Top 6 Reasons Homes Don't Sell-#1reason-Price: 2010

Thursday, October 21, 2010

Top 6 Reasons Homes Don't Sell-Reason#3-Lack of Attractive Terms:

Top 6 Reasons Homes Don't Sell-Reason#3-Lack of Attractive Terms: Location and price are definitely important but there's a lot of weight given to the "terms" buyers are looking for when purchasing you home. Let's face it; most buyers must get a loan to finance their purchase. There are very few "All Cash Buyers" Realitive to those who finance. Often the 10% or 20% down one needs for Conventional Financing is a Huge sum of money and prohibitive to many "would be buyers".

But there is Financing out there that is realitvly easier for buyers qualify for and only requires 3.5% Down. It's FHA Financing and there's a good chance that your home already qualifies for FHA Financing.

The good news is a that there are no extra steps you need to take other than meeting some pretty basic "structural" guidelines spelled out by FHA.

For Example:

No Major Structural Issues
Working Hot Water Heater
No Peeling Lead Paint
Working Appliances

As I mentioned above there are no extra steps Single Family Homeowner's need to take. If you get into escrow and FHA finds an issue that doesn't meet their standards, you can just fix that issue. For property owners that live in "Attached" Condos and Townhomes, the entire complex must be FHA approved. Many complexes are FHA approved already. You or your Realtor can check with the HOA to confirm that it is or is not FHA approved.

So now what? The Real Magic here is not rocket science. It's very simple, along with the traditional description of your home and all of it's "hot points" your home must also be advertised as qualifying for a "3.5% Down FHA Loan". That's it!

More than 75% of our buyers this year have utilized FHA loans and are able to purchase with only 3.5% down.

And as a side note: On Average FHA buyers will offer more than conventional or Cash buyers. Why? For them it's all about easy terms!

And here's a couple other term to "sweeten the deal" on your home for your prospective buyers:

Seller Pays Closing Cost-Did you know you can add the buyers "closing cost" to the "top" of the purchase price and pay the buyers closing cost without affecting your NET Gain on the sale?
This Home Comes with a 1 Year Home Warranty: Offering a 1 year Home Warranty to your prospective buyer gives them piece of mind and gives them extra incentive to purchase your home.

How much faster do you think your home would sale if buyers knew they only needed 3.5% Down, that they would get a "home Warranty" and you'de be happy to pay their closing cost? I think you know the answer!

What are the other 5 Reasons Homes Don't sell? Follow This Link To Find Out!

Top 6 Reasons Homes Don't Sell-Reason#6-The Realtor

Top 6 Reasons Homes Don't Sell-Reason#6-The Realtor-Real Estate Marketing Technology is moving so quickly that simply putting a sign in the yard, listing it in the MLS and putting an ad in the newspaper will not sell your property. Buyers come from everywhere! They come from different neighborhoods, states and even different countries. Where do they start their search for your home? The Internet of course. Statistics show that an average of 90% of buyers begin their homes search on the Internet, capturing a City Wide, Statewide, National and World Wide viewer is absolutely essintial in most markets (especially in Large Metro-Areas Like Los Angeles).

Now more than ever it is important for your agent to be Internet and Technology Savvy. Posting your home in the MLSand on a Realtors Web site is simply not enough. Now more than ever it is of utmost importance that your Realtor be sure Your listing will be placed on over 100+ Websites and Search Engines including such sites as Active Rain, Real Bird, Craigslist, Google Base, Yahoo Real Estate, Realtor.com, and Trulia just to name a few.

world wid web

In addition to being Internet and Technology Savvy, here are a couple other points I believe that can "make or break" whether you home sales as it should.

Communication: It is a must that you be able to communicate with an agent that will return your calls promptly and communicate with you regarding the progress of your sale. They should share with you reports that include the following: Showing Reports, Internet Traffic and Feedback on how your home is showing from prospective buyers and other Real Estate Professionals.
Photos That Sell Your Property- I have written countless blog articles on how important the Photographs that we use to market you homes are. In my opinion, they can "make or break" a listing. Listing with bad or too few photos are quickly eliminated by buyers and their agents.

I truly believe most agents have the best of intentions-but good intentions alone don't sell homes!When you Combine the burst of the real estate bubble and the boom of the information and technology age, Buying and Selling Real Estate is a whole different ball game!

For the other 5 of "Top 6 reasons homes don't sell" Follow this link

Top 6 Reasons Homes Don't Sell-Reason#5-The Seller

Top 6 Reasons Homes Don't Sell-Reason#5-The Seller- Sellers can unknowingly sabotage the sale of their home by either not following their agents advice or getting bad advice from friends or even a less savvy agent. A couple of the most common "deal killers" for getting your home sold are Showing Restrictions and Property Condition.

Here's what I mean...

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Showing Restrictions-A seller that limits the number of showings to certain hours or insists that he or his agent always be present for showings may limit the number of buyers that actually view the property. Lock Boxes are also imperative. Today's lock boxes are very sophisticated and can not only track who has been in and out of your home, but you can control the hours that the lock box is accessible. Bear in mind that for many realtors "no lock box-no show"!

how to prepare a home for sale

Property Condition-It is absolutely necessary for a seller to keep their home in showing condition every day. Little things like keeping Beds made, dirty dishes cleaned and put away, bathrooms and kitchens must be kept spotless,and the entire home must be "de-cluttered".

Now more than ever it is important to do everything you can to make your home accessible and have as much WOW factor as you can. Remember,you may only have "one shot" to make a great first impression on that "well qualified" buyer we've worked so hard to attract!

For the other 5 of "Top 6 reasons homes don't sell" Follow this link

Top 6 Reasons Homes Don't Sell-Reason#4-Market conditions-

Top 6 Reasons Homes Don't Sell-Reason#4-Market conditions-Market Conditions refer to the number of other homes or properties that are currently on the market in a given area. The more homes that are on the market, the longer a house may take to sell. Market conditions may also be influenced by other factors including, the current economic market, the current unemployment rates, current financing guidelines and Acts of Mother Nature, such as Earthquakes. All of these factors determine whether you are in a buyer's or a seller's market.

That being said, the way you and your agent look at things can dramatically determine the outcome of your homes sale. What do I mean by that? Well if you give into the media hype and neighborhood chat of "all of the bad things that are happening in the market", then it's highly likely your homes sale will fall "victim" to "all of the bad things that are happening in the market"! And the same is true for your agent, if he or she listens to all of the negative "stuff" around the break room cooler it's highly likely all of that "negative stuff" will affect the sale of your home. I was luck enough to have a sucsessful father in the business who warned me of this trap from the begining!

Conversely-by taking a good look at what's really happening in the market and creating a marketing plan and strategy that works for TODAYS Market (not 1-10 years ago), there's NO REASON your home shouldn't sale. Even in today's "shaky" market.

Dr. Wayne Dyer Couldn't have said it better when he said: "Change the Way You Look At Things And The Things You Look At Change".

What are the other 5 "Top Reasons Homes Don't Sale"? Follow this link to find out!

Top 6 Reasons Homes Don't Sell-Reason#2-Property Condition

Top 6 Reasons Homes Don't Sell-Reason#2-Property Condition -When you begin to consider offering your home for sale, first ask yourself: Is your house in move-in condition? Is there deferred maintenance? Are the walls freshly painted? The carpets recently cleaned or replaced? Are all your appliances and fixtures working? These are all things that must be addressed prior to putting your house on the market. A property with and abundance of "deferred maintainance" may not sell unless you make concessions such as price.

In any given market there are about 3 price brackets for a given home based on Property Condition:

Top of Market Value (Highest Net Price)-If this is your goal, then the Property Condition for your home must be outstanding and highly upgraded realitive to its compatibles (homes of similar nature). You may even want to consider Professional Home Staging at this level.

Mid Market Value (Average Net Price)-Homes that sale for an "average" price are typically average in condition? This means:Clean,only slightly outdated,appliances and mechanics in fairly good working order relative to its comparables.

homes for sale pasadena ca

Low or Below Market Value (Low Net Price)- Generally speaking unless these homes are listed at "bargain" prices they:sale slowly,sell below their list price or DON'T SELL AT ALL.

Look, sometimes it's just not financially feasible to bring your home "up to" market value. That's understandable, but there are little things you can do like Clear Out The Clutter or De-Personalizeto help your home sell faster. Sometimes even those little things are impossible or out of the question. If that's the case, aggressively pricing your home at "Fixer Upper" prices will get your home sold faster.

Not sure where you stand? Sometimes it's hard to see the "forest for the trees".Ask your Realtor for their honest opinion. Their goal is to sell your home for the highest price possible in the least amount of time. Your best interest it their best interest. And by the way, the longer your home "stays on the market" the "lower the final sales price"!

For tips on "How To Prepare A House For Sale" Follow This Link

What are the other 5 Reasons Homes Don't sell? Follow This Link To Find Out!

Top 6 Reasons Homes Don't Sell-#1reason-Price

Top 6 Reasons Homes Don't Sell-#1reason-Price- Price is determined by The real estate market, not by your Realtor®, and not by you. When you insist that your property be priced above the current market value, your property will not sell. When real estate agents agree to take an overpriced listing, it's called "buying the listing". Basically they agree to what YOU believe the value is, just to get your listing. Once they have your listing, they must ask for price reductions over and over again. "Buying The Listing" really doesn't make sense though because they've "bought a listing" that will never sell. This is a "lose-lose" situation for both the Seller and the agent.

So wouldn't it make sense to price your home right from the get go? It is a proven fact that you will receive the largest number of showings on your property in the first 2-3 weeks on the market. It is also a proven fact that Overpriced Homes-Sell Slower and For Less!

Now you must clearly see why it is very important to price your home properly when it hits the market!