Selling Real Estate
TODAY
Photos by Maria Morton
Weeks 1 2 3 4 5 6 7
Qualified Buyers looking at homes for sale as they come on the market
The first month is when the most...
Maria Morton in Kansas City
Who Are Buyers?
53% of first-time buyers
were 25-34 years old while
most repeat buyers were 35...
Maria Morton in Kansas City
Where do buyers learn about the home they
purchase?
Buyers Find
Internet
Real Estate Agents
Ya...
Maria Morton in Kansas City
So, of all the agents in KC, why choose to work with Maria Morton?
No other agent can market y...
Maria Morton in Kansas City
93% of first-time buyers began their search on the internet before contacting
a real estate pr...
Maria Morton in Kansas City
Maria uses her International networks, luxury real estate
networks, investor networks, as well...
Maria adds data & photos to various websites, blogs, and forums
daily over the first two weeks a new listing is on the mar...
All listings from All Brokerages go in our professional MLS.
Maria Morton in Kansas City
Unlicensed, unregulated, site agg...
We will use all traditional &
non-traditional tactics that
may be effective to sell a
home in your neighborhood.
Maria Mor...
Maria Morton in Kansas City
Local connections are just as important as national and
international connections. Your home i...
Maria Morton in Kansas City
Agent Tour happens every Tuesday. Dozens to hundreds of homes may be on tour.
Agents from ALL ...
Maria Morton in Kansas City
40,000,000 monthly readers
Exclusive access to 100 Million+ in Meredith’s subscriber database
...
The 7 Factors That Determine
How Fast A Property Will Sell:
1.Timing
2.Location
3.Condition*seller controls
4.Marketing*ag...
Comparison Shopping
Maria Morton in Kansas City
Buyers choose a home by
Balance
Condition Price
Maria Morton in Kansas City
Staging to Sell
Staging a home to sell is not decorating.
Staging is using the senses of sight, sound, smell, touch
and ta...
Keeping the home sparkly
clean while it’s listed increases
the likelihood of a buyer writing
an offer.
Organized, unclutte...
Appointments are made by
cooperating agents through CSS.
If you happen to be in the home
when the buyers & their agent
arr...
An iBox holds the keys to your
home while it’s listed.
Each time the iBox is opened, a
computer records the time and
name ...
Once a buyer makes an offer to buy your home
There are a series of events that
precede closing.
Verification of buyer’s fi...
Negotiations
A knowledgeable, experienced
agent is invaluable during
negotiations.
Maria is a skillful negotiator with a
s...
Communication
Communication between the Seller and their Agent is vital to the success of
selling your home.
It is imperat...
Inspection Period
The buyers may conduct
Whole
House, Termite, chimney, rad
on, drain line, structural, and
other inspecti...
Resolution of Unacceptable Conditions
The buyers may ask you to
repair any items noted on
the Inspection Reports.
The sell...
Resolved & Moving Toward Closing
Once the seller & buyer agree on the Resolution, the Title Company and
Lender (if the buy...
Lead Based Paint Addendum
Prior to 1978, all paint was
manufactured with lead.
Lead, if ingested, has been
shown to cause ...
Seller’s Disclosure
By law, known physical defects must be disclosed. The Seller
completes the Seller’s Disclosure to the ...
Agency Agreements
Sellers contract an agent to help them by
signing a Listing Agreement.
Buyers contract an agent to help ...
Commission ?5% …10%?
Some sellers use higher
commissions and/or
incentives as a strategy
to increase showings.
Commission ...
Listing your home for sale
We need:
• Signed Listing Agreement
• Seller’s Disclosure
• Other applicable addenda
• Existing...
Listing Price Determines Buyer Demand
Percentage of
Buyers who will
view property
Price as
compared to
Value
+20%
+10%
Mar...
The Five (5) Fatal Mistakes
Most Home Sellers Make When Pricing Their Home
1. Sellers often price their home based on “nee...
The Absorption RateThe Absorption Rate
For Sale
Sold
-Minimum Competition
-Reasonable Demand
-- High Absorption Rate
-Exte...
Who controls the marketplace?
Condition = Seller
Asking Price = Seller
Marketing = Listing Agent
Property Value = Buyer
Bu...
The Wrong Price Attracts The Wrong Buyers
$300,000
Property
List Price
$360,000
Buyers won’t look.
$300,000 buyers won’t l...
Your home is not more
valuable just because you
need more money.
Listing too high will not bring
offers to negotiate.
List...
The Risks of Overpricing
Reduces Sales associate activity
Minimizes advertising responses
Loses interested buyers
Attr...
In the FLOW10%
30%
60%
THE POND
CURRENT HOUSING MARKET
This is one of my favorite tools to illustrate what the current inv...
•Critical time to price right.
•Be ready for a “fast sale”
MarketActivity
Time on the Market (Weeks)
0 1 2 3 4 5 6 7 8 9 1...
Choosing Your Price Points
Aspired Price = $______________
Highest price you could reasonably hope that a prudent
buyer wo...
Maria Morton in Kansas City
So, of all the agents in KC, why choose to work with Maria Morton?
Maria is easy to work with ...
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Selling your home today

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Selling your home today

  1. 1. Selling Real Estate TODAY Photos by Maria Morton
  2. 2. Weeks 1 2 3 4 5 6 7 Qualified Buyers looking at homes for sale as they come on the market The first month is when the most buyers and agents view the property. This is the time most likely to generate the highest and best offer.Showings&Previews Maria Morton in Kansas City
  3. 3. Maria Morton in Kansas City Who Are Buyers? 53% of first-time buyers were 25-34 years old while most repeat buyers were 35- 54 years old. 34% of homebuyers in 2012 were under 35 years old. 47% of all homes purchased in 2012 were bought by first-time buyers. *from NAR study Maria Morton in Kansas City
  4. 4. Maria Morton in Kansas City Where do buyers learn about the home they purchase? Buyers Find Internet Real Estate Agents Yard Signs Friends & Relatives Home Builders Newspaper & Magazines Seller Direct 2% 36% 36% 12% 6% 2% 2%
  5. 5. Maria Morton in Kansas City So, of all the agents in KC, why choose to work with Maria Morton? No other agent can market your home as well as Maria. Her web presence is unmatchable in Kansas City. #1 Kansas City; #5 in Missouri; unranked but highly visible in Kansas (can’t be ranked in two states). Clients say “Maria… …went above and beyond our expectations.” …not like any other realtor I have ever worked with.” …sound recommendations...proactive...sold quickly.” Other agents ask her for marketing and advertising advice.
  6. 6. Maria Morton in Kansas City 93% of first-time buyers began their search on the internet before contacting a real estate professional. *NAR study 87% of repeat buyers began their search on the internet before contacting a real estate professional. Maria’s web presence helps sell your home. *NAR study The Red Dots indicate people reading Maria’s blog:
  7. 7. Maria Morton in Kansas City Maria uses her International networks, luxury real estate networks, investor networks, as well as local connections to get the word out. A great agent + A familiar, trusted brand #1 in KC; #5 in MO on the largest professional real estate network in the world. Memberships & earned advanced designations open more networks
  8. 8. Maria adds data & photos to various websites, blogs, and forums daily over the first two weeks a new listing is on the market. Tweaking and massaging gets the ‘bots attention which increases SEO. Maria Morton in Kansas City
  9. 9. All listings from All Brokerages go in our professional MLS. Maria Morton in Kansas City Unlicensed, unregulated, site aggregators: …and all other brokerages. Heartland MLS is the professional tool used by agents in our area to keep each other updated on listings’ status changes. Members must abide by the rules so information is accurate. We will also advertise your property for sale on multiple other sites including: Social media sites, professional networking sites, and
  10. 10. We will use all traditional & non-traditional tactics that may be effective to sell a home in your neighborhood. Maria Morton in Kansas City Marketingin the virtual world is essential today but we also must market to agents and buyers IRL (in real life).
  11. 11. Maria Morton in Kansas City Local connections are just as important as national and international connections. Your home is advertised to key agents who do business in your neighborhood as well as to all agents who are currently working with buyers for a home like yours. Maria has served on KCRAR committees for years. This is more professional networks that can be used to sell your home. Reverse MLS search to identify buyers and agents currently looking in your neighborhood. Business & social events with other agents who may know of a buyer for your home. Snail mail and email to neighbors and potential move-up or down-sizing buyers. Local facebook groups and other social networks
  12. 12. Maria Morton in Kansas City Agent Tour happens every Tuesday. Dozens to hundreds of homes may be on tour. Agents from ALL offices in All brokerages go on tour. Lunch Tour usually runs from 11am-1pm. Agents save time eating while previewing. Some listings will offer drawings for prizes. This can help draw more agents in to see the home. Each agent selects the homes they need to see, plans their route, and goes to as many as possible during the 2 to 4 hours allotted for Tour. When your home goes on tour, we’ll send out email invitations to target agents and hand deliver flyers to the offices nearest your home. Advantage to you: ___Being in the home often triggers an agent to think of a buyer who fits the home. ___The home comes quickly to mind when an agent meets a new buyer who describes wanting a home like the one they just saw on tour.
  13. 13. Maria Morton in Kansas City 40,000,000 monthly readers Exclusive access to 100 Million+ in Meredith’s subscriber database 7 Million monthly visitors to www.bhg.com - just 2 clicks to your home! Consumers associate quality with the brand.
  14. 14. The 7 Factors That Determine How Fast A Property Will Sell: 1.Timing 2.Location 3.Condition*seller controls 4.Marketing*agent controls 5.Financing ~seller may offer incentives to buyers 6.Competition 7.Price*seller controls Maria Morton in Kansas City
  15. 15. Comparison Shopping Maria Morton in Kansas City Buyers choose a home by
  16. 16. Balance Condition Price Maria Morton in Kansas City
  17. 17. Staging to Sell Staging a home to sell is not decorating. Staging is using the senses of sight, sound, smell, touch and taste to lead the buyers through the home focusing their attention where you want it to go – even when you are not there. A staged home may not feel as comfortable to you as the way you have your home set up to live in. Staging is all about getting the house sold. I will work with you to get your house ready. Maria Morton in Kansas City
  18. 18. Keeping the home sparkly clean while it’s listed increases the likelihood of a buyer writing an offer. Organized, uncluttered closets, counters, and cabinets make the home feel more spacious. Maintaining the exterior of the home makes it more appealing. Remove pets so buyers who are allergic or phobic can come in. Ask your agent if any repairs need to be done. Maria Morton in Kansas City Showings
  19. 19. Appointments are made by cooperating agents through CSS. If you happen to be in the home when the buyers & their agent arrive, please just grab your keys and go. Allow the buyers to experience the home as theirs so they will want to buy it. Your agent will call you when they receive feedback after each showing. Feedback is sometimes given immediately while other times, it may be the next day. Maria Morton in Kansas City
  20. 20. An iBox holds the keys to your home while it’s listed. Each time the iBox is opened, a computer records the time and name of the person who opens it. Only licensed members of KCRAR & HMLS can open an iBox. The iBoxes are made by GE. Each agent member also leases an eKey. eKeys have secret codes and must be updated every night to work so unauthorized persons may not operate them. Maria Morton in Kansas City
  21. 21. Once a buyer makes an offer to buy your home There are a series of events that precede closing. Verification of buyer’s financial ability Negotiations Inspections Resolution of Unacceptable Conditions Agreed upon repairs, if any Lender appraisal Final loan approval & underwriting Document preparation Title checks & lien releases prepared Transfer of utilities scheduled Review Final Settlement Statement Documents signed & recorded Funds transferred Maria Morton in Kansas City
  22. 22. Negotiations A knowledgeable, experienced agent is invaluable during negotiations. Maria is a skillful negotiator with a slew of strategies and techniques in her arsenal. Tell her what you want and she’ll work on getting the best deal. We will, as far as possible, maintain good will with all parties involved in your transaction. Maria Morton in Kansas City Diplomacy is the ability to tell a man to go to hell so that he looks forward to the trip. ~Old Irish Proverb
  23. 23. Communication Communication between the Seller and their Agent is vital to the success of selling your home. It is imperative that you return phone calls, emails, and texts from your agent ASAP. Time is of the essence in real estate transactions. Once under contract, Maria will keep you informed of deadlines within the contract. During negotiations, she will be available at all hours so that we can get the home under contract. Maria Morton in Kansas City We may use electronic signatures to complete all or part of the Contract to sell your home. Maria will help you if you are unfamiliar with e-signatures.
  24. 24. Inspection Period The buyers may conduct Whole House, Termite, chimney, rad on, drain line, structural, and other inspections as they choose. Your agent will coordinate access for the buyer’s and their agents. It is best for the Seller to be away from the home during inspections.
  25. 25. Resolution of Unacceptable Conditions The buyers may ask you to repair any items noted on the Inspection Reports. The seller may choose to Accept the resolution; Reject the resolution; or Counter with a compromise. We will negotiate a fair and equitable agreement so that the sale can continue to Closing. Or, we will look for another buyer. Maria Morton in Kansas City
  26. 26. Resolved & Moving Toward Closing Once the seller & buyer agree on the Resolution, the Title Company and Lender (if the buyer is using a mortgage) can begin their work. The Agents will send copies of the contract to everyone who needs one. The Title Company will run the title checks and begin preparing Closing documents. The Lender will order an appraisal. If the home appraises out, the Lender will begin final loan approval process and send to Underwriter. Your Agent will monitor progress over the next few weeks so that you can close on time. You can begin packing & moving now. Remember to transfer the utilities. Maria Morton in Kansas City
  27. 27. Lead Based Paint Addendum Prior to 1978, all paint was manufactured with lead. Lead, if ingested, has been shown to cause brain damage, learning disabilities, and other health problems. A Lead Based Paint Addendum is required to be part of the contract on all homes built before 1978. Maria Morton in Kansas City
  28. 28. Seller’s Disclosure By law, known physical defects must be disclosed. The Seller completes the Seller’s Disclosure to the best of their knowledge. Remember that buyers feel more confident in buying a home when the Seller’s Disclosure is full of information. They feel that the owners are being honest and upfront with them about the true condition of the home so they are not ‘buying a lemon.’ If you have made any improvements or repairs to the home, make a list on a separate piece of paper and I will attach that to the Seller’s Disclosure. The Agent uploads the Seller’s Disclosure into the Agent portion of MLS for easy access to Agents representing qualified Buyers. The Seller’s Disclosure becomes a part of the Real Estate Contract to Purchase when we receive an offer. Maria Morton in Kansas City
  29. 29. Agency Agreements Sellers contract an agent to help them by signing a Listing Agreement. Buyers contract an agent to help them by signing a Buyer’s Agency Agreement. If we decide to work together, Maria will be your Designated Seller’s Agent. Your Agent is your professional advisor, negotiator, and transaction manager. Agents are also responsible for marketing and advertising. The client is responsible for completing the Seller’s Disclosure, keeping the property ready to show, and notifying their agent of any changes which might affect the ability of the property to be sold. Maria Morton in Kansas City
  30. 30. Commission ?5% …10%? Some sellers use higher commissions and/or incentives as a strategy to increase showings. Commission is determined by the Listing Agent & Seller. The Listing Agent offers a portion of that commission to the Cooperating Buyer’s Agent – aka Co-Op. Commission is paid at Closing. Better Homes & Gardens Real Estate - Kansas City Homes charges an Administration Fee of $210/side/transaction.Maria Morton in Kansas City Where commission goes There is no ‘standard commission’ as that would be called price fixing which is illegal. Please refer to the Sherman Anti-Trust Act.
  31. 31. Listing your home for sale We need: • Signed Listing Agreement • Seller’s Disclosure • Other applicable addenda • Existing Mortgage Request • 2 sets of keys • Garage door code • Alarm code Maria Morton in Kansas City
  32. 32. Listing Price Determines Buyer Demand Percentage of Buyers who will view property Price as compared to Value +20% +10% Market Value 60% -10% -20% 10% 30% 75% 90% Maria Morton in Kansas City
  33. 33. The Five (5) Fatal Mistakes Most Home Sellers Make When Pricing Their Home 1. Sellers often price their home based on “need” rather than the market. 2. Sellers use the ‘wrong’ properties for comparison when pricing. 3. Sellers build in a ‘negotiating cushion’ and then have no one with whom to negotiate. 4. Sellers take advice from ‘well meaning’ but uninformed parties. 5. Sellers allow positive emotions about their property to influence their pricing decisions. Maria Morton in Kansas City
  34. 34. The Absorption RateThe Absorption Rate For Sale Sold -Minimum Competition -Reasonable Demand -- High Absorption Rate -Extensive Competition -- Minimum Demand -- Slow Absorption Rate Maria Morton in Kansas City
  35. 35. Who controls the marketplace? Condition = Seller Asking Price = Seller Marketing = Listing Agent Property Value = Buyer Buyers determine value by comparison shopping. Maria Morton in Kansas City
  36. 36. The Wrong Price Attracts The Wrong Buyers $300,000 Property List Price $360,000 Buyers won’t look. $300,000 buyers won’t look at houses above their price range. Lookers won’t like! $360,000 buyers won’t like the house nor make an offer. Maria Morton in Kansas City
  37. 37. Your home is not more valuable just because you need more money. Listing too high will not bring offers to negotiate. Listing too high will keep your home from selling. Listing at fair market value will elicit offers. Listing slightly below market value may produce multiple offers. Ask your agent if this may be possible with your home given it’s location & condition. Your agent will give you factual data to determine value. Your agent will give you the benefit of their knowledge & experience to help set a realistic list price. Your agent will offer suggestions on ways to make the home more attractive. Some things you & your agent can do. Staging may increase the final sale price & decrease the number of days on market.
  38. 38. The Risks of Overpricing Reduces Sales associate activity Minimizes advertising responses Loses interested buyers Attracts the ‘wrong’ buyers Discourages or eliminates offers Can lead to mortgage rejections Helps sell the competition Property gets a ‘reputation’ (stale) Later price reductions tend to cause low or delayed offers $300,000 $284,000 $269,000 $250,000 $241,000 Lost tens of thousands of dollars due to bad tactical decision Maria Morton in Kansas City
  39. 39. In the FLOW10% 30% 60% THE POND CURRENT HOUSING MARKET This is one of my favorite tools to illustrate what the current inventory of houses looks like. This diagram was created by Zan Monroe, a leading inspirational speaker and author. His artwork is better but the message is still clear, isn’t it? When you put your home on the market, where do you want it to be? In the SHOW The Stagnant Masses New listings enter the pond Sold listings exit the pond Sell quickly Showings but no offers Languish on the market for months unsold. Showings drop off to zilch. People wonder “What’s wrong with that home?”
  40. 40. •Critical time to price right. •Be ready for a “fast sale” MarketActivity Time on the Market (Weeks) 0 1 2 3 4 5 6 7 8 9 10 11 12 Magic Month Maria Morton 816.560.3758The longer a home is on the market, the less likely it is to receive a full price offer.
  41. 41. Choosing Your Price Points Aspired Price = $______________ Highest price you could reasonably hope that a prudent buyer would pay for your property? Acceptable Price = $____________ While hoping for more, what price would still be acceptable? Walk Away Price = $____________ What is your bottom line? Maria Morton in Kansas City Market Launch Date: ____/____/2013
  42. 42. Maria Morton in Kansas City So, of all the agents in KC, why choose to work with Maria Morton? Maria is easy to work with and provides innovative and effective strategies for selling your home. Maria is not like the agents who ‘sell’ you just to get their name on the sign in your yard. Maria actually focuses on her client’s goals and sells their home in a timely manner for a fair and equitable price so that they can move to the next step in their lives. Clients say “Maria… …went above and beyond our expectations.” …not like any other realtor I have ever worked with.” …sound recommendations...proactive...sold quickly.”

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