Once upon a time, showing your house off to buyers just meant cleaning it. But now, “staging” has become a part of the sales process. Staging means decorating your home to appeal to potential homebuyers—a process that can mean anything from repainting the walls, to buying new furniture or updating old appliances.
Staging is about more than making your home look good—it has to look like what potential homebuyers are interested in. And today, more than 30% of those homebuyers are millennials—people born between 1980 and 2000. So how do home sellers appeal to this new generation? Here are some ideas:
Make it Photogenic
If you want to appeal to millennials, make sure your home has a good online presence. Take clear, attractive photos and make sure all the details about your home are posted on the web. What they find online may very well determine whether millennial homebuyers even want to visit.
Keep it Clean and Simple
Obviously your home should not be dirty when you show it off. But more than that, eliminate clutter. Millennials like homes to look spare and simple, with lots of space for entertaining. Many millennials—and certainly those looking into buying a home—have full-time jobs coupled with busy social lives, so they will want a place that looks easy to maintain and keep clean. Hide knick-knacks, and anything that might make your house look dated: doilies, quilts, lots of fancy china, or heavy or frilly curtains.
Millennials are concerned about the environment; so don’t be surprised if you are asked about your home’s sustainability. Projects such as insulating your home or installing more efficient appliances can help draw in young homebuyers worried about their footprints.
Fashion a Home Office
Creating a home office doesn’t have to be a major project. If you have a guest room or catch-all space in your house, clean it out and stick a desk and chair inside. Many millennials work from home, at least part-time, and want a designated space to work from.
Even if you don’t have the budget to make major renovations, just painting walls can make a huge impact. Wallpaper, especially patterned wallpaper, can make a home seem old-fashioned and cramped. Full-wall mirrors from the 80s are arguably worse. Painting your walls is a good way to modernize. Use light, muted colors to make everything seem modern, spacious, and well-lit.
Think About Location
Are you in walkable distance from a grocery store, coffee shop, or library? If you answered yes, or if you can think of any other choice destinations in reasonable walking distance, make sure to advertise it! You can’t change your location, but it would be a mistake not to promote it.
What’s Wrong With Being a Fixer-Upper?
If your house is a fixer-upper, and fixing it yourself is out of your budget, be honest about it! Many millennials are looking for a move-in ready house, but others would be happy to get a deal and a challenge.
Regardless of your profession, if you enjoy working for yourself and want to achieve the American dream of homeownership, use the following tips to when applying for a mortgage:Clean up your Finances
Banks that offer mortgages to self employed consumers will highly scrutinize business financials. This means that your personal and business accounts must be separate and that you’ll need to minimize the amount of deductions you take over the course of 12 months prior to your application.
Make sure you’ve kept good financial records that are ready to be presented to the mortgage broker.
Apply for an Alternative Loan
Standard mortgages are often hard to come by for the self employed millennial, which is why some banks are offering alternative financing.
Similar to the “no doc” loans of a decade ago, alternative loans use different income verification methods for the self employed. This process involves examining 12 months worth of bank statements against the profit and loss statements for the same time period. A cash flow analysis is created to determine suitability for obtaining a mortgage.
The Basics that You’ll Need
Like any other buyer, self employed individuals will need to provide specific requirements to the bank during the mortgage approval process. Those can include:
- Bank statements - Both personal and business, bank statements will show that you have the necessary funds to pay the down payment and initial monthly payment.
- Profit and Loss statement - A profit and loss statement is essential to creating an analysis for mortgage approval.
- Proof of business formation - If your business is formed as an LLC or corporation, you’ll need to provide proof as well.
- Solid credit history - In most cases, self employed consumers will need a credit score of at least 680 to qualify for a mortgage.
- Sizable down payment - Banks often consider self employed people more of a risk for mortgage lending and they’ll require a down payment of around 20 percent.
While obtaining a mortgage as a self employed millennial is difficult, it isn’t impossible. The right amount of research combined with careful planning and record keeping will help make the process much easier.