1 SELLER Guide (419) Toledo Area Real Estate A Tradition of Trust in Ohio Real Estate
2 Sell Your Home When your needs change, oftentimes the place you call home must change as well. You may move to a new job, a new school district, a larger home to accommodate a growing family or care for elders, or a smaller home after the children have left the nest. Perhaps you ve decided to trade a suburban lifestyle for an urban or retirement lifestyle. At The Jon Modene Team, we are committed to providing guidance to help you with one of the biggest and most important financial transactions you ll make: selling your home. We help make the process smooth and quick, and we strive to get you the most money possible from the sale. Your local real estate market is affected by the economic climate, employment rates, and general growth of your area. That s why an experienced, professional real estate consultant from The Jon Modene Team is available to advise and assist you during this important transaction. Prepare yourself to sell your property by reviewing this guide and consulting with your Heyl Group team member.
3 Sellers Market For the first time in seven years, the U.S. real estate market favors sellers in most areas. The demand for well-priced homes in good condition is high. Buyers are plentiful and eager, and are armed with low-interest financing. In addition, affordability is at an all-time high, making it a great time to sell. If you ve been on the fence about selling, now s a great time to jump off and get your property sold Seller s Market 2013 Buyer s Market
4 Why Sell Now? When there s a reason and you re motivated, it s always the right time to sell. People sell their property due to financial issues, family changes, a job opportunity, or a need to move up or downsize. In most parts of the country, there is high demand and low inventory, and properties on the market sell quickly for asking price and even higher. In fact, one of the indicators of a sellers market is when offers from multiple buyers are made on a property. This year, multiple offers are double what they were last year. $
5 What Is Your Motivation to Sell? The top three motivators for people choosing to sell are relocation, a life event, or upsizing/downsizing. Is one of these the reason you are selling your property? Relocation for work or other (26%) Life event such as new baby, marriage, divorce, etc. (18%) Upsize, downsize, or move to better location (14%)
6 How Urgent Are You to Sell? Nearly three out of five sellers, or 58%, have some urgency to sell, while 14% are very or extremely urgent to sell. What is motivating you to sell and how urgent are you to do so? As your agent, let us know your urgency level so we can best serve you. Sellers Sense of Urgency Moderate 58% High 14% If you don t have an urgency to sell, resist the temptation to test the waters by listing your house at a high price. Why? Because you ll be competing with those motivated to sell quickly, and yours will just make theirs look like a deal. 28% Low
7 Your Competition What s Selling? Don t be caught unaware of your local real estate market and competition! We will interpret your market and help position your property favorably. Of the millions of homes that sold in 2013, single-family homes dominated the sales chart. Condominiums and townhomes could not even compete. Are you selling a detached, single-family home? If so, you have a higher chance of attracting more buyers, although you may have more competition with the inventory of homes on the market. 82% Single Family Homes 13% Condominiums and Townhomes
8 Why Hire a Professional Like Me to Sell Your Home? A professional real estate agent from the Heyl Group is your ticket to a successful sale. We will advise you on the process of getting your house sold, from appealing to buyers by making simple interior and exterior repairs and improvements, to getting the property through the appraisal process, the inspection, the negotiations, and finally to the close. In a sellers market, any agent can get your property under contract; however, not everyone can get it closed! There are so many things that can go wrong between getting a signed contract and the close of sale. Make sure you re getting good advice from a qualified expert. Our Job Is to Get It Sold We have the experience and knowledge to get your property sold. We confidentially and professionally represent you as we navigate legal aspects and hurdles. We help you set the price and negotiate with buyers and their agents throughout the entire process. We get paid when your property sells, so it is in our interest to achieve the mutual goal of getting it sold.
9 How Urgent Are You to Sell? Contract Negotiation In a sellers market where prices are rising, the property appraisal may be lower than what a buyer offers. This makes it harder for the buyer to secure a mortgage unless they make up the difference. Your Heyl Group agent will navigate challenges like this for you. 1 2 Inspection Appraisal 3 Walk-Through 4
10 My Job Is to Market to Buyers When you decide to sell your property, it is critical to understand what buyers are looking for. In addition to the price of your property, location tops the list of features buyers are attracted to, at nearly 71%. Unfortunately, you cannot change the location of your property. The neighborhood, like location, is important to buyers and is another feature you cannot change. The third most popular feature, at 50%, is the condition of the property, and this is one important aspect of your property that you can alter to make it more appealing to buyers. Location Neighborhood 55% Condition 50% Floor plan 35% Updates in home 33% Curb appeal 29% Square footage 27% Schools 26% Backyard/Patio 22% Kitchen 21%
11 Condition Matters When you want to sell your property quickly for the greatest return, it doesn t matter whether the market favors sellers or buyers. To make the most impact and have an edge over the competition, condition can make all the difference. A house in great condition will attract more solid buyers that is, serious, motivated, and qualified buyers. Fixer-uppers can attract more risky buyers, those with less secure funding. 84% of most recent listings were in good to excellent condition. When there is only one house on the market and 10 buyers, the seller will have a sale in no time, no matter the condition of the property. When there are eight houses on the market and 10 buyers, buyers have more options to consider before making a decision, therefore the condition of the property truly matters, especially when the seller is looking to make a quick sale. We are best equipped to advise you on the competition in your area and how you can get your property sold quickly.
12 Exterior Appeal Make a great first impression! You don t have to spend a lot of money for your property to appeal to buyers as they pull up to the curb. Cleaning up flower beds, keeping the grass and bushes trimmed, and simply painting the front door can make the difference between a potential buyer driving away or a sale cha-ching! Be the house that catches the eye! Remember, nearly 82% of sellers classified their property as having good to excellent curb appeal, while 40% made enhancements to boost curb appeal. With an unbiased, critical eye, observe the front of your house before putting it on the market. Compare your property to others on your street and neighborhood. How does it compare? Even better, ask an unbiased third party for their opinion. This is where an honest and caring real estate professional can help.
13 Exterior Improvements Spend your money wisely when it comes to exterior improvements. A few dollars and your own labor can go a long way to make a big difference to the curb appeal of your property. For example, by trimming trees and bushes, your home will be more visible and welcoming. And everyone enjoys the look of flower beds with seasonal flowers and fresh mulch. Two out of four sellers spent $500 or less, with three out of four sellers spending less than $1,000 for exterior improvements. There are easy and inexpensive fixes you can make to the front of your house, like cleaning the windows or a fresh coat of paint. The objective is to make a great first impression with the fresh-and-clean look buyers prefer. Spent less than $1,000 75% started exterior improvements within a month of listing Spent less than $500t > 1 MONTH 25% 1 TO 4 WEEKS 50% < 1 WEEK 25% Most Common Exterior Improvements 71% 57% 57% 41% 38% 37% 28% Trimming Trees, Bushes, etc. Adding/Replacing Mulch Adding New Plants Window Washing Power Washing Updating Front Door Fresh Paint
14 Interior Appeal When your house is decluttered and un-personalized, a buyer can envision themselves there. Put yourself in their shoes would you want to buy a used car covered in crumbs, dog hair, and sticky goo from an old spilled soda? Would you buy a home in similar condition? Of course not. The answer is staging cleaning up and presenting the property at its best. Nearly one-third of all sellers stage their property to position it well. Another benefit of staging is to enhance how your marketing photos will look. Nine out of 10 buyers look for homes online, and photos that showcase your property well will keep buyers coming through your door. Staging is a quick and inexpensive technique to sell your property more quickly and for more money.
15 Staging Is Effective Compared to nonstaged houses, on average, staged houses... 1 Had more showings scheduled 2 Spent less time on the market 3 Sold for a higher price more showings 11 fewer days on market 1% of list price higher Who does the staging? 45% Listing Agent 37% Professional Stager 25% Seller Your house may not need much cleaning or decluttering, and it doesn t hurt to get advice from an unbiased party. Carefully consider who you choose to make staging recommendations. A professional stager, paid for by you, may be a wise investment. Seek advice from a real estate professional like us. Also, visit other houses for sale in your area and stage your house to stand out from the crowd!
16 Rooms to Stage Use staging to highlight the most lived-in rooms of the house. The living room, kitchen, and master bedroom are where buyers will spend most of their time, so make those impressions count. 26% staged the kitchen 18% staged the master bedroom. 30% staged the living room. Cost of Staging 70% staged the whole house Staging need not be hard, time consuming, or costly. While the average cost of staging is $644, 50% of those who staged spent $300 or less. 50% spent $300 or less Spend your dollars wisely when it comes to improving your home s interior appeal to buyers. Stage the most popular rooms first and keep - costs down by doing simple rearranging, cleaning, and decluttering. If you haven t touched an object in 30 days,. pack it up and remove it.
17 Updates/Repairs Updates Most Common Updates A fresh coat of paint can completely change the feel of any space from eh to aah. There are a few high-impact updates worth considering for your home depending on its condition, price point, and competition. We can help you determine if any of these popular updates are right for your property. Painting Flooring 27% 43% Lighting 21% Repairs One in three sellers knows there s a problem that is bound to come up under the inspection, such as a leaky faucet, stuck window, or worn shingles. It can be a good idea to make these kinds of repairs before putting the house on the market. 32% of sellers made repairs to prepare the property for sale. 3 out of 4 spent $3,500 or less on repairs. Top Three Repairs Electrical 42% Plumbing 34% Roof 33%
18 Should You Have Your Property Inspected for Condition? Inspector checks for... Code Compliance Toxins A/C Problems It s smart to have your house inspected before you list it with an agent. You will know exactly what action to take to get the house in great condition. Ask us about getting your house pre-certified and pre-appraised. This assures you and your buyers that there will be no surprises later. Roof 10% of Sellers had prelisting inspections
19 Price Matters Have you ever sold a car and consulted a website such as Kelley Blue Book to determine its value? The software tracks recent sales of cars of the same make and model and then provides a range of values based on relative condition. This makes it very easy for you to price your car so it sells. Similarly, we study the real estate market every day and can to provide you with a range of values for your home that will ensure it sells. This is referred to as the market price, that is, the price the market will bear. To determine the market price, we will study similar homes in the same or nearby neighborhoods that have sold recently to determine an accurate range. These are referred to as comps or comparables, homes that are comparable to yours.* $ 74% listed at market value 59% the previous year However, do not be fooled by the listing price of other properties currently for sale near your home. It is not an accurate reflection of what buyers are actually agreeing to pay. Heed the advice of your agent when you make the final decision on pricing your home. When you choose to price your property above market price, there is a strong chance that your house will take longer to sell. In fact, research tells us that for every percentage point above the suggested list price, the house will spend approximately 5 more days on the market. *Cars have a limited number of makes, models, and options, so valuing via technology is relatively straightforward. Homes are far more complex and nuanced and need a local expert and human brain to ensure they are properly valued.
20 Top Pricing Considerations We will consider the following factors when determining the market price: Price/Sale of Comparables Updates/Upgrades Price per Square Foot Size of Lot Price/Sale of Comparables $ $ 1«2 + 2 =? $ $ 1 Price It Right the First Time Approximately 22% of sellers had to reduce their price. Why? Because it wasn t competitive with similar properties. for sale. The typical seller reduced their price within one month of putting it on the market.. However, 25% lowered the price after two months or later. + Most reductions were between. 2% 5% of the list price. The market determines the price and we will advise you on a suggested listing price point. Avoid the temptation to price it high just to see if you get any takers. On the other hand, be prepared for the possibility of a lower price based on market conditions and shifts. The longer it stays on the market, the more likely the final sales price will be lower. Price it to sell from the start.
21 Offers, Options, and Negotiations We represent you along your entire journey and earn our pay when it comes to offers made, options requested, and other sticky negotiation points. Our experience and knowledge is critical to not only getting your property sold, but getting it closed! Offers Multiple Offer Situation? When your property is in great condition at a great price, you can expect to get offers. 50% of sellers received an offer within 2 weeks of listing. YES 29% 71% NO FOR SALE OFFER Most sellers received an offer an offer within a month of listing. When you do not receive any offers, and especially if there are no showings, this is a strong indication that your property is priced too high.
22 Options Don t be surprised when buyers ask for certain concessions or incentives. Be prepared by knowing the common things buyers ask for in the negotiation process. Over one-third of buyers ask the seller to reduce the price, and nearly one-third ask for help on closing costs. In fact, when sellers agreed to pay closing costs, more than 75% of sellers pay up to $5,000 in closing costs. Negotiations Buyer Incentives 37% Reduce price 30% Pay a portion of buyer s closing 28% Purchase home warranty plan 25% No concessions or incentives% 12% Leave appliances, furniture, etc 10% Provide repair allowance 9% Consent to set closing date Be prepared by knowing the common things buyers ask for in the negotiation process. Know your options and consider if you are willing to reduce the price or help pay the buyer s closing costs. Your ultimate goal is to get your house sold quickly for the most money and as hassle free as possible, and we will assist you in getting there. Most agents are negotiating on behalf of their sellers to get slightly less than what the property was listed for, 99%. And 75% of properties are on the market for on average 76 days. However, in a sellers market, a property may be on the market for only one day! Again, condition and price will determine how quickly your property sells in any market. Ask me what you can expect in terms of how long your property will be on the market and at what price it will actually sell, as well as what concessions you may need to make to get it sold. 3 out of 4 properties spent 76 days on the market.
23 Out the Door! Congratulations, you ve done the right thing! You ve hired a professional real estate agent who has helped you price your property, advised you on making it appealing to buyers, navigated the rough waters of several negotiation points, and brought you to this successful close. It s time to turn over the keys, close that door, and open the next door to your future! SOLD
24 In Our Market Interest Rates: Home Sales: Home Price: Inventory: Days on Market:
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