SELLERS Guide
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Understanding market conditions
| MARKET CONDITIONS | CHARACTERISTICS | IMPLICATIONS |
| Buyers Market The supply of homes on the market exceeds demand. |
House on the market longer.
Prices tend to drop in this type of market. |
Your home may take longer to sell.
Less negotiating leverage in terms of selling price. |
| Sellers Market The number of buyers wanting homes exceeds the supply or number of homes on the market. |
Smaller inventory of homes.
Many buyers. Homes sell quickly. Prices usually increase. |
May have more negotiating leverage and obtain a higher selling price for your property. |
| Balanced Market The number of homes on the market is equal to the demand or number of buyers. |
Demand equals supply.
Homes sell within an acceptable time period. Prices generally stable. |
More relaxed atmosphere. Buyers have a reasonable number of homes to choose from. |
Pricing your property
The single most important decision you will make with Nancy is determining the right asking price for your property.
Once you've achieved a realistic sale price, you can count on your property being professionally marketed and promoted to bring more buyers to your door. You can also expect to sell your home for the best possible price in the least amount of time.
The Benefits of Pricing Right
Determining the Value of Your Home
The market ultimately determines the true value of your property.
Before you compare your home to similar properties and establish a competitive list price, the following points should be considered:
Getting to Know Your Market
A comparative market analysis is an indicator of what today's buyers are willing to pay for a home. It compares the market activity of homes similar to your in our neighbourhood. Those that have recently sold represent what buyers are prepared to pay. the homes currently listed for sale represent the price sellers hope to obtain. And those listings that have expired were generally overpriced or poorly marketed.
Nancy will prepare a comparative market analysis for your home based on the most current market information. Together you and your Real Estate Professional will establish the proper list price for your home.
Understanding the Factors that Influence Overpricing
The Result of Overpricing
Many sellers believe that if they price their home high initially, they can lower it later.
Often, when a home is priced too high, it experiences little activity. Gradually the price will come down to market value, but by that time it's been for sale too long and some buyers will be wary and reject the property.
On occasion, the price is dropped below market value because the seller runs out of time. The property sells for less than it's worth.
Missing the Right Buyer
You may think that interested buyers "can always make an offer", but if the home is overpriced, potential buyers looking in a lower price range will never see it.
Those who can afford a home at your asking price will soon recognize that they can get better value elsewhere.
The Importance of Early Activity
As soon as a home comes on the market, there is a flurry of activity surrounding it. This is the crucial time when Real Estate Professionals and potential buyers sit up and take notice.
If the home is overpriced, it doesn't take long for interested parties to lose interest. By the time the price drops, a majority of buyers are lost.
Once you've achieved a realistic sale price, you can count on your property being professionally marketed and promoted to bring more buyers to your door. You can also expect to sell your home for the best possible price in the least amount of time.
The Benefits of Pricing Right
- Your property sells faster, it is exposed to more qualified buyers.
- Your home doesn't lose its "marketability".
- The closer to market value, the higher th offers.
- A well-priced property can generate competing offers.
- Real Estate Professionals will be enthusiastic about presenting your property to buyers.
Determining the Value of Your Home
The market ultimately determines the true value of your property.
Before you compare your home to similar properties and establish a competitive list price, the following points should be considered:
- Location
- Size
- Style
- Condition
- Community Amenities
- Buyer Supply
- Financial Options
Getting to Know Your Market
A comparative market analysis is an indicator of what today's buyers are willing to pay for a home. It compares the market activity of homes similar to your in our neighbourhood. Those that have recently sold represent what buyers are prepared to pay. the homes currently listed for sale represent the price sellers hope to obtain. And those listings that have expired were generally overpriced or poorly marketed.
Nancy will prepare a comparative market analysis for your home based on the most current market information. Together you and your Real Estate Professional will establish the proper list price for your home.
Understanding the Factors that Influence Overpricing
- Extensive renovations/hidden cost
- Desire to purchase in a higher-priced area
- Original cost of the home was too high
- Lack of real market information
- Building in "bargaining room"
- Perceived emotional value
The Result of Overpricing
Many sellers believe that if they price their home high initially, they can lower it later.
Often, when a home is priced too high, it experiences little activity. Gradually the price will come down to market value, but by that time it's been for sale too long and some buyers will be wary and reject the property.
On occasion, the price is dropped below market value because the seller runs out of time. The property sells for less than it's worth.
Missing the Right Buyer
You may think that interested buyers "can always make an offer", but if the home is overpriced, potential buyers looking in a lower price range will never see it.
Those who can afford a home at your asking price will soon recognize that they can get better value elsewhere.
The Importance of Early Activity
As soon as a home comes on the market, there is a flurry of activity surrounding it. This is the crucial time when Real Estate Professionals and potential buyers sit up and take notice.
If the home is overpriced, it doesn't take long for interested parties to lose interest. By the time the price drops, a majority of buyers are lost.
Agree on a marketing plan
Your property is not something you sell everyday. In fact, for many people it is their largest asset. A house is very complex to market and the process needs to be well organized. To do the job properly a plan is needed.
Nancy can prepare a personalized plan for you containing all activities intended to market your property. At Royal LePage, your property will be aggressively promoted through Royal LePage's own property advertising publications, other Royal LePage offices and Real Estate Professionals, the MLS information library ( unless it's an exclusive listing), and the Internet.
Nancy can prepare a personalized plan for you containing all activities intended to market your property. At Royal LePage, your property will be aggressively promoted through Royal LePage's own property advertising publications, other Royal LePage offices and Real Estate Professionals, the MLS information library ( unless it's an exclusive listing), and the Internet.
Signing a listing agreement
The first formal step in marketing you property is to enter into a Listing Agreement - a contract the commits Royal LePage to actively market your home for a specified period of time. It also commits to to a pre-established marketing fee that is paid upon the successful closing of the sale.
Nancy may require the following documents:
- Plan of Survey
- Location Certificate
Certificate - A survey of your property which outlines the lot size and location of buildings as well as details of encroachments from neighbouring properties. This may be required in certain areas to complete the sale of your home. Your legal professional may recommend that you obtain a survey, especially if significant changes have been made to your property.
Property Tax Receipts - Most Listing Agreements require that the current annual property tax assessments be shown.
Mortgage Verification - Few homeowners know the exact balance on their mortgage as it is paid down. You will be asked to authorize your mortgage lender to provide the figures required.
Certificate - This document is a legal description of your property and proof that you own it.
Other Documentation - In some instances, it may help the sale of your property if you can provide prospective buyers with information on such items as annual heating, electrical, and water expenses, as well as any recent home improvements costs.
NOTE: In many provinces you will be required to sign condition disclosure statement.
Nancy may require the following documents:
- Plan of Survey
- Location Certificate
Certificate - A survey of your property which outlines the lot size and location of buildings as well as details of encroachments from neighbouring properties. This may be required in certain areas to complete the sale of your home. Your legal professional may recommend that you obtain a survey, especially if significant changes have been made to your property.
Property Tax Receipts - Most Listing Agreements require that the current annual property tax assessments be shown.
Mortgage Verification - Few homeowners know the exact balance on their mortgage as it is paid down. You will be asked to authorize your mortgage lender to provide the figures required.
Certificate - This document is a legal description of your property and proof that you own it.
Other Documentation - In some instances, it may help the sale of your property if you can provide prospective buyers with information on such items as annual heating, electrical, and water expenses, as well as any recent home improvements costs.
NOTE: In many provinces you will be required to sign condition disclosure statement.
Preparing to show your home
First impressions are lasting impressions. You will want to make sure that buyers looking at your home are left with the best possible impression. Nancy can help you achieve that goal.
EXTERIOR
INTERIOR
EXTERIOR
- House exterior in good repair
- House number easy to read
- Eaves troughs, down spouts and soffits in good repair
- Garage/car port clean and tidy
- Litter picked up
- Cracked or broken window panes replaced
- Lawns and hedges cut and trimmed, garden weeded and edged
- Walks shoveled and salted
- Boot try inside front door
- Doorbell and door hardware in good repair
- Porch and foyer clean and tidy
INTERIOR
- Chipped plaster and paint touched-up
- Doors and cupboards properly closed
- Leaky taps and toilets repaired
- Burned out light bulbs replaced
- Squeaky doors oiled
- Mirrors, fixtures, and taps cleaned and polished
- Seals around tubs and basins in good repair
- Floors cleaned, garbage containers emptied
- Inside of closets and cupboards neat and tidy
- Appliances cleaned
- Counter tops neat and polished
- All lights turned on
- Air conditioner turned on in warm weather
- Halls and stairs cleaned
- Drapes opened during daylight
- Carpets freshly vacuumed
- Fresh flowers in various rooms
- Jewelry and valuables locked safely away or taken with you
- Valuable property, such as objects of art, vases and figurines out of reach, out of sight, or locked away
- Pets absent where possible, or contained during the showing, and litter boxes clean
Major elements of an offer
When it comes time to make an offer, Nancy can provide current market information and will assist you in drafting your offer.
Nancy will communicate your offer, sometimes known as an Offer To Purchase*, to the seller, or the seller's representative, on your behalf. Sometimes there may be more than one offer on a property coming in at the same time. Nancy can guide you through this process.
The offer can be Firm or Conditional.
Firm Offer To Purchase: usually preferable to the seller, because it means that you are prepared to purchase the home without any conditions. If the offer is accepted, the home is your.
Conditional Offer To Purchase: means that you have placed one or more conditions on the purchase, such as "subject to home inspection," "subject to financing" or "subject to sale of buyer's existing home." The home is not sold until all the conditions have been met.
* In the province of Quebec, this is referred to as a "Promise To Purchase."
Acceptance of the Offer
Your Offer To Purchase will be presented as soon as possible. The seller may accept the offer, reject, or submit a counter-offer.
The counter-offer may be in reference to the price, the closing date, or any number of variables.
The offers can go back and forth until both parties have agreed or one of you ends the negotiations.
Nancy will communicate your offer, sometimes known as an Offer To Purchase*, to the seller, or the seller's representative, on your behalf. Sometimes there may be more than one offer on a property coming in at the same time. Nancy can guide you through this process.
The offer can be Firm or Conditional.
Firm Offer To Purchase: usually preferable to the seller, because it means that you are prepared to purchase the home without any conditions. If the offer is accepted, the home is your.
Conditional Offer To Purchase: means that you have placed one or more conditions on the purchase, such as "subject to home inspection," "subject to financing" or "subject to sale of buyer's existing home." The home is not sold until all the conditions have been met.
* In the province of Quebec, this is referred to as a "Promise To Purchase."
Acceptance of the Offer
Your Offer To Purchase will be presented as soon as possible. The seller may accept the offer, reject, or submit a counter-offer.
The counter-offer may be in reference to the price, the closing date, or any number of variables.
The offers can go back and forth until both parties have agreed or one of you ends the negotiations.
Moving tips
Once you have bought your home, Nancy can help make the move easier for you.
Follow this handy Moving Checklist -
Book the Movers
You can choose to have your movers pack everything, or just the breakables, or you can pack yourself. It is a good idea to obtain estimates from several different companies.
If you Own Your Present Home...
...arrange to have your gas, water, and electric meters read on the day you leave and have the bills forwarded to your new address.
...have the oil tank read and filled before your sale closes, and provide a receipt to your legal professional if required.
...if the water heater or furnace is rented, arrange for a transfer of the rental agreement to the purchaser.
...disconnect your telephone, cable TV, and water softener.
If You Rent Your Present Home...
Give the necessary written notice to your landlord and make arrangements for the return of any money you have on deposit.
At Your "NEW" Home...
Make arrangements for the gas and electric utilities, water softener, telephone, and cable TV to be connected on the day the sale closes.
GENERAL TIPS
Follow this handy Moving Checklist -
Book the Movers
You can choose to have your movers pack everything, or just the breakables, or you can pack yourself. It is a good idea to obtain estimates from several different companies.
If you Own Your Present Home...
...arrange to have your gas, water, and electric meters read on the day you leave and have the bills forwarded to your new address.
...have the oil tank read and filled before your sale closes, and provide a receipt to your legal professional if required.
...if the water heater or furnace is rented, arrange for a transfer of the rental agreement to the purchaser.
...disconnect your telephone, cable TV, and water softener.
If You Rent Your Present Home...
Give the necessary written notice to your landlord and make arrangements for the return of any money you have on deposit.
At Your "NEW" Home...
Make arrangements for the gas and electric utilities, water softener, telephone, and cable TV to be connected on the day the sale closes.
GENERAL TIPS
- Get "Change of Address" cards from the post office and send out well before moving day.
- Have the post office forward your mail to your new address.
- Cancel any contracted services and pre-authorized cheques.
- Inform gardening, dry cleaning, garbage pickup, newspapers, magazines, and other home services. Arrange for services at your new address.
- Cancel or transfer social, athletic, civic, religious, or business affiliations, and memberships.
- Change the address on your driver's license(s) effective the day of the move.
- Collect all items out for cleaning, repair, or storage, e.g. dry cleaning.
- Make special arrangements for the moving of perishables, such as plants.
- Make special arrangements for the moving of your pets.
- Safely dispose of all flammable liquids as it is illegal for movers to carry them.
Return on Investment
Renovations don't have to be expensive to offer you a good rate of return. In fact, a quick coat of paint can go a long way to boosting your selling price. Just make sure your new decor is tasteful, with shades of white and tame versions of popular colours.
The kitchen and bathroom are your best bets for renovation with the highest payback. Take a look at these average rates of return for home upgrades.
The kitchen and bathroom are your best bets for renovation with the highest payback. Take a look at these average rates of return for home upgrades.
- Interior painting and decor - 73%
- Kitchen renovation - 72%
- Bathroom renovation - 68%
- Exterior paint - 65%
- Flooring upgrades - 62%
- Window/door replacement - 57%
- Main floor family room addition - 51%
- Fireplace addition - 50%
- Basement renovation - 49%
- Furnace/heating system replacement - 48%
- New lighting - 84%
Why use a Real Estate Agent?
Selling a home takes a lot more than just putting a "for sale" sign out in the front of your home. You need someone with experience and training to help you determine the right price, come up with an effective marketing strategy, and anticipate and solve any problems that come up during the selling process. A real estate professional can help you with every part of selling your home, and offer you a smoother, hassle-free experience.
When you're selling your home, there are a number of advantages
to working with an agent:
When you're selling your home, there are a number of advantages
to working with an agent:
- They are familiar with real estate values in your neighbourhood and will help price your home competitively by preparing a market analysis of homes that have sold, competing homes that are still on the market and homes that were on the market but didn't sell.
- They will establish a marketing strategy for your home, ensuring that it's exposed to as many potential buyers as possible.
- They will take care of the tasks involved in the selling process, ensuring that the transaction goes smoothly and is less stressful for you.
- They are an expert in the home selling process and will advise you of your rights, options and obligations.
- They are experienced negotiators and will work for you to get you the best possible price for your home.
