Save Money Selling Your Home
With the high cost of housing in the San Francisco Bay area, some property owners are tempted to try to sell their home without being represented by a Realtor®, thinking that they may ‘save’ $35, 000.00, $60,000.00, or more, by doing all or part of the work themselves. With housing prices so high, and homes being the single largest investment of most property owners, there is a great deal of money at stake.
In addition, it is this very fact that should encourage you to think carefully before choosing the selling of your home for a ‘do it yourself project’. While the prospective ‘savings’ sound significant, I have many times seen homeowners lose 2 or 3 times the amount they were trying to save, because of their inexperience or inadequate coverage of all of the many facets of a real estate transaction. To evaluate if selling your home without representation makes sense for you, evaluate your capacity to handle these 5 critical factors in selling your home:
Are you objective about your own home? Do you know what features have the widest appeal?
Have you seen all of the comparable property that has been on the market, sold and/or expired during the last 6 months?
Are you aware that appraisals without a willing buyer and a willing seller in an open marketplace (for refinance or other purpose) are often not reliable or reflective of the actual current market value?
Do you know that the finance-ability of your home affects the seller as well as the buyer?
Do you know how to read and follow up on pre-qualification and pre-approval letters?
Do you know how to find the lender ‘outs’ in these letters?
Do you know if your home has factors that will make financing or insurance hard to obtain?
Control of Transaction Details
Do you know nothing counts in real estate if it is not in writing?
Do you know a real estate agreement is not complete until the agreement unless it is signed, and delivered.
Do you fully understand the 6 or 8 pages of the purchase contracts, and what is required of you and the buyer?
Do you understand the mired of disclosures, now usually numbering over 100, now required by law for you to provide to the buyer, even in an “AS IS” sale?
Are you able and knowledgeable enough to follow up with the various inspectors, escrow officer, appraisers, lenders, buyer’s agent, if there is one, throughout the transaction?
Preparing your home for Sale
Do you know what needs to be changed to sell your home may have nothing to do with items that irritate you the most about your property? Do you know how much personal property in a home is too much, and how much is not enough? Do you know how to set the stage so prospective Buyers will want to come into your home? Do you know how to save money with inspections and reports done in advance, as opposed to waiting for a Buyer to do them?
Exposure to Potential Buyers
What is your advertising budget? Do you know which words and phrases are discriminatory and cannot be used in ads? Can you show prospective buyers other properties beside your own for their comparison? Do you know just putting up a web page with just your individual property, is like expecting a buyer to find a needle in a haystack?
Realtors® know that if just one of these 5 factors above is missing, or inadequate, a seller will not get the highest price on the sale of their property. Some homeowners can do parts of the process, i.e. the repairs, the staging, writing ads or other factors. Most Realtors® welcome the homeowners input and talents, working together to reach our clients goal.
A professional Realtor® will not only save you money, they will increase your profit margin by using an integrated marketing plan, support staff and their experience to orchestrate a timely sale with maximum profit.