Goals for a seller

Are you a "for sale by owner"? Here are some tips to help you in selling your home:

1. Don't have a bloated price tag, in hopes of negotiating a better deal.

There is a misconception that a home can still get the same asking price as in 2005. Not in this market. Homes have dropped significantly in price, and buyers will not be interested in seeing a house with a high price.

2. Try to get as many people in to see the house in the first 2 weeks.

If the house is on the market for a very long time at a high price, people will begin to think there is something wrong with it.

3. Realtors can be your friend.

You may have had a bad experience with a Realtor, or just don't want to pay the 6% commission fee. However, in this market, exposure and savvy marketing are key. Also, pricing it compared to the other houses in the neighborhood is important so you can have potential buyers see your home. When there are so many houses on the market, an agent can help you discuss how yours can stand out.

If you had a bad experience, talk to others that like/liked their Realtor. Ask to speak to some of their past clients. An experienced agent will be invaluable in pricing your home correctly and getting it seen in this market.

Check out my website at: www.audreybutlerhomes.com

Some things to consider when purchasing.....

It's easy to call a "for sale" sign posted in the yard and ask the price....but that is not the only number you should consider...

1. What are the taxes on the home? Most likely they will go up when you purchase the house.

2. What are the utility costs? Have you figured them into your future budget?

3. How old is the roof and the appliances? You may have to repair or replace them, sooner than you expected if they are old.....

4. What was the price of the comparable sold properties in the neighborhood?

5. What is the home insurance payment going to look like?

These are just some of the questions to ask when making a purchase.....let a realtor give you the special treatment, and get these answers, and many more, for you!

You have got to be kidding me....

Today I was listening to the radio, and there was a commercial talking about a couple purchasing a home. It was a re-enactment of a true story, and it went something like this:

They had bought their first home, were planning to close on a Monday, marry on the next Saturday, and move in after their honeymoon. So far, so good......then the problems started....After their mortgage broker had their loan package for 45 days, he called on a Friday to say they could not close on the following Monday. He called his fiancee, and she told him to call a real estate attorney. After the call, the problem was resolved by the lawyer, and they closed on Monday.

The commercial then encouraged listeners to call a real estate attorney when purchasing a home. ........Wait a second.........

1. The mortgage broker had the loan package for 45 DAYS and couldn't close on the scheduled date?!?! A seasoned real estate agent can work with reputable, experienced mortgage brokers and can close a transaction in mere days----some as quickly as 48 hours.

2. Where was the real estate agent?!?! Why hire a lawyer and pay a lot of money (remember, lawyers cost at least $200+ an hour)? A Realtor can insure that the mortgage will be ready for closing, and as a buyer's agent, does not require the buyers to pay a dime!

3. Also, the lawyer was called once there was a problem....where was the experienced person who can help you find a good deal, negotiate an incredible price, and can take you through all the necessary steps to buy a house....was an inspection done? Does the house have termites? Mold? A good real estate agent is experienced to handle all kinds of problems, and has the contacts to insure they are handled properly.

Now, I am a lawyer and can appreciate the need for legal representation. A real estate attorney is on retainer by our brokerage----we do not practice law. However, why pay legal fees when you can get greater service for no cost?

Who do you trust for homebuying advice?

My friend Sara at the office shared the following today:

Los Angeles economist Gary Watts gave a talk to the Orange County California Realtors where the main message was - keep news about housing in perspective. The popular press has called an end to housing for some time, says Watts:

"The goal of owning a home seems to be getting beyond the reach of more and more Americans. The typical new house today costs about $28,000." Business Week, 1969

"The median price of a home today is approaching $50,000 ... housing experts predict price rises in the future won't be that great." National Business, 1977

"The golden age of risk-free run-ups in home prices is gone." Money Magazine, 1985

"A home is where the bad investment is." San Francisco Examiner, 1996

Property is always a great long-term investment, and can benefit some in the short-term. Talk to a qualified Realtor to know what is going on in an area, and to learn what the media doesn't know yet.....

why you need a realtor

I know--ha ha--a realtor explaining why you need one of us. Yet it seems odd that people regularly go to their accountant for finance and tax questions, their lawyer for legal questions, and their doctor for medical questions. These are all specialized fields, with unique terms, rules, and areas of expertise, just like real estate. What do Realtors offer?

1. Real estate transactions are not easy. A real estate consultant can help you navigate legal contracts, give expertise on the pricing with statistics and research, and help you should a crisis during the process occur.

2. Transactions take a lot of time. Houses stay on the market for an average of over 90 days right now. Realtors spend every day learning the market, marketing, and networking. A lot goes on behind the scenes that is valuable. Once the property is sold, that is just the beginning of the process. Many things have to happen to get the property to closing.

4. Objectivity is needed when buying/selling. Home often symbolizes family, rest, and security--it is a very emotional undertaking. It is the biggest purchase a person will ever make. Having a concerned but objective 3rd party helps you keep focused on the right issues.

5. Market knowledge is necessary to price the home competitively. If you are contemplating selling your home, you may know what one or two homes nearby have sold for, but you don’t have the access to the market knowledge to adjust pricing.

6. Representation in the home selling process is key. Have an agent handle criticism of the house. As a trained professional, a Realtor is more attuned to the buyers’ needs and able to highlight the home’s features that have the most appeal to each buyer.

7. Real estate agents can provide trusted mortgage financing advice. That includes assessing a buyers’ ability to afford the property and help them locate the best places to obtain financing. Agents are also more experienced in prequalifying buyers so that they will not make an offer on a home they cannot afford.

8. Realtors know how to negotiate and overcome objections. Balancing offers and counteroffers, as well as handling many of the contingencies that usually accompany real estate transactions, can be frustrating or frightening.

9. Are you sure the transaction will close? Many think that once the purchase agreement is signed, the work is over. Many things are still needed, including: home inspection, termite inspection, title insurance, building permits for improvements, and so forth.