Good Information Articles

Sell Your Home Without a Realtor and Save Thousand$$$

A typical real estate commission on a $234,000 home (national median price for all existing homes as of July 2005) is over $16,000. In many areas the cut a real estate broker gets is much higher. A home owner can easily save that money by selling on their own. All that is needed is a basic understanding of the real estate market and a touch of marketing sense. Here are the "Big Five" of selling any home.

1. Pricing. Set a realistic asking price. While it might be tempting to inflate the asking price just in case someone really loves the home or to make room for negotiations, the result is a home that can't stand the competition. The market always sets the price. Find out what the competition has to offer and set your price accordingly.

The best way to do this is have three or four real estate brokers provide a free market analysis. Yes, you will be wasting their time if you sell on your own. But don't worry; real estate brokers are used to having their time wasted. If we earned a $20,000 commission every time we went out we'd arrive at your home in a limousine. Fact is, nine out of ten outings are a bust for us. It's the main reason why commissions are as high as they are. In any event, you may end up listing with one of them. Fact is, selling by owner really isn't for everyone. But pricing your home correctly is the first step in a successful transaction.

If you choose not to have a market analysis from your local Realtors you will have to do your own calculations. In order to do that you will need a fresh batch of comparable sales. The best place to get these is from your local assessor or municipal records. You will need between three and five recent comparable sales. Make sure they really are comparable. They must be in the same location (ideally within a half mile) they must be the same style and size as your home (number of bedrooms, baths, garage, etc.) and they must be in the same condition as your home. Drive by each. Take pictures.

The hard part is when you can't find exact comparables. You will then have to make adjustments for the differences. The best way is to ask your assessor how much an extra bath, for instance, influences the market value. Hopefully they will provide an approximation.

If you can't come up with an accurate dollar amount consider hiring a professional appraiser. They can be found in the yellow pages or online. And while the service costs several hundred dollars it's a small price compared to what you will save by successfully selling on your own.

Avoid pricing your home based on how much you paid, how much you owe, the amount of the municipal assessment, the cost of improvements you have added, or what a friend or neighbor thinks it's worth. The market doesn't care a bit about these factors.

However you arrive at a price it will usually be expressed as a price range. Aim for the upper end of the range if your home is generally in better condition and has nicer amenities than the competition. Aim for the low end if you need a quick sale. Otherwise stay in the middle and prepare to be flexible.

2. Appearance. My father always said, you never get a second chance to make a first impression. Nowhere is this truer than marketing your home. Anything amiss—including a funny smell—will send your prospects on to the next house. Take a picture of the front. Compare your "curb appeal" with the pictures you took of the competition. Pretend your home is going to be in House Beautiful Magazine. Clean, paint, resurface, mow, weed, trim, plant, replace anything that looks shabby or worn. Now step inside. See your home as if for the first time, as buyers will. A fresh coat of paint, new draperies, and new carpeting (or professional cleaning) will do wonders for your sales appeal. Again, consider what you would be paying a Realtor. Remove all clutter and excess furniture. The only items in a bedroom should be a bed and a dresser. Anything else makes the rooms look smaller.

Next evaluate the kitchen and the baths. These are the single most important rooms in the house in terms of buyer appeal. Again, clean, paint, and consider replacing the flooring with something light and bright. Wash the windows. If your appliances or fixtures are old consider replacing them. Most buyers these days are including a contingency in their offer to purchase contract for a professional home inspection. If an appliance or fixture is a problem it will be noted and the buyer will expect it to be replaced--or void the contract. Might as well get that part out of the way up front when it can boost your marketing efforts. This is true of any structural, mechanical, electrical, foundation, roof covering, or plumbing system, etc. in the house. If there's a problem it's best to take care of it beforehand. In many areas state and federal disclosure laws mandate that an owner reveals any problems they are aware of, including the possible presence of lead paint, mold, radon, or asbestos. Be aware of these laws. A good way is to hire your own inspector before the house is put up for sale.

3. Advertising. When the house is bright and shining to the point where you wonder if you really want to sell such a treasure it's time to hit the market. This is the easy part. Run print ads in the leading daily newspaper noted for home classifieds. Note the price, location, number of bedrooms and baths and the three nicest features of your home—the things that made you buy it in the first place. You needn't bother with monthly publications such as For Sale By Owner magazines. Buyers quickly discover that by the time a good home is listed it's sold. If you use the Internet, make sure the site is very popular. The easiest way to do this is enter a search term a local buyer would use in Yahoo or Google. For instance: you would search "homes for sale in (your town)" or "home listings in (your town)". Make sure the site you're considering comes up on the first page. You may also want to forego open houses. Only 1% of homes ever sell on open house. What you mostly get are "Looky Lews" and curious neighbors.

Use free word of mouth advertising. Tell everyone you know, neighbors, friends, family, coworkers that your home is for sale. Invest in a professional yard sign. Note the basic features of the home as in your ad as well as "By Appointment Only" but don't list the price. Be available to make appointments when your ads are running. Don't rely on voice mail.

When the buyers arrive give them a warm welcome. Have the dinning room table set with your best china. Place fresh flowers. If you have a whirlpool tub put out a bottle of Champaign and two glasses. Bake bread or cookies, or just put a little vanilla and cinnamon in the oven at low heat.

4. Negotiations. If you've followed the plan up to now you will soon be getting offers. Be prepared for a low offer but when any offer comes in always insist on a pre-approval letter from the buyer's lender. Review the offer with your attorney. You can counter the offer but be aware that the buyers are under no obligation to accept your counter-offer. And that anything but full acceptance of their offer usually voids it. All terms of the contract are negotiable, not just the price.

Do not, under any circumstances, become emotionally involved in the negotiations. This is the one area owners are never as good at as Realtors (except when it's the Realtor's own property in question). Consider only whether you can realistically do better and that the amount you will net will allow you to proceed with your move.

When price and terms are agreed upon get everything in writing. Do not fail to use a qualified real estate attorney.

5. Processing Period. The time between when a contract is fully executed and the time you give possession is when all contingencies in the contract are met. Different areas have different customs as to who does what and who pays the bill. But in general there will be a time period for both the buyer and the seller to have the contract ratified by their attorneys. In addition, a mortgage contingency will allow the buyer to secure financing based on their qualifications and the bank's appraisal of the home's worth. Usually there is a provision for a structural inspection, as noted earlier, for the buyer to assess the condition of the home. A target closing date is also included when possession is given the new owners. Generally, this is an estimate of transfer of ownership with delays common, unless wording such as "time is of the essence" is incorporated into the contract. Beyond the basics there are a host of other possibilities for contingencies in a contract. Anything, in fact, that is legal can be included. That's why you should always use a real estate attorney.

Finally, the closing day comes and it's on to your next dwelling. It's been a hard road—much harder than most people expect—but the extra money you save will go a long way towards easing your pain in your new home. Enjoy!

Dennis Maier is a 33 yr. veteran Realtor and Principal Broker and CEO of Real Estate New York. He is the author of the book: Sell Your Own Home for an Embarrassing Profit.

DennisM@RENY.net
http://RENY.net

Other Article Sites

findabook.com  moneycd.info  a-mortgage.info   about-lemon-laws.info  aboutstudentloans.info
all-about-publishing.info  auctions-articles.info  bestcollege-university.com  bestispconnection.com
biblefolder.com  blogger-website.com  books-used.info  brokers-guide.info  buywindows.info  cable-dsl.info
career-miner.com  carpel-tunnel.info  cashinaflash.info  cashloanreviews.info  casinobell.com  chat-house.info
clearmycredit.info  collegeloantips.info  crones.info  depression-articles.info   dirnic.net  dishguides.info
divers-below.com  expodog.info   financewizz.com  fire-insurance.info  getgood.info  handleit.net   it-idea.info
health-supplies.info  hosting-right.com  insidealert.com  insurance-facts.info  jobs-employment.info
justgood.info  lookgold.net   lowcost-travel.info  money-source.info  myhostzone.info  numisblog.com
peoplesearchfinder.info  pr-articles.info  realeas.com   refinancing-guides.info  spyware-remove.info
telelot.info  the-law.info   toppaid.info  travel-deals.info  travelcorrect.com  wedding-guide-site.com
your-blog.info  your-credit.info

MORE ARTICLES:

Home Internet Business Opportunities: Reinvent Your Family
Think about your daily job, daily responsibilities, time spent at meetings, driving your kids to this activity and that sporting event, meal planning and preparation, house cleaning, on and on with our grossly busy lives, and what time is left for our family? Do you really think that 9-5 JOB is the answer to all of our hopes and dreams? Do you really think it was our personal goal to spend the majority of our lives at work? When was the last time you saw your son/daughter play in that school volleyball game or run in their cross country meet? Isn?t it time to put your family first?

Sales of Children's Travel Bed Soar as Summer Travel Hits
Gentle Air has seen an increase in summer travel sales due to hotels at popular summer attractions charging high prices for rollaway beds and cots.

The Best Internet Connection For A Top Home Internet Business
When it comes to working at your home business one of the most important things you will need is internet access Having a fast and relatively error free Internet connection is imperative for a person to be successful in working at home

Internet Marketing Business - Your Home Based Internet Marketing Business and the Freedom Attached with it
There are various reasons why there are many individuals who want to start their own home-based Internet marketing business. Some are saying that the amount of money that they are earning from Internet marketing is higher compared to their monthly salary from their regular work. It even comes to a point that they are earning money similar to or more than the salary of their managers and department heads! This is relatively true, since there are Internet marketers who are earning as much as a hundred thousands of dollars within a month.

Home Based Internet Marketing Business - Staying Organized In Your Home Office
When working from home there is nothing more frustrating than not being able to find things when you need them. While most home business entrepreneurs see themselves as never having any time, you have to spend some of your time to organize things. If you can't daily, you should at least try for once a week, you should set aside some time to put things where it should be. Allot of people have a saying that there is a spot for everything and everything must be in its assigned place.

Online Magazine is Home to the Best Travel Writing on the Internet
For the second year in a row, SoGoNow.com is the home to the best travel article written for the internet as judged by the North American Travel Journalist's Association.

Business & Family Safety and Health Rating
For good reason, practically every endeavor in life is rated. I've seen ratings on who or what's #1 in business, industry, NFL, NBA, MLB, person of the century, athlete of the century, technology, restaurants, university, neighborhoods, travel destination, best looking, best movie, best book, etc.

Making Time For Your Family and a New Internet Home Business
Starting your own internet home business can be a very fulfilling experience. It offers many new and exciting challenges, with the hopes of providing financial security for you and your family.

Families Mourning Children Travel to Nashville for July Compassionate Friends National Conference
The Compassionate Friends self-help support organization for families going through the natural grieving process following the death of a child is hosting its 31st national conference July 18-20 in Nashville, Tennessee. More than 1300 parents, siblings, and grandparents, as well as professionals who provide support, are expected to attend the conference. Highlights include well-known speakers, more than 100 workshops covering most aspects of grief following the death, a pre-conference Professional Outreach Day, and the Walk to Remember Sunday July 20 at 8 a.m. This conference is annually the largest in the United States aimed specifically for those left behind following the death of a child.

Low-Income Families in Portland Will Soon Have Free Broadband Internet at Home
Cricket Will Provide Free High-Speed Wireless Internet to 100 Portland Families in Pilot Program with One Economy

Internet Home Based Business : Legitimate Work at Home Jobs Opportunities and Advantages
There are many advantages involved in choosing an internet home based business as your primary or secondary source of income Use these benefits to find a legitimate work at home jobs that suits your needs and desires

Work From Home - Online Resource Center for Home Based Online Jobs and Internet Based Business
Welcome to Work from Home?s ?an online guide and resource website to help you Start and grow your Home based Job and Business. Please note that we are only offering information on Work from Home Jobs and Business opportunities. We are not offering you a job or a business tie-up. Please read through the website as you will find valuable information and resources to start and grow your home based business. www.homebasedonlinejobs.com

New Home Based Travel Businesses and Training Available for Retirees and Work-At-Home Parents
Affordable training is now being offered for those wishing to set up their own home based travel businesses. Program offers participants everything they need to get started quickly and affordably in this exciting market.

Family Circus - Make Time For Family With An Internet Business
Sometimes, it seems like you don?t have a full 24 hours in a day. Between work, family, and sleep, there is no time for anything else. You never seem to have five minutes to relax, and on days when work requires overtime, you lose time with your family. In fact, it seems you never spend quality time with your children anymore. One way to get your life back under your control and manage time better is to start your own internet business. With an online business opportunity, you can decrease your work hours overall, as well as become more flexible and available for your family.