Having never gone through the process before, first-time home buyers are at greater risk of falling in love too soon with real estate. But whether we’re first time buyers or we’ve done this before – it’s important to remember NOT to fall in love too quickly.
It may be the first house you’ve looked at. It’s perfect. You’re already imagining your new wall colors and figuring out where to place your couch and TV. Your heart is already set on it. This is the one.
Woah! Back up for a minute! That’s dangerous thinking. You never want to jump in too fast.. it could lead to a hasty decision, you may end up paying more than the market value supports, making resale difficult, and down the road buyer’s remorse could set in. All of this just from falling in love too fast.
So what should you do?
You want to be aware of what’s out there. In order to make a wise decision that you won’t regret later, make sure that you look at at least a handful of other properties to compare to the one you really love. How do they compare? Maybe some have features that are actually better. You may find that the one you originally loved is priced quite a bit higher than the others without any discernible reason. You want to make your decision with confidence and not look back later wishing you hadn’t rushed in. Buying a house is a big commitment – so make the right decision!
Besides avoiding buyer’s remorse, you’ll also avoid blinding yourself to the negative aspects and potential problems with the property. When we’re so excited, and our hearts have already jumped into the idea of this being “the one”, it’s very easy not to look at things realistically. How is the foundation? The plumbing? Are there any major issues that you may not see? Are there any minor issues that you may be overlooking? You should have a realistic view of the home you’re interested in, maintenance issues, and any problems that may need your attention and will require money to fix. How does all of this compare to the other properties? Will it be worth it? (If you put an offer on a house, it’s always a good idea to get it inspected.)
If after looking at more properties, you are confident that this is the home for you, than you can look forward to making the offer. This is another area that will need your caution. If you’re already attached to this house, be careful that you don’t make an offer based on how badly you want it – but rather, make sure you’ve studied up on what comparable properties have sold for and only be willing to offer what it’s worth in the current market. This will save you troubles down the road.
When you can finally call the house your home, congratulations! You can feel good knowing you made a wise decision.
If you're looking for your next home (or first one!) check out www.FreeRealtyOnline.com for listings in your area and to take advantage of resources designed just for you. (Sellers - why not list on Free Realty Online?)
Homes for Sale by Owners
Friday, August 13, 2010
Thursday, August 5, 2010
Negotiating the Sale
“You’ve received an offer on your house!”
Those are the words you’ve been waiting to hear, and finally… An offer! Your excitement comes to a screeching halt, however, when you hear the next words… the amount offered. It’s much lower than you expected. Should you even waste your time with a counter?
Before you decide to completely reject the offer, make a careful evaluation. How does your home compare to the others in your area? Is it priced similarly, or is it higher than them? Is your area a Buyer’s Market or a Seller’s Market? Most would say they’re in a “Buyer’s Market”. Besides that, it’s easy for our emotions to get involved. After all, this is your house. You’ve spent a lot of time here. You’ve put work into it. Perhaps you’ve raised your children in it. And you’ve made many good memories here. But in order to get your house sold, you’ll have to take your emotional attachment out of the picture. So, then, all that considered, do you have reasonable expectations for a sale price?
Now, that doesn’t mean you have to accept unreasonably low offers. Many buyers out there “test the waters” to see how great of a “deal” they can get. So try not to be offended if you receive something that you feel is just too low, especially if there really aren’t too many buyers in the market. Rather, consider a reasonable counter offer. You’ll know by what the Buyer responds with whether he is a serious buyer, or just a buyer looking for something ridiculously cheap.
At any rate, sometimes the Buyer may just be going his lowest, and is willing to go up from there. Hopefully that is the case. But if not, and if offers are hard to come by, you may want to consider lowering your asking price. Remember, Sellers don’t usually get as much as they’d like for their property, and Buyers usually pay more than they’d like to pay. If you lower your price into a new price bracket (for example from $215,000 down to $199,900), you may attract a whole new area of Buyers you hadn’t yet reached. This could prove very helpful in finding the right Buyer for your home!
If you’re trying to sell your home, check out FreeRealtyOnilne.com and list for free! Maybe it will aid you in finding the right buyer so you can “negotiate a sale”!
Homes for Sale by Owners
Those are the words you’ve been waiting to hear, and finally… An offer! Your excitement comes to a screeching halt, however, when you hear the next words… the amount offered. It’s much lower than you expected. Should you even waste your time with a counter?
Before you decide to completely reject the offer, make a careful evaluation. How does your home compare to the others in your area? Is it priced similarly, or is it higher than them? Is your area a Buyer’s Market or a Seller’s Market? Most would say they’re in a “Buyer’s Market”. Besides that, it’s easy for our emotions to get involved. After all, this is your house. You’ve spent a lot of time here. You’ve put work into it. Perhaps you’ve raised your children in it. And you’ve made many good memories here. But in order to get your house sold, you’ll have to take your emotional attachment out of the picture. So, then, all that considered, do you have reasonable expectations for a sale price?
Now, that doesn’t mean you have to accept unreasonably low offers. Many buyers out there “test the waters” to see how great of a “deal” they can get. So try not to be offended if you receive something that you feel is just too low, especially if there really aren’t too many buyers in the market. Rather, consider a reasonable counter offer. You’ll know by what the Buyer responds with whether he is a serious buyer, or just a buyer looking for something ridiculously cheap.
At any rate, sometimes the Buyer may just be going his lowest, and is willing to go up from there. Hopefully that is the case. But if not, and if offers are hard to come by, you may want to consider lowering your asking price. Remember, Sellers don’t usually get as much as they’d like for their property, and Buyers usually pay more than they’d like to pay. If you lower your price into a new price bracket (for example from $215,000 down to $199,900), you may attract a whole new area of Buyers you hadn’t yet reached. This could prove very helpful in finding the right Buyer for your home!
If you’re trying to sell your home, check out FreeRealtyOnilne.com and list for free! Maybe it will aid you in finding the right buyer so you can “negotiate a sale”!
Homes for Sale by Owners
What To Do When Selling On Your Own
The thought of selling your property can seem a little overwhelming. It’s a good idea to make a list of all the things you’ll need to do to get your property sold. This will keep you organized and prepared each step of the way! Our previous article detailed what you’ll need to do to prepare your house for sale. What do you do once it’s ready?
First of all, decide whether or not you want to sell on your own or go to a professional Real Estate Agent for help in marketing your property. If you’re thinking about going to a Real Estate Agent, you may want to ask them a few questions to decide if they’re the right Agent for you, such as: “What makes you special as an agent?”, “Who are the buyers for this house and how do you plan on reaching them?”, “What can I do to help sell for the most money possible?”, “How can I be sure that I’ll be happy with your services?”, “How does my house compare to the competition?”, “How will you maximize the net proceeds that I will receive from the sale?”, “Are you willing to do a CMA (Market Analysis), and provide me with a copy of it, listing the adjustments made?”, and “Can I cancel if not satisfied and list with another agent without obligation to you?”. Be sure that what is agreed on is put in writing in the Listing Contract!
Even if you decide to have a licensed Real Estate Agent represent you, it’s still good to have a general idea of what you feel your asking price should be. Make a study of other comparable properties on the market or that have recently sold. What do they have to offer that your property doesn’t? What does your property have to offer that they don’t? Make the necessary adjustments and come up with a price that you feel reflects the current market and what your home is worth.
Since some of you may wish to sell without the help of a Real Estate Agent, what should you do next?
Now that your home is ready for sale and you’ve decided on a price, it’s time for people to know about it! You’ll need to get out there and advertise. Be sure to count the cost and have a budget for advertising expenses, deciding how much to advertise and how often!
According to a 2009 Survey by the National Association of Realtors, 90% of Buyers use the internet in searching for a home. So with the majority of consumers relying on the internet, it’s a good idea to advertise your property for sale online.
The same Survey showed that 40% of consumers rely on print or newspaper ads in looking for Real Estate. That being the case, you still would want to advertise what you could in your local newspaper, special home journals, and magazines. When doing so, instruct the Buyers to go to FreeRealtyOnline.com to view your home. Keep in mind though, that since less and less results come from printed ads (the NAR Survey showed that while 40% look at printed ads, only 2% found their home through the newspaper and less than 1% from a magazine or home book), you will want to find a good balance. The Survey also explained that 59% of Buyers search by yard signs. Therefore, of course, you’d want to have an attractive and professional sign displayed in your yard advertising that your home is for sale.
Besides these advertising suggestions – never underestimate the power of word of mouth!
Now that you’ve got your place advertised, be prepared for phone calls to see the property! Make sure you have a way to stay organized and keep track of the showing appointments. It’s very important that you are flexible so that you can schedule your time in a way that you’ll be able to meet the prospective Buyers.
When bringing Buyers into your house, have a “guest book”, or “visitor’s book” out for them to sign and have them include their phone number. It would be a good idea to have a surveillance system in your home. Alert the Buyers with a sign that your home – and its visitors – are under video and still-camera surveillance. This will help to deter criminal behavior by potential visitors or people casing a home.
While going through the home, never point out the obvious. Bring to their attention features of the home that would otherwise go unnoticed, but that you feel are of value. It’s a good idea to have brochures printed up, highlighting the features of the property, to give to prospective Buyers. That way, if they are looking at numerous properties, they will have a way of distinguishing yours and remembering what yours had to offer.
After the showing, don’t wait for the Buyer to call you back… Put him on notice that you will call him in a day or two to check with him. If you call him and he’s not expecting it, he will most likely think you’re desperate to sell! You don’t want Buyers to feel that way, so make sure you let them know you’re going to be in contact with them.
Before too long (hopefully!) you’ll get an offer on your property! There is much thought to be put into the negotiating and the closing process. Watch for our next article, detailing what the process requires of you!
For more information or to list your property online, Visit http://www.freerealtyonline.com!
Homes for Sale by Owners
Resources: http://www.realtor.org/press_room/news_releases/2009/11/survey_record
First of all, decide whether or not you want to sell on your own or go to a professional Real Estate Agent for help in marketing your property. If you’re thinking about going to a Real Estate Agent, you may want to ask them a few questions to decide if they’re the right Agent for you, such as: “What makes you special as an agent?”, “Who are the buyers for this house and how do you plan on reaching them?”, “What can I do to help sell for the most money possible?”, “How can I be sure that I’ll be happy with your services?”, “How does my house compare to the competition?”, “How will you maximize the net proceeds that I will receive from the sale?”, “Are you willing to do a CMA (Market Analysis), and provide me with a copy of it, listing the adjustments made?”, and “Can I cancel if not satisfied and list with another agent without obligation to you?”. Be sure that what is agreed on is put in writing in the Listing Contract!
Even if you decide to have a licensed Real Estate Agent represent you, it’s still good to have a general idea of what you feel your asking price should be. Make a study of other comparable properties on the market or that have recently sold. What do they have to offer that your property doesn’t? What does your property have to offer that they don’t? Make the necessary adjustments and come up with a price that you feel reflects the current market and what your home is worth.
Since some of you may wish to sell without the help of a Real Estate Agent, what should you do next?
Now that your home is ready for sale and you’ve decided on a price, it’s time for people to know about it! You’ll need to get out there and advertise. Be sure to count the cost and have a budget for advertising expenses, deciding how much to advertise and how often!
According to a 2009 Survey by the National Association of Realtors, 90% of Buyers use the internet in searching for a home. So with the majority of consumers relying on the internet, it’s a good idea to advertise your property for sale online.
The same Survey showed that 40% of consumers rely on print or newspaper ads in looking for Real Estate. That being the case, you still would want to advertise what you could in your local newspaper, special home journals, and magazines. When doing so, instruct the Buyers to go to FreeRealtyOnline.com to view your home. Keep in mind though, that since less and less results come from printed ads (the NAR Survey showed that while 40% look at printed ads, only 2% found their home through the newspaper and less than 1% from a magazine or home book), you will want to find a good balance. The Survey also explained that 59% of Buyers search by yard signs. Therefore, of course, you’d want to have an attractive and professional sign displayed in your yard advertising that your home is for sale.
Besides these advertising suggestions – never underestimate the power of word of mouth!
Now that you’ve got your place advertised, be prepared for phone calls to see the property! Make sure you have a way to stay organized and keep track of the showing appointments. It’s very important that you are flexible so that you can schedule your time in a way that you’ll be able to meet the prospective Buyers.
When bringing Buyers into your house, have a “guest book”, or “visitor’s book” out for them to sign and have them include their phone number. It would be a good idea to have a surveillance system in your home. Alert the Buyers with a sign that your home – and its visitors – are under video and still-camera surveillance. This will help to deter criminal behavior by potential visitors or people casing a home.
While going through the home, never point out the obvious. Bring to their attention features of the home that would otherwise go unnoticed, but that you feel are of value. It’s a good idea to have brochures printed up, highlighting the features of the property, to give to prospective Buyers. That way, if they are looking at numerous properties, they will have a way of distinguishing yours and remembering what yours had to offer.
After the showing, don’t wait for the Buyer to call you back… Put him on notice that you will call him in a day or two to check with him. If you call him and he’s not expecting it, he will most likely think you’re desperate to sell! You don’t want Buyers to feel that way, so make sure you let them know you’re going to be in contact with them.
Before too long (hopefully!) you’ll get an offer on your property! There is much thought to be put into the negotiating and the closing process. Watch for our next article, detailing what the process requires of you!
For more information or to list your property online, Visit http://www.freerealtyonline.com!
Homes for Sale by Owners
Resources: http://www.realtor.org/press_room/news_releases/2009/11/survey_record
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