Your house has been checked, inspected, and cleaned from top to bottom. You have priced it at what you feel is a fair price. The marketing and advertising program is in full swing. Now it is time to put all of the preparation into action: showings! All of the work that you have done up to this point will only have an effect when a buyer walks into your house for the first time.

What makes one house go on the market, have a number of showings in the first week and have a contract in place shortly thereafter, while an apparently similar house sits on the market for months? Of course, luck may have a little to do with it, but there is a good chance that the quick selling house (and its owner) was prepared to sell while the other house and owner were not. Although pricing is a very important factor (see the discussion on that topic) there are other issues that will have a great deal of effect on whether or not you have a quick sale.

Along with location and condition, the pricing of a house is a major component of the reasons why a house will–or will not–sell quickly. Although the pricing should not be dealt with lightly, some sellers have a tendency to put too much emphasis on the price and not enough on the condition, ending up with a house that is overpriced for its current condition and the overall market. Even if you find an unaware buyer that appears willing to pay the high price, when the buyer applies for a mortgage, the chances are good that the lender’s appraisal will force the price back down to market value.

It’s important to get it right the first time

Care and time should be taken when establishing the original listing price for several reasons:
1) If the house is overpriced, it won’t sell. If it doesn’t sell and sits on the market the listing quickly becomes stale.
2) If you overprice the house with the intention of reducing the price later just to “see what the market will bear”, when the price of the house is lowered, it signals to buyers that it was (and still may be) overpriced.
3) If the house is underpriced, it most likely will sell quickly–to the detriment of your net proceeds.

Some factors that affect the price of a home

1) Location: You can’t get away from this one. If your house is located in a desirable area that is in demand, you will be able to get a higher price than you can for the same house in a less desirable area.
2) Condition: A house that has been better maintained and shows better will always sell for more than one that has had deferred (neglected) maintenance and needs work.
3) Desirable amenities: If a house has amenities that are currently popular in the marketplace, it will bring a higher price.

Methods of setting the price

CMA (Comparable Market Analysis): A comparison of similar properties in the same general area that compares actual sold prices. A Real Estate Agent can generate a CMA, or in many cases you can do it on your own.

HomeGain: If you’re thinking about selling your home in the next 12 months, this FREE service is designed to help you get an estimate of your home’s value. Knowing how much your home can be worth is one of the first steps in beginning to market the property.

HomeSmartReports How much is your home worth (in most regions of the United States)? Using mathematical and statistical models, neighborhood sales activity is analyzed and compared to your home to reach a value estimate in less than one minute. Cost: $24.95

Electronic Appraiser
Enter your property address and receive a home sales valuation report. Known to the Real Estate Appraisal industry as a Automated Valuation Model (AVM).

Traditional Appraisal: A estimated valuation is placed specifically on your house by a professional appraiser. An appraisal will take into account location, condition and sale prices of comparable properties in the neighborhood.

With the potential rewards that can be gained–saving $4000, $8,000, $12,000 or more (minus your expenses) by not having to pay a Brokerage commission, many people wonder why less than 20% of home sellers undertake the task of selling their houses on their own. Possibly it has something to do with expertise. Many home owners who consider a self sale of their house back off when they see the level of knowledge and commitment that is needed to do an effective job. If you decide, however, that self selling is the best option for you, you will find the vast majority of the information on this Web Site to be of value. Most of what you will find here will be geared to either doing the job yourself or monitoring the job that your Agent is doing. The most successful home sellers are those who take an active role in the process, whether it is as a sale by owner or a sale by an Agent. If you feel that the best route is to sell your home yourself, then having as much information at hand is crucial.

Advantages Of Selling A House On Your Own

1 There is no Brokerage Fee (commission) to be paid. You receive all of the proceeds (less marketing costs). This is, of course, the biggest benefit of selling your own house.

2 You are in total control of the transaction.

3 If mistakes are made, they are your own. There is no one else to make mistakes “for” you.

4 If your equity is low, you may be able to sell your house without having to write a check.

5You are always available at the home for showings, answering inquiries, etc.

Disadvantages Of Selling A House On Your Own

1 You must rely on your own instincts.

2 All marketing and advertising costs are your own, which can be an expensive proposition. For an economical way of marketing your home with a wide reach, visit ForSaleByOwner.com, where you can list your home online.

3 Unless you pay to have your listing included, you will not have access to the MLS–the Multiple Listing Service. You must hunt for buyers one at a time.

4 Without all the tools in hand, you may underprice or overprice the house. For information on getting price comparisons for your neighborhood, visit HomeGain.com. They have a FREE service that is designed to help you get an estimate of your home’s value. Knowing how much your home can be worth is one of the first steps in beginning to market the property. Click here for more information

5 If you are not skilled in negotiation, you may leave money on the table.

6 All of the paperwork, legal forms, etc. are your responsibility and must be handled by you.

7 If you want to give maximum benefit to your efforts, your free time will be somewhat or severely limited.

8 Many buyers believe that if you are selling on your own and not paying a commission, it is they (the buyers) who should get the saving–not you.

9 As you approach negotiations, you must sever emotional ties with your house or you will place yourself at a disadvantage.

10 You must become knowledgeable of legal and financial issues to be most effective.

The majority of home sellers take on the task with an ally: a Real Estate Agent. They feel that it is better to entrust the sale of their biggest investment to a professional, rather than attempting to learn about selling a house in a trial and error method. In addition, many people would rather use an Agent due to the complexities of modern Real Estate transactions since they usually incorporate legal and financial attributes, which takes them well beyond more simple transactions, such as the sale of an automobile.

So how do you choose an Agent who will be effective? What is important to know about an Agent to determine whether you feel they will do a good job? The following questions should be asked of any prospective Real Estate Agent in order to assess their capabilities and philosophies.

Selling a house can be a very involved process. By keeping track of your progress with this checklist, you can eliminate many of the pitfalls, time delays and aggravations that can erupt at any time during the house selling period. Bookmark this page so that you can return to it frequently and maintain control over the experience. As the sales market gets more and more competitive, a good game plan becomes crucial.

Obviously, one of the main reasons that FSBO homes have become so popular is because of the potential savings to both home buyers and sellers. FSBO allows you to “cut out the middleman” by not using a Realtor, saving a great deal of money that would normally be paid to the Realtor in commission.
The advantage to buyers of this extra control and flexibility, is the ability to deal directly with the homeowner, and even offer alternative terms, such as a higher down payment in exchange for a reduced overall price, or proposing a “lease to own” arrangement.
FSBO benefits the home seller in one other very important way: perception. In general, buyers have the perception that homes for sale by owner are a better deal than going through a Realtor. This really works and attract more attention to FSBO property than similar homes being sold through a Realtor.

Prepping and staging a house. Every seller wants her home to sell fast and bring top dollar. Does that sound good to you? Well, it’s not luck that makes that happen. It’s careful planning and knowing how to professionally spruce up your home that will send home buyers scurrying for their checkbooks. Here is how to prep a house and turn it into an irresistible and marketable home.

Difficulty: Average

Time Required: Seven to 10 Days

Here’s How:

1. Disassociate Yourself With Your Home.
   • Say to yourself, “This is not my home; it is a house — a product to be sold much like a box of cereal on the grocery store shelf.
   • Make the mental decision to “let go” of your emotions and focus on the fact that soon this house will no longer be yours.
   • Picture yourself handing over the keys and envelopes containing appliance warranties to the new owners!
   • Say goodbye to every room.
   • Don’t look backwards — look toward the future.
2. De-Personalize.
   Pack up those personal photographs and family heirlooms. Buyers can’t see past personal artifacts, and you don’t want them to be distracted. You want buyers to imagine their own photos on the walls, and they can’t do that if yours are there! You don’t want to make any buyer ask, “I wonder what kind of people live in this home?” You want buyers to say, “I can see myself living here.”
3. De-Clutter!
   People collect an amazing quantity of junk. Consider this: if you haven’t used it in over a year, you probably don’t need it.
   • If you don’t need it, why not donate it or throw it away?
   • Remove all books from bookcases.
   • Pack up those knickknacks.
   • Clean off everything on kitchen counters.
   • Put essential items used daily in a small box that can be stored in a closet when not in use.
   • Think of this process as a head-start on the packing you will eventually need to do anyway.
4. Rearrange Bedroom Closets and Kitchen Cabinets.
   Buyers love to snoop and will open closet and cabinet doors. Think of the message it sends if items fall out! Now imagine what a buyer believes about you if she sees everything organized. It says you probably take good care of the rest of the house as well. This means:
   • Alphabetize spice jars.
   • Neatly stack dishes.
   • Turn coffee cup handles facing the same way.
   • Hang shirts together, buttoned and facing the same direction.
   • Line up shoes.
5. Rent a Storage Unit.
   Almost every home shows better with less furniture. Remove pieces of furniture that block or hamper paths and walkways and put them in storage. Since your bookcases are now empty, store them. Remove extra leaves from your dining room table to make the room appear larger. Leave just enough furniture in each room to showcase the room’s purpose and plenty of room to move around. You don’t want buyers scratching their heads and saying, “What is this room used for?”
6. Remove/Replace Favorite Items.
   If you want to take window coverings, built-in appliances or fixtures with you, remove them now. If the chandelier in the dining room once belonged to your great grandmother, take it down. If a buyer never sees it, she won’t want it. Once you tell a buyer she can’t have an item, she will covet it, and it could blow your deal. Pack those items and replace them, if necessary.
7. Make Minor Repairs.
   • Replace cracked floor or counter tiles.
   • Patch holes in walls.
   • Fix leaky faucets.
   • Fix doors that don’t close properly and kitchen drawers that jam.
   • Consider painting your walls neutral colors, especially if you have grown accustomed to purple or pink walls.
     (Don’t give buyers any reason to remember your home as “the house with the orange bathroom.”)
   • Replace burned-out light bulbs.
   • If you’ve considered replacing a worn bedspread, do so now!
8. Make the House Sparkle!
   • Wash windows inside and out.
   • Rent a pressure washer and spray down sidewalks and exterior.
   • Clean out cobwebs.
   • Re-caulk tubs, showers and sinks.
   • Polish chrome faucets and mirrors.
   • Clean out the refrigerator.
   • Vacuum daily.
   • Wax floors.
   • Dust furniture, ceiling fan blades and light fixtures.
   • Bleach dingy grout.
   • Replace worn rugs.
   • Hang up fresh towels.
   • Bathroom towels look great fastened with ribbon and bows.
   • Clean and air out any musty smelling areas. Odors are a no-no.
9. Scrutinize.
   • Go outside and open your front door. Stand there. Do you want to go inside? Does the house welcome you?
   • Linger in the doorway of every single room and imagine how your house will look to a buyer.
   • Examine carefully how furniture is arranged and move pieces around until it makes sense.
   • Make sure window coverings hang level.
   • Tune in to the room’s statement and its emotional pull. Does it have impact and pizzazz?
   • Does it look like nobody lives in this house? You’re almost finished.
10. Check Curb Appeal.
    If a buyer won’t get out of her agent’s car because she doesn’t like the exterior of your home, you’ll never get her inside.
    • Keep the sidewalks cleared.
    • Mow the lawn.
    • Paint faded window trim.
    • Plant yellow flowers or group flower pots together. Yellow evokes a buying emotion. Marigolds are inexpensive.
    • Trim your bushes.
    • Make sure visitors can clearly read your house number.

It’s not uncommon for a first-time home buyer to say to me, “Gosh, just last week I called you about buying a home and now I’m in escrow! How did this happen so fast?”The answer is it didn’t. First-time home buyers start the search long before most even realize it.

Here’s what you can expect from your home shopping experience.

Figuring Out the Benefits

You should buy a home. That’s what you’ve been hearing from friends and family, right? So, by now you have likely already weighed the benefits and decided that home ownership was the best decision for you. That’s a major hurdle now passed. You are focused and certain. Good.

Defining Search Parameters

Almost 80% of all home searches today begin on the Internet. With just a few clicks of the mouse, home buyers can search through hundreds of online listings, view virtual tours, and sort through dozens of photographs and aerial shots of neighborhoods and homes. You’ve probably defined your goals and have a pretty good idea of the type of home and neighborhood you want. By the time you reach your real estate agent’s office, you are halfway to home ownership.

How Long Should It Take to Find What You Want?

In seller’s markets, often I show only one home. After all, how many homes does one family need? A few buyers will look for years, but buyers who do that aren’t motivated. A motivated buyer will find a home within two weeks. Most of my buyers find a home within two days.

Good real estate agents will listen to your wants and needs and arrange to show only those homes that fit your particular parameters. Your agent should preview homes before showing them to you as well.

How Many Homes Will You See?

Studies show that the your memory dramatically improves after consumption of carbs and slows upon consuming sugar. So, layoff the soft drinks and have a hearty meal of carbs before venturing out to tour homes. The average number of homes that I show to a buyer in one day is seven. Any more than that, and the brain is on overload. Therefore, don’t expect to see 20 or 30 homes; although it’s physically possible to do so, you probably will not remember specific details about any of them.

How to Rate Inventory

• Bring a digital camera and begin each series of photos with a close-up of the house number to identify where each group of home photos start and end.
• Take copious notes of unusual features, colors and design elements.
• Pay attention to the home’s surroundings. What is next door? Do 2-story homes tower over your single story?
• Do you like the location? Is it near a park or a power plant?
• Immediately after leaving, rate each home on a scale of 1 to 10, with 10 being the highest.

View Top Choices a Second Time

After touring homes for a few days, you will probably instinctively know which one or two homes you would like to buy. Ask to see them again. You will see them with different eyes and notice elements that were overlooked the first go-around.

At this point, your agent should call the listing agents to find out more about the sellers’ motivation and to double-check that an offer hasn’t come in, making sure these homes are still available to purchase.

Making the Selection

I’ll let you in on a little secret. I generally know which home a buyer is going to choose, and I suspect most other agents operate the same way. It’s an intuition. But I make it a practice not to steer buyers, and I insist that buyers choose the home without interference from me. It’s not my choice to make.

Real estate agents are required, however, to point out defects and should help buyers feel confident that the home selected meets the buyer’s search parameters.