RSS

Tag Archives: paperwork

Selling your Own Home vs Using a Seller’s Agent

If you have ever thought about selling your home yourself, I’m sure you have wondered what the positive and negatives points are compared to a real estate agent selling your home for you.

First let’s go over the positive reasons for selling a home on your own.

1.  You will not be giving a sellers agent a commission.

2.  You will meet any potential buyers yourself.  I’m not sure if this is a positive reason, but it might mean a lot to some home owners.

3.  You are in control of the entire process.  For those of you who like to have their hands in the entire process from meeting buyers to the negotiation process directly with those buyers, this might be a plus.

4.  You decide when to show the home and will be present for those showings.

Now, let’s go over the negative aspects of selling your own home.

1.  You pay for any advertising.  On top of that, you will not have access to the MLS which all agents have access to.  That means that instead of agents emailing their clients your home information when it appears on the MLS, you have to find the interested buyers yourself.  Agents are also more adept at only showing clients who have a definite interest in the features of your home.  You could have people looking at your home that aren’t pre-approved, are just window shopping or truly are not looking for what your home has to offer.

2.  You will need to understand all of the paperwork needed to sell your home.  It is also highly recommended that you hire an attorney to write-up the paperwork and make sure everything is included.  An attorney might be more expensive to use.  Another consideration is that an attorney doesn’t typically write-up paperwork to sell  homes as part of their job and might miss something along the way.

3.  If you aren’t available to show your home, your home won’t be shown if you sell it on your own.  When you work with an agent, it doesn’t matter if you are on vacation.  The home can still be viewed and an offer can still be made.

4.  Knowing what to price your home at.  Why waste your time if you price your home to high?  You also have to worry about what an appraisal will decide your home is worth.  You could get an interested buyer who is willing to pay the price you are offering.  If the appraisal comes back and is lower, the bank will not finance the buyer at that price.

5.  When a buyer knows you are selling a home yourself, they know you aren’t paying a sellers commission.  Because of that, the buyer will typically bid extra low to cover the difference.  Meaning you might still be out the same amount of money or more.

6.  If you don’t offer a buyer’s agent a commission, many real estate agents won’t be enthusiastic about showing your home verse a home that is similar with a commission included.  (Although this is ethically wrong, it has been known to happen quite frequently).

7.  It will take much longer to sell your home on your own.  This is because of the amount of advertising needed. Also, the less you are available to show your home, the longer it will take to sell.

8.  When you take into account fees for advertising and the lawyer, you might end up paying more money, than if you used an agent.

9.  You will have to make sure you understand the laws.  You aren’t exempt from getting in trouble for lack of knowledge.  You must understand the laws regarding who you decide to sell to and why.  You will need to understand how to get a clear title before the closing of the home can occur.  Some cities require a city inspector to view your home and there is a fee.  You must also understand that any defects in the home must be disclosed to anyone who views your home.  Not mentioning that there was a flood in the basement several years ago, for instance can result in a lawsuit if the buyer finds out after purchasing your home.

Many people try to sell their home themselves.  A good majority of these same people end up using a realtor after a lot of frustration and money spent.  If you decide to go it alone, make sure you truly understand what you are getting into before putting up a sign in your yard.

If you are interested in a consultation with Wendy McCance, you can contact her at:

Real Estate One

26236 Woodward Ave
Royal Oak, MI 48067 
248-414-1248 ext. 119
wendymccance@realestateone.com
Advertisements
 
6 Comments

Posted by on January 27, 2013 in advice, houses for sale, how to, real estate

 

Tags: , , , , , , , , ,

Selling a Home? Here’s a List of the 5 Most Common Things That Need to be Done.

Well, you have decided to sell your home.  You have found a realtor and put the home up for sale.  Now what?  Below is a list of the 5 most common things you must get before and after closing on the property.

1.  Paperwork (ASAP)

This is by far the most important thing you must do.  Any and all paperwork you can find in regards to your mortgage and any lines of equity you might have must be pulled out.  The better the paper trail, the quicker the closing.  Banks are not great at getting the paperwork showing what you owe and have paid off together.  If you get an offer on your home, you will want to close as quickly as possible.  The bank can stall that process more than 30 days.  It can be a real nightmare to rely on the bank to put all of the pieces together.  Do yourself a favor and create a folder to put all of your paperwork in.

2.  Pipes and the winter weather (Only if you don’t occupy the home)

If you don’t occupy the home you are selling, you will need to winterize the pipes so that they don’t burst in the cold weather.

3.  Utilities (once you are a week or less from closing)

You will need to get a final water reading.  You will also need to call the gas and electric company to notify them of the transfer in ownership.

4.  At the closing

Make sure you bring a photo I.D.  Your driver’s license will suffice.

5.  Homeowners Insurance

Once the closing is complete and everything has been funded, you will want to call and cancel your homeowners insurance.

note:  Each sale is unique.  It is imperative that you have good communication with your realtor.  Make sure you go over the necessary items that are needed so that there are no surprises.  In addition, make sure that you know the timelines for getting each thing accomplished.  If a water meter is read too soon, you will need to get another reading before closing.  Timing is everything when you are wrapping things up for closing.

 

If you are interested in a consultation with Wendy McCance, you can contact her at:

Real Estate One

26236 Woodward Ave
Royal Oak, MI 48067 
248-414-1248 ext. 119
wendymccance@realestateone.com
 
4 Comments

Posted by on December 28, 2012 in advice, houses for sale, real estate

 

Tags: , , , , , ,

The Importance of Having your Mortgage Papers Ready when you Sell your Home

So you have taken the leap and put your home on the market.  An offer comes in that you accept and now the title company must get to work.  Having a paper trail showing your mortgage history is incredibly important.

No one thinks about the paperwork involved with selling a home.  Homeowners think about the hassle of putting their home up for sale.  The house must be kept up and ready to go to show to potential buyers.  It’s a real inconvenience, but just one of those things you must do to get that home sold.  Once the home has an offer on it that is accepted, homeowners breathe a sigh of relief and relax as now they just have to wait for the paperwork to be processed so they can close on their home.

A big hurdle comes up on occasion when the title company looks to clear the title for the new owners and pieces of the mortgage history are missing.  Missing information can be in the form of such things as an equity loan or a refinance.  What’s important is that you dig up every last paper you can find to form a paper trail. The more information you can provide regarding bank names, account numbers, loan amounts etc… the better off you will be because the process of clearing the title will go much quicker.

Title work can be incredibly frustrating for the homeowner.  They have just gotten through the hurdles of showing their home again and again.  They have gotten an offer that they find acceptable and they think that getting to a closing table to sign the last papers should be a piece of cake.  When title work holds up the closing, it becomes a tedious process for everyone.

As long as you have all of your papers showing the history of the financial transactions on the house, getting to the closing table will be fairly straight forward.  This is why it’s important to be ready to go once the offer comes in.  Make sure you have all of your documents ready to hand over to the title company and finishing the task of selling your home will be easy and fairly stress free.

 
Leave a comment

Posted by on November 27, 2012 in advice, housing, how to

 

Tags: , , , ,

The Highs and Lows of Being a Real Estate Agent

The last two days have been a whirlwind.  I have been juggling a few different clients and quite a lot has happened in such a small span of time.  To break it down, the last two days have been the greatest of moments and the worst of moments.

I have been working with a great couple.  They are wonderful to deal with and make my job really enjoyable.  They have trusted my opinions on what will help the house look its best and what price would be appropriate to list the home for.  We’ve had great communication with each other and the whole process has just been extremely pleasant.

I listed the home on Monday.  I had just finished the paperwork and put the information on the MLS to advertise it was for sale.  Within ten minutes of the home being placed online, a call came in from a realtor looking to schedule an appointment for later that day.  A few moments later, another call came in to view the property.  It felt good to hear that there was an immediate interest in the home.

Three hours after putting the listing online, an offer came in.  It was a cash offer and $5,000 over listing price.  It was the craziest experience I have had so far.  I called the owners and they were thrilled.  Needless to say, papers were signed, there is an inspection scheduled, and we should be closing in two weeks.  It was incredible.

During this same time frame, I had a client looking to rent a home.  They had submitted their information, and the owner agreed to lease to them.

To backtrack a moment, I have had an uneasy feeling about this client from the beginning.  They were 25 minutes late to their first appointment.  The second time I took them out, they were 15 minutes late to the first home.  We went to another home afterwards which was 5 minutes away, and it took them 20 minutes to get there.  Apparently they got lost.

When they found the home they wanted to lease, they dragged their feet getting all of the paperwork in.  I got 14 emails in an hour span dissecting the lease and making complaints such as that they had to pay a fee for a cashier’s check.  They were originally going to sign the lease within a day after they had someone look over the lease.  Then it was stalled with them stating they would sign at the end of the week (6 days later).

I explained that there wasn’t a contract in place yet and that the owner could go with another renter if they were slow to act.  I got an email back stating that the lease would be signed and handed in the next day.  Two hours later, I received an email stating they weren’t interested after all.

When you are in real estate, you will have the amazing moments and the annoying ones.  In the case of the lease, I felt horrible for the other realtor as though I had been the one jerking them around.  I felt even worse for the homeowner who had trusted the process and pulled the listing from the market.

This is what working as a real estate agent is really like.  Some moments will be really great, and some moments will make you want to pull your hair out.  You really do have to be a people person to enjoy this career.  You also have to have a thick skin.  This is the part I am still working on.  I’ll put my heart and soul into helping someone out, and if the deal goes bad, I take it personally.  I know it’s just business and that you never can tell what situations a person might be experiencing to react in the manner in which they do.

I truly believe that this is a great career for character building, patience and learning to roll with the punches.  I honestly am willing to endure a few bad moments, because the good moments tend to happen more often and it really is so worthwhile to invest in.

 
2 Comments

Posted by on November 14, 2012 in business, career planning, personal

 

Tags: , , ,

Paperwork Overload

I don’t know why I hadn’t thought of writing about this subject until now.  When you first get into the real estate business, one of the areas that will make you feel entirely overwhelmed is the paperwork.  Which papers should you use for different transactions and how do you fill them out?

When I started working, the paperwork overwhelmed me to the point that I wanted to bolt for the door.  There just seemed to be so much to know and so many papers to fill out at a time.

I am here to tell you to relax.  The fear goes away fairly quickly.  The best advice I can give you is to have a template of each type of basic transaction.

My manager is incredible.  Once a week she will gather the newer employees and teach us how to fill out a new form.  She walks us through the paper and tells us what each paragraph means and what should be filled in in that spot.  Because I got this training, I was able to put together some files with example forms already filled out.

If I have a listing appointment for example, I now have a folder with all the things I will need.  In the front of the folder is a checklist detailing the items I will use for the appointment.  I also have a list of things I will need later if the appointment goes well and the property is listed.

I have my templates that I look over to refresh myself on what each part of the paperwork means and what needs to be written in each spot.  I also do some preliminary filling in of items that aren’t as important but cut my time down at the appointment.

I like to feel relaxed and confident when I go on an appointment.  If items like our office address and the address of the home I’m visiting are already filled in, I don’t feel as overwhelmed by the amount of items that need to be filled in.  It may sound strange, but it’s a bit of a mind game that I play.  The more I am able to fill in ahead of time, the less I see that needs to be explained on the form.  My confidence is raised because it looks easier to explain 5 items than 10 (for example).

When it comes to going through the paperwork, for me it seems that once I go over it once, I am good to go the next time around.  What seemed so difficult all of a sudden seems like no big deal.  I promise this will happen with you too.  Just hang in there and know that you will be confident in no time.

 
Leave a comment

Posted by on October 25, 2012 in advice, career planning, job, lifestyle, opinion

 

Tags: , , , , ,

What a Typical Day Looks Like

Enough time has passed since I began my career in real estate that I can say I’m cruising along.  My calendar has begun to fill up for the following week before I’m halfway there.  It’s good to see the progress.  Below is a basic example of a typical day.  For those of you who are thinking of a career in real estate, you might find this information rather interesting.

6:00am  At this point there is a definite routine emerging.  Each day begins with a check of my emails.  Next I am going over and planning my day.  Many mornings I will spend this time writing a post for my blog as well.

7:30 am  Drive the kids to school.  Once back home, I have some breakfast, take a shower and pack a lunch.

8:30am  Go to the office.  Check email and voicemail.

9:00am  Morning meeting.  Meetings are a time to learn about several subjects.  We have had meetings on how to make the most of your week, short-sales and how to fill out some of the more complicated paperwork.

10:30am  Check email and voicemail.  One on one meeting with my supervisor.  We will go over what transpired during the previous week.  This is my opportunity to ask questions and get guidance on how to handle particular situations.

11:30am  Check email and voicemail.   Printing any paperwork I need to gather for appointments or for passing out flyers for the day.

12:00pm  Lunch.

12:30pm   Check email and voicemail.  Appointments, passing out flyers, or prospecting by phone, email or in person.

3:00pm  Pick up kids from school.

3:30pm  Check email and voicemail.

4:00pm  Make dinner.

5:00pm  Have dinner with the family.

6:00pm  Check email and voicemail.  Appointments or prospecting by phone or email.

8:00pm  Last check of email and voicemail.  Schedule appointments for showings.  Plan out next day.

I have to admit my day is possibly more extended because I work around the kids schedule.  Each realtor will have a schedule fairly different from each other.  That is probably the best part of being a realtor though.

 
Leave a comment

Posted by on October 15, 2012 in career, job, life, lifestyle, personal, real estate

 

Tags: , , , , , , , , , ,

Everyone Hits the Wall

One of the things that I find is invaluable about where I work is the support of other realtors.  I find that I have been freezing up since my first experience showing a home.  There is so much to learn and I feel ill prepared to answer many of the questions that a client might bring up.  I am also feeling insecure about filling out the paperwork with a client without a more experienced realtor standing by ready to help me out. Like many of the moments I have gone through since beginning my career, what I am experiencing is not only normal, but happens to every new realtor I’m finding out.

I was talking with one of the realtors in the office this morning and was reassured that I would get through this glitch.  When I was eighteen years old, I decided to waitress part-time while going to school.  I knew a few friends who loved waitressing because the hours were flexible and you left work each day with money in your pocket.  Waitressing seemed like a perfect choice for a kid in school.  There was just one problem, I was painfully shy.  It took everything I had to push myself to get over the shyness and try out a job as a waitress.

I remember my first waitressing job.  I worked at a local Coney Island Restaurant.  Another waitress trained me for a few days.  When she felt I had learned everything I needed to know she set me out onto the floor to take an order.  I panicked.  I remember stalling having to go over and asked the waitress what I should say when I approached the table full of customers. She very nicely said, “just say, can I take your order.”  I was completely embarrassed.  Of course that is what I should say, but in that moment, my nerves got the best of me.  It took pure determination not to bolt for the door and instead face my fears.

When I was talking with the realtor this morning, I told her this story and said that was how I felt now as a realtor.  She was so kind to me and said that she had gone through the same feelings when she worked with her first few clients.  She assured me that although she made her own mistakes, she had the support of others in the office and got through it.  The feelings I have been feeling are another common obstacle of life as a new realtor.  If you are just beginning your career as a real estate agent, I hope this story helps you out and eases your mind.  You will go through moments of trepidation, but you will get past it as long as you look fear in the face and plow through it.

 
4 Comments

Posted by on August 20, 2012 in advice, career, job, life, personal, real estate

 

Tags: , , , , , , ,

 
%d bloggers like this: