End Pocketbook Pain!

How important do you think it is to price your home correctly once you've decided to sell? Are you aware that overpricing can be painful to your pocketbook? Sure, it's simple – an overpriced home rarely sells.

Here are some of the best reasons for heeding the advice of your real estate professional regarding price. First, overpricing a home discourages buyers from even making an offer. They feel that even if the offer is accepted, they haven't gained anything more than a fair price.

Overpricing also attracts the wrong prospects. If you've priced your $450,000 home at $500,000, you'll be attracting buyers who expect to see $500,000 worth of home. When they don't, they'll be disappointed. And, you'll lose your desired advertising response, too, since the $450,000 buyers won't even call.

Another casualty of overpricing will be other real estate agents. Keep in mind that they know and understand pricing because of daily contact with sellers. Once they realize your home is overpriced, it may not be shown as much. Worse, it may be shown to help sell the competition (other houses like yours that are priced fairly.) Finally, if a buyer is located, the lender may reject the loan because of a low appraisal.

Price your home fairly from the beginning. You and your wallet will be glad you did!

What's Your Priority?

Do you remember the sayings, "Don't put the cart before the horse," or "Which came first – the chicken or the egg?" They have to do with priorities, don't they, like deciding which task to accomplish first?

Those same sayings can apply to buying and selling homes. If you presently own a home, and plan to buy another, which do you do first – sell your existing home or buy the new home?

If you sell before you buy, you might worry that you could be left "out in the cold" with no place to live. But if you buy before you sell, you may end up owning two homes at once. It has all the makings of a dilemma, doesn't it?

Try this solution. First, measure you personal commitment to purchasing another home. If you are firmly determined to change your residence, then ask yourself this question: Am I financially able to purchase a second home while still owning the first one? If your answer is "No!", consider selling your present home first.

Selling your existing home first will reveal the solution to the dilemma. First, you will have no double financial pressure. Second, once your home is sold, you will know exactly how much money you have to spend on another home, and when you will need to move. In the current market there is generally a good supply of homes available in any city or town, so you can choose your new home with ease.

To get started, call your professional Realtor® for a free market analysis of your home's value. You'll soon be on your way to that new home of your dreams.

What's That Sound? Earnest Money Talks!

Prospective buyers just left the home you have For Sale. They said they would pay full price which sounded great. But then they asked you to hold the house for them until next month. They didn't offer to give you a deposit to hold the home, either. Do you think you really have serious buyers? Would you be willing to hold the home, unsold, for a month for such buyers?

Chances are what you have are just some serious "lookers" or "shoppers," but probably not real buyers. Sincere, motivated buyers understand that in order to purchase a home it is necessary for them to give the sellers (or their real estate agent) an "earnest money" or "good faith" deposit. This is usually an amount that would assure the sellers that their property was indeed SOLD, and which would ensure final settlement on the home.

It is generally thought that the more money tendered by buyers as "earnest money," the more serious and committed they are to completing the purchase.

Real estate purchase agreements often call for the forfeiture of the deposit if the buyers do not complete the purchase. Thus, it follows that insincere buyers won't want to risk a penny, while real buyers will be very cooperative in making a substantial deposit.

Don't hesitate to ask your buyer for "earnest money." It's your assurance of a completed sale.

Lemonade for Sale – 10 Cents!

Have you ever watched neighborhood youngsters set up a lemonade stand in the heat of summer? They are sure their price of 50 cents per glass will bring droves of customers and high profits. As the morning wears on with few takers, prices begin to come down. By early afternoon, 10 cents will buy the same glass of cooler. The hot sun beats down and the lemonade is soon gone, along with dreams of great wealth.

The lemonade stand contains a message for home sellers, too. Price your home too high and people will look but not buy. Price it too low and you will be overrun by buyers thirsty for a bargain. What is the right price for your home? There is a time-proven method to determine that price.

First, call a REALTOR®! Selling your home is no lemonade stand situation, it is serious business. By securing the representation of a REALTOR®, you can expect to receive all the facts about sale prices before the "For Sale" sign goes up.

Because buyers compare homes before making a purchase, ask your REALTOR® for a detailed accounting of homes for sale now, the homes that are competing with yours for buyers. Next, ask to see the sale prices of similar homes which have sold recently. This will give you a good idea what buyers are willing to pay for homes like yours. You should also expect to be told what buyers are not willing to pay, as illustrated by the prices of homes which did not sell.

Pricing your home correctly form the beginning is the key to a successful sale at the best possible price. For complete details, select a REALTOR®, then enjoy the benefits…SOLD!

For a Comprehensive Market Analysis of your home, along with our unique Marketing Plan, call us today. We'll help you get the best price for your home.

Wholesale or Retail?

So…you're planning to sell your home. Will you be selling at wholesale or retail price? Yes, you heard right. There is such a thing as wholesale and retail in real estate.

But how will you be selling? Of course, there's no structured wholesale and retail price list, as such, but there is quite a variance between the two.

Most home sellers want to receive full "retail" price for their homes. That, of course, carries with it some responsibilities. Here's an explanation of what is required of a home in order to command a top price (retail.)

First, it must be priced at NO higher than the full fair market value. Second, the terms offered must be attractive to potential purchasers. Depend on your real estate agent for advice as to what terms you should offer. More liberal terms will attract more full-price offers.

Third be certain that your home shows like a model home. Do all repairs and fix-up before your home is shown for the first time. Everything about your home should say, "Welcome – Stay forever!"

Lastly, how will your home be marketed to prospective buyers? Your experienced real estate agent will be able to answer this important question, too. The right answer could be your assurance of receiving a top price for your home.

Curb Appeal = Buyer Appeal

I'm sure you've heard the saying "You only get one chance to make a great first impression." Sure, it's a bit of a truism, but that's because there's a lot of truth in it. Here's some information to improve your chances of making that great first impression with buyers when selling your home.

Take a look at the exterior of your home from across the street, the way a buyer might view it. Start with the yard. Is it in order, and neatly trimmed? Is the yard absolutely free of trash or other discarded items?

Next, look at the windows. Are all screens or storm windows in place? Are there any broken panes of glass that need replacing? Are they sparkling clean?

Now, on to the exterior of the house itself. Is the exterior in good repair? Are gutters and downspouts in good shape? Is paint needed?

Do you get the idea? Look at your house the way the buyer would, then become your own worst critic. Try to find all the visible faults your home currently exhibits – then get them corrected! This is where your professional Realtor® can help, too, with suggestions and an unbiased opinion. And by all means, do this before you offer the house "For Sale." Making apologies after the fact does nothing to improve that first impression.

Did you know that many buyers make the decision to inspect the inside of a home based on their ten-second appraisal of the outside as they drive by? It's true! When that happens, your house either scores high or low on the buyer's scorecard. By the way, low scores invite low offers.

Take the time to give your home an exterior inspection, listen to your agent's suggestions, then do whatever it takes to improve your curb appeal. Invest in that first impression, and the result will be more showings and better offers.

How Do You Conduct a Harmonious Sale?

When you sell your home, how many individuals will have an impact on the final sale, the closing date, and the amount of money you receive from the sale? Five? Ten?

You may be surprised to know there are over twenty of them:

• Your real estate agent
• The buyer
• The buyer's spouse
• The buyer's attorney
• The lender
• The lender's attorney
• The loan originator
• The loan processor
• The loan underwriter
• The credit bureau
• Home inspectors
• Termite inspectors
• Your attorney
• The Registrar of Deeds
• The local property tax authorities
• The federal government
• Title insurers
• Property insurers
• Escrow agents
• The buyer's employer
• The buyer's creditors
• Bankers
• And numerous others!

Just imagine how difficult it must be to coordinate the activities of each of these individuals so that the final result is the satisfactory sale of your home, at the right price for you. Is there any one person who can oversee the entire process for you and make it happen?

There is one person, the first on the list – your professional real estate agent. Choosing your agent carefully can be compared to selecting a conductor for symphony orchestra. That single individual can blend together many musicians playing different instruments, each of which plays a different tune, and produce a harmonious and gratifying concerto – a pleasant and profitable home sale for you!