Since I covered buying 101 last week, lets go through selling 101 this week.
The process is similar to the buying process but there are some major differences to be aware of. We'll cover the overall process, but remember every deal is unique and includes much more detail and scenarios beyond this overview.
Lets go through the process:
Meet with a real estate professional:
Meet with your agent to go over all initial questions which may include: the local market, condition of the home, your personal requirements of the sale, etc.
Ask questions, there are no dumb questions when it comes to selling a home.
I recommend asking the same questions as before: How long have you been an agent and licensed? How many sales and listings have you had in the past 12 months? What is your experience in this market area and price range? Why should I use you as an agent?
Establish a Price:
Depending on the agent, they may have already completed a comparative market analysis (CMA) of your home before the first meeting, and adjust their final recommendation based on the initial tour of the property and its condition (my preferred method).
A CMA is not an appraisal but is the real estate agent's professional opinion on the best list price for your home based on a number of different criteria. The criteria includes: state of the current local market, similar current listed properties, properties under contract, past sales (usually 6 months back), and the condition of your property.
Pricing the home is by far usually the most important aspect of the listing, so be careful not to underprice or overprice the home.
Preparing for Listing:
Here are my 4 major recommendations:
De-clutter
De-personalize
Clean
Maintenance and repairs
Listing:
Your agent will coordinate showings of the property to perspective buyers.
Remember that there are times buyers will want to see your home on short notice, so try to be as accommodating as possible.
Offer, Negotiation, Under Contract:
Your agent will present offers from buyers as they come in.
A note of caution: The highest price offer is not always the best offer...
Your agent will help you go through the offer(s) and will provide recommendations for acceptance and negotiate on your behalf.
Escrow and contract process:
Your agent will work with other professionals to get things going including all title work, due diligence items, and any other requirements per the contract.
Inspection:
Probably the most impactful issue to sellers, and one of the main reasons a deal can fall apart. Every house is going to have issues come up in the inspection, so try not to take anything personally. Depending on the issues and what the buyer requests, you will work with your agent to come up with the best plan and negotiate any repairs or concessions.
During this time, buyer's will also work with their lender to finalize lending, perform any other due diligence and have the home appraised.
Closing:
This is where you will sign all of your documents for transfer of ownership and get any net proceeds!
In the past, the buyers and their agent were usually across the table from the seller and their agent, with the title person coordinating all of the signing. Those days are gone, at least for now. You will still sign all required documents just in a different way. Now closings happen without the other party present, through drive up closings where you sign from your car, or mobile closings where a closing agent will meet you.
CONGRATULATIONS!!! You have just sold your home and its time to move!!!