Sell Your Home Now: The Complete Guide to Overcoming Common Mistakes, Selling Faster, and Making More Money

Sell Your Home Now: The Complete Guide to Overcoming Common Mistakes, Selling Faster, and Making More Money

Copyright © 2010 Atlantic Publishing Group, Inc.

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Library of Congress Cataloging-in-Publication Data

Riddle, Laura, 1971-

Sell your home now : the complete guide to overcoming common mistakes, selling faster, and making more money / by Laura Riddle.

p. cm.

Includes bibliographical references and index.

ISBN-13: 978-1-60138-025-8 (alk. paper)

ISBN-10: 1-60138-025-9 (alk. paper)

1. House selling--United States. 2. Residential real estate--United States. I. Title.

HD259.R53 2010

643’.120973--dc22

2009046908

LIMIT OF LIABILITY/DISCLAIMER OF WARRANTY: The publisher and the author make no representations or warranties with respect to the accuracy or completeness of the contents of this work and specifically disclaim all warranties, including without limitation warranties of fitness for a particular purpose. No warranty may be created or extended by sales or promotional materials. The advice and strategies contained herein may not be suitable for every situation. This work is sold with the understanding that the publisher is not engaged in rendering legal, accounting, or other professional services. If professional assistance is required, the services of a competent professional should be sought. Neither the publisher nor the author shall be liable for damages arising herefrom. The fact that an organization or Web site is referred to in this work as a citation and/or a potential source of further information does not mean that the author or the publisher endorses the information the organization or Web site may provide or recommendations it may make. Further, readers should be aware that Internet Web sites listed in this work may have changed or disappeared between when this work was written and when it is read.

PROJECT MANAGER: Erin Everhart • eeverhart@atlantic-pub.com

ASSISTANT EDITOR: Angela Pham • apham@atlantic-pub.com

INTERIOR DESIGN: Samantha Martin • smartin@atlantic-pub.com

FRONT & BACK COVER DESIGN: Jackie Miller • millerjackiej @gmail.com

Dedication

By wisdom a house is built, and through understanding it is established; through knowledge its rooms are filled with rare and beautiful treasures.

King Solomon, Proverbs 24: 3-4

Author Acknowledgments:

Especially, I thank God for inspiring me to write a book and then opening the doors to get it published. I would also like to thank my real estate professor, Dave Wick; my publisher, Doug Brown, and all the staff at Atlantic Publishing Group; my editors, Erin Everhart and Chrissy Coleman; and my family, friends, and clients.

Table of Contents

Foreword

Introduction

Chapter 1: Welcome to Super Selling

Chapter 2: Mentally Preparing Yourself to Sell

Chapter 3: Physically Preparing Your Home

Chapter 4: Staging to Sell 80 Percent Faster

Chapter 5: Listing 101

Chapter 6: All About a For Sale By Owner (FSBO)

Chapter 7: Putting the Home on the Market and Preparing It For Showings

Chapter 8: It is Showtime

Chapter 9: Lending 101 — Show Me The Money

Chapter 10: The Offer

Chapter 11: Understanding the Inspection Process

Chapter 12: Moving and Closing

Appendix A: Real Estate Glossary

Appendix B: A to Z Religious Faith Guide

Appendix C: Sample Contracts, Inspections, and Forms

Author Biography

Foreword

There is power in preparing yourself for success. As an agent active in real estate for more than 20 years, I have helped many clients realize success as I guide them through the preparation and sale of their home. My goal is to work with my client on keeping the vision and moving forward until their property sells in the fastest possible time — and for the most money.

Laura Riddle’s Sell Your Home Now: The Complete Guide to Overcoming Common Mistakes, Selling Faster, and Making More Money has made the process of preparing your home for sale so simple that your chances at finding a great buyer will increase exponentially simply by following her advice.

This book shows you the roadmap to successfully selling your home. It is a book packed with years of wisdom and knowledge. Real estate agent and seasoned home seller Riddle walks readers through the entire selling process, from the basics right through to, ultimately, a successful sale.

Preparing for success requires both a mental and physical effort on the part of the seller. Riddle details vital information on how to mentally prepare for the selling process by emphasizing that it is a business transaction and by suggesting that readers visit other homes for sale, especially homes that will be in direct competition. She gives equally expert advice on preparing the home physically — a dynamic key to success. She provides step-by-step instructions on how to get your home ready for sale prior to listing it with an agent, which helps to ensure maximum profit. Riddle discusses the staging of a home inside and out, as well as tips and tricks on decluttering, cleaning, painting, and installing new carpet. She goes even further by providing practical advice through not only her own successes, but from other agents and home sellers in case studies.

Sell Your Home Now also offers in-depth coverage of the lending process. This information will prove enormously beneficial for both sellers and buyers. A well-rounded knowledge of the process is required for all sellers in today’s market, and Riddle examines the buyer’s loan options with detailed information on new government programs and incentives, as well as various loan programs designed to assist buyers. Laura looks closely at selling a home via short sale, avoiding foreclosure, and taking advantage of the latest loan programs, including FHA, USDA, and VA loans. She explains the new lending laws and covers the contract, inspection, and escrow, all in easy-to-understand language that allows the seller to know what to expect and gain an incredible advantage in the competitive seller’s market. In addition, Riddle provides critical information on how to overcome problems and avoid common mistakes before they ruin a transaction.

Sell Your Home Now provides the preparation techniques that are proven to lead to a successful sale. Readers are sure to find the information contained in this book just as helpful as I did. By following Riddle’s advice, you are likely to find that you will sell your home quicker and for more money than you ever thought possible.

Good luck,

Susan Dumas

Sotheby’s International Realty

Beverly Hills Brokerage

9665 Wilshire Blvd

Beverly Hills, CA 90212

Susan.Dumas@sothebyshomes.com

Tel: (310) 770-8389

Table of Contents

Introduction

Get your bearings. Forget about what you have heard in the news and from friends, neighbors, and colleagues — there are buyers out there even in the worst of markets, and you can sell your home for more money and in less time than you expect. Some homes are selling for more money and are transitioning to new owners much faster than other similar homes, and it is not a big secret why — at least, it is not a secret to the experienced agents.

There is a science to selling, and I will cover every part of it. In this book, I will share my years of expertise as a successful real estate broker to help you put into practice what successful agents know that the average homeowner does not. You will learn how to get more money for your home and sell it faster than you expect, even in a tough market. After you read this book, you will have the knowledge and tools to counteract any changing market. You will find out what is most important to home buyers and how to attract them, even if your area’s market is ice-cold and news’ forecasts are bleak. As it was — and as it always will be — people will be buying, selling, and living in homes. It is part of the American dream.

Everyone needs a place to live, and there are buyers out there in even the worst markets. People’s needs change constantly. Families grow and shrink, jobs transfer to new locations, and kids grow up and move away — there are countless reasons why people need to buy and sell in any market. In a hard market, you have to be sure your home stands out and is easy to show to attract buyers.

Your entire goal is to make your potential home buyer’s experience the most important focus of the process, beginning with how your listing is perceived and home visits to inspections and final contract signing. Your job is to make your home and financing terms more attractive than any other home on the market to potential buyers that are out there, especially in periods of intense competition with other sellers. You want to make the buyer feel that you have prepared for and anticipated their arrival in all aspects, as if your home is their home. After all, buyers buy on emotion as well as logic, and your edge on the competition is knowing how to appeal to both at every step of the way.

It only takes the right buyer for you to sell your home, but in tough markets, the rules of the game must be followed closely. In today’s market, the art of selling is at the forefront. Selling your home is a well-timed production that requires excellent marketing skills that pull out all the stops to create a pleasurable buying experience from start to finish for potential buyers. Creating a seamless package between what is described in your well-written ad and home visits are the first crucial steps toward a sale, but they are only just the beginning. What happens in your home during and after the visit can mean a go, or just another frustrated attempt to sell.

In the art of selling, the sale is in the details, and small details can yield big returns. In fact, a property described well in a listing can sell for 5 percent more and 15 to 20 percent faster than those whose descriptions do not use certain buzzwords. Another trick that only costs about $100 to $200 that you can use to sell your home 80 percent faster is positioning the ads in the exact places where the right people are looking; a little bit of market research goes a long way. I will teach you about the additional proven selling features you can have in your listing — such as video, a virtual tour, and pictures — to get your home noticed and potential buyers excited.

Once potential buyers are in your home, cleaning and staging become the most important aspects of the sale. Did you know that the wafting smell of a freshly baked batch of chocolate chip cookies can clinch the deal faster? Or how about if you offer warm, spiced cider in fall and winter, and iced water bottles or lemonade in the spring and summer? And what about ambient temperature and environment? The thermostat should be set to 72 degrees, and if it is a gray or rainy day, be sure to have a fire going in the fireplace.

Remember: It is about the experience. Yes, you want the buyer to feel that you are expecting them and are so glad they came, but it is also just another glorious day in the neighborhood at your special home, and that is an experience they, too, can have for themselves. Everything you do should convey that your home is special and is worth buying over the others listed in the market.

Even using just one idea can get your home sold for 5 to 11 percent more money and sell it 15 to 80 percent faster, and you will be way ahead of the pack that simply has their fingers crossed on one hand and the other hand covering their eyes — save for a periodic scared peek out to see if there have been any changes in the housing market.

Selling a house is a lot more involved than the standard fare of painting and de-cluttering that you see on home-selling TV shows. While that aspect of the selling process helps, it is only a small part of the equation. In fact, the smallest details can derail even the most attractive home that is selling at the most attractive price; these same details can also sell a home that is not particularly outstanding compared to other similar homes. I have seen great homes sit and not sell because of the most ridiculous and avoidable reasons, such as a missing street sign and inaccurate listing information. On the other hand, listing your home on the Internet on the National Association of Realtors’ Web site, www.realtor.com, can bring more buyers to you, and your home will sell much faster.

Having the most updated loan knowledge is also one of the keys to a successful, profitable sale. In this book you will also learn about the newest loan information so you can advertise the latest attractive tax deductions for buyers, including the new 100 percent loans (there are only two out there to date) and the low 3 percent down payment, on the back of your house flier. I will explain how to price the home properly and what you can do to assist the buyer with this information on excellent loan programs and incentives that can help sell your home.

Most importantly, by reading this book you will learn how to take control of your home’s sale so that you will not become a financial victim. For instance, let me walk you through how to avoid losing 5 percent in value to a declining market hit — which exists only on certain loans — and how to assist the buyer with money for closing costs and down-payment financing through other sources.

It does not matter if your local real estate market is stable, declining, or crashing — time is always of great importance. If your market is slowing down, you must move fast. If your market is crashing like some markets that are losing 1 percent a month — which works out to a $3,000 per month loss if the median home value is $300,000 — you have to move at warp speed. Each day your home sits unsold can cost you $100, and each month can cost you thousands of dollars in lost value.

Being a superstar seller in a hard market takes time, work, and effort. But if you truly want or need to sell your home now instead of waiting it out until the market rebounds, then read on to discover how you can tap into all of the secret tricks of the trade and read about real success stories to help you get top dollar when selling your home in any market.

Table of Contents

Welcome to Super Selling

How to Be an 11 Seller on a 1 to 10 Scale

Some people possess more natural talent and perseverance to work hard to win than other people. For example, Tiger Woods and Lance Armstrong can out-swing and out-ride most anyone in their respective fields, and it comes from a combination of natural talent and hard work. Even though you may not have been born a real estate selling superstar, there is a lot you can learn from emulating the best in our field as well.

However, unlike some occupations that share best practices freely to advance in the field, a funny thing happens in real estate sales: sharing knowledge is not always encouraged, especially in periods of high competition. In fact, it has been my experience that real estate agents tend to shy away from sharing their secrets of success with each other. And in some cases, because an agent’s expertise can vary widely with experience, wrong information shared with sellers actually works against them.

As an active real estate broker, I understand the business of selling homes from the perspective of both seller and buyer and know how to sell homes in the most successful and profitable ways possible, regardless of market conditions. I have made a very comfortable living working straight commission selling real estate, and buying and selling my own homes by studying the science of selling. I