Tag Archives: sellers

A New Home Seller Resource

Wow! Today’s market is crazy. Homes are going under contract within days of being listed and are generally being sold for more than what fair market price was a mere month ago. It is a Seller’s Market for sure.

Values continue to rise

I want to talk about a few things.

  • Why do people hesitate to sell?
  • You’ve Got an Offer – How to be sure the Buyer is going to be able to buy?
  • What is your home worth right now?
  • What are things to consider when selling a home?

Some people are hesitant to sell because they have nowhere to go. As a Realtor, I can make several recommendations to help you with that. Let’s say we are out looking at new homes for you because you have decided to downsize a bit and pull your equity out of your current home while it is so high right now. While you are looking, someone makes an excellent offer on your home – one you don’t want to pass up. What to do? Well, we can write in a contingency to the contract that says the closing date will be determined by the purchase of your yet-to-find home. So, when you go do find a home and close on it, we also close on the sale of your home. It takes coordination, but that is one thing your Realtor is there for. Let’s say you just aren’t finding what you want – but you don’t want to pass up the excellent offer you have received. We could ask for a later closing date or you could consider temporarily storing your household goods and renting a small home or apartment until the right forever home comes available. If you decided to buy a new construction home, this is definitely a consideration because they are taking four to six months from start to finish on the new homes.

Another option would be to close on time, bank the money, and then rent your current home until you find something to buy. There are some buyers out there who would gladly accept this option, especially if they planned to buy your home as a rental investment property anyway. It gives them an instant reliable tenant and saves you money on storage fees. There are other options to consider as well and I would be happy to discuss them with you.

We are living in a time of historically low mortgage interest rates. As a Seller, when you receive an offer, I would recommend you require the buyer to get a second opinion on their loan. There are loan companies out there that are giving pre-approval letters out without verifying the financial ability of the buyer to actually buy. Prosperity Home Mortgage is a Berkshire Hathaway affiliated company that has instituted reliable pre-qualification procedures that almost guarantee the buyer will be able to close. Most lenders do a quick credit check, ask for income and liability information and print out a pre-approval letter. Then they being the process of gathering supporting information. Even then, they don’t run the file past an underwriter until a contract has been signed and the appraisal conducted. So, at the nth hour, the buyer could be turned down. With Prosperity’s Home Buyer Advantage Program, they underwrite the person (now, doesn’t that make more sense?) and then you just have the appraisal to deal with, but the buyer’s ability to borrow is guaranteed at that point. And with the Second Opinion Guarantee program, Prosperity can normally beat the rates of other companies, thereby saving the buyer money in the long run, so there is no downside them getting a second opinion.

How Much Can You Expect to Sell Your Home For? Using some powerful algorithms. our automated system can give you a pretty good estimate of your current value. However, it can result in a wide range of values because it doesn’t take into account any upgrades you may have made to your home. It only knows who has sold a home similar to yours, near yours, within the last few months. But it gives you a starting point to work from. Then you can call either myself 404-903-7653 or Greta 908-303-0136 to get a personalized market valuation.

What Is Your Home Worth?

Thank you reading my Blog. Since you hung in here with me for this long, please accept a digital copy of my new book, Secrets Every Home Seller Should Know. See you next time.

Inside Home-Selling Tips

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Why You Shouldn’t Try to Sell Your Home Yourself

RE0047

FOR SALE BY OWNER?

Everyone knows the market is slowly recovering. The Fed has even hiked interest rates (well, hiked may be a bit of an exaggeration) as an indicator that the US housing market, among other economic factors, is on the mend. As a result,  some homeowners might consider trying to sell their home on their own, a phenomena known in the industry as a For Sale by Owner (FSBO). There are a lot of on-line marketing schemes which have been set up to help FSBO participants. All you need is to put a sign out front and an ad on a FSBO website and you are good to go, right? How hard can it be?

Well, Tom Ferry, a well known Real Estate guru recently tweeted, “Studies have shown that the typical house sold by the homeowner sells for less than when it’s sold by an agent

It’s a great article I would encourage anyone thinking of selling by themselves to read it.  I want to emphasize a couple key items. This is not like selling your car. You cannot pull out the registration, flip it over and sign it over to the new owner. It doesn’t work that way. Especially when there is a mortgage in place which must be paid off and the buyer is getting a new mortgage.

The paperwork involved in selling and buying a home is quite extensive. I counted the number of times one of my buyers had to sign his name during a closing ceremony and he signed it 68 times. Now granted, some of those forms were copies, but the majority of them were unique documents. I closed on a cash purchase home and although there were not 68 signatures required, there were still more than 31.

The Real Estate contracts and forms are designed to protect both the seller and the buyer, so you want to use good ones. Most Real Estate Agents have access to good contracts. I recommend you find one that is member of the Georgia Association of REALTORS®, as the GAR has some of the best copyrighted contracts available. A non-member can also pay a fee to have access to the forms.

And really! Why do most people want to sell their homes themselves? They don’t want to pay a commission to an agent. Think of your agent as a temp hire – you are the boss. You are hiring them to represent you and assist in completing a complex task. If they do a good job, you are likely to make more money from the sale of your home than you would if you didn’t use them, so where is the risk?

 

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Why Remodel when I am about to Make The Move?

remodel

Remodeling is a tedious and possibly expensive task depending on what is being changed in your house. I, personally have seen many remodels in my own home including: raising the kitchen ceiling, removing walls, adding on a closed in back porch, putting down hard wood floors, recarpeting, repainting, building fireplace hearth, etc. All of this to make our home more enjoyable and this also increases the value of the home. Two of the same reasons why remodeling is good for you too, remodeling will help potential buyers enjoy the house more and it will increase the value of your home. There are so many different ways to remodel, big and small, to make the house you are selling more appealing to the buyers. Sometimes, a simple paint job will do along with a deep cleaning of floors, other times, the kitchen needs to be renewed with cabinets and counter tops. It is all up to the seller, how much they are willing to invest into the house and what is suggested by the buyer. There can also be a negotiation between you, the seller, and the buyer, with finances, in knocking off an $X amount of the house’s price or fees to allow room for remodeling. Whatever the decision created, remodeling or freshening up the house in order to sell it is typically a priority for the buyer if it is needed in their future home. It is in the Seller’s best interest to check on prices of contractors in the area that have the ability and the skills to accomplish the remodeling, usually your realtor will have contacts and referrals to give you.

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