COVID-19 landscape.

Home Offices

There is no doubt that the work from home trend is taking over. Many employees and employers prefer it because it saves time and money on commuting, increases employee satisfaction and allows for a more flexible schedule.

In February, statistics showed that 3.4% of the American population (about 4.7 million workers) worked from home.

Once the pandemic hit, that number increased by leaps and bounds.

Employers did what they could to keep their businesses afloat and their workers employed while reducing the risk of illness by relying on telecommunication. In June of 2020, 40% of workers were reported as working from home due to the pandemic.

Because so many people are working at home, the value of having a dedicated office space has skyrocketed. In fact, home offices are said to be the hottest housing feature among home buyers with 60% saying working from home is influencing the kind of house they want.

In order to make sure your house is appealing to the greatest number of buyers, the spaces should be optimized to provide the right professional settings. They should be equipped to accommodate high speed internet. They should have outlets for lighting and office equipment. A home office that appeals to buyers should also have plenty of natural light to maintain a cheery atmosphere within the room.

The location of the office space within the house is also important. It’s important to note, buyers prefer home offices in quiet, separated parts of the home. Professional real estate agents from the National Association of Realtors, Inman, and Agent Advice agree that your home will attract more buyers if it’s not too close to other rooms like the kitchen or the children’s bedrooms as the proximity can cause distractions that limit productivity.

Outdoor Spaces

Paying attention to the landscape and outdoor spaces will also help you sell your home faster.  While outdoor spaces have always been attractive to buyers, they have become more of a necessity during the pandemic.

Research shows that a spread of the virus is much less likely to happen outside. The air works to dilute the virus, so the chances of transmission are greatly reduced.

Because the spread of the virus is not as likely to occur outdoors, outdoor events are one of the only ways to socialize.

Therefore, if you want to see friends and relatives, an outdoor space will be the best way to do it. This could make all the difference to those of you missing your loved ones. It also makes for a great way for your children to finally see their friends.

Homebuyers will be more interested in homes  with outdoor spaces that are large enough to accommodate a table and chairs for sitting as well as some play space for the kids. If you have the time, adding an attractive garden will also add to the aesthetic to make your home even more desirable.  

Note, while researchers have said that outdoor spaces greatly reduce transmission of the virus, they still advise everyone to still wear a mask and stay six feet apart.

Access to Outdoor Areas

There is no doubt that since the pandemic started, outdoors is the way to go. Not only are more people gathering outdoors, they are also looking to the outdoors as the main place to go for recreational activities. Today, a day out is much more likely to consist of a hike in a nearby park than shopping at the mall.

Because outdoor activities are becoming more popular, home buyers will look for a home that’s close to a park or hiking trail. The closer they can get, the better. 

Also, it is more important than ever for homes to be located in a safe neighborhood. That way people can enjoy outdoor activities any time of day without having to worry about possible attacks or spreading.

Easy to Clean/ Antimicrobial Countertops

Once home buyers looked at kitchen countertops wondering which ones were the most trendy and attractive. Today however, it’s about which countertops are easy to clean.

If you are looking to upgrade your home to get a higher listing price, you might want to replace your countertops with styles that don’t have seams between tiles where dirt and germs can get in. Buyers are also looking for materials like quartz that are stain and scratch resistant and antimicrobial. Quartz’s nonporous structure makes it impossible for germs to get in. That alone would be a big plus in a buyer’s mind. 

Copper is another antimicrobial surface that ages beautifully.

Other anti-bacterial, though slightly more expensive options include semiprecious stones like agate, tigareye, and petrified wood. Many manufacturers also make laminate countertops that offer protection from microbes.

Antimicrobial wall paint is another trend you may want to be looking out for.

Certain markets have their own trends based on the community’s culture. Make sure your agent is up to date on your neighborhood’s overall architecture and desired aesthetic. Upgrading your countertop to a style that is popular in your area will help make sure you get a higher listing.

Updated HVAC Systems

COVID spreads through airborne transmission and is most likely to be contagious in indoor spaces. Optimal ventilation may limit the spread.

Some steps technicians can take to improve ventilation include configuring ducted HVAC systems to increase the rate of exchange of indoor air with fresh air from the outside.

If there is an older HVAC system in the home, the following upgrades can be made:

• Replace fixed speed fan motors with variable speed ones to better control airflow

• Introduce a sophisticated airflow control system that is sensitive to pressure to allow for smoother adjustment of airflow

• Install high performance air purification systems

Home buyers will be looking for homes with updated HVAC systems that increase filtration and air flow control to reduce the spread of germs.

COVID has changed the face of homebuying. Today’s buyers are looking for homes that provide germ free spaces, access to outdoor areas and reduce transmission of the virus. This will dictate the current home buying trends as well the face of real estate for the future.

Selling a home is no different from buying your first. It can be complicated, time-consuming, and emotionally challenging. There’s no way you can just let go of your precious abode and easily trade your house keys for a sweet pile of money. 

This is why it’s easier enough to make lots of mistakes throughout this journey. Here are some of the most common home-selling mistakes, and some of the best practices you can take to avoid jumping into these pitfalls and lose your mind during the whole process.

1. Underestimating the costs of selling a home

Hate to break it to you, but it isn’t just potential buyers who need to cough up money for additional expenses related to a home purchase. You also need to get ready for things such as closing costs, agent commissions, staging costs, home inspection repairs, seller concessions, and even moving expenses for your next home. These costs could simply add up and overwhelm you if you don’t prepare for it.

2. Deciding to FSBO

Not hiring a real estate agent or choosing to For Sale by Owner (FSBO) to avoid paying commission is a huge home-selling mistake. According to the National Association of Realtors’ 2019 Profile of Home Buyers and Sellers, only eight percent of recent home sales were FSBO, which remains at an all-time low. FSBO homes sold at a median of $200,000, compared to the median of agent-assisted homes which is at $280,000. That’s a whopping $80,000 difference! 

A good agent will help you set a fair and competitive price for your property, accompany you through the home inspection, guide prospective buyers during showings (especially during this pandemic where restrictions and protocols are in place), negotiate on your behalf, handle all the necessary paperwork, and more. Further, any problems that may arise during the real estate transaction will be handled professionally. Your agent’s knowledge and marketing expertise is also a key to a successful and less stressful home sale.

3. Pricing incorrectly

Incorrectly pricing a home might be one of the trickiest parts of a real estate transaction. Yes, every seller wants to get the most out of their biggest investment. However, if you price your home too high, you could turn away serious buyers and risk wasting precious time as your overpriced home sits longer on the market. 

The best way to set the right price for your property is not through any home valuation tools on the internet, but by hiring a real estate agent. The agent will do a comparable market analysis that will show how much homes like yours are selling for in your neighborhood. An overpriced home can be a huge turn-off to buyers, and eventually, it may result in low-ball offers. But a home that was priced just right from the beginning will attract savvy buyers and multiple offers that could drive up the home’s true market value. 

4. Forgetting to declutter

It’ll be hard to show off the beauty of your home if it’s full of clutter. Potential buyers will have trouble visualizing their stuff if they are welcomed by misplaced toys, stains in the kitchen countertops, funky odors, and other things that will make them think twice about checking the home further. 

As soon as you’ve decided to list your home for sale, start sorting out your things and get rid of the stuff you don’t need. Clear out your closets and drawers to help buyers appreciate your precious storage space. Get everyone in the family involved by thinking of it as a headstart for the packing you’ll eventually have to do when you move. 

5. Neglecting necessary repairs

While it can be costly to tackle minor repairs when you list your home, it will increase your chances of a quick sale. Unless you’re planning to sell your house “as-is” to investors or you’re listing it as a fixer-upper, many home buyers would be keen to see a home that is being taken care of. You can do minor cosmetic upgrades such as painting the walls and front door, replacing light bulbs, fixing damaged windows, loose locks and door handles, and other issues that need your attention. Remember that many of these simple repairs can go a long way when you put your house on the market so you’re better off fixing them early on.

Likewise, you can start looking into your options when you’ve discovered major issues, such as cracks in the foundation, electrical wiring problems, plumbing issues, mold growth, and roof problems in your home. Whether you will pay for professionals to fix any of these major issues or you will give discounts to the buyer is up to you and your realtor.

6. Letting your emotions get the best of you.

You’ve spent valuable years living in it; you’ve celebrated countless milestones, accomplishments, and celebrations with your family and loved ones. So it’s only natural to have a deep emotional attachment to your house. But when you start selling it, you need to have an open mind and approach the whole process as a business deal. You also need to remember that each home sale is unique because of many factors, so don’t get frustrated and work closely with your realtor for the best way to handle and evaluate purchase offers.

Bottom Line

There are going to be challenges and obstacles along the way as you list your home for sale. But the key to moving forward is to be prepared emotionally and practice your willingness to set realistic expectations about anything that might happen in the transaction.

Whether you just got your house keys last week or you’ve lived in your home for almost 20 years, you could always sell your home whenever you want. However, experts strongly advise homeowners to follow the “five-year rule” — stay in the same home for at least five years before selling. 

According to the 2019 Zillow Group Consumer Housing Trends Report, at least 62% of homeowners stay for more than 10 years, while the median number of years a seller stays in a home is 14. These figures may seem like such a long time, especially if you’re itching to sell ASAP or you think you’re more than ready to sell anytime soon. Here we’ll discuss some of the most important factors you should be aware of before making any rash decisions and putting up a “For Sale” sign.

Who doesn’t want to make money on the sale of their home? But if you want to maximize your profit, then your sale price must be greater than what’s left of your mortgage. During the first few years of your mortgage, a huge part of your payment goes towards interest rather than the principal. This makes it more difficult to make money off your sale if you’ve lived in the home for less than five years. The only exception would be if you purchased your home with a larger down payment, then your interest rate and mortgage amount will probably be smaller so it’s possible to make money in a shorter amount of time.

Your home equity is also an important factor to consider before deciding to sell. Equity, as defined by The Balance, is the portion of your property that you truly “own” and is a homeowner’s most valuable asset. Simply put, your equity is the difference between the home’s market value and what you owe in your mortgage. 

You build home equity through paying off more of the principal on your loan. If you sell too soon, you won’t have enough accrued equity and you’ll be paying more to the lender than what you’ll earn on the home’s sale.

Your equity also grows when your home appreciates in value due to a strong local real estate market and improvement projects you make, such as remodelling the kitchen or bathroom, redoing the flooring, and other renovations that have higher return on investment. It’s best to take on these projects slowly as you live in the home so you can maximize your profit when it’s time to sell.

How long should you live in your home before you sell? It may be best to stay put for at least a couple of years if you want to avoid paying hefty taxes. The home must be your primary residence for a minimum of two of the five years prior to the sale to be exempt from paying capital gains taxes on the profits of your sale — which could cost up to $250,000 for an individual or $500,000 for married couples.

Another thing to look out for is the condition of your local market, which can also make a huge difference especially if you’re eager to make more profit. If you want to sell now and your market currently favors buyers, you may not get a higher sales price than you intended. Waiting for a stronger seller’s market would be wiser, where there’s a higher demand among buyers thus an increase in home prices, but it may take a long time to wait for such. Don’t forget that you will also need to purchase a different home once you list your house for sale. 

Aside from the costs associated with selling your home, you also need to consider your home buying and anticipated moving costs. Seller closing costs often include taxes, prepayments, lender costs, and title and settlement company fees which can vary by location. 

These costs can eat a lot of your target profit, especially when you’re selling and buying in a short period of time. Also, it’s going to take some time for your property’s value to increase to cover these transaction costs. Keeping these expenses in mind before you sell is crucial because it will allow you to assess your financial situation and how you can make more money from your biggest investment—your beloved home.

In today’s real estate market, there’s nothing more important than appealing to buyers online by showcasing your home in its best light. And thanks to technology, there’s now another great way to prepare your property for sale without the heavy lifting—virtual staging.

So what is it and how does it work? Read on to find out and see if it’s a viable alternative for you.

In a traditional home staging, professionals add and arrange furniture, artwork, and other decor pieces in rooms to make them look their best—an effort to entice buyers to make an offer. It’s like dressing up the home to make it look stunning for listing photos and house tours. 

Virtual staging, on the other hand, is a process where stagers or designers take digital photos of the rooms, then use photo-editing softwares and tech platforms to digitally add gorgeous furnishings and accessories. The method can make an empty (or a bady furnished) room look like it has been artfully staged. Some platforms can even do virtual renovations, like revamping a room with a new wall color or digitally erasing a peeling wallpaper, to enhance the home’s overall appeal. 

It helps potential buyers visualize what could be in the room. Especially for vacant homes or empty properties (more on this later), virtual staging helps potential owners visualize themselves living in it. It helps them imagine what each room could be like or look like once they move in.

Virtual stagers can decorate your home in any style you like. Unlike in traditional home staging where there’s usually a limit to the variety of interior furnishings and decor that can be used to spruce up your home, a virtual staging service can provide a vast portfolio of furnishing options so your home can be styled in any way you like. Designers of this trend usually have no limits and are constantly updated with the newest interior design trends.

Virtual staging is also a good idea if you know the personal preferences of your prospective buyers and want to create a customized look for them.

It’s more cost-effective than traditional home staging. Virtual staging is usually much cheaper than traditional staging, and it’s also a flat fee. According to Redfin, it costs somewhere between $39 and $199 per room, depending on the location and the amount of space you need staged. Traditional staging can cost several hundred dollars per month, depending on many factors. Just remember that each method has its pros and cons, and there are many things you need to consider aside from the price, depending on the property that needs to be staged.

It’s perfect for vacant homes. Virtual staging can be very useful if done properly in empty houses, from which the seller might have already moved out. Another scenario is if the property is inherited. Showing vacant rooms could make it harder for buyers to conceptualize how they can make use of the space. But when a room is virtually staged, it gives potential buyers an idea on how and where to place furniture and other decorations.

It’s also best for homes with outdated furniture, or even properties with tenants in them, where the landlord or homeowner has little control over the space’s appearance.

It saves time in marketing the listing. Because everything is being done on a computer, the process is a lot quicker when it comes to virtual staging. There’s no need for your home to be assessed first to get an estimate, and then find appropriate furniture and rent them out. It’s also a huge benefit to sellers who are still in the middle of renovating their home because they don’t have to wait until it’s completed for the realtor to be able to post listing photos and begin to market the home.

Limitations, concerns, and reminders about virtual staging

• Can it be categorized as false advertising because of the misleading photos?

This is probably the biggest concern about virtual staging so it’s helpful to be aware of certain ethical boundaries. In the process of staging virtually, your home can be shown in its best light based on your target buyer. But it doesn’t mean that they can add something in the home that doesn’t exist, or remove something permanent in the home, such as a water tank. Just think of virtual staging as simply “reimagining” your home being styled with the latest design trends or decor.

• Transparency is the key.

It’s important to clearly note on the online property listing that the photos have been virtually enhanced. This will help avoid prospective buyers from feeling tricked when they go tour the home and see rooms that look nothing like the photographs they saw online. Your real estate agent will also give them a heads-up about the rooms being virtually staged so they won’t look the same in reality. They can provide buyers with both photos of empty rooms as well as the staged rooms so they will know what to expect. This gives them the ability to see the home with or without furniture, and even decide where furniture should be placed once they already own the home.

• Hire a good virtual staging company.

Virtually staging photos for real estate is also tricky. The images should be exceptionally realistic that buyers won’t know at first glance that they’re digitally enhanced. Thankfully, with the technology available today virtual staging no longer looks fake. The most challenging part comes when they overdo furniture and other decorative elements. 

If you’re planning to sell your home, take note that buyers aren’t the only ones who have to pay closing costs. Sellers also need to shoulder a variety of closing costs, and it’s something you need to factor into the sale price since most of it will be deducted from the profit on your home.

While closing costs for sellers can differ due to variations in local tax laws and other requirements, you can expect to pay anywhere from 8% to 10% of the home’s sale price during closing, according to Zillow.com. It’s important that you know about these potential costs to understand your obligations as a seller and avoid unwanted surprises at closing.

Here are some of the most common closing costs for sellers:

One of the most significant closing costs you have to cover when you sell your home is the real estate agent commissions. A typical commission is usually between 4 and 6% of the sales price of the home, which will be split between the listing agent and the buyer’s agent.

The real estate commission is usually the biggest fee a seller pays, but there’s a higher risk if you choose not to hire an agent and choose to For Sale by Owner (FSBO). Since selling a home is a complicated process, it’s better to have a professional by your side who will guide you through every step and make sure you get the most profit from the sale of your biggest investment. 

Commissions on real estate vary by market, and could be negotiable as long as you make a deal with your listing agent right from the start.

Another fee to keep in mind when you sell your home is title insurance fees. Sellers typically pay the buyer’s title insurance premium as part of closing costs, and the fee often varies from state to state and also based on the sales price of the home.

Title insurance protects the new owner and lender in case there are issues with your home’s title. In case there’s someone else who can claim ownership over the property, either because of a dispute over the property or because of outstanding liens from contractors, creditors, or the government, this one-time payment protects the buyer from the financial burden of sorting out title issues in court, whether they arise at closing or later down the road.

A transfer tax, also called a title fee or government transfer tax, is the tax amount that you will pay when the title for the home transfers from you to the buyer at the time of closing. It is one of the most significant fees in transferring property. The tax amount is determined by state laws, which means the cost varies a lot. This fee is also one of the main reasons why it’s difficult to get an accurate estimate of closing costs, so it might be helpful to research about it before you close the sale.

In some states, it is required by state law to have a real estate attorney oversee the closing and settlement of the real estate sale. If you have your own attorney representing you when your home is sold, you will have to consider attorney fees as part of closing costs.

Even if you are not required to hire an attorney in the state where your home is, you may want to do so especially if you are dealing with complex transactions involving distressed properties or inherited real estate. 

An escrow account is held by a third party provider that protects both the buyer and seller by keeping either party from escaping with the other’s money. You can also think of escrow like a savings account that keeps the earnest money deposit safe. Escrow fees include the signing and recording of the closing documents and the deed, and the holding of all the purchase funds. You may also have to pay fees for transferring funds, copying of documents, and notary charges. 

Escrow costs are usually between $500 and $2,000, or about 1 to 2% of the home sale price. The fees for escrow are usually split 50-50 between you and the buyer. 

Owning a property means you have to pay property taxes, which vary widely state to state. Property taxes are usually paid in advance out of an escrow account associated with your mortgage.

When you sell your home, you’ll be responsible for prorated property taxes that have accrued up to the closing date, at which point the buyer or the new owner will take over. Be prepared as you may have to pay property taxes at closing to bring yourself up to date. 

If you’re living in a neighborhood that is governed by a homeowners association (HOA), there may be HOA transfer fees to pay on top of all other closing costs mentioned above. These are standard fees that may occur when a property is transferred from one owner to another. Transfer fees are meant to cover the costs associated with preparing documents, handing out HOA’s rules to the new owner, dealing with property inspection records, changing names in the homeowner databases, changing security codes, creating new security cards, and other administrative costs.

Aside from transfer fees, you might also need to shell out some cash at closing to make sure you’ve paid up to the close date, just like with property taxes.