Selling a property in today’s competitive market can be challenging. Sometimes you aren’t able to find the right buyer who is financially fit to purchase your home. Sometimes you find the buyer, but the bank doesn’t approve their loan. In both cases, you have to compromise on the prices if they are not convinced of what you have offered to them.
If you own a luxurious home but are having trouble selling it due to the higher value, then there must be a problem with presentation. Your home must be a luxurious property, but if you are not able to showcase its worth to the bank, then it means less. Here, you are required to apply a smart real estate marketing approach that can justify the value of your property.
Marketing is not a new concept, but using it for your property can help you get approval from the bank or lender. If the bank is ready to provide a loan, then potential buyers will easily close the deal in your favor. This blog will make you understand how marketing can help you boost property finance approval rates.
Why Bank approval is important
- When a buyer applies for a loan, the first thing the bank does is send an expert called an appraiser to visit the site. That appraiser observes the property and decides whether the price you have offered is worth it or not.
- If they find the property does not justify the price you have demanded, then they will reject the loan. In the same way, if the property wins their heart, then they can proceed with the next process.
How marketing can affect
Professional Photos: The First Step in Justifying Your Price
- Create a strong first impression: When you have a clear photo and 3D videos that show every angle of your property, it creates a strong impression on their mind. Showing clean and bright rooms, mentioning the required details can win their trust. When you present well, they do not try to cut the amount for dark or unhygienic rooms.
- Directly Supports the Asking Price: When you are showing an ugly, unprofessional photo to an appraiser and demanding a high price, then they will decline your offer. Showing a photo of a well-maintained bathroom, kitchen, and living room can support your demand and help you get direct approval the first time.
Floor Plans and Measurements: Giving the Bank Certainty
- Confirms the bank collateral: The home is the bank’s security. If they are giving a big amount to the buyer, then they would first confirm if the property is worth that money or not. Because if the buyers fail to repay the amount, they can have a property as a backup. Providing them with a proper floor plan can make them understand that they are secure and paying for the right property.
- Eliminates Underwriter Delays: The underwriter team is the bank’s loan team that analyses every detail. Just by seeing the photos, they would not have the proper information about measurements. If you provide them with the right measurement plan, then they can proceed further without any delay.
Detailed Descriptions: Help the Appraiser Justify the Price
- Creates a Stronger Comparable: After evaluating your property, the appraiser has to write a report on why they should approve the buyer’s loan. If your nearby house is sold for a certain amount and you are charging more than that, then you have to justify that extra amount. You can provide them with data about renovation and new modern features for which you are demanding extra charges.
- Justifies the Premium: This detailed marketing can help appraiser to mention these in their reports so the bank can approve the loan. If you fail to provide this information, then we will negotiate with you or approve the loan for the older or lower price. That’s why following smart real estate marketing strategies is important.
Make Your House Look Great to Get a Better Price
- Showing the House is Maintained: Showing a clean home to the appraiser can win their trust that the house is well-maintained. Do not keep your stuff here and there, and keep your home clean and decorate it with new items. That helps them to understand that you are not hiding anything and there is no need for major repairs.
- Reduces Negotiation: Marketing can help you find the right buyer for your property who does not negotiate for small repair costs. If the buyer is financially stable and strongly wants to buy your property, then the bank will not negotiate on your price. If the bank gets the potential buyer over a luxurious property, then they will easily approve the loan.
It Builds Trust and Transparency
- Clear Information: One of the important factors in the retail estate business is trust. Whether it’s a bank or a lender, if you are not able to win their trust, then they will directly reject your proposal. Marketing is the way to win their trust. When you show every detail of the property without hiding it, then they are more likely to take an interest in your property.
- Reputation: Marketing is not just about showing a photo or video, but it is about how you are presenting and who is presenting. When you hire a well-known agent and consistently brand your property in the market, it will create a strong image. It will create a strong impression on both the buyers and banks.
Conclusion
Real estate marketing is a bridge between buyer and bank. It attracts potential buyers for you, and if they say yes, then it can convince the bank to approve a loan to purchase your property. First, it wins the trust of the appraiser to approve a price that you have offered. Then it provides detailed information about your home to the underwriter team to complete the process earlier.
Connect with the experienced agent and discuss real estate marketing tips to promote your property. Smartly advertising property can help you close the deal in your favour.