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<strong>Home</strong> Seller’s <strong>Guide</strong><br />
What to expect from start to close!<br />
By Eric Swails<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
Table of Contents<br />
1. Introduction<br />
2. Objective<br />
3. The “CMA”<br />
4. The MLS<br />
5. Marketing Plan<br />
6. Our Agreement<br />
7. Preparing For Photography<br />
8. Hitting The Market<br />
9. Communication Expectations<br />
10. Handling Showing Requests<br />
11. Preparing Your <strong>Home</strong> For Showings<br />
12. Leave For Showings<br />
13. Stay Tight Lipped<br />
14. Stay Calm<br />
15. How Long Should It Take To Sell Your <strong>Home</strong>?<br />
16. Lowball Offers<br />
17. Multiple Offers<br />
18. Negotiating<br />
19. Under Contract, Now What?<br />
20. Preparing For Closing<br />
21. The Walk-through<br />
22. Closing Day!<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
1. Introduction<br />
I’d like to start by saying thank you for the opportunity to help you sell<br />
your home!<br />
I’m sure you must be very excited to get your home on the market, see<br />
activity with buyers, and ultimately get an offer that results in the sale of<br />
your home.<br />
The selling process can be fun and exciting, but it can also be stressful<br />
and be filled with headaches at times.<br />
And that is the reason behind this document!<br />
My goal is to make this whole process as easy for you as possible. My<br />
belief is that things will go more smoothly if you know what you need to<br />
do and expect beforehand.<br />
Please read through this and feel free to refer back to it throughout the<br />
process of selling your home.<br />
It won’t get into every little detail, as I will be doing a lot of the things you<br />
don’t need to worry about behind the scenes.<br />
What it will do, is provide you with the things that you should know<br />
about, which will save you time, money and headaches.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
2. Objective<br />
As a real estate agent, I can represent either a buyer or a seller.<br />
My primary objective differs depending on the type of client.<br />
Because I’m representing you as a seller, the objective is simple:<br />
Sell your home at the highest amount the market can take in the<br />
shortest amount of time possible!<br />
It’s impossible to promise a “quick” sale. There are many factors that<br />
determine how long it takes to sell a home. I can assure you that I will<br />
help you sell it as quickly as possible.<br />
I have many tools and resources that can help price your home at the<br />
right amount to get the max the market is willing to pay.<br />
In order to get that maximum value, it will depend on you as well! The<br />
best results are achieved when clients are making the best decisions<br />
along the way, which this guide should help you out with.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
3. The “CMA”<br />
One of the first things to do before anything else, is to find out the<br />
accurate market value for your home.<br />
I’ll do a thorough comparative market analysis (CMA) which will help us<br />
determine the likely range that your home should sell for.<br />
In the analysis, we’ll be looking at homes similar to yours which have:<br />
Recently sold.<br />
Are currently under contract.<br />
Are currently active on the market.<br />
This will help us determine where to price your house so that it stacks up<br />
against the current competition correctly while considering current<br />
market activity.<br />
I will be giving you my perspective and advice on how much you should<br />
be listing your house for. Remember that you ultimately decide what you<br />
are listing your home for, but please take into account what we have<br />
discussed.<br />
Understand that your home value will eventually be determined by<br />
buyers in the market. It is only worth what a willing, ready and able buyer<br />
is going to offer. That should be in line with the value that is determined<br />
from the CMA, as long as there are no major changes within the market<br />
and that you make the right decisions on pricing from the beginning.<br />
<strong>Home</strong>owners tend to overprice their home when they first hit the market<br />
because:<br />
They want some “wiggle room” to be able to negotiate the price they<br />
want to get.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
They hope someone is willing to pay higher than the market data<br />
shows.<br />
The house is priced based on what the homeowner “needs to get” in<br />
order to sell the house.<br />
They add in the cost of improvements that have been made on top of<br />
the data-driven value.<br />
When a homeowner over-prices for any reason, market interest is<br />
typically lost because the pricing is out of line with the competition. The<br />
house will accrue days on market with little to no activity and any buyers<br />
that are looking at it will wonder what is wrong with it to cause it to sit on<br />
the market for so long.<br />
My advice is to listen to what the data says and consider pricing your<br />
home accordingly to save time, money and aggravation.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
4. The MLS<br />
No, we’re not talking about Major League Soccer. The Multiple Listing<br />
System is the most important marketing tool to expose your house to the<br />
entire buying market.<br />
The MLS is a database of just about every home for sale and is what other<br />
agents are using to find the right homes to show to buyers. Any serious<br />
buyer will looking at it intently to see what comes to market.<br />
I’ll be making sure to get your home on the MLS under the best<br />
circumstances. Eye-catching photography, engaging description, and a<br />
focus on keeping the information as accurate as possible.<br />
This is all very important, as your MLS listing is what will be fed to all of<br />
the marketing websites that buyers may be looking at it.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
5. Marketing Plan<br />
While the MLS is one of the biggest players in exposing your house to the<br />
market, it may not necessarily reach everyone.<br />
What is someone isn’t actively looking but would love your home if<br />
they saw it?<br />
What if someone is just simply waiting to see the right place come to<br />
market?<br />
What if someone who drives by your home every day sees that that<br />
it’s on the market?<br />
Here is some additional marketing that I do to make sure as many people<br />
as possible can get their eyes on it:<br />
A yard sign.<br />
Targeted ad campaign on social media.<br />
Strategic email marketing campaign.<br />
Brookewood Realty’s website www.brookewoodrealty.com<br />
The Real Estate Magazine of Maine.<br />
Zillow.com<br />
Trulia.com<br />
Realtor.com<br />
Video marketing.<br />
That should cover just about every marketing angle. If you have any<br />
additional requests, please let me know and we can discuss putting that<br />
into the marketing as well.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
6. Our Agreement<br />
Prior to preparing the marketing or listing it through the MLS, you’ll need<br />
to sign a “listing agreement.”<br />
We will schedule a time to sit down and go through all of the paperwork.<br />
I’ll make sure to review and explain anything you have questions on<br />
before you sign.<br />
It’s important to remember that our partnership is exactly that, a<br />
partnership. It’s a two way street that requires commitment from both<br />
parties to the process for this to be successful.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
7. Preparing For Photography<br />
Most people making their decision to even look at a home by first<br />
analyzing the pictures on it’s listing.<br />
Having high quality photos will make a big difference in the amount of<br />
attention that your house receives.<br />
I am passionate about taking great photos and making sure that your<br />
home is shown in the best possible light (pun intended).<br />
For me to get the best quality photos, you will be responsible for a few<br />
things on your end:<br />
Declutter every room.<br />
Make sure the house is clean.<br />
Make sure all beds are made and all laundry is put away.<br />
Hide any unnecessary items (laundry baskets, trash cans, vacuums).<br />
Take down as many “personal items” as you can (pictures, items on<br />
the fridge, etc).<br />
Make sure all light bulbs are working. For extra effect, upgrade bulbs<br />
to a higher wattage to have improved lighting in photography.<br />
If there is a time of day that your home captures light better than others,<br />
let me know and we can schedule accordingly.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
8. Hitting The Market<br />
Okay, it’s go time! The big day! Hopefully we’ll see good activity right<br />
away.<br />
Typically, we’ll see the most activity within the first two weeks of hitting<br />
the market. The most serious buyers in your price range will reach out<br />
within the first few hours or days of being listed.<br />
If there isn’t as much anticipated activity or any offers on the table, don’t<br />
worry. We’ll give it a couple of weeks and then we’ll assess.<br />
What I’m looking at during that period:<br />
How many showings were there?<br />
Did any of the buyers make offers? If not, why? What type of<br />
feedback was received from the buyers?<br />
Were there few to no showings at all? Is that due to a slow market, or<br />
is it something to do with the house or it’s price?<br />
Let’s hope for strong interest and a good number of showings. If not, it is<br />
not time to get discouraged. Not all homes sell in the first couple of<br />
weeks.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
9. Communication Expectations<br />
One of the biggest complaints real estate consumers have is that they<br />
aren’t getting timely communications from their agent after the house<br />
has been listed.<br />
I strive to communicate with you throughout the process. Obviously you<br />
can reach out to me anytime you would like. I will be reaching out<br />
whenever someone is wanting to schedule an appointment to see the<br />
house/if there is any feedback on a showing/when an offer comes in/etc.<br />
In addition to that, I will make sure to touch base at least once weekly<br />
with listing reports by email or text, just to keep you in the know.<br />
Please remember that I am available to you at your convenience in<br />
between any of my standard communications and I will respond as<br />
quickly as I can. Note that I may be with other clients, family or other<br />
engagements and I will get back to you as soon as I am able.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
10. Handling Showing Requests<br />
As anxious as you may be to have buyers come to see your home, it can<br />
also get aggravating.<br />
Sometimes there may be a ton of activity and it feels like someone new is<br />
coming through on a regular basis, but no offers are coming.<br />
There may be times where there isn’t a ton of showings and every once<br />
in a while there is a request “out of the blue” to take a look.<br />
Regardless of the scenario, having to show the house can get tiresome. It<br />
needs to be prepared to be shown, you need to leave your home on<br />
short notice, and your forced out of your home at times when you may<br />
not want to leave.<br />
It is not uncommon that sellers get aggravated with this process and<br />
could even be rude to agents or buyers that want to see their house.<br />
Here is some important advice:<br />
Be as accommodating and pleasant as possible. Because other<br />
homeowners can get grumpy or rude through this process, you can stand<br />
out as a seller by being your best self. It can actually impact a how<br />
someone feels about your house over another.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
11. Preparing Your <strong>Home</strong> For Showings<br />
If you did a good job with prepping for photography, chances are you are<br />
in a good place for a showing. This is one of the final steps of a buyer in<br />
making a decision to make an offer or not. Think about it like a job<br />
interview, you have to be prepared if you expect to get what you are<br />
looking for!<br />
Of course keeping up with cleaning up the house on a weekly basis is a<br />
good start, but here are other things that should be taken care of prior to<br />
a showing:<br />
Make sure all beds are made.<br />
All dishes should be in the dish washer or washed and put away.<br />
There should be no food, crumbs or stains left anywhere.<br />
Bathroom vanity should be free of items. Hide toothbrushes,<br />
cosmetics, etc.<br />
Sweep or vacuum floors if they need it.<br />
Turn on all of the lights in the house so buyers walk into a bright<br />
home.<br />
If you have pets, make sure they are out of the house, secured or a<br />
proper communication has been made to the buyer in advance.<br />
Take care of any odors from cooking, pets, etc.<br />
Don’t leave any valuables out in the open. Those items should be safe<br />
because buyers will be accommodated by an agent, but why even take a<br />
chance with them?<br />
Hide prescription drugs, it’s a sad thing to discuss but people will take<br />
these.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
12. Leave For Showings<br />
Some homeowners feel that because they know their home better than<br />
anyone else, that it would be a good thing for them to stick around to talk<br />
about the features.<br />
Some just don’t want to leave.<br />
They should be leaving for all showings.<br />
The primary reason is that buyers simply just need to be able to look at<br />
the space on their own terms to visualize for themselves without them<br />
feeling like they are being watched or listened to.<br />
Also, the agent that is with them knows the buyers and what they are<br />
looking for. You need to have trust that an agent knows what to and what<br />
not to point out to the buyer based on what the buyer has told them.<br />
Another big reason that a homeowner should step away during showings<br />
is liability. Potentially something could be said by the homeowner that<br />
may be incorrect and could result in legal issues. Also a seller could<br />
potentially disclose their motivations for selling, which could impact the<br />
negotiation of the price of the house.<br />
Keep it simple, leave during a showing. Go visit a neighbor, runs some<br />
errands, grab a bite to eat. If you are unable to leave, at least attempt to<br />
keep your distance from the buyer while they are there and minimize any<br />
interactions without being rude.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
13. Stay Tight Lipped<br />
Don’t talk to people about the sale of your home! It sounds crazy right?<br />
Things to avoid:<br />
Don’t complain about the market.<br />
Don’t talk about what you’re willing to accept for a price.<br />
Don’t let too many people know why you’re selling.<br />
Don’t talk about the number of showings you’re getting.<br />
Basically you don’t want to reveal your cards if you expect to get top<br />
market value for your house. The less people that know about your<br />
situation and the activity for your house, the better. Extra information<br />
that is revealed during the selling process can impact your eventual offers,<br />
final sale price, and the terms of the contract.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
14. Stay Calm<br />
A big reason a homeowner can lose money when they sell their home is<br />
due to making rash decisions when getting frustrated through the<br />
process.<br />
Those bad decisions often happen because when an owner gets<br />
frustrated, they take those frustrations on their agent. It can cause the<br />
agent to get defensive. It can impact that relationship in the negative and<br />
could have an effect on desired results.<br />
I understand that you can get frustrated at times. Selling a home isn’t<br />
always easy. I can sometimes get frustrated as well, but I do my best to<br />
stay composed so that getting through the tough situations becomes<br />
easier.<br />
If you feel a need to vent to me, then please do. I’ll do my best to be your<br />
sounding board. Just don’t treat me like I’m the enemy. I am always<br />
focused on working in your best interest.<br />
The end goal is always the same for both of us, to sell your house, for the<br />
highest amount the market is willing to spend.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
15. How Long Should It Take To Sell Your <strong>Home</strong>?<br />
It was discussed earlier that the most activity for your house is in the first<br />
two weeks. Your house could sell within that time, but could easily take<br />
longer. The amount of time a home takes to sell can be a point of<br />
frustration for a seller.<br />
It can be virtually impossible to time the market because there are so<br />
many factors. The buyer pool is constantly changing. If priced correctly, a<br />
seller could get a strong offer within those first few weeks. Even if priced<br />
correctly, that doesn’t always happen.<br />
Most homeowners are expecting to sell within one to two months. That is<br />
generally ideal, as it gives them enough time to pack and be prepared.<br />
Things aren’t always happening perfectly though.<br />
The statistics change pretty regularly. Just for reference, here is an<br />
example of Kennebec County throughout 2018:<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
16. Lowball Offers<br />
<strong>Sellers</strong> can get turned off by a low offer and respond poorly. They can<br />
sometimes get so offended that they may not even want to provide a<br />
counter offer.<br />
First off, we should be looking on the bright side. There is someone who<br />
is interested in your property! A lowball offer doesn’t happen every time<br />
but if it does, it’s an opportunity to negotiate.<br />
As the homeowner, the ball is in your court to control. You obviously<br />
don’t need to accept a terrible offer but should be willing to counter.<br />
Stick to your guns and if the buyer doesn’t want to work with you then<br />
you move on. Don’t shut them out until the negotiations have come to an<br />
obvious close.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
17. Multiple Offers<br />
Okay it’s the dream scenario, a fight for your home! Not so fast! No<br />
doubt getting multiple offers is exciting but there is a right and wrong<br />
way to approach this.<br />
It can be a difficult balance trying to get all parties to their best and final<br />
offer, making sure to choose the right one, and keeping everything<br />
together throughout that process.<br />
Something important to know in advance: The “best” offer is not always<br />
the “highest” offer.<br />
If multiple offers are received, we will discuss the situation and<br />
determine the best mode of action together in the moment.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
18. Negotiating<br />
There is an art to negotiating. The best approach can vary depending on a<br />
few different factors:<br />
The buyer we’re dealing with<br />
The agent we’re dealing with<br />
The overall situation (how many showings you’re getting, how many<br />
buyers have interest, current market climate, etc.)<br />
Your personal situation and desired approach<br />
There are definitely other factors to consider as well.<br />
Many sellers believe that they need to play “hard ball” to get the best<br />
price for their house. That can work in some situations, but can also<br />
backfire. Bear in mind that you don’t want to turn your buyer off and that<br />
in some markets there is a lot of inventory to be sold.<br />
Generally in residential home sales, hard ball isn’t going to be your best<br />
option. In real estate, what happens in movies and TV isn’t what your<br />
going to see in real life.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
19. Under Contract, Now What?<br />
Okay, you’ve accepted the offer and the wheels are moving. We’re on the<br />
home stretch, right? There’s still a few very important pieces that can<br />
make a dramatic impact on the deal:<br />
The home inspection<br />
The appraisal<br />
Most buyers will (and should) do a home inspection. They will have an<br />
inspector go over everything of importance and write a report that in<br />
some cases will reveal many problems that sometimes are significant, but<br />
most of the time are not.<br />
At this point, the buyer may ask for a bunch of things to be repaired,<br />
replaced, or credited.<br />
Time to put our negotiating caps back on and look at all of their requests<br />
objectively first. You may get upset with their requests but it is important<br />
to consider it from a buyers prospective. Overall though, if something in<br />
the report does really need to be addressed, such as a structural or<br />
operational defect, those will probably need to be addressed. If it’s minor,<br />
a simple “no” to the request may suffice.<br />
Generally there will be a compromise made by both parties that will<br />
allow the deal to stay intact. Weigh out the pros and cons and decide if<br />
moving forward is the best decision.<br />
In regard to an appraisal, it is necessary for the buyer’s lender to<br />
determine if the amount they are lending is justified.<br />
Appraisals can impact the deal in a variety of ways. Sometimes the<br />
appraiser can’t find suitable “comparables”, which are homes that are<br />
similar to yours that have sold recently. Sometimes the appraiser could<br />
straight up do a bad job (just an opinion of course!).<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
If the appraisal does come back low, it does need to be addressed, here<br />
are a few things that could happen:<br />
The buyer could agree to make up the difference between the<br />
appraised amount<br />
You could agree to lowering the sale price to the appraised amount<br />
A compromise from both parties, you lower the price a little and they<br />
put a little more down<br />
The appraisal could be contested, where we would supply additional<br />
comparables for the appraiser and lender to consider<br />
In some cases, an entirely new appraisal could be ordered<br />
There are many factors that will help us determine which method will<br />
work best. We will review and discuss together if this happens.<br />
Remember that this isn’t something that happens every time. This is<br />
simply a guide to allow you to be more prepared in advance if this were<br />
to occur. There is no need to stress about in advance about it.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
20. Preparing For Closing<br />
As soon as your house is under contract, the assumption should be that<br />
the deal will get done. Now it’s go time for everything you need to do for<br />
the transition out of the house.<br />
Start pricing out and arrange for a mover.<br />
If you’re planning on doing the move yourself with friends and family,<br />
communicate with them NOW and make sure you have a solid date and<br />
plan set. Don’t forget to feed them and thank them over and over for<br />
their support.<br />
Call your utility companies and let them know that you have sold your<br />
home and will need to have the service discontinued in your name on the<br />
date of closing. Let them know that the buyers are intending on taking<br />
over the services when they move in and that the services shouldn’t be<br />
shut off in between.<br />
Start packing now! Any non-essentials that you won’t need right away<br />
should get boxed up. Don’t let the last few days before close be a<br />
stressful frenzy of beating the clock.<br />
Contact your lenders to get a final payoff statement and freeze any<br />
home equity lines of credit well before closing.<br />
The time from being under contract to closing can move very fast and<br />
you’ll feel like you need to do a ton of stuff. Work on each of these a little<br />
at a time every day and you’ll thank yourself later for it at closing.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
21. The Walk-through<br />
This is generally the day before or day of closing when the buyer and<br />
their agent will go to the house and make sure everything is in the<br />
condition it was in when they agreed upon the purchase of the house.<br />
Here’s what they are looking for:<br />
That no damage has occurred since the date they agreed upon the<br />
purchase.<br />
All of the fixtures, appliances, mechanical items, and utilities are in<br />
working order.<br />
Everything that you agreed to leave behind contractually is actually<br />
being left behind.<br />
The house is clean. Leave the house like you would want it to look if<br />
you walked in as a new homeowner.<br />
You are entirely moved out.<br />
When you start packing and moving out, you’ll probably see some minor<br />
damage and dirtiness that you haven’t noticed before. By doing those<br />
things well in advance to close, it allows you ample time to go back and<br />
patch some small holes, do some touch up paint, additional cleaning, etc.<br />
You just want to eliminate in advance any aggravation that the buyer may<br />
have in the walk-through. Leave on a good note!<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com
22. Closing Day!<br />
Congrats! You have made it to the final step of the process! It’s going to<br />
be a lot of signatures and paperwork that will be explained at the closing<br />
table. Here’s how you should be prepared:<br />
Bring all extra keys, garage door openers, alarm codes, etc. with you<br />
to closing to give to the buyer.<br />
You should be expecting that any closing costs are paid out with the<br />
equity of your home. If that isn’t the case, don’t forget to have the<br />
cashiers check, certified check, or cash in the amount you closing agent<br />
calculated to be due from you at closing<br />
Bring proper identification. A photo ID, social security card, and/or a<br />
birth certificate should be fine.<br />
There will still be things that need to be completed behind the scenes.<br />
There will be final documents that need to be processed and recorded.<br />
Once complete, you’ll get all of the final documents in the mail to your<br />
new address!<br />
Just because we have finalized the sale of your home doesn’t mean that<br />
our relationship is over. If you have any additional questions after the<br />
sale, please reach out! I hope that you were satisfied with how you were<br />
taken care of through this process and would reach back out to me for<br />
any future real estate needs as well! Don’t forget to tell your friends and<br />
family and give them my information as well.<br />
Eric Swails | Brookewood Realty<br />
207.358.0123 | eric@brookewood.com