Brian Bischoff
SFR, CSC, ACP
Realty Executives Midwest
ULTIMATE GUIDE TO SELLING YOUR HOME
Table of contents
Section 1: Selling 101
First time home sellers guide — 01
Questions to ask when selling a home — 02
6 questions to ask before you sell your house — 03
Section 2: Covid-19 considerations
How to buy or sell a home during a pandemic — 04
Virtual home selling — 05
Safe home selling — 06
Cost of living in the U.S. — 07
Section 3: All about the money
2021 projections: real estate opportunities — 08
5 dangers of overpricing — 09
How to increase your home value for the least amount of money — 10
25 factors that impact your home value — 11
Section 4: Time it right
2021 projections: Real estate opportunities — 12
Secrets to selling your home fast — 13
The secret to selling your home in any season — 14
Section 5: Get the best deal
12 mistakes to avoid when selling your home — 15
Curb appeal 101 — 16
How to stage a home to sell — 17
Home seller negotiation — 18
Home appraisals: All you need to know for a smooth process — 19
Section 6: Your next great space
Scaling down: Small spaces, big opportunities — 20
How to create the ultimate home office — 21
What does homeowners insurance cover? — 22
How to “Go Green” at home — 23
Grass to gables: Improving outdoor spaces — 24
All about HOAs — 25
Tech for smart homes — 26
Relocation Guide: The inside scoop for your big move — 27
Section 1: Selling 101
Find the right realtor. This will be someone local who has a good understanding of how to sell
homes in your area. You also want someone who communicates in a way that is helpful and
easy for you. Making the wrong partnership up front could be detrimental to an easy home
selling process.
PRICE/COMPS
A great realtor will be able to coach you on this. Your home value should be objectively
assessed based on comparable homes on the market. Do you want to know your home value?
Go here for a free estimate from an expert in your area.
LISTING & DESCRIPTIONS
Most people will find your home online. How it’s described is a huge make it or break it for
keeping their attention and encouraging them to stop scrolling. Crafting the right copy can
alert buyers to the desirable facts and features about your home.
PICTURES & VIDEOS
It’s a digital age. Prospective buyers will favor homes that have great, professional photos and
even video tours. There are plenty of ways to capture great digital media, even if you only have
a smartphone.
BONUS TIP
Two selling points for a home could be having it inspected before buyers start looking at it and
having a transferable home warranty. Both of these could improve the value of your home in a
buyer’s mind.
8 WAYS TO PREP YOUR HOME TO SELL
In a snapshot, here are the eight steps you’ll take to prep your home to sell.
1. Make as many minor repairs as possible.
2. Decide if any major repairs need to be made.
3. Improve curb appeal outdoors: landscaping & grooming.
4. Deep clean your home: walls, flooring, ceilings & fixtures.
5. Clean your windows inside and out.
6. Declutter and depersonalize your space.
7. Neutralize your decor.
8. Do a walk-through and improve anything else you have missed.
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You may be surprised to uncover issues that would deter buyers. Do a thorough assessment of
your property and make all of the fixes you can. This will show buyers that the house is “movein”
ready, which is a great motivator to “BUY NOW!”
Bonus Tip
You may be booking showings in-person or online. For either, establish a clear system with
your realtor so that you know what is happening when and are always prepared.
Negotiating Your Home Sale
In real estate, negotiating happens in the form of counteroffers. You may receive an offer but
want to counteroffer. This could go back and forth a few times.
What can you negotiate?
Here is some info about what you may be able to negotiate:
Percentage of closing costs
Home warranty premiums
Repairs related to the inspection
Possession or closing date
Cosmetic updates
Furnishings
Household items
House price
Mortgage loan points
How should you negotiate?
Your real estate agent will be your negotiation advisor. Here are some tips when it comes to
negotiating your home sale:
Take charge and be direct
Understand contingency clauses
Work with your bank
Encourage a bidding war
Don’t be emotional
Be realistic
Be creative
All About Closing
You’ve made it! After all of the prepping, showing, bidding and negotiating is done you are on
your way to the closing table.
Here’s what you need to know about closing on the sale of your first home:
Players:
Escrow officer
Mortgage professional
Attorney
Title insurance agent
Home inspector
Buyer
Seller
Timeline from listing to closing: On average, 41 days
Closing checklist:
Home inspection
Appraisal
Loan documents
Homeowners
Insurance
Steps:
Final walkthrough
Sign documents
Final financials
What To Ask Your Realtor
Your real estate agent should be on your side. They are ready and waiting to field the majority
of your questions as you navigate selling your home. Here are some questions you may want to
ask them directly:
How long have you been licensed to practice real estate?
How many clients have you helped sell homes?
How many homes do you typically close a year?
Do you work full time or part time?
Do you have any specialties or things you are known for?
How many sellers are you working with right now?
Do you work with buyers as well as sellers?
What is the price range of homes you usually help people sell?
Will I work only with you or with a team?
At the end of the day, a commission check will be headed their way. That gives you the right
and responsibility to be sure they are a good fit for you.
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What To Ask About Your House
Whether you’ve lived in your house a year or twenty, you have some major decisions to make
as you go to sell it. How to price, when to market and how to get the word out are all things
that you will work with your realtor to arrange. To make sure you fully understand the ins and
outs (and set yourself up for a top dollar sale), you should ask:
Are any major repairs needed?
How old are the HVAC, appliances and roof?
Would any of those be a barrier to selling?
Would any upgrades improve the sale price?
Is any renovation needed?
How much is home worth, according to comparable homes in the area on the market?
How much am I willing or able to negotiate?
What about the area or nearby amenities could be selling points for my home?
What kind of buyers can I/do I want to attract?
What is the best marketing and showing strategy for this home?
What is my timeline?
Depending on your timeline, you could make some simple cosmetic changes or light
renovations that dramatically improve your sale price. All of this should be discussed with your
REALTOR.
What To Ask Yourself
The last important Q & A should happen with yourself, your spouse, your housemate or anyone
else who’s putting the home up for sale with you. It’s important that you ask yourself questions
like:
What are my non-negotiables?
What is the amount I really want to get for this home?
What is the lowest price I will take for this home?
Does my timeline impact this transaction?
Do I want to negotiate?
Am I willing to take on renovations or repairs?
Am I willing to take on closing costs?
At the end of the day, going into a home sale knowing what you want and what you have to
work with will help you avoid busywork and chasing rabbit trails.
What To Ask Before Closing
This may be in your first home sale or maybe you’ve sold homes before. Either way, you’ll need
to ask the right questions and understand how to close out your mortgage.
A lot of factors, including whether or not you have your next home purchase lined up, may
cause questions.
Going in, you will need to understand what will happen if your home appraisal comes back low
or high. Another financial consideration is what arises during negotiations and if you agree to
any contingencies.
It’s important to ask these questions about closing:
What are my responsibilities for the home before closing?
What needs to be done about utilities before closing?
Do I need to perform any repairs before closing?
What am I required to bring to closing?
How much are closing costs?
Who’s paying closing costs?
All of these questions will help clarify the process and avoid missteps, getting you to the
closing table without a hitch.
1. Home Value and Sale Price
Question one: what is your home worth and what could you list it for?
To start researching this yourself, you can easily look up your home on a search engine to see
the estimated listing price. An important thing to note is what other homes in your areas have
sold for. These are called the “comps” and will definitely set a precedent for your own listing
price. This is question number one because it will give you a baseline for all of the other
decisions.
2. Equity
Question two: how much equity do you have in your home?
Home equity is the amount of your home that you (as opposed to the bank) actually own. You
can look at the market value of your home minus the balance of your home loan to calculate
your equity. First off, your equity must be positive. Secondly, the equity you have will help you
understand how much money you have to put toward moving and a new home.
3. Cost of Selling
Question three: how much will it cost to sell your home?
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This is a question many hopeful sellers don’t consider… but it’s important! Many people spend
as much as 10% of the sale price on selling their homes. This includes realtor commission and
additional costs like repair costs, housing overlap costs, closing costs, seller concessions, and
more. Knowing how much all this could total out at will help you understand if you have the
budget and willingness to list.
4. Timeline
Question four: how long would it take to sell your home?
Similar to sale price, this could be informed by comps. The metric is called “Days on Market” or
DOM. DOM will track the average amount of time homes in your area spend on the market.
While you can’t nail this down entirely, you should look at when you want to move and how
long, realistically, it could take to sell your home.
5. Home Improvements
Question five: what needs to be done to your home before you sell it?
You probably already know that things like renovations are lengthy and costly. However, even
cosmetic things (like paint or flooring) can take time and money BUT can increase the sale
price of your home. This is almost always a worthwhile tradeoff for home sellers, but of course,
it also takes time and money. Wrapping your mind around what could be done to enhance the
value of your home may impact your timeline and listing date.
6. How to Sell
Question six: how are you going to sell your home?
Most people use real estate professionals and some people list a home for sale themselves.
Perhaps most importantly is determining the way you’ll present your home to buyers in a virtual
context. You’ll need to consider virtual tours, professional photographs, and live-streamed
open houses. All of these are becoming increasingly common and may make all of the
difference in getting the offer you want.
Feel like you have enough pros to list? If your ducks are in a row and you are ready to get
going, I can help! I work with homeowners in your area, helping them list and sell their homes.
Contact me and we’ll get the ball rolling!
Section 2: Covid-19 considerations
Touring and Buying a House Virtually
Think you need to be “in” a house to experience it? You can get that same “this is it!” feeling
when you are shopping for a house online. Here are some tips and what to look for:
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1. See beyond the photos & request more if you want them.
2. Take video tours and ask for a one-on-one, realtime tour so you can "see" more of the home.
3. Reach out to the listing agent with specific questions and for more media or information.
Digital Communication
Nervous about the idea of only communicating remotely? Don’t be! Realtors are better
equipped than ever to stay in close contact using digital communication.
Apps
Texts
Videos
Emails
Tips for communicating digitally:
Spend time with your realtor
Be personal and honest
Prepare ideas or questions in advance
Don’t be afraid to ask for more
Find a method that works for you
Contactless paperwork and processes
Can you get all of the paperwork done without being in-person? Short answer: yes! Read on to
learn all of the ways you can buy or sell your house while maintaining social distance.
1. Mortgage applications and approvals can all happen online
2. Virtual inspections may be done remotely
3. Desktop appraisals or inperson exterior appraisals with the right personal protective
equipment
4. Digital e-signings
5. Drive-up paper signings for notarization
6. Virtual or contactless closing processes
Let’s Chat: No Handshake Necessary! Qualified real estate agents are still in the game, using
virtual property monitoring and online call platforms to meet new clients. Set up a video or
audio call and let’s get started!
Remote Property Evaluation: Clipboard-Free! Innovative technology gives us the ability to
estimate your home worth without stepping through the door. Get all you need to know your
best numbers through our seamless and simple remote property evaluation services. We also
provide virtual inspections, giving you detailed photos and video conferences to keep you in
the loop.
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E-Paperwork: All Online! The documents you need to sign are all available electronically,
meaning that you don’t have to come into an office or sit across from us at a desk. What’s more,
we provide one-on-one coaching via phone or video to ensure you fully understand the
paperwork and process.
Vivid Video Tours: Our professional team is fully equipped to capture your home in the best
light. Exercising the utmost safety, our remote team can be mobilized to get the highest quality
photos and create virtual video tours for prospective buyers.
Marketing & Open Houses: We are experts at online hosting. Our highly-attended events
provide a start-to-finish service that will get qualified buyers in your virtual door and looking
around. We know how to issue online invites, generate buzz and show off your property, all
using virtual technologies. Online meet-and-greets by our winning hosts will give your house
the edge and get you the offer you want!
On the Dotted Line: All final agreements can be closed out using our virtual systems. Earnest
money can be wired or picked up. Mobile notaries can bring final, closing docs right to your
car, so you never have to come in the building. We can answer all questions while still
complying with social distancing and best practices. The final touch? We’ll deliver your keys to
you personally!
Don’t miss your moment in the market! Selling your house right now gives buyers the best
interest rates and you the best opportunities to upgrade or step into something new. Don’t let
a hassle or hangup get in the way: get in touch now to learn how you can get your home on
the market and find a new place... all from the comfort of your home.
VIVID VIDEO TOURS
Our professional team is fully equipped to capture your home in the best light! Exercising the
utmost safety, our remote team can be mobilized to get the highest quality photos and create
virtual video tours for prospective buyers.
MARKETING AND OPEN HOUSES
We are experts in online marketing. Our highly-attended events provide a start-to-finish service
that will get qualified buyers in your virtual door and looking around. We know how to issue
online invites, generate buzz and show off your property, all using virtual technologies. Online
meet and greets by our winning hosts will give your house the edge and get you the offers you
want!
ON THE DOTTED LINE
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All final agreements can be closed out using our virtual systems. Earnest money can be wired
or picked up. Mobile notaries can bring final, closing docs right to your car, so you never have
to come to the building. We can answer all questions while still complying with social
distancing. The final touch? We'll deliver your keys to you personally!
Don't miss your moment in the market! Selling your house right now gives buyers the best
interest rates and you the best opportunities to upgrade or step into something new. Don't let
a hassle or hangup get in the way: get in touch now to learn how you can get your home on
the market and find a new place... all from the comfort of your home.
The Top 5 Most Expensive States
These rankings are based on a widely understood Cost Index (in which “average cost of living”
in the U.S. = 100). That means every point over 100 means that the state is that much higher
than the national average.
Here are the states that are most expensive to live in:
1. Hawaii: 92.9
2. California: 151.7
3. New York: 139.1
4. Oregon: 134.2
5. Massachusetts: 131.6
Cost factors for these high-end rankings are related to taxes, food, transportation, housing, and
more. Of course, many people choose these states for their thriving industries and highearning
employment opportunities, which offsets the price tag of a costly lifestyle.
Expensive and Affordable States For Home Prices
Home prices are a key reason why you may (or may not) be able to move into a certain state or
city. Often, prices decrease the further you get away from a metropolitan area. Of course, that
may mean a longer commute. There are plenty of tradeoffs to be made.
Here are the states with the most expensive median home prices:
1. Hawaii: $646,733
2. Washington D.C.: $599,000
3. California: $549,000
4. Massachusetts: $479,900
5. Colorado: $429,800
As you know, “median” means there are plenty of houses that cost more and plenty of houses
that cost less.
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Here are the states with the least expensive median home prices:
1. West Virginia: $166,488
2. Arkansas: $179,500
3. Ohio: $179,900
4. Iowa: $180,000
5. Mississippi: $188,900
Expensive and Affordable States For Taxes
Property taxes are often one of those things that new homeowners don’t take into account. It’s
important that you do because they’ll often increase your monthly mortgage payment.
Here are the states with the most expensive property taxes:
1. Illinois: 2.22%
2. New Jersey: 2.19%
3. Texas: 2.11%
4. Vermont: 2.11%
5. Connecticut: 2.04%
Here are the states with the least expensive property taxes:
1. Hawaii: 0.36%
2. Alabama: 0.48%
3. Colorado: 0.52%
4. Utah: 0.56%
5. Nevada: 0.58%
Property taxes can be calculated based on home values, so keep in mind that the nicer the
area, the more you may shell out for property taxes. Of course, this also means the area is nicer.
Again: trade-offs.
The Top 10 Cheapest Places to Live
Some people (more than ever) have the option to live wherever they want. As working from
home becomes a permanent situation, you may genuinely want to cast a wide net and live
anywhere on the map. Knowing which places have the lowest cost of living may sway you one
way or another. Again, the index of 100 = national average is in play here, to give you a relative
understanding.
Here are the 10 cheapest places to live in the United States:
1. Mississippi: 84.8 (Housing index = 66.7)
2. Oklahoma: 86.8 (Housing index = 70.1)
3. Arkansas: 87.8 (Housing index = 75.2)
4. Kansas: 87.9 (Housing index = 71.8)
5. Missouri: 88.9 (Housing index = 71.6)
6. Georgia: 89.4 (Housing index = 71.3)
7. Alabama: 89.4 (Housing index = 70.2)
8. New Mexico: 89.6 (Housing index = 80.4)
9. Tennessee: 90.2 (Housing index = 82.6)
10. Indiana: 90.4 (Housing index = 76.5)
2020 Summary of Real Estate
2020 was a unique year for all types of real estate. For residential real estate, here’s a summary
from analysts on the trends and occurrences:
From the National Association of Realtors, reporting on Q4 2020:
Annualized Growth Rate for
Real GDP: 4.0
Consumer Prices: 2.2
Consumer Confidence: 94
Interest Rates in Percentages
Fed Funds Rate: 0.1
3-month T-Bill Rate: 0.1
Prime Rate: 3.2
Mortgage Rates in Percentages
30-Year Fixed-Rate: 2.8
Existing Home Sales: 6,777 New Single-Family Sales: 873 Median Home Prices in Thousands of
Dollars:
Existing Home Prices: 311.3
New Home Prices: 348.4
2021 Expert Projections
The projections for the next couple of years of residential real estate have some ups and some
downs. Here is a summary of the NAR projections for the overall scope of real estate by Q4
2021:
Real GDP: 5.0
Consumer Prices: 5.0
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Consumer Confidence: 100
Interest Rates in Percentages
Fed Funds Rate: 0.1
3-month T-Bill Rate: 0.1
Prime Rate: 3.2
Mortgage Rates in Percentages
30-Year Fixed-Rate: 3.1
Existing Home Sales: 6,410
New Single-Family Sales: 1,050
Median Home Prices in Thousands of Dollars:
Existing Home Prices: 321
New Home Prices: 348
To see the full report from NAR: http://bit.ly/l2l-document
2021 Expert Projections
The projections for the next couple of years of residential real estate have some ups and some
downs. Here is a summary of the NAR projections for the overall scope of real estate by Q4
2021:
Annualized Growth Rate for
Real GDP: 5.0
Consumer Prices: 5.0
Consumer Confidence: 100
Interest Rates in Percentages
Fed Funds Rate: 0.1
3-month T-Bill Rate: 0.1
Prime Rate: 3.2
Mortgage Rates in Percentages
30-Year Fixed-Rate: 3.1
Existing Home Sales: 6,410
New Single-Family Sales: 1,050
Median Home Prices in Thousands of Dollars:
Existing Home Prices: 321
New Home Prices: 348
To see the full report from NAR: http://bit.ly/l2l-document
KEY TAKEAWAYS: according to these projections, while interest rates may hold relatively
steady, existing-home sales will decrease and new home sales will increase. Average home
prices will also increase in both categories. This may mean that the time to buy is NOW (before
these forecasts become a reality).
2021 For Home Sellers
Here are some key predictions from experts on what 2021 will hold for home sellers.
Mortgage Bankers Association estimates an average of 3.3% in mortgage rates for 2021.
National inventory fell 39.6% in 2020, making home listings scarce.
Both existing home sales and new home sales are projected to increase in quantity and
average listing price.
Median listing prices grew 14.4% in 2020, with no major decline predicted.
Metro areas alone saw a price increase of 8.8% in 2020, compared to YOY stats.
Bottom line: demand is high and mortgage rates are affordable, removing barriers to access
and giving more people than ever the means to buy a home. This can drive prices up, giving
home sellers an opportunity to list at higher-than-average prices.
2021 For Home Buyers
If high prices and high demand are great for home sellers, what do they mean for people who
want to buy a home? Low mortgage rates are the ticket to home buyer advantages in 2021.
There are three main things to keep in mind:
1. Because of federal mortgage forbearance, 2020 saw a historically low level of foreclosure
activity, even in the face of delinquent loans. This has shifted the typical timeline for sellers
getting out of homes and buyers getting great deals on pre-foreclosures.
2. Mortgage rates have never been and may never be lower. For now, analysts predict that
the Fed will keep mortgage rates at their current, record-making low percentages. It is
expected that mortgage rate averages will be 3.1%-3.3% throughout 2021.
3. New single-family home construction is expected to rise again in 2021 (having fallen in
2020). With as many as 940k new homes coming on the market, home prices are also
expected to grow an average of 4.1%. This may mean that the best time to buy is NOW
before home prices go up again.
1. Fewer Showings
A well-priced home is based on a lot more than comparable home prices in your area or even
your neighborhood. Listing at the right price holds a lot of psychology. There is a certain
equation of showings and foot traffic you need to create bidding wars and get the right price
for your home. If you price your home too high to begin with, you’re going to miss out on a
huge margin of potential buyers.
A home will probably get few showings if it is more than 10% above market value.
Price it right. Additionally, here are some tips that can help your home get more showings:
Get listing feedback: your realtor can get this from other real estate agents and buyers. Use
strategic and creative online marketing. Get professional pictures taken and a 360 video tour of
your home. Stage your home to sell: take care of curb appeal and cosmetic adjustments to
make your home more appealing to buyers. Appeal to emotion: as more buyers start their
journey online, you need a compelling story and reasons they should come out and see the
home.
2. Attract the Wrong Buyers
Price brackets are all-important to home buyers. If bumping up your listing price puts you into
another range, you’re going to get the wrong buyers.
In this case, wrong buyers aren’t people who are unqualified. Instead, they’re people who are
looking for a certain quality of home to match their price point. If your home is overpriced, it
won’t have what they’re looking for and you’ll waste a lot of time wooing people who aren’t
going to buy your home.
Instead, use these tips to attract the right buyers:
Update MLS listings with events and ask for an RSVP
Tap niche or specialty markets
Get referrals
Add incentives to the home sale
3. Lose in Search
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The price bracket is also relevant for this issue. It’s dangerous to overprice your home because
most buyers are finding you through online searches. If you don’t show up for the price bracket
your ideal buyer is searching in, you’ll lose out.
This loss of visibility could leave your home sitting on the market and eliminate any activity it
could have had.
There are ways to win in search. Of course, the first is pricing your home right. This way, you’ll
be within the range of buyers who are looking for a home like yours.
You can also:
Use quality keywords and buzzwords
Add a thorough, colorful description to your post
Add an array of creative photos and videos
Talk to your real estate agent about every platform on which your home can be featured,
including websites and social media outlets
4. Help Your Competitors
Comparative Market Analysis (CMA) is the process real estate professionals use to analyze
recently sold or for sale homes near yours. If that isn’t done, or you ignore it and price too high,
you’re actually helping your competitors.
Buyers have certain expectations with a price point for a home. If you’re trying to sell a beer
home for a champagne price (and they don’t get champagne), they’re moving onto the next
home. What’s more, buyers in a certain price range will be looking at comparable homes. If
your home is priced the same but has inferior features, it will instantly look worse than the
homes it’s being shown next to.
In addition to helping your competitors, a home without a completed CMA could have issues
during the home appraisal process.
5. Spend Too Long on the Market
Overpriced homes don’t sell fast. The longer a home sits on the market, the less desirable it
looks. If you have to start dropping the price, that looks even worse.
Pricing your home correctly is the best way to ensure that you get early, quality traffic.
Here are some more tips for selling your home fast:
Make it show-worthy
Neutralize your decor
Time your listing
Use professional media
Be accommodating about scheduled showings and open houses
Stand apart with unique events or showcases
Get feedback
TIP THREE: The Kitchen
In most homes, buyers will spend the most time in the kitchen. Make sure your kitchen is ready
for this. If you have appliances that are dirty or old, get them cleaned spotless or consider
replacing them. You do not need to spend a lot of money replacing your stove or refrigerator
with top end appliances, but you do not want buyers walking into a kitchen, see a dirty stove or
refrigerator and then walking out because of it. And do not forget the drawers and cabinets as
buyers will open these! If you need a referral to a good cleaning service, let me know and I can
send you a couple of names.
TIP FOUR: The Bathrooms
Your bathrooms will also get the drill sergeant review from buyers, in particular any master
bathrooms. Similar to the kitchen, make sure that any old fixtures are replaced and that the
floors, bathtub & shower and walls are CLEAN. You can replace bathroom fixtures easily these
days without spending a lot of money. And a fresh coat of paint can go a long way here too. I
have seen buyers walk out of houses after walking into dirty old bathrooms.
TIP FIVE: Curb Appeal
First impressions count. Similar to a fresh coat of paint for a room, a yard that has the grass cut
nicely goes a long way. Walk outside and look at your front yard and the front of the home.
Does the front of the house need paint or residing? Are there any broken windows or shutters
that need repair? Does the yard need cleaning? You do not need to hire a landscape architect,
but you want to make sure that your yard looks clean and nice. Be sure to pick up any items in
the yard, position trash bins so that they are not visible from the street and any other general
cleaning / maintenance that might be needed. If you need information for a someone that
does this type of work, let me know and I can send you a couple of names.
TIP SIX: Declutter
If you are thinking about selling within the next year, start this now. I have seen buyers walk
through homes that have too much stuff everywhere and comment to me that it just looks
messy. When a buyer thinks a home is messy, they figure that there are other problems with
the home as well even if there is not! This is something that even I deal with sometimes as we
just get so 'used to things' laying around that we do not even see them anymore. They almost
become invisible! Do decluttering in two stages.
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Stage One:
Get everything that you have not used in last few months (or years!), and do not anticipate
using in the foreseeable future boxed up and in storage or the basement (neatly!). This would
include clothes that you have not worn in long time, dishes / appliances that you have not used
in forever, paperwork piling up, bathroom items and other things. These are items that you do
not want to throw away or donate, but that you just do not need in your home on a day to day
basis.
Stage Two:
This is when you are getting close to listing your home for sale. Now you want your home to be
ready for buyers to walk through and have a good impression so that they think to themselves,
"This is a clean and neat home, the owner must take care of it!" This will also help make moving
day easier after your home is sold! Pack up even more clothes that you are not going to wear
anytime soon, pack up toys, appliances that are not being used, other kitchen items, bathroom
items, tools, books, art, etc. Put these in storage or boxed neatly into the attic or basement. Be
sure to label all boxes with both the room they belong to, like, "Kitchen" and what is in the box
"Dishes".
TIP SEVEN: Hire a Home Inspector
If you are thinking that you might sell your home in the next year, consider this, most buyers
will hire a home inspector that will inspect your home for any and all issues. Wiring, foundation,
installation, etc. In the case of a Home Inspection, you do not want to be surprised! When you
accept an offer on your home, you want to close the deal with as little hassle as possible. More
and more home owners will hire a home inspector and provide a home inspection report to
buyers as this can make buyers more ready to make an offer on your home, especially if they
are considering other homes that do not have a home inspection. The other benefit for you
though is that you can use the home inspection as a 'What do I need to do' guide if you find
something major. Please keep in mind that home inspection reports will be detailed and may
startle you initially similar to reviewing your results from a physical if the doctor is not present! If
you make the wise investment for a home inspection, have me come over after you get it to
review it with you and I can give you advice on what is common in our market and what is not.
Every market is different, so just because you see something that looks scary on the inspection
report, does not necessarily mean you need to fix it. But either way, you can be assured that
buyers will get an inspection done and you do not want to be surprised by this when you are
trying to get the home sold.
1-5: Things You Can’t Change (but can market around)
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1. Street name: live on “Wimpy Way”? Street names may stick out to potential buyers and
be a detractor. You can’t change it. You can (a) make light of it or (b) downplay it in your
marketing.
2. A neighbor’s home: live next to a hoarder? You may not be able to conceal that fact, but
you can direct attention elsewhere by pointing out “nearby” amenities or positives about
the neighborhood.
3. Power plants or landfills: close to utilities? These can lower your property value. However,
you can again focus on amenities “in the other direction” or nearby that offset that
deterrent.
4. Nearby foreclosures: comps are a big deal. If there are numerous, visible foreclosures
and eyesores near your home, you’ll have to go the extra mile to amp up your own curb
appeal and show off in comparison.
5. Bad schools: if the school system is poor or has a bad reputation, it can be a stigma for
families. You may choose to market your home to elderly people or busy professionals who
may not have children.
2-10: Aesthetics
6. Bright colors inside: a common piece of advice offered by realtors is “neutralize your
decor” before selling.
7. Bright colors outside: you may love your hot pink shutters and door, but your outdoor
paint is also a point of consideration for curb appeal and home value.
8. Excessive landscaping: if you are a horticulturist, you may love the proliferation of spidery
plants and unique vines. The maintenance this implies for homeowners could be a turnoff.
9. Excessive landscaping: if you are a horticulturist, you may love the proliferation of spidery
plants and unique vines. The maintenance this implies for homeowners could be a turnoff.
10. Dirty roof: same goes with a roof. It may look older than it is if it’s caked with gunk and
grime. Get it professionally cleaned and you’ll get fewer questions about how old it is.
10-15: Positioning
11. The lot: corner lots may sell for more and where you are on a lot can be used to
promote a higher value. Some people love the phrase, “eastern facing windows” in a home
description.
12. Major roads: if you are near highly trafficked roads, it can be a drawback for some
buyers. Talk up new windows or other ways the home is shielded from the noise and
busyness.
13. Nearby neighbors: if you have a lot of renters in your neighborhood, it may be less
appealing to future buyers.
14. Major airports: if you are near an airport, buyers may be afraid of the noise. Instead, you
can bill the house has “commuter friendly”!
15. Near a cemetery: some people are superstitious or just don’t want to live near a
cemetery. The good news is, cemeteries are often beautifully kept piece of land. For the
right buyer, this can be a benefit.
15-25: Even MORE
Think we’ve covered it? Think again. Here are some additional factors that could impact your
home value:
16. Energy inefficiency
17. Broadband access
18. Invasive plant or animal species
19. Unpleasant home history
20. High crime
21. Pollution
21. Pollution
23. Over improvements
24. Niche improvements
25. Space allocation
Section 4: Time it right
2020 Summary of Real Estate
2020 was a unique year for all types of real estate. For residential real estate, here’s a summary
from analysts on the trends and occurrences:
From the National Association of Realtors, reporting on Q4 2020:
Annualized Growth Rate for
Real GDP: 4.0
Consumer Prices: 2.2
Consumer Confidence: 94
Interest Rates in Percentages
Fed Funds Rate: 0.1
3-month T-Bill Rate: 0.1
Prime Rate: 3.2
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Mortgage Rates in Percentages
30-Year Fixed-Rate: 2.8
Existing Home Sales: 6,777 New Single-Family Sales: 873 Median Home Prices in Thousands of
Dollars:
Existing Home Prices: 311.3
New Home Prices: 348.4
2021 Expert Projections
The projections for the next couple of years of residential real estate have some ups and some
downs. Here is a summary of the NAR projections for the overall scope of real estate by Q4
2021:
Real GDP: 5.0
Consumer Prices: 5.0
Consumer Confidence: 100
Interest Rates in Percentages
Fed Funds Rate: 0.1
3-month T-Bill Rate: 0.1
Prime Rate: 3.2
Mortgage Rates in Percentages
30-Year Fixed-Rate: 3.1
Existing Home Sales: 6,410
New Single-Family Sales: 1,050
Median Home Prices in Thousands of Dollars:
Existing Home Prices: 321
New Home Prices: 348
To see the full report from NAR: http://bit.ly/l2l-document
2021 Expert Projections
The projections for the next couple of years of residential real estate have some ups and some
downs. Here is a summary of the NAR projections for the overall scope of real estate by Q4
2021:
Annualized Growth Rate for
Real GDP: 5.0
Consumer Prices: 5.0
Consumer Confidence: 100
Interest Rates in Percentages
Fed Funds Rate: 0.1
3-month T-Bill Rate: 0.1
Prime Rate: 3.2
Mortgage Rates in Percentages
30-Year Fixed-Rate: 3.1
Existing Home Sales: 6,410
New Single-Family Sales: 1,050
Median Home Prices in Thousands of Dollars:
Existing Home Prices: 321
New Home Prices: 348
To see the full report from NAR: http://bit.ly/l2l-document
KEY TAKEAWAYS: according to these projections, while interest rates may hold relatively
steady, existing-home sales will decrease and new home sales will increase. Average home
prices will also increase in both categories. This may mean that the time to buy is NOW (before
these forecasts become a reality).
2021 For Home Sellers
Here are some key predictions from experts on what 2021 will hold for home sellers.
Mortgage Bankers Association estimates an average of 3.3% in mortgage rates for 2021.
National inventory fell 39.6% in 2020, making home listings scarce.
Both existing home sales and new home sales are projected to increase in quantity and
average listing price.
Median listing prices grew 14.4% in 2020, with no major decline predicted.
Metro areas alone saw a price increase of 8.8% in 2020, compared to YOY stats.
Bottom line: demand is high and mortgage rates are affordable, removing barriers to access
and giving more people than ever the means to buy a home. This can drive prices up, giving
home sellers an opportunity to list at higher-than-average prices.
2021 For Home Buyers
If high prices and high demand are great for home sellers, what do they mean for people who
want to buy a home? Low mortgage rates are the ticket to home buyer advantages in 2021.
There are three main things to keep in mind:
1. Because of federal mortgage forbearance, 2020 saw a historically low level of foreclosure
activity, even in the face of delinquent loans. This has shifted the typical timeline for sellers
getting out of homes and buyers getting great deals on pre-foreclosures.
2. Mortgage rates have never been and may never be lower. For now, analysts predict that
the Fed will keep mortgage rates at their current, record-making low percentages. It is
expected that mortgage rate averages will be 3.1%-3.3% throughout 2021.
3. New single-family home construction is expected to rise again in 2021 (having fallen in
2020). With as many as 940k new homes coming on the market, home prices are also
expected to grow an average of 4.1%. This may mean that the best time to buy is NOW
before home prices go up again.
Maximizing Curb Appeal
First impressions matter. Make prospective buyers fall in love with your home the minute they
set eyes on it with the following subtle changes:
A fresh coat of paint on the front door and porch
Updated landscaping and shrubbery
Pressure wash driveways and walkways
Clean out dead leaves, cobwebs, and other debris
Add a welcoming door wreath or potted plants by the door
Give your home a deep clean and have the space professionally staged so that prospective
buyers can imagine their family in your property:
Depersonalize Your Home
Remove family pictures, artwork, and personal touches from your home, so that buyers see
your home as a blank canvas.
Take a Minimalist Approach
Make your home seem spacious by removing large furniture items. Clear out storage spaces
and cupboards to make them seem larger, and remove any bulky appliances.
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Let the Light Shine
Flood your home with as much natural light as possible. Replace heavy fabric curtains with
sheer drapes, and keep your blinds open to let in natural light.
Work With Professionals
A professional stager pays for themselves many times over in the value they add to your home.
They’ll work to design the perfect ambiance for prospective buyers.
High-Quality Photography
Buyers make a decision to view your home based on what they see online – and pictures are a
huge part of that.
Work with a professional photographer to shoot and edit images of your home.
Include at least 25 photos of your home in the listing, featuring every room, as well as all
outdoor space that is part of your property.
Bonus: if you’re working with a realtor, they’ll often be the ones paying for the
photographer – you won’t have to spend a dime.
Setting the Right Price
Appropriately pricing your property for a fast sale doesn’t mean underpricing it – instead, use
market data and your realtor’s expertise to set a fair market price.
Look at Comparable Homes
Identify similar homes in your neighborhood that have recently sold. This gives you a ballpark
figure of what your property is worth.
Price to Attract Buyers
Set a price that encourages buyers to view your home. Pricing high and cutting the price later
won’t work – it’ll make buyers think something is wrong with the home.
Work with a Realtor
Nobody knows the local real estate market as well as a real estate agent. Skilled real estate
agents appropriately price your home, and they’re invaluable when it comes to negotiating
and closing.
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Selling your home in winter: stats & tips
In most areas, winter is considered the most difficult time of year to sell a home. Short, cold
days keep buyers at bay, and showing a home can be tough in poor weather conditions. For
sellers in extremely hot areas like florida and southern nevada, however, the cooler weather is
a welcome respite.
Winter sales have less competition to contend with, and serious buyers are often motivated to
close before the year’s-end to secure tax breaks.
Tips for staging a house in winter:
Highlight cozy features like fireplaces and reading nooks.
Keep holiday décor minimal and tasteful.
Keep the driveway, walkways, outdoor patios, and decks clear of snow.
Turn up the thermostat to keep prospective buyers warm and comfortable.
Place absorbent mats inside and outside for wet shoes.
Beat the winter gloom by opening blinds and installing brighter light bulbs.
Selling your home in spring: stats & tips
Spring is widely considered the best season to sell a home. The first two weeks of may yield the
most home sales at the most competitive prices. Homes sell an average of 18 days faster in
may than in any other month, and for at least 6% more money. Homes sold in june typically
close over 9% above market value.
The benefits of selling a home in spring include warmer weather, longer days, and heightened
curb appeal. Spring has its drawback too, with unpredictable weather and fierce competition.
Sellers in triple-digit-heat areas may be better off waiting for cooler months, while those
looking to sell a fixer-upper may find it difficult with so much competition.
Tips for staging a house in spring:
Liven up the home with fresh flowers and greenery.
Stage outdoor furniture and highlight patio areas.
Add a floral wreath to your front door to increase curb appeal.
Paint walls in soft, bright springtime colors that complement existing features.
Brighten dark walls up with crisp white décor.
Fill planters or garden bedding with colorful flowers.
Selling your home in summer: stats & tips
Summer real estate markets trend hot. With families looking to settle before the school year
starts, sellers can expect tough competition, higher selling prices, and greater potential for
bidding wars. In some areas, june is the top month for closing on homes.
The summer weather is more predictable, with longer daylight hours making it easy to show a
home and to move. Summer sellers have the advantage of using data from spring home sales
in the area to help price homes competitively. With the buying window closing, prospective
buyers are more likely to make competitive offers and close faster.
Tips for staging a house in summer:
Take advantage of colorful landscaping.
Maximize natural light and trim back any trees that block windows.
Don’t forget to highlight outdoor spaces.
Keep prospective buyers cool by running a/c and ceiling fans.
Provide shade in outdoor areas.
Offer refreshments.
Selling your home in fall: stats & tips
In most areas, the real estate market slows down in the fall. With kids back in school and the
holidays looming, buyers are loath to take on big changes. For sellers in extremely hot areas or
those in places like tornado alley, however, the fall may be the best time of all. Sellers have less
competition to contend with, and serious buyers are typically motivated to close before the
holidays.
Tips for staging a house in fall:
Make selling images pop with colorful fall foliage.
Keep on top of fall maintenance, like clearing debris from gutters.
Rake up leaves and patch brown spots in the grass.
Highlight features like fireplaces and reading nooks.
Make use of cozy décors like throw pillows and blankets.
Paint walls in neutral and warm colors.
As days get shorter, open blinds for natural light and use lots of lamps.
Employ seasonal scents by burning candles or simmering apple cider with cinnamon.
Section 5: Get the best deal
Let’s start with four DON’Ts. Here are four things NOT do when you put your home up for sale:
1. DON’T Get Emotional.
Maybe you’ve lived in your house for 25 years and raised your kids there. Maybe you’re
moving for a reason that’s inherently emotional or difficult. Maybe you just feel the heightened
stress of selling a home and let your emotions into the mix. Do your best to put your emotions
on the shelf and be as pragmatic as possible about selling your home.
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2. DON’T Set an Unrealistic Price.
Pricing your home is one of the first, and most important, decisions you’ll make when listing
your home for sale. If you get too caught up in the “what-ifs,” you may set your sights too high
and set an unrealistic price. This will mean your home sits on the market longer and can cost
more money in the long-run.
3. DON’T Hide Major Problems.
A good home inspector will find out all of the issues with your home anyway. Not being
forthcoming about known issues will slow the whole process down. You don’t want to have an
offer on the table that doesn’t work out because you’ve failed to disclose something or
because inspection uncovered something huge.
4. DON’T Wait Until the Last Minute.
There are numerous documents you’ll need to have in hand before you can list and sell your
home. Don’t wait until the last minute to get your ducks in a row. Everything will go faster and
smoother if you have everything you need.
Here are some DOs. Not doing these are huge mistakes that home sellers make all of the time.
5. DO Film Video Walk-Throughs.
Especially as virtual home buying becomes increasingly popular, your home will get more
views and interaction if you have video walk-throughs. Video tours can usually be filmed by
someone who works with your real estate agent. These are compelling and add value to your
listing.
6. DO Make Minor Repairs.
If you’ve lived in your home a long time (or even if you haven’t), you may have learned to live
with squeaky hinges or broken railing. Homebuyers will be turned off by these things, and it’s a
lot cheaper to fix them yourself than to have negotiations about the deal.
7. DO Make Cosmetic Improvements.
It may be hard to see your lived-in home objectively. But potential buyers will be the first to
notice worn-out carpeting and scuffed walls. A little bit of paint, a little bit of carpet cleaning, a
pressure wash on the driveway goes a long way.
8. DO Stage Your Home.
Now that many buyers are checking you out virtually, it’s even more important that your home
looks bright, light, and modern. It may be worth it to pay an expert stager or have a friend with
a great eye come in and update your decor.
The last four mistakes many people make have to do with buyers and the buying process.
Home sellers can impact the sale! BE CAREFUL that you don’t make these mistakes.
9. BE CAREFUL About Negotiations.
There are great things and ways to negotiate… and poor ones. You need to sit down with your
real estate agent early in the process and determine your absolute bottom-line selling price
and anything you are or are not willing to talk with a potential buyer about.
10. BE CAREFUL About When You Sell.
You may already know that selling during the winter months will get you a lower price for your
home. There are ideal times to list your home. This may even extend to when online listings go
live and when you alert the community.
11. BE CAREFUL About Buyer Qualifications.
A huge time-waste that home sellers sometimes experience is trying to work with unqualified
buyers. While your real estate agent should have a great process for pre-approvals and proof
of funds, be sure you are in the know about who is being let through your door.
12. BE CAREFUL About Delays.
Any number of things can derail your home sale. It’s super important that you don’t make
impulsive decisions that could set you back several weeks. When in doubt, ask your REALTOR.
Facts About Curb Appeal
Curb appeal matters. And that’s not just an opinion. Here are some cool, hard facts about the
major difference good curb appeal can make for your home sale.
People form an opinion within 1/10th of a second of seeing someone or something.
99% of NAR members believe that curb appeal is important
97% of potential buyers think that curb appeal is important
94% of realtors will recommend improving curb appeal before listing a home for sale
A well-landscaped home can add between 5% and 12% more value to a home price
Cleaning the outside of a home can add as much as $15,000 to the sale price in some states
5 Highest-Impact Curb Appeal Changes
Knowing what’s at stake, you should definitely plan to make curb appeal improvements a
priority as you list your home for sale. Here are the five most impactful changes you can make:
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Trim trees: get them professionally clipped and groomed.
Plant grass or sod: a bright green lawn makes a huge difference and adds value to a home.
Add color: this can be in the form of flowers, shutters or even furniture with bright pillows.
Take care of the roof: your roof may need to be cleaned. Even without knowing it, a dirty roof
draws the eye and makes a home look bad.
Touch up paint or pressure watch: even a quick pressure wash can make paint look new again.
Lowest Cost Curb Appeal Investments
On a budget? Many people can’t or don’t want to make huge investments in a home they are
selling. That’s understandable. You don’t have to shell out big bucks to improve curb appeal.
Many of the changes you can make are affordable.
Here are your best, low-cost options for improving curb appeal:
Power wash everything (home, driveway, sidewalk, mailbox)
Update window shutters
Create a front yard seating area or a small garden
Add landscaping around the mailbox
Weed and clean up all landscaping
Update light fixtures (could paint or just change out the bulbs)
Add lighting to a walkway
Trim trees and bushes
Add a flag or garden ornaments
Paint the front door
Add new house numbers
Store trash and recycling bins out of sight
Add a border to your driveway
Don’t park cars in the driveway
Pick up clutter
Fix fences
Capturing Curb Appeal in Photos and Videos
87% of home buyers rely on photos when hunting for a house. What the outside looks like
doesn’t just matter for a drive-by. Many buyers want to see video tours and tons of pictures
before they’ll even schedule a showing.
Investing in professional photos or videos could encourage traffic to your online listing.
Whether you get a pro or not, outdoor photos should be part of your listing.
Here’s a list of the photos to take:
Front view of the home from across the street
Front view of the home from up close
View of the front door
View of any front yard outdoor living spaces
View of any outdoor living spaces
Side view of the home (from both sides)
Backyard view from the back door
Backyard view facing the back door
Staging Your Kitchen
The kitchen is the heart of a home. Many buyers will make decisions based on what your
kitchen looks like. Even without a costly renovation, you can make cosmetic changes that
transform the impression your kitchen makes to potential buyers.
Get rid of or store old or worn down appliances
Declutter your kitchen, cleaning the counters and cabinets out as much as possible
Deep-clean and regrout
Use special cleaners to shine granite or stainless steel surfaces
Remove personal items, such as monogrammed towels or photos
Keep the kitchen fresh smelling (don’t cook strong-smelling food before a showing)
Place fresh flowers on the countertops or table
Set the table with placemats, napkins, plates, cups, and a centerpiece
Kitchens can be a beautiful space that helps people envision themselves sharing wonderful
family meals in their new home.
Staging Your Bedrooms
Bedrooms don’t just get the casual count to make sure there are enough, people want to know
if their furniture will fit and if the bedrooms will be comfortable for adults and children. There
are some simple ways to improve the appearance of bedrooms and let a wide range of
potential buyers envision themselves in your space.
Take collages or personal photos off the walls
Paint or at least touch-up the paint
Declutter
Get fresh bedspreads, if needed, and make all beds with attractive covers and pillows
Clear off all surfaces, reducing the number of tchotchkes or accessories
Either remove all children’s decorations or at least tone down the decor and make
gender-neutral or simpler
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Deal with dirty flooring, either by getting it professionally cleaned or replaced
Open all curtains and blinds, letting in as much fresh light as possible
Move out any oversized or excessive furniture
Bedrooms should be simple, neutral, and relaxing. Add lamps if they’re dim. Refresh walls,
flooring, and bedding as needed.
Staging Your Bathrooms
In addition to working plumbing and functional fixtures, staging bathrooms can help them feel
more luxurious and high-end. Small changes can make a big difference. Here are some tips.
Remove personal belongings and toiletries (at least from sight)
Add storage that looks luxurious, like woven baskets or bright stainless steel holders
Repaint or decorate in neutral tones
Think about a spa feeling, with beautifully wrapped toiletries, fresh towels, and calming
scents
Replace dingy shower curtains
Recaulk if needed
Clean the grout on all tile
Clean all of the fixtures so they shine
Get fresh mats
Bathrooms don’t just have to be functional: they can be beautiful! Even small bathrooms can
look brighter and fresher with these tweaks.
Staging Your Living Spaces
Living spaces are usually the first or last things people see when they tour your home. Give
them a great view with these great adjustments:
Declutter: clean off all surfaces and remove excessive or bulky furniture
Add soft, bright lighting in any dark corner or spaces
Redesign or rearrange furniture so there are conversational spaces and plenty of open
areas
Use mirrors, modern wall hangings
Add house plants
Choose rugs that accent the furniture
Open all curtains and blinds to let natural light in
Dust top to bottom
Make all lightbulbs uniform, so they are the same color light
Create small “activity” spaces that represent the intended or possible use of the space
All of your spaces deserve to be masterfully staged. You may want to hire a staging expert to
help you truly elevate your decor and increase your chances of a top-dollar home sale.
Tips To Be 100% Organized And Qualified
First, if you’re going to have a leg to stand on negotiations, you need to have your ducks in a
row.
If you are a home seller, you should:
Set the right home price
Have your home ready to show and sell
Know your responsibilities
Have terms in mind
KEY IDEAS:
Set and stick to your list price
Use open houses to foster competition
Use counteroffers with expiration dates
Use counteroffers with expiration dates
The Questions To Ask
Investigative work is the second step in a negotiation that lands you on top. Here are the right
questions to ask if you are the home seller.
Seller:
Who are you negotiating with: what is their financial position?
What strategic concessions are you willing to make?
What comps (other homes for sale) are you up against in your area?
What do you have to negotiate with?
What are your non-negotiables?
1. Create a bidding war
2. Drive urgency
3. Make more money
What's up for negotiation?
As you enter this stage of a home sale or purchase, it’s important to know that it’s not just the
price of the home that’s up for negotiation. In fact, home negotiations can include a huge
range of items that have personal or case-specific value.
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Price
Contingencies
Terms
Occupancy
Furniture
Repairs
Equipment or tools
Closing costs
Fees
Sometimes, negotiations will occur after an inspection. If essential repairs are identified, these
can be included in a negotiation about home price or closing costs.
Negotiation Tips
Negotiations will happen through your realtors, who play a vital role. Home sellers and buyers
have a lot of opportunities to drive the conversation that occurs between real estate
professionals. Here are some negotiation tips:
THE BASICS:
Know how to receive an offer and what your options are
Set a bottom line price you’ll accept
Remember that price is not everything
Set intentions and goals for your negotiations
Understand contingency clauses and offers
The goal for everyone is a win-win deal.
Most important tip: collaborate with a qualified agent who will guide you through this process
What Is A Home Appraisal?
A home appraisal is a process where an objective expert thoroughly assesses a home that is up
for sale. The two goals are to check the quality of the home and assess its value.
Home Appraisals Impact:
BUYERS
A home appraisal ensures that you’re paying what a house is really worth.
SELLERS
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A home appraisal may change what you can sell your home for or spark a renegotiation of
terms.
Home appraisals are done by an objective and impartial professional. Most commonly, a
lender will oversee this process and use a third-party appraisal management company.
Did You Know?
The standards for home appraisals are actually set by congress through the Uniform Standards
of Professional Appraisal Practice.
2. Stages In The Home Appraisal Process
Home appraisals are important. It takes a few steps to get through one.
1. Lender orders appraisal
2. Licensed appraiser is hired.
3. Borrower pays for appraisal (typically included in closing)
4. Home value is determined.
5. Home value report is issued.
How To Prepare For A Home Appraisal?
Here are a few ways sellers and buyers should prepare for a home appraisal.
SELLER PREP
Clean the home
Conduct basic repairs and painting
Be off-premises when the appraisal is being conducted
Have all relevant docs on hand, including permits if you’ve renovated
BUYER PREP
Discuss with your realtor and other stakeholders:
What will you do if the home appraises under listing price?
What will you do if the home appraises over asking price?
Did You Know: You Can Order A Pre-listing Appraisal? This May Lock In Your Sale Price And
Expedite Things Down The Road.
Did You Know: A Buyer Is Not Committed To Paying The Appraised Value Of A Home For Sale.
It Will Change The Logistics Of Your Financing.
5 Tips For Home Appraisals
As a buyer or seller, going into a home appraisal with the right expectations is valuable.
Here are five tips to know what you’re in for.
1. Understand what features can change the home value.
For instance, a home appraiser will take square footage, utilities, renovations and even the
age of home into account before making their declaration.
2. Know the value of similar homes.
This should come into play whether you are listing or looking. Comps factor into a home
appraisal.
3. It will take at least a week.
Depending on availability of people, permits and more could impact the turnaround time for
a home appraisal.
4. Know your options.
Home appraisals may come in higher or lower than listing price. You should discuss your
options with your realtor to know what your negotiation and price difference options are.
5. Ordering independent appraisals.
Not happy with the results? Question the outcome of an appraisal? Buyers or sellers can ask
for a reevaluation of an appraisal or order an independent appraisal.
Section 6: Your next great space
Why Scale Down?
Whether you need to simplify your life or you want to cut utility costs, scaling down has
wonderful benefits. A smaller home is easier to maintain, and you don’t have to give up your
quality of life. There are many situations where scaling down is a smart move.
Common reasons for scaling down:
The kids are grown, and the nest is empty.
Your current house is too big for your needs.
You travel often, or you travel for a living.
You want to save money on energy and maintenance costs.
You need a space that’s physically easier to get around in.
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Scaling down can open doors elsewhere. Splurge on your hobbies, take vacations or boost
retirement accounts with the money you’ll save. Selling your current home could even fund
your new endeavor.
Is Scaling Down Right for You? How to Decide
Scaling down isn’t for everyone. Take time to evaluate your lifestyle and future goals. A
growing family or home-based business might benefit from an extra room or two. If your plans
fit into a smaller space than the one you’re in, downsizing could be your best move yet.
Before you take the plunge, ask yourself:
Will my grown kids or aging parents need to move in at any point?
Will my hobbies or future goals require a home studio or office?
Will downsizing require major lifestyle changes?
Can I part with belongings that won’t fit into a smaller space?
Is it difficult to keep up with cleaning in my current home?
Do entire sections or rooms in my current home go unused?
Is it difficult to keep up with bills?
Smaller is smarter when it allows you to take control of your finances and build a brighter
future.
The Big Benefits of Smaller Spaces
Scaling down can free up time and lead to big savings. Consider the ways downsizing might
improve your quality of life—your future self will thank you.
Scaling down can help you:
Save money on utility costs, like heating and cooling.
Redirect savings toward paying off debt or into retirement funds.
Cut down on clutter.
Pay your mortgage off faster.
Spend more time doing the things you love.
Live in an eco-friendly, energy-efficient space.
Pro-Tips for Scaling Down
Do you have your heart set on scaling down? Plan ahead for a smooth transition.
The following tips will help you get started:
Give Yourself Plenty of Time—plan ahead and give yourself enough time to sort through
belongings. It’s easy to underestimate how long this will take, so leave yourself lots of
wiggle room.
Choose a Prime Location—investing in a new home that is close to your job, family or
hobbies can help simplify your life even further.
Assess Your Belongings—scaling down is a great opportunity for decluttering. Evaluate
your belongings with a critical eye and focus on keeping items that make you happy.
Leave Memorabilia for Last—a stroll down memory can slow you down. Leave the task of
sorting through sentimental items for last. With the bulk of the work done, you can allow
time and space for nostalgia.
Pack Methodically—stay organized and label everything clearly. It will make all the
difference when it’s time to unpack in a smaller space.
Budget for New Furniture—if your current furniture won’t fit into your new space, don’t
forget to budget for new furniture. Consignment and garage sales offer an eco-friendly
way to recycle old furniture and fund those new purchases.
Keep it Functional—choose functional furniture with multiple uses or built-in storage
space to make the most of your new home.
A Dedicated Workspace
Create a dedicated workspace to maximize productivity and minimize distractions. Aim for a
room with a door you can shut. If this isn’t possible, try to find a niche or corner that’s out of the
way, or invest in portable dividers.
A dedicated workspace can look like:
A repurposed guestroom.
A large laundry room.
An enclosed patio.
A finished attic or basement.
A private niche or corner.
A dedicated workspace will help you minimize distractions and set boundaries with family
members, especially young children. It can also help keep your work life from spilling over into
your home life.
Ergonomics Matter
It might seem appealing to work from the couch, but it will take a toll on your body in time.
Avoid repetitive strain injuries with a proper work setup.
Home office essentials include:
A Desk or Table—as a rule of thumb, the top of your work surface should be 29 inches
from the floor. This will vary according to your height. Your forearms should run parallel to
the ground when working and your wrists should be straight.
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A Monitor, or Two—invest in a good monitor or add a second one to increase efficiency
and prevent eye strain. Align your monitor so you can look straight ahead without
hunching your shoulders or looking down.
An Adjustable Chair—invest in a chair with adjustable height and good lumbar support.
Bonus points for adjustable seat pan tilt.
Lighting Hacks
Good lighting will boost your mood, help prevent eye strain and make your workspace look
and feel more professional.
Tips for great lighting include:
Invest in good sources of indirect lighting.
Position your monitor to avoid glare from indoor or natural light.
Make the room look brighter by painting walls a neutral color.
Add mirrors to reflect light and make your space feel bigger.
Bonus tip: If you need to be on camera often, add diffused light sources that illuminate your
face and avoid positioning harsh, bright lights or windows directly behind you.
Productivity at Home
Small adjustments to your space and schedule will help you stay productive. Maximize your
work hours so you can enjoy your time off.
Consider the following tips:
Set a schedule with dedicated work hours and stick to it.
Create a workday start-up routine to help you get into a productive mindset.
Create a workday shut-down routine to help you switch gears to leisure time.
Keep your home office separate from your living space as much as possible.
Keep your workspace organized and clutter free.
Invest in a good pair of headphones to help minimize distractions.
Maximize your space with shelving for vertical storage.
Brighten your space up with plants and other items that bring you joy.
Your Home
Sometimes referred to as ‘Dwelling Coverage’, this aspect of homeowners insurance covers the
physical structure of your home. This includes:
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Foundation
Floors, Walls, and Ceilings
Roof
Mechanicals (Plumbing, Electrical, etc.)
Any other structural component of your home
The insurance covers the cost of rebuilding your home if it is damaged or destroyed by fires,
hurricanes, or any other type of disaster listed in your policy.
Your Personal Belongings
Homeowners insurance doesn’t just cover your home, it covers everything inside too - like
furniture, clothes, and appliances.
Your possessions are insured against events like theft, fire, and other covered disasters.
Other Structures on Your Property
Many homeowners have additional structures on their property besides their main residence.
These might include:
A Garage
A Guest House or Additional Dwelling Unit (ADU)
A Shed or Outhouse
Fences
Most homeowners insurance policies cover these items – check your policy for specifics.
Liability for Injuries or Damages
Homeowners insurance also protects homeowners against liabilities for injuries or damages
suffered by others on their property.
One example: a neighbor trips and falls on a broken step, and sues you for medical expenses
and loss of earnings. Your homeowners insurance would cover all associated costs.
Homeowners are typically covered for $100k - $500k in liabilities, depending on the level of
coverage in their policy. Experts suggest you have at least $300k in coverage.
Other Coverage
Additional Living Expenses
Most policies cover living expenses if you have to move out of your home temporarily due to a
covered disaster. Your insurance will cover the cost of a hotel room or temporary rental
accommodation.
Personal Umbrella Coverage
Personal Umbrella Coverage
This adds additional liability coverage to your homeowners policy. High net worth individuals
with a lot of assets, or people who own liability-increasing assets like swimming pools, are
good candidates for personal umbrella coverage.
Flood & Earthquake Insurance
These are NOT covered by traditional homeowners insurance policies. If you live in an area
where either of these is a threat, you will need to purchase additional insurance coverage.
Green Appliances
There are plenty of eco-friendly appliances for every room in the house.
Kitchen:
Electric kettle
Energy Star labeled fridge
Water-saving dishwasher
Composter
Low-power electric ovens
Laundry Room:
Low-energy, cold temp washing machines
Tumble dryers or heat pump dryers
Laundry Room:
Programmable thermostat
LED light bulbs
Reduce, Reuse, Recycle (Every Day)
The 3Rs never go out of style. Here are some easy ways to integrate these principles in your
home:
Swap out plastic trash bags with ones that biodegrade.
Buy recyclable/reusable baggies, food storage, and containers.
Collect rainwater (if allowed in your state).
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Buy fewer prepackaged items and always take your own bags to the store.
Learn how to fix, rather than replace, items in your home.
Recycle electronics, especially old tech and batteries.
Use your local recycling resources!
A Green Garden
Did you know that using native species is better for the local climate? Plus, they grow best
andlook great!
Here’s how to get started:
1. Use the internet to find out what climate zone you live in.
2. Search for plants that are local flora/fauna to your zone and region.
3. Identify a few that are within your price range and would grow in the space you have.
4. Purchase seeds locally. Even better: save seeds from locally grown fruit, veggies or have
neighbors graft you a piece of their plants.
You may wish to consult with a gardener, arborist, or other plant specialists in your area.
Thisgives you the advantage of learning from a local and doing what's best for your local area!
How to Make Green Going Green
Believe it or not, going green doesn’t just have the moral benefit of helping the earth! There
area lot of ways that being eco-friendly actually saves you money.
For instance:
Long-term costs savings show up in the form of decreased energy bills. Energy-efficient
appliances save you money!
Reusable packaging and containers only require a one-time investment, which saves
money in the long run.
Growing your own plants and even food saves money in landscaping... and groceries!
Many states also provide rebates for green upgrades and improvements to your home:
Federal tax credits are available for geothermal, wind, and solar improvements.
You may be eligible for a Residential Energy Tax Credit after upgrading windows,
appliances, or systems in your home.
Federal, state, and local government agencies offer a variety of tax credits, rebates, and
savings programs that can offset the cost of going green.
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Porches and Pavilions
Many homes come with outdoor structures. These may be in varying states of usefulness or
beauty. Here are some smart ideas for improving porches, pavilions and other outdoor
buildings or elements.
Porch:
Address the flooring. Is it hardwood? Stone? Cement? All of these can be refurbished or
just pressure washed to look good as new.
Add actual (outdoor) furniture to create seating areas and even textiles, like
Update the lighting. You may not hang out on your porch because it’s too dark at night.
You can add lighting on the railing, along the perimeter and even on tables on the porch
itself.
Pavilion:
Pergolas may need to be resealed for weather resistance or repainted every couple of
years.
Pavilions may benefit from getting new vinyl covers and even rollaway siding. These can
function as separate outdoor spaces for parties or just family fun.
Gazebos may be pressure washed and cleaned out. You can also use decorative or
functional lighting and get any broken pieces fixed.
Shed:
Sheds aren’t just for keeping the lawn equipment and Halloween decorations. Now, high-tech
sheds can include lighting and even air conditioning, making them a fun on-site option for
playrooms or home offices.
Plants:
Depending on where you live, seasonal plants may be a great option for keeping your outdoor
spaces vibrant and beautiful at all times. You may wish to research and plant some of the
following:
Perennials: many flower species will come up every year. Plant strategically for beautiful
blooms each spring.
Annuals: get a splash of color each year by freshly planting annuals. Remember, though, that
you will have to rotate them out and compose or dispose of them because they only last one
year.
Vines: vines are a great way to accent walls or provide a whimsical element to the outside
spaces of your home.
Greens: greens should comprise the core of your landscaping. These require very little
maintenance and are hardy against the elements.
Expert tip: pick one color of mulch and use it in all of your flowerbeds. Re mulch quarterly to
keep it looking fresh and sharp.
Your Kitchen Garden
There’s nothing more enjoyable than heading out to the garden to grab a summer fresh
tomato or sprig of basil for your sauce. Some plants are virtually proof and easy for gardeners
in any climate and at any level to grow.
Here are some great starter plants for an outdoor garden:
Herbs. Basil, oregano, mint and rosemary are renowned for being easy to grow and wonderful
in a variety of dishes.
Vegetables. If you want some hearty, healthy options from your own backyard, vegetables are
easy to grow from seed. You’ll have to pay attention to planting cycles and care. Some great
options are zucchini, green beans, pumpkins, carrots, turnips and radishes.
Berries. Sweet, tart and fairly climate-resistant, berries are a great option if you want a quick
yield. Compared to tree fruit or vine fruit, berries will germinate and grow fairly quickly. You’ll
need a plan for protecting these from wildlife but you can plant strawberries, blackberries or
blueberries and see a beautiful harvest.
Pavers and Concrete
Your outdoor space is probably a mix of grass and pavers or concrete. Whether you have a
slab or individual pavers, these elements can help shape your outdoor spaces and provide a
steady base for your basketball games or seating areas.
Here are some creative options:
Pavers: in any size and configuration, pavers can create patios, porches, walkways and garden
accents. They may require expert installation and can be expensive as well as needing
maintenance. However, many people love the luxe look and even choose to use pavers on
their driveways. If installed and sealed correctly, they’ll last a long time and are far less likely to
crack than a concrete slab.
Mosaic concrete: instead of a simple slab, you may choose to work with a company that can
create concrete mosaics. These are arrangements of small concrete portions, sometimes filled
in between with gravel. It looks modern and clean.
Stamped concrete: want to take it up a notch but not commit to the process of pavers?
Stamped concrete may be your best bet. You can get well-designed and textured concrete that
looks like stones.
HOA Agreements
What are you really signing up for? There are some common aspects to an HOA agreement
that you should know. Of course, it’s most important that you read an HOA agreement
thoroughly to fully understand your specific terms.
Typically, an HOA agreement will include things like:
Monthly or annual fees
Election and terms for board members
Bylaws, which will detail the HOA standards
House color
House maintenance
Lawn maintenance
Recreational facilities
Other amenities
Reserve fund and fund allocations
Compliance and conflict management
Insurance responsibilities
Public space maintenance
An HOA agreement will also detail the legal rights and responsibilities of all parties. Read on to
learn more.
HOA Legal Rights and Responsibilities
HOAs may have significant legal rights. Depending on the agreement you sign, many HOAs
have the right to foreclose on your home if you don’t pay fees.
Here are some common legal rights and responsibilities that are part of these legal
relationships.
Homeowners may have the following rights:
Right to inquiry
Circumspect record-keeping
Reasonable access to records and financials
Disclosure of proceedings
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Timely and fair notices if there is an intent to take disciplinary action
Consistent treatment and enforcement of rules and regs
Information about voting eligibility
Right to vote
There will also be laws about things such as:
Solar installations
Vehicle parking/towing
Modification for the access of disabled persons
Ingress, egress, and support/access rights
Notices
State and even federal laws can apply to the legal rights and responsibilities of both HOAs and
lawyers. Entire legal firms specialize in HOA law. It’s essential that homeowners move into a
community with an HOA and sign an HOA contract with full knowledge of their responsibilities.
HOA Boards
HOA Boards are usually populated by elected members of the community who fulfill various
roles. An HOA board may include:
President
Vice-President
Treasurer
Secretary
They hold meetings that should be recorded and also facilitate meetings with homeowners.
Some HOA members are paid and some are not. Most of the time, HOAs are technically nonprofit
organizations whose members work on a voluntary basis.
Board members are responsible for keeping books, handling emergencies, representing
homeowners, and enforcing rules.
HOA FAQs
Here are some answers to frequently asked questions about HOAs:
Should I avoid buying a house with high HOA fees?
Many times, HOA fees will represent the amenities or standard of living in a community. If you
really want to live in a certain community, the HOA fees may be worth it.
What happens if I get in a dispute with an HOA?
First, it is important to fully understand the document you sign when you move into a
community with an HOA. This will detail conflict resolution. Most times, HOAs could even
foreclose on your home if you don’t comply with agreed-upon regulations.
Do I have to pay HOA fees?
HOA fees are mandatory. The specific terms for your agreement will be spelled out in your
contract.
Who gets on an HOA board?
HOA boards are typically elected members of the community. They almost always fulfill their
roles on a volunteer basis.
Will an HOA limit what I can do to or in my home?
Depending on the HOA, there may be standards of appearance that include your
lawn/landscaping, paint color, roof color, and additions, or outdoor furniture. These limits are
intended to keep the community at a certain standard of appearance.
Smart Home Security
You’ve probably seen on the news how digital video doorbells can keep people safe. And
they’re not the only smart home security device available! Here’s an overview of what you can
buy to keep your home and family safe.
Remote door locks: provide access on a timer or remotely check to see if you remembered to
lock the door (and then lock it from wherever you are).
Cameras: security cameras are now wireless and infrared, giving you the ability to see the
perimeter of your home from anywhere, day or night.
Microphones: cameras and video doorbells now come equipped with mics, giving
homeowners the ability to also hear what is being said.
Remote heating/cooling control: want to turn the temp up or down? Set it on a rotation with
digital monitors and login to check it or change the temperature.
Environmental security: go beyond your roofline and install speakers or cameras in your
landscaping or exterior points for added security and peace of mind.
Overall Security: large-scale systems have easy-to-install sensors, cameras and microphones
that can provide full coverage for your home. This will give you the ability to remotely control
door locks, cameras, heating/cooling systems and a video doorbell.
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Smart Home Entertainment
Whether you want an integrated sound system or home theater, smart home entertainment
devices are the most cost-effective, easy-to-use options out there. This is a great entry point
into the world of smart home tools.
Surround sound: no more does the full theater experience require going out or major installs.
Smart speakers can wirelessly connect and you can control the levels from your phone.
Smart displays: hands-free video calls on a tablet, streaming recipes on a mounted device or
tablet is possible with Echo Show, Portal or other smart screens made designed with this use in
mind.
Smart TVs: smart TVs may be 4K or HDR10+ and can be operated with universal remotes. For
an even bigger smart display, you can upgrade to a smart projector and get an affordable inhome
movie theater going!
Smart Home Appliances
Want more perfectly cooked dinners or wrinkle-free clothes? Common appliances are getting
the upgrade! Learn how digital appliances can all work for you.
Smart thermostats: Nest and other manufacturers make thermostats that can learn your
temperature preferences, manage energy and send text message alerts.
Smart washer/dryers: get notifications about cycles, download new washer/dryer cycle
settings, find problems and adjust settings with voice commands.
Smart refrigerators: use digital screens for shopping lists, get alerts if the fridge is open and
regulate temperature in different zones, all from your phone.
Smart monitors: air quality and even carbon monoxide and other traditional monitors have
gotten upgraded to “smart” status with app-integrations and real time warnings and alerts.
Managing Your Smart Home System
The most important part of integrating smart devices in your home for any use is to have a
command central. Whether this is an app or other control system, one of these options is the
best way to activate your home’s upgraded intelligence features.
Mesh WiFi: part of managing a smart home system is having the WiFi power to run it. Google
and other large companies now sell blanket WiFi coverage with mini-routers, or nodes. You
can install these yourself and accelerate WiFi coverage throughout your whole home, ensuring
that your smart devices aren’t disrupted.
Hubs: managing all of your devices and appliances may require a Google Home or Alexa
device. There are additional options from other companies. The most important thing to
understand is how that single device will integrate with the rest of the components in your
system. You can buy these as part of large packages and then, as you add on, be sure to
double-check compatibility.
Selling Your Current Home
If possible, selling your current home should be a high priority. Depending on your timeline,
you can work with a real estate agent to get your home on the market as soon as possible.
Does your financing for a new home need to be contingent on the sale of the home you’re
currently in? When you want to sell a home fast to get the cash for your next home down
payment, you can accelerate the process by attending to details in advance. Discuss these
aspects with your real estate agent to learn how you can get your home sale on the fast-track:
Pay for an appraisal or expert assessment to identify areas that could be quickly improved
to increase the value of your home.
Perform any minor repairs (and learn if any major repair needs will surfaceduring
inspections).
Stage your home to sale by investing in basic cosmetic improvements, such aspaint or
landscaping.
Get professional photos and videos taken, so your home can show virtually.
Decide on the sale price you really need to happily move forward into yournew
community.
Buying a New Home (In a New City)
Moving to a new city comes with unique challenges and opportunities. From the outset, you’ll
want to learn about comparable home prices and cost of living. It’s essential that you find a
good real estate agent who’s familiar with the area.
The home you choose needs to meet specific criteria like this:
Safe neighborhood with a good reputation
Acceptable commute distance
Within your price range
Access to amenities
In a new state, you’ll want to ask questions about:
Property taxes
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School system
Utilities
Property management or HOAs
Once you move in, you’ll quickly need to know about:
Waste management
Community expectations and upkeep
Home management resources, like lawncare and housekeeping
Final Logistics
As you wrap up life in an old city and move to a new one, there are some important final
logistics to wrap up. Some of these are true of any move and some are unique to a relocation.
Here’s what to keep on your list:
Final closing/house sale
Hand over keys, appliance information and clean home
Change utilities, if required
Set up mail forwarding
When moving to a new city, you may have a gap between your current home and next home.
This may require that you:
Arrange movers and book a storage unit
Set up temporary housing or rent
Whenever you move to a new state, you’ll have to remember to:
Pack for a short trip
Set up new utilities and internet
Change locks/reprogram locks
Get new driver’s license and license plates for vehicle
Brian Bischoff, Realty Executives Midwest,
Realtor
Phone: 630-656-9693
brianbischoff@realtyexecutives.com
www.realtyexecutives.com/agent/brianbischoff
Realty Executives Midwest, Realtor,
