by Neil Kearney | Mar 19, 2014 | For Sellers, General Real Estate Advice |
In order for a house to sell in today’s market it must have a lot going for it. The competition is intense and a successful seller is one who competes and wins on many different fronts. This article will provide the prospective seller tips, ideas and best practices that will help you sell your home, not just list it.
Curb Appeal
No matter how beautiful your home is on the inside, the first impression will always be made by how the house looks from the street. Many times if the house does not look up-to-snuff on the outside buyers will chose to not go inside. You don’t get a second chance to make a first impression. Here are some tips to make the exterior of your house look its best:
• Cut the grass,
• Trim the hedges.
• Rake the leaves.
• Sweep or shovel the sidewalks.
• If you have rocks around your house make sure it’s not 1 part rock and 2 parts old leaves and sticks.
• Trim and remove any dead flowers, or shrubs. Dead and dormant are not good buyer thoughts as they wait for their Realtor to open the door.
Cut the Clutter
People tend to accumulate things. The mail arrives and we make a pile. Grandma gives you a chair and we squeeze it in. After a few years, what is imperceptible to the owners is a maze of furniture, junk and accessories. You have to cut the clutter! Buyers will love to see Sally’s photo montage from kindergarten to marriage but they will remember Sally’s dress and her husbands blue tux and won’t remember that this is the house with the beautiful wood floors. Remove 7/8ths of the personal photos. I realize it is still your house but buyers have a hard time picturing themselves in “your” house. The rooms will look bare and not “homey” to the seller but believe me, this is how buyers like to see a house. They want to be able to picture their stuff in the house.
Staging
Once you cut the clutter it is time to think about staging each room. The idea is to make each space pleasing to the eye. Work from the perspective of a buyer at the entrance to each room. There should be a balance to the room in terms of weight of the furniture (you don’t want everything piled in one corner) and hardness. By hardness I mean that there should be a balance of hard and soft surfaces. If a room has hardwood flooring there should be a rug to soften it up a bit. If there is a couch, a love seat and a lazy-boy the room is probably too soft and you will need to add a coffee table or replace the lazy-boy with a harder chair (think Windsor). I am not a staging expert but I know people who are and even if you have plenty of your own furniture it is worth a couple of hundred dollars to have an expert come over to put it in the right place. Beware, sometimes the right place for some of your stuff is at the curb. In order to get it right you sometimes have to hear what you don’t want to.
Clean Like You Have Never Cleaned
Buyer’s look at your house differently than you do; they are comparing it to all of the others out there. Not only are they looking for the facts of a house (number of bedrooms, square footage, etc.) they are waiting for an emotional connection with a house. It is hard to get emotionally attached to a house that has flies in the window tracks, a dusty top of the refrigerator (just because you can’t see it doesn’t mean a buyer can’t see it) or a ring around the toilet. It takes near constant vigilance to keep a house in pristine showing condition. The idea is to have the buyer ask if someone actually lives there. Before you put your house on the market it’s time to wash all of the baseboards, clean the silver in the hutch and wash the windows. It’s also time to clean the window wells, dust the light fixtures and shine the sink. You’re going to love your house so much you are going to hate to leave. But then again, it’s hard work selling your house and you will be relieved when that offer gets accepted.
This is not an exhaustive list but it will get you thinking along the right lines. Time and time again I hear from my clients who get the highest and quickest offers that this happens to them each time they sell. Why does this happen? Are these people lucky? No, these people have the knowledge, planning and persistence to put their house in great showing condition. Call me whenever you need an extra pair of eyes to check over the progress.
Below is a link to an article on Houzz.com about getting your home ready to sell that touches on many of the same subjects. Enjoy.
by Neil Kearney | Mar 13, 2014 | For Buyers, For Sellers, General Real Estate Advice, Real Estate 101, Uncategorized |
Home ownership is a long term relationship. And just like other long term relationships in our lives, it needs constant attention and care.
Let’s imagine a typical situation. A family purchases a new home and uses most of their savings to do so. 
The first few years are spent installing landscaping and furnishing and personalizing the rooms. Everything is new and fresh and all is good with the world. After awhile the house is either just the way you want it or good enough. For a long time the homeowners live happily in the relatively new home, not much to be done but enjoy.
As many years go by the house starts showing some wear and tear and features that were once fresh and hip are now showing up on the “before” side of the “before and after” shows on HGTV. But the house still works so you live in it and fix something when it breaks. Unexpectedly you get a new job out of town and you have to sell your home in a hurry. Your realtor comes in for a meeting and nicely tells you that your home is dated. There’s not enough time or money to upgrade everything at once so the only option is to set a low price and hope for the best. It might take many years to get to this point but I see it time and time again.
The other option is to proactively upgrade your house over time. Yes, there is a honeymoon period on a brand new home where you don’t need to upgrade, but after five or six years you will want to start looking at your property with a discerning eye to determine what project is next. When you take one reasonable project at a time you will be continually improving your investment. Using this strategy you will not only keep your investment on the top end of neighborhood values you will be able to enjoy and take pride in your house as you live in it.
Here are some ideas of yearly projects to consider for your home:
- Replace flooring in a bathroom.
- Upgrade the light fixtures throughout the house (sconces, bathroom light bars, chandeliers)
- Upgrade the countertops in the kitchen
- Replace the furnace and air conditioning
- Re-carpet
- Replace the vanity in a bathroom
- Paint the exterior or interior of the home
- Replace the front concrete walk with something more eye catching
- Replace the appliances (non matching appliances are not a good selling point)
- Re-stain or install a new deck
Take on one project a year and when the time comes to sell you will be ready to maximize the value.
by Neil Kearney | Jan 24, 2014 | For Buyers, For Sellers |
I love serving my clients and it’s great to get feedback on how I’m doing. Here are some testimonials I have received from clients I have helped over the last few months.
“We worked with Neil Kearney for the sale of our Gunbarrel home during our relocation out of state and were extremely happy with him! He provided a comprehensive market analysis in a short time so we could price our home competitively. His marketing of the house drove traffic to our home and led to multiple offers in a short time, allowing us to achieve our target price for the sale of the house. Neil’s personal touch and communications while we were out of the state were a great comfort to us during our busy relocation. He took care of all of our worries and kept us informed during every step of the sale of the house. We highly recommend Neil for your agent!”
Jim and Anna McClatchey
“In selling my home I was searching for a realtor that had plenty of experience in pricing and selling properties, is familiar with my neighborhood and surrounding area, has a friendly demeanor. Above those qualities, the single most important thing to me was being confident that my realtor would know how to price a house right without listing it for too less or too much. A friend had recommended Neil Kearney to me, as he had told me that his experience with Neil had surpassed his expectations. I took my friend’s recommendation and Neil Kearney personified each of those qualities I was looking for in a realtor very well. Neil did his homework and helped me price the house right. Three days later I was under contract. From the first handshake to the closing of the sale, Neil made my home selling experience a pleasant one.”
Shaun Tomkins
“Neil Kearney is a great realtor and we highly recommend him! Neil’s knowledge, skill and personal qualities make him a highly successful realtor which made our real estate transaction smooth and enjoyable.
Neil recently helped us purchase a home in Broomfield. He is very knowledgeable about real estate in Boulder County, Longmont, Broomfield and other neighboring areas. We looked at houses in all of these areas and his manner of quiet, patient, competent service made it a smooth process to find the right house. As individuals returning to the Boulder area from out of state, it took us a while to determine the right location at the right price for us. We also were unsure about the type of housing we wanted and thought we wanted to downsize. After looking at smaller properties, we realized that we wanted a home that was similar in size to the one we had most recently. Using his strong knowledge of the communities and how they related to our housing needs and desires, he guided us through the process of finding the house that suits us perfectly. His provision of the on-line search capability was also very helpful. In addition, he has a ready sense of humor and it is fun to work with him.
Neil quickly and efficiently made our offer for the house. He monitored all of the steps of the purchase with ease including recommending potential inspectors and working with the title company. It made it very simple for us. It was a pleasure to work with Neil and if the opportunity arises, we would anticipate using his services in the future.”
Kent and Jan B.
To see more testimonials go here.
by Neil Kearney | Oct 3, 2013 | For Buyers, For Sellers |
Why I Love Being a Realtor
My plan coming out of college was to be a real estate agent long enough to put myself through graduate school. I did just that, and after four years of night school I had a freshly minted MBA and no desire to do anything else but to continue on my path in real estate. Sixteen years later (24 in all), I still feel the same way. I’m really lucky to love going to work every day and here is why. I get to work with great people. I get to be creative, I get to work for myself and…
On any given day and within any given day I’m a:
- CEO
- Janitor
- Customer Service Representative
- Accountant
- Web designer
- Graphic Designer
- Counselor
- Chauffeur
- IT troubleshooter
- Confidant
- Furniture Mover
- Problem Solver
- Marketing Specialist
- Blog Writer
- Public Speaker
- Video Editor
- Social Media Director
- Board Member
- Ethics Committee Chairman
- Recruiter
- Negotiator
- Decorator
- Sales Person
- Copy Writer
- Database Specialist
- Photographer
- Advisor
- Office Manager
- Transaction Coordinator
- Sign Installer
- Researcher
- Strategic Planner
- Manager
- Bathroom cleaner
- Babysitter
Each day I am responsible for putting forth a professional effort in an increasingly competitive market. The perks are many and as you can see the variety and scope of what I do are large. I’m apt to work seven days a week for weeks on end, answer work emails at 11 pm, take business calls at 7:30 in the morning. But I also get to arrange my schedule so that I can watch most of my kids games and go on vacation without asking for permission. The responsibility to my clients and my personal code of excellence are my only boss. And I wouldn’t have it any other way!
by Neil Kearney | Apr 2, 2013 | For Sellers, General Real Estate Advice, Real Estate 101, Uncategorized |
Most homeowners throughout the United States are having a collective sigh of relief. The home sales market is recovering and prices are rebounding. Between good news on the home front and a strong bull stock market, many people have a positive outlook on their personal finances. This is called the wealth effect and the result is a loosening of the household wallet.
I don’t sell cars, appliances or stocks so I will comment on what I know and work with every day. In a recent post I commented on the best practices of the home buyer in a hot real estate market. Today I’m going to share my ideas on how to be a smart home seller in a sellers market.
Price it Right
In the Boulder area real estate market we are seeing very low inventory and high demand. This causes a shortage of homes and results in smart sellers getting multiple offers and selling their homes for more than they thought they might.
But this isn’t happening to all sellers. Here is a scenario I’m seeing a lot right now – Mr. and Mrs. Seller recognize that the market conditions favor them so they decide to price their home 10 – 20% higher than what the recent sales in the neighborhood show. Buyers come out to see the home in great numbers over the first week and the general sentiment is that the house would be acceptable but it’s not a house they want to break the neighborhood record on and they move on. The Sellers recognize a few weeks later that they are not going to get their “dream price” so they reduce it by 5%. Still too high for the market but by this time the market wave of activity for a new listing has passed and they are chasing.
A smart seller in this market looks at the recent sales and the competition with their Realtor and decides on a fair market value. They recognize that the market will bear a good price but they know that the house must appraise and be in good condition. If it is listed at a reasonable price near market value and in good condition there is a good chance there will be multiple offers.
Take Advantage of the First Wave
As I mentioned above there is a timeline for new listings. In basic terms here is how it works and why it is important.
At any one time there are (hopefully) many buyers who are in the market for homes in any given area or price range. In a market with low inventory they soon sift through the current listings (either in person or online) and decide that they are not willing to buy any of the current homes on the market. So they focus on what is coming on the market. Here is where a good Realtor is invaluable. This buyer cannot wait for an open house or wait for the Sunday paper. Buyers are trolling online at all times. I have automatic searches sending results to hot buyers three times a day. So when a new listing hits the market buyers flock to see if this is the “one”. If it is they want to be first. The current buyers waiting for new listings are the first wave and right now it is a strong wave that lasts 3-4 days and comes in strong. In this market it is not uncommon to have 15 showings within the first four days. These are the most likely buyers.
If a home lasts through the first wave without an offer you know something is off (price, condition, location). After the first wave passes you, as a seller, are counting on people who are new buyers and those who were not available to see the property over the first days. This is a smaller pool. You are in the backwash.
Multiple Offers
If you have priced the home correctly the hope is to get multiple offers on your home. This puts the seller in a advantageous position and with guidance from their Realtor, they can compare the merits of multiple offers and choose the best one. I find it’s best to give all potential buyers in a multiple offer situation equal information. For me, that means each offering party knows when the offers will be considered and how many offers they are competing against. As a sellers agent I encourage buyers to bring their highest and best offers and give everyone a chance to revise their offers if they choose to do so. I then go through each offer with the seller and let them decide which offer gives them the best chance to close for the most money.
Get a Backup Offer
There are many reasons that a house that is under contract doesn’t close. Here are a few:
- Buyers Remorse – This is especially common when the buyer feels pressure to make a quick offer and then feels that they have paid too much after beating out multiple bids.
- Inspection – When there is time pressure to submit an offer there is not time to look at the home carefully or to show family members. This makes getting through the inspection especially important.
- Appraisal – Just because a buyer is willing to pay a certain amount for a home doesn’t mean that the appraiser or the bank will agree. If the appraisal comes in low and the buyer doesn’t have additional funds available to mitigate the banks risk the contract will terminate unless the seller is willing to re-negotiate. And if there were multiple offers, it is a good chance that the sellers will not re-negotiate.
It’s for these reasons it is smart to encourage a backup offer. And the best time to get a backup offer is when there are multiple offers. All it takes is to create a quick counterproposal with appropriate language. It is a no risk insurance policy which is usually a win-win.
Inspection Issues
If a buyer has paid a premium price for a home it is common for them to be very picky on the inspection. They feel the home should reflect the price and unless an “as-is” clause was included in the contract you can expect to be negotiating again on some inspection issues. As a seller your negotiation position is greatly enhanced if you have a backup offer. A good gauge as you consider the buyers requests is whether another (the next buyer) would likely require the same items. If so, it might be a good idea to negotiate in good faith and move forward.
Finding a Replacement Home
The advantages of a tight market on the selling side lead to difficulty if the seller needs to find a replacement home that will not require a double move. In a strong sellers market, the sellers must have a plan of where they are going to go. Don’t get stuck in a situation where you are homeless for a period of time. Plan ahead!
Since each transaction is different it is hard to anticipate all scenarios but those are some of the major considerations when a seller is looking to list their home in a sellers market. If you are looking for expert representation in Boulder County call me, I have been successfully working in this market since 1991.
by Neil Kearney | Oct 24, 2012 | Featured, For Buyers, For Sellers, Real Estate 101 |
Even though we are in a slower time of year, houses are still selling. All year I have been seeing a shortage of good listings in the market. Right now there are 15% fewer available homes on the market than last year at this same time. This means that if a serious buyer is out looking for a nice home the cupboards are fairly empty. Right now there are many leftover homes on the market. I define leftover homes as those listings that haven’t sold for a specific reason whether it be price, location or condition. This shortage leads to heavy activity on those homes that come on the market ready to sell. Those homes are well priced, in good condition and in a location that doesn’t raise a red flag. This leads to multiple buyers being interested in the same house at the same time. Here is some advice for handling multiple offers from the buyer and seller perspective.
From The Buyers Perspective:
- Check to see if you have competition. Your agent will call the listing agent to announce your intention to write an offer. Make sure you know if you are competing with another buyer. At the same time have the agent ask for the sellers preferred closing date and for any items that will be excluded from the offer. All of the information below assumes that there is another offer.
- Make your decisions quickly. Getting your offer in a day ahead may make a big difference. Ask for a quick acceptance deadline.
- Do your homework: Check comparable sales and decide the maximum price you will be willing to pay. Also, think about how you would feel if you would lose this house over a couple of thousand of dollars.
- Do a thorough walk-through: When you see a house you are interested in, take your time. Check on the condition of the house, what would you need to do to make it yours. Are the systems (furnace, roof, windows) in good condition?
- Prepare a clean offer: Don’t ask for Sellers to pay for appraisal, cleaning, HOA transfer fees etc. When the seller is considering two similar offers, $50 can make a big difference and send a signal that the buyers asking for all of the small stuff will be tougher to work with down the road on inspections etc.
- Have your financing in place and make sure to include a letter from a lender along with the offer. I prefer to see a local lender who can jump in and make the closing work in a difficult situation rather than somebody who is working a toll free line.
- A nice touch is to write a personal letter to the seller explaining who you are and why you love their house. The seller has an emotional attachment to the house and wants to sell to someone who will take care of their house.
Consider an escalation clause. When the house is a good value and you know there is competition one effective method is to write in an escalation clause. This clause in the contract automatically raises the bid price if another offer beats theirs financially. For instance it could read “the offer price shall be automatically raised to a price $1,000 above any other bonefide offer, the purchase price shall not exceed $xxx,xxx”. This is where the buyer has to know how much they are willing to pay; is it full price or $5,000 over?
From The Sellers Perspective:
- If you are attracting more than one offer it shows that you have taken care of your home and priced it correctly.
- You want to make sure that all interested parties have a chance to submit an offer. Have your agent communicate to each agent who has shown the property recently to gauge interest.
- When reviewing offers look at these main points: net price to you after all closing costs, dates and terms and buyers ability to pay and close. (more…)
In order for a house to sell in today’s market it must have a lot going for it. The competition is intense and a successful seller is one who competes and wins on many different fronts. This article will provide the prospective seller tips, ideas and best practices that will help you sell your home, not just list it.
Clean Like You Have Never Cleaned
