Selling to an iBuyer vs. Selling With a Realtor

Are you better off selling to an iBuyer? The answer depends on your circumstances.

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Should you sell your home to an iBuyer?

First, let’s review what an iBuyer is. An iBuyer is a company or investor who can make a cash offer for your home and close quickly with little hassle. You can pick the closing date, when you want to move out, and not have to worry about making any repairs to your home or staging it for the market. The downside to this convenience, though, is that you end up selling at a discounted price.

There is no “right” or “wrong” answer as to whether you should sell to an iBuyer, so let’s look at the specific details of selling this way versus selling with a Realtor such as myself.

Essentially, it’s the same thing as selling with a wholesaler versus selling with a retailer. In this case, the iBuyer is the wholesaler: They make their offer price appealing up front, but when you factor in the associated costs of selling, you don’t net as much as you think you will.

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Essentially, it’s the same difference as selling with a wholesaler versus selling with a retailer.

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Selling to a retailer means you’ll have to go through the extra steps of preparing your home for the market, but their job is to get you the most money possible, so your chances of earning greater net proceeds are much higher.

This is why it makes more sense for most people so sell the traditional route—with a Realtor. There are certain circumstances when it makes more sense to sell to an iBuyer, though. If you’re in a situation where you need a significant influx of fast cash, iBuyers are a good option. Also, keep in mind that there are plenty of iBuyers out there to choose from, and I’d be happy to help you pick one if you do decide to go this route. There will never be a lack of investors willing to buy your property quickly and at a discount.

Remember, the Hauer Home Team is here to serve you and the people you care about, so if you have any more questions about this or any other real estate topic, don’t hesitate to reach out to me. I’d love to help you.

Where Are the Hottest Areas of Our Real Estate Market?

The real estate market here in Pierce County is hotter in some areas than others. Here’s what you need to know.

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I’ve got a quick update for you today so you know what’s going on in the Pierce County real estate market as we head into the 4th quarter of 2019. The latest Q3 numbers are in, so I’ll give you a quick look at what I’ve been noticing out there. For starters, the hottest spot in all of Pierce County is Central Tacoma. Year over year, we’ve seen a 14.7% increase in home values there. The median home value is $351,000. On the other end of the spectrum, we have Gig Harbor. This area has seen 0% appreciation since this time last year, but still has a median sale price of $500,000. This is the highest median price in all of Pierce County. Inventory is down 15% from where it was last year as well.

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Gig Harbor homes didn’t appreciate much, but they still have the highest median price.

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Throughout all of Pierce County, we have about 20% fewer homes to choose from than we had at this time last year. This is great news for sellers who have been on the fence. With decreased inventory, you have that much less competition for your property. This will give you a much better position and a much greater chance of selling for top dollar.

Our market is much more challenging for buyers at the moment. No doubt about it. That being said, I would encourage you to buy now. My wife and I are actively purchasing properties right now even though it's a “seller’s market.” Interest rates are still low, and are only projected to increase from here on out. We have helped buyers in this kind of market and would love to help you too.

If you have any questions for us in the meantime, don’t hesitate to give us a call or send us an email. We look forward to hearing from you soon.

Should You Sell Now or Wait Until Spring?

 If you’ve been wondering whether the chance to sell your home this year has passed, today’s message is for you. 

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A lot of homeowners have recently asked me whether now is a good time for them to list or if it would better for them to wait until spring. Well, given that our inventory (the number of homes available on the market) has dropped by 15.55% since last October, one thing is clear: The market is in need of more listings. So if you have been thinking of selling, doing so now would afford you the opportunity to enjoy low competition and high buyer demand. Waiting to sell until spring or summer would nullify this, as more homes hit the market during those times of year. And, as you probably know, high supply equals low demand, and low demand equals less money in your pocket.

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The bottom line is that it’s a great time to sell.

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Selling in the fall or winter also generally draws less foot traffic through your home. This may sound like a bad thing, but the truth is that handling a large number of showings can be quite the hassle. Having fewer buyers turning up to tour your home can actually work to your benefit, especially in light of the fact that buyers who are out looking for properties at this time of year tend to be much more serious than the “tire-kickers” that start to appear in the spring and summer. 

The bottom line is that it’s a great time to sell. If you have any other questions, would like more information, or would like to talk about your specific property, feel free to give us a call or send us an email. We look forward to hearing from you soon.

How Soon After Purchasing a Property Can You Sell It?

How soon after you purchase a property are you able to sell it? Find out today.

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We’ve all heard the term ‘forever home’ before, but sometimes you just don’t end up staying in a home that you thought you’d live in forever. When my wife and I bought our forever home, we shortly thereafter moved out of it. We held onto it as a rental and eventually moved back in; you just never know what life has in store for you.

Here are some things to be mindful of when it comes to selling your house, as well as my recommendations about how soon after purchasing it you should do so:

First, my rule of thumb for selling your home is to sell it after you’ve lived in it for two out of the last five years. This will help you maximize the profits of your sale. You won’t have to pay a higher capital gains tax rate; in fact, you probably won’t pay any tax whatsoever. For a single person, you’re exempt from $250,000 worth of capital gains tax on any profit you have from the sale. For married couples, you’re exempt from $500,000.

If you’ve been in the house for less than a year, you’ll pay quite a bit in short-term capital gains tax at whatever your taxable income rate is. In short, there are significant tax advantages to staying in your home for a year and a day, and even more for staying in the home two out of the last five years.

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My rule of thumb for selling your home is to sell it after you’ve lived in it for two out of the last five years.

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Some other factors to keep in mind are the rates of appreciation and growth of home values. We’ve had phenomenal appreciation and growth in local real estate values over the last several years. Since the 1940s, real estate has appreciated by 5% every year on average, and our own local market often appreciates at double-digit rates.

Once commission, excise tax, title, escrow, recording fees, and transaction management fees have been factored in, the typical cost to sell a house works out to be around 9% or 10% of the sales price. That’s why I recommend you stay in the home two out of the last five years; if the home appreciates 5% per year, you’ll make at least your sales costs back just by waiting, on top of the tax advantages.


Hopefully, this helped clear up some of the confusion surrounding the topic of selling your home. If you have any questions about today’s post, don’t hesitate to reach out to me. I’d love to speak with you.

8 Little-Known Tips to Get You the Most Money Possible

Here are eight secrets that will help you fetch top dollar for your house when it comes time to sell.

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There are eight little-known tricks that will help you sell your home for the most money possible:

1. Improve your home’s curb appeal. This is a common tip, but here’s a secret: start with your mailbox. If your mailbox is clean, presentable, and stands up straight, it’ll help make a great first impression.

2. Use your rooms correctly. If you’re using your dining room or office space as an extra playroom, buyers will have a hard time visualizing the layout of the home and the potential uses for each space. To show off your home’s true potential, be sure to stage it.

3. Reglaze your bathrooms. Older homes tend to have outdated features that aren’t attractive to buyers. For just a couple hundred dollars, you can actually reglaze your bathroom fixtures like your toilet and sinks with a white, waterproof coating to give the space a brand-new feel without making costly replacements.

4. Make a story out of your home. Frame pictures you have of living in your home and place it where buyers can see it during showings. Seeing the memories you’ve made there and all the ways you’ve used the space can really resonate with buyers and help create an emotional connection between them and the home. Logic makes us think, but emotions make us act.

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Seeing the memories you’ve made there and all the ways you’ve used the space can really resonate with buyers and help create an emotional connection.

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5. List your home at 10% under its market value. Why? Data shows that if you list your home 10% under market value, you’ll attract 75% of the buyer pool, compared to only 30% if you list it 10% over market value. Great homes that are also more affordable will draw many buyers out of the woodwork. As long as you’re working with a solid marketing professional who can get the word out to the right number of people in the least amount of time, you’ll end up in a great spot.

6. Provide insider information with buyers. This is your opportunity to share what it is you love about the community. Give them the scoop about great things that go on around the home so they can start to feel excited about the prospect of living there

7. List the special features of your home. Make a whole list of your home’s special features so that buyers know all of what you’ve done to make the home more comfortable and accessible, like the new air conditioning unit you bought or the heated floors in the bathroom.

8. Create a video tour of your home. This is another great way to create an emotional connection for the buyers, and it will give them a good insight into what the property is all about. I will say, though, that not every property deserves a full-on video tour; for some homes, a 360° video tour can actually be detrimental. Be sure to only show off the best things that your home has to offer.

Hopefully, these tips will help you get the maximum value for your home when you find the right buyer. If you have any questions about selling your home, don’t hesitate to reach out to us. We’re here to be a resource for you.