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Colorado Springs Realty – Flat fee listing option for sellers
Alternatives outside of hiring a real estate agent are being explored by home sellers. Many sellers say they cannot afford to pay commissions to the listing agent or buyer’s agent since they already have to bring money to the closing table.
I had a listing appointment and the seller said he would hire me to list his home if he decided to go with a full service realtor but was considering listing the home with a company who would do the basics: put a lockbox on the door, company sign in the yard, and list it in the MLS for a flat fee.
Ultimately, he went with a company that would do the basics for a few hundred dollars.
The seller is the appointment contact for showings and receives all incoming offers. If an offer is received, and the seller chooses to hire an attorney to complete all of the contracts and paperwork, an additional $400-$800 can be added to their expenses.
The seller must stay in constant communication with the buyer to ensure everything goes smoothly up until closing (appraisal, inspections, and loan commitment). If a seller has time to do the work, knows how to negotiate, and understands what is involved in the transaction process then this option may be worth exploring.
Sellers can meet with a few agents to find out what price range to list their home in and get a few ideas of how to market it to sell. They can then proceed to sell the home on their own and pay a flat fee to get it into the MLS. Will homes listed this way sell just as quickly as homes listed by a Realtor?
Patricia Beck – Selling Colorado Springs Homes
Sellers: Update your Colorado Springs home by changing the hardware!
Updating a home does not have to consist of a major overhaul or remodel. Homes can look SO much nicer by doing one simple thing: changing the hardware.
If your kitchen cabinets look a little dated, try adding updated handles or knobs. Cabinets can look really bare and boring when they do not have any hardware. Change the hardware if the existing knobs on your cabinet are unappealing and dated.
It is fairly inexpensive to purchase cabinet hardware for your kitchen and bathroom cabinets at Home Depot or Lowe’s but it can make the world of a difference!! Don’t go too crazy with the style you choose, keep it simple so it will appeal to most buyers (i.e. brushed nickel).
Take a look at your bathroom sinks and kitchen sink, does the hardware look dated? If so, changing out the sink faucets can really change the look of your sink and bathroom! If you have the plastic knobs in all of your bathrooms, I would change them. They look very dated and are difficult to keep clean, grime always gets trapped in them and really shows!
Sink faucets are a little pricier than cabinet hardware but well worth the investment!
Are your door knobs dated? I have seen many homes in Colorado Springs with door knobs straight out of the 80’s and it isn’t pretty! Changing the door knobs or handles will make the whole house look different since there are doors everywhere. Remember to change the hinges; gold hinges with Venetian bronze door handles will look tacky! Prices for door knobs will vary depending on the type of hardware you purchase.
Keep track of the total price for hardware because purchasing door knobs and hinges for the entire house can add up if you do not have a set budget.
Don’t forget about the hardware on your front door; updating it can make your front door look more flattering. What is one of the first things buyers notice first when walking up to a house? That’s right, the front door!
Changing out the hardware in your home will give your home a newer feel and will make your home more appealing to potential buyers.
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For more information on Colorado Springs Real Estate or the Colorado Springs Area contact me or visit my website.
5 things sellers can do to make a deal go sour fast!
- Talking to or meeting with the buyers without the knowledge of your realtor- If you are speaking with the other party and no one else knows about it, promises can be made verbally that are not reflected in the written contract and this is a big no, no! The reason you hire a real estate agent is so they can communicate with the buyers’ agent to ensure the transaction goes smoothly. Do not talk to the other realtor without your agent present either.
- Not disclosing material defects of the property- If you are aware that the roof leaks or about the black mold in the bathroom upstairs, it is wise to disclose the information to your Colorado Springs Realtor and on the seller’s property disclosure form you fill out. Think you’re off the hook after you walk away from the closing table? Wrong! The buyer can take you to small claims court. Disclose all material defects with the home, it’s the right thing to do and the buyer deserves to know!
- Refuse to repair a big problem in the home- Sure it’s your right to refuse repairing items requested by the buyer after an inspection and I am not saying you should agree to repair everything but think twice before saying “no” to a large or serious repair. If the roof has hail damage and needs replacement and you refuse to repair it for the first buyer, the next buyer who comes along will more than likely request the roof be replaced also. If the item is serious enough to come up in the future with another buyer again, you should probably fix it.
- Not being honest with your realtor- You and your realtor work as a team during the transaction so if you withhold certain information from them that could affect the transaction, you may have a big problem. Keep it simple and be honest with your agent.
- Not having permits for work completed in the home- You didn’t get a permit from Pikes Peak Regional for the basement, bathroom, or deck you built and now you are under contract with a buyer for your home. If you try to acquire permits for work completed after you finished a project while you are under contract you may have to make corrections in order to bring the work completed in the home up to building code. Not only can that become costly, but also very time consuming. In some circumstances, the buyer may have issues with their lender or homeowner’s insurance due to the absence of permits. The buyer also knows when they go to sell the home in the future, they have to obtain permits (which may involve making corrections at their expense) and that just may be enough to steer them away from the deal. It is wise to obtain permits for work completed before you list your home for sale.
To find out more about Colorado Springs Realty and The Colorado Springs Area contact me or visit my website.
Factors to consider when selecting an agent to sell your home in Colorado Springs
There are many good real estate agents in Colorado Springs and if you are planning on selling your home, take the time to
interview a handful of agents first. Here are a few questions to add to your list when interviewing a realtor in Colorado Springs.
1. How well does the agent know the area your home is located in?
Some agents specialize in specific areas of the city and may know your area better. Has the agent lived in the area long or did he/she just move here?
2. Is the agent you are interviewing a Realtor®?
A Realtor® subscribes to the Code of Ethics and is a member of the National Association of Realtors.
3. How is the real estate agent going to market your home?
Will they advertise on television, the radio, newspapers, internet, or Open Houses? Some real estate agents may not be willing to hold an Open House for your home, is that a problem for you? Approximately 75%-85% of buyers go online to search for a home in Colorado Springs, is your agent internet savvy?
4. How many years has the real estate agent been in the field and have they obtained any additional designations in addition to their real estate license?
It is important for realtors to continuously stay educated since real estate trends and laws are always changing. Your agent must be knowledgeable and educated in real estate and it is important they have experience.
5. What commission is the agent going to charge and what will that entail?
Make sure and negotiate a commission you are comfortable with and keep in mind that a lower commission may include limited services by some real estate agents.
6. How is the agent going to price your home?
What kind of research does the agent have to back up the price they are recommending? If your home is overpriced it will not sell, it needs to be priced accurately to the current market value.
7. Is the individual an honest and ethical agent? Can you trust him or her?
You may have heard something about the agent from a friend or you may have not heard anything about the agent and are meeting for the first time. Do you feel comfortable with the agent? Do they seem trustworthy, sneaky, transparent…? Do they tell you the honest truth about the market value of your home or just what you want to hear?
8. Does the agent listen to you?
Make sure the Realtor takes the time to listen to you and to the information you have about your home that may be important to know. If the agent does not take the time to listen to you and just talks over you about what they know it may not be a good fit.
9. Is the Realtor working as a full-time or part-time real estate agent?
This is a very important question to ask. Is your agent going to be too busy at his/her other job to answer your phone calls or concerns? How flexible are they? If he/she is working as a part-time real estate agent, is that going to be an issue for you? Will your listing get the adequate attention required to sell?
10. How do your personalities mix?
If you and your agent clash or have different expectations, that can be a recipe for disaster. Make sure you and your Realtor get along and connect because selling your home is going to be a team effort! You need to get along with everyone on your team and have the same game plan. Make sure you feel comfortable communicating with your Realtor; good communication is essential!!
To find out more about Colorado Springs Realty and The Colorado Springs Area contact me or visit my website.
Sellers: Do not stay home during showings if you want your home to sell!
When taking buyers through homes in Colorado Springs, they often have something to say about the property while walking through it: “The paint on the walls is repulsive!”, “I love the kitchen.”, “What is that smell?”, “I can see the neighbor’s junk pile from this backyard!”
Of course, the buyers can freely communicate about the property when the seller is not there but what about when the seller stays inside the home during the showing? Well, let’s just say, it is uncomfortable for many buyers. So if you are a seller reading this, please do not stay home during showings! Buyers always cruise through the house quickly when the homeowner is there and feel like they cannot ask questions or say much because the seller is present. Some even buyers even tell me “let’s just go on to the next house.”
Often times, I am not even told by the real estate office that the seller will be present and that makes it even more awkward for everyone. I recently had a seller say: “Come on in, feel free to take a look around the house, I didn’t have anywhere to go so decided to stay here.” What?! Please, go anywhere else except staying at the house! Did your realtor not tell you that important little detail? I took another pair of clients into a home they were interested in looking at a second time and the whole family just sat on the couch staring at the walls during the entire showing…my buyers did not feel comfortable taking a look in the living room since they were all sitting in there.
If you absolutely have to be home, it might be a good idea to at least step outside during the showing if the buyers are with a realtor. One little piece of advice: Please do not walk around with the realtor and the buyers giving them a lengthy tour of your home. Some of the details you have about the home may be important for the buyer to know so relay the information to your realtor to pass along to the buyer’s agent instead of bombarding the buyer while they are there. I have had many buyers get aggravated when the seller starts giving “the tour” down to the last little detail that the buyer could care less about. As a result, the realtor is placed in a little predicament while trying to show the home to their clients as you, the seller follow them around.
To find out more about Colorado Springs Realty and The Colorado Springs Area contact me or visit my website
Colorado Springs Sellers, overprice and you will not sell
The housing market in Colorado Springs has been impacted as other areas in the nation but homes are still selling in our city if they are priced correctly. Many sellers do not understand how market values affect how much they can ask for their home. Sure, you can ignore what the market values are in your area and list your home for much more, but it probably will not sell and that does not do any good. If your home is has been actively for sale and you have had many showings with no offers or have had few showings, your list price is probably too high for the market in your area. It is not wise to overprice your home and then drop it a few thousand here and a few thousand there every few of months, that does not work very well in today’s market. You will lose marketing time if you do not price your home correctly from the beginning.
There are many factors that go into your asking price including the home’s condition, recent upgrades, and the sellers’ personal motivations and how quickly they need to sell. If you have another home being built and it will be ready in a couple months, you may want to list your home’s asking price in the lower range of the market value in your neighborhood in order to sell more quickly and hopefully, avoid having to pay two mortgage payments. If you are not in a huge rush you may be able to list your home in the higher range of the market value for your area.
So what is the difference between cost, price, value, and market value? The cost of the home is the amount you actually paid for the home at the time you purchased it. The price of the home is essentially what you are asking for the home (i.e. listing your home for 250K). If your home has green carpet, bright orange paint, and very expensive and gaudy hardware throughout, the home would probably not appeal to many buyers in your area. On the other hand, there may be a specific buyer who has very similar taste to yours whom your home would appeal to and this would be what your home is worth to someone. What your home is worth to a specific buyer defines your home’s value. Many sellers are hearing their agent mention what the market value is for their home and sometimes the market value is shockingly less than what the seller paid for the home or maybe the sellers spent a considerable amount of money on upgrades and remodels that do not significantly change the market value of their home. Many sellers want to list their home in relation to the amount or cost they paid for the home 2 years ago when the market value may be less.
The market value of a home appeals to many buyers, which in turn, produces a sale in a reasonable amount of time. A reasonable amount of time is not 200 days, I would say closer to 90 days or less is a more reasonable amount of time in the current market here in Colorado Springs. If you are serious about selling, listen to your Realtor and work together to price your home correctly within the range of the market value for a home similar to your own in the area. Otherwise, don’t waste your time; you may just want to wait a while; if you price your home any more than 3% above market value, it just will not sell. I think appraisals are so important, especially in certain markets. If you have many updates in your home, if your home is unique compared to others in the area, or if there are not many comparable properties that have sold in the past 6 months, obtain an appraisal. A Realtor’s Comparative Market Analysis is not an appraisal. More and more Realtors are encouraging their sellers to obtain an appraisal with the changing market.
For more information on Colorado Springs Real Estate or the Colorado Springs Area contact me or visit my website.
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