The process of guiding a home sales transaction is in
reality more complex than many people realize. When
qualified buyers present an offer on your home, it might
seem that the deal is done, but this is only the beginning
of the negotiations process. Ideally, this aspect of the
transaction culminates in a meeting of the minds. At no
point can the real estate agent just sit back and relax,
because the "glue" that holds each transaction together is
subject to a variety of factors and forces that may cause
the deal to fall apart.
We can only hope that there are no surprises during the home
inspections. We have to presume that the appraiser will
think the house is worth as much as the buyer and seller do,
but this is never guaranteed. As the buyers make their loan
application, we cross our fingers that the credit report
reveals they always pay their bills on time.
Rarely is a transaction completed without a few problems. A
real estate agent's professional skills come into play
primarily during the time between contract ratification and
the closing. At this point, we use our creativity, patience
and negotiating skills to achieve a happy resolution to your
transaction.
Active Marketing
It takes a lot more than a "For Sale" sign in the front
yard, a Multiple Listing entry, and an occasional ad in the
classifieds to get a home listing sold. Be sure to discuss
the details of the marketing plan with the companies and
real estate agents you interview about selling your home.
Real estate agents who provide high quality service will
usually have a written marketing plan tailored to fit your
home and your individual needs. A good marketing plan begins
with pricing the home appropriately. It involves exposing
your home to as many real estate professionals and qualified
buyers as possible. The agent's job is to get buyers through
your front door; your job is to ensure that the buyers like
what they see. Top agents are very active in finding
prospective buyers and in coaching sellers about how to
enhance their home's presentation. There are differences in
the marketing approaches of companies and individual agents,
so ask for a written plan to give you a clear idea of what
you can expect of your agent.
An Agents Role
Recent reforms in the disclosure laws and real estate
practices around the country have resulted in new options
for buyers and sellers. Real estate agents can take
different roles with buyers and sellers.
A seller's agent works with loyalty and fidelity as the
seller's advocate and negotiator, and is obligated to
disclose to potential buyers all adverse material facts that
are known about the property.
A buyer's agent works exclusively to negotiate the lowest
purchase price and best terms for the buyer. This agent
serves the buyer with undivided loyalty, confidentiality,
and full disclosure. The agent would know the highest price
that the buyer would be willing to offer for a home, but
could not disclose that information to the seller.
A dual agent can work for both the buyer and the seller by
written, informed consent of both parties and has fiduciary
obligations to both. The agent can only disclose to one
party what the other party allows to be revealed.
A transaction broker assists the buyer or seller or both
throughout a real estate transaction without being an agent
or advocate for any of the parties.
An Artful
Compromise
People who try to sell their own homes begin to appreciate
the expertise of professional real estate agents as soon as
their first offer comes in. They want to sell their home,
and they have found prospects who want to buy. But what
happens next?
When the negotiating process begins, things can get
"sticky". First, there are personalities involved, and real
estate transactions can be stressful and challenging. The
buyers may seem unreasonable if they make an offer that is
considerably less than the sellers are willing to accept. At
that point the buyers may become offended by the sellers'
attitude.
When professional real estate agents are involved, the
process is much less adversarial. The two parties see very
little of each other until the rough edges have been
smoothed out and there has been a meeting of the minds. Good
real estate agents know how to keep personalities out of the
transaction and to help both sides reach a mutually
agreeable compromise.
An
Inspired Real Estate Agent
Sometimes a good real estate agent may remind you of a
favorite aunt who is always trying to fix up her single
nieces or nephews with her friends' sons or daughters. She
really gets inspired when her efforts result in a great
marriage. We match prospective buyers with the perfect home
for their family--and when it works, we feel terrific! And
more important, our buyers and sellers feel terrific.
Sellers often have a strong attachment to a home that holds
many memories for them. It is important for them to know
that the new buyers will love it, too. While any sale can
potentially become complicated and difficult, problems seem
to work themselves out more easily if you have started out
on a positive note. This is one important reason why we work
hard to maintain a good rapport between the parties involved
in every transaction.
Choosing A Real Estate Agent
When you buy or sell a home, you want to work with a real
estate agent who has the experience and expertise to handle
such a complex transaction with a minimum amount of stress.
When choosing a real estate agent, you should look for
technical competence and interpersonal skills.
Ask prospective real estate agents several questions. How
long have you been in the business? How do your services
differ from those of your colleagues? Do you have a
principal broker/owner who works closely with you and serves
as a backup person if you are not available?
Keep in mind that there are no "right" answers to these
questions. Don't rule out a less-experienced agent who
brings energy and enthusiasm to the job. You want
personalized professional service from someone whom you can
trust to lead you through the process.
Consult
the Real Experts
When you buy your first home, you want the best advice you
can get. You want to show the house to friends and relatives
before you commit. They will probably tell you about all of
the things that went wrong during their own transactions so
you can avoid the same mistakes. These experts all have good
intentions, but so much advice can put you into a state of
high anxiety.
Real estate transactions are very complex, and difficulties
can arise. If you are buying your home with the help of a
professional real estate agent, your agent will know how to
make sure that any minor upsets do not turn into major
problems. A real estate agent's expertise is based on formal
training and experience in many real estate transactions.
Their reputation is on the line with each sale, so they are
highly motivated to make your purchase or sale go as
smoothly as possible. When you are dealing with a
professional real estate agent, you can worry about what
might go wrong if you wish, but you don't have to!
Discuss Your
Options
When you are working with a real estate agent to find a
home, it is very important that you take the time to discuss
the full range of your housing and financing options. Your
real estate agent wants to understand your criteria and your
expectations. Be very clear about the features you want in a
home, describing what elements are essential to you and
where you are willing to compromise.
When you start looking at homes, you may find that the
available homes in your price range require much more of a
financial committment than you were prepared to make. Let
your agent know if you are willing to consider alternative
mortgage options to increase your buying power. Discuss the
possibilities for buying in an area you had not previously
considered. Would you consider a house with the same
amenities in a different neighborhood, a "handyman special",
a smaller yard or fewer bedrooms? An open mind and honest
communication are crucial ingredients as you work with your
real estate agent to find the best possible home for your
needs.
Earning Your
Loyalty
When you begin to search for a new home, you will probably
encounter several real estate agents at open houses, through
friends or from signs or advertisements. Each agent would
like a commitment from you to work exclusively with him or
her. Is this arrangement in your best interest or is it
better to play the field?
There is a universal law that also pertains to real estate
agents--you get back from a relationship what you put into
it. If you are not convinced that one agent could possibly
fill all your needs, you may be overlooking the positive
aspects of a one-on-one relationship.
The first step is to find an agent whom you like and trust.
Don't be afraid to discuss your reluctance to work with one
agent exclusively, but be open to other viewpoints. You may
be pleasantly surprised by the open communication that such
an admission will establish right from the beginning! Making
a commitment to work exclusively with an agent is part of
the formula for success in real estate.
The strongest accountability is in the marketplace. A good
reputation and referrals from happy clients are essential to
a real estate agent's success!
Effective
Marketing
You are feeling a little hysterical--your home has been
listed for two weeks, and you have seen only one newspaper
ad featuring it. Although your house is being shown
regularly, you wonder if the agent is doing enough.
Sellers often equate effective marketing with classified ads
in the weekend Sunday real estate section. However, the most
skilled real estate agents know the market well enough to be
aware of where the prospective buyers for your home are
likely to come from. They will look for the best ways to
reach those people through direct mail, telephone contact or
specialized ads in neighborhood publications. They will also
work to get their colleagues excited about your house,
especially agents who have many listings or sales in your
neighborhood. And remember--it is important for you and your
agent to communicate often so you will know exactly what is
being done to sell your home.
Finding
A Real Estate Agent
Finding an experienced, reliable real estate agent whom you
like and trust is the first step in locating your new home.
Here is an approach to finding the right agent.
Call or stop by a real estate office and ask to speak with
the manager. Describe the type of home you are looking for.
The manager can refer you to an agent who knows that market
very well. You might also use weekend "open houses" as
opportunities to look for a real estate agent, as well as a
new home. It is really a matter of chemistry! If you meet
someone who is knowledgeable and with whom you feel
comfortable, call that person!
Once you establish a strong working relationship with a real
estate agent, your agent can show you a number of homes for
sale, even if they are listed with other companies. Often
the agent can show you a property as soon as it is placed on
the market. Many of the best homes never even make it to the
weekend classified section of the newspaper!
Finding Buyers
When a home owner tries to sell "By Owner", they basically
use two techniques to get the word out. They place a "For
Sale" sign in the front yard and a classified ad in the
local newspaper. When a seller lists their home with a
professional real estate agent, however, a very
sophisticated process is set in motion in order to
facilitate the home sales transaction.
Real estate agents have a backlog of prospective buyers for
the homes in their market. Through the Multiple Listing
Service, the agent cooperates with other brokers in the area
who will show your home to their prospective buyers.
Professional real estate agents also combine direct mail,
telephone calls, and specialized advertising techniques
incorporating media such as the Internet, to reach the sales
market. In this way we create activity on our listings that
help them to sell quickly--and for the best price.
Help Your Realtor
Once your home is listed for sale, it may be difficult for
you to step aside and let your agent take over. When
prospective buyers arrive, you may want to stand by to point
out the closet extenders, the hidden spice cabinet behind
the kitchen door, the energy-saving storm windows or the
updated copper plumbing. If you really want to help,
however, you will leave the house whenever it is being
shown!
We have found that the sales process does not really begin
until buyers have begun to voice their objections about a
property. Sometimes these concerns are serious enough to
remove your house from consideration. Often, however, people
voice objections as an automatic response when they really
love the house and want to buy it. Real estate professionals
are trained to know the difference.
If a seller is standing at the agent's elbow, the buyer
won't be comfortable enough to allow the process of raising
objections take place. If the buyer feels intimidated or
suppressed, we could lose the sale. The best way to help is
to give your real estate agent room to make the sale.
Know Your
Price Range
As a homebuyer, you may have found the perfect new house for
your growing family, but what if it is a little out of your
price range? You might list your current home for more than
it is worth and be lucky enough to find a qualified buyer
who is willing to pay the price, but it is impossible to
know in advance what your home will sell for.
If you want to sell your home quickly, have a frank and
detailed conversation with your real estate agent to
determine the best price for the house. Setting your price
within 5% of the fair market value of your home greatly
increases your chances of getting solid offers that will
result in a relatively quick sale.
Don't buy and sell so close to your target amount that you
become anxious when the numbers aren't as close as you would
like them to be. There may be other ways to increase your
buying power and get you into that new home, such as
adjustable rate mortgages or owner financing. When you are
selling one home and buying another, you will need more than
good luck. You will need a highly professional real estate
agent who can give you solid advice on how to make the
transaction work for your particular requirements.
Legal Documents
The stacks of papers that you have to sign in order to buy a
house can leave you confused. The person conducting the
closing will ask you to sign your name to countless
documents that are filled with "legalese". Some buyers just
barely glance at each form and sign them without a lot of
questions, while others find it very frustrating to try to
read every form at the closing table.
You should read and understand the papers you sign. If you
are getting a loan to buy the property, most of the
paperwork will come from the mortgage company. In most
cases, there is little time to read everything in advance
because the forms arrive at the closing office shortly
before closing is scheduled to begin. Most of the documents
use standardized language, however, and you should be able
to get copies of the documents ahead of time from the lender
so that you can have your questions answered and be
comfortable with the settlement process.
Liens
Against the Title
Occasionally homeowners who are trying to sell their home
are surprised to learn that their title is encumbered by a
lien. There are several types of liens; the most common are
mechanic's or contractor's liens.
The lien (or debt) must be paid off in order to be cleared.
If the owner prefers to challenge the lien, he can release
it by posting a bond, pending adjudication.
In some types of liens, a title search may disclose claims
against the property by an ex-spouse or long-ago heir of a
former owner. A simple "quitclaim" deed may be used in these
cases. By signing the deed, the person involved signs over
whatever rights he or she might have, without laying any
claim to the property.
Most real estate transactions involve at least some minor
unresolved issues on the part of either the buyer or the
seller. This is where an experienced real estate agent can
provide solutions to resolve the issues and conclude the
sale.
Listening
To Your Needs
Some buyers purchase the exact kind of house they said they
were looking for, in the neighborhood they preferred. Other
buyers surprise us by falling in love with a house that is
the complete opposite of what they originally wanted.
Real estate agents listen carefully when buyers describe
their needs and preferences. We screen our current inventory
of homes to come up with possible matches. Since there is
almost always some compromise involved when selecting a
home, we may suggest alternatives that might work for
buyers.
If you like a specific neighborhood where there are no homes
in your price range, we may suggest homes in other areas
with similar amenities. If you want four bedrooms, and one
of them will be used as a home office, we may look for a den
or family room that could serve your needs. When you look at
houses, remember that your feedback is important to us--and
it won't hurt our feelings.
Listing
Presentations
The listing presentation is the first step most sellers take
when they are looking for a real estate professional to
market their home. They communicate what they expect from
the real estate agent who will list their home, and the
agent explains their marketing strategy, including pricing
recommendations, advertising, and any special programs they
or their companies offer.
A good listing presentation takes careful planning. A
written market analysis will help you get a clear idea of
local market conditions. Many real estate agents will
include a marketing plan, as well as suggestions on how to
make sure that your home shows well and is accessible to
agents. If you are talking to several companies, resist the
temptation to go with the person who quotes you the highest
price for your house. Look for an agent who is well
prepared, professional, and has the best ideas. The most
successful transactions involve careful collaboration
between the sellers and the real estate agent.
Locate Your
Lifestyle
If you are looking for a new home, it is important to
communicate with your real estate agent about any special
aspects of your lifestyle that will influence your choice.
This information will help your agent to locate the perfect
home for you and your family.
Are you a gourmet cook who loves giving lots of parties? Do
you want space to accommodate hobbies such as painting,
photography, or woodworking? Will your decision be
influenced by the accessibility of a community gym, a golf
course or tennis courts? Does your son need space to
rehearse with his rock band? Do you need a home office? Are
you planning to enlarge your family? Is there someone in
your household who cannot climb stairs?
Knowing the significant factors that will influence your
housing decision helps us to narrow the selection of homes
on the market.
Making Choices
Buying a home isn't easy. You may have a good idea of what
you want and how much you want to spend, but your search
produces a wide array of homes on the market and a
bewildering set of financing options.
As your real estate agent, my job is to minimize the
confusion and help match you to the best home and loan for
your needs and pocketbook. I will listen to your
requirements and eliminate from consideration the properties
that aren't suitable for you. If there is a gap between your
taste and how much you feel comfortable spending, I can help
you decide where to compromise and can suggest financing
plans to increase your buying power. When you have selected
a home, your next step is to find a lender, a qualified
structural inspector, and a termite inspector.
Market Trends
Last summer your neighbors put their house on the market and
had so many buyers that they were on the winning side of a
bidding war. Now you are trying to sell your home, and
there's just no action.
The real estate marketplace is very unpredictable. Many
factors come into play, the most important being interest
rates and prevailing sales prices. In a strong seller's
market, prices tend to escalate until they reach a certain
point where buyers begin to just say no and listing
inventories increase. When this happens, sellers who price
their homes at the higher level of previous sales prices
must re-think their pricing strategies. If they don't, their
homes may not sell. Whether you are buying or selling a
home, it is important to remember that the shift from a
seller's to a buyer's market can occur very quickly. You can
count on us for sound advice on what phase the market is in
right now.
Marketing
When you list your home for sale, you and your agent must
work as partners to ensure it sells as quickly as possible,
and for the best price. While you take the necessary steps
to make your property look good inside and out, your real
estate agent will go to work to make sure your home is
exposed to qualified buyers.
Real estate agents work with each seller to develop a
written marketing plan. This enables you to know what your
agent is doing to sell your home and what you can expect to
happen while your property is on the market. It will also
include suggestions on how to make your home sell. There
will be regular communication between you and your real
estate agent from the day the listing agreement is signed.
The agent will give you progress reports and feedback from
the people who have seen your home. You will also have
frequent opportunities to ask questions and discuss changes
in the marketing strategy.
Marketing
Techniques
When a seller lists a home with a real estate agent, a lot
of brainstorming follows. Who are the potential buyers,
where do they live and work? How can they be reached
effectively with information that will attract them to this
particular property?
In addition to advertising each home on the widely used
Multiple Listing Service, professional real estate agents
employ marketing techniques tailored to the individual home
they are selling. An agent will review various buyer lists
to find potential purchasers. They will use telephone and
direct mail marketing, produce property flyers and advertise
on the Internet, in the newspaper, in community publications
and in real estate magazines. Contacts will be made to other
agents who sell homes in the area to encourage them to show
the home to prospective buyers.
Real estate agents combine pro-active marketing with
realistic pricing to generate results for their home
sellers.
Multiple
Listing Service
When you list your house with a real estate agent who
participates in the Multiple Listing Service (MLS), you get
a lot of service for your money. Depending upon the MLS
region, there may be hundreds of participating members.
The real estate agent who lists your home works to get it
sold. This is done by marketing directly to home buyers, but
an even more powerful tool is marketing your home to other
agents who have buyers. Your real estate agent makes all the
crucial information about your home available to the other
members through the MLS. Information such as your home's
location, size, the number of rooms, the style of
architecture, what personal property is included, and any
other special features is posted. The MLS description will
also contain information about any special financing that
might be available, showing instructions, and special needs
you may have with respect to closing. The MLS is a powerful
tool for real estate matchmakers.
Negotiating
Factors
Negotiations for the sale of a home can be affected by
emotional factors. For example, it is easy to be offended by
someone who is making an offer on your property. Even if the
buyers love your house, they are trying to negotiate the
best possible price and terms. They probably will not let
you know how much they want your home until they have
negotiated a purchase agreement.
Buyers almost never write offers that please the sellers
entirely. Offers and counter offers may be traded back and
forth over days or weeks. Terms of the sale will be
discussed and deadlines will be set. When there is finally a
meeting of the minds, both sides may feel relieved but
exhausted by the process. One of a real estate agent's most
important jobs is to act as the intermediary during such
negotiations. With our knowledge of financing, negotiation
procedures, and the tax laws affecting real estate sales, we
come up with creative solutions to the challenges that may
arise.
Purchase
Negotiations
If you are selling your home, you should be prepared for the
day your first offer comes in. When your real estate agent
calls to say there is an offer on your home, you will
naturally get excited. When your agent describes the offer,
you will probably experience an adrenaline rush. Whether the
offer is good or bad, you should just remain calm--and
discuss a counter-offer with your agent. The negotiations of
a purchase begin with the buyer's ideal terms and a counter
offer that communicates the seller's ideal terms.
A good agent will look beyond the price when evaluating an
offer. If the buyers' financial qualifications are shaky or
the offer includes potentially problematic terms or
conditions, your real estate agent should be there to
minimize any risk to you and to address these items in your
counter-offer. Your agent's job is not to make a decision
for you, but to be sure that you understand fully what the
offer includes and what is expected.
Real
Estate Agent Referrals
It takes time for real estate agents to build a business.
Since a lot of our success depends on referrals from
satisfied buyers or sellers, we work hard to exceed your
expectations for service.
If a real estate agent has done a superb job of selling your
house or finding you a new one, the best way to say "thank
you" is to give that person's name (and phone number!) to
anyone you know who is considering a move. You are not only
doing the agent a favor, you are also directing your friends
to a competent, knowledgeable and experienced salesperson.
Buying a house or condo can be a little scary if you don't
have a strong professional guiding you through the process.
Real estate agents try extra hard to please referrals of
friends or pleased customers. We are in the business for the
long term and prosper by giving consistently high quality
service.
Real Estate Agent Representation
Which party in a real estate transaction is represented by
the real estate agent--the buyer or the seller? Until
recently that question was never asked because the answer
was always the same. Traditionally all the marketing
professionals involved in real estate transactions were
legally and ethically obligated to conduct business on
behalf of the seller. They may have aided the buyer in
certain situations, but their client was the seller. Today
that is not necessarily the case.
In a time of increasing specialization, buyers can be
represented by a real estate agent who functions solely as a
buyer's broker. In this case, the sales professional helps
the buyer locate a home, negotiate the price, and is
responsible to the buyer only, for an agreed-upon fee or a
percentage commission.
In any real estate transaction you have the right to know
which party the real estate agent is representing.
Real
Estate Agents' Language
Technical terms can be confusing to people who do not work
in a profession, and real estate agents use language that
may be confusing to many home buyers and sellers.
If you find your eyes glazing over when your real estate
agent starts talking about escrow, clear title, easements,
encroachments, contingencies, financing, appraisals and the
closing process, don't hesitate to ask for a translation.
Buying or selling a home is a major step, and professional
real estate agents are totally committed to helping you
understand the process thoroughly so that you can make
informed decisions.
The simple transaction of trading the sellers' house for the
buyers' money has become complicated by several hundred
years of custom, common law, and state and local government
requirements. Consumer demands have resulted in up-to-date
rules that communication be as clear and understandable as
possible. Real estate agents work to create an atmosphere in
which you feel comfortable to ask questions
Real estate agents begin their professional relationship
with buyers by asking numerous questions about the buyer's
personal and financial situation. The answers to these
questions will give the real estate agent a clear idea about
the buyer's housing needs and price range. It is a waste of
time for an agent to show a buyer homes they can't afford,
and it can be disheartening to consider unrealistic
possibilities.
In order to do a great job finding you a home, your real
estate agent needs to have some basic information about your
income, debts, and the amount of cash you have available for
a purchase. Your agent also needs to know something about
your lifestyle. How large is your family? Where do you work?
Do you have school-age children? Do you enjoy entertaining?
What hobbies would you like to accommodate?
The real estate agent who helps you find your new home will
get to know you very well, so it is very important that you
feel comfortable with that person and free to communicate
openly.
Real Estate
Finesse
Many changes can occur in a real estate transaction between
the initial meeting of the minds and the completion of the
sale. This is where having a professional to handle the sale
of your home makes a big difference.
Real estate professionals view such changes as challenges,
rather than problems. Many potential problems are
predictable, but their consequences can be minimized by
anticipating them. Real estate agents draw on their
experience and the experience of their colleagues to ensure
a successful closing for the buyers and sellers. When
disputes arise, our expertise helps to create a win-win
situation. This approach to selling real estate makes the
difference for my buyers and sellers. I go the extra mile to
handle the countless details and to keep my buyers and
sellers informed at each step of the transaction.
Real
Estate Match-Makers
When you list your house with a real estate agent who
participates in the Multiple Listing Service (MLS), you get
a lot of service for your money. Depending upon the MLS
region, there may be hundreds of participating members.
The real estate agent who lists your home works to get it
sold. This is done by marketing directly to home buyers, but
an even more powerful tool is marketing your home to other
agents who have buyers. Your real estate agent makes all the
crucial information about your home available to the other
members through the MLS, such as location, size, the number
of rooms, the style of architecture, what personal property
is included, and any other special features. The MLS
description will also contain information about any special
financing that might be available, showing instructions, and
special needs you may have with respect to closing. It is a
powerful tool for real estate matchmakers.
Real Estate Sales
Making a move gets high marks on the stress scale, whether
you are buying or selling a home. Not only is there a lot of
money involved, there is also lot that can go wrong in a
real estate transaction.
A professional real estate agent works to minimize the
stress involved in the process and to make your closing as
smooth as possible. The agent will monitor the progress of
the loan application and check on the paperwork. He or she
will remind the sellers about any repairs that need to be
made before the closing and will assist both parties in
coordinating the closing and their moves. The real estate
agent will also help ensure a smooth transition by reminding
the sellers to arrange for final utility readings and the
buyers to set up new utility account.
Referrals
You leave the closing feeling really good about the way your
agent handled the sale of your home. It was priced well, and
by following your real estate agent's advice on how to show
your home to its best advantage, you sold it quickly. The
agent followed up with the lender and the appraiser to make
sure that things went smoothly and that small problems
didn't become big ones. You had heard stories from friends
about their stressful moves, and you are relieved and happy
that you were spared any serious mix-ups. How do you say
"Thanks for a job well done" to your agent?
Real estate agents depend on referrals for a big part of
their business. An agent who has served you well will
probably do a professional job for your friends or
colleagues. The nicest thing you can do for a good real
estate agent is to pass their name on to prospective buyers
or sellers.
Responding
to Low Offers
The beginning of negotiations is usually the end of many
months of hard work for the buyer or seller. The work ahead
requires skill in order to maintain a strong position.
Sellers can lose their advantage if they do not counter an
offer that a buyer has made. Even if the opening offer is
beneath what the seller feels is reasonable, it is advisable
for the seller to respond with a slight reduction from the
asking price. The most important component in negotiating is
good communication.
The best way to handle a low offer is to counter it with
definite terms that are favorable to the seller. A counter
offer has two advantages: 1) it keeps the buyer interested,
and 2) it moves the negotiation forward and gives the buyer
the opportunity to submit another offer that the seller is
more likely to prefer.
Reviving the
Listing
In every town there are homes that sell rather quickly,
while others linger on the market. Real estate professionals
suggest numerous approaches to maximizing a home's curb
appeal -- everything from fresh paint to new landscaping.
But if the "For Sale" sign in front of your house has become
a neighborhood fixture, it is important to work with your
real estate agent to keep your listing fresh.
Whenever your house is shown, the real estate agent will get
feedback from the buyers or other agents about what they
liked about your house and what did not work for them. Allow
your agent to be completely frank with you about any
feedback he or she receives. Listen with an open mind and
with the understanding that there is nothing personal about
these comments. Don't delay in implementing any of the ideas
that make sense to you.
Your real estate agent's job is to come up with new ideas
for marketing your home in order to get buyers inside. Your
job is to ensure that your house looks its best.
Sales
Professionals
A real estate agent's job is to sell your home for the
best price, in the shortest time. Another important part of
the agent's responsibility is to make the sales process as
easy as possible for you, the seller. Your real estate agent
can eliminate much of the hassle involved in selling your
home, while providing you and your family with the "peace of
mind" you need during this sensitive time. Your agent can
help you avoid the inconvenience of having buyers stop by
unannounced to see your home or your wasting time with those
who are not financially qualified to buy your home.
When you list your home with a sales professional, you
get an array of valuable services, including the widest
possible exposure through Multiple Listing Service. This is
the best vehicle to get the most qualified buyers to see
your home.
Selecting A Real Estate Agent
Finding the right real estate agent to help you in your
search is the important first step to take when you are
ready to buy a new home. Some people feel it is better to
use someone you don't know--I can't agree with this thought
because someone you know will usually go above and beyond
the call of duty and have you as top priority at all times.
Knowledge, professionalism and experience are the important
factors to consider when selecting a real estate agent. You
should also look for someone who listens carefully to what
you want in a new home and who knows the market well enough
to find the right house for you within a reasonable period
of time. Be comfortable with the person you choose. If you
feel like the real estate agent is sensitive to your needs
and desires, you will feel confident working with that
person.
Selling
Before Buying
Timing can sometimes be difficult if you have to sell a home
before you can buy another one. Most people need the equity
from the sale of their first home for the down payment on
the new house. If your present home goes on the market
first, you may be concerned that it will sell before you
find the one you want to buy. On the other hand, if you find
the perfect home before your present home is under contract,
the sellers may be reluctant to accept your offer, and you
may be too nervous to sign a contract.
It is a good idea to sit down with a good real estate agent
for some professional advice before you begin your search.
It will probably be necessary to be flexible on the closing
date, because it can be easier to find a home that you want
to buy than to sell your present home. After finding the
house you want, you can ask the lender about arranging a
short-term bridge loan that can make the purchase possible
before you sell your current residence.
Selling For
Top Dollar
When you get serious about selling your home, the chances of
your selling it quickly for top dollar will improve
considerably if you list it with a real estate sales
professional. If you doubt this, consider the fact that
eight out of ten homes sold today--more in some markets--are
listed with a professional real estate agent.
Listing your home places it on the local Multiple Listing
Service that is subscribed to by a majority of real estate
sales professionals. Through the MLS listing, your home is
assured of getting the widest possible exposure to the
market place.
Some buyers shop the home market on their own, but most save
time and money by using the services of a real estate sales
professional. Ask yourself which homes the real estate agent
is going to show the prospective buyers--homes listed on the
MLS or those that are not?
If you still want to try to sell your own home, be aware
that you will face stiff competition when it comes to
attracting qualified buyers.
Selling,
Selling, Sold!
Although your real estate agent is responsible for marketing
your property, it requires a joint effort to get your home
sold.
How can you empower your agent? It is very important that
you feel absolutely confident in your agent's ability to
produce results--no matter what the market is like in your
area! This may sound like stating the obvious, but it is
important to let your real estate agent know you trust them
to get the job done. Support that trust by putting a
realistic price tag on the property and keeping it in prime
showing condition. Work out showing agreements that will
make it easy for agents to preview or show your home. Meet
periodically to discuss any feedback from buyers who have
seen your home to determine how you can improve its appeal.
Don't hesitate to share any ideas you may have about
marketing your home. I will try anything that works, and
have received some very good suggestions from clients.
Sold!
Some things are hard to measure, and others are easy.
Success in a real estate sale is easy. It occurs when the
"SOLD" sign is in your front yard. And having that occur as
quickly as possible is the goal of every real estate agent
and every home seller.
You have undoubtedly heard that old saying about the "hard
way" and the "easy way" to do something. The hard way to get
the "SOLD" sign up is to try and sell it yourself. And the
easy way is to use the services of a sales professional,
someone who is not only trained to get it sold, but to get
as much for your home as the market will bear.
Remember, the agent doesn't get paid until your home is
"SOLD". And the amount they earn in commission is dependent
upon the amount of the sale. That's a lot of genuine
motivation to do the job right. Save yourself headaches and
frustration when you are ready to sell--call a professional
real estate agent.
Stand By Me!
Real estate transactions are complicated and unpredictable.
Professional real estate agents are trained to handle the
many facets of buying a home. A good agent is an invaluable
asset to your venture if you are in the market for a house.
When you find a real estate agent with whom you feel
confident, it is good to enter into a committed working
relationship with that person. Concentrating your search
with one agent will allow that agent to become truly
familiar with your needs, desires, and financial capacities.
Maintaining loyalty to the real estate agent of your choice
will bear you more fruit than scattering your attention
among several agents. An agent who feels your commitment
will devote his or her entire energy to finding the right
home for you.
Target Marketing
As soon as the listing agreement is signed, your real estate
agent will begin the search for a buyer for your home. This
means directing our marketing efforts to target groups of
individuals who are likely to be attracted to the amenities
offered by your home and neighborhood.
If your property is near a new office park, your real estate
agent will look there for prospects who want to live near
their work place. If it is an historic property, the local
preservation society may have a publication in which to
advertise. Your agent may call or write to the neighbors who
may know someone who would be attracted to your home. When
your home is being marketed professionally, your agent will
do a lot more than just feed the listing into the MLS and
place an occasional ad.
Tell Your Agent
Good communication will enable you to get the best service
from the real estate agent who is helping you to buy or sell
a home. If you have any concerns, make them known not just
to your spouse, your mother and your co-workers, but to the
person who can do something about it--your agent!
Real estate sales are extremely complex transactions which
involve negotiating large sums of money and turning over the
largest single asset most individuals will ever own. Since
the possibilities for misunderstandings are great,
professional real estate agents work hard to ensure that the
transaction will go smoothly. This requires clear
communication between the buyers and the sellers and other
agents.
Most of the breakdowns in real estate transactions result
from vague or inadequate communication prior to the signing
of the contract. Express any concerns that you may have and
ask about anything you don't understand--the only foolish
question is the one that isn't asked!
The
Best Real Estate Agents
The best real estate agents in today's marketplace are
becoming even better about marketing the homes they list to
the public, as well as to other agents who have potential
buyers.
When you are interviewing prospective real estate agents to
help you sell your home, ask how they find buyers. In the
past, a "For Sale" sign would go into the ground, the basic
information went into the Multiple Listing Service, and then
there was an occasional Sunday classified ad and an "open
house". If the house did not sell right away, the agent
might recommend a price reduction.
Agents today are much more sophisticated and pro-active
about getting people into their homes. They rely on
computers, direct mail, telemarketing, and just plain clever
ideas that no one else has tried. Ask prospective listing
agents for two things--a written analysis of what is
happening with housing prices in your area and a marketing
plan which outlines how they would get your home from "For
Sale" to "Sold.
The Buyer's
Preferences
Although every purchase of a home involves a degree of
compromise, the process begins with the buyer's preferences.
When you are working with a real estate agent, it is
important that you give your agent a clear idea which of
your criteria are flexible and which items you really must
have in your new home.<BR
If you prefer a specific location, for example, discuss why
you want to live in that neighborhood. The agent might be
able to suggest alternatives areas which offer the same
amenities or convenience to your office. How important is
size? Do you really need four bedrooms or would three
bedrooms work, if there is a den for your home office? How
much are you willing to correct with redecorating or
remodeling? Are you willing to expand your price range by
using an adjustable rate mortgage to increase your buying
power?
We will ask you a lot of questions so that we can use your
time most efficiently by showing you houses that meet your
criterion as a buyer.
The Exclusive
Sale
The most common and popular arrangement to have with a real
estate agent when selling a specific property is an
"exclusive right-to-sell". This type of agreement has
advantages for both the broker and the seller. It allows an
agent to give his or her full attention to marketing a
seller's home or property for a certain period of time
without competition from other real estate companies.
Within such an exclusive arrangement, the real estate agent
shares the listing with national and worldwide referral
networks through the Multiple Listing Service that is
subscribed to by most real estate sales professionals. The
MLS listing assures your home of the widest possible
exposure to the market place.
The Listing Agent
Only approximately 2% of all listings nationwide are sold by
the listing agent. When you list your house with me, I will
try my best to sell it myself, but more importantly, I will
simply get it sold.
Colleagues in my firm or real estate agents who are
affiliated with a cooperating broker may sell my listings.
This is why I work hard to maintain a reputation for being
very professional and easy to work with. I make the homes I
list as easy as possible for other real estate agents to
preview or show to buyers.
When you select a real estate agent to market your property,
you are hiring them not only for their list of prospective
buyers, but for their ability to tap the lists of other
people in the business. I constantly lobby among my
competition, asking if they have seen my listings, getting
feedback and urging them to add my listings to the short
lists that they show when they have a prospective buyer.
The Perfect Home
When we help prospective buyers locate a new home we listen
carefully to their goals. What are their criteria for
selecting a neighborhood, what style of house do they
prefer, what price range and floor plan meet their needs?
Will any special considerations go into making the home
buying decision? When we have a good picture of what the
buyer wants, we will go to work to find the best property on
the market that will accomodate those needs.
Our agents succeed when they can make our buyers' goals
their goals. Finding the perfect home is a collaborative
effort. The buyers communicate what they want, why they want
it, and where compromise might be possible, and the agent
listens carefully and selects the homes that come as close
as possible to meeting the needs expressed. When there is
trust and communication between the buyers and the real
estate agent, miracles can happen! Creating these miracles
for buyers and sellers is "Job #1" for us.
The Pheromone
Factor
Pheromones are mysterious little chemical sensors that are
supposed to have a lot to do with whether or not we are
attracted to people. They may also play a big part in the
way people react to houses.
If you have a house on the market, it will be important to
ensure that the pheromone factor is as high as possible--so
that the prospects who come inside will involuntarily pull
out their checkbooks and offer to pay your asking price. A
good real estate agent can give you some important hints
about maximizing your home's ability to attract buyers. This
could mean completely airing out every room to eliminate
musty odors, or allowing enough time for freshly painted
walls to lose that telltale toxic smell.
Unless you are already compulsively neat, you may need to
make temporary changes in your housekeeping habits to ensure
that your home is both fresh-smelling and sparkling clean.
Sometimes this will involve hiring a professional cleaning
service. Give your real estate agent the space to speak
candidly about what you need to do to make your house looks
its best.
The Real Estate Agent's Advantage
How do real estate agents sell homes? When a professional
real estate agent is retained to sell a home, the agent will
initiate a sequence of activities that has proven effective
for selling homes quickly and for the maximum market price.
The real estate agent will do a market analysis by comparing
the home with similar homes in the area to establish the
optimum asking price. The next step will be to guide the
owners in the preparation of their home for showing. A
description of the home will be inserted into the local
Multiple Listing Service, a centralized computer databank
used by most sales professionals to inform other real estate
agents in the area about the home. The agents will contact
their buyers who are in the market for a home.
Does this system work? 85% of the homes sold today use this
method. Enough said!
The Sniff Test
The sense of smell is a powerful motivator. When prospective
buyers walk into a house, it is better for them to smell
freshly baking oatmeal cookies rather than kitty litter.
You may not notice odors that others may pick up as soon as
they walk in the door. If your house is for sale, ask a
friend or neighbor to give it a "sniff test". If there are
offensive smells, how do you get rid of them?
Sometimes there are obvious and simple solutions--a good
scrubbing, the old vanilla-on-the-light-bulb trick,
essential oil diffusers or throwing out the dog's special
chair. You can temporarily declare your home a "no smoking"
zone. You may need professional help for cleaning carpets
and drapes or deodorizing walls and wood floors. Your real
estate agent will be able to provide you with a list of
cleaning services which can assist you in making your home
smell clean and fresh.
We Don't
Take It Personally
Negotiating the sale or purchase of a home is a highly
creative endeavor that can be stressful at times. Even
though the process is not usually an adversarial one, there
are issues which may require a compromise from each party,
such as the price, the date of possession, and the condition
of the property at closing.
It helps to know why people are relocating. If a home is
part of an estate, for example, it may evoke childhood
memories and intense emotions for the person who is
overseeing the sale. If the sellers are in the middle of a
divorce, their mood will be different than someone who has
just won the lottery and is moving to their dream home.
Buyers who have been transferred and have to leave their
dream home behind will feel differently from someone who
feels that your home is their "ideal". One of a real estate
agent's most important jobs is managing all of the
relationships in the transaction. These situations don't
often get really difficult, but when they do, we don't take
it personally.
When to Take a
Walk!
Your agent calls to say he is bringing prospective buyers to
see your home at 2:00 p.m. You quickly straighten up the
house and run the dishwasher. What should you do then? If
you have to let them into the house--then take a drive or
walk the dog!
Many owners think they should linger close by while their
home is being shown. They are afraid that the real estate
agent might miss the storage shelves in the basement or
forget to point out the beautiful new floor in the kitchen.
It is better for the agent to miss something than for you to
be ushering the buyers around, so resist the temptation to
stay while your house is being shown.
Buyers usually base their decision to buy on an attraction
that often has more to do with emotions than pure logic, and
a lot goes on between buyer and agent during a showing. The
buyer needs to evaluate the home's pluses and minuses, and
the agent needs the opportunity to work with the buyer's
objections. This process cannot take place comfortably if
the seller is on the scene.
Why Isn't It
Selling?
Your home has been on the market for six months, and it just
isn't moving. How can you introduce some extra energy into
the sale?
The first thing you should do is have a frank talk with your
real estate agent in order to get feedback from prospective
buyers who have seen your home, and other agent who have
shown it. Does your home look its best? Is it accessible for
agents to show on short notice? Is the price in line with
the rest of the market? Do you need to consider neutralizing
any strong decorating features that may not have wide
appeal?
Getting your home sold is a collaborative effort between you
and your real estate agent. It is important for your agent
to market your property aggressively, but you must do your
part to ensure that buyers see a home that is as appealing
as it can be. Ask your agent for any new ideas that will
create results.
Working With
A Realtor
It is not unusual for homeowners to yield to the temptation
to try to sell their own home. It seems easy enough--just
place an ad in the weekend paper and wait for buyers to show
up. Although it may seem simple, real estate sales
transactions are extremely complex proceedings.
The first pitfall can come with pricing your property
realistically. Homeowners often price their property too
high initially, then drastically slash the price when weeks
go buy without an offer. Even if a prospective buyer agrees
to the initial asking price, there could be complications if
the buyers begin to feel that they have agreed to pay too
much, or if the lender's appraisal values the property at
far less than the agreed-upon price. Some of our clients
hired us to market their home professionally after weeks or
months of trying to sell their own home, or after their
transaction fell through
