n the United States, less than 10% of all For Sale by Owners (FSBOs), are successful in selling their
home by themselves. That's because most people just give up because they don't
realize from the beginning the difficulty and complexity of the job ahead. But that's not the only
reason. Here are the seven most common mistakes FSBOs make when selling their home.
1. Failure to price a property at what market conditions will bear.
The number one reason that most FSBOs don't sell their homes is that they price it too high. Many
start counting the money they're saving on commissions and how much their sale will net.
If your house is priced higher than other comparable houses in your market, you will not get the
offers you need to sell!
2. Underestimating the time, energy, know how, ability and effort needed to sell a house.
One of the keys to selling your home effectively and profitably is complete accessibility. Many homes
sit on the market much longer than necessary because the owner isn't available to show
the property. Realize that a certain amount of time each day is necessary to sell your home.
3. Not being prepared to deal with an onslaught of buyers who perceive FSBOs as targets
for "low balling".
Another challenge of selling a home is screening unqualified prospects and dealing with low-ballers.
It often goes unnoticed that much time, effort and expertise is required to spot these
people quickly. Settling for a low-ball bid is usually worse than paying any type of professional fee or
commission.
4. Lack of knowledge about financing options for the buyer.
Are you prepared to answer questions about financing? One of the keys to selling is having all the
necessary information the prospective buyer needs and to offer the buyer options. Think about the
last time you purchased something of value, did you make a decision before you had all your ducks
in a row? By offering financing options, you give the homebuyer the ability to work on their terms.
You'll open up the possibility of selling your home quicker and more profitably. It's critical that you
locate and establish relationships with a network of financing experts that will help you accomplish
your goal profitably.
5. Not fully understanding the legal ramifications and all the necessary steps required in
selling a home.
Many home sales have been lost due to incomplete paperwork, lack of inspections or not meeting
your state's disclosure laws. Are you completely informed of all the steps necessary to sell real
estate? If not, you may want to consider consulting with a legal or real estate professional.
6. Lack of experience in handling the legal contracts, agreements and any disputes with
buyers before or after the offer is presented.
Are you well versed in legalese? Are you prepared to handle disputes with buyers? It is always wise
to put all negotiations and agreements in writing. Many home sales have been lost due to
misinterpretation of what was negotiated.
7. Not contacting the necessary professionals... title, inspector (home and pest), attorney,
and escrow company.
Are you familiar with top inspectors and escrow companies? Don't randomly select inspectors,
attorneys, and title reps. Like any profession, there are inadequate individuals who will slow,
delay and possibly even cost you the transaction. Be careful!
Selling a home requires an intimate understanding of the real estate market. If the property is priced
too high, it will sit and develop a reputation for being a problem property. If the
property is priced too low, you will cost yourself money. Some FSBOs discovered that they lost
money as a result of poor pricing decisions. In the final outcome, these mistakes far
outweighed the commission they would have paid.
Lawrence Allen has over 15 years experience as a marketing
professional and a successful real estate investor. His
experiences with numerous real estate, marketing and finance
professionals has enabled him to develop a marketing system
and Ebook for people trying to sell their home on their own.
The For Sale By Owner (FSBO) Hassle-Free Home Sale System has
received many praises from real estate professionals and home
owners alike: http://www.fsbosaleshelp.com
http://www.homesolutionssandiego.com/fsbo.html
Tuesday, May 22, 2007
What To Expect From Your House Appraisal
Having your house appraised can be a scary step in the moving process, especially if you don’t know what to
expect. Will your house pass muster or will they find some hidden defects and problems lurking in the
basement and attic? Should you scrub the house clean?
Don’t worry – this isn’t a test of how clean you keep your house or even if your house has problems (that will
be for the home inspector to find out). The appraiser is there to determine a fair market value for your home.
Whether you are selling the house or refinancing, this is a common part of the process and the inspector is
quite used to traipsing about peoples homes in all kinds of disarray so you need not be embarrassed if your
house is messy and it will not affect the value the appraiser puts on the property.
Determining the market value of your home is necessary so that your lender knows the home is valued at or
above the amount of money you are borrowing. An appraisal is an estimate of worth. It is an opinion but is not
entirely a subjective process. The FNMA, Federal National Mortgage Association sets up the guidelines and
assigns values to certain assets of your home to ensure a fair sale.
The value of your home will be determined by comparing it to similar area properties that have sold in the
past few months. The appraiser looks for properties that have the same number of bedrooms, baths, square
footage and amenities like a fireplace or garage in your neighborhood or town. They start by looking at your
neighborhood to find comparable sales or properties in similar neighborhoods that share similar
characteristics of lifestyles, income level of residents, surroundings, average age and home values. A valid
appraisal can be done when 3 or more properties similar to your own have been found.
Once the appraiser has these homes, there will be some adjustments made to take into consideration
features that your home has the others don’t or features they have that you don’t. These features have nothing
to do with your décor – they are based solely on house size, rooms and amenities so your hot pink kitchen
will not affect the value of your home appraisal!
The process is quite methodical and done to standard practices so you need not worry. If you are moving and
you have hired a realtor, you will find the appraisal will come in right on the button for what they have valued
your home at. Most realtors know the market quite well so you needn’t worry that your buyer won’t be able to
secure funding because of your home appraisal.
Lee Dobbins writes for http://www.moving-and-more.com where you can learn more about moving and
selling your house.
http://www.homesolutionssandiego.com/houseappraisal.html
expect. Will your house pass muster or will they find some hidden defects and problems lurking in the
basement and attic? Should you scrub the house clean?
Don’t worry – this isn’t a test of how clean you keep your house or even if your house has problems (that will
be for the home inspector to find out). The appraiser is there to determine a fair market value for your home.
Whether you are selling the house or refinancing, this is a common part of the process and the inspector is
quite used to traipsing about peoples homes in all kinds of disarray so you need not be embarrassed if your
house is messy and it will not affect the value the appraiser puts on the property.
Determining the market value of your home is necessary so that your lender knows the home is valued at or
above the amount of money you are borrowing. An appraisal is an estimate of worth. It is an opinion but is not
entirely a subjective process. The FNMA, Federal National Mortgage Association sets up the guidelines and
assigns values to certain assets of your home to ensure a fair sale.
The value of your home will be determined by comparing it to similar area properties that have sold in the
past few months. The appraiser looks for properties that have the same number of bedrooms, baths, square
footage and amenities like a fireplace or garage in your neighborhood or town. They start by looking at your
neighborhood to find comparable sales or properties in similar neighborhoods that share similar
characteristics of lifestyles, income level of residents, surroundings, average age and home values. A valid
appraisal can be done when 3 or more properties similar to your own have been found.
Once the appraiser has these homes, there will be some adjustments made to take into consideration
features that your home has the others don’t or features they have that you don’t. These features have nothing
to do with your décor – they are based solely on house size, rooms and amenities so your hot pink kitchen
will not affect the value of your home appraisal!
The process is quite methodical and done to standard practices so you need not worry. If you are moving and
you have hired a realtor, you will find the appraisal will come in right on the button for what they have valued
your home at. Most realtors know the market quite well so you needn’t worry that your buyer won’t be able to
secure funding because of your home appraisal.
Lee Dobbins writes for http://www.moving-and-more.com where you can learn more about moving and
selling your house.
http://www.homesolutionssandiego.com/houseappraisal.html
You Have 15 Seconds to Sell Your Home!
Selling your home? Here are some tips to help you sell yours for more than your
next door neighbor's, and faster! Most buyers will know within 15 SECONDS after
crossing the threshold if they want your home. But first, you need to attract them
inside!
11 home staging steps to take to sell your home for top dollar:
1. Start at the street. The buyer's first glimpse of your home must entice them
inside. Design Psychology goes further than mere curb appeal. Here are some
easy additions you can make to help your home outshine the competition:
Add a couple of BIG plants, either in hanging baskets or pots, to the porch, which
will lead buyers' eyes to the entrance.
The first color our eyes process is yellow, so place yellow flowers near the front
door.
Plant white flowering annuals, since they look clean and show up better at
night--when many home shoppers look.
2. Get rid of brown or dead leaves and bare spots in the yard. Add mulch to cover
bare dirt near the house. Bright flowers hold the eye and "fill" empty areas, but you
don't need to add plants to every space. Just make sure that everything looks neat.
3. Paint your front door a happy color. Yellow-gold (amber), red (blue-based),
sage, apple, or forest green, depending on the other colors of your home, will
attract the eye and create happy feelings. Buyers won't notice the color
psychology you take advantage of, but they'll love the result.
4. Once buyers step inside the front door, they usually make their minds up within
15 SECONDS, so first impressions are vitally important. Focus your attention on
the first wall buyers will see, and then hang a mirror on that wall large enough to
reflect the buyer's image. It will psychologically reinforce the buyer's presence in
the home when they see themselves in the mirror, causing them to imagine living in
your home.
5. Go beyond just clearing clutter, and remove furnishings that don't add to the
setting. Also clear bathroom and kitchen countertops. Under-furnished homes let
the buyer's imagination fill rooms with their own belongings. Once they visualize
their favorite chair in a particular spot, you have a sale.
6. Pack away your personal photographs, trophies, diplomas, and small
accessories and stack them neatly in the garage or a separate storage space.
That will also protect you from having strangers view your personal life.
7. If your home looks too bare, replace your personal treasures with house plants
or cuttings from the garden. Be creative; you don't need to spend money.
- Use tree branches and fresh flowers to bring nature indoors.
- Fill vases and glass jars with fresh cuttings and set them
in baskets.
- Add green house plants in winter, spring, and fall.
- During hot selling seasons, use green, silver and gray foliage to help keep your
home visually cool.
8. Lighting affects your buyers' emotions and is a crucial design element for
happiness, so turn on the lights when showing your home. Day-like light bulbs
enhance happiness. Amber and pink light bulbs warm, while blue light cools.
9. Air the house out. You get used to odors, but buyers shouldn't smell anything
other than natural pleasing scents like wood burning in the fireplace or fresh lemon
in the summer. Cut up a grapefruit and run sections through the garbage disposal.
It's both refreshing and clean smelling.
10. Buyers like temperatures around 70 degrees in the winter and 67 degrees in
the summer, so turn up the thermostat in the winter and turn it down in the summer.
11. Park your car out of the way and encourage buyers to park in a space where
their car won't block the view from the inside.
Remember, you've only got 15 seconds to sell your home, but by using Design
Psychology techniques, you can convert lookers into buyers and get top dollar for
your home.
http://www.homesolutionssandiego.com/stagingtips.html
next door neighbor's, and faster! Most buyers will know within 15 SECONDS after
crossing the threshold if they want your home. But first, you need to attract them
inside!
11 home staging steps to take to sell your home for top dollar:
1. Start at the street. The buyer's first glimpse of your home must entice them
inside. Design Psychology goes further than mere curb appeal. Here are some
easy additions you can make to help your home outshine the competition:
Add a couple of BIG plants, either in hanging baskets or pots, to the porch, which
will lead buyers' eyes to the entrance.
The first color our eyes process is yellow, so place yellow flowers near the front
door.
Plant white flowering annuals, since they look clean and show up better at
night--when many home shoppers look.
2. Get rid of brown or dead leaves and bare spots in the yard. Add mulch to cover
bare dirt near the house. Bright flowers hold the eye and "fill" empty areas, but you
don't need to add plants to every space. Just make sure that everything looks neat.
3. Paint your front door a happy color. Yellow-gold (amber), red (blue-based),
sage, apple, or forest green, depending on the other colors of your home, will
attract the eye and create happy feelings. Buyers won't notice the color
psychology you take advantage of, but they'll love the result.
4. Once buyers step inside the front door, they usually make their minds up within
15 SECONDS, so first impressions are vitally important. Focus your attention on
the first wall buyers will see, and then hang a mirror on that wall large enough to
reflect the buyer's image. It will psychologically reinforce the buyer's presence in
the home when they see themselves in the mirror, causing them to imagine living in
your home.
5. Go beyond just clearing clutter, and remove furnishings that don't add to the
setting. Also clear bathroom and kitchen countertops. Under-furnished homes let
the buyer's imagination fill rooms with their own belongings. Once they visualize
their favorite chair in a particular spot, you have a sale.
6. Pack away your personal photographs, trophies, diplomas, and small
accessories and stack them neatly in the garage or a separate storage space.
That will also protect you from having strangers view your personal life.
7. If your home looks too bare, replace your personal treasures with house plants
or cuttings from the garden. Be creative; you don't need to spend money.
- Use tree branches and fresh flowers to bring nature indoors.
- Fill vases and glass jars with fresh cuttings and set them
in baskets.
- Add green house plants in winter, spring, and fall.
- During hot selling seasons, use green, silver and gray foliage to help keep your
home visually cool.
8. Lighting affects your buyers' emotions and is a crucial design element for
happiness, so turn on the lights when showing your home. Day-like light bulbs
enhance happiness. Amber and pink light bulbs warm, while blue light cools.
9. Air the house out. You get used to odors, but buyers shouldn't smell anything
other than natural pleasing scents like wood burning in the fireplace or fresh lemon
in the summer. Cut up a grapefruit and run sections through the garbage disposal.
It's both refreshing and clean smelling.
10. Buyers like temperatures around 70 degrees in the winter and 67 degrees in
the summer, so turn up the thermostat in the winter and turn it down in the summer.
11. Park your car out of the way and encourage buyers to park in a space where
their car won't block the view from the inside.
Remember, you've only got 15 seconds to sell your home, but by using Design
Psychology techniques, you can convert lookers into buyers and get top dollar for
your home.
http://www.homesolutionssandiego.com/stagingtips.html
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