You are currently browsing the category archive for the ‘Selling Your Home’ category.

7. Kitchen3

1766 Maryland Ave NE, St Petersburg, Florida

When a homeowner decides to sell their house, the number one thing that they want is, of course, the best possible price!! Right? Next, is that they want the least amount of problems to receive this price. Most sellers don’t realize all of the steps required to reach their goal. Marketing is more than sticking a sign in the yard, placing an add on Craig’s list or posting some photos on Facebook. Does the seller know how to stage the house to show it’s best appeal to the most buyers? Is the seller willing to answer phone calls 24/7, literally? Yes, at 2 in the morning when a buyer is searching the Internet! Does the seller know if the buyer is a serious buyer with their mortgage in place or are they pre-approved? In order to know all of these things & much more, a seller really needs to hire a real estate professional.

Technology has changed the buyer’s behavior during the home buying process. According to the National Association of Realtors’ 2016 Profile of Home Buyers & Sellers, the percentage of buyers who used the internet in their home search increased to 94%. However, the report also shows that 96% of buyers who used the internet when searching for homes purchased their homes through either a real estate agent/broker or from a builder or builder’s agent. Only 2% bought their homes directly from a seller that they didn’t know. Most of the buyers who bought homes directly from sellers (For Sale By Owner) still used a Realtor to represent them. Buyers start their search for a home online but then depend on an agent to find the home they will buy (50%), to negotiate the terms of the sale (47%) & price (36%), or to help understand the process (61%). There is so much information out there, either through the Internet or family & friends that more buyers are now reaching out to real estate professionals to help them through the very complicated process. The percentage of buyers who have used agents to buy their homes has steadily increased from 69% in 2001.


Sooooo, if you are thinking of selling your home, don’t underestimate the role a real estate professional can play in the process. The vast majority of buyers have realized that they actually need a Realtor in order to purchase their new home correctly. The laws regarding real estate change constantly & a professional Realtor will know the latest requirements & forms, as well as have a much larger audience with which to present your home in the best light.

 

With inventory below historic numbers and demand still strong, you could be missing out on a great opportunity for your family.

1. Demand Is Strong

The latest Realtors’ Confidence Index from the National Association of Realtors (NAR) shows that buyer demand remains very strong throughout the vast majority of the country. These buyers are ready, willing and able to purchase… and are in the market right now!
Take advantage of the buyer activity currently in the market.

2. There Is Less Competition Now

According to NAR’s latest Existing Home Sales Report, the supply of homes for sale is still under the 6-month supply that is needed for a normal housing market at 4.7-months.
This means, in most areas, there are not enough homes for sale to satisfy the number of buyers in that market. This is good news for home prices. However, additional inventory is about to come to market.
There is a pent-up desire for many homeowners to move, as they were unable to sell over the last few years because of a negative equity situation. Homeowners are now seeing a return to positive equity as real estate values have increased over the last two years. Many of these homes will be coming to the market this fall.
Also, as builders regain confidence in the market, new construction of single-family homes is projected to continue to increase over the next two years, reaching historic levels by 2017. Last month’s new home sales numbers show that many buyers who have not been able to find their dream home within the existing inventory have turned to new construction to fulfill their needs.
The choices buyers have will continue to increase. Don’t wait until all this other inventory of homes comes to market before you sell.

3. The Process Will Be Quicker

Fannie Mae announced that they anticipate an acceleration in home sales that will surpass 2007’s pace. As the market heats up, banks will be inundated with loan inquiries causing closing-time lines to lengthen. Selling now will make the process quicker & simpler.

4. There Will Never Be a Better Time to Move Up

If you are moving up to a larger, more expensive home, consider doing it now. Prices are projected to appreciate by 5.3% over the next year, according to CoreLogic. If you are moving to a higher-priced home, it will wind up costing you more (both in down payment and mortgage payment) if you wait.
According to Freddie Mac’s latest report, you can also lock-in your 30-year housing expense with an interest rate around 3.46% right now. Interest rates are projected to increase moderately over the next 12 months. Even a small increase in rate will have a big impact on your housing cost.

for more info:   http://www.realtor.org/reports/realtors-confidence-index

SAN FRANCISCO – Nov. 1, 2016 – Technological advances have made real estate agents especially important to millennials, according to a study by Coldwell Banker, “Wealth, real estate and the high-net-worth investor.”

http://www.floridarealtors.org/NewsAndEvents

The study found that over 70 percent of respondents believe agents are more important than ever, with nearly two-thirds saying they would never buy or sell a home without an agent’s help. More than half of those polled said agents are more important to the home-selection process than friends, family or digital resources.

The main reason millennials value Realtors? They recognized their own lack of experience in the sometimes complicated homebuying process.

However, technology remains important to young adults. A Realtor’s role has diminished in some areas thanks to online tools, such as mortgage calculators; easy access to taxes and other government-related information; and general background info on cities and neighborhoods.

Moreover, technology has changed the process by making it easier to respond quickly to contacts, which is a must for millennials. This demographic also takes into consideration an agent’s reputation on social networks

As a result, a Realtor’s role may not have diminished, but the study suggests that successful agents must adapt to the changing demands and expectations of today’s younger buyers.

Source: Tech.Co (10/27/16) Costa, Diogo

© Copyright 2016 INFORMATION, INC. Bethesda, MD (301) 215-4688

http://www.floridarealtors.org/NewsAndEvents

539 Baywood Dr S

Selling a home is a very complicated process-more complicated and costly than homeowners realize resulting lower sales prices, hidden fees and taking more time to sell. Sometimes homeowners can not fully understand reports that they have found on the Internet or the information that homeowners receive from well meaning friends & family may not be completely accurate, which can result in under pricing or over pricing their home. Sometimes homeowners are not aware of the latest changes in the law, which forms are now required or the time constraints required. Here are a few good reasons, For Sale By Owners should consider using a Realtor to represent them in the sale of their home.

1. For Sale By Owner (FSBO) homes generally sell for less

In 2015, according to the National Association of Realtors (NAR) report, FSBOs lost about 16% of the sales price with a median selling price of $210,000 (Realtor-assisted homes sold for $249,000). If the seller sold to someone that they knew, the median dropped to $151,900. 

  • Eighty-seven percent of buyers recently purchased their home through a real estate agent or broker.
  • Eighty-eight percent of buyers would use their agent again or recommend their agent to others.
  • Only eight percent (down from nine percent) of recent home sales were FSBO sales. This is the lowest share recorded since this report started in 1981.

Homeowners don’t realize how much time & effort it takes throughout the complicated process, may not understand market reports and don’t have the resources & connections to market the property properly-on the Internet & to other Realtors who may bring the buyer.

2. For Sale By Owners spend more time on the market

Unless the homeowner knows someone who wants to buy their home, FSBOs take longer to sell than homes listed with a Realtor. On average, 18% of For Sale By Owner homes were unable to sell within their expected time and took a year to sale.

3. Paperwork can be overwhelming

According to 2015 National Association of Realtors’ Profile of Home Buyers and Sellers finding & understanding all of the paperwork was one of the most difficult tasks for the sellers, especially without the guidance of a Realtor. Depending on the state, there are a many legal forms that are required, including but not limited to a sales contract, property disclosures, occupancy agreements and lead paint records. Also how the escrow must be held in their state.

4. Marketing is limited when owners sell their own home

For sale by owners have limited resources to market their homes. The 2015 NAR Profile of Buyers and Sellers showed 42 percent use only a yard sign, 32 percent rely on friends and family, and about 15 percent use social media. Even paying to just be on the MLS listing isn’t enough because it doesn’t go on real estate companies’ websites & their various Internet connections. It also is not sent out to other Realtors, offices or discussed at Realtor Networking events or at “pitch” sessions. These are just a few of the many resources that professionals have at their fingertips. 

5. Hidden costs can add up

Most For Sale By Owners’ first thought is about saving money. But they usually don’t realize they will be paying for a lot of extras: signs, flyers, photography, MLS listing, attorney (required in multiple states for FSBOs), home warranty (optional but hard to sell FSBO without one), home inspection, a wood destroying pest inspection, credit report for buyers (if applicable), contracts and the list goes on. The marketing costs are generally included in the Realtor’s commission.

6. Inspections can be problematic

Homeowners may not know which inspection companies are fully licensed & which inspections are required. Some states require a general home inspection, wind mitigation, 4 point and/or a wood destroying pest report. Homeowners who don’t know the rules may have unnecessary and costly repairs as well. A Realtor can advise & negotiate on the necessary repairs.

7. Liability is all on the seller

Everyone makes mistakes. A seller (or buyer) who doesn’t have the representation of a licensed agent pays for those mistakes. So if homeowner lists something as a feature and the buyer notices that this is incorrect, chances are the seller is going to pay for that mistake. A Listing Agent would have corrected the mistake before the home was listed. A Buyer’s Agent would have pointed out the mistake to the buyer, which could result in a lower price on the home.

8. Horrible as it sounds, scams can happen

Common scams include fraudulent papers (appraisals, loan documentation), fraudulent escrow deposit information, foreign buyer deposits (scammer sends too much in a bad check and then requests a refund), purchases through a third-party (a fake attorney, etc.) and asking for personal information to be used for identity theft.

9. Time costs the seller money

How much time does the homeowner plan to take to fully market the home? How much time does the homeowner plan to take off from work? Is the homeowner willing & able to answer calls from buyers at all times of the day & night? What will it cost & how much time will it take for an attorney to review the contract, if they choose one. How will the homeowner show the home, screen the buyers for safety, screen for qualified buyers, set up an escrow account, and maintain a marketing campaign? A For Sale By Owner home will take a homeowner a whole lot longer to sell. Homeowners don’t have the expertise or the access to the resources agents have.

 These are just some of the issues that For Sale By Owner must address but there may be more.Realtors can save sellers time, money, liability and hassle while guiding them through this ever-changing complicated process.

 

Pinellas Realtor Organization
Neighborhood Advocates Initiative
Q2 Stats (Campaign #8 / 8-2016)

 

Displaying

Florida Realtors® recently released the 2016 second quarter (April through June) real estate market statistics for the state. I wanted to share with you an overview of how our area is performing.

The single family homes real estate markets in Pinellas, Hillsborough and Pasco Counties are still looking very strong after the second quarter of 2016. Higher median sales prices, more closed sales, and faster time to contract are all good news for sellers.

Inventory has shrunk year-over-year for the second quarter. Median Days to Contract is down in the Pinellas, Hillsborough and Pasco markets, reflecting the short amount of time a home is on the market between being listed and being sold. All of this means fewer homes to choose from and a likelihood of more competition between buyers.

As your local Realtor® and Neighborhood Advocate, I am your resource for data that affects our communities and your property value. Homeownership affordability and accessibility is a cornerstone of the Realtor® advocacy efforts at every level – local, state and national.

Here are some highlights from the Florida Realtors® Quarter 2 2016 Statistics Release for the Single Family Home Market Segment:

  • Closed Sales: Up for Pinellas County, Hillsborough County and Pasco County for Quarter 2 2016 from Quarter 2 2015. This statistic is a good indicator of the overall health of the market, and lots of closed sales mean both sellers and buyers are achieving success.
    • Pinellas County: 4,023 Closed Sales Q2 2016 vs. 3,893 Closed Sales Q2 2015, a3.3% increase
    • Hillsborough County: 5,426 Closed Sales Q2 2016 vs. 5,094 Closed Sales Q2 2015, a 6.5% increase
    • Pasco County: 2,859 Closed Sales Q2 2016 vs. 2,763 Closed Sales Q2 2015, a3.5% increase
  • Median Sale Price: Up for Pinellas County, Hillsborough County and Pasco County for Quarter 2 2016 from Quarter 2 2015. The median is the midpoint; half the homes sold for more, half the homes sold for less.
    • Pinellas County: $209,950 Median Sale Price Q2 2016 vs. $184,433 Median Sale Price Q2 2015, a 13.8% increase
    • Hillsborough County: $220,990 Median Sale Price Q2 2016 vs. $200,000 Median Sale Price Q2 2015, a 10.5% increase
    • Pasco County: $177,725 Median Sale Price Q2 2016 vs. $156,475 Median Sale Price Q2 2015, a 13.6% increase
  • Inventory (Active Listings): Down for Pinellas County, Hillsborough County and Pasco County for Quarter 2 2016 from Quarter 2 2015. When inventory is low, there are fewer houses on the market and buyers are often competing for homes or have a tougher time finding a home that suits their exact needs. Flexibility and preparationare key to being able to make an offer on a home when you do find what you’re looking for.
    • Pinellas County: 3,916 Active Listings Q2 2016 vs. 4,261 Active Listings Q2 2015, down 8.1%
    • Hillsborough County: 5,266 Active Listings Q2 2016 vs. 5,611 Active Listings Q2 2015, down 6.1%
    • Pasco County: 2,642 Active Listings Q2 2016 vs. 3,141 Active Listings Q2 2015, down 15.9%
  • Median Days to Contract: Down for Pinellas County, Hillsborough County and Pasco County for Quarter 2 2016 from Quarter 2 2015. The midpoint of the number of days it took for a property to receive a sales contract during that time. The faster a home goes to contract, the less time it is on the market for sale. Another good indicator for sellers and a tool for buyers to understand how to thrive in a hot market.
    • Pinellas County: 28 Days Q2 2016 vs. 35 Days Q2 2015, a 20.0% decrease
    • Hillsborough County: 28 Days Q2 2016 vs. 39 Days Q2 2015, a 28.2% decrease
    • Pasco County: 33 Days Q2 2016 vs. 42 Days Q2 2015, a 21.4% decrease

If you would like to discuss the market statistics further, or would like me to keep you informed, I would welcome the opportunity to provide monthly stats for you. Please don’t hesitate to email me at AnnalisaWeller1@gmail.com or call me at 727-804-6566 if I can be of service. Thank you for your time.

© 2016 Pinellas Realtor Organization

There are three dominant trends in real estate that sellers should be aware of going into the new year. CNNMoney recently asked industry insiders to share what will be important when it comes to selling a home in 2016. Do you agree?

  1. A seller’s market dominates. Home prices have been climbing so much that they’re even matching their 2006 highs. Seller’s markets are more dominant in certain cities such as San Francisco, where bidding wars are widely reported and offers go well above asking price. “The more lucrative a region’s economic future appears to be, the easier you can expect it to be to sell a home,” according to the article.
  2. Mortgages will get pricier. Low mortgage rates have been the standard in the last few years, but that will soon change. The Federal Reserve is gradually beginning to raise rates, which will move mortgage rates higher and dampen affordability. Sellers should be aware that it may become more difficult for prospective buyers to secure financing.
  3. Tax benefits still abound. The largest tax break for ordinary taxpayers who qualify remains the exclusion on capital gains for the sale of personal residences. Single taxpayers are able to exclude a maximum of $250,000 in gains from the sale of a home. Joint filers get double that: $500,000.

Source: “Selling a Home in 2016? Here’s What You Need to Know,” CNNMoney/Motley Fool

Estoppel-Postcard_Front

January 2016-Here’s an upcoming issue for homeowners in Florida.

When you’re selling or refinancing your home, if you’re part of a condo association or a homeowners’ association, you need to provide the buyer or lender with something called an “estoppel certificate”. That is a statement of your financial status with the association: Are you current on your association dues? Are there any liens on your home? Since buyers and lenders don’t want to be surprised, providing them with an estoppel certificate is reasonable and a good business practice.

Florida law does allow condo and homeowner associations to charge a “reasonable” fee to prepare one of these estoppel certificates. The issue is what exactly is “reasonable”.

Condo and homeowner associations are required by law to maintain current records of any assessments or liens on the properties they oversee. So the work required to put together an estoppel certificate is fairly minimal. Many associations charge a reasonable fee – $50 or $100 – to provide the certificate. Others, however, have turned this into a revenue stream, charging over $1,000 in some cases to provide a simple piece of paper.

Well, during the 2015 session, Rep. Kelli Stargel (R-Lakeland) and Rep. John Wood (R-Winter Haven) have introduced bills to cap the amount charged by condo and homeowner associations. They’re looking to reintroduce that bill in the 2016 session. The pertinent facts are:

  • $200 cap on fees for any homeowner who is not delinquent on paying association dues and fees;
  • Up to an additional $200 if the homeowner is delinquent; and
  • Up to $100 for an expedited certificate.

Plus, the bill would require associations to provide the estoppel certificate within 10 days, and have the certificate be valid for 30 days.

On the one hand, this seems like a no-brainer to ensure that consumers aren’t being overcharged. $1,000 just to prepare a piece of paper, with information the association already has, does seem like a stretch. On the other hand, there are people who wonder if this isn’t just another example of government intervention and regulation into private businesses. And of course, there are people who think that the bill doesn’t go far enough: even $200 cap seems too high for them.

If you’re a homeowner who belongs to a condo or homeowner association, I’d love to get your take on this. You can email me at AnnalisaWeller1@gmail.com or call me at 727-804-6566.

Some homeowners opt to sell their residence without a real estate agent to get around paying a commission and make more of the profit. Forty-eight percent of people who sell without a real estate agent think that if they sell themselves, they’ll end up doing a little extra work in exchange for not paying a commission or closing fee. According to the research, however, what they actually get is a lot of time spent hustling to make the sale and a final selling price that is less than what the market can bear.

Do you have a lot of extra time to market your home and do all the work to meet and greet properly? Are you versed in local trends on the housing market and know the latest regulations for closing a sale? Do you have a list of potential buyers ready to view your home? Eighty-nine percent of all homes sold in 2015 were sold with the assistance of an experienced real estate professional, according to the 2015 Home Buyers and Sellers Profile. Most leave it to the professionals, yet there is still a small group of people who prefer to do it themselves. Eight percent of home sellers chose to list themselves, known as For-Sale-By-Owners (FSBO) home sales. That number has steadily declined since 2004 where only 82 percent of all home sales were agent-assisted and 14 percent of homes were listed FSBO. FSBO sales are currently at an all-time low since data collection began in 1981.

Let’s break it down further. Thirty-eight percent of all FSBOs—that’s only three percent of the total home sales in 2015—were homes sold to people where the buyer knew the seller selling to a friend, neighbor, or family member. However, 62 percent of FSBO home sales—five percent of total homes sold—were sold by the owner to someone they didn’t know. According to the 2015 Home Buyers and Sellers Profile report, sellers cited creating yard sings, listing their homes online on multiple websites, spreading the news through word of mouth, putting out classified ads, displaying on social media, hosting an open house, and registering with the Multiple Listing Service (MLS) database. That’s a lot of work just on marketing and finding potential buyers.

agent vs fsbo

The time it takes to sell a home on the market was roughly the same for FSBOs and for agent-assisted homes, the median time listed was four weeks for both groups. A third of all homes were sold in less than two weeks last year. Most FSBO homes sales were located in a resort area (16 percent), rural area (15 percent), or a small town (13 percent). Seventy-five percent of FSBO sales were detached single-family homes. Ten percent were mobile or manufactured homes. FSBOs typically had lower incomes than those who worked with an agent. The median income of FSBOs was $84,000 and for those who sold through an agent was $105,600. Those who sell themselves have the perception that they have less money to pay for assistance when selling their home and opt to go it alone.

As it turns out, FSBO make less money on their home sales than buyers who work with a real estate agent. According to the report, the median selling price for all FSBO homes was $210,000 last year. When the buyer knew the seller in FSBO sales, the number plunges to the median selling price of $151,900. For homes sold with the assistance of an agent, the median selling price was $249,000 ̶ almost $40,000 more for the typical home sale. According to NAR’s 2015 Member Profile, sixty-nine percent of all real estate agents get paid by a percentage commission split between two agents representing the buyer and seller.

Talk to an agent and find out what they suggest for the commission and then do the math yourself. The closing price for the agent-assisted seller is likely going to be way above an FSBO. In reality, homes sold by the owner make less money overall. Based on these closing numbers, why not save yourself time and make more money by working with a real estate agent that is excited to sell your home?

compensation

The question on how to approach appraisers has come up several times in the last 2 weeks so when I saw this post, I thought that it would be good to share.
Forget the rumors that you have to keep silent. But that doesn’t mean your communications still can’t get you in trouble.

Real estate professionals and appraisers both play an essential role in the process of buying or selling a home. It is critical that these two parties work together to ensure that an appraiser provides an independent, impartial, and objective opinion of value that accurately reflects the marketplace. However, we often hear from brokers and agents that they’re unaware of how much interaction they may have with an appraiser, what they’re allowed to say, and what information they can provide. Some incorrectly believe that they are prohibited from speaking to an appraiser at all.

In reality, qualified and competent appraisers welcome any information that helps them do their job. In fact, we at The Appraisal Foundation encourage brokers to actively communicate with appraisers in a professional and productive manner. Real estate professionals should feel empowered to supply relevant materials, including the terms of the sale, applicable comparable sales, and any evidence of notable renovations done to a home that might affect its value. Additional useful data could include records that categorize maintenance and upkeep done to a home, such as regular inspections or replacements of major appliances. These materials will help an appraiser arrive at an opinion of value that accurately reflects the market value of a home.

However, real estate professionals are legally barred from any communication with an appraiser that is intended to unduly influence the outcome of the appraisal. While it might be obvious that coercing an appraiser is off-limits, it is always a good idea for agents and brokers to make sure an appraiser or regulator couldn’t interpret their communications as an attempt to improperly influence an appraisal. An example of improper communication would be asking an appraiser to provide a valuation that matches the asking price of a particular home. Another example could be telling an appraiser he or she will not receive future assignments if the appraisal does not facilitate a transaction.

And communication between appraisers and real estate professionals doesn’t have a specific cut-off point, either. A broker or agent who has questions or concerns about an appraiser’s final report may take formal steps to communicate those concerns and ask for reconsideration of the appraisal report. For instance, a broker can submit additional comparable sales through the lending institution for the appraiser to consider. A broker can also request that the appraiser correct any errors in the report, such as the miscalculation of the number of bedrooms in a home or the total square footage. The appraiser can be asked to provide additional detail explaining how he or she arrived at certain conclusions and the ultimate opinion of value. However, a broker cannot dispute an appraisal simply because he or she is not pleased with the outcome.

At the most basic level, it’s important for real estate professionals to recognize that it’s the duty of competent and qualified appraisers to provide credible opinions of value for homes. Any information that assists an appraiser in that objective is not only allowed, it is welcomed.

http://realtormag.realtor.org/law-and-ethics/feature/article/2015/08/dos-and-donts-appraiser-communication

Annalisa Weller, Realtor®, Certified International Property Specialist

(727) 804-6566
AnnalisaWeller1@gmail.com

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 288 other followers

List of Categories

Monthly archive of my posts

RSS PROView-Pinellas Realtor Organization

  • Affiliate member donates portion of sales to USO May 23, 2017
    In honor of National Military Appreciation Month and National Moving Month, northAmerican Van Lines, which Affiliate Member First Class Moving Systems is a part of, is supporting America’s military by donating $100 to the USO for each move booked through northAmerican.com/uso until Dec. 31, 2017, up to $100,000. “northAmerican Van Lines and its agent family […]
    PROView
  • Katie Shotts promoted to Chief Operating Officer May 15, 2017
    Katie Shotts, QAS, e-PRO, joined the staff of the Pinellas REALTOR® Organization in April of 2015 as the Director of Broker Relations. In that role she was the liaison between the association and the Broker members. She also trained members on REALTORS® Property Resource, pioneered many groundbreaking projects such as the PROFarm marketing program and PROCoa […]
    PROView
  • REALTOR Brand is Big Winner at St. Anthony’s Tri May 13, 2017
    May 15, 2017- The REALTOR “R” could be seen all over Straub and Vinoy Parks April 28 – 30 as PRO’s Gold Sponsorship of St. Anthony’s Triathlon came to life. Light poles in Downtown St. Petersburg sported banners with the REALTOR logo, and fencing up around Straub Park along Beach Drive repeated the “R” every […]
    PROView
  • ‘Welcome’ to all our new members who joined us in April May 2, 2017
    The Pinellas REALTOR® Organization would like to welcome all of our new REALTORS® that joined us in April! We are happy to have you as a part of our organization and wish you much success in your careers. Joel Bridges Barkett Realty Jacob C. Unger Barkett Realty Nancy  Fessler Beach Place One Real Estate Christye […]
    PROView
  • ActiveKEY Discontinuation April 19, 2017
    ActiveKEYs work on a cellular network that is currently being phased out – they simply won’t function after it has been completely diminished.  In order to keep pace with the current technology, PRO will discontinue the support of ActiveKEYs. Members who currently have an ActiveKEY will need to turn it in to PRO and switch […]
    PROView

Visit Me at Active Rain