I want to list my house, what do I need to know?

Listing a house can be an overwhelming task.  As a Real Estate Broker who has listed several properties over the years, I’ve seen it time and time again.  People are nervous, especially if this is their first time listing a house.  My first goal is to educate and eliminate that overwhelming feeling.  When discussing a listing, the first thing to understand is that you are building a team.  On a team, you are not alone or by yourself.  Each member has their job and works towards a common goal together.

The first step to listing a house is to talk with an experienced Real Estate professional.  It can be done For Sale By Owner but it will be a challenging road under the best of circumstances and if anything comes up, you don’t want to navigate Real Estate Law by yourself.  Attorneys can get expensive fast.

The best way to avoid issues, is to talk with someone who has had experience in Real Estate.  Interview the Agent or Broker to find the right team member.  What is the difference between a Real Estate Agent and a Real Estate Broker?  The quick answer is more experience, education, and a deeper knowledge of Real Estate law.  Experience is important but you need to be on the same page with the same goals and strategy.  Keep in mind, you are putting together a team.  It also helps if your Real Estate professional is networked with other Agents and Brokers in the Real Estate community.  Those relationship comes in handy when you get an offer and start working through the process.  Some Real Estate professionals also are experienced Real Estate investors and can give valuable insight.  Real Estate is an investment!

As a seller the first question you want to know is, what is my property worth?  That in itself is not the easiest question to answer because first, you need to talk about your goals.  Is your goal to sell the house quickly?  Or is it to sell for top dollar?  In some cases, that can dictate the response.  Your Real Estate Agent or Broker will provide data showing recent comps in your neighborhood or comps that will likely have an affect on the appraisal.  Many times you will see that some properties list at the bottom of a range to facilitate a quicker sale.  In other cases, they list higher to achieve a higher sales price knowing it may take a little longer to sell.  In the perfect scenario your house will sell for top dollar quickly.  That will largely depend on the current market and other factors such as condition, staging, etc.

After price, many sellers want to know about the Real Estate commission.  This can vary from Agent to Agent or Broker to Broker.  If an Agent or Broker charges a low commission just to get the listing, one would likely ask themselves, Why is this Agents commission lower than others?  Compare the Agents experience, Negotiating experience, ability to network and their marketing plan.  When it comes to Agents and Brokers, they aren’t all alike.  If an Agent or Broker is good at knowing the value they bring to the table, they’ll also know how to sell the value of your house.

Once a goal and price has been established, the conversation will naturally turn to, how are we going to implement this plan?  Marketing is the first up.  Marketing can make all the difference.  First and foremost, the conversation should be about professional pictures vs pictures taken with a cell phone.  One important thing to keep in mind, pictures can make or break a listing.  Your first showing will almost always be online.  Pictures are used to put your best foot forward and encourage a visit.  A Broker or Agent will typically hire a professional photographer and pay for them at their expense.  An Agent/Broker should be willing to invest in the listing by providing professional photos.  If they propose cell phone pictures, you may want to re-think your choice of Agent/Broker.  Much like if an Agent or Broker wants to put a rolling combo code box on the door instead of investing in ways to secure your house with a Sentri lockbox that logs every agent who opens the box.  Cutting corners at this stage, especially with pictures, can mean the difference between attracting buyers or losing them right at the beginning as they compare photos of other houses online. Securing your house with an electronic lockbox is imperative.

Another large part of the conversation will be around condition.  Again, that will come back around to the overall strategy.  Do you want to get top dollar?  Houses that are fully renovated typically bring higher sales while houses that need work and renovation bring less.  Something to consider.  If you are putting off dressing up your house, when buyers see an unrenovated house needing repairs, they typically factor the estimated cost of renovation higher than it is.  Also when considering condition, it is a good idea to make any known needed repairs.  During the inspection period, an inspector will typically find things that need to be addressed.  Its a good idea to make repairs to put your best foot forward.  Every showing could mean the difference of getting an offer or buyers finding another house with fewer repairs.

Along with condition is staging.  Before the photgrapher shows up, knowing that your first showing will likely be online, you’ll want to put your best foot forward.  Staging is critical.  Its time to de-personalize the house.  Buyers need to see themselves in the house.  If your house is highly personalized, buyers have a hard time seeing themselves in the house, they see you in the house.  Also, its a great time to eliminate clutter.  Lets face it, everyone has clutter but by eliminating clutter, you are creating the picture of having space.  In the kitchen and bathrooms, countertops need to boast as much counter space as possible so counters are typically cleared.  It is very important to remove all valuables, medications, and firearms.  Lastly, your Real Estate professional may talk further about staging.  If the house is empty, they may talk about virtural staging where furniture is added virtually or physical staging.  That can mean hiring a staging company or staging the house with your items.  Remember, less is more.

Lastly, you’ll want to discuss with your Agent or Broker any other pertanent items.  How much time you need to collect the pets and leave the house for a showing, which doors to lock,  which lights to leave on, etc.  You’ll also want to discuss what to expect when  you get an offer.   Items such as Buyer Agreements, Estimated Net sheets showing your estimated proceeds from the sale, and the general process once you secure an offer.  Its good to know what the next steps are so you’re prepared.

Listing a house can be overwhelming, with the right Agent or Broker by your side and a strong team assembled, you’ll be on your way to a smooth closing.

Carl Gustafson – Real Estate Broker

251-533-8028

carl@thegustafsonproperties.com