Home Current Listings Search the MLS Sold Properties Selling Process Buying Process Buyers/Sellers Testimonials Personal Resume Home Buyers Tips Home Sellers Tips Helpful Links Contact Me Home Sellers Tips Information for Home Sellers This is information every seller should have. It will help you sell your home faster and at a higher price. 10 STEPS TO SELLING A HOME Work with a Real Estate Professional Selling real estate is a complex and major transaction that involves many details. An experienced real estate agent can guide you through the process and help you avoid costly mistakes. A Seller's Agent is the one who represents your needs in the transaction. Most likely the buyer will have a Buyer's Agent to represent them. As your Seller's Agent, I am dedicated to providing you with the highest level of personal and professional service in the industry. With many years of sales and marketing experience, I can help ensure that your home selling experience is an enjoyable and stress-free one. Determine the Asking Price Obtain a "Comparable Market Analysis". This report will show you homes in your area that are similar to yours that have sold or are currently on the market. Before you determine a price, decide first how long you are willing to wait before you get an offer to purchase from a buyer. I will provide you with a "Comparable Market Analysis," most likely at our first meeting. In my report, you will see the average number of days that a home takes to sell in your area. The price you pick will strongly influence how long your home is on the market. If you set a price that is too high, then the "Law of Diminishing Returns" states that: after your home has been on the market too long, home buyers will assume that something is wrong with your home or your price, and you will usually receive less than what you would have received if you had priced it correctly to begin with. The first question a buyer should ask prior to making an offer is, "How long has the home been on the market?" The other issue is that you don't want to put yourself in a position of needing to sell. Approximately 80 percent of your showings will be during the first 3 weeks on the market. So pricing is very important and you should base it on the following: Current Overall Market Conditions Your Competition Recent Sales Your Motivation The seller sets the price of the home, but ultimately, the buyer determines the value. The Listing Agreement The Listing Agreement is an agreement between you and your real estate agent that allows the agent to represent you as your exclusive Seller's Agent. It covers the services to be perform, the fiduciary duties, the length of the agreement, the listing price and terms, inclusions, exclusions, any special instructions you might have as far as showing your home, or special needs for your animals while your home is on the market, etc. We will discuss in depth our agency relationship The Marketing Plan The objective will be to sell your home for the highest price in the shortest possible time. In order to achieve this objective, consider the following: Establish a realistic listing price for your property based on the Comparable Market Analysis. Prepare your home for showing -- do any repairs, replace, paint, and clean if necessary. Gain maximum exposure by placing your home in the Multiple Listing Service. Determine all possible avenues of advertising to gain maximum exposure locally, regionally, nationally, and worldwide: newspaper, magazine, and placements in numerous locations on the Internet, with pictures of the inside and outside. We will decide if we need to do a virtual tour also. I will listen to your input and we will make any adjustments in the Marketing Plan if necessary. Preparing and Staging Your Home To ensure success you must prepare your home for the sale. It is important to view your home objectively if you want to maximize your profits. First impressions are lasting impressions. The exterior of your home often determines how the buyers will view the interior, so make sure your front entrance is clean and inviting. Paint or replace your front door if it is faded or worn. Paint any shutters, trim, or any other outside features showing signs of wear. Buyers often see the surface condition of your home as a sign of what's underneath, so keep windows and floors clean. Refinish or replace worn woodwork. If you can, repaint any colored walls with a neutral color. Check and replace caulking in bathtubs and showers. Accentuate the positive, open draperies and curtains to let in the most light, and remove all unnecessary clutter. This will make your home appear larger and it will be easier for the buyer to visualize their things in your home. Also remove any excess furniture and place it in the basement or garage. It is very important if at all possible for you to be gone when there are showings. This will allow the buyer to feel more comfortable and they will spend more time looking. It is important to have a place for your animals during the showings. If you happen to be there when the buyer and their agent come, do not discuss the price, terms, possession, or other factors with the buyers. If there are any major issues you are concerned about, it might be a good idea to have a professional Home Inspector come out and give any recommendations before starting to market your home. This will put your mind at ease. Getting an Offer and Negotiation The time will come when a buyer will fall in love with your home and wish to make an Offer to Purchase. The Illinois Real Estate Commission provides standard Purchase and Sale forms that Realtors must use to write an offer. The Buyer's Realtor will then bring the offer to your agent who will present it to you. It is recommended that your agent inquire about the current status of the Purchaser's loan and other financial information to help you make a decision. You can either accept, reject, or counter the offer. Once you and the buyer have agreed in writing, the agreement becomes a binding contract. Your home will then be put "Under Contract." You may continue to show the home if you wish and take back-up offers. Buyer's Home inspection The buyer of your home will probably want to hire a Property Inspector to inspect the condition of your home. The contract will state how long the buyer has to complete the inspection and inform you of any unsatisfactory conditions. Allow about 2 hours for the inspection. It is better if you leave while the inspection is taking place. The Buyer's Agent will assure that your home is secured after the inspection. There are sometimes some items the buyer will request you to take care of prior to closing. You will have to come to an agreement with the buyer to keep the contract in force. The Title Insurance The contract states that you agree to provide the buyer with a Title Policy to insure clear and clean title. I will arrange for the Title company to issue a Title commitment. We will review the title work and you should have an attorney review the commitment if there are any problems that arise regarding the condition of the title. The Title company will also provide the buyer with a set of covenants, if there are any, and a Tax Certificate will be provided by the title company on your behalf showing the status of all property taxes. The Appraisal, Survey, and Final Loan Approval The buyer's lender will order an appraisal to determine the value of your home. The appraiser will measure your home and take pictures of the exterior, front, and back. The appraiser will need to come inside to measure rooms and will look at the condition of your home. I will be present when the appraiser comes to answer any questions he might have regarding current sales in your neighborhood. I will provide him with these comparable sales before he comes. The appraisal is a cost paid for by the buyer or buyer's lender on their behalf. All mortgage lenders require a survey of the property prior to closing. The survey will confirm that the property's boundaries are as described in the purchase and sales agreement. The surveyor will not normally need to come inside your home; he will be able to do all his work from the outside. He will then issue a certificate based on his finding. This will also show if you have any encroachments of any kind. The survey is the buyer's responsibility to pay for. Once these items are complete, the lender will then issue a final Loan Commitment Letter as stated in the contract. The Final Walk-Through and The Closing The buyer and their agent will do a final walk through either the day of closing or the day before. This is so the buyer can make sure everything is in working order and in the same condition as when the contract was signed. FACTS EVERY SELLER SHOULD KNOW Here are some important facts you should know before selling your home. These tips should help you avoid making costly mistakes. Rely on an Experienced Seller's Agent. Surveys show that people who sell their homes themselves often net less from sales than sellers who use an experienced Seller's Agent. In addition to providing a wide range of services, a Seller's Agent can save you money by using years of successful negotiating experience on your behalf. Pricing the Home Correctly. The pricing of your home will strongly influence how long your home is on the market. If you set a price that is too high and your home has been on the market too long, then home buyers assume that something is wrong with your home or your price and you will usually receive less than what you would have received if you had priced it correctly to begin with. Approximately 80 percent of your showings will be during the first three weeks on the market. Don't miss those buyers who think they cannot afford your home. Improvements to Make Before Selling. While it is important to present your home in the best possible condition, undertaking the wrong kind of upgrades will cost you money that you may not be able to recoup from the sale of your home. Painting, replacing carpet (if needed), and updating kitchen and baths are a few things you should be able to recoup. I will be glad to discuss the situation with you before you make any major improvements. Staging Your Home For the Buyer. The first impression is the most important one so make sure it is favorable. Your home should be clean and free of clutter. Start packing things that you don't need. This will allow the buyer to visualize their things inside your home. The outside of your home is as important to keep up as the inside. Be sure your home looks inviting and well cared for from the street. If you are competing with another home, most likely the one that is the neatest and cleanest will get the offer. Do Not Bypass the First Offer Without Serious Consideration. Frequently, sellers reject any first offer, believing that subsequent offers are bound to be higher. However, experience shows that the first offer can often be the best. This is especially true if the buyer making the offer has already looked at numerous homes on the market. So, if at all possible, consider the offer and see if you can make it work. WHAT IS A SELLER'S AGENT? The word fiduciary well describes the role a Seller's Agent has relative to the Seller. The Seller's Agent represents the Seller who is purchasing the property in the real estate transaction. This agent owes full fiduciary responsibilities, duties, and loyalty to the Seller. The Seller's Agent works for the Seller and has the Seller's best interests in mind throughout the entire transaction process. As your Seller's Agent, you can be assured of confidentiality and loyalty as I assist you in all aspects of selling a home, including the following: I will prepare a competitive market analysis report of all sold properties in your area and help you determine a fair market value for your home. I will advise you and explain how best to showcase your home to prospective buyers. I will aggressively market your home, attract qualified buyers, and help you sell your home in the shortest possible time. I will utilize my negotiating skills on your behalf to ensure you get the highest possible price for your home. I will assist you in all stages of the home selling process right through to the closing. Choosing an agent to represent you in a real estate transaction is an important decision. It is a good idea to interview several agents before making your selection. When selecting a real estate agent, keep in mind the following criteria: Service -- The Seller's agent should be willing to go the extra mile to help the seller sell their home in the quickest time and for the most money possible. Experience -- A Seller's agent should keep up to date on all aspects of the real estate market and make it a point to know what is going on in the area. Reputation -- Always choose an agent that has built up a reputation in the area as someone who is dependable, committed and honest. My professional goal is to ensure a smooth real estate transaction and earn your repeat business and endorsement to your friends and family. Your referrals are my future business. Most of my business is referrals. Well known for my ability to establish an easy rapport and my superior negotiating skills, I am proud of the respect and loyalty that I have earned from my clients. TIPS FOR SELLING QUICKLY AND FOR MORE MONEY If your home is in the best possible condition when you put it on the market, you will benefit by receiving higher offers in a shorter time period. Buyers often purchase based on emotion, and homes in need of repair or in poor condition generate the wrong feelings. There are some simple steps you can take to ensure that your home is presented in its most attractive condition. The Outside: Trim the shrubs around your home. They should reach only to the bottom of the windows. Ivy on the sides of houses should be removed for a cleaner look. Tree branches should be high enough so that a person can walk under them. Low hanging branches that need pruning give the impression of neglect. Place flowerpots on the porch and fill them with flowering plants. These provide an inviting entrance to your home. Give your front door a fresh coat of paint. Be sure the doorbell works properly. Clean off the mailbox. Wash the windows, windowsills, and bottom of window jambs. Remove children's toys from the front sidewalk and yard. The Inside: Open windows to give the home a clean, fresh-air smell. If you have dogs or cats, be sure to take steps to ensure your house is free from odors. Clean the carpets and wax or polish the wood floors. Be sure there is a bright light in the garage and in the attic. Clean out all closets, cabinets, and drawers. A good rule of thumb is to throw out things you haven't used in the past five year Make room in the closets, particularly the front hall closet, which is the first that gets inspected. If necessary, place rarely used items in boxes and out of sight. Store unnecessary furniture out of sight to give your home a spacious feeling. Clean the kitchen thoroughly. Be sure the oven, range, and refrigerator are all spotless. Clean off counter tops Freshly caulk the sinks, showers, and bathtubs. Clean the bathroom thoroughly. During Showings: Play quiet music in the background. Keep the shades and draperies open and turn on all the lights. Set the temperature in the house to a comfortable level Remove pets from the home when visitors are expected. Remove personal items like photographs and items not being sold with the house. Let your Agent show the house when you are not at home. Buyers like to imagine themselves in the home, and this is hard to do when the owners are home. THE IMPORTANCE OF COMPETITIVE PRICING One of the most important aspects of marketing your home is setting a realistic and competitive asking price. In addition to assessing the good and bad points of your home, you must have an understanding of the local housing market in order to set a competitive price. I will discuss with you the many factors that influence pricing, and together we will determine how to sell your home quickly, but for the highest price possible. Remember, a realistically and competitively priced home attracts more qualified buyers and usually results in higher offers. You may find it helpful to review the following points affecting the pricing of your home: Factors Affecting Your Asking Price: Location, square footage, and condition of your home Level of demand for homes in your area Amount of competition in your price category and area Recent sale prices of homes of similar size and in a similar location Availability of financing and interest rate levels How quickly you need to sell Whether you need to sell in order to finance the purchase of another home Factors that Don't Affect the Asking Price: What you originally paid for your home The cost of improvements you have made to your home What it would cost to build your home today How emotionally attached you are to your home Dangers of Overpricing: Qualified buyers won't consider your home, believing it to be financially "out of reach" Your home is on the market a long time, growing "stale," and increasing the perception that there is something wrong with it The highest and best offers usually occur in the first 30 days of listing your home. An overpriced home misses out in this crucial time period Your home helps similar homes that are priced more competitively to sell faster. It demonstrates these other homes offer a good value. Lowering your price later on gives the impression that your home is "unwanted". SPECIALTY MARKETS New Construction Relocation Buyer Representative Seller Representative First Time Buyers Copyright MorganSage.net, © 2004-2010. All rights reserved.