Selling Process

From decision to closing, review the progressive steps and timeline of your sale so that you can always know what the next steps are

Diagram of the pre-listing process

Decide where you will be going (if it's your primary home)

Even if its only temporary or just an option, create some definitive alternatives to where you will move to. Without having a plan you will subconsciously sabotage the effort because you will be anxious about not knowing where you will end up.

Home Audit

Have your agent identify and make a list of issues inside and outside of the property, that can affect both the perception of value as well as the actual value. Estimate the costs and time to address, repair, or replace. Prioritize the list with your agent based on impact, benefit, cost and risk.

1st and most important decision

Make this choice early and you'll maximize your price. Make it after you are on the market, it will cost you dearly and there is no 2nd chance. Don't wait to figure this out. Make the FIRST and most important decision you will make as a seller. It determines the direction you take and the outcome you can expect.

Get a realistic appreciation of the price you could expect

Have your agent complete an analysis of recent sales, competing listings, and the potential value of your property based on the condition you are committed to bringing it to when it goes on the market.

This will give you a realistic idea of what the market of buyers might be willing to offer you for your home.
The better the condition the more competitive you will be: The more attractive the home will be to buyers, the higher the rate of offers you will receive, and the less variability the offer prices will be.

Sign a listing agreement

Get the committment of your agent in writing so you can move forward. Delay publishing the listing until the property is presentation ready, accessible, and the marketing material has been completed.

Pay for a preliminary inspection (optional but unreservedly recommended)

Avoid the surprises that will ultimately lead to renegotiations or back-outs from the discovery of unseen problems by paying for your own pre-sale inspection. Use the results to create an exhaustive list of everything found that might impact your price objective.

Decisions, Renovation, Repairs, Landscaping and Touchups

The Objective

Your property in its best possible condition is worth $X, which represents the most you could influence a buyer to pay today. The decisions your are about to make will determine how close to $X buyers will give you.

Decisions

Use the list you developed plus the preliminary inspection to make decisions that are in line with your intended goals regarding what will be fixed/replaced and what will be disclosed.

Consideration

A price reduction may cost you the same or multiples more than the repairs you could do, and repairs at least improve the perception of value.

Action

Plan and schedule work

Determine what you will do with your stuff

Final touch-ups, clean up, de-clutter

This is the final preparatory step before taking photos and publishing. You've come this far, make it count.

clean windows
touchup paint inside and outside
replace screens
polish door hardware
Restore tile and replace carpets
pressure wash roof, paver and driveway

Stage property

Even if your home is not professionally staged it has to be set up to look its best and have its best foot forward. The only time this is not necessary is when the home is a knockdown. If you are professionally staging try to focus on the areas of the property that have the most impact. This is the final step before photography.

Photography and marketing material

Schedule your professional photos to take pictures that contribute to interest, intrigue, and value. Work with your agent to develop a list of the features and benefits that the property offers. Help your agent gather necessary documents like surveys, rules and regulations, ages of appliances, monthly costs, and contacts at security, the association and the management company.

Property is Published

The listing is published online and distributed through:

Multiple Listing Service (MLS)
Consumer Websites
Outbound Call Centers
Email Communication and Campaigns
Videos
Partners

The first 2 weeks are critical!

If the property does not generate enough showings and offers in the first 2 weeks then the only way to regain attention is with a price reduction.

Monitor, create interest and activity, and make changes

Noone can predict the future and the market is constantly changing, so the next best thing to do is to closely monitor the present and make appropriate adjustments.

Do not wait too long to react and make changes based on actual results or you will pay for it in the offers you will get or the price reductions you will be faced with making.

If you have diligently followed this process so far then the only reason you are not getting enough calls is because buyers are finding better value elsewhere and you have 4 choices:

Make improvements
Lower the price
Make improvements AND lower the price
Continue without change and further solidify the perception to any interested parties that noone is willing to pay the price being asked

Showings

At some point when the (1)Price (2) Condition (3) Location and (4) Features attract the attention and interest of buyers and their agents as a potential "value" relative to other properties under consideration, they will schedule a showing.

You are in a competition with 12 other properties (statistically) that each buyer is considering to be the property selected for purchase among others.

Note:

Properties under $600,000 will know they are on track to sell if they receive 10 showings or more in 2 weeks and atleast 1 offer.
Higher priced homes have a much smaller market of buyers, may take longer, and the presentation and price are even more critical factors in the sale.
The more complicated you make it to show your home the more agents and prospects will be frustrated and give up, you will lose opportunities, your home will stay on the market longer, and you will ultimately lose more money

If seeing the property is too dificult they will give up and move on. Make scheduking and showing quick, easy, painless, and a great experience in person.

Offers & Negotiation

The Offer

An offer is a potentially short-lived yet definitive expression of emotional interest in your property. There is typically a "backout" period, so the offer will move forward until something more interesting gets the buyer's attention, or until the buyer feels that the value is not sufficient. The status of your property on the internet will change so that other agents and consumers can make decisions based on the new status

The Negotiation

Your strongest position comes from all of the decisions and work you did in prior steps. After all, who can argue when something in great condition is in demand and getting multiple offers?! The remainder of your leverage relates to what you learn about the other party and how you structure the terms.

Contingent & Pending Period

There will be a series of deadlines that the buyer (and at at times you the seller) will have to meet

inspection period - after which buyer cannot backout
financing - when buyer secures financing
deposits - a series of small deposits representing increasing committment
appraisal and survey - valuation of the home and official definition of property limits
association and/or club application and approval - if your community requires
insurance - secure policy prior to closing
clear title - evidence and verification of transferable ownership
preliminary closing statement - closing costs. Usually commission + 1.5% for sellers
closing - date, time and place

Closing

You do not have to be present.

Provide closing agent with your bank routing information
Bring/provide 2 forms of Identification
Bring/deliver keys, garage openers, documents