Category: Tips For Sellers
Posted by - January 25, 2011 - Real Estate, Tips For Sellers
One of the most under-reported topics in real estate are the relationships real estate consumers have with real estate agents. Known as agency, the type of agency relationship you have with a real estate professional could impact the purchase or sale of a home. Below you will find the the ins’ and outs of agency in residential real estate.
-Agency. The relationship between someone who is licensed as a real estate broker or salesperson and the person he or she represents, who is the principal. State laws vary on agency relationships, verify in your state what and how agency is defined.
-Fiduciary. Agents under agency laws have a relationship with the principal or client based on trust and confidence.
-Establishing an agency relationship. Written or oral (depending on state law) where brokerage services are provided to a buyer, renter, or seller in return for compensation. In some situations an implied agency relationship is created, through mutual consent and actions. You attend an open house and the host who is the listing agent offers to show you other properties and you consent.
-Dual agency. You are shown a home you are interested in by the listing agent, who has a brokerage agreement and an agency relationship with the seller. You decided to purchase the home and use the listing agent as your representative. This agent must disclose to you that they are now a dual agent, representing both the seller and buyer in the transaction. Not recommended. Undisclosed dual agency is against the law.
-Disclosure of agency by real estate agents. Mandatory in all states. An agent must disclose who they have a fiduciary relationship with.
-Buyer agency. The formal or informal agency relationship between a buyer and an agent who has a fiduciary relationship to the buyer. Preferred.
-How buyers agents can be compensated. Either the buyer pays compensation to their agent or the seller can compensate the buyers agent. Even though the buyers agent has a fiduciary relationship with the buyer, the agent can still be compensated by the seller through the sellers agent.
Posted by - October 25, 2010 - Real Estate, Tips For Sellers
Forget the real estate bubble, energy prices are a primary concern for homebuyers. Stung by rising mortgage rates and higher commuting costs from recent increases at the pump, homebuyers in the last three months have paid extra attention to energy costs during their home search. From my experience and hearing client reports as they look for seasonal homes in southern climates, natural gas, heating oil and electricity costs have moved dramatically up the list as potential deal-killers. Sellers should be prepared for buyer inquiries about energy consumption and efficiency improvements. Energy questions apply to condominiums and single-family homes.
Do’s
–Provide the last three months electric and natural gas/heating oil bills. Buyers appreciate pro-active sellers providing these costs without asking. Buyers can usually can energy history from utility companies.
-Be honest about how you set the temperature in your home. If you blast your furnace for a new baby or practice conservation let buyers know. Disclose that you have turned the thermostat down on the hot water or pool heater too.
-If you have your pool opened up for showings and have a solar cover, let buyers know. Pool energy costs are a second-tier energy expense to buyers.
-Install a programmable thermostat if you don’t already have one. Buyers look for this telltale sign of energy-awareness .
–Make readily available manuals from energy star appliances (appliances that significantly exceed the minimum national efficiency standards). Save yellow energy use labels from furnaces, hot water heaters and appliances.
-Inform buyers that you have solar-energy systems. Buyers might miss these systems while taking in other features of your home on their first visit.
-Disclose active or abandoned buried oil storage tanks. Most state residential property disclosure laws require sellers to inform buyers of the location, size and age of tanks.
-Display furnace and air-conditioning service histories. Buyers love to see maintenance records.
-Verify that all radiators valves work properly. Buyers love the even heat from this old system but want to know that they can control heat levels. Buy radiator valve keys at the local hardware store.
-Provide receipts from recent insulation or window replacement projects. Highlight special features such a double glazing and low-e coatings.
-Reports from energy audits on your home completed by your utility company.
Don’ts
- Forget to replace your furnace filter once a month. Home inspectors and home shouldn’t discover filthy filters. Ditto water filters in your refrigerator and sink. Check dryer and range-hood filters too.
-Cover windows and doors with plastic sheeting. Buyers want to see views and use doors on property tours. Plastic coated windows looks like a energy band-aid. Boomers remember the coated couches and lamp shades.
-Pile straw bales around the foundation. Buyers consider this a quick fix for problem crawlspaces.
-Close all the blinds to save air-conditioning costs when showing your home. You won’t sell your house if it is dark and closed up for property showings or buyers have to fumble in the dark for lights.
-Remember to vacuum floor vents and ventilation supply ductwork. Many a homebuyer has moved-on from pet-hair tumbleweed coming from the bowels of a heating system.
-Leave exhaust vents running in bathrooms and kitchens during home showings. They suck the heat out and appear wasteful to buyers.
-Neglect covering window air-conditioners in the off season. Drafty air-conditioning units aren’t a selling plus and emit outside noises . Don;t forget to clean filters on window units.
-Ignore installing storm windows during heating season. Buyers need to see that you have storm windows for maximum heat retention. Make the screens visually available. Buyers always ask about them and sometimes verify the number matches window and door count.
-Disregard build up of dust on refrigerator and freezer coils. Move appliances out and vacuum before listing your home . Mr. and Ms. clean-obsessed buyer might question overall home maintenance at a home inspection if they discover excessive debris around refrigerators and freezers.
Posted by - March 15, 2010 - Real Estate, Tips For Sellers
The buzzword today with residential real estate agents is staging. Staging a home can change a homes atmosphere that appeals to homebuyers and which may bring a higher price and accelerate market time. By adding small decorative touches, rearranging or deleting furniture or creating vignettes a home can look like a professional stager was hired. Here’s some do’s and don’ts for home sellers that want to try to stage their home.
Do’s
-Pick-up recent home decorating magazines. If your not up to speed on current decorating trends it will help familiarize yourself with how interior design is being marketed. Tab pages with low-cost ideas that which will make your home say today.
-Invite a friend or real estate agent over. A second or third pair of eyes will help you accent the best and edit the worst in your home. Be prepared for some constructive criticism. You want to hear it before you put your home on market, not as feedback from prospective buyers. Go room-by-room with a worksheet so you can take notes. Depending on how much time you have available for an update or a makeover, you will need to prioritize and figure out what will give you the biggest return. Do this at least two months before you put your house on market.
-Stage a home office if you don’t have one. They’re not a trend; they’re required for homebuyers in 2010. Many homebuyers today work from home part or full-time or want a space where they can organize their life and park a computer. Find an extra bedroom, walk-in closet or an unused corner and convert into a home office. Make sure there is a convenient electric, telephone and cable supply.
-Focus on living spaces. These areas are where the majority of homebuyers will spend their time. Place a side table and a floor lamp next to a comfortable chair as a reading corner. Float sofas and coffee tables away from walls for a designer look. Use area rugs to anchor furniture groupings on bare tile and wood floors. Living spaces must have matching table lamps. Streamline family photos and place green plants in room. Fireplaces should always be operable and on in season. Place groupings of candles and clear glass bowls filled with natural potpourri on side and coffee tables. Substantial wicker baskets can organize magazines, remote controls and toys. Limit knick-knacks to make room for staging materials.
-Give attention to Kitchens. Put away in a handy drawer all dish towels and rags. Reduce recipe boxes, barrels of cooking utensils, excess-cooking machines, and cookbooks by two-thirds to open up counter spaces. For a quick update put new hardware on cabinets. Find an out-of-the-way place for a portable dishwasher. Clean off everything on the refrigerator door. Omit throw rugs scattered around the kitchen. Clean off windowsills to open up exterior views. Organize cabinets with clear containers. If you can’t see the back wall of a cabinet, buyers will think you don’t have enough storage space. Ditto closets. Budget to keep a variety of fresh fruit in a glass bowl on the counter. Edit family bulletin boards. Remove old curtains and install new wood blinds on windows.
-Spend time on sleeping and bathing spaces. Often over looked in the frenzy to get a home on market, these spaces can make or break a home. Buy a set that consists of a matching bed skirt, bed spread, pillow covers and blinds to match. Buy a new shower curtain and separate liner. Wash the liner often if mold develops. Add complete sets of towels that coordinate with your new shower curtain. Clear all cosmetics off vanity. If you have an over-the-toilet cabinet consider removing and place a piece of artwork in its place. Remember to keep items in the “too much information” category, out of view. If you have a king-size bed in a small room, you’ll pay to have buyers over come this negative, so get rid of it now. Clear off dresser and nightstands of excess. Make sure the bedroom receives the maximum natural light. Install closet organizers in closets. Eliminate wall and door hooks for clothes. People might look under your bed, no surprises please.
-Remember first impressions in entries. A simple consol table with mirror over makes a nice entranceway. Make sure this space is well lit day or night. Place adhesive under rugs so buyers don’t trip or slide.
Don’ts
-Use inexpensive silk flowers. Nothing distracts buyers more that silk flowers that are past their time, inappropriate for the season or thrown together. Throw them out, now.
-Forget to upgrade Fido’s bowl. I’ve experienced more unhealthy pet food bowls, watering stations and litter boxes than I care to remember. We know you love your pet, but prove it to homebuyers.
-Overlook window coverings. Buyers today think less is more in window fashion. They want the most light and the least embellishment on windows. And no layered treatments with sheer panels please.
-Use low wattage light bulbs. Dark, dim rooms are unappealing to homebuyers. They want to see what they might buy. Replace bulbs with manufacture recommended wattages and especially the burned out ones. The newer low-energy bulbs don’t cast home or people in flattering light.
-Think that everyone loves wallpaper. No two people have the same taste in this instant decorator finishes. If it’s more than three years old, take it down and paint in a neutral color. And wallpaper boarders are out.
-Paint with commitment colors. If you’ve determined that you need to paint, stay away from bold or as I call them commitment colors. Commitment colors are those buyers either love or hate. It can be difficult for buyers to overlay their style on them. As one client said to me “ I don’t live in a magazine.”
-Think cleaning is a part of staging. Cleaning is what you do before staging. Everything should shimmer and shine. Don’t forget the windows.
Use these do-it-yourself tips to place your home on the stage of your local home sale theater.