Preparing Your Home to Sell
Selling your home is an integrated process that involves both effective marketing and effective sales. This is a “solution sale” (big ticket item, complicated product, changing market, numerous buyer & selling parties) involving a number of selling & buying parties who are connected by the Realtor as the leader, coach and catalyst. The transaction is consummated by the diligent & passionate commitment of your representative.
I. STAGE and decorate your home for its best presentation to potential buyers. The goal is to have potential buyers feel like future owners, not guests. A well-maintained house tends to sell quicker and at a higher price.
A. Inside the home repairs: make all minor repairs, eliminate odors – check operation of everything, including front door intercom and appliances.
- keep clean
- clutter-free
- neutralize color—go beige, whites, creams
- repair ceiling cracks and stains, review condition of wallpaper & paint if necessary, eliminate cluttered closets and storage spaces
- review lighting to ensure it is adequate, especially during evening.
B. Condo association related
- common areas cleanliness and maintenance
- common area lighting
- basement/boiler area tidy & neat and good lighting
- roof deck looking good & well-maintained
- garden/snow removal
- pet friendly
C. Renovations –evaluate ROI
- carpeting/floors
- kitchen & bath (kitchen $50 psf enhancement), for every $1 spent, $2 ROI.
- How are the “bones” of the condo? of the building? Do you have a jewel-in-the-rough?
D. Exclusions
- light fixtures
- window treatment
- custom cabinets
E. Condo association/management company
- documents
- budgets/financials
- management company
- boiler/roof access
II. Listing Sheet (also called Show Sheet). What to include in your listing and what documentation and information you will need. The listing sheet objective and style are integral part of marketing mix.
A. Know your buyer(s) profile -- age, number of people, children?, style, previous living arrangements, etc.
research building for recent sales and profile existing owners
B. 20 second “elevator” description -- Define most important attribute, characterize “product”, find out historical info about building, describe neighborhood, any new building nearby and its impact—prepare overview paragraph
C. photographs -- still and virtual tour -- highlight key attributes thought to be important to buyer (classic Back Bay with high ceilings, bay window, excellent roof deck, chef’s kitchen with state-of-the art appliances, cozy, warm, high ceilings, etc.
D. Get information -- size, bedrooms, features, out-of-unit space (deck/parking/storage), descriptive attributes, condo fee and real estate tax information, room-by-room: describe room (measure dimensions), describe individual attributes such as windows, appliances, fireplace, detail work, floor, etc., building data: heating/age, roof/age, building improvements/how much did it cost, building plans, number of units/owner occupied, building contact people/phone numbers.
D. Prepare listing sheet -- regular handout & detail sheet with all additional information.
III. Learn what attributes to look for when selecting a Realtor. Do you trust the individual as your representative and confidant selling your most valuable asset?
- Sales skills--Knowledgeable, articulate, careful, persistent, polite, thorough and can negotiate effectively on your behalf.
- Team player—working with buyer, trustees, management company, attorneys and other broker.
- Good communicator/good connection to you.
- Trustworthy, available to you.
- Works for reputable broker firm and has good resources internally.
- Feel comfortable will do what he/she says they will do.
- Can articulate a marketing and pricing strategy you feel comfortable with implementing.
- Careful to avoid: Over-promises (e.g. “buying” a listing), not having transparency about what they will be doing, not understanding marketing program, poor advertising.
Check references
Understand what the marketing & sales program is going to be.
Feel comfortable saying, “Thank you for your willingness to be my listing agent resource person, and I look forward to our getting the top dollar for my condo. I understand you will give me sufficient feedback and guidance that I can make intelligent decisions managing the sales process.”
IV. Become informed about different pricing strategies. The best pricing strategy depends on your goals and the time of year for your listing.
- Competitive Market Analysis – CMA
- Fast sell: at expected selling price
- 2-tier: 2-5% above expected selling price
- 3-tier: 5-10% above expected selling price
- “Room to Bargain: List-to-Sale Percentage”
- spring market starts in February—70% all sales—through June
- fall market is September and October
- summer and winter are traditionally weakest markets.
- relocations
- local and national economic factors significantly impact real estate market.
Support that trust by putting a realistic price on the property and keeping it in prime showing condition. Have regular discussions about the progress and the process.
“When Should You Lower Your Asking Price?
Many times agents will intentionally over-price your home in an effort to "buy your listing"…this is without question not in your best interest. An over-priced property listing is a liability as statistics prove time and again that the best price is usually secured within the first few weeks of exposure to the general public. In addition, with today's technology prospective buyers are well aware if a property is lingering on the market, which inevitably costs you time, added stress and most of all money. Once a property is introduced to the market, if the activity level is low; nine out of ten times the reason is that the price is too high!”
V. How effective are multiple listing services? ESSENTIAL!
VI. Role of your management company and board of trustees.
- Is there goal to help you to get the most for your condo? What is their mission relative to your unit sale?
- Condo documents, financials, meeting notes, condo rules—what is available and how much will it cost you?
- Responsive to your requests to make repairs
- How is the maintenance?
