Did you know that 80% of buyers begin their home buying process on the internet? I believe that as a realtor, it is important to understand this fact and help sellers understand the ramifications of exposing their property on the internet.
This page will help guide sellers through the steps I recommend you follow if you have decided or are thinking of selling your home/condo or income producing residential property.
First and foremost, selling your property will likely be one of the biggest decisions of your life. As such, you must be completely aware of where you stand in all of the following areas; current market conditions, your neighborhood specifics, and your home value.
No community is immune from the difficulty being experienced in the real estate market. A serious seller hs to be very realistic in this market if they are truly interested in selling their property for a fair price in a reasonable period of time.
I believe a seller's first step is to get a Home Valuation!
Home Valuation
A home valuation is a process whereby a realtor looks at many factors to determine the fair market value of home/condo. This process includes a detailed inspection of your property, a comparison of your property to properties that have recently sold in your neighborhood, as well as a comparison to properties listed for sale in your neighborhood. This information is then evaluated and a price is determined that the home owner can use as a basis for determining the listing price for their property.
Once a home owner has decided to sell and a list price has been established, the realtor will market your home in a variety of ways. Choose a realtor not solely based on the one that gives you the highest listing price estimate, rather choose a realtor that will meet all of your desires. A good realtor, will be able to provide you with a solid plan of how the property will be marketed to the public and to other realtors. Remember, marketing is about exposure, exposure, exposure. If you and your realtor are not in agreement with your goals and desires, you probably haven't found the proper realtor for your transaction.
Once your home has received an offer, the process has really just begun. There will likely be differences between you and the buyer that will need to be negotiated out. Often, this is the most stressful part of the process for home owners. They often believe a sales price has been established to find that the price has been diminished by the counter-offer process as well as by adjustments found during inspections, etc. A prudent home owner should factor in a percentage point or two for such issues, and if the end result is somewhere less than that, feel good that the transaction is moving along on target.
Often sellers are shocked by all the costs associated with selling their property. It is often quite daunting. A good rule of thumb is to calculate 7 to 9% of the final sales price to go to closing costs and commissions.
The following represents typical costs a seller generally incurs in the selling of their property:
Real Estate Commission
Escrow Fees
County Documentary Transfer Tax (55 cents per $500 of consideration)
Applicable City Transfer/Conveyance Tax
Document Preparation Fee for Deed
Any Loan Fees Required by the Lenders
Payoff of all Loans in Sellers Name (or existing loan balance if being assumed by the buyer)
Interest Accrued to Lender being Paid-off
Statement Fees, Reconveyance Fees and Prepayment Penalities
Termite Inspection (according to contract)
Termite Work (according to contract)
Home Warranty (according to contract)
Any Judgements, Tax Liens, etc. against the Seller
Tax Prorations for Real Estate Taxes
Any Unpaid Homeowner's Dues
Recording Charges to Clear all Documents of Record against Seller
Any Bonds or Assessments (according to contract)
Any and all Delinquent Taxes
Notary Fees
Title Insurance Premium: Owner's Policy
