Local sellers who have tried to sell their home can testify that, with all the “routine” stress of taking on such a task under the best of circumstances, no one wants to experience any unpleasant surprises. So, how can a seller minimize surprises?
1. No matter how thorough a Realtor’s market analysis might be, some sellers are convinced they are more knowledgeable about what their home’s value might be. Fair enough. In most industries, the mantra is “the customer is always right.” However, in real estate, a good Realtor needs to be direct and firm on home values. Improper pricing is the fastest way to a loss of profit as well as extended time on the market. If there is a significant difference of opinion about a home’s value, get an independent appraisal prior to launching the property for sale. This will help to take the guesswork out of the equation and assure that the home is properly positioned to compete in the market. Having the appraisal in hand will also put the seller on firm footing when negotiating an offer.
2. We’ve been through some tough economic times in the last few years. As a result, some sellers could still be spinning from having to ride on a financial roller coaster. If and when sellers are selling due to financial hardships, it could be incredibly helpful to get a preliminary title report. Attorneys who specialize in real estate closings can tackle this relatively inexpensive step to assure that the homeowner does not have any unknown liens that might be on the property as a result of financial issues and/or work done in preparation to get the home ready to sell.
3. Homeowners with properties that have seen multiple rounds of renovation over the years (particularly true in many of Savannah’s historic districts) might consider the option to get an inspection by the local municipal building inspector. Preparing a home for listing includes pulling a variety of public records about the target property. One of these is the county tax assessor’s property record card. This on-line record, which is reviewed by most buyers, should have details regarding permits given for major property renovations. If a property has had a few facelifts, but there are no permits documented, there’s an obvious red flag. No one wants to open a can of worms. However, it’s preferable to know about any potential building code or zoning violations up front. Sometimes, a more “comfortable” option for sellers is the next key.
4. Get the home pre-inspected by a licensed, professional home inspector. Repair-related issues are one of the most common deal-killers in real estate. Having the home pre-inspected will accomplish two primary goals: a) the seller will be able to confirm that all mechanical systems are in good working order (or identify items that can be addressed prior to launching the property listing); and b) the seller will be able to improve the market standing of hi/hers home by advertising that the home is pre-inspected and has no repair concerns. This will save a potential buyer hundreds of dollars and is a “value add” that could tip the balance in terms of getting a buyer to make an offer.
5. Get the proper documents in order for buyer review. There are two key documents that can affect the marketability of the seller’s property: a survey and a flood elevation certificate. In Georgia, the provision of a survey is not a requirement for the transfer of real estate. Nevertheless, if you were buying a home, wouldn’t you want to know the boundary lines? Even if a privacy fence was installed years ago, there is no guarantee that there are no encroachments unless a survey is available. I could tell horror stories about property line disputes over structures that had been in place for over a decade! The second item, the flood elevation certificate, may be unique to coastal areas like the Savannah market. If the seller has a certificate that pre-dates 2000, it’s a sure bet that an updated one will be needed for the transaction.
These are a few simple suggestions that can facilitate a smooth transaction. So, why are there six keys in the artwork?
BONUS:
6. Hire me! My job is to make either the purchase or sale of a property as painless as possible so that the client can achieve his financial goals and savor the excitement of opening or closing a chapter in his life. There are a variety of other steps a seller can take to enhance the process. I’ll be happy to discuss them with you when the time is right.
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