Real Estate Agencies: Selling Advantages

1. Network: Owing to their line of work, real estate agents have very good network connections. Apart from buyers in and around your immediate area real estate agents have access to buyers from other states as well as overseas. In light of this fact real estate agents can sell your house much faster than if you did on your own.
2. Screening Of Buyers: Often consumers find that once they have advertised their property for sale, a lot of non-prospective buyers, come knocking. Real estate agents can help you by screening these buyers. Once you have told the real estate agent what your criteria for the sale is he or she can easily bring only those buyers who would actually affect the sale.
3. Pricing: Consumers often feel that they know best what the property price is. In light of the fact that we have been experiencing a massive credit crunch, prices of property has fallen across the board. Real estate agents are well aware of these prices and can help you correctly price your house.
4. Tips To Make A Quicker Sale: Certain phrases are true especially in the real estate market. One such phrase is “ leave it to the pros”. Real estate agents know exactly what buyers are looking for. When you appoint a real estate agent to sell your property, not only do they look for prospective buyers but also advise sellers as to what buyers look for when purchasing a property. Real estate agents would give you advice on everything from how your front lawn should look to Just what the interiors should look like and also thought what extras you should offer to make the sale more attractive.
5. Future Business: Once you’ve sold your property as a seller, the process does not necessarily end there. There is a lot of paperwork that needs to be completed. It is always beneficial to have an expert’s opinion or someone who has ample experience dealing with such paperwork. In addition to this as a seller you may find that at a future date you are a buyer. Under such circumstances it helps if you have a professional relationship with a real estate agent, who in this case would help you buy a property.

Real estate agents exist in the market because they serve a lot of purposes. Not only do they bring together buyers and sellers they also facilitate transactions and can point buyers in the right direction to obtain financing. This in turn helps the seller make a quick and easy sale.

It is very common for individuals to get excited about things, especially if the object in question is a property or more specifically your first home. People tend to get swayed so much by the property and the feeling that that they have finally found their dream home, that they let everything else cloud their senses. Here are some of the most common real estate mistakes.

Common Real Estate Mistakes

1. Understanding The Duration Of The Process: When it comes down to buying or selling a piece of real estate, there are a number of wheels that go into motion and not unless all the processes have been completed can the purchase or sale be completed. It is always best to work with some time in your hands. Quite often you will find that for some reason the finance application of the buyers has been held up or the seller is taking way to long to come to terms with the buyer’s proposal.  Working on sunny optimism in the real estate market will only cause you more heartache. No matter how many promises your real estate agent makes, always keep a bit of extra time in your hand.
2. Get A Pre-Approval: If you are seriously considering getting a house, then the best idea is to get yourself a pre-approval. With a pre-approval and home loan qualification in your hand your offer to buy a home will look way or attractive to the seller than someone else’s who is waiting to get a loan from the bank. Pre-approvals help save time and at the same time eliminate the uncertainty of the loan approval process.
3. Wearing Your Heart On Your Sleeve: It is only human to get excited about a house that you think is perfect for you. But, here’s the catch. Make sure you never let your emotions out in front of the seller or there goes any bargaining power you may have. It is essential that you remain calm, controlled and above all prudent. At the end of the day it is still a property and you need to ensure that you are getting the best deal you possibly can.
4. Understanding The Market: If you feel that you are going to dive in and pick up a bargain property amongst all these foreclosure or feel that you may be able to sell your property right at the top of the market, you may be disappointed. It is essential to remember that the real market levels out and then surges again. There is no pop effect in a real estate market. Approach the real estate market as one who is in it for the long haul.
5. Comprehensive Contracts: Here is the where people make the biggest mistake. They fail to realise what they are signing. If you have any verbal understandings with the seller make sure that it is documented and out down on the contract. Issues concerning repairs, closing costs, and other ancillaries all need to be part of the contract. Incomplete contracts can cause you more heartache and loss of energy than you will want to admit. Make sure that the contract is complete and clear and ha been reviewed by a legal practitioner. Ask your attorney to be proactive and look into the contract for you to make sure that your interests are being looked after.

These are some of the most common real estate mistakes that individuals make.

Reference:

1. 10 real estate deal wreckers – MSN Real Estate

It is widely accepted at the moment, that given the current economic situation, this is a buyers market. As a seller you need to ensure that your property has all the qualities it requires to make it appealing and facilitate a quick sale. Below mentioned are some tips to help you sell your home fast.

How To  Sell Your Home Quickly

• Price

With the numbers of delinquencies rising and more foreclosures entering the market, property prices are constantly on the decline. Property prices from six months to a year ago are now in the past. Real estate experts estimate that property prices have been falling as much as 7 percent on a monthly basis. Given these statistics, it would be a mistake to base the price of your on prices which were prevalent 6 to 12 months ago. Check what the asking price of properties in your neighbourhood is. Following this price your house equally or as some experts would say, “a shade under” the asking price of properties in the neighbourhood.

Presentation

Making your house appealing is very important in order to obtain a quick house sale. Before selling your home, make sure that you have trimmed the hedges, carried out the necessary interior renovations and tidied the back yard. If you feel that you may not be able to achieve the desires result on your own, ask professional to help you out. The fees will well be worth it in the end when you will be able to demand the right price for your property. The primary goal of a clean up should be to be able to the house inviting and enable another individual to imaging living in your property.

Take Care Of Major Issues

Leaking roofs, falling out fixtures unsure plumbing all constitute major issues. Prior to even putting your house on the market, make sure that you have taken care of these problems. If you haven’t, finding a buyer could be really tough, in the current market. Moreover real estate agents want to make sales and if these issues pose a problem to an ultimate sale, the real estate agent will put your house at he bottom of his/her pile because they for a fact know that your house is not one that they are going to get a sale out of.  In addition to this also make sure that your house has no structural issues or infestation issues. Get the carpet cleaned prior to an inspection and make sure that you have tried you utmost best to remove any stain on the floor or the walls.

Spread The Word

If you are trying to get a quick sale, the only way to go is to spread the word about your property being on the market as quickly and as hard as possible. Talk to local real estate agents, advertise in the local newspapers, use community notice boards and definitely do not overlook word of mouth advertising. The more aggressive you are with your advertising the faster you will be able to find a potential buyer.

Once you have found yourself an interested party make sure that you do a little something to show the buyer that you are reciprocating their interest by adding a little something to sweeten the pot.  These could include, a new wardrobe, a cinema system or the Jet Ski etc. A little icing on the cake goes a long way in making that sale.

References:

1. Top 5 Ways to Sell Your Home Fast – AOL Money & Finance
2. 8 tips for selling your home fast – MSN Money

Private House Sale or Use an Estate Agent

As with any house sale, there are usually costs involved. If you have opted to put your house on the market, you will need to factor is different costs which will eventually impact on the final amount of cash in your hand. A real estate agent may make the entire process of selling your home much easier but the commission may have a fairly significant impact on the price you finally receive. A private sale can also be costly, with attorney fees, and administrative costs taking a small chunk out of your profits. Even if a private house sale may seem like the better option than dealing with an estate agent, it is important to bear in mind that you may still need to undertake advertising and other methods to market your home.

Quick Sales to Agencies

If you need access to quick cash by selling your house, then you may have to consider selling to a professional buyer like an agency. While this may only get you 75% or less of your house value, you can assured of a quicker sale. With an agency sale, you will also not have to bear any costs for the sale as legal expenses and administrative costs are covered by the agency, and not by you as the seller. If you are considering selling your house to an agency, it is important to consider the following.

• Approach more than one agency and compare the offers on your house. Ask each agency about their procedures, length of time to conclude the sale and any expenses that you may be landed with.
• Ask the agency if they provide a ‘sell and rent back’ option so that you can live in your house after the sale until you find some alternative accommodation that may be more affordable.
• Analyze house prices in your area and hire an independent assessor to give you a valuation. If you are losing more than 30% on selling your house to an agency, then you may have to reconsider your options or try to negotiate with the agency.
• Calculate the cost of doing minor renovations and repairs that may increase the value of your house. While an agency may not change their offer significantly, the investment in doing up your house may yield you more from a private sale.
• Budget yourself for additional living costs and renting another property and calculate if you can afford the move. While the quick cash in your hand from a fast house sale to an agency may seem like a better solution to settle higher interest rate credit, it may not be sufficient to improve yoru financial situation should your new living costs affect your budget.
• Consider options like extending your mortgage slightly to settle debs with a higher interest rate. While this may not be the best approach to your financial worries, it may allow you to retain your house while reducing your overall debt.
• Speak to your bank about the settlement costs in paying off your mortgage. While you may be able to get 75% of your house value through an agency, you may not save significantly by selling your house if you have a substantial amount still owing on your mortgage.

So you have decided to sell your home yourself! Now it is time to think about marketing your home. First of all set a budget for advertising. There are lots of ways you can advertise your home at a lot of different prices. Here are some ideas for getting your property the attention it deserves:

Which ever way you decide to market your property make a list of all its special features and that of the area. These might be something your home has, such as a 4 bedrooms, a large garden, or something your area doesn’t have, such as heavy traffic.

Your home might be close to schools, a gym, offices etc. Target the people who will be drawn to these features. “Parents paradise, large 4 bedroom home with a large garden” etc.

We have put together examples of how to market your property:

Word of mouth. Tell as many people as possible that you are selling your home. Work colleagues, (they might be interested in buying a home or they might know someone who is) tell your neighbors, ( they might have friends or family that would like to live near them.) Consider offering a finder’s fee. The enticement of money may make the difference.

Newspapers

Look through the classified section of any newspaper and you will see hundreds of ads… some extremely effective, some less so, and some that have no effect at all. When writing a classified ad it is important to not only grab the reader’s interest with a strong headline, but to maintain that interest with colorful and descriptive copy.

Never use the words “asking” or “negotiable” with your selling price. Make sure your home is priced properly before you start advertising other wise you might be under cutting yourself or over pricing and you won`t get any offers.

Leaflets

You can either pay to have them done professionally or do them yourself on your PC. Be imaginative when designing your leaflet but also be honest. Put a brief description of the whole house and garden. Point out special features that your home has i.e. newly fitted kitchen, ensuite bathroom etc. Place them on notice boards in your work place, in shop windows etc. but make sure you get permission first.

Fact sheet

A well done Fact Sheet can be one of the strongest tools available in the marketing of your house. Every house on the market should have an effective one available. If you do not have a professionally done Fact Sheet in the house, you will be putting yourself at a big disadvantage with the competition.

Sell your home online

Research has shown that more and more people are using the Internet to buy homes. Look around for different sites that offer to advertise your home for free. Remember to always read their terms and conditions.

A sales board

You can either have your sale board made by a sign artist or you can easily make it yourself. Keep the message simple. Word it like… “Viewing by appointment only” and a mobile number that you can be contacted on at all times.

Buying & Selling A Home

There are a lot of things to take into account before you put a price on your home:

Where is the location of your house?

Location is very important when trying to price your house. You might have paid £50,000 for your home 5 years ago but if the crime rate is up, businesses have left the area etc. then the value of your house might have dropped. Or you might have paid £50,000 for it 5 years ago and businesses might be booming, no crime rate, a sought after area etc. then the value of your house will be “sky high”. It is very important that you do research before you even think of setting a price.

What is the condition of your home

If your house and your neighbors house are both on the market at the same price but your neighbors’ house looks more attractive and is more updated whose house do you think people will want to buy? Your neighbors. It may pay off to spend a few quid doing your house up a bit (that doesn`t mean you need to decorate the whole house). Look around your home and see if there is any thing that could be done to improve the value of your home. I.e. worn carpets, woodwork yellow and needing a paint, your garden is unkept and messy. You don`t have to spend a fortune to make your home look appealing. Just do it up where it is needed and the rest will sell itself.

Look at your home through a buyer’s eyes

Do you remember when you bought your home? How much you wanted to change it and add your own touches. You wouldn`t have given the pervious owner a second glimpse to what she/he had done to it and neither will the next owner. That’s how prospective buyers will look at your home. They won`t care how much time and effort you have put into making it your dream home. They are looking for a house that they can make their own. So don`t price your home on sentimental value.

Get the experts in

Invite at least three real estate agents to visit your home and give you their opinion of its likely selling price. Ask for a “comparative market analysis” (CMA), which shows the prices of comparable recently sold homes, on-the-market homes and homes that were on the market, but weren’t sold. This will give you an idea on competitors prices.

Do market research

Go see a real estate agent and pretend that you are looking to buy a house in your area. Ask what prices they are offering then go and view some that are similar to your home. Write out a checklist and tick off what they have on offer i.e. fitted kitchen, double glazing, garage, is the general condition better or poorer than your house ? When you get back home compare your home to the ones you have viewed and make your price from this. Or you could walk around your area and look for houses that are up for sale write down the address and make inquires over the phone about the price.

Personal property

Personal property should be excluded from the selling price. Washers, furniture, curtains, etc. You can either ask prospective buyers if they want to buy them or sell them separately to others. Or you could include them for free this will be an added bonus to prospective buyers.

Selling your own home yourself is a long and tedious process, here we list the pros and the cons:

Selling your home yourself: Pros

There is no commission to be paid.

The proceeds are all yours.

You are in total control of the process. You can sell it at your own leisure.

You have full control of showing your home and can pick and choose who you want to show.

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

Selling your home yourself: Cons

You must rely solely on your own instincts.

All marketing and advertising costs are your own.

You have to advertise yourself and find prospective buyers.

Without the knowledge, you may underprice or overprice the house.

If you are not skilled in negotiating you might not get the full value of your property’s price.

All of the paperwork, legal forms, etc. are your responsibility.

This will take up a lot of your free time.

You must become knowledgeable in legal and financial issues to be most effective (and to protect yourself).