10 Things a Professional Realtor Can Do for You
- Obtain and qualify prospects, eliminating
professional lookers and non-qualified prospects.
- Diplomatically
handle objections and overcome them.
- Assist in
helping both the Seller and the Buyer navigate through the complex
world of financing.
- Follow up with prospects
without weakening your position.
- Handle the
sale of your buyer's house if they need to sell prior to purchasing.
- Explain closing costs.
- Know how to
justify your asking price to the Buyer.
- Relieve
you of having to stay home to wait for Buyer's phone calls or for
showings.
- Provide strangers access to your
property without jeopardizing you or your family.
- Guide
you through the closing process, including inspections, disclosures,
obtaining flood hazard and hazardous materials information, assist in
obtaining permits, assist the appraiser in valuing the property at the
price where it sold, as well as a variety of other issues that may
occur in any given transaction
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Get Your Home Ready To
Sell
In preparing your house to sell, ask yourself
over and over if your house looks like someone else's dream house.
Houses in tip-top condition tend to be inviting to buyers; houses that
are like new typically sell the fastest and procure the best price.
With that in mind, here are a few things to consider when getting ready
to sell:
Exterior
Remember the 60-second rule: that's all the time you have to create a
good first impression! Mow the lawn, rake leaves, trim trees and shrubs
that keep light out of the house and remove dead plants. Pick up tools,
garbage cans, hoses, toys, and building materials and store them neatly
in a storage area. Replace broken or missing roof shingles and
straighten and clean the gutters and downspouts. Clean all windows and
mend torn screens. Painting your house helps improve curb appeal more
than any other fix-up! If you decide against painting the entire house,
consider painting the front door, window frames and shutters. Seal or
resurface the driveway and repair broken steps and walkways. Paint or
replace your mailbox and post. Put up a new light fixture. Dress up the
front yard with some simple landscaping.
Clean,
Clean, Clean
Step back for a moment and
look at your home as if you were seeing it for the first time. Every
room should be spotlessly clean, dusted and uncluttered. Steam clean
the carpets and wax the floors. Wash the walls, windows and light
fixtures. Tighten loose stair railings and clean all woodwork. In the
event that you feel a project of this magnitude is better left to a
professional, ask your real estate agent to recommend a cleaning
service.
Entryway
Use bright light bulbs in the foyer and throughout the house. Fill the
house with a pleasant aroma, such as fresh flowers in the summer or
cinnamon or candles in the winter.
Living
Room
Replace the carpet if it's worn. Show
off the hardwood floors if you have them - buyers prefer wood floors!
It costs money, but you may find that you will more than recoup that
cost when the home sells. Patch cracks and nail holes in the walls, and
repaint walls in neutral colors, such as white or ivory. Nail down
creaking boards and stair treads. Lubricate any sticking or squeaking
doors. Open all curtains, and replace them if they are getting old. Add
lamps and lighting if the house is dark. Set out fresh flowers.
Furniture
Rearrange or
remove furniture to make your rooms look more spacious. Too much
furniture and too many knick-knacks make rooms look cluttered and
small. One or two decorative items per surface are plenty, so pack the
rest away. Great way to start packing away those things you do not need
day-to-day.
Kitchen and Baths
These rooms should sparkle! Clear off counters, and clean all
appliances and fixtures. Scrub the floors and walls. Re-caulk tubs and
showers. Clean these rooms thoroughly, and be sure they smell fresh.
Never leave dishes in the sink, and run the dishwasher often!
Closets
Take those things to
Goodwill that you'll have to discard anyway when you move. Organize
shelves and straighten shoes. Be sure that sliding doors operate
smoothly and knobs on drawers are secure.
Utility
Room
Dust and wash the washer, dryer and
water heater.
Light and Bright
Do everything you can to brighten the interior. Replace wallpaper with
white or off-white paint, and repaint shabby or dark walls. Open the
blinds, and replace broken windows and window seals. Always maintain a
comfortable temperature inside the house, even if you are away for an
extended period of time. Keep the heat on in the winter, and the air
conditioning on in the summer!
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10
Biggest Selling Myths Uncovered
Selling a house can
be a bit like having a baby -- everyone gives you advice that may or
may not be true for you. Here are ten myths uncovered:
1. Myth: You should always price your home high and gradually
lower it if it doesn't sell.
Truth:
Pricing too high can be as bad as pricing too low.
You may think by listing high you can always accept a lower offer, but
if you do, you'll miss the buyers looking in the price range where your
home should be. Offers may not even come in, because interested buyers
are scared off by the price and won't bother to look. By the time the
listing price is corrected, you will have lost a large group of
potential buyers. Your real estate agent will offer you a comparable
market analysis. This is a document that compares your home to other
similar homes in your area, with the goal of helping you to accurately
assess your home's true market value.
2.
Myth: Minor repairs can wait until later. There are more important
things to be done.
Truth: Minor
repairs make your house more marketable, allowing you to maximize your
return (or minimize loss) on the sale.
By and large, buyers are looking for an inviting home in move-in
condition. Buyers who are willing to tackle the repairs after moving in
automatically subtract the cost of needed fix-ups from the price they
offer. You save nothing by putting off these items, and you may likely
slow the sale of your home.
3. Myth: Once
potential buyers see the inside of your home, curb appeal won't matter.
Truth: Buyers probably won't
make it to the inside of the home if the outside of your home does not
appeal to them. Most people judge a house by its "cover."
Many buyers drive by a home before deciding whether or not to look
inside. Your home's exterior will have less than a minute to make a
good first impression. Spruce up the lawn, trim shrubs and trees, and
weed the garden. Clear the walkways and driveways of leaves and other
debris. Repair gutters and eaves, touch up the exterior paint and
repair or resurface cracked driveways and sidewalks. Place potted
flowers out front, hang a wreath on the door and put out a pleasing
welcome mat for added curb appeal.
4.
Myth: Once potential buyers fall in love with the exterior look of your
home, you put interior improvements on the back burner.
Truth: Buyers have no qualms about walking right out the
front door within 60 seconds if the house doesn't look like it could be
theirs.
Remember that most buyers are
looking for an inviting home in move-in condition. Spending a few
thousand dollars for the right work on your home before you sell it,
usually translates into a higher selling price and shorter marketing
time. Your real estate agent will consult with you about the repairs
and replacements that will benefit you most.
5.
Myth: Your home must be every homebuyer's dream home.
Truth: If you get carried away with repairs and
replacements to your home, you may end up over-improving the house and
not getting back all the money you put into it.
At some point, improvements that you make to your home can exceed what
is customary for comparable homes in your area. For instance, there may
not be another swimming pool in your entire subdivision. After spending
$20,000 to install an in-ground swimming pool that you hope will lure
buyers, you may find that it only raises the market value of your home
by $10,000 because there are no other comparable properties to support
the market value of the pool. As a rule of thumb, if your improvements
push your home's value higher than 20% above average neighboring home
values, don't expect to recoup the entire amount of improvements. Your
real estate agent can advise you as to the scope of projects you might
consider in preparing your house for sale.
6.
Myth: Buyers are never swayed by sellers that offer creative financing
options.
Truth: By offering
flexibility in financing options, you may lure more prospective buyers.
You might consider offering seller financing, paying some of the
buyer's closing costs, including a one-year home warranty, or other
buyer incentives. Your real estate agent, who has professional
knowledge of local market activity, can help you decide what
incentives, if any, to offer.
7. Myth:
You are better off selling your home on your own, thus saving the
commission you would have paid to a real estate agent.
Truth: Statistically, many sellers who attempt to sell
their homes on their own cannot complete the sale without the service
of a professional real estate agent. Over 80% end up using an agent, so
stop stressing, a have a professional do the job for you!
Sellers who sell their home without a real estate agent often
net less from the sale than sellers who use one. You visit a doctor
when you're sick and take your car to a mechanic when it needs repairs.
It makes sense to contact a real estate professional when you are
preparing to sell your biggest asset!
8.
Myth: Good sellers should be available to guide prospective buyers
through the home, giving the whole process a more personal touch.
Truth: Prospective buyers will feel more like the house
could be theirs if the current owners are not there.
The presence of homeowners during a viewing can make buyers feel like
they are intruding. They need to be able to visualize your house as
their home, which can be difficult to do when they are acutely aware
that it is still your home. Your real estate agent will be happy to
look out for your home during open houses or showings.
9. Myth: Successful sellers insist that the terms of the sale
happen their way or no way.
Truth:
If you approach the sale of your home as the buyer's adversary, you
risk losing a perfectly solid buyer for no good reason.
Both you and the buyer have the same goal: for you to sell your home
and for the buyer to buy it. Work with your real estate agent to
approach negotiations positively and with a win-win frame of mind.
10. Myth: When you receive an offer, you should make the
buyer wait. This gives you a better negotiating position.
Truth: You should reply immediately to an offer! Your
first offer more often than not may be your best offer!
When a buyer makes an offer, that buyer is, at that moment in
time, ready to buy your home. Moods can change, and you don't want to
lose the sale because you stalled in replying.
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Frequently Asked Questions
Can't I get a better deal by buying through the listing agent?
No! The listing agent has loyalty to the seller and not to you. Even if they get approval from both parties to be a dual agent they cannot give you advice on what to offer, nor can they give you a market analysis on the property. Of course they can advise you to make an offer and they will deal honestly and fairly with you, but they cannot advise you in the same way a buyers agent can.
If I attend an open house, and am interested in the house, who is that agent representing?
You don't know unless you ask or they tell you. By law, the agent has to discuss agency disclosure at the "first substantive contact" with the buyer, which usually occurs if you show an interest in the house. They may be representing the seller, or may be a dual agent with both parties permission. Perhaps they are standing in for the listing agent, and they are then considering a "designated dual agent." You really should have this discussion before it is too late and you say something you may regret later.
How much do I put down with the contract? Where does that money go?
The standard amount is 10% of the selling price i.e. $50,000 on a $500,000 house. You can write a personal check and the money is held in a non-interest bearing account by the seller's attorney. This amount is sometimes negotiable to 5%, or less on a lower down payment deal.
Once I put down the down payment, in what situations would I get my money back?
You usually have 30 days to obtain financing, and if you are turned down by your lender and you show proof, you can work with your attorney to get your money back, but this is highly unusual as we will have you pre-approved for a loan before you go to contract.
What does the seller usually pay for if there are issues after an inspection?
The seller pays for termites and leaking underground oil tanks. Anything else would be negotiable, but if there is a leaking roof or leaky pipes, or a structural problem, they are often responsible for that as well.
Does the inspection get done before or after the contract is signed?
The inspection is done within 48-72 hours of the accepted offer, before the contact is signed.
Do I have to hire an attorney?
In this area, yes, both the seller and buyer hire attorneys to represent their best interests. The seller's attorney will draft the contracts and overnight them or fax/email them to the buyer's attorney, usually in 1-2 days. The attorney will negotiate the contract and represent you at the closing.
How long does it take to get a mortgage?
Anywhere from a few days up to 30 days depending on the bank and how quickly you give the bank all the documentation they require. The bank appraisal should happen right after you apply and that usually takes about a week.
Why should I use the vendors and contacts you recommend?
Not everyone is responsive and does a good job. The people I recommend do a great job and I have influence with them so the job will get done efficiently and quickly. If you hire someone I do not know and they are slow or unresponsive they probably will not respond to me either!
How often will you follow up with us?
Sometimes it will be several times a week, and sometimes just once a week. We have systems in place to make sure nothing falls through the cracks, and good followup is a primary focus of ours. Our team uses Blackberries for email and even when someone is out of the office there is always good coverage.
How many homes will I need to look at before I find the right house?
Usually no more than 8-10 houses. We will not waste your time and show you houses that don't fit your wants and needs. That would not be a good use of your time or ours. We have considerable expertise so will zero in on the right homes and it will be easy to make a decision!
Is the closing usually on the date shown in the contract?
The closing is rarely on the exact date in the contract unfortunately. It is meant to be approximate but don't take it literally. There is actually up to a 30 day period which is considered reasonable for both the buyer and seller to adjourn the closing. So it is Important to pay attention to when your bank commitment expires so you don't need an extension which is costly and somewhat complicated.
What can hold up a closing?
Lots of things: the property survey, missing CO's on the home, lawyers, banks. There are many things that can hold up a closing but our job is to keep these to a minimum so you don't become anxious.
What are the three most important things I should do to prepare my home for sale?
Remove clutter, paint and remove wallpaper, and remove old carpet. Also, of course the home should be sparkling clean. We will introduce you to a home staging service which will more than pay for itself. If you want to get "top dollar" for your home, this is a must!
I need a first floor master bedroom, or a first floor bedroom. How would I search for this in a home?
I can do that for you! We now have the ability to search our MLS for a first floor bedroom. So just let us know and we will set up a search for you!
I have a dog. How can I find a pet friendly building?
We have a list of pet friendly buildings on Cloud9Condos but they do change regularly, so just email me if you need an accurate list, or what to know what is available. We will need to know your dog's weight, and the breed, as some buildings are restrictive by weight and particular breeds.
I am interested in buying a bank owned foreclosure property. Aren't they usually the best deals?
Not necessarily. Foreclosures are best suitable for sophisticated buyers who are handy and have a lot of cash. The banks as sellers can be difficult to deal with and are generally not willing to make repairs or any disclosures as to a property's condition. The contracts are "as is" and are usually non-negotiable. You need to hire an agent and an attorney who is familiar with the process and you must be prepared to act quickly! For most buyers, I recommend they hire a buyer's agent and go with a less risky purchase. Most foreclosure properties need a lot of fixing up and might have hidden defects, so buyer beware! We do have expertise in this area and are always willing to help buyers make the right decision.
WE WOULD LOVE TO HELP WITH ANY OTHER QUESTIONS YOU MAY HAVE. JUST EMAIL OR CALL US AND WE WILL GIVE YOU OUR OPINION AS HONESTLY AS WE CAN!
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All reports reprinted from
REALTOR Magazine Online by permission of the NATIONAL ASSOCIATION OF
REALTORS. Copyright 2003. All rights reserved.
www.REALTOR.org/realtormag
