How Does A Seller Decide Which Offer To Accept ?

The market has definitely perked up this spring already and we are seeing more multiples offer than before.  With multiple offers on homes it has changed the dynamic of how buyers are and should be submitting offers.  Not every home with multiple offers will result in a bidding war, so I want to take the time and explain give you a quick overview on what factors of your offer will be taken into consideration by the seller.

Financing:

• Cash Deal: This has more than one benefit to the Seller, but normally the offer will be significantly lower than what the list price is because of the simplicity of the deal.  First it can close right after the title has cleared because there is no bank involved.  Second, it is usually in "Sold As Is" which means no work will be done to it.  The buyer is still permitted to do the home inspection but you will be much less likely to have anything repaired or replaced. 

• Conventional Loan: This refers to the terms, there will be a larger down payment with this loan and the appraisal might be a bit easier. Since there will be no PMI included in the mortgage payment it will increase what the buyer can afford by monthly payment.  From a sellers point of view the term itself is better because the buyer is putting down a large amount down of 20%.  

• FHA Loan: This again refers to the terms, with a smaller down payment this is often where we see buyers asking for a "Sellers Concession".  For a buyer with this loan there will be PMI that will need to be accounted for, and the appraisal must be handled carefully so that the loan to value comes in where it is needed to.  

• VA Loan: This is a tough sell for a Seller because the buyer does not have to put any money down.  When I have a buyer who is using a VA Loan I suggest still putting down the same amount as what would be due for an FHA Loan to show the Seller your commitment, and you can receive that money back after closing.  

Additional Financing Terms:

• Sellers Concessions: The easiest way to explain this term is it just like taking a cash advance from the mortgage to have your closing costs included.  There is 2 points of view for a seller with this.  First is if the home is going to appraise for $10,000 - $12,000 more why shouldn't they find a buyer willing to pay that.  Second is that what if the home does not appraise will their buyer still be able to purchase the home, or will the deal go bust! 

• Using Gifted Funds: This is something very common with first time buyers, they will count on "gifted funds" from friends or family.  Buyers must check the guidelines of the bank in which they are using about what amount of money can be gifted, and what information they will want and need from the "gifter".  Many times buyers think it can simply be written as "gifted" and that be it, but each bank works differently you should let your agent speak with your Mortgage Representative to be clear on those terms.  

Conditions: 

• Buyers With Homes To Sell: When a buyer has something they need to sell, it puts the seller at risk.  First the funds from the buyers are more than likely coming from proceeds of their sale.  This means that not only does the seller need  things go smoothly with their home, but they are dependent on an agent who is not working for them to push the other deal through quickly and smoothly.  Secondly, timing with this kind of sale is very important because the buyers will only have about a week window after one home closes to get into the other which puts the sellers in a position where the buyers timeline is much more important than theirs.  

• Buyers With Nothing To Sell: Obviously it is better because the sale is not dependent on any major factors aside from their homes appraisal going smoothly.  It also means that the timeline will have less in the way of deadlines aside from the normal mortgage commitment time which is usually between 30-45 days from contract.  

• Home Inspections: First let me say no matter what the case is, spend the time and money to get a home inspection no matter how many offers are on a property.  It is your way of knowing exactly what your getting yourself into, if you want to move quickly and don't want to spend the money ($500 - $750) at least have a licensed contractor check it out.  Depending on what repairs or replacement you want done, can change the mind of a seller on which offer to take.  If another offer comes in $5000 less they may go with it simply because of what conditions the offer is based on.  

The most important piece of advice I can give anyone who is starting their search is to make sure you have an agent who is working for you.  If the home is aggressively priced they should know it and be able to point you in a direction that will get you an accepted offer the quickest so that you don't lose out.  To see more about how to decide on what to offer, and what the process is look here. 

The Top 5 Tips For First Time Homebuyers !

I decided to spend a moment and focus on buyers for a moment.  I have a lot of information for my sellers, but when it comes to working with buyers I would have to say first-time home buyers are my favorite.  Perhaps I like the "challenge" but it is a different kind of reward when you hand someone the keys to their very FIRST new home ! 

Get Your Finances In Order

Before you start working with a buyer broker, getting a mortgage pre-approval is a must.  I have seen too many homebuyers starting looking before they find out what they can afford.  The result is disappointment that you may have looked at some wonderful homes that turns out does not fit into your budget.   Most licensed brokers will have reliable, and attentive mortgage brokers they work with that they will be able to refer you to. 

Know The Language 

Know the terminology of real estate, you want to understand what brokers are talking about.  Short sales vs Foreclosure, there is a very big difference.  You want to be sure even when you are looking without an agent you have a good understanding of what everything is.  You need to understand the difference between Listing Agents, Buyers Brokers, and disclosure.  Listing agents obviously list the house, and work for the sellers.  Every first time home buyer should work with a Buyer Broker, they will provide you with information about the homes in the neighborhood your looking for, make sure everything the seller is representing is true !

Find A Good Buyers Agent

This is the most important part for a first time home-buyer, you are going to be depending on this person to help you make a life changing purchase.  You need someone who is okay with having to “hold your hand” so to speak during the process, not because you need it but it is a resource that is available to you.  I once stayed in a closing with my first time buyers for 5 hours, it was a short sale and the bank was having its own issue with paperwork which held us up.  Before leaving the attorney, pulled me aside to thank me for staying and explaining what was going on to his clients.                  

Decide What You “Must Have” And What You Would “Like To Have”

I had a home buyer once tell me that she would never purchase a ranch they would never give her the space she needed.  For the most part she was right, almost every single home that was a ranch would not meet what she needed to have.  Before we began looking I asked her to make me a list of her “must have”,  and “like to have list”.  Must haves are the number of bedrooms, a school district, or a price range.  These are things that if they did not have them it would be impossible to move to that home.  Fireplaces, pools, central air, these are all things that you would like to have but, you could live without.  These lists are different for everyone, in this clients case the home she purchased ended up being a ranch.  If we had limited the search she would have missed out on her “perfect home”. 

Should I Spend The Money To Have A Home Inspection?                                                                                                                                  

Absolutely. The $200 to $500 that a professional home inspection costs could be the best money you ever spend on your house. Not only does the home inspection seek out any defects (and gives you some peace of mind), the home inspector will often give you tips on maintaining and repairing your house. See the section on Home Inspections for tips on what to look for and how to choose a home inspector.

For more information on Buyer Brokerage Take a look at my virtual presentation ! 

What Happens After Your Offer Is Accepted

You have successfully gotten an accepted offer it may have been a quick simple negotiation or it may have been a bit of back and forth, but either way you have officially gotten passed one of the biggest parts of the home buying process ! This blog is specifically what will happen with a straight sale, there is a much different process for short sales & foreclosures, I will be writing another blog specifically about those in an upcoming blog.

The next 2 weeks are going to be a very busy time for you, because although your offer is accepted the homeowners will still show it to other potential buyers and place an offer on your dream home !! Lower offers or offers with less desirable conditions will be held as "back up" offers, but their is always a chance someone will outbid you and their offer may have terms that the owner may prefer. That is the reason why time is of the essence so your going to want to get things done as quickly as you possibly can !!

Before Your Offers Accepted - Call Your Mortgage Broker
Your realtor should have already developed a relationship with your mortgage broker, if they have not spoken to them they shouldn't wait any longer to get that relationship going.

Sometimes the seller will want you to get a 2nd mortgage pre-approval, this is not unusual in my business, because I work for a company who has their own mortgage company. A seller can not however tell you who to get a mortgage with, they can only request a pre-approval thru a specific company.

Step 1 - Sales Agreement & Attorney Review
This is a very standard form and is very important to your purchase, this is really sometimes the first step, but if you have had to negotiate and make changes to your original offer you will want to fill out a new updated one to send over to the attorneys. The buyer and the seller will fill this out independently and receive a copy. You attorney will review this document normally without any changes, because the contract will have the specifics credits or add-ons.

Step 2 - Home Inspection
Many companies will have a preferred list of home inspectors, if you already have someone. You want to have the home inspection as soon as possible, even with a first accepted offer. A home inspector should check for of course the obvious red flags: mold, mildew, termite damage, but you also want them to check to make sure of some other things you may not think of. Most will check to make sure that the hot water, actually gets hot, in older home this will take a bit longer but these are things that once you move in can become important. They will also check things in the attics, basements and crawlspaces.

Homes that are remodeled it usually only takes about an hour for a full inspection, and others usually take about 2 hours. You will get a full copy of the report, and they will talk to you about it before they leave the property.

Step 3 - Sign The Contracts
Now depending on how your home inspection went sometimes you will be just going in to sign contracts with no changes, but sometimes there will have been more changes because of things that came up during your home inspection. Remember your offer is still accepted, but now you are going to be changing the terms.

I can appreciate a seller does not want to have to do work to the home but remember no matter who the buyer is there will be a home inspection and if it is a significant problem it will come up again.  That being said sometimes buyers should be reasonable also don't let fear of losing the house force you to overlook a major problem but don't let a little problem cause you to loose your dream home either.

Now that you have completed those 3 steps you can finally take a deep breathe and celebrate a bit about the purchase of your new home.   There are of course a few more steps that will happen between going to contract and your closing, I will write another blog giving you the timeline and what you can expect to be doing next ! 

Deciding Whether To Buy Or Rent, What You Need To Know !

It's that time of year again where we see renters deciding whether or not they will continue renting, or will consider being a new homeowner ! This blog is to help all those considering purchasing answer that most common question "Should I Buy Or Should I Rent?" 

Why Should I Buy A Home Instead Of Rent ? 

It's a fact that in most markets, buying a home is significantly cheaper than renting.  Renting is money you will never get back, but buying a home is an investment in your future.  In most areas, if you can afford to rent, you can afford to buy! For more information on this topic you can refer to my blog, here it will give you both the pros and cons for both buying and renting, as well as offer you alternative options.  

How Do I Know I'm Ready To Buy A Home? 
The best way to know if you're ready to purchase a home is to look at your current situation.  You don't need to be employed with the same place for 2 years, you just need to have had a steady income in one field for the past 2-3 years.  You will want to run your credit and take a good look and make sure everything that is on the report is correct, if not you will want to have it corrected! You will also want to make sure you have money saved up for a down payment, in some cases you can withdraw from an IRA penalty free for a first time home purchase.  For more information on this topic you can refer to my article, here.

How Much Money Will I Have To Pay Upfront To Buy A Home? 
This is not an easy answer, because there are two factors depending on what kind of loan you take and the amount of the loan is what will decide your down payment.  For an FHA Loan you will need to put down 3.5% where a Conventional Loan you will need to put down atleast 20%.  The average cost of a home in Suffolk County is about $325,000 which would require a FHA down payment of $11,375.  

You will also need to factor in closing costs, but you can also ask for a sellers concession or have the money "gifted" to you from a friend or family member.  This ranges again by the loan amount, and any mortgage broker is required by law to give you a good faith estimate of closing costs, this is why you should always choose a reputable bank Of course, Coldwell Banker Mortgage is more than happy to help and you will always be given all of your loan options.

Once you have decided that you are in a financial position that you would like to go ahead and begin searching for your new home there are a few things you should look into.  You will want to learn the difference between what kind of homes are on the market, who you should have working for you, and what happens once you have found that "perfect home".  Because each of these topics are best explained in detail I will list each topic below with a direct link to blogs to help you get informed ! 

• Why You Should Work With A Buyer Broker
• What Kinds Of Home Are On The Market
• Benefits Of New Construction
• Short Sale VS Foreclosure
• What To Offer For That House 
• What Happens After Your Offer Is Accepted 
• What It REALLY Means To Be In A Buyers Market 
• Tips To Finding The Perfect Home

Steps To Getting That Home Under Contract !

I wrote a blog about a year ago, about what to offer for a home when your using comparable homes to base your price on, but I am finding more and more buyers wanting to base their offer on strictly their opinion of what they think the home is worth.   Because of this I decided that it was time to write a blog explaining HOW you go about deciding on what your first initial offer on a home should be from the very first step !

Now, again if your buying the home through the listing agent unfortunately they may or may not go thru the trouble of doing this with you.  This is again another reason to use a buyers broker, this way you have your own agent to educate you on what a home is really worth ! If the home is overpriced the comps will show you that, and if it is action priced your agent will be able to clue you in so you don't lose the house because of a low offer that is quickly outbid.

Step 1 

• Once you have gone and viewed them home and decide you like it, take the time and go back a 2nd time - look through the house thoroughly to see if there are any items you have questions about, if there are 2 refrigerators than make sure it says there will be 2 in the listing, these are things that if overlooked can cause you stress and anxiety later on in the process.  You will get the chance to have a home inspection after you have gotten an accept offer prior to going to contract to look for any issues with the foundation, electrical, plumbing ect.

Step 2 

• Make sure that you have your pre-approval in order and your agent has a copy of it, make sure you also have the funds available that will be needed.  Check with your mortgage broker and review what your closing costs will approximately be.  The reason why is because IF you are going to need a seller concession (cash advance on your mortgage), you must let that be known to the seller upfront.  All of this paperwork will need to be sent out when you present your offer so have it ready for your agent prior to submitting your first offer ! 

Those first 2 steps should take you only 1-2 days to complete, this is something that is really 

very simple but I am seeing more and more buyers who are doing these things after 

they submit an offer and than have to scramble to figure it all out ! 

Step 3

• Go and meet with your Buyers Agent, in their office - yes I said in the office, Why ? Because you can't review comparable homes if your leaning on the trunk of a car ! Hopefully you and your agent have been discussing the value of homes in the area, so that you will at least have an idea of what the value is worth.  

• IF a home is priced at its fair market value than you can safely offer 7% less than what the listing price is, most homeowners & Realtor will want to not or recommend going less than 3% - 5%. 

• IF a home is priced above fair market value than you will want to start around 5% less of what the fair market value is NOT what the listing price is - these homeowner can take sometime to get an accepted offer and sometimes you may have to walk away for a week or 2 and let them sit with no offers in sight and than go back to them.  
• IF a home is priced below fair market value than you will not want to put in an offer quickly, and around 3% less than the listing price if you are really not comfortable paying the list price.  These homes are priced to sell which means they will more than likely get numerous offers if you go in extremely low it will be easy for another offer to be a better deal for the homeowner.  

Notice that all three categories refer back to FAIR MARKET VALUE, you must look

 at the comparable homes that have sold in detail to figure this out since very rarely will 

you find a home that is an exact match to the home your looking at ! 

Step 4 

• Hopefully the process of getting an accepted offer went smoothly, the moment you get a accepted offer you will want to get a home inspector into the home within a day or two of your accepted offer.  You should let your attorney know so they are expecting the contracts, can review them and have them in case the home inspection turns up items that need to be addressed & than properly put into the contracts if need be.  

Step 5 

• Your offer is accepted, home inspection is complete, and the only thing left to do is sign your name on the dotted line ! Don't leave much time between these things happening remember a homeowner can go with another offer even if yours is accepted, until you sign your name on the dotted line the house is not yours ! 

Steps 4 & 5 should be completed within about a week, the longer it 
takes for you to complete these items you are leaving a window for the
 homeowner to receive a better offer !

Next weeks blog will be specifically about what things in a home are worth when you are determining the fair market value of a home that is on the market.  

Rent Vs Buying ? Are you ready ?

If your thinking about buying a home rather than renting there are some very obvious reasons that now is the time to buy but lets take a look at 3 of the best reasons you should buy now! 

• Low Interest Rates 
• Homes Priced To Sell 
• Inventory Of Homes To Choose From 

Now of course there are always pros and cons to both renting and buying, so lets take a quick look at those.  

                                                                                          

Renting Pro      Ability to move easily, this is important for those who often travel for work. 

Renting Pro      Renting you are not responsible for many things such as roofs, leaks ect.

Renting Con     Your money rent will never earn you any return.  

Renting Con     Increase in rent according to the market and become more costly than owning.

Buying Pro       Tax deductions on property taxes, interest. 

Buying Pro       Ability to take from your IRA penantly free for down payment.

Buying Pro       Work done to your own home raises its equity 

Buying Con      Upkeep goes into owning a home choose a home that fits your needs 

Their are many experts saying that one year from now everyone will be saying that they should have bought a home in 2012.  I have to say I would have to agree with that statement, buyers that are thinking they may want to try and buy a home should call a mortgage broker and see if they qualify immediately ! Now if your not quite ready to make that call and your just curious whether or not you could qualify lets take a look at some of the things you will need to have in order.  

1. Credit Score - Obviously you need to have decent credit but most banks will work with you if you have a credit score of 625 or higher.  
2. Work History - You need to have been consistently working in a field for 2 years to show consistency in your income.  
3. Debt To Income - This is just as important as your credit score, take a look at this simple calculator here for your debt to income ratio.  
4. Available Funds - Most down payments now are minimal at 3.5% on a FHA Loan which on a $250,000 home is only abut $8500, plus your closing costs.  Taking penantly free from your IRA is a great option also, allowing you to only need to budget for closing costs which on average can be $8,000 - $12,000.  

Lets take a look at some of the statistics for our current market to give you an idea of what kind of money you may want to expect to spend on a home.  

Now you can see that we are staying generally around the $300,000 mark, but for someone looking for the average home can comfortable purchase between $250,000 - $300,000.  

The average whole house rental for a 3 bedroom, 1 bath home here on the island will cost you about $1800 or higher, and normally you will still be responsible for all of the utilities on top of that.  Your costs on a renting a home would be much better spent on a home that you own! 

Other Available Options 

There are plenty of homes out their for first time buyers, and not only is New York now offering grants to help you but many towns and villages are building housing developments specifically for first time buyers.  A great example of this is the Courtland Square Condos, that are new construction condos that were recently built here in Bayshore.  

These condos offer a unique opportunity because the price of the condo is not decided by the builder or the buyer, it is decided buy the buyers income.  If your salary is under a certain amount than in turn the price of the condo will be one particular price.  There are certain rules and regulations that must be followed when you are purchasing one of these such as, it is required you take a class to learn about the responsibility of home ownership and you also must fill out a detailed application form.  To better educate you on this type of application it is available for PDF Download here.  When you purchase one of these condos the state and town are paying almost $100,000 in grants to help you get your first home! 

Another option is Rent To Own, now this is something you need to be very careful with.  You must meet with an attorney before you sign into something like this, but for some that are just looking to either fix a credit issue or save up a bit more for down payment it can be a great option.  There is a difference between Rent With Option To Buy, and Rent To Own: The difference between the 2 is pretty simple one gives you the option to buy, and the other locks you into buying the home within a particular time period.  

If you are thinking about purchasing a home but are still undecided about whether or not now is the right time to buy and would like additional information please feel free to contact me directly! 

Cash Deals In Today's Market

I thought it was about time I took some time and wrote a blog about cash deals in today's market.  Interest rates are at a all time low still, but some buyers are still opting to buy their homes in cash figuring it will earn them interest quicker invested in a property than sitting in the bank.  If you are the buyer who has the ability to buy in cash you do have the upper hand on some other buyers, but not all.  This blog is for both the buyers, and for sellers to help both understand how a cash deal works, benefits of accepting a cash offer, but also how/why a seller may not be able to accept a cash offer.  

Presenting A Cash Offer

There are certain steps to presenting a cash offer that you may not ordinarily have to do, normally when you present an offer with a mortgage you would be presenting the offer with you mortgage pre-approval.  When you are doing a cash deal you will need to provide "Proof of Funds", this must be  recent, if your proof is 3 months or older you must get a new one.  Generally you can contact an agent at your bank and ask them to provide you with a letter, or even simply a copy of a recent bank statement with your bank account information hidden with only your name and available balance displayed.  

If you are purchasing your new home, with the cash from the sale of your current home than you must let this be known in the very beginning of negotiating.  Before you can place an offer, just like any other buyer you should be under contract on your current home.  

Benefits Of Cash Offers 

A seller may or may not prefer a cash offer because of the benefits it presents to them.  Not all homeowners are in a position to accept a lower cash offer because they may have a certain amount they need to "clear" on their home.  There are benefits that can make taking a lower cash offer vs a higher offer with a mortgage appealing to a homeowner.  

• No Bank Appraisals - This is pretty simple to understand, you do not need to worry at all about whether or not your home appraises because there is no bank involved which can sometimes be an obstacle.  

• No Loan Funding Contingencies - Whenever someone obtains a mortgage there are certain paperwork the bank will require from them, if they can't meet those requirements they will not be able to obtain the mortgage.  This can sometimes be avoided by using a good mortgage company but their are no guarantees, financial circumstances can change quickly and unexpectedly. 

• Home Inspections - Every buyer is entitled to a home inspection, but generally with cash deals the home is sold "as is", which means there will be no repairs or credits done to the home.   This is because generally homeowners are already accepting a lesser offer because of it being cash.  

• Faster Closing - It generally takes 60-90 days to go to closing on a home, the time frame is usually decided by how quickly a buyer can get the mortgage commitment, and close.  With no bank comes the benefit of being able to close at a time that is good for both the seller and the buyer.  

I have many homeowners ask me when is the best time to accept a cash offer vs waiting for a buyer with a mortgage pre-approval, unfortunately there is no set criteria but I can give you some pointers on when or why you should consider it.  

• If you need to move or relocate quickly, no one likes the idea of leaving there home vacant because of the risks and costs associated with it.  
• If you have your eye on another home that is on the market the benefit of having your home go to contract quickly will in turn mean you can put in a stronger offer for your new home.
• If the home is an estate sale it may need work, or you may not know the full history like the actually homeowner would.  Homes that need work will generally take longer to sell, which is why a cash offer allows you to move the home quickly reducing costs, as well as risks while giving you less responsibility after your home inspection report comes back.  

Always remember your Realtor should be advising you whether or not a cash deal is a good option for you, this goes for both buyers and sellers.  If you are the buyer placing a cash offer, my best advice is to make sure your Buyer Broker has helped you come up with a fair offer, remember there is a difference between a cash offer and a low offer ! For homeowners that have received a cash offer the process of deciding whether to accept it, or perhaps counter all depends on your home, situation, and the market for your immediate area. Your Realtor will be able to pull what cash sales have closed to help you make an educated decision about what is a fair offer for your home! 

Tips For Sellers During The Home Inspection Process

I have written a blog previously for buyers about home inspections, but over the passed few months I have found that the sellers are the ones needing more guidance when it comes to their homes inspection.  So this blog is going to be specifically only for those potential sellers out there !!

First lets talk about what you should do to help the process along !

Tips For Sellers Preparing For A Home Inspection 

• Move any smaller furniture that is blocking areas that the home inspector will need to get to (ex: outlets, electrical panels) 
• Clean out utility areas (ex: remove clothes from the washer/dryer) 
• Make sure all your bulbs are working, sounds silly but important (ex: attic, garage)
• Remove your pets to allow the inspectors to work thru the house without any distractions or potential issue
• THE MOST IMPORTANT TIP: LEAVE and let your real estate agent stay ! 

Tips For Sellers During The Home Inspection

• If you decide to stay during the home inspection try your best not to try and "explain" things in the house, something you may think is a big deal might not be and visa versa
• Do not try and cover up anything, the home inspectors are thorough and they will find whatever you may have tried to hide and than they will search more to make sure they didn't miss anything
• Do not negotiate on anything during the home inspection, again something that may be a red flag for you may not be for your buyers
• Keep your distance, do not hover over the home inspector stay available IF he has a question otherwise he is a professional allow him to do his job 
• Don't expect to have the report immediately the first person to get a copy of your homes inspection will be the potential buyer who than can share it with you 

Once the home inspection has occurred is where things may get tricky for a homeowner, this is your second round of negotiations which means the price of what your home sells for just might be changing again! 

The agreed upon price of your home before a home inspection 90% of the time is not the actual final price.  

If there are safety, structural, electric, plumbing issues in your home that is uncovered you will usually be given the option to either 

A: Fix It              or B:                  Give the buyers a credit so they can have it fixed once they take ownership.  

Common Items Needing Negotiations

• Underground Oil Tanks - These will require soil testing, filling or removing old tank, installation of new tank
• Asbestos - Not all asbestos is a hazard but a certified professional is the only one who can safely make that determination
• Wiring - Broken electric outlets, outdated service
• Safety Concerns - Raised pavement on walkways, decking
• Roofs - Older or damaged roofs 

Where Do The Home Inspectors Inspect ? 

There of course are times where if a house is priced well below market value that it will be referred to as "Sold As Is" this is what happens commonly frequently with Short Sales & Foreclosures which means the buyer should have the inspection to make sure they are not getting in over their heads, but should not expect any changes to be made to the contracts or the home.

If you are a homeowner there are some very important things you should remember BEFORE you begin negotiating those items that require repair or credits !

• If there is a significant issue you should try your best to negotiate thru it, because if one home inspector finds it chances are this will be an issue with any buyer 
• There are more homes than buyers, if you have a buyer do your best to keep your deal afloat by being fair and realistic 
• Just because something does not bother you, it does not mean that the buyer should feel the same as you do about an issue, just like you do not want to give your house away, a buyer does not want to over-pay for a home that requires work 
• If you can fix it cheaper than their estimate either A: Suggest getting more estimates B: Offer to fix it
• Trust your Realtor, they should have attended the home inspection, reviewed it and be able to help advise you on what is important

The first thing you should do before you start to negotiate is meet with your Realtor, discuss what showings your home has had since other brokers have become aware of your accepted offer - if you have not had anyone show the home because of that it means that their are no aggressive buyers looking to buy your home.  You should also review the inspection report with your Realtor, we are by no means professionals in the home inspection process, but we do know what we would look at if we were working as a buyers broker and what items could possibly be an issue.  

Most importantly always remember that you may not like to hear what we are telling you, but our jobs are not to tell you what you want to hear, it is to make sure you are informed and help you make good decisions during the process of selling your home !! 

What To Do When Your Homes Not Selling

So your homes been on the market, you haven't received many showings and you haven't had any great offers come in.  

Well make sure you take a look at some key points, and take sometime and set up a meeting with your Realtor to discuss what more can be done for your home! 

Pictures 

Your very first impression can never be changed so make sure your home stands out!

Are your pictures updated for the season?

Play up your selling season ! 

Out of season pictures, can make a home look less appealing.

Do you have pictures of each room, and are they quality photos? 

You should be able to see from the floor to the ceiling corner to be sure potential buyers get the best view of the room. 

Internet Presence & Price 

Sometimes you need to take an objective look at your home, and how it stacks up against the other homes in your neighborhood.  

How many homes in your neighborhood will come up in your search criteria, and are you priced aggressively enough to compete?

This is a very simple thing to check, and correct! Search for your home if you come up and your close to the last home in a search with more than 10 homes it is time to do what you have to, to get your home on the top! 

I also utilize a great website that allows you to track your home, and your competition.  You are able to access it at anytime that you would like, and it will also keep you up to date on others price changes, new listings, and what has come off the market.

How many websites and hits is your home receiving?

This unfortunately is not an easy thing to correct, many times the company you listed with, does not have the ability to add you to any extra websites, and so you are limited, this should be a deciding factor when you are listing your home with a company.   

                

In order to be sure this is never an issue for our clients Coldwell Banker Residential advertises your home on over 30+ websites, and I personally have your home as a branded listing so it also gets top spots on these websites. 

                                                   

We also have taken full advantage of technology many of our websites we are able to track how many times you have shown up in a general search, and we can track how many detailed views your home has had.    

                   

How does your agent respond to buyer information requests? 

Prospective buyers for your home can come at anytime day or night, this again is where technology is key.  Your agent should be responding to these buyers immediately, even if it is to schedule a tentative appointment for them to see your home.    

Coldwell Banker also has the lead-router system which immediately calls your agent within minutes of the inquiry being made with all the details of the prospective buyer.                                                                                                                                            

Taking it a step farther, I personally have set up a chat feature that allows, buyers and sellers to IM me directly, and I have online scheduling so that the buyer can just go ahead and set up their appointment online anytime of the day or night.  

Availability

How easy is it to get into your house?

How easy is it for a buyers agent to show your home to their buyers?

I always try and put myself in others shoes, when I take a listing I like to discuss what times are good for my homeowners to show their home, and requesting 24 hours notice is a reasonable time frame.  By setting up times that other agents will know it is “easy” to show, you are setting yourself apart from the other listings. 

I always suggest putting a lock-box on any home I list, no one is given access to the lockbox without calling our office, and we verify each Realtors license is current, before they are given the code.  If the homeowner is not available the lock-box allows me to be their with the buyers broker, for again an easy showing. 

How important are open houses?        

 In my own opinion, I believe it is always good to have an open house scheduled and available for clients to see.  This gives them an open invitation and a no pressure to see the home.  In today’s market many buyers will do the research on their own, and will spend most of their weekends out without their Realtor, and many websites are becoming much more sophisticated allowing buyers to create an itinerary for their weekend, you want to make sure you become part of that!