Author Archives: Jack Edwards

Realty Check — The Downside to For Sale By Owner

The Downside to Selling Your Home by Yourself

California’s real estate market has rebounded sharply in the past several years in the aftermath of the recession, with home prices near or even above their highs of 2007 and 2008. A shortage of listings in many communities is resulting in some homes receiving multiple offers, even over the asking price.

In this kind of a “seller’s market” it’s understandable that some homeowners may believe that they should try selling their home on their own to “save” money. However, do-it-yourself sellers (also known as “For Sale By Owner” or “FSBO”) could end up losing money in the long run – and create lots of headaches in the process.

Here are just a few of the reasons why selling your own home rather than letting a professional do it could cost you time and money in the long run:

  • You may not save as much as you think – if at all. Homes without professional representation often remain on the market longer and end up selling at a lower price than those marketed by a real estate agent. The National Association of REALTORS® found that the typical FSBO home nationwide sold for an average price of $210,000 as compared to the average price of $249,000 for agent-assisted home sales in 2014 (the most recent figures available).
  • Other costs can eat away at any “savings.” While you might save some of the commission cost of a seller’s agent, you may still end up paying 2-3 percent to the buyer’s agent in order to attract a larger pool of buyers. Additionally, the true “savings” may be far less after you add all the other costs associated with selling – advertising, brochures and fliers, for-sale signs, etc.
  • Much time and effort go into selling a home. There’s a reason that just 8 percent of sellers sold their own home last year, according to NAR. It’s hard work! Professional real estate agents develop comprehensive marketing plans, take professional photos, arrange inspections and appraisals, oversee staging, hold open houses, place print and online ads, seek out potential buyers and negotiate with buyers’ agents on price and terms. Homeowners need to ask themselves if they really have the time or expertise to do all of that on their own.
  • Determining the right listing price is critical. Real estate professionals review comparable sales, local market conditions, as well as the pluses and minuses of your home in helping you set the list price. As an owner, you may not have a clear or objective sense of what that price should be. The right list price may get your home multiple offers or a faster sale depending upon what you want. Setting the list price too high may cause potential buyers to not even look at your home.
  • Negotiating against pros. If you try to sell your home on your own, you may end up negotiating with a professional real estate agent working for the buyer whose expertise may cause you to end up selling your home for less money and/or with other contractual terms that may not be in your best interests and could also cost you more in the long run.
  • Limiting your pool of buyers. FSBO properties are often not able to utilize as many of the real estate search engines and websites as properties sold by REALTORS®. This is potentially a significant obstacle in an era when more than 90 percent of buyers start their home search on the Internet, according to NAR. Those selling their own home typically cannot leverage the advertising, marketing and networking resources that are needed to reach the potential buyers that agents are reaching every day.

Even in a good market, properly marketing and selling a home is far more complicated than most people suspect.  It’s very easy for non-professionals to make costly mistakes. Since the sale of one’s home is often the single biggest financial transaction that most of us will ever make in our lives it is critical that it is handled as expertly as possible. When it comes to selling your home, it truly pays to rely on an experienced real estate professional to help guide you through the process.

Start Building Your Memories,
as you turn your house into a home.

As you might guess, this document is a compilation of information from our own efforts as REALTORS, as well as input from other REALTORS in our Coldwell Banker office.  I hope it has been of value to you.  Don’t hesitate to email us with any suggestions that will make this document better for you and your fellow homeowners!

Be sure to follow us on Facebook at www.Facebook.com/ElkGroveRealEstate.  For information about properties available for sale and for more information for buyers and sellers, please visit our website at www.ElkGroveRealEstate.com and don’t hesitate to give us a call or drop us an email with your questions.

WANT TO USE THIS ARTICLE IN YOUR E-ZINE OR WEB SITE? You can, as long as you include this complete blurb with it: Jack Edwards, your real estate advocate, specializes in helping buyers and sellers in Elk Grove, CA,  and the greater Sacramento area.   Get information about available homes online at:  www.ElkGroveRealEstate.comOur mobile clients can find us at Mobile.ElkGroveRealEstate.com  BRE License # 01331087

 

©2016 Coldwell Banker Real Estate LLC. All Rights Reserved. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each Coldwell Banker Residential Brokerage Office Is Owned by a Subsidiary of NRT LLC. If your property is listed with a real estate broker, please disregard. It is not our intention to solicit the offerings of other real estate brokers. We are happy to work with them and cooperate fully. CalBRE License #01908304

One Cool Thing — Best Buyer Tools

BestBuyerTools7_11Start Building Your Memories,
as you turn your house into a home.

As you might guess, this document is a compilation of information from our own efforts as REALTORS, as well as input from other REALTORS in our Coldwell Banker office.  I hope it has been of value to you.  Don’t hesitate to email us with any suggestions that will make this document better for you and your fellow homeowners!

Be sure to follow us on Facebook at www.Facebook.com/ElkGroveRealEstate.  For information about properties available for sale and for more information for buyers and sellers, please visit our website at www.ElkGroveRealEstate.com and don’t hesitate to give us a call or drop us an email with your questions.

WANT TO USE THIS ARTICLE IN YOUR E-ZINE OR WEB SITE? You can, as long as you include this complete blurb with it: Jack Edwards, your real estate advocate, specializes in helping buyers and sellers in Elk Grove, CA,  and the greater Sacramento area.   Get information about available homes online at:  www.ElkGroveRealEstate.comOur mobile clients can find us at Mobile.ElkGroveRealEstate.com  BRE License # 01331087

 

©2016 Coldwell Banker Real Estate LLC. All Rights Reserved. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each Coldwell Banker Residential Brokerage Office Is Owned by a Subsidiary of NRT LLC. If your property is listed with a real estate broker, please disregard. It is not our intention to solicit the offerings of other real estate brokers. We are happy to work with them and cooperate fully. CalBRE License #01908304

One Cool Thing — Millennials Might Wait

MillennialsMightWait7_4Start Building Your Memories,
as you turn your house into a home.

As you might guess, this document is a compilation of information from our own efforts as REALTORS, as well as input from other REALTORS in our Coldwell Banker office.  I hope it has been of value to you.  Don’t hesitate to email us with any suggestions that will make this document better for you and your fellow homeowners!

Be sure to follow us on Facebook at www.Facebook.com/ElkGroveRealEstate.  For information about properties available for sale and for more information for buyers and sellers, please visit our website at www.ElkGroveRealEstate.com and don’t hesitate to give us a call or drop us an email with your questions.

WANT TO USE THIS ARTICLE IN YOUR E-ZINE OR WEB SITE? You can, as long as you include this complete blurb with it: Jack Edwards, your real estate advocate, specializes in helping buyers and sellers in Elk Grove, CA,  and the greater Sacramento area.   Get information about available homes online at:  www.ElkGroveRealEstate.comOur mobile clients can find us at Mobile.ElkGroveRealEstate.com  BRE License # 01331087

 

©2016 Coldwell Banker Real Estate LLC. All Rights Reserved. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each Coldwell Banker Residential Brokerage Office Is Owned by a Subsidiary of NRT LLC. If your property is listed with a real estate broker, please disregard. It is not our intention to solicit the offerings of other real estate brokers. We are happy to work with them and cooperate fully. CalBRE License #01908304

One Cool Thing — Beyond Curb Appeal

BeyondCurbAppeal6_27Start Building Your Memories,
as you turn your house into a home.

As you might guess, this document is a compilation of information from our own efforts as REALTORS, as well as input from other REALTORS in our Coldwell Banker office.  I hope it has been of value to you.  Don’t hesitate to email us with any suggestions that will make this document better for you and your fellow homeowners!

Be sure to follow us on Facebook at www.Facebook.com/ElkGroveRealEstate.  For information about properties available for sale and for more information for buyers and sellers, please visit our website at www.ElkGroveRealEstate.com and don’t hesitate to give us a call or drop us an email with your questions.

WANT TO USE THIS ARTICLE IN YOUR E-ZINE OR WEB SITE? You can, as long as you include this complete blurb with it: Jack Edwards, your real estate advocate, specializes in helping buyers and sellers in Elk Grove, CA,  and the greater Sacramento area.   Get information about available homes online at:  www.ElkGroveRealEstate.comOur mobile clients can find us at Mobile.ElkGroveRealEstate.com  BRE License # 01331087

 

©2016 Coldwell Banker Real Estate LLC. All Rights Reserved. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each Coldwell Banker Residential Brokerage Office Is Owned by a Subsidiary of NRT LLC. If your property is listed with a real estate broker, please disregard. It is not our intention to solicit the offerings of other real estate brokers. We are happy to work with them and cooperate fully. CalBRE License #01908304

Realty Check — June

Don’t Underestimate the Value a Real Estate Professional Brings to a Home Sale

Well-known actor, humorist and economist Ben Stein once wrote a column entitled “Pieces of Heaven.” It was a love letter of sorts about the many homes he has bought, sold and enjoyed over the years – and the many real estate professionals who helped him find his little bit of paradise each time.

The properties were located all over the country – the California coast, Beverly Hills, the Eastern seashore and Washington D.C., to name a few. The one thing they all had in common, Mr. Stein said: “We could never have gotten them without brokers.”

“Every time I use an agent, I am amazed at how hard they work…always available around the clock,” he wrote. “They handle even the most minute details like inspections, and the big ones like financing. They show endless patience. They are relentlessly upbeat. They need to be a diplomat, design expert, financier, psychologist, surrogate parent, and often surrogate spouse.”

Some sellers may think you just stick a for-sale sign in the front lawn and buyers will beat a path to your door. Guess again! Real estate professionals develop comprehensive marketing plans, take professional photos, arrange inspections and appraisers, oversee home staging, hold open houses, place print and online ads, reach out to their networks to find potential buyers, and negotiate with buyers’ agents to get the best price and to get the deal closed.

Pre-sale activities

A Listing Agent’s work starts with researching the current market to aid the Seller in determining the right list price. They provide information about professionals who can help get the home ready for sale, arrange and develop disclosure packages for potential buyers.

Before any potential buyer sets foot inside the home the Listing Agent will work with the Seller to find out the Seller’s preferences regarding a menu of options as to how to best market the home.  Depending upon the Seller’s preferences, the Listing Agent will assist in choosing a stager and/or a landscaper to make the property look it’s best inside and out; to have multiple photos and/or a virtual tour, post signs, create a website as well as put together compelling marketing material to highlight it’s positive attributes and features.

Maximum exposure marketing

Putting the home on the local MLS is just the start of what goes into effectively marketing a home listing. Real estate professionals may create and distribute a just-listed postcard, create and send out open house invitations, submit ads to various publications, promote the home to the Listing Agent’s network locally and regionally, as well as use relocation referral networks to promote the home to relocating buyers from around the country.

And because 90 percent of buyers begin their search for a home on the Internet, according to the National Association of REALTORS®, Listing Agents will promote the property on many of the country’s top real estate websites. Through web syndication, Coldwell Banker listings, for example, are featured on an unsurpassed 700-plus websites around the world – including Coldwell Banker’s exclusive websites.

Open houses and tours

Listing Agents may host a broker’s open tour to let agents working with potential buyers see the property first before holding any public open house. They may canvass the neighborhood to invite people to the open house, as well as alert past client referrals about the listing. In addition, they will schedule individual showings to let more serious potential buyers tour the home personally and privately. Listing Agents will then follow up with those potential buyers and their agents to gauge their reaction and discuss next steps.

Negotiate offers/acceptance

Once a buyer or multiple buyers make an offer, Listing Agents will schedule an offer presentation with the seller, presenting the offer(s), discussing the terms and the seller’s options.  At the Seller’s direction the Listing Agent will negotiate terms on behalf of the Seller and prepare contract documents. They coordinate and attend inspections and work with all parties to help resolve problems and challenges relating to the property.

Last but not least, the Listing Agent will help secure all of the necessary paperwork and coordinate the closing.

There is much more to successfully selling a home than putting up a sign. A professional REALTOR® can make the process seem so much easier through their hard work, their expertise and their attention to details. Buying and selling a home is often the largest financial transaction that any of us will ever make. But with the help of a real estate professional, the next generation of buyers and sellers can find their own “pieces of heaven” – just as Ben Stein has been able to achieve so often over the years.

Start Building Your Memories,
as you turn your house into a home.

As you might guess, this document is a compilation of information from our own efforts as REALTORS, as well as input from other REALTORS in our Coldwell Banker office.  I hope it has been of value to you.  Don’t hesitate to email us with any suggestions that will make this document better for you and your fellow homeowners!

Be sure to follow us on Facebook at www.Facebook.com/ElkGroveRealEstate.  For information about properties available for sale and for more information for buyers and sellers, please visit our website at www.ElkGroveRealEstate.com and don’t hesitate to give us a call or drop us an email with your questions.

WANT TO USE THIS ARTICLE IN YOUR E-ZINE OR WEB SITE? You can, as long as you include this complete blurb with it: Jack Edwards, your real estate advocate, specializes in helping buyers and sellers in Elk Grove, CA,  and the greater Sacramento area.   Get information about available homes online at:  www.ElkGroveRealEstate.comOur mobile clients can find us at Mobile.ElkGroveRealEstate.com  BRE License # 01331087

 

©2016 Coldwell Banker Real Estate LLC. All Rights Reserved. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each Coldwell Banker Residential Brokerage Office Is Owned by a Subsidiary of NRT LLC. If your property is listed with a real estate broker, please disregard. It is not our intention to solicit the offerings of other real estate brokers. We are happy to work with them and cooperate fully. CalBRE License #01908304