Sell Your Home for Top Dollar $! What you need to know as a seller....

 

 
Seller Agency and Representation
How to Select a Real Estate Agent
What to Ask a Realtor
Preparing to Sell Your Home
The Marketing and Selling Process
Preparing to Show Your Home

 

In the course of listing your home for sale, you will be presented with certain agency forms, which are described below:

Florida law requires that a Notice of Non-representation should be provided to you at your first contact with a Realtor, and in any case, before any confidential information is discussed. Although the state does not require this to be signed, many companies will ask for your signature so that they can have evidence in their files, in the case of an audit by the State of Florida, that they did provide you with this notice. Signing this does not obligate you to anything, and the form is essentially to notify you that you are not represented until you choose and agree to a brokerage relationship.

The Brokerage Relationship Disclosure that you will then be asked to sign signifies your choice of an agency relationship. Unless this is signed, you continue to be not represented. The form given has precise wording required by the State of Florida. The form has three sections:

Single Agent Notice. When this agency is selected, you are owed the following duties: dealing honestly and fairly; loyalty; confidentiality; obedience; full disclosure; accounting for all funds; skill, care and diligence in the transaction; and presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing.

Transaction Broker Notice. When you choose this limited form of representation, you are owed the following duties: dealing honestly and fairly; accounting for all funds; using skill, care and diligence in the transaction; disclosing all known facts that materially affect the value of real property and are not readily observable to the buyer; presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing; limited confidentiality, unless waived in writing by a party; (this limited confidentiality will prevent disclosure that the seller will accept a price less than the asking or listed price, that the buyer will pay a price greater than the price submitted in a written offer, of the motivation of any party for selling or buying property, that a seller or buyer will agree to financing terms other than those offered, or of any other information requested by a party to remain confidential); and any additional duties that are entered into by this or by separate written agreement. Limited representation means that a buyer or seller is not responsible for the acts of the licensee. Additionally, parties are giving up their rights to the undivided loyalty of the licensee. This aspect of limited representation allows a licensee to facilitate a real estate transaction by assisting both the buyer and the seller, but a licensee will not work to represent one party to the detriment of the other party.

Consent to Transition from Single Agent to Transaction Broker. Florida law allows real estate licensees who represent a buyer as a single agent to change to a transaction brokerage relationship in order for the licensee to assist both parties in a real estate transaction by providing a limited form of representation to both the buyer and the seller. This would apply if your agent or your agent's company also represents the seller of the home you wish to purchase.

The brokerage relationship disclosure may be incorporated into the listing agreement, but must not vary from the wording required by the State of Florida.

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The Realtor you choose should be experienced in marketing and selling homes like yours - the price range, the neighborhood. This is important because the Realtor needs to understand and empathize with the prospective buyer; needs to understand the value of the various amenities of your property and be able to explain them; needs to be aware of the sources of financing for your type of property. You want a person who knows your neighborhood, but one who will also be aggressive in marketing and who will have sources of potential buyers from outside the area. The days of just putting it in the MLS and putting up a sign are long gone as an effective means of marketing. Choose an agent who is responsible and responsive, ethical, and who treats real estate as a profession. Track record is important.

Increasingly, situations arise between contract and closing that require experience and persistence. Be sure to hire an agent who has those.

Look at Interview Questions for a Real Estate Agent to Sell Your Home for some questions to ask in the process of choosing an agent. Once you have chosen the agent, you should jointly address the listing price, the expected sale price, the commission rate and the term of the listing. Do not feel awkward about asking for a resume or for references of past clients - after all, you are hiring this person to perform a service for you! Consider not just the price of the service, but the value of the service.

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  Name of Agent

  Name of Company

  Are you a member of the Association of Realtors? 

  Are you a member of the Multiple Listing System?

  Is this your full time occupation?

  How long have you been in the business full time?

  Do you have a brokers license? 

  What professional designations awarded by the National Association of 

  Realtors do you have (GRI, CRS, CRB, CCIM, CIPS, CPM, CRE, LTG, RRC)?

  What awards/recognitions have you received?

  How easy is it to reach you?

  What educational courses/seminars have you taken in the last year 
     to stay current?

  What referral networks do you belong to? 

  What professional real estate organizations do you belong to?

  What price range do you specialize in? 

  What type of homes do you specialize in?

  What geographic areas do you specialize in? 

  What technologies do you use? 

  Do you have one or more personal assistants?  Full time for you?  

  How long has he/she been with you? 

  What are his/her qualifications? 

  Where do you advertise, and how often?  

  Where and how do you advertise on the Internet?

  Do you hold Open Houses?    How often?  

  Do you advertise in the Real Estate magazines?  

  How does my home fit into your overall marketing & advertising plan? 

  Do you follow up on showings? How?

  What is your system for communicating with us? 

  What was your sales volume last year?  How many transactions?  

  How many listings do you have?    

  How many of your listings sold last year? 

  How many did you sell yourself?  

  How many other homes did you bring buyers for? 

  How many listings do you have in this neighborhood?   

  How many of them did you list last year?  

  How many of them did you sell yourself?  

  How many other homes in this neighborhood did you bring buyers for?  

  Who do you represent? 

  What is your marketing plan? 

  Why should I choose you to market my home? 

These are the questions to ask in the process of choosing an agent. Once you have chosen the agent, you should jointly address the listing price, the expected sale price, the commission rate and the term of the listing. Do not feel awkward about asking for a resume or for references of past clients - after all, you are hiring this person to perform a service for you! Consider not just the price of the service, but the value of the service.

The Realtor you choose should be experienced in marketing and selling homes like yours - the price range, the neighborhood. This is important because the Realtor needs to understand and empathize with the prospective buyer; needs to understand the value of the various amenities of your property and be able to explain them; needs to be aware of the sources of financing for your type of property.

Increasingly, situations arise between contract and closing that require experience and persistance. Be sure to hire an agent who has those.

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First impressions count, and you have only one chance to make a first impression on a prospective buyer and/or on a prospective Realtor.

Curb appeal is often what makes the decision on whether a prospect even wants to look inside your home. Have the grass mowed, trimmed and edged; have any planting areas weeded and neat - add new mulch if it's needed. Check the shrubs to see if they need trimming - be sure they don't hang over the walkways or make people duck or detour. Pick up any clutter, or things left from prior jobs. Move the trash can so it's around on the side of the house. Work on removing stains - oil stains, rust stains, mildew. Remove any bees' nests, spider webs, cobwebs. Be sure the front entrance is clean, sparkling and inviting. Polish the door hardware. Make sure the door operates smoothly - that it opens and closes easily. Add some color - potted flowers, live or silk, for example. You want your home to call out to people, "Welcome Home!"

Clean your closets, and put away the things you haven't used or worn in months - give the impression of extra space. Straighten out your kitchen cabinets and do the same thing. Let the prospect see some space. Look at your counters - remove the clutter, and just leave a few things out. You're going to have to pack everything when you sell, so start doing some now. Rent a small air conditioned storage unit if you need to. Do you have any large collections? Think of packing them now as well. After all, you want the prospect to remember the house, not your collection.

Take an afternoon off and look at some model homes - see how the decorators have staged the homes, what they have on counters and tabletops, how they use plants. Which ones have the most appeal - can you tell why? Then take a Sunday afternoon and visit Open Houses. Notice what they're doing right or wrong to show off their home. By visiting the homes in your own neighborhood you can also check out the competition, and see what other homes prospective buyers will be looking at that are similar to your home. (It's also a good way to check out prospective Realtors to list your home: look at their marketing materials, notice how they relate to prospects, check their knowledge of your neighborhood - including other homes on the market and homes that have sold.)

Scrub your bathrooms - re-grout any tile that needs it, and clean any tracks and fixtures - you want everything to sparkle. Buyers don't want to be reminded that there is work to do with a home. Fix any pipes that leak, or faucets that drip.

Clean the carpet, or consider replacing it. Fresh paint and new carpet do a great job of selling a home - that's why the relocation companies do that right away when they acquire a home.

How does your house smell? If you have pets, or if you smoke, ask a friend who doesn't, to give your home the smell test. Your nose may have become conditioned over the years. Potpourri can only do so much. Smoke can also stain the walls and ceiling, so if you are painting walls that have been subject to this, be sure to treat them with something like Kilz before you apply the paint, or it may bleed through before you even sell the house.

Walk around the house as a critical inspector would. Are there torn screens? Sections of gutter that have separated and are hanging down? Wood trim that has begun to rot? Fix them now.

  • Do you have floor plans, blue prints, promotional literature from the builder or developer?
  • Survey of the property?
  • Appraisal of the property?
  • Copies of homeowners insurance, flood insurance and wind insurance (if applicable).
  • Copy of your drivers license.
  • 2 sets of house keys.
  • Code to security system - primary and backup.
  • Mortgage information: loan number, name and address of lender (s), approximate loan balance.

Have you made any improvements to the property? List approximate date and cost. Have you replaced the roof? Air conditioner? Appliances? List approximate date and cost.

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Each agent may have a different marketing plan for your home, which you should receive at the listing appointment. This will address some of the more common aspects.

The first step is to decide whether to hire a Realtor or whether to market your home yourself. If a Realtor, you must then choose one. Refer to the Interview Questions for questions to ask, then add any of your own.

Do any painting, repairs or planting needed to bring your home into top condition before putting it on the market. The first days and weeks are the most important and first impressions DO matter. Better to put off listing for a week or two than to have prospects and Realtors remember your home in its "Before" condition. See Preparing to List Your Home for some suggestions.

Once you've signed the listing papers, and given your Realtor the key, the first shock will come when you see the FOR SALE sign in the yard - and yes, you should have a sign. Hopefully you'll notice people slowing down and writing down the number on the sign. Your Realtor may have also suggested that you have a lockbox on the door.

Next come the prospects to look at your house. Although you like to know the day before the showing, try to be flexible if there is a last minute request for showing. Keep the house tidy and ready, just in case. See Preparing to Show for additional suggestions. Plan to be away for the showing. Your agent should be checking with the showing agent to get feedback and passing this on to you. It's good to have a third party (two of them, actually, the showing agent and your listing agent) who can follow up with the prospects without appearing too eager, and who have an opportunity to counter any objections.

Hopefully, one of the prospects will like your home enough to make an offer. Based on the sales prices of similar homes your agent will help you in evaluating the offer, including the terms and conditions, and will work with you on strategy.

Once you have a signed contract for the sale of your home, time starts to fly. The Buyers will arrange to have a professional inspection of your home - a process that may take 3-4 hours for the average sized home. Often the Buyers will be there for the inspection, as well as one or both of the agents. It's natural to feel a bit overwhelmed at all these people "taking over" your house. The buyers may want to bring in some contractors or salespeople at this time, too, to measure for some of the changes they want to make in the home - new carpet, tile, appliances… After they have received the written inspection report and have reviewed it, the Buyers will put in writing any items they feel are not in proper condition, or will remove the inspection contingency. Sometimes the main report will suggest an additional inspection: the roof, the pool, perhaps even a structural engineer. Your agent should help you through this entire process.

Meanwhile you should be making arrangements for moving, perhaps for storage, and perhaps looking for a new home as well. Wherever possible, add a clause in any contract you sign making it contingent on the closing of your home.

Arrange early for the utilities to be turned off on the day of closing. In many cases the Buyer cannot even order a telephone until you have called to order your service disconnected.

The process is much smoother if you can move out a day or two before closing. This allows you to check the property thoroughly after the movers leave, and to clean it or have it cleaned. It also lets the Buyers do their walkthrough when the home is empty. The purpose of the walkthrough is for the Buyers to check that all items which were to be left in the property are still there (ceiling fans, refrigerator, etc.) and that any repairs that should have been made have been made. (Keep your receipts from all of these repairs so that you can bring them to closing - don't pack them, and don't pack your garage door openers, the instruction books for your appliances, or those extra keys.) Then go stay in a nice hotel and relax, or spend your last couple days with good friends or neighbors. Relax a bit after the packing and rushing around, and be ready for a pleasant closing the next day. If you want to review all the papers you will be asked to sign at the closing, make arrangements to go in an hour or two before the closing, or early in the morning of the closing, to review them, then you'll be ready for a smooth closing. Remember to bring the garage door openers and the keys to the closing. You'll be turning them over to the Buyer when the papers are signed and you get your check. It is customary in this area that possession be turned over to the Buyers at the closing.

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Plan to be away from the house when it is shown. If you cannot be away for the entire range of time the prospects are expected, at the very least, disappear when they arrive - go for a walk around the neighborhood, or drive your car a block away and wait until the prospects leave to return. If all these are impossible, make yourself as invisible as possible on the dock, in the garage, or in a spare bedroom. And please, please, do NOT tour them around the house, or start explaining the features, or finding common conversation. If you have done a good job choosing your real estate agent, you will not need to do these things.

Turn ALL the lights on.

Open ALL the window treatments, even the sheers.

Have the house at a comfortable temperature.

Have some soft background music playing - "elevator" music, or soft classical or soft jazz. The music is to set a stage, not for listening.

If there are extra vehicles that aren't in the garage, park them down the street during any times that prospects are expected! The same applies for boats, trailers, bicycles, golf carts and anything else that might imply there isn't enough storage space with the property.

Pleasing extras - optional but nice:

  • Fresh flowers
  • Freshly baked bread

Be sure counters are cleared and clean, beds are made, towels are hung up. At least for the time of the showing, it's not for living in, it's to impress potential buyers.

(You've done all the things listed in Preparing to List Your Home, haven't you?)

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