When you invest in real estate, you should always have an exit strategy. No matter how many times the exit strategy changes, it is an important part of the process to ensure that the investment stays viable. Once you are ready to sell your property, there are steps you should take to make sure that it is prepared for the sale.
Make Sure That the Property Is in Marketable Condition
The curb appeal of your property is the key to getting potential buyers in to door to see it. You don’t need to invest a fortune in the appearance but you can take steps to clean up the landscaping and install strategically placed exterior lights. Make sure that you take care of any obvious flaws; you should touch up the paint, repair any damage to the flooring, and keep the property clutter-free.
Do Not Make Capital Expenditures
The benefits of capital expenditures such as roof replacements or major appliance purchases are more of a long-term benefit. You should not begin those kinds of projects once you have decided to sell your property. Only do the work that needs to be done to sell the property.
Make Sure That Paperwork Is in Order
Once you sell your property, it needs to be up to code with the appropriate certificates of compliance. Make sure that there are no outstanding contracts as any of these items can hold up a sale. If you aren’t up to code or have any violations, you will have to fix it before the sale can go through so it makes sense to take care of this before you start to sell.
Be Transparent with Employees
You should let any contractors or employees who do regular work for you know before you place the property on the market. It helps to maintain a good relationship. You can offer to recommend their services to the new owner. Maintaining a good relationship will ensure that they don’t interfere in the sale.
Make a Plan for Taxes
Make a plan with a professional who can advise you on taxes. There are ways to offset a tax penalty from your real estate sale and you need to know your options and make a plan ahead of time.