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As an alternative to working with an
experienced real estate agent, you might
consider selling your home yourself;
however, if you choose this option, be
prepared for a lot of work! It can and
has been done, of course, but if you
don't have the time and energy to commit
to it (or need to sell in a hurry), this
option might not be for you.
If selling your home on your own
sounds like too much work, you might
want to consider assist-to-sell
programs, which most agents offer and
can include yard signs, a marketing
strategy and flyers at a very reasonable
cost to you. Nine out of ten times, most
do not have the time or the resources
that a real estate agent may have, so it
is best to use someone that is fully
committed to selling your property, has
access to a wide variety of resources
and is focused on getting the highest
price possible for the sale of your
property.
Whether you choose to use a real
estate agent or not, you still need to
do your homework! The following is a
checklist to help walk you through the
process:
Know your property. If you are
not already, become familiar with such
facts about your property as property
taxes, zoning, lot size, square footage,
etc. Look at the terms of your existing
loan.
Research the current market and
property laws in your area. How much
are properties similar to yours selling
for? What are the terms of the sales?
What property disclosure laws do you
need to take into consideration?
Set the price. Once you know the
specifics about your home and have
checked out what similar properties in
your area are selling for, set a
realistic price.
Determine financing alternatives.
Contact lenders in your area to
determine what the options are for your
prospective buyer. You want to be
informed before they ask, or your lack
of knowledge may turn them off from
dealing with you.
Perform a "walk-through" of your
property. Look at it from the
perspective of both the prospective
buyer and the inspector. Take notes on
all items that need to be repaired or
replaced. Things to consider include:
Outside:
From the street, is the house
appealing? This is called "curb
appeal".
Does it need a new coat of
paint (either because the old
paint is obviously cracked or
faded, or because of an uncommon
choice in color that might turn
off prospective buyers)?
If a house with a yard, is
the lawn and landscaping
attractive and well-kept?
If it is a condo, you can't
do much about the building, but
is the front door (and balcony,
if there is one) appealing?
Are the windows and doors
attractive and in good
condition?
Are the roof (and the
gutters) in good condition?
Is the grass nicely cut, are
the hedges trimmed, are the
leaves swept up? Are all toys
put away such as bikes,
scooters, etc.?
Inside:
Are the interior paints and
finishes in good condition
(recently updated), or do they
need to be freshened up? This is
one area with the best ratio of
least expensive to most desired.
For a minimal investment, you
could possibly make or break a
sale by having your home look
well-kept and inviting.
Are the appliances in good
working order and of recent
vintage?
Are the plumbing and
electrical systems in good
condition? Are they fully
functional?
Are the carpets or other
floor coverings clean and in
good condition? Like the paint,
are they attractive and
well-kept? Floor coverings are
worth paying for so that your
home makes a good impression.
Are the sealants (sink,
shower, tub, windows) in good
condition?
Are all light fixtures
working properly, and is there
good lighting in each room so
that prospective buyers won't
think you're hiding something?
**Make all repairs noted in your
inspection.
Know your neighborhood. Most
prospective buyers will want to know
about the local schools, shopping,
parks, transportation, etc. Be prepared
so you can knowledgeably answer their
questions.
Establish a marketing budget. How
much are you willing to spend to sell
your house?
Real estate commission if you
use an agency to sell.
Advertising costs, signs,
other fees if you plan to sell
by owner.
Attorney, closing agent and
other professional fees.
Excise tax for the sale.
Prorated costs for your share
of annual expenses, such as
property taxes, home owner
association fees, and fuel tank
rentals.
Any other fees typically paid
by the seller in your area
(surveys, inspections, etc.).
Real estate agents deal with
transactions every day and can
give you a very close estimate
of seller closing costs.
Investigate the real estate sections
of local newspapers and other
publications. What will get you the
most "bang for your buck?" Are there
"throwaway" (i.e., free) real estate
publications in your area that accept
ads from individual sellers? In the
local paper(s), is it better (in your
area) to run a text-only classified, or
do they have "photo boxes" where you can
run both text and a photo of your
property?
Don't forget the Internet. As you
have probably noticed from the website
you have found this article on, most
agents have their own website, which
includes their clients' listings as well
as the entire MLS search. If you work
with an agent, your property will most
likely be placed on their web site (if
they have one) and on the full MLS
search as part of the services they will
offer you.
In addition, some newspapers
automatically (or for an extra fee)
offer Internet advertising tied in to
their traditional print ads. Learn the
rates and deadlines for each
publication, then decide which one (or
more) is best for you and your market.
Establish a marketing plan. Now
that you know what advertising will
cost, create a plan on how to best
(within your budget) reach prospective
buyers, both local and out-of-town.
Since many people do relocate from a
distance, be sure to include Internet
advertising in your plan. If your town
is large enough, the "local" newspaper
might have a national edition that you
want to place your ad in, at least
periodically.
Write the text and/or design your ad.
At the very least, you will need a
well-written few sentences that will run
as a classified ad or a photo box ad. In
addition, you might decide to run a
larger, custom-designed ad in the paper
and/or to use as flyers to hand out at
open houses (or anywhere else you might
meet prospective buyers). Don't skimp on
this. A professional, well-crafted ad
can attract buyers while a poorly
designed and executed one can turn
buyers off to your property. Even if you
do not have full service agent
representation, you may consider
assist-to-sell, which some agents offer
at a lower price.
Clear your schedule. Make
arrangements so that you have free time
to schedule appointments at the
prospective buyer's convenience, as well
as for any "open houses" that you hold.
If you are working with an agent, he or
she will take care of showings and open
houses on your behalf. It is best to
allow your agent to show your home on
their own so that the prospective buyer
does not feel uncomfortable or
pressured.
Purchase and install a "for sale"
sign. This should be well-designed,
attractive and weatherproof. The sign
must be placed where it can clearly be
seen from the street. If you are working
with an agent, he or she will most
likely provide the sign to you.
Prepare a fact sheet. Design a
single sheet description of your
property listing the features and
benefits that will draw in prospective
buyers. This should be attractive and
professional looking. Have enough copies
on hand to give out at open house
showings. Again, if you are working with
an agent, he or she will most likely do
this on your behalf.
Purchase "open house" signs. Make
sure that they include a place to write
the address of your property and the
date/time of the open house. In addition
to one for the front yard, you'll want
to place several in conspicuous
locations around the neighborhood, such
as main streets leading to your house.
For these, directional arrows can point
prospective buyers to your house even if
they don't know the area. Make sure that
you take these signs down as soon as the
open house is over. You don't want
people showing up on your doorstep at
all hours of the day and night.
Set up a schedule of open houses.
While most are held on the weekend, this
is not convenient for all buyers. Make
sure that you coordinate your print
advertising to include information about
your next open house.
Keep a list of prospective buyers.
As people come through during open
houses, or as they call from reading
your ads or seeing the sign out front,
keep a list with their names and phone
numbers. Concentrate your attention on
those who seem serious about your
property, as opposed to those who are
just checking out the neighborhood or
whiling away a Sunday afternoon. Make
sure that you make follow up telephone
calls to all those who seem seriously
interested in your property.
Once you have an offer, it's time to
negotiate. Leave your emotions
behind when you enter negotiations. You
never want to get angry or give away the
fact that you're overly eager.
Get your forms in order. A number
of forms are required for the legal sale
of your property. In addition to the
contract of purchase and any
counteroffers, there are approximately
20 other forms that the seller is
required to provide to the buyer. It is
necessary to review the contract
carefully to determine when these
forms/documents are due and what the
buyer's rights are once they receive the
document. The form and content of many
of these documents are prescribed by
state or federal law and must be adhered
to in their entirety. The proper forms
may be obtained from your local Board of
Realtors or from your real estate agent
who is representing you.
Negotiate final terms of the sale.
Buyer(s) need to come to an agreement
(in writing) regarding the following:
Price
Inspection contingencies
Financing terms
Date of closing
Date of possession
It would be prudent for you
to have an attorney review any
and all contracts before the
deal is finalized
Final walk-through. When both the
buyer(s) and a witness can be present,
schedule a final walk-through before you
complete settlement in order to
determine that the property being
conveyed meets the expectations of all
parties involved. Resolve any disputes
before the transfer of title.
Find and make arrangements for the
home you will be moving to. Unless
you have already built or bought a new
residence, you'll need to be the "buyer"
for a new property while simultaneously
being the "seller" for your current one.
If possible, schedule both transactions
to close at the same time, or else close
your purchase shortly before closing
your sale. You need to be moved out
before the new owners take possession.
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