There’s one fact about real estate that few people would dispute: The housing market is really weird right now. Mortgage rates are not falling quickly despite Federal Reserve rate cuts. Homes feel totally unaffordable, and supply is super thin. In many markets, homes are under contract before the agent even puts a sign in the yard.
All in all, it’s been a sellers’ market. But heading into 2025, the sizzling market is cooling off in many regions—and that may bring some challenges if you’re looking to sell your home this year. These challenges are compounded if you are selling a home for the first time and might not know exactly where to start.
“Sellers should stay realistic and try to be flexible,” says Robert Washington, a broker at Savvy Buyers Realty. “If these conditions last sellers will need to be more amenable to contingencies and requests of potential buyers.”
For homeowners who are new to the sales process, there’s a well-worn path to follow. We talked to the experts about the steps you need to take to sell your home. Follow our lead to get started.
1. Don’t put off repairs and upgrades
First impressions are everything in real estate. Take a walk around your home with a critical eye, taking note of even the small things you’ve ignored for years but would stick out like a sore thumb to a potential buyer.
Oftentimes, we learn to live with a flaw to the point where it doesn’t bother us anymore—but taking the time to repair a cracked walkway, spruce up the landscaping, or replace outdated features can go a long way toward improving curb appeal and enticing interested parties.
There are few things I like more than a good checklist, and a home inspection is an excellent way to get an outsider’s perspective on your home that provides you with a comprehensive to-do list when it comes to repairs and upgrades.
My husband and I have relied on these more than once when buying a home, but if we sell again we will certainly set a pre-sale inspection on the home we’re selling so we can address any potential issues before putting the house up for sale. That way, there are no surprises later on when the buyer gets their own inspection.
2. Figure out if you’re flying solo or using an agent
The most common path to selling a home involves hiring an experienced realtor who keeps things moving in the background while you focus on finding your new home or preparing to move. But there are some sellers who prefer to handle things themselves and take the “for sale by owner” route.
This is a viable option for experienced sellers who want to avoid paying agent fees, however, it’s not always the right decision.
“An experienced local agent is key to maximizing your home’s value,” says Brian Green, a loan officer at WealthWise Funding. “They bring deep knowledge of market demand and comparable sales to help you set the right asking price.”
And the benefits don’t stop there. Green says that once a property is listed, the agent’s connections and expertise are a massive boon to the property’s sale price. In fact, nationwide data from the National Association of REALTORS shows that sellers who work with a listing agent get an average of $95,000 more for their homes.
3. Keep doing market research and refining your price
Pricing your home to sell is one of the most challenging parts of the sales process. Set the price too low, and you leave money on the table—some prospective buyers might even wonder if there’s something wrong with your home. Price it too high and you could undercut interest in your property.
Getting home pricing right usually involves looking at the sales of comparable homes in the areas over recent months. You’ll generally look for local homes of a similar size, number of bedrooms and bathrooms, age, and condition. But here’s the key: Keep doing the research. Did you look one month ago when you began your sales journey? Chances are, things have changed, making it worth doing again.
Sure, you can adjust the price based on unique features. Have a newly renovated kitchen and the comps in your neighborhood don’t? Price your home a bit higher. But maintaining a read on the sales prices of other recently sold homes in the neighborhood on a rolling basis—that means right now, not last month—is key in a cooling market.
4. Set the stage with decor and get quality photos
When a potential buyer walks in the door, they immediately envision their own family living in your home. So pack up the school portraits, wedding photos, and your kids’ art hanging on the refrigerator. You need to make the home an inviting blank canvas—or hire a professional stager to do it for you.
Once that’s done, get some listing photos. Skip using your cell phone camera, it’s well worth spending money on a professional if your agent doesn’t have their own photography service. Springing for a virtual tour can be a huge boon as well, for interested buyers who may not easily be able to come see the property in person.
Pro tip: If you don’t plan to handle it yourself, now is a great time to start hunting for a trustworthy moving company that will take good care of your belongings in transit. You can box things up as you start staging the home, and this may give you an idea of how many total boxes you will have to move.
This is a figure that moving companies use to provide you with a quote, so do a little math and start making calls. Depending on the time of year and size of the company, it can take weeks or months for a team to be available. The sooner you can be on their radar, the better.
Alternatively, look into storage options such as shipping crates or renting a unit so you can keep belongings safe, but out of the way of potential buyers.
5. List the property and schedule an open house
With all of your careful preparations out of the way, it’s time to get the home listed and start scheduling showings. For some sellers, this may include scheduling an open house date where many potential buyers can visit and see the property all at once.
Then be prepared to wait. According to Redfin, at the end of 2024 houses sat on the market for an average of 25-27 days before going under contract (and remember, then you still have to wait for closing). However, this time frame could be shorter or longer depending on your local real estate market and how you’ve priced your home.
6. Review offers and negotiate with buyers
It may take a moment for offers to start coming in, since buyers are facing higher mortgage rates than in past years. The current average mortgage rate is nearly 7%, whereas rates under 3% were spotted as recently as 2020.
Don’t be surprised if the offers don’t come rolling in right away.
“At the end of the day, a beautiful renovation and great curb appeal will mean nothing if the home price is not realistic for their current market,” says broker Bill Kowalczuk of Coldwell Banker Warburg.
If you’re fortunate enough to have multiple offers to pick from, the simplest choice is likely to accept the best offer—but that could be subjective. For example, one offer could have a higher price but include contingencies or concessions that you’re uncomfortable with. Your real estate agent can help you compare offers and choose the best one. Remember, you can also counter one or more of the offers to get one you’re happy with.
7. Tally up closing costs and prepare for tax season
Buyers aren’t the only ones who get saddled with closing costs—sellers get hit with their fair share as well. Seller closing costs may include escrow charges, title insurance, prorated property taxes or HOA fees, attorney fees, and closing cost credits.
In the past, sellers were usually on the hook for both the seller’s and buyer’s agent’s commission. The National Association of REALTORS changed its policy on this in August 2024, so now more buyers are responsible for their own agents’ commissions (though sellers may still pay them in some areas).
Keep in mind that in some cases, your selling costs may also include taxes. If you sold your home for more than you bought it and you don’t qualify for the IRS home sale exclusion (or your profit exceeds the exclusion), then you may be on the hook for capital gains taxes.
In some states you must hire a real estate attorney
A handful of states require a real estate attorney to be involved, either to draft the closing documents or even be physically present at the closing. You’ll need a real estate attorney if you live in one of the following states:
- Connecticut
- Delaware
- Georgia
- Massachusetts
- North Carolina
- Rhode Island
- South Carolina
- West Virginia
Remember that even if your state doesn’t require an attorney, you can always choose to hire one to review your documents before the closing, particularly if it’s an especially complex sale.
8. Close the sale and celebrate
Once you get to the closing, you’ll officially hand over ownership of your home to the new buyers. Sellers often have to attend closings in person, but that’s not always the case. Once the sale is complete, the funds may be wired directly to your mortgage lender to pay off your home, to your new escrow company if you’re buying a new house, or directly to you.
Congratulations! You’ve officially sold your home. Chances are that you’re feeling a lot of relief right now but may also have some mixed feelings about leaving the place you’ve been calling home. Yes, you probably have plenty of other tasks on your to-do list, including getting settled in your new home. But make sure to also take some time to celebrate this major milestone.
Erin Gobler contributed to this article.
