Are you ready to sell?

If you're like most home sellers, your house is worth a lot less than it was five years ago, maybe even less than what you paid for it.

So it isn't worth sinking more money into it before you put it on the market, right?

Sorry, but no, according to real estate agents. Sprucing up a home before you sell is still the best way to attract buyers and get a sale in this slowly recovering housing market.

"Buyers are picky," said Kim Guild, an agent with Keller Williams Realty, Edina. "There's not a lot of great inventory, but buyers still want it to look a certain way. A house needs to show like a model."

Today's buyers have higher expectations, but they aren't as set on a single neighborhood as they used to be, according to Laura Tiffany, an agent with Coldwell Banker Burnet's Minneapolis Lakes office. "They're more value-driven. They're willing to look in a broader area, which gives them more choices. The main thing I'm telling my clients is that homes need to be in pristine condition."

That doesn't mean you need to invest in major remodeling projects. Simple repairs, minor cosmetic enhancements, decluttering and staging are enough, in most cases, to make a home appealing to current buyers.

"Eliminate objections," said John Everett, an agent with Edina Realty. "You're competing with other houses, and the competition is all staged, neutralized and looking good. It doesn't cost a lot to declutter. Fresh paint doesn't cost a fortune."

A move-in-ready house is important to today's buyers because most don't have cash to pay for updates, Guild said. "They can finance the house but not the improvements. Lenders aren't approving those like they used to. You can't get those [home equity] lines of credit."

Plus, many of today's buyers aren't prepared -- or willing -- to tackle even minor home improvements themselves, according to Everett. "If they're both working, they don't have time." And most came of age in an era when home repairs and painting were increasingly outsourced.

"Buyers don't have a clue," Everett said. "They didn't do these things growing up and they didn't see their parents doing them. Today, when you point out a workbench in the basement, usually the wife laughs hysterically and says something like, 'My husband wouldn't know which end of the screwdriver to use.'"

So, if you're a home seller, what's worth spending money on and what's not? We asked agents to weigh in:

Professional photography. "The first showing is now online," Guild said. "You're not making the first impression when the buyer comes in the door, but on the Internet." Amateurish snapshots reduce the likelihood that a prospective buyer will be impressed enough to make an appointment. But high-quality shots by a pro who understands angles and lighting can pique buyers' interest.

Staging. Hiring a professional to present your home in its best light is almost always a worthwhile investment, Guild said. "I'm a huge proponent of staging." A well-staged home evokes positive emotion in potential buyers, often resulting in a faster sale and a higher sale price, she said.

Depending on the size of your home, a full-house staging can cost $2,500 to $3,000 -- even more if furniture, rather than just accessories, are involved. If that's beyond your budget, consider hiring a professional stager for a preliminary consultation and then follow his or her advice to complete the staging yourself.

Repairs. If it's broken, fix it. Today's buyers don't want to inherit your deferred-maintenance chores. "Almost all houses need some love," Everett said. "Spend the money, hire a handyman." Mechanics should be in good working order, Tiffany said. "Furnace certified. Windows and gutters clean -- anything that makes the house present itself as well cared for, and a good value."

Painting. A coat of fresh paint is a must for most homes, at least in rooms that see the most wear and tear. "You want everything to look fresh, new and clean," Tiffany said. Neutral colors are still recommended. While an unusual color scheme might be dramatic, it makes it more difficult for buyers to visualize themselves and their belongings in your home. Tiffany also tells her clients to paint basement floors, as part of cleaning and decluttering. "Basements can be scary, and clean, fresh paint on a cement floor really helps," she said.

Kitchens and baths. Concentrate your home-improvement efforts and dollars in these two spaces, Guild advised. "Kitchens and baths deliver the most bang for the buck." New lighting, faucets and hardware can give a kitchen a fresh, new look without breaking the bank. Bigger-ticket enhancements, such as new countertops, might or might not be smart, depending on the home and other circumstances. Guild has advised some clients with dated kitchens to add granite and new appliances, to appeal to modern buyers. But Everett urges caution. "Granite is very personal, and someone might hate the color you choose," he said. "They may want to pick out their own granite."

Other big projects. Thinking about finishing your unfinished basement so your home boasts more square footage? Don't bother, Guild said. "You're not going to get the money out of it, unless you were going to do it anyway." Tiffany agreed.

"For major improvements, I tell clients they should do it only for themselves, so they can get some enjoyment out of the improvement. The likelihood of a quick return on investment is not strong."

When in doubt about what to improve, ask your agent.

"The biggest thing is listening to the professional you hired," Guild said.

Everett said he's had several recent sales that involved multiple offers, and in every case, "they [sellers] did everything on my checklist." His advice: "Go out with both barrels loaded and get the job done."

Marketing lingo to avoid when selling your home

Q: What are some words to avoid using when selling a home?

A: As a general rule, you should get as much descriptive power out of every single character space available to you, as online listings in particular put a tight lid on how many words you can use. The goal is to use words that go a very long way in terms of describing the home in a way that entices buyers to go see it.

So, when understanding the words not to use, one approach is to do the opposite: Eliminate the fluffery. Buyers see textual fluff and ignore it, in the best-case scenario, or become suspicious of it, in the worst case. 

In a market like today's, where buyers' standards have been boosted by the lovely homes they see on television and in magazines, and where many listing agents have gotten the art of listing a home down to a science, having your home's description or listing ignored is a surefire way to end up with it lagging on the market far longer than it has to.

1. Don't use: fluffery. When listing a home, be specific, list brand-names of upscale appliances and decor brands that describe the aesthetic style of the home, as well as the details of desirable finishes like polished cement, granite, and stainless steel.

Based on that recommendation, it's no surprise that when Steven Levitt and Stephen Dubner looked into it for their 2009 book "Freakonomics" they found that the five home-listing terms that correlated to a lower sales price were very general terms, i.e., terms that just express a pleasantry but are devoid of any significantly useful information to a buyer:

Five terms correlated to a lower sales price:

•Fantastic

•Spacious

•!

•Charming

•Great neighborhood

You see, buyers don't just skim over these terms. They wonder what's wrong with the place that the agent would have nothing more substantial to say about it, and they compare it to the hundreds of other competitive homes whose agents do say more substantial and compelling things in their descriptions. Guess which ones they go see.

2. Don't use: obfuscation. Here's another thing about buyers: In this day and age, they have finely tuned fraud detectors. So don't even waste your time or your character counts on words that are classic cover-ups for property weaknesses. 

Describing your home as "cozy" or in an "up-and-coming" neighborhood has virtually the same impact as describing it as really small or as being located in a rough part of town. Get specific about describing the strong suits of your property, rather than wasting time trying to trick buyers into believing some strained characterization of its weaknesses. 

And, in fact, the same goes for listing photos, neighborhood names and others: Don't lie and don't stretch the truth -- or the pictures. 

Though it seems obvious, one of the most frequent sources of buyer outrage is photos that have clearly been manipulated and stretched beyond all reason, and homes where the desirable neighborhood named in the listing turns out to be 10 blocks over and a mile to the left. The fact is, buyers will see the truth when they see the property. And some buyers who have been just as interested in the property without the embellishment will be turned off by what they see as fraud or fiction in the listing.

3. Don't use: descriptors that run counter to the listing photos. If half of your home's listing description is a rhapsodic depiction of your backyard, in which you have painstakingly replicated every specimen contained in the U.S. Botanic Garden, make sure you have images of the backyard in your listing. If you describe a gourmet chef's kitchen with custom pot rack and a Viking range, show pictures of it, too. 
Buyers and their brokers get extremely suspicious when listings don't show any pictures to back up the claims made therein, or when the images that are included don't look anything like the home described. Don't trigger their fraud detectors in this way, either; make sure your marketing copy lines right up with the pictures that your listing agent includes in your home's online listing.

Top Seller Mistakes

Selling a home involves more than putting up a “For Sale” and waiting for the offers to roll in. But what, exactly, does it take to make the process as simple and successful as possible? The first step is knowing what NOT to do by avoiding the following most common mistakes home sellers make:

 ---Not choosing the right REALTOR®.

Common mistakes people make in choosing a REALTOR® include: picking someone based on personal relationships instead of professional credentials, choosing the agent that recommends the highest listing price or choosing the agent with the lowest commission.

--Over-improving the house.

Don't improve the house above the general level of other neighborhood homes and make sure remodels don't end up making the house much more pricey than the rest of the neighborhood. Avoid unusual improvements like adding second stories that don't fit in with the neighborhood.

--Making staging mistakes.

Be ruthless in depersonalizing the house. Repaint atypically colored walls, put in neutral flooring, and put away collections, family photos and other mementos. Be equally ruthless in decluttering the whole house, including storage spaces. Clear out unnecessary furniture, pack away nonessentials, and put items in an off-site storage facility. Do a deep cleaning before showing—hire a cleaning service if necessary. And remember to keep up with maintenance cleaning while the house is being shown.

--Neglecting curb appeal.

Most people won't even come inside to look it they get a negative impression from the street. Give as much attention to staging the outside of the house as you do the inside.

--Not removing evidence of a pet.

It's tough, but keep your pet away during showings. Deep clean carpets, upholstery and wall treatments or replace them entirely. Remove all evidence of fur throughout the whole house. Patch up walls, screens and other spots pets have scratched up. Remove stains and marks from a bathroom or kitchen cat litter box. Clean and deodorize wood floors and, if pet smells persist, strip and revarnish, seal or paint. Getting the airducts cleaned can also help with odor issues. Have a non-pet owner stop by to assess your de-petting success.

 

--Limiting showings.

Buyers need to be able to see the house so sellers have to be flexible to get the most potential buyers through the door. Some buyers do a sweep of house tours during a specific time period and if a home isn't available, it won't make the schedule.

--Going to showings

Owners who attend showings tend to hover; inhibiting buyers and making them feel uncomfortable. Owner also may find it difficult to hear people talking their homes without taking comments personally and can reject good buyers for emotional reasons. 

--Trying to hide problems or failure to make required disclosures.

Be clear and honest in disclosing all problems. You can still be sued after the sale if problems are later uncovered. 

--Not making repairs.

A house that needs more work becomes less appealing than its competition. If a home needs a major overhaul, it immediately reduces the pool of people willing to look at it. Offering a credit to buyers upon closing to make repairs tends to be less effective than just making the repair beforehand.

--Making mistakes with offers.

Don't ignore early offers. If the house is priced correctly and gets an offer in line with what you're asking, take it. Be ready to act immediately--a house get the most attention and highest offers in the first weeks after it's listed. Also don't blindly accept the highest offer. When all aspects of a contract are considered, the highest bid might not actually be the most advantageous.

--Not trusting the REALTORS® advice.

You know your home, but a REALTOR® knows how to sell it. Take advantage of their experience and listen to their advice on things like staging, pricing, and repairs.

 --Not paying attention to the legal and financial details.

Even with a REALTOR® onboard, you need to stay involved with the process. Make sure you read contracts, understand offers and know what you are and aren't agreeing to.

--Not getting a house inspection.

Although a buyer will get an inspection too, getting one first ensures you'll be forewarned of any major defects.

--Expecting an unrealistic price.

Pricing mistakes include: pricing too high, not understanding the local market, not heeding a REALTOR®’s advice, setting the price according to money you want or need for another purchase, and not being willing to lower the price when necessary.

--Unwillingness to negotiate.

Like it or not, negotiation will be necessary throughout the entire process on things like what repairs will be made, what fixtures and appliances might stay with the house and the dates when things will happen. Being stubborn will slow the process and can cut into your profits. Failure to negotiate on price, for example, can mean losing a sale during the crucial first weeks when the best offers will come it. 

6 Upgrades That Give You the Best Bang For Your Buck

Selling your home? A few classic — and relatively inexpensive — changes can make a big difference when it comes to how much you’re able to collect from potential buyers.

If you want maximum effect for maximum profit, these six strategic upgrades will give you the biggest return on your investment:

1. Kitchen

Realtors will tell you time and time again: kitchens and baths (see No. 2) are what sell a home. A dated kitchen can be a big turnoff, so make sure yours is updated and inviting.

When it comes to spiffing up your kitchen for resale, you don’t need to splurge to get buyers’ attention. All you need to do is bring the space to the point of “builder-grade luxury” — stainless steel appliances instead of basic white, for example, and granite countertops instead of laminate.

Yes, you could theoretically spend almost any amount on appliances and granite, but remember: You’re going for “builder-grade.” That means you should install an affordable variety of granite countertop (such as Napoli, Baltic Brown or St. Cecilia) with a basic beveled edge. Don’t splurge on higher-end cuts of granite or more ornate beveling; leave that for your own personal custom home.

Want to do a kitchen remodel on the cheap? Simply refinish and repaint the cabinetry and add updated hardware (such as new hinges and handles). That alone can transform the look of the room.

Whatever you do, opt for colors and styles that are likely to appeal to the widest range of homebuyers. You may adore the idea of a bright red retro kitchen, but it could seriously put off some buyers.

2. Bathroom

When it comes to bathrooms, many buyers want the “spa” experience so help them envision themselves relaxing in the tub.

First, let’s start with basic upgrades, like replacing old, pink 3×3 ceramic tile with modern pieces. (For an inexpensive tile, try white subway-style ceramic, or opt for 12×12 porcelain in a neutral tone.) Replacing your plastic tub surround with a tiled shower also makes a big difference, and for about an extra $100 – $150, you can also add a recessed alcove (a built-in wall niche).

As with a kitchen remodel, you want to consider which changes will have maximum impact. You may not need to replace that old pedestal sink. Instead, you can just change out the faucet fixture — upgrade from brass to chrome — and hang some luxurious towels next to it. You may not need to replace the quirky floor tile if you choose a new paint color for the walls that will play it up, rather than clash with it.

Make sure the colors and styles you choose are as universally appealing as possible. Neutral colors never offend. If you want a dash of extra character, light blues, serene greens, and fresh pops of white are your best bet for an inviting bathroom. (A few well-placed candles and fancy soaps don’t hurt, either.)

3. Paint

One of the easiest upgrades to achieve the “wow” factor is to simply repaint your rooms.

Neutral shades like whites, creams, and tans will help buyers envision themselves in your space, since these read as more of a “blank canvas” than bolder shades. Earth tones will help mute any “louder” furniture you may have and can play well with hardwood floors. A surprising pop of bright color, like a cheerful yellow, can help brighten up small, dark spaces like half-baths and alcoves.

4. Flooring

Like paint color, good flooring can drastically change the look and feel of your rooms.

Hardwood is always appealing to a wide range of buyers, as are high-quality laminate options and affordable, eco-friendly choices like bamboo and cork. If you’ve got hardwood under your carpeting, your best bet is to restore it. If you already have exposed hardwood floors but they’re looking a little worse for wear, it’s time to invest in a good sanding and refinishing.

Kitchens and baths do well with tile or laminate flooring, which are both visually appealing and easy to clean. Carpeting is still acceptable in bedrooms, especially if it’s plush, in great condition, and in a neutral color.

But more and more buyers are turning away from carpeting altogether, so if you’re in doubt about whether to replace your carpets or install different flooring, hardwood (or its more-affordable cousin, bamboo) is your best bet.

5. Staging

Staging helps buyers imagine themselves living there. It’s also relatively inexpensive — you can often just rearrange the furniture you already have to make it show better.

First, make sure your home is free of clutter. Remove any overly personal touches (like family photos or children’s artwork on the fridge). Arrange furniture is in a way that flows well — buyers will feel claustrophobic if they need to navigate around big pieces as they move from room to room.

In your living room, arrange seating and tables into inviting “conversation” areas. Designate spaces for particular tasks, like placing an armchair in that empty bedroom nook to frame it as a cozy reading spot. Make sure all areas of a room are well-lit and that your accessories and artwork are the right scale for the space.

6. Curb Appeal

Don’t neglect the outside of your home — if buyers don’t like what they see when they first pull up, they may not even step inside to see all the great work you’ve done.

To make the outside of your home as appealing as possible, make sure all walkways are clear, the landscaping is neat and tidy, and everything is in good repair. This may mean repainting your siding, fixing those loose shutters, and finally sealing those cracks in the driveway. Or it could be as simple as mowing the lawn, blowing the leaves, and planting a few colorful annuals.

Add one or two “homey” final touches, like an festive wreath on the front door, a new welcome mat, and an outdoor seating area. Your home will feel extra-inviting — and just may get a quick offer.

California Foreclosures Lowest Since 2005

The number of California homes entering the formal foreclosure process last quarter dropped to the lowest level since late 2005, the result of a stronger economy and higher home values, a real estate information service reported.

A total of 17,524 Notices of Default (NoDs) were recorded at county recorders offices during the April-through-June period. That was down 8.8 percent from 19,215 in the prior quarter, and down 31.9 percent from 25,747 in second-quarter 2013, according to DataQuick, which is owned by Irvine-based CoreLogic, a leading global property information, analytics and data-enabled services provider.

Last quarter's NoD tally was the lowest since fourth-quarter 2005, when 15,337 NoDs were recorded. NoD filings peaked in first-quarter 2009 at 135,431. DataQuick's NoD statistics go back to 1992.

"It looks like the mortgage servicers doing the foreclosure paperwork are systematically working through a backlog. While their pile is getting smaller, they're working at a steady pace. With one exception, the number of NoDs we've seen filed each quarter over the last year-and-a-half hasn't changed much, and probably just reflects staffing and workload logistics," said John Karevoll, DataQuick analyst.

In first quarter 2013 California saw 18,568 NoDs filed. In last year's second quarter the number was 25,747. In third quarter 2013 it was 20,314. Fourth quarter was 18,120. In first quarter 2014 the tally was 19,215, and last quarter it was 17,524.

"The relatively high NoD tally in second quarter last year reflected a one-time bump because of deferred activity and policy change. Otherwise the quarterly flow of NoDs since early last year has been remarkably flat, and probably doesn't reflect any meaningful changes in trends. The overall trend is that homeowner distress continues to decline because of a stronger economy and rising home prices," Karevoll said.

Most of the loans going into default are still from the 2005-2007 period. The median origination quarter for defaulted loans is still third-quarter 2006. That has been the case for more than five years, indicating that weak underwriting standards peaked then.

On primary mortgages, California homeowners were a median 12.0 months behind on their payments when the lender filed the Notice of Default. The borrowers owed a median $27,601 on a median $309,083 mortgage.

On home equity loans and lines of credit in default, borrowers owed a median $6,992 on a median $66,150 credit line. The amount of the credit line that was actually in use cannot be determined from public records.

The most active "beneficiaries" in the formal foreclosure process last quarter were Wells Fargo (2,195), Bank of America (1,763) and Nationstar (1,047).

The trustees who pursued the highest number of defaults last quarter were Quality Loan Service Corp (for Wells Fargo and others), MTC Financial (Bank of America, Greentree, JP Morgan Chase) and Sage Point Lender Services (Nationstar, Bank of New York, US Bank and OneWest Bank).

San Diego-based DataQuick monitors real estate activity nationwide and provides information to consumers, educational institutions, public agencies, lending institutions, title companies and industry analysts. CoreLogic acquired DataQuick in March. Notices of Default are recorded at county recorders offices and mark the first step of the formal foreclosure process.

Although 17,524 default notices were filed last quarter, they involved 17,105 homes because some borrowers were in default on multiple loans (e.g. a primary mortgage and a line of credit).

Among the state's larger counties, loans were least likely to go into default last quarter in San Francisco, Marin and San Mateo counties. The probability was highest in Madera, Tulare and Fresno counties.

Trustees Deeds recorded (TDs), or the final loss of a home to the foreclosure process, totaled 7,392 last quarter - the lowest level for any quarter since 6,078 TDs were filed in fourth-quarter 2006. The all-time peak was 79,511 foreclosures in third-quarter 2008. The state's all-time low was 637 in second-quarter 2005, DataQuick reported.

On average, homes foreclosed on last quarter took 8.7 months to wind their way through the formal foreclosure process, beginning with an NoD. That's down from an average of 9.5 months the prior quarter and down from 9.1 months a year earlier.

At formal foreclosure auctions held statewide last quarter, an estimated 41.0 percent of the foreclosed properties were bought by investors or others that don't appear to be lender or government entities. That was up from an estimated 39.4 percent the previous quarter and down from 54.1 percent a year earlier, DataQuick reported.

Foreclosure resales - properties foreclosed on in the prior 12 months - accounted for 6.1 percent of all California resale activity last quarter. That was down from a revised 7.6 percent the prior quarter and down from 11.5 percent a year ago. Foreclosure resales peaked at 57.8 percent in first-quarter 2009. Among the state's larger counties last quarter, foreclosure resales varied from 0.9 percent in San Francisco County to 16.3 percent in Madera County.

Short sales - transactions where the sale price fell short of what was owed on the property - made up an estimated 5.8 percent of the state's resale market last quarter. That was down from an estimated 7.5 percent the prior quarter and 13.7 percent a year earlier.

5 Traps To Avoid When Selling Your Home

Do you ever find yourself completely overwhelmed by real estate advice from every direction on how to stage, market, negotiate, and ultimately sell your home?  With all the information we see on a daily basis, it’s easy to overlook to most important details.

Avoid these traps to get the best offer with the highest value, and take the stress out of selling your home.

1. Online-only Marketing.

Don’t drown in the world wide sea of online data!  With the overload of information that is force fed to us every day, it’s important that everyone sees your home everywhere.  Advertising your home in print makes you stand out locally.  At The Real Estate Book, our magazines even use QR and text codes that instantly connect home shoppers to your home listing on their mobile phones.  You’ll reach home buyers where they live, shop, work and play.  Ask your agent about advertising opportunities with The Real Estate Book in your area!

2. Poor Pricing.

No matter what they’re buying, it is not a surprise that consumers want the most bang for their buck.  Home buyers tend to stay away from overly high prices and are drawn to the homes that are priced competitively.  However, if the price is too low, buyers will wonder if there is something wrong with the property.  Make sure you research your competition and consult with your real estate agent before deciding on a price.

3. Hovering.

Although you may want to stick around during a showing, it may not be the best idea.  There is definitely an emotional aspect when selling your home, so hovering while a potential buyer is touring your home may make it difficult for them to envision the home as theirs, and may feel uncomfortable or that they’re intruding on your space.  Take a breather and go run some errands while your real estate agent does the work.

4. Clutter Inside & Out.

First impressions are everything, and the first thing that buyers will see is your home’s exterior.  Have a well-kept yard, clean driveway and overall curb appeal, which will increase the likelihood that buyers will want to see more.  Now for the interior . . . Make sure your home is absolutely free of all clutter – it should be clean and sparkling!  Help buyers imagine their own things in your home by stashing personal items, including photos and mementos.

5. Lack of Appealing Photos.

Before a buyer even thinks about contacting a real estate agent or coming to see a house to buy, they “pre-shop” online.  Be sure to provide photographs that frame your house and its amenities to sell. Capture full rooms that are well lit and don’t even think about including pictures of cluttered messy spaces!  Home buyers want to see what your home has to offer, and be able to visualize themselves living there.

As you go through the home selling process, avoid these traps to get the best offer quickly.  Remember that your real estate agent is more than happy to answer any of your questions and provide the most valuable help possible.  Be sure to always take advantage of all your resources.

Why For-Sale-by-Owner Sales Fail

Homeowners obviously know their homes better than anyone, but that doesn’t mean they’re the best salespersons for their properties.

Some sellers are tempted to try a For Sale by Owner (FSBO) transaction because their local community is in the midst of a sellers’ market and they think they can sell easily without help. Others try the FSBO route because they want to maximize their profits and avoid paying a commission to a Realtor.

However, statistics show that selling your home with the assistance of a professional real estate agent will garner you a higher profit, enough to cover the commission as well as put more money in your pocket. According to the National Association of Realtor’s 2013 Profile of Home Buyers and Sellers, the average FSBO sales price was $174,900, while the average price for a home represented by an agent was $215,000, a difference of $40,100.

Why to Sell With a Realtor

Choosing to sell with a professional rather than on your own makes sense for a variety of reasons:

◾A Realtor has access to market data about recent sales and other homes on the market that can be used to price your home appropriately. Studies show that homes priced right when they’re first listed sell more quickly and for a higher price than those that linger on the market.

◾A Realtor can show your home when you aren’t available, can respond to inquiries from potential buyers and their agents, and can get valuable feedback from visitors – all things that save you time.

◾A Realtor can look at your home objectively and suggest ways to improve its appearance – by staging and minor repairs - so it appeals to more buyers.

◾Buyers typically prefer to look at a home without the seller present so they can feel more comfortable exploring the rooms and visualizing themselves in the property. At an FSBO sale, the seller must be present.

◾A Realtor can screen visitors to your home, which provides a measure of safety that FSBO sellers don’t have. In addition, by checking to see if the buyers are legitimate and can afford to purchase your home, a Realtor can help you avoid wasting time showing your home to unrealistic buyers.

◾Realtors have professional marketing expertise, contacts with other Realtors who work with buyers, and the support of a brokerage that can market your home more widely than you can as an individual.

◾A Realtor can help you negotiate a contract that not only garners you an appropriate price for your home, but that meets your needs for a settlement date and perhaps includes a period when you rent back your home from your buyer. In addition, a Realtor can make sure your contract is in compliance with all local regulations.

FSBO Dangers

Most buyers today work with a buyers’ agent to represent their interests. If you choose to sell your home on your own, you’ll be negotiating with a professional and relying on your own skill to finalize a contract. Not only could you end up selling your home for less money, you could leave yourself open to potential legal problems unless you have the contract vetted by an experienced real estate attorney.

FSBO transactions can be successful, of course, but 90 percent of homeowners prefer to work with a professional rather than risk an unsatisfactory home selling experience.

 

4 Tips for Sellers to Seal the Deal

You want to get the best price for your homes as quickly as possible. Who doesn’t? But how do you entice prospective buyers to seal the deal? Impress potential buyers with these four well-researched real estate tips, and you may impress yourselves with the results.

1. Sales price

A correctly priced house is the key to selling a home. Buyers will be looking for a home to meet their price point and includes their top priorities. In most cases a home listing becomes stale due to improper pricing. A house priced too high may miss potential buyers, which costs time and money. And of, course, you don’t want to price yourself so low that you lose money on the house. You want to seal the deal.

2. Location, location, location

A home in an excellent location sells quicker and for more money. Home buyers seek quality of life in a neighborhood: parks, community pools, gyms and supermarkets close to home. Properties close to mass transportation, highways and fewer traffic zones save time, and they can add a lot of lifestyle convenience. This goes for future resale value, too: a home located a block from a noisy train station will have lower resale potential than one two blocks from a school and park.

3. Fix it up

This is the time to spruce up your house to seal the deal. Odd jobs you’ve put off: do them now. Fix the damaged door hinge, the chipped light switch, and the paint on the garage door. You don’t want a picky buyer to pass on your $300,000 home because they were put off by a spot of peeling paint that made them wonder if anything else is less than tip-top shape. You want to seal the deal instead by doing the little things.

4. Make your home welcoming

Sellers need to present a welcoming atmosphere. This is the best opportunity to showcase the qualities of your home for home buyer viewings so you can seal the deal. Clean up the yard as much as possible. Purchase a nice welcome mat and some potted plants to place around the entrance to the house. If your REALTOR® makes suggestions for staging the home interior—decluttering, moving furniture, maybe painting a wall—heed them. They know what’s selling. And they want no less than that for your home, too.

All sellers want to be able to seal the deal quickly, so that they can move on to their next experience. Following these quick sellers tips can help get that done sooner, rather than later.

Condo Sold In Just ONE WEEK - Above Asking price!



We just closed escrow on this Beverly Glen condo today. This property sold in just one week!

 

 

 

 

How often are homes sold above asking price?

OPEN HOUSE SELLERS CHECKLIST

STAGING WORKS! SELL YOUR HOME FASTER!

Many years ago, I heard the saying “The investment in staging your home will always be less than a price reduction on your home!” And that statement is as true today as it was all the way back...
The math is pretty simple. Imagine a $300,000 home that’s been on the market for six months without selling. The seller is becoming more and more frustrated and considers a price decrease of 5 percent. That’s $15,000. Now imagine investing only a fraction of that sum in staging and selling the home much faster.

That’s what staging will do, and the numbers are in to prove it – time and time again.
Recent statistics show that 94 percent of homes staged by an Accredited Staging Professional sold in 29 days or less, compared to an average of 145 days for homes that were not staged. What’s more, homes staged by Accredited Staging Professionals stay on the market 83 percent less than a home that has not been staged.
For home stagers and real estate agents alike, it’s imperative to showcase the positive impact of home staging, both visually by showing examples of past staging projects AND by sharing statistical evidence that home staging works and that the investment is worth it many times over.
So next time a seller brings up the subject of a price reduction, make sure to share the positive impact of home staging. The investment will be less and the impact most likely more.

7 Ways to Make Your Home More Appealing to Buyers

When you're ready to sell your house, it pays to assess your home and make improvements before the for-sale sign goes in the yard. By doing so, you'll help buyers see the beauty of your home -- and that helps put the sold sign up faster. Especially in today's tough market for home sellers, attention to details and a willingness to go the extra mile can make all the difference.
 Here is a list of tips to make your home stand out from the rest.



Be objective
                                            

One of the hardest things for homeowners is to see their house from a buyer's perspective. If you can't be objective about how your home looks, take pictures of it. Take photos from the street, the kitchen, living room and master bedroom. These are the rooms that matter most to buyers.

 

Start at the front

                       

Give the front of your home a makeover. Hire a landscape company to freshen the grounds, trim shrubs and trees, and add mulching. Repaint the mailbox, add new house numbers and hide trashcans. These improvements help hook buyers at the curb, enticing them to view your home.

 

Add Life

 

Invest in good quality real or silk plants. Spindly plants are eyesores. Look in any d¿¿cor magazine and you'll notice how plants are placed attractively in the room. Use these as guides on what plants to buy and where to place.

 

Put Money Into Your Kitchen

 

Investing in the kitchen is one of the best returns on investment for homeowners. The kitchen is the one room that really excites buyers, so make it work for you by adding a new backsplash, fresh coat of paint on the cabinets and trendy pulls. Dated lighting, peeling laminate and crowded countertops will have buyers backing out of the house.

 

 

Set The Table

 

Model homes and homes in design magazines always feature a dining room table that's set, but few homeowners with homes for sale set the formal dining room table. Setting the table makes the room inviting and helps buyers imagine themselves in it.

 

Open The Door To Sales

 

The front door is the first place on your home a prospective buyer sees and touches when they arrive. Repainting or revarnishing the door and polishing up the hardware will create a vision of beauty and buyer anticipation because it says the house is cared for right up front.

 

Create A Focal Point In Every Room

 

Each room should have a feature that defines the space. A focal point helps visually draw buyers into the room -- and where the eyes go, the heart often follows. Using the photos you've taken earlier, plan a focal point for the main rooms of the house, including the kitchen.

 

 

How to Boost your Home's Value

Most appraisers have stories of homeowners irate over the fact that the special remodeling job they performed added zero value to their home. The imported Italian tile you used in your entryway or the pool in the backyard may be of immense value to you while you live in the home, but unfortunately they aren’t items that buyers shopping in your neighborhood value.
To get the most bang for your home improvement buck, consider these 10 best home improvements:

1. Indoor Systems

Before you consider cosmetic and even functional improvements (such as adding additional square footage) to the home, make all needed upgrades, repairs or replacements to the home’s major systems. Major systems include plumbing, heating, electrical and sewer systems, among others.
Buyers want assurance that these basic items are in working order and won’t need to be replaced or repaired in the near future, an issue that will most likely be addressed in the home inspection. Older homes may require updated wiring and plumbing. An old roof should be replaced. Address problems with heating and air-conditioning units.
Looking for more information on major systems? Check out this Yahoo! article about the effect of improving major systems on home buyer interest.

2. Outdoor Replacement Projects

 
 
Replacement projects will give you more added value than remodeling projects, according to Remodeling Magazine. Fortunately for homeowners, these types of projects are also the least expensive and add to the home’s curb appeal. Consider replacing the garage door, siding, the front door and windows. The average return on investment for these projects is almost 72 percent.

The ROI on replacing garage doors, siding, front doors and windows is almost 72%!

The magazine suggests fiber-cement or foam-backed vinyl siding, adding a steel entry door, and vinyl window replacement.

3. Attic Bedroom

The number one home improvement project as far as recouping a return on your investment is the addition of an attic bedroom, according to Remodeling Magazine. At a nationwide average cost of a little over $50,000, expect to recoup 72.5 percent of the cost of adding the attic bedroom when you sell the home.

4. Add an Additional Bathroom

Over the past few decades, the kitchen was the average homebuyer’s focal point when choosing a home. In 2011 bathrooms became more important to buyers than kitchens. That said, an additional bathroom, even a half bathroom, adds significant value to your home, according to the experts at the National Association of Home Builders (NAHB).
A half bath may add up to 10.5 percent to a home’s value, while a full bath can tack on an additional 20 percent. Of course, the amount of additional value you will receive varies according to the home’s other features.

In 2011 bathrooms became more important to home buyers than kitchens.

The price of adding another bathroom to the house varies as well, depending on region. If you live on the West Coast, plan on paying almost $50,000 for a new bathroom, according to Remodeling Magazine. The magazine also states that, at the sale of the home, you’ll recoup almost 67 percent of the cost of the additional bedroom. East Coasters can plan on spending a bit less – around $41,000, but will recoup less as well – 47.7 percent of the cost.
Tip: If you’re on a tight budget and can’t afford a bathroom addition, give the existing bathrooms a facelift. A fresh coat of paint, new fixtures and new flooring will add value and make the home show better.

5. Kitchen Improvements

Kitchens tend to be the heart of a family home so anything you do to improve your kitchen will add value. Again, painting the kitchen should be the first step, whether you plan an entire remodel of the room or just a minor facelift. Vinyl flooring tends to make the room look dated, so consider replacing it with laminate or tile. New cabinetry, kitchen sink fixtures and updated lighting will all add value.
Tip: Folks on a budget can still increase value by sanding and then painting or staining cabinetry and adding new hardware and by purchasing new (matching) appliances and new countertops.

6. Boost Curb Appeal

When a TV show can be built around this one subject, it’s a pretty good indication of its importance. Curb appeal is what beckons potential buyers into your home and underestimating its importance to the value of a home is a big mistake many homeowners make.
If you have a healthy budget, and your landscaping needs extensive work, consider hiring professionals for this home improvement project. A landscape architect can be pricey but necessary if your yard is in desperate need of an overhaul. According to Jeff Mitchell with the American Society of Landscape Architects (ASLA), curb appeal shouldn’t stop at the front yard, but should be extended to the backyard as well.
At the very least, clean the yard of any debris, trim trees and shrubs and spread fresh mulch in the planting beds. A poorly maintained front yard can result in up to a 10 percent drop in value, according to Houston appraiser Frank Lucco.

 Budget curb-appeal improving landscape projects include:

• Line the walkway with solar-powered lights. The big home improvement stores carry a variety of inexpensive styles and all you need to do is stick them in the ground. Not only are they functional – lighting your way at night – but they provide ornamentation as well.

• Green up the lawn, keep it mowed and edged and reseed bare spots.

• Add color to the planting beds. Be careful to keep your color choices aligned with the home’s architecture. In other words, don’t add cottage garden-type flowers to a bed in front of a starkly modern home. Certain plants are grown because of their interesting and colorful foliage, such as hosta and coleus, and are better suited to more modern homes. If you have questions about what to plant, consult with the experts at your local nursery.

• Plant a tree. Yes, it sounds like an Arbor Day slogan, but planting a tree in your front yard pays off by helping cut energy costs in the summer (if strategically located to shade the house) and by adding value to the home. Not sure which tree to plant? Use the fun National Tree Benefit calculator to assist you with making the right choice. Just enter your zip code and the calculator will bring up a list of trees suited to your region and let you know the benefits of each.

7. Refurbish the Basement

Converting the basement into a finished room adds usable square footage to the home. Finishing basements is one of the best ways to increase your home’s value as it transforms unfinished basements – glorified storage space – into a usable, attractive room.
Consider the following basement bar. Who wouldn’t be willing to splash out thousands for the privilege of owning something like that?
Here is a short list of rooms your basement can become – and accoutrements to put inside it – if you choose to renovate it:

• Sports den – Big screen TV, sports memorabilia, overstuffed couches and cushy carpeting
• Lounge – Pool table, wet bar, dark hardwood floors and a poker table
• Children’s play area – Playset, soft furniture like beanbag chairs, arts and crafts table and bins and shelves for toys and books

8. Additional Storage

Most new homes come equipped with lots of storage. Older homes, on the other hand, tend to lack even some of the basic storage options, such as a coat or linen closet. If you lack the space to expand closets or other storage spaces or build new ones, consider redesigning the spaces you do have.
There are specialty stores now dedicated to nothing but storage solutions. Do-it-yourself projects may include adding a complete closet system or adding organization details to a pantry.

9. Additional Square Footage

Every 1,000 square feet added to a home raises the value by more than 3.3 percent, according to a 2003 study for the National Association of Realtors®.
While that percentage doesn’t sound significant, when you put it into numbers it makes a lot more sense. For instance, if your home is valued at $200,000, a 3.3 percent increase adds an additional $6,600 to the value.
Additionally, the 3.3 percent statistic can most likely be adjusted upward based on the age of the study. The study also claims that each additional bedroom adds 4 percent to the value of the home.

Each additional bedroom adds 4% to the value of the home.

If your laundry is located in the basement, the value of your home decreases by two percent, so if you plan on adding square footage to the home, build a laundry room on one of the upper floors.

10. Miscellaneous Home Improvements

There are many small items you can add to the home that buyers will perceive as adding value. Some of these include:

• Alarm systems
• Water filtration system
• Luxury touches such as an upgraded dishwasher, whirlpool bathtub and built-in wine coolers may peak the buyer’s interest. Luxury homeowners can take this a step further by adding an in-home theater and additional spa-like features to the bathrooms.