All your Real Estate Agent questions, answered
That can be tricky! Some people use a HELOC to get money out of their current house to use as a down payment for their new home. You can also use it to make repairs or improvements so you net more money from the sale. Often you can coordinate your sale and purchase to occur on the same day, so you load up the moving truck, sell your home in the morning and buy the new one in the afternoon! Finally, there are loans known as bridge loans that will allow you to buy the new home while waiting for your former home to sell. We have excellent lenders who can help with all these scenarios. Call us today so we can explain each further!
That all depends on three things, Location, Condition and Price!
If your home is in a great location, excellent condition and priced appropriately, it will sell within the first week!
If that doesn’t happen, then there is something wrong with one or more of those items and something has to change! The key at that point is to do a deep-dive into all of those aspects and make and implement a corrective plan. A home that sits on the market for an extended period of time may become stigmatized and difficult to sell. Similarly an over-priced home that doesn’t sell may have to over-correct on price and end up selling for less than it would if priced correctly at the start
There are so many! Foremost, a REALTOR’s job in selling a home is to make certain that your home is presented in the best light possible. You need your home to appeal to as many buyers as possible and therefore sell for the highest price possible. This includes helping you know what changes to the home or it’s contents should be made. Pricing it appropriately for the market conditions is also essential. Finally, creating a listing that features high quality photography, compelling descriptions and complete and accurate details. There is a substantial time investment you need to make to do everything that a realtor would do to market the property.
One of the big problems with selling a home on your own concerns financing. The people who are interested in buying may not have good enough credit to actually get the loan. They might even hope that you will finance it, or they may be simply looking for a bargain. The Realtor’s job when selling a home is to show homes to qualified buyers, so you can feel confident that the buyers will be credit worthy to purchase it!
According to the National Association of Realtors “For Sale By Owners (FSBOs) accounted for only 8% of home sales in 2020. The typical FSBO home sold for $217,900 compared to $295,000 for agent-assisted home sales”. Not a pretty picture and a decision that is hard to justify for most home sellers.
If you would like to discuss selling your home we would be happy to provide a free, no-obligation consultation to help you make the best decision on selling yourself or using a realtor. Please contact us here.
What Seller Closing Costs do you need to factor-in to determine the net return on selling your home?
In general, there are 5 closing costs for the seller:
1) The largest is the real estate agent commissions this is normally around 6% of the sales price of the home. That amount gets split between the listing agent, their broker, the buyers agent and their broker
2) Doc stamps. This is a charge by the state to register the sale of the property. This amounts to $.70 per $100 of the sales price
3) The next largest cost is the buyers title insurance. In the state of Florida, sellers are required to pay this for the buyer at closing. It has a set costs that varies with the price of the home. It’s around $2100 for a $400,000 home
4) Title company charges – these vary by title company, but in general they are around $500 for the closing fee and $300 for the assorted searches they have to complete for the title insurance
5) Transaction Fee – Many brokerages in Florida charge this fee. It is used to cover insurance, legal and documentary expenses
If you are considering buying a home and you are not a cash buyer you will need to determine what home loan you can afford. The loan amount with your down payment will determine the maximum home price you can consider. Therefore the first step in buying a home is often to find and speak to a lender! They will help you understand how much home you can afford. They will identify how much money you will need for down payment and closing costs (and if you need it can offer some help finding that money). A lender can also identify any items in your credit report to pay or repair to get the best financing. We have some excellent lenders who can help. In the meantime you can use the following mortgage calculator to get some initial ideas on what you can afford. The first steps in home buying are always a bit scary so if you would like to discuss your options or if you have any other questions please feel free to contact us using the following link (contact us). You can also access our free additional home buyer information in our home buyers’ library.
When you decide it’s time to sell your home, and you have decided to sell your home using a realtor, make a smart decision and talk to more than one real estate agent because they are really not all the same! Some of the elements you would want to consider would be:
- responsiveness, how quickly does the realtor respond to your needs?
- honesty -this seems like a simple issue but it is not. Over promising such as overpricing a property because the owner wants or feels that the home is more valuable than it actually is, can be a real test for a realtor (no one wants to disappoint someone but sometimes it must be done, even at the risk of losing the seller)
- marketing plan -every realtor will tell you they can sell your home -the question for them is “how?”
If you are selling your home and you would like to understand how NewMarket Team market homes, please contact us using the following link. We would be delighted to provide an overview of our processes and what we do to sell more homes, more quickly and for more money than the average agents.