Selling Your Home is NOT a Business Decision. It's Personal. Very Personal.

By
Real Estate Agent with Keller Williams Realty

Selling Your Home is NOT a Business Decision.  It's Personal.  Very Personal.

When you purchased your home, you probably heard this:  "buying a home is one of the biggest investments you'll ever make" or "the time to think about selling is when you buy, so that when you sell, you'll make money."  I believe that when buying, people just want a place to call home.  Homebuyers want a place to live, love, learn, share and raise a family in a place that suits their lifestyle.  I don't think that turning a profit upon selling a home, is a high priority for most homebuyers (even in this economy).

On the Flipside of the Coin
I hear real estate agents talking all of the time referring to the sell of a home as a business decision.  Personally I don't share that view even when a short sale is involved..  I don't believe homebuyers buy a home so that they can operate it as a business.  I believe that selling a home has more to do with one's personal finances and personal financial goals (which by the way are unrelated to business).

If you purchased your home for the sole purpose of turning a profit when you sold it, you are likely a real estate investor and so this message may not apply to you.

But if you purchased your house as a place that you planned to make a home, raise a family and have a place to call your own, then chances are that the sale of your home is anything but a business decision.

It is very much a PERSONAL decision and NOT a business decision.  I'd simply like to say that we know it's a tough call when it comes time to sell your home.  AS tough as it may be, it would help everyone involved if you could be as objective as possible during the process and thereby reducing the strength of the emotional attachment to the home.  We know it's tough, but you made a smart move when you decided to buy and I'm sure that this move to sell is even smarter given your current situation. You don't have to treat the sale of your home as a business decision, but it would help to have the objectivity and clarity of thought like that of a business person.

When working with a Realtor® be sure to select one that understands the emotional attachment that one has to their home.  Choose a Realtor® that is understanding and does not dismiss your feelings while at the same time, expressing the need to be objective.

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Rainmaker
1,259,059
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

I think it is hard to seperate the business from the personal.  For many people the home is a major part of financial planning for retirement and financial needs latter in life.    However, it is also personal and many people make very impracticle decsions based on those personal feelings.

Feb 08, 2011 01:44 PM #52
Rainer
36,056
Brad Hornshaw
Brad Hornshaw Realtor Lynnwood, Bothell, Everett - Lynnwood, WA
Realtor, Listing Agent, Buyers Agent, Investments
Hi Charita I can see both sides of this, but I think the sooner the seller can distance themselves emotionally from there old home the smoother things go.........Brad
Feb 08, 2011 02:30 PM #53
Rainer
36,056
Brad Hornshaw
Brad Hornshaw Realtor Lynnwood, Bothell, Everett - Lynnwood, WA
Realtor, Listing Agent, Buyers Agent, Investments
Hi Charita I can see both sides of this, but I think the sooner the seller can distance themselves emotionally from there old home the smoother things go.........Brad
Feb 08, 2011 02:30 PM #54
Rainer
91,550
Ellen Wright Adams
Academy Mortgage.......We are a Equal Housing Lender - Eugene, OR
LoansByEllen- Licensed in Oregon
Charita: I think you're clients are very lucky - they know you understand how 'personal' their home is to them!
Feb 08, 2011 03:32 PM #55
Anonymous
Anonymous
Elcin Kaleli

I agree with you to a certain extent but in the end you are trying to sell a product and sellers need to follow certain "rules" to be able to successfully sell their home. If they are not objective about their home, they don't listen to their realtor's advice and they don't take the process seriously they will surely help their neighbor's home sell faster. Unfortunately, buyers are not very forgiving in today's tough market.

Feb 08, 2011 04:49 PM #56
Rainmaker
814,690
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
your real estate writer

I think sellers working with you are very fortunate - you understand and respect their feelings while guiding them toward the steps they must take.

Feb 08, 2011 05:38 PM #57
Rainer
101,702
Clark Cook
1st Choice Realty of Fayetteville, LLC - Fayetteville, NC
Marketing Homes For Sale In Fayetteville NC Area

Excellent post Charita! You have the ability to communicate clearly and it  shows here! Appreciate your contribution to our AR Community.

Feb 08, 2011 06:52 PM #58
Rainer
68,804
Robert Courtney
Lihue, HI
Century 21 All Islands, RA, CDPE, MCRE, CIAS

The decision is an investment.  Emotional and financial.  There is an expectation that the house will appreciate and add value to a persons life assets.

Feb 08, 2011 07:01 PM #59
Rainmaker
356,443
Sylvie Stuart
Keller Williams Check Realty 928-600-2765 - Flagstaff, AZ
Home Buying, Home Selling and Investment - Flagstaff, AZ

Yes, unless they are investors, it's very personal. Most of the buyers who pick the home they end up purchasing, purchase because they were emotionally invested in the home. All the sweat-equity and memories make it a personal decision to sell as well.

Feb 08, 2011 07:28 PM #60
Ambassador
683,773
Charita Cadenhead
Keller Williams Realty - Birmingham, AL
Serving Jefferson and Shelby Counties (Alabama)

Gene I do totally understand that many people conscientious use their home as a way to prepare for their personal financial future.  I think people will never be totally void of emotion when it comes to selling their home but they can be objective.

Absolutely Brad.  Absolutely.   Do you think that we can't simply request that the seller be as objective as possible.  It seems less stoic and it probably will probably garner the same results.

Thanks Ellen.  I just think that it is a factor that can't be ignored.

Elcin it is a product and objectivity is the goal and I would agree that there are many ways that we can get to it.

Thanks Marte, I would hope that we all understand despite the way we might act.

Thanks Clark I appreciate you as well.

Bob that is the expectation but this current economy threw that right out of the ball park.

Exactly Sylvie.  Acknowledge, accept, move on.

 

 

 

Feb 08, 2011 08:15 PM #61
Rainmaker
51,662
Annie Holdreith
Daniel Gale Sotheby's International/Manhasset, New York - Manhasset, NY

I agree sorta...I agree it is emotional for a lot of sellers.  That is exactly why they hire an agent to manage the financial part of the deicision, the part that requires clarity, focus and business knowledge...the unemotional part.  Like someone said earlier, the market does not care what the circumstances are for the sale.  They just want to buy a house.  In fact, most buyers want an easy transaction not an emotionally messy one.

I recently listed sold a house for an elderly gentleman who not only lived in the house, but grew up in the house...he still called it "his Dad's house" and he was close to 90 years old.  

I spent a lot of time with him...I did waaaay more than a realtor typically does because it was so emotional.  However, I was all business in negotiating the terms and price for his sale.  He appreciated it all and was able to trust me and focus on the biz part because we were managing the emotional part together.  

I was exhausted by the time I got to closing, but he wasn't.  He was ready to move on.  That's my job move the emotion out of the way of the business side of the decision and have everyone feel that the decision was the right one for them at that time.

 

 

Feb 08, 2011 09:43 PM #62
Ambassador
683,773
Charita Cadenhead
Keller Williams Realty - Birmingham, AL
Serving Jefferson and Shelby Counties (Alabama)

Annie thanks for that detail.  I think a key point that you made is that you took control of the "business" side and navigated the personal as well.  If done well, if we handled business the way that we should, then the seller's emotions would fall in line as much as we can anticipate based on our control of the situation. In other words if we take care of business, we can only hope that a significant amount of seller emotions be kept at bay.

Feb 08, 2011 09:56 PM #63
Rainer
38,211
Steven Zimmerman
Belloise Realty Tropical - New Port Richey, FL
Husband & Father, @Gulf_Harbors Resident Realtor

Charita,

Good evening. Iinteresting post, with some good point and counter point replies ... but, like my Mother said "never fall in love with Real Estate".

Selling a House is nothing but business - especially in these times ! sure it can become personal, but I wonder if you've not inadvertly mixed the ripe apples and the spoiled oranges ?

Buying a House on the other hand is a combination of both, yes, it can be one of the largest investments [until you do the move-up thing] but your inferred thoughts of buying, living in the same residence for 20+ years, raising little ones staying at the same job, getting raises and promotions are a dreams that are/were 4 or 5 decades old.

Sellers need to wake up to the reality of the market, what they owe, what they've been offered, and if they aren't so over the top personally attached [and not listening to their Realtor] that they've over priced the property, if they will even receive another offer [from a qualified buyer].

Retail Sellers [those not upside-down] have other issues/concerns/problems, but that's for another day.

Steven Zimmerman Realtor ABR GRI

Living, marketing & selling Florida's Waterfront Lifestyle in GULF HARBORS on Florida's Gulf of Mexico

ps- Seller's worst [personal] decision: not accepting 'that' offer and then chasing 'that' very same figure while the home sits for how many more months on the market ! 

Feb 08, 2011 11:20 PM #64
Rainmaker
579,028
DeeDee Riley
Lyon Real Estate - El Dorado Hills CA - El Dorado Hills, CA
Realtor - El Dorado Hills & the Surrounding Areas

Great advise, Charita!  Unless a home was a rental or investment property, it is hard to be anything but personal. When buying it, it may be easier because there isnn't an attachment to the home yet. Thanks for sharing!

Feb 09, 2011 01:58 AM #65
Ambassador
683,773
Charita Cadenhead
Keller Williams Realty - Birmingham, AL
Serving Jefferson and Shelby Counties (Alabama)
Steven......never faill in love with real estate is a term that I believe applies to real estate investors so that they can make sound business decisions. I don't believe that your leading comment can serve as the premise for the dialogue that followed since owner occupants seek to find homes that they can fall in love with. Life is not all business and people do love.
Feb 09, 2011 05:57 AM #66
Ambassador
683,773
Charita Cadenhead
Keller Williams Realty - Birmingham, AL
Serving Jefferson and Shelby Counties (Alabama)
Exactly DeeDee. Once the buyer becomes an owner, attachment sets in. But when buying, needless to say, buyers are at a greater advantage ( emotionally) than sellers.
Feb 09, 2011 06:00 AM #67
Rainmaker
211,022
Nathan Tutas
Tutas Towne Realty, Inc. - Davenport, FL
Your Central Florida Real Estate Expert

I competely agree with your opinion. However, it differs from mine. Only in the sense that the real estate market has now come to a point where almost anyone can be a real estate investor. Maybe not a big time investor, but an investor all the same. I work mostly with international buyers and they are not usually looking for a home to live and grow in. They are looking for a sound investment. Even if they are only buying one house.

When selling your home in a market as competitive as Central Florida you have to look at it as a business decision. This will improve your chances of succeeding in reaching your goals.

Feb 09, 2011 12:29 PM #68
Rainmaker
65,644
Brenda & Ron Cunningham
West USA Realty - Phoenix, AZ
Realtors, Homes for Sale - Phoenix Metro

It is a business decision, but you can't take the personal out of it for most people.

Feb 09, 2011 11:13 PM #69
Rainmaker
268,586
Paddy Deighan JD PhD
Aston McLaren Inc - Vail, CO
Paddy Deighan J.D. Ph.D

I agree that seeling a home is a personal decision....however, when it is a short sale, foreclosure, deed in liey etc., the home owner must strip away emotions and make a persoanl financial decision. Too many times, I have seen a short sale fall through because the home owner rejected offers that would have beena ccepted by the bank...they place too much emphasis on the emotional aspects. True, there are tax consequences to a short sale and a higher price may result in less tax impact. However that does not affect many homeowners because of the relief thePresident Bush signed into law in 2007.

Feb 10, 2011 07:19 PM #70
Ambassador
683,773
Charita Cadenhead
Keller Williams Realty - Birmingham, AL
Serving Jefferson and Shelby Counties (Alabama)

Nathan of course the buying process is different for owner occupants and investors so our approaches have to reflect and respect that.

Brenda and Ron I hear you.

Paddy how do you remove 100% of the emotion from the sale of a home?  I wish I knew the answer.

Mar 09, 2011 05:47 AM #71
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