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Feng
Shui Concepts to Help a Home Sell
To put the best face on a
listing and appeal to buyers who follow feng shui principles, keep these
tips in mind.
1. Pay special attention to the front door, which is considered the
“mouth of chi” (chi is the “life force” of all things) and one of the most
powerful aspects of the entire property. Abundance, blessings,
opportunities, and good fortune enter through the front door. It’s also the
first impression buyers have of how well the sellers have taken care of the
rest of the property. Make sure the area around the front door is swept
clean, free of cobwebs and clutter. Make sure all lighting is straight and
properly hung. Better yet, light the path leading up to the front door to
create an inviting atmosphere.
2. Chi energy can be flushed away wherever there are drains in the
home. To keep the good forces of a home in, always keep the toilet seats
down and close the doors to bathrooms.
3. The master bed should be in a place of honor, power, and
protection, which is farthest from and facing toward the entryway of the
room. It’s even better if you can place the bed diagonally in the farthest
corner. Paint the room in colors that promote serenity, relaxation, and
romance, such as soft tones of green, blue, and lavender.
4. The dining room symbolizes the energy and power of family
togetherness. Make sure the table is clear and uncluttered during showings.
Use an attractive tablecloth to enhance the look of the table while also
softening sharp corners.
5. The windows are considered to be the eyes of the home. Getting the
windows professionally cleaned will make the home sparkle and ensure that
the view will be optimally displayed.
Source:
Sell Your Home Faster
With Feng Shui by Holly Ziegler (Dragon Chi Publications, 2001)
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with permission of the NATIONAL
ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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5 Things to do Before Putting Your Home on
the Market
1.
Have a pre-sale home inspection.
Be proactive by arranging for a pre-sale home inspection. An inspector will
be able to give you a good indication of the trouble areas that will stand
out to potential buyers, and you’ll be able to make repairs before open
houses begin.
2.
Organize and clean.
Pare down clutter and pack up your least-used items, such as large blenders
and other kitchen tools, out-of-season clothes, toys, and exercise
equipment. Store items off-site or in boxes neatly arranged in the garage or
basement. Clean the windows, carpets, walls, lighting fixtures, and
baseboards to make the house shine.
3.
Get replacement estimates.
Do you have big-ticket items that are worn our or will need to be replaced
soon, such your roof or carpeting? Get estimates on how much it would cost
to replace them, even if you don’t plan to do it yourself. The figures will
help buyers determine if they can afford the home, and will be handy when
negotiations begin.
4.
Find your warranties.
Gather up the warranties, guarantees, and user manuals for the furnace,
washer and dryer, dishwasher, and any other items that will remain with the
house.
5.
Spruce up the curb appeal.
Pretend you’re a buyer and stand outside of your home. As you approach the
front door, what is your impression of the property? Do the lawn and bushes
look neatly manicured? Is the address clearly visible? Are pretty flowers or
plants framing the entrance? Is the walkway free from cracks and
impediments?
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Checklist: 17 Service Providers You’ll Need
When You Sell
□
Real
estate attorney
□
Appraiser
□
Home
inspector
□
Mortgage
loan officer
□
Environmental specialist
□
Lead
paint inspector
□
Radon
inspector
□
Tax
adviser
□
Sanitary
systems expert
□
Occupancy
permit inspector
□
Zoning
inspector
□
Survey
company
□
Flood
plain inspector
□
Termite
inspector
□
Title
company
□
Insurance
consultant
□
Moving
company
Used
with permission from Kim Daugherty, Real Estate Checklists and Systems,
www.realestatechecklists.com
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Forms You’ll Need to Sell Your Home
1. Property disclosure
form. This
form requires you to reveal all known defects to your property. Check with
your state government to see if there is a special form required in your
state.
2. Purchasers access
to premises agreement.
This agreement sets conditions for permitting the buyer to enter your home
for activities such as measuring for draperies before you move.
3. Sales contract.
The agreement between you and the seller on terms and conditions of sale.
Again, check with your state real estate department to see if there is a
required form.
4. Sales contract
contingency clauses.
In addition to the contract, you may need to add one or more attachments to
the contract to address special contingencies — such as the buyer’s need to
sell a home before purchasing yours.
5. Pre- and
post-occupancy agreements.
Unless you’re planning on moving out and the buyer moving in on the day of
closing, you’ll need an agreement on the terms and costs of occupancy once
the sale closes.
6. Lead-based paint
disclosure pamphlet.
If your home was built before 1978, you must provide the pamphlet to all
sellers. You must also have buyers sign a statement indicating they received
the pamphlet.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Moving
Checklist for Sellers
□
Provide the
post office with your forwarding address two to four weeks ahead of the
move.
□
Notify your
credit card companies, magazine subscriptions, and bank of your change of
address.
□
Create a list
of friends, relatives, and business colleagues who need to be notified about
your move.
□
Arrange to
disconnect utilities and have them connected at your new home.
□
Cancel the
newspaper, or change the address so it will arrive at your new home.
□
Check
insurance coverage for the items you’re moving. Usually movers only cover
what they pack.
□
Clean out
appliances and prepare them for moving, if applicable.
□
Note the
weight of the goods you’ll have moved, since long-distance moves are usually
billed according to
weight. Watch for movers that use excessive padding to add
weight.
□
Check with
your condo or co-op about any restrictions on using the elevator or
particular exits for moving.
□
Have a “first
open” box with the things you’ll need most, such as toilet paper, soap,
trash bags, scissors,
hammer, screwdriver, pencils and paper, cups and plates,
water, snacks, and toothpaste.
Plus, if
you’re moving out of town, be sure to:
□
Get copies of
medical and dental records and prescriptions for your family and your pets.
□
Get copies of
children’s school records for transfer.
□
Ask friends
for introductions to anyone they know in your new neighborhood.
□
Consider
special car needs for pets when traveling.
□
Let a friend
or relative know your route.
□
Empty your
safety deposit box.
□
Put plants
in boxes with holes for air circulation if you’re moving in cold weather.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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How to Prepare for the Open House
·
Advertise your open house. Ideally you should advertise both the weekend before and
the weekend of the open house. Check with the local paper to see when their
ad closing deadlines are.
·
Create a property summary sheet. This sheet gives prospective buyers an overview of your
home. Include dimensions for each room, copies of a property survey,
summaries of utility costs and property taxes, and a list of when capital
items such as roofs and furnace were added.
·
Develop a sign-in form for prospects’ addresses.
You’ll ideally want both phone numbers and e-mail addresses to follow up
with prospective buyers.
·
Put up signs.
One or two days before the open house, place directional signs at major
intersections within three to four blocks of your house. Be sure you check
on anti-sign regulations in your area.
·
Get your house ready. Remove clutter, clean your house, wash your windows, add flowers, turn
on lights, open draperies and blinds, remove valuables and breakables,
confine pets, turn on soft music, and set up a table for your property fact
sheet near the entrance.
·
Develop a follow-up sheet. Getting feedback on your home from prospects who attended
your open house will give you a better understanding of how to make your
home more appealing to buyers.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Open House Safety Tips
An
open house can be a great sales tool, but it also exposes you to numerous
unfamiliar people for the first time. Stay safe by practicing these
guidelines.
-
Call the local police department and ask them to
have a squad care drive by during your open-house hours.
-
Check your cell phone’s strength and signal prior
to the open house. Have emergency numbers programmed on speed dial. Carry
an extra, fully charged cell phone battery.
-
Determine several “escape” routes that you can
use in case of an emergency. Make sure all deadbolt locks are unlocked to
facilitate a faster escape.
-
Turn on the lights and open the curtains. These
are not only sound safety procedures, but also great marketing tactics.
-
Make sure that if you were to escape by the back
door, you could escape from the backyard. Frequently, high fences surround
yards that contain swimming pools or hot tubs.
-
When prospective buyers begin to arrive, jot down
their car descriptions, license numbers and physical descriptions.
-
When showing the house, always walk behind the
prospect. Direct them; don’t lead them. Say, for example, “The kitchen is
on your left,” and gesture for them to go ahead of you.
-
Notify a friend or a relative that you will be
calling in every hour on the hour. And if you don’t call, they are to
notify the police immediately.
-
Inform a neighbor that you will be showing the
house and ask if he or she would keep an eye and ear open for anything out
of the ordinary.
Source: National Association of REALTORS® Safety Week kit
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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How to Get an Offer on Your Home
1. Price it right.
Set a price at the lower end of your property’s realistic price range.
2. Prepare for visitors. Get your house market ready at least two
weeks before you begin showing it.
3. Be flexible about showings. It’s often disruptive to have a house
ready to show at the spur of the moment. But the more amenable you can be
about letting people see your home, the sooner you’ll find a buyer.
4. Anticipate the offers. Decide in advance what price and terms
you’ll find acceptable.
5. Don’t refuse to drop the price. If your home has been on the
market for more than 30 days without an offer, you should be prepared to at
least consider lowering your asking price.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Is Your Buyer Qualified?
Unless the buyer who
makes an offer on your home has the resources to qualify for a mortgage, you
may not really have a sale. If possible, try to determine a buyer’s
financial status before signing the contract. Ask the following:
1.
Has the buyer been
pre-qualified or pre-approved (even better) for a mortgage? Such buyers will
be in a much better position to obtain a mortgage promptly.
2.
Does the buyer have enough money to make a down payment and cover closing
costs? Ideally, a buyer should have 20 percent of the home’s price as a down
payment and between 2 and 7 percent of the price to cover closing costs.
3.
Is the buyer’s income sufficient to afford your home? Ideally, buyers should
spend no more than 28 percent of total income to cover PITI (principal,
interest, taxes, and insurance).
4.
Does your buyer have good credit? Ask if he or she has reviewed and
corrected a credit report.
5.
Does the buyer have too much debt? If a buyer owes a great deal on car
payments, credit cards, etc., he or she may not qualify for a mortgage.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Simple Tips for Better Home Showings
1. Remove clutter and clear off counters.
Throw out stacks
of newspapers and magazines and stow away most of your small decorative
items. Put excess
furniture in
storage, and remove out-of-season clothing items that are cramping closet
space. Don’t forget to clean out the garage, too.
2. Wash your windows and screens. This will help
get more light into the interior of the home.
3. Keep everything extra clean. A clean house will
make a strong first impression and send a message to buyers that the home
has been well-cared for.
Wash
fingerprints from light switch plates, mop and wax floors, and clean the
stove and refrigerator. Polish your doorknobs and address numbers. It’s
worth
hiring a
cleaning service if you can afford it.
4. Get rid of smells. Clean carpeting and drapes to
eliminate cooking odors, smoke, and pet smells. Open the windows to air out
the house. Potpourri or
scented candles
will help.
5. Brighten your rooms. Put higher wattage bulbs in
light fixtures to brighten up rooms and basements. Replace any burned-out
bulbs in closets. Clean the
walls, or
better yet, brush on a fresh coat of neutral color paint.
6. Don’t disregard minor repairs. Small problems
such as sticky doors, torn screens, cracked caulking, or a dripping faucet
may seem trivial, but they’ll give
buyers the
impression that the house isn’t well-maintained.
7. Tidy your yard. Cut the grass, rake the leaves,
add new mulch, trim the bushes, edge the walkways, and clean the gutters.
For added curb appeal, place a
pot of bright flowers
near the entryway.
8. Patch holes. Repair any holes in your driveway
and reapply sealant, if applicable.
9. Add
a touch of color in the living room.
A colored afghan or throw on the couch will jazz up a dull room. Buy new
accent pillows for the sofa.
10. Buy a flowering
plant and put it near a window you pass by frequently.
11. Make
centerpieces for your tables. Use brightly colored fruit or flowers.
12. Set the scene.
Set the table
with fancy dishes and candles, and create other vignettes throughout the
home to help buyers picture living there. For example,
in the basement
you might display a chess game in progress.
13. Replace
heavy curtains with sheer ones that let in more light. Show off the view if you have one.
14. Accentuate
the fireplace. Lay fresh logs in the fireplace or put a basket of
flowers there if it’s not in use.
15. Make the bathrooms feel luxurious.
Put away those old towels
and toothbrushes. When buyers enter your bathroom, they should feel
pampered. Add a new
shower curtain,
new towels, and fancy guest soaps. Make sure your personal toiletry items
are out of sight.
16. Send your pets
to a neighbor or take them outside.
If that’s not possible, crate them or confine them to
one room (ideally in the basement), and let the real
estate practitioner know where they’ll be to
eliminate surprises.
17. Lock up
valuables, jewelry, and money.
While a real estate salesperson will be on site during the
showing or open house, it’s impossible to watch
everyone all the time.
18. Leave the
home. It’s
usually best if the sellers are not at home. It’s awkward for prospective
buyers to look in your closets and express their opinions of your
home with you
there.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Low-Cost
Ways to Spruce Up Your Home’s Exterior
Make your home more
appealing for yourself and potential buyers with these quick and easy tips:
1.
Trim bushes so they don’t block windows or
architectural details.
2.
Mow your lawn, and turn
on the sprinklers for 30 minutes before the showing to make the lawn
sparkle.
3.
Put a pot of bright
flowers (or a small evergreen in winter) on your porch.
4.
Install new doorknobs on your front door.
5.
Repair any cracks in
the driveway.
6.
Edge the grass around
walkways and trees.
7.
Keep your garden
tools and hoses out of sight.
8.
Clear toys from the lawn.
9.
Buy a new mailbox.
10.
Upgrade your outside
lighting.
11.
Buy a new doormat for
the outside of your front door.
12.
Clean your windows,
inside and outside.
13.
Polish or replace your
house numbers.
14.
Place a seasonal
wreath on your door.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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12 Tips
for Hiring a Remodeling Contractor
1.
Get at least three written estimates.
2. Check
references. If possible, view earlier jobs the contractor completed.
3. Check
with the local Chamber of Commerce or Better Business Bureau for complaints.
4. Be
sure the contract states exactly what is to be done and how change orders
will be handled.
5. Make
as small of a down payment as possible so you won’t lose a lot if the
contractor fails to complete the job.
6. Be
sure that the contractor has the necessary permits, licenses, and insurance.
7. Check
that the contract states when the work will be completed and what recourse
you have if it isn’t. Also, remember that in many instances you can cancel a
contract within three
business days of signing it.
8. Ask if
the contractor’s workers will do the entire job or whether subcontractors
will be involved too.
9. Get
the contractor to indemnify you if work does not meet any local building
codes or regulations.
10. Be sure
that the contract specifies the contractor will clean up after the job and
be responsible for any damage.
11. Guarantee
that the materials that will be used meet your specifications.
12. Don’t
make the final payment until you’re satisfied with the work
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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Understanding Capital Gains in Real Estate
When you sell a stock,
you owe taxes on your gain — the difference between what you paid for the
stock and what you sold it for. The same holds true when selling a home (or
a second home), but there are some special considerations.
How to
Calculate Gain
In real estate,
capital gains are based not on what you paid for the home, but on its
adjusted cost basis. To calculate, follow these steps:
1. Purchase price: _______________________
The
purchase price of the home is the sale price, not the amount of money you
actually contributed at closing.
2. Total adjustments: _______________________
To
calculate this, add the following:
-
Cost of the purchase — including transfer fees,
attorney fees, and inspections, but not points you paid on your mortgage.
-
Cost of sale — including inspections, attorney
fees, real estate commission, and money you spent to fix up your home just
prior to sale.
-
Cost of improvements — including room additions,
deck, etc. Note here that improvements do not include repairing or
replacing something already there, such as putting on a new roof or buying
a new furnace.
3. Your home’s adjusted cost basis: _______________________
The
total of your purchase price and adjustments is the adjusted cost basis of
your home.
4. Your capital gain: _______________________
Subtract the adjusted cost basis from the amount your home sells for to get
your capital gain.
A Special Real
Estate Exemption for Capital Gains
Since 1997, up to
$250,000 in capital gains ($500,000 for a married couple) on the sale of a
home is exempt from taxation if you meet the following criteria:
·
You have
lived in the home as your principal residence for two out of the last five
years.
·
You have
not sold or exchanged another home during the two years preceding the sale.
·
You meet
what the IRS calls “unforeseen circumstances,” such as job loss, divorce, or
family medical emergency.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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What to
Have on Hand for the New Owners
·
Owner’s manuals and warranties for appliances left in the
house.
·
Garage door opener.
·
Extra sets of house keys.
·
A list of local service providers — the best dry cleaner,
yard service, plumber, etc.
·
Code to the security alarm and phone number of the monitoring
service if not discontinued.
·
As a courtesy, you could provide numbers to the local utility
companies.
·
If it’s a condo, leave information on how to contact the
condo board.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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10 Tips for
Moving With Pets
Moving to a
new home can be stressful on your pets, but there are many things you can do
to make the process as painless as possible. Experts at The Pet Realty
Network (www.petrealtynetwork.com) in Naples, Fla., offer these
helpful tips for easing the transition and keeping pets safe during the
move.
1.
Update your pet’s tag. Make sure
your pet is wearing a sturdy collar with an identification tag that is
labeled with your current contact information. The tag should include your
destination location, telephone number, and cell phone number so that you
can be reached immediately during the move.
2. Ask for veterinary records.
If you’re moving far enough away that you’ll need a new vet, you should ask
for a current copy of your pet’s vaccinations. You also can ask for your
pet’s medical history to give to your new vet, although that can normally be
faxed directly to the new medical-care provider upon request. Depending on
your destination, your pet may need additional vaccinations, medications,
and health certificates. Have your current vet's phone number handy in case
of an emergency, or in case your new vet would like more information about
your pet.
3. Keep medications and food on hand.
Keep at least one week’s worth of food and
medication with you in case of an emergency. Vets can’t write a prescription
without a prior doctor/patient relationship, which can cause delays if you
need medication right away. You may want to ask for an extra prescription
refill before you move. The same preparation should be taken with special
therapeutic foods — purchase an extra supply in case you can't find the food
right away in your new area.
4. Seclude your pet from chaos.
Pets can feel vulnerable on moving day. Keep them in a safe, quiet,
well-ventilated place, such as the bathroom, on moving day with a “Do Not
Disturb! Pets Inside!” sign posted on the door. There are many light,
collapsible travel crates on the market if you choose to buy one. However,
make sure your pet is familiar with the new crate before moving day by
gradually introducing him or her to the crate before your trip. Be sure the
crate is well-ventilated and sturdy enough for stress-chewers; otherwise, a
nervous pet could escape.
5. Prepare a first aid kit.
First aid is not a substitute for emergency veterinary care, but being
prepared and knowing basic first aid could save your pet's life. A few
recommended supplies: Your veterinarian's phone number, gauze to wrap wounds
or to muzzle your pet, adhesive tape for bandages, non-stick bandages,
towels, and hydrogen peroxide (3 percent). You can use a door, board,
blanket or floor mat as an emergency stretcher and a soft cloth, rope,
necktie, leash, or nylon stocking for an emergency muzzle.
6. Play it safe in the car.
It’s best to travel with your dog in a crate; second-best is to use a
restraining harness. When it comes to cats, it’s always best for their
safety and yours to use a well-ventilated carrier in the car. Secure the
crate or carrier with a seat belt and provide your pet with familiar toys.
Never keep your pet in the open bed of a truck or the storage area of a
moving van. In any season, a pet left alone in a parked vehicle is
vulnerable to injury and theft. If you’ll be using overnight lodging, plan
ahead by searching for pet-friendly hotels. Have plenty of kitty litter and
plastic bags on hand, and keep your pet on its regular diet and eating
schedule.
7. Get ready for takeoff.
When traveling by air, check with the
airline about any pet requirements or restrictions to be sure you’ve
prepared your pet for a safe trip. Some airlines will allow pets in the
cabin, depending on the animal’s size, but you’ll need to purchase a special
airline crate that fits under the seat in front of you. Give yourself plenty
of time to work out any arrangements necessary including consulting with
your veterinarian and the
U.S. Department of
Agriculture. If traveling is stressful for your
pet, consult your veterinarian about ways that might lessen the stress of
travel.
8.
Find a new veterinary clinic and emergency hospital.
Before you
move, ask your vet to recommend a doctor in your new locale. Talk to other
pet owners when visiting the new community, and call the state veterinary
medical association (VMA) for veterinarians in your location. When choosing
a new veterinary hospital, ask for an impromptu tour; kennels should be kept
clean at all times, not just when a client’s expected. You may also want to
schedule an appointment to meet the vets. Now ask yourself: Are the
receptionists, doctors, technicians, and assistants friendly, professional
and knowledgeable? Are the office hours and location convenient? Does the
clinic offer emergency or specialty services or boarding? If the hospital
doesn’t meet your criteria, keep looking until you’re assured that your pet
will receive the best possible care.
9.
Prep your new home for pets. Pets
may be frightened and confused in new surroundings. Upon your arrival at
your new home, immediately set out all the familiar and necessary things
your pet will need: food, water, medications, bed, litter box, toys, etc.
Pack these items in a handy spot so they can be unpacked right away. Keep
all external windows and doors closed when your pet is unsupervised, and be
cautious of narrow gaps behind or between appliances where nervous pets may
try to hide. If your old home is nearby, your pet may try to find a way back
there. To be safe, give the new home owners or your former neighbors your
phone number and a photo of your pet, and ask them to contact you if your
pet is found nearby.
10.
Learn more about your new area. Once
you find a new veterinarian, ask if there are any local health concerns such
as heartworm or Lyme disease, or any vaccinations or medications your pet
may require. Also, be aware of any unique laws. For example, there are
restrictive breed laws in some cities. Homeowner associations also may have
restrictions — perhaps requiring that all dogs are kept on leashes. If you
will be moving to a new country, carry an updated rabies vaccination and
health certificate. It is very important to contact the Agriculture
Department or embassy of the country or state to which you’re traveling to
obtain specific information on special documents, quarantine, or costs to
bring the animal into the country.
Source:
The Pet Realty
Network (www.petrealtynetwork.com)
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
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How
to Hold a Successful Garage Sale
Garage sales can be a
great way to get rid of clutter — and earn a little extra cash — before you
sell your home. But make sure the timing is right. Garage sales can take on
a life of their own, and it might not be the best use of your energy right
before putting your home on the market. Follow these tips for a successful
sale.
1. Don’t wait until the last
minute. You
don’t want to be scrambling to hold a garage sale the week before an open
house. Depending on how long you’ve lived in the home and how much stuff you
have to sell, planning a garage sale can demand a lot of time and energy.
2. Get a permit.
Most municipalities will require you to obtain a special permit or license
in order to hold a garage sale. The permits are often free or very
inexpensive, but still require you to register with the city.
3. See if neighbors want to
join in. You
can turn your garage sale into a block-wide event and lure more shoppers if
you team up with neighbors. However, a permit may be necessary for each home
owner, even if it’s a group event.
4. Schedule the sale.
Sales on Saturdays and Sundays will generate the most traffic, especially if
the weather cooperates. Start the sale early, 8 a.m. or 9 a.m. is best, and
be prepared for early birds.
5. Advertise.
Place an ad in free classified papers and Web sites, and in your local
newspapers. Include the dates, time, and address. Let the public know if
certain types of items will be sold, such as baby clothes, furniture, or
weightlifting equipment. On the day of the sale, balloons and signs with
prominent arrows will help to grab the attention of passersby.
6. Price your goods.
Lay out everything that you plan to sell, and attach prices with removable
stickers. Remember, garage sales are supposed to be bargains, so try to be
objective as you set prices. Assign simple prices to your goods: 50 cents, 3
for $1, $5, $10, etc.
7. If it’s really junk,
don’t sell it.
Decide what’s worth selling and what’s not. If it’s really garbage, then
throw it away. Broken appliances, for example, should be tossed. (Know where
a nearby electrical outlet is, in case a customer wants to make sure
something works.)
8. Check for mistakes.
Make sure that items you want to keep don’t accidentally end up in the
garage sale pile.
9. Create an organized
display. Lay
out your items by category, and display neatly so customers don’t have to
dig through boxes.
10. Stock up on bags and
newspapers.
People who buy many small items will appreciate a bag to carry their goods.
Newspapers are handy for wrapping fragile items.
11. Manage your money.
Make a trip to the bank to get ample change for your cashbox. Throughout the
sale, keep a close eye on your cash; never leave the cashbox unattended.
It’s smart to have one person who manages the money throughout the day,
keeping a tally of what was purchased and for how much. Keep a calculator
nearby.
12. Prepare for your home
sale. Donate the remaining stuff or sell it to a resale shop. Now that all of
your clutter is cleared out, it’s time to focus on preparing your house for
a successful sale!
Reprinted
from REALTOR® magazine (REALTOR.org/realtormag)
with permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
Return to Top
Understand Agency Relationships
It’s important to
understand what legal responsibilities your real estate salesperson has to
you and to other parties in the transaction. Ask what type of agency
relationship your agent has with you:
Seller's representative (also known as a listing agent or seller's agent)
A
seller's agent is hired by and represents the seller. All fiduciary duties
are owed to the seller. The agency relationship usually is created by a
listing contract.
Buyer's
representative (also known as a buyer’s agent)
A
buyer’s agent is hired by prospective buyers to represent them in a real
estate transaction. The buyer's rep works in the buyer's best interest
throughout the transaction and owes fiduciary duties to the buyer. The buyer
can pay the licensee directly through a negotiated fee, or the buyer's rep
may be paid by the seller or through a commission split with the seller’s
agent.
Subagent
A
subagent owes the same fiduciary duties to the agent's customer as the agent
does. Subagency usually arises when a cooperating sales associate from
another brokerage, who is not the buyer’s agent, shows property to a buyer.
In such a case, the subagent works with the buyer as a customer but owes
fiduciary duties to the listing broker and the seller. Although a subagent
cannot assist the buyer in any way that would be detrimental to the seller,
a buyer-customer can expect to be treated honestly by the subagent. It is
important that subagents fully explain their duties to buyers.
Disclosed dual agent
Dual
agency is a relationship in which the brokerage firm represents both the
buyer and the seller in the same real estate transaction. Dual agency
relationships do not carry with them all of the traditional fiduciary duties
to clients. Instead, dual agents owe limited fiduciary duties. Because of
the potential for conflicts of interest in a dual-agency relationship, it's
vital that all parties give their informed consent. In many states, this
consent must be in writing. Disclosed dual agency, in which both the buyer
and the seller are told that the agent is representing both of them, is
legal in most states.
Designated agent (also called appointed agent)
This
is a brokerage practice that allows the managing broker to designate which
licensees in the brokerage will act as an agent of the seller and which will
act as an agent of the buyer. Designated agency avoids the problem of
creating a dual-agency relationship for licensees at the brokerage. The
designated agents give their clients full representation, with all of the
attendant fiduciary duties. The broker still has the responsibility of
supervising both groups of licensees.
Non
agency relationship (called, among other things, a transaction broker or
facilitator)
Some
states permit a real estate licensee to have a type of nonagency
relationship with a consumer. These relationships vary considerably from
state to state, both as to the duties owed to the consumer and the name used
to describe them. Very generally, the duties owed to the consumer in a
nonagency relationship are less than the complete, traditional fiduciary
duties of an agency relationship.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
Return to Top
Prepare Your Home for a Virtual Tour
With more buyers shopping
for homes on the Web, photos and virtual tours are a must. There are many
things you can do make your home shine on camera.
1.
Understand the camera’s perspective.
The camera’s eye is very different from the human eye. It
magnifies clutter and poor furniture arrangement. To make a home shine in a
virtual tour or video presentation, cater to the lens.
2. Make the home “Q-tip clean.” Because the camera magnifies grime,
each room must be spotless. Don’t forget floor coverings and walls; a
discolored spot on the rug might be overlooked by prospects during a regular
home showing, but that stain becomes a focal point for online viewers.
3. Pack up the clutter. But leave three items of varying heights on
each surface. For example, on an end table you can place a lamp (high), a
small plant (medium), and a book (low).
4. Snap pictures. This will give you an idea of what the home will
look like on camera. Closely examine the photos and list changes that would
improve each room’s appearance: opening blinds to let in natural light,
removing magnets from the refrigerator, or taking down distracting art.
5. Pare down furniture. Identify one or two pieces of furniture that
can be removed from each room to make the space appear larger.
6. Rearrange. Spotlight the flow of a space by creating a focal point
on the furthest wall from the doorway and arranging the other pieces of
furniture to make a triangle shape. The focal point may be a bed in a
bedroom or a china cabinet in a dining room.
7. Reaccessorize. Include a healthy plant in every room; the camera
loves green. Energize bland decor by placing a bright vase on a mantle or
draping an afghan over a couch.
8. Keep the home in shape. You want buyers who liked what they saw
online to encounter the same home in person.
Source: Barb Schwarz,
www.StagedHomes.com, Concord, Pa.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
Return to Top
Tips for Pricing Your Home
·
Consider
comparables. What
have other homes in your neighborhood sold for recently? How do they compare
to yours in terms of size, upkeep, and amenities?
·
Consider
competition. How
many other houses are for sale in your area? Are you competing against new
homes?
·
Consider
your contingencies.
Do you have special concerns that would affect the price you’ll receive? For
example, do you want to be able to move in four months?
·
Get an
appraisal. For a
few hundred dollars, a qualified appraiser can give you an estimate of your
home’s value. Be sure to ask for a market-value appraisal. To locate
appraisers in your area, contact The Appraisal Institute (www.appraisalinstitute.org)
or ask your REALTOR® for some recommendations.
·
Ask a
lender. Since
most buyers will need a mortgage, it’s important that a home’s sale price be
in line with a lender’s estimate of its value.
·
Be
accurate. Studies
show that homes priced more than 3 percent over the correct price take
longer to sell.
·
Know what
you’ll take. It’s
critical to know what price you’ll accept before beginning a negotiation
with a buyer.
Reprinted from REALTOR®
magazine (REALTOR.org/realtormag) with
permission of the NATIONAL ASSOCIATION OF REALTORS®.
Copyright 2008. All
rights reserved.
Return to Top
What is Appraised Value?
·
Appraisals
provide an objective opinion of value, but it’s not an exact science so
appraisals may differ.
·
For buying
and selling purposes, appraisals are usually based on market value — what
the property could probably be sold for. Other types of value include
insurance
value, replacement value, and assessed value for property tax purposes.
· & | 
