NOTHING is surer in today's world than death, taxes and change and change is what has occurred in the real estate industry as it has occurred in every industry, every profession, education, law, accounting you name it. Different skills are required in fact demanded and those that don't change, don't keep up with technology and don't listen to what their customers want for their money, you might say are damned. When you, as a property owner, decide to place your home or whatever on the market, you are placing your most valuable asset in the hands of a person who will expect to be paid commission. What can you expect and what should you expect? That he be nicely dressed, he belongs to the same golf club or your wife knows her from the Zonta club. No, don't do it unless you know for sure that: 1. That the salesperson is an REINZ member and has a strong knowledge of the local market. 2. That the salesperson has the ability to provide a professional service which includes: A: To be able to provide you with the right advice on price. B: To provide you with a comparative sales analysis recent sales of properties and those on the market that are overpriced etc and why they haven't sold so you can establish, a realistic price in your mind, not a 'wish price'. A wish price is a price that does not relate to the quality of the property or its position or similar properties on the market and it's a price the owner is wishing some idiot will come along and pay. 3. if you are marketing without a declared price you must choose a salesperson that has the ability to extract from the customer his opinion of price and give you report to you and religiously give you that feedback. He or she must have strong marketing skills an appreciation of your home and the dedication to thoroughly inspect your home and make a list at that very first meeting of the features and benefits the selling points the 'sizzle' and the ability to select that 'sizzle' and attract the buyer through the advertising otherwise you are just wasting your money a home well listed is a home well marketed. He or she must have a knowledge of finance or the right contacts to assist an easy road for the buyer to obtain finance quickly. He or she must have a knowledge of town planning the requirements of the council the legal requirements and a knowledge even of the Taxation Department requirements and if they don't know, have the guts to say 'I don't know', but I will contact the right people to obtain that advice. You will want accurate, honest and constant advice from that salesperson. You will want a salesperson who has interviewing skills so that he or she can assess Is this person able to buy that property", or if I do take them through your home will I be inconveniencing you and putting myself in the category of a free taxi service it happens. He or she must be trained to detect the buying signs be a good negotiator and close the deal to your satisfaction and the customers both parties must be happy that's when we get our biggest buzz when all parties are excited, happy and very pleased with the result.
EXPERIENCE COUNTS Do not give your property to the salesperson who puts the biggest price on your property this happens some offices give awards for the most signs and most ads and most sole agencies or auctions. A salesperson may, due to these so called incentives, 'buy your property' so many home sellers fall for that trick. Look for professionalism, marketing skills and service, combined they will bring you the best market price. You are employing, a marketing expert, a copywriter, a journalist, a brochure designer, an expert in continually following up that prospect, an expert in Council requirements, building defects and some times an interior designer, a person skilled in photography, in qualifying buyers, reporting, negotiating, interpreting the law, marketing appraisals, a public relation expert and a person who devotes his weekends to you away from his family and leisure activities. If you had to pay somebody for just one of those skills it would cost you all of the commission and a lot more.
Recent example: Vendor had a REGISTERED VALUATION @ $270k. A "LETTER BOX SALESPERSON" achieved an offer to purchase @ $275k. The vendor then checked with this "marketing" professional", within 2 weeks the "LETTERBOX OFFER" went to $320k unconditional!! After consultation the vendors completed painting the house and repaired the driveway.... RESULT with competitive bidding.... SOLD $356,000!! MARKETING METHODS The way you sell your house can affect the time it takes to find a buyer AUCTIONS: No price disclosure. Vendor pays upfront for marketing costs. Three chances to sell: A. Before auction; B. On the day, at fall of hammer. C. By negotiation.The highest bidder will only pay a minimum amount above the next highest bidder - not necessarily the full price he may be able to/or expected to pay!
EXCLUSIVE AGENCY A good marketing program is crucial as you cannot sell a secret. This is a highly effective method of marketing ensuring the maximum attention in the market place. Provides exclusive rights to the agent for set period of time. The agent puts maximum effort into this type of agreement. To achieve 'The best possible price in the shortest possible time." for their seller.
TENDER Has an intensive marketing programme with all prospective buyers presenting their "best" offer at a time preset to suit the vendors Buyers are asked to make an offer without knowing other offers. This means putting their best offer forward or take the risk on losing the property. Tenders create fear of loss and urgency in your property and handled properly a premium should be obtained.
OPEN LISTING (General) This means any agent may have the right to sell the property provided he has a signed listing with the owner.No salesperson has sole responsiblity for marketing - because of the reduced chance of being paid their companies will not profile the property. The sales people become more intent on " their buyers " buying the home so they can get paid RATHER than the home owner getting the BEST POSSIBLE MARKET PRICE
PRIVATE SALE COMPANIES In the last 20 years several different groups have advertised "sell your own home avoid agent's commission" all four have lasted six months to 18 months and then disappeared beware! without marketing commitment and selling skills you have no gurantee that your property has reached its full market potential, the result is more likely to reflect historically indicated price levels, instead of the top price of a hot market.
CHOOSING AN AGENT: Some clues about how to choose an agent DECIDING which agent to choose to handle the sale of your home is likely to be one of the most important decisions you will be required to make in the selling process. As with any other professional service, the level and style will vary from one agency to another. Some will be better than others and a good way to find out which are the best is to ask around locally. Speak to family, friends and neighbours who may have bought or sold their homes in your area and seek recommendations. A good agent will know that 'word of mouth' referrals are a good source of business and will take care to look after each and every client. Once you have listed a few likely choices, speak to them personally and allow them to outline to you the type of service they will provide in exchange for allowing them to handle the sale of your home. Once you have chosen your agent, you should have them explain to you the various selling methods available. Whatever method you choose remember that proper marketing is essential to attract prospective purchasers and a welltrained and realistic agent is likely to outline a professional marketing program as part of or her sales agreement. Realistic pricing is also important regardless which selling method you choose. You can expect a good real estate agent to be well equipped to advise you on this because he or she will have a thorough knowledge of current market condtions as well as local values and trends which vary from one suburb to the next. Before making a pricing recommendation, the agent will look at your home, its condition and its location, proximity to schools, shops, transport and v, compare the property to others sold recently in the area. It is important to bear in mind that your home worth what someone will pay for it. Every prospective buyer is looking for different features, has different needs for their family and will be prepared to pay a different price for the same home.
HANDYHINTS Some simple hints can make your home look its best and may help to achieve a better price FIRST IMPRESSIONS LAST Begin with the outside of the house. Keep the lawns cut and edged, cut back any branches overhanging pathways. A quick paint job of the front door will help establish a good impression. Also a pot of blooming flowers at the front door is a good idea. DECORATE Remove any dirty marks from wails and ceilings, touch up any chipped woodwork or torn wallpaper. In some cases a paint job costing only a few hundred dollars can add a few thousand to the eventual selling price. Keep paint colours to neutral tones. REPAIRS Now is the time to do those little things you have been putting off. Sticking doors, loose door knobs, dripping taps, broken wire doors, leaking spoutings. TIDY UP A trip to the tip might be necessary to get rid of all those unnecessary items we all accumulate over the years. Clean out the garage, tidy up the spare room, remove any rubbish from around the house. KITCHENS AND BATHROOMS Clean especially the oven and stove. It is very important that these areas are sparkling. A scented aqua flush in each toilet is a good idea. BUYERS OPEN CUPBOARDS Cupboards should be neat and tidy as potential buyers, to make them feel at home, are encouraged to investigate. You can make wardrobes seem even roomier by prepacking outofseason clothes. LIGHT UP THE FIRE If you have a fireplace, there is nothing more welcoming than a cosy fire on a cold day. During the summer you could fill the fire place with a pot plant. LIGHT AND BRIGHT During the day, open the curtains and let the sun shine in, dark rooms do not appeal. At night close the curtains and turn on the lights. RELAXING MUSIC Soft music in the background creates a relaxed atmosphere during the visit. THE FAMILY PETS Not everyone likes animals. Keep pets out of the way if possible outside the house. EXTRA SPACE Have your home comfortable and uncluttered. Clear bench tops and remove excess furniture to give a spacious feeling. WHEN THE BUYERS ARRIVE If you are at home, greet the buyers at the door and politely excuse yourself and leave the selling to us. It is important that the buyer has the opportunity to take their time inspecting the home and get to feel at home. Feel free to leave the house during the showing. LEAVE IT TO THE SALES PEOPLE Your salesperson is skilled in bringing negotiations to a favourable conclusion. Avoid discussing price, terms or other factors directly with the potential buyer.
HOT SELLING HINTS The best possible price in the shortest possible time' THAT is what most home sellers want and here are the hard and fast rules that will get the result. 1 . Consult a building inspector and ask him to supply you with a signed report if there is something that needs rectifying fix it. The report will cost you about $150$200. This is a great investment as it will ensure the contract will proceed to settlement most contracts are "subject to building inspection". 2. Have a garage sale this is your opportunity to clean out the garage and sell off those things you have been keeping for many years as "it might come in handy" then clean any oil stains etc in the garage. 3. Make a neat and clean corner in the garage for the dog or cat never have animals in the house you can't smell them buyers can! 4. Tidy up the gardens and lawns, get rid of spider webs from eaves and windows and ensure there are no weeds in the paths. 5. Replace any missing grouting, replace all cracked tiles and fix leaking taps. It's essential to have sparkling clean bathrooms and kitchens, and that includes cupboard interiors and stoves. Repair or replace cupboard handles where necessary and other visible items that need attention. (Buyers will open the doors to all cupboards) Keep your kitchen bench tops free of mess. 6. Check your curtains are clean and are hung properly. Nothing looks worse than sagging curtains with missing hooks clean the windows so the agent can open the curtains to allow in the light. 7. Keep floors and carpets clean and free of obstacles a clean and spacious floor is always attractive so have your carpets professionally cleaned. 8. Have your front door revarnished or painted, "first impressions are the best impressions". Oil squeaky doors and replace that insect screen where the cat made holes. 9. Vanish to the neighbours or the backyard when your agent brings a prospective buyer to your home nothing turns a buyer off faster than the owner trying to sell his own home as well as the agent they think you are desperate. 10. If you must have the radio on turn it down very low and always turn the television off. 11. If the price assessment is below your expectations remember if you are selling on a 'down market'you are also buying on a 'down market'if you want confirmation of your market price consult a valuer. 12. Make a list of all the best features of your home these features may be: (a) The position (close to schools, water, shops etc); (b) It's aspect (attracts the sun in winter); (c) Recently rewired or new plumbing; (d) Big bedrooms walk in robe, ensuite etc; (e) Double garage + garden shed; (f) Separate living areas; (g) Quality curtains; (h) Ceiling fans or airconditioner; (i) Pool or backyard big enough for a pool or a family game or cricket etc etc. Then try and remember what it was that made you buy the house in the first place and why you are selling it's not unusual for home sellers after making a list of the features and benefits plus cleaning and fixing everything that needs attention, to suddenly realise they have what they wanted and change their mind about selling! Consult closely with your agent and give him or her the list then you can both decide which five features will attract the buyers and use those on the sign and advertising. Include on that list what stays and what goes! 13. Be prepared to invest in your own home by entering into an advertising campaign that will promote the features and benefits of your home to attract the right buyer to pay the right price.
WHAT IT TAKES TO SELL PLANNING TO SELL YOUR HOME IN THE FUTURE.... Call Margaret for sound advice on how to prepare you home to achieve the best price. T0 sell your home, your property consultant can access a wide array of services. In return, you pay a fee that is a percentage of the selling price of the home. The one fee covers all the services we provide including: Presentations to potential buyers. Assistance in negotiating agreements. Contacting local professional companies associated with our sales team to source possible buyers. International connections. Buyer referrals from other offices. An overall sales experience. A home marketing action plan. Personal consultation. Skilled marketing strategies. Regular feedback. Advertising and promotion. Some of the marketing program discussed will involve a financial investment from the vendor to maximise the benefit. Open home(s). For sale signs. Listing and description of your home in the window, in colour. Internet. Some of the agent's fee is used to pay the costs and expenses of marketing your home. Another part of provides the income for your property consultant. There are no additional charges other than any investment you may make in additional marketing for your property. In most cases, a fee is payable only when the property has been sold. For the "home owner" it's a win, win situation.
THE OFFER ONCE the decision has been made to buy a house, an offer is submitted. The agreement will be either conditional or unconditional. Conditional Offers: Have conditions attached for a period of time such as "subject to finance being arranged". Most conditions need to be satisfied within a certain time frame. Once agreed upon, then the offer shows you where the fees go becomes unconditional. Unconditional Offers: Means there are no conditions. Once the price is accepted, then the property is sold. The presentation of offers is normal done in a facetoface meeting with your property consultant and you, the vendor. NEGOTIATING WITH A BUYER Once an offer on your house has been made and after discussing it with your property consultant, you have two options. 1 . Accept the offer. 2. Make a counter offer. If the offer is accepted, your home is under offer. When an offer is countered, the home owner does not reject the offer outright, but begins a negotiating process on one or more of the elements in the offer. The buyer's consultant will take the counteroffer to the buyer for consideration. The process can be spread out over a few hours or days and ends with either party finally rejecting or accepting the other's last offer. Until an offer is accepted, the property consultant will continue to market the home. Throughout the negotiating process, your property consultant will work with you every step of the way with helpful advice, an objective point of view and assistance as the offer and counteroffers are presented. The best way to get people to notice your house is through ADVERTISING IF you've got a house to sell, advertising is crucial. Because it's getting your house noticed which gets you a quick sale at the price you want. The real estate market is a highly competitive place. That's why your property needs the maximum exposure to ensure a successful sale. in short, the more people who are aware of your property, the better your chances. YOU NEED A LOUD VOICE IN A MARKET PLACE So you've advertised your property and you're in the running. But what you may not know, is that as many as 40% of potential buyers look for properties outside their local area. Which means your choice of advertising medium will greatly affect your chances of getting the sale, What you need, is an advertisement which will be noticed by as many people as possible, both locally, statewide and nationally. PEOPLE PREFER PAPERS BUT 90% of buyers do reseach thru the web.....like you! When you're advertising property, Property Press is the most effective medium available. The most frequently quoted reasons for this are: 15,000 copies distributed weekly throughout the greater Wellington area. That only Property Press offers a large variety of both properties and real estate agents, Property Press presents real estate in the form of an easy to use guide which can be digested in the buyer's own time. In short, Property Press makes the buying and selling of real estate as simple as possible. HOWEVER. The internet has changed a number of ways we do things, looking at houses, on line, in the comfort of your computer room is just one. Just about every major Estate Agency and specialised photo companies, that allow you to view houses and locations, are now available on line.
10 WAYS TO DEVALUE YOUR HOME 1* Dirty bathrooms or kitchens:Never mind how great the indoor-outdoor flow is, if the loo is grimy and smelly, you may have lost a sale. 2* Dead or dying pot plants: They make your property look grubby and dated. Very bad Feng Shui ! 3* Gloomy interior lighting: Buyers mistake poor lighting for a lack of light in the property, take the nets down and let in the sun. 4* Dirty light switches: Dirt or paint on the light switches looks scruffy and can indicate that the wiring is old. 5* Smoking: Stained walls, ceilings and doors plus the smell of stale smoke put tenants and buyers off. A UK survey found 28% of buyers were put off by evidence of smoking and the value dropped by more than $41,000 NZ. 6* Animals: The smell of animals, food and fur on the furniture can put people off. 7* Chintzy decor: Floral patterns and floaty curtians don't cut it with buyers. Slap a coat of paint over the wallpaper and simply remove the curtains. This quick makeover will make you $$$. 8* Too much furniture: Less is more. If you can't swing the proverbial cat, then do something about it. 9* Over - indulging: You're unlikely to recoup your money by choosing European designer fixtures and fittings. 10* Over - capitalisation: Check with your real estate consultant to avoid this. ( Extract: NZ Property Magazine April '04 )
THE SEVEN DEADLY SINS 1* Adding modern windows ro a period property: They could cost you a sale. 2* Converting garages into rooms: Potential buyers will just see the missing garage and renters will balk. You are NOT going to get added value by losing a garage to a room. 3* Ugly duckling extentions: If you are going to alter a house, alter it to match. 4* Swimming Pools: You're more likely to add value to your property by ripping an old swimming pool out than by building a new one. 5* Carpets in kitchens or bathrooms. 6* Radical colours: Lime green or blood red colour schemes just don't make the grade when it comes to creaming money off your property. Nor do 1970's carpets. Are there floorboards beneath? Try polishing them or replace the carpet. (approx $2500 for a 3 brm home can add $12,000 to the selling price). 7* Doing cover jobs: The building inspectors are quick to uncover then at your expense. ( Extract: NZ Property Magazine April '04 )