You sell a home by making sure you have an in writing strategy. You are also going to want to get the best home selling advice possible. You may want to try the online channels before accepting what the writer has said as Gospel, make sure you identify who the author is.
In this case, I'm Connor T. MacIvor. I was an LAPD cop turned Realtor. I live in Valencia California and I represent home buyers and seller in all of Southern California. Have license will travel. I have been selling homes since 1998. That is who I am, plain and simple. Of course, I have a lot of depth, reach out to me when you are ready to interview an expert real estate advisor.
After you find out who they are, and if they are local, you may have struck gold. If they are writing for a publication or another online system, they may have done so to be the "click bait" the website hired them for. If that is the case, it has been my experience that those who write for those purposes miss the mark and can even mislead. Be careful.
If you are viewing the answers to questions on the real estate syndication websites as a prospective home seller, you may be doing more than just reading bad information. You may be putting yourself at risk and opening up yourself up to be spammed. Once you give up any of your personal and private information to "request further info" or "get more details", or "hire our professionally vetted real estate agents" - you have just had your personal information sold to a ton of real estate entities - including agents.
How do I sell a home
The first step, which I have already stated, is to find that local trustable real estate resource, the agent.
There are different types of real estate agents. One example is those who are in your family. They may be great, but I can tell you from experience that most of our sellers who have relatives who sell real estate aren't hired. They aren't because most know that doing business with family can create issues down the road. Also, most don't want their business being known by their family, at least to the detail that will be required to sell a home. If that seller is also selling a home to buy a home, this will present the real estate agent with a lot more personal financial information as well, just know it.
Some real estate agents are not Realtor's. Being a Realtor requires a certain price of admission. Being that the "Realtor" is a trade organization for real estate agents. There is also a certain ethical standard that all of their membership has to attain. They also only allow those agents who are "in good standing" to join their membership. All of the Top producing real estate agents, their brokerages and the sort are all members of this trade group allowing them to describe themselves as Realtors. If the agent you are considering hiring is not a Realtor - you are going to be leaving a lot on the table, and not just money.
I have met real estate agents who are brokers, never having been actual 'in the field' real estate agents. Some of the various educational degrees will afford this leap without ever having been a real estate agent. Being a broker is great and would allow a person to start their own boutique real estate brokerage. That is great too, but maybe not the best choice by a prospective home seller. Here is why.
During my time with the LAPD, some of the best years of my life were served in protecting and serving those who were within the City of Los Angeles. I served quite a few years as a Motor Cop assigned to DUI watch, we did the drunk driving enforcement detail. I felt as if I was keeping the streets safer than I would have with writing tickets. I had seen some tragic consequences from drunk or impaired driving, it was the DUI watch for me.
On motors, we had motor supervisors. As a comparison, those motor supervisors were kind of like the brokers. Some motor sergeants had never ridden those motorcycles in an enforcement capacity. They made supervisor having worked straight legged assignments, never traffic enforcement, they took the motor supervisor oral, passed and then passed motor school.
Without out the field experience of having worked in the capacity of a true motor cop, they severely lacked as motor supervisors. They hadn't the foggiest idea of what the job of a motor cop entailed. They had no ideas of the hardships and issues that the motor cops face on a day to day basis.
I know it first hand why some real estate agents don't become brokers. That is because of liability and necessity. I'm with the REMAX Brokerage. I'm a full-time real estate agent. I have no necessity or desire to open up my own company. Even though I have enough of a team and following, I'd have 50 agents working for me without issue. However, REMAX is powerful for my clients, my home sellers and benefit from me being a part of that brokerage. So hence, why I stay and remain a full-time real estate agent (realtor).
Part-time agents exist. I had Paris, my partner who was our full time end of the real estate business I started in 1998. At that time I was still a full-time cop. I could do real estate on my days off, but I could not do it while at work. If I hadn't had Paris being the full-time end of our real estate business, our clients would have been done a disservice. Hiring a part-time real estate agent does not serve you fairly.
Local versus out of area real estate agents. Selling a home in the Santa Clarita Valley by a real estate agent from Rancho Cucamonga does not serve that home seller at a 100% level. In fact, it may cause that home seller to lose because of the "not knowing" of the local housing market at a local level by the agent they have hired. The local agents also like dealing with agents they have worked with in the past. That is a benefit as to why you should only work with the local real estate agents. Maybe the home has a mello roos tax, if they are not local they may have never had heard of that and why/how that impacts home sales locally. Just that small error on their part can cause the home seller to lose big time.
How Do I sell a home Questions and Answers:
What are the closing costs for a seller? Both buyers and sellers have their own closing costs. The closing costs for a home seller are going to be the agent's commission that they hired to represent them. They also are going to be responsible for the agent's commission that ends up bringing the home buyers which write the offer and which enter escrow. If their own real estate agent brings the buyers, that would be considered dual agency and is illegal in some states, in that case, the commission may be discounted by said agent. The other items that are included in a seller's closing costs are going to be the seller's part of the title insurance and the seller's part of the escrow fee. Escrow and Title can be 1% each. The real estate agent's commission is going to depend on the market and your ability to negotiate. Typically 3% per side, totaling 6%. A sellers closing costs can be 8% without discounts in most real estate markets.
What costs are involved in selling a house? Besides the seller's closing costs which were covered above. Sellers can pay for a Seller's home warranty plan which would protect the home while it's listed and in escrow, just in case a system breaks or stops working. Such as a home's HVAC unit breaking and needing replacement, the seller's home warranty could cover it. If the home buyer requests repairs or credits after their home inspection was completed, they may ask the home seller. If the home seller has a lien on the title that is verified as being his/hers, that will have to be remedied.
What does the seller have to pay when selling a house? The closing costs any negotiated repairs and agreed to credits. The seller should also keep up their taxes, if due, their homeowners' association fees if they have them, and their utilities. Gardners and pool people should also continue to be paid throughout escrow until closing by the home seller.
Where do I start when selling my house? The best place to start would be with a local real estate agent. The best you are able to find. Selling the most real estate does not equate to being the best. Search online and look at the results as one of those from the newer generation. My kids always point me in better directions from the way they search and read the Google and Bing search results pages. Look past the ads. Look past the real estate syndication websites. Look past the Big Brokerage websites. You will then find that local real estate site like SCVnest. You will one person, a single point of contact and local phone number. You will see a local brick and mortar office and location. You call and you know you are speaking with a local real estate. Schedule a time to speak with them and they will guide you throughout the process.
All good selling of real estate starts by being prepared.
Who pays the closing costs on a home sale? Typically the seller pays their own closing costs and depending on the type of market, the buyer pays their closing costs. When I stated "type of market" I mean if we are in a home seller's market with a highly competitive buyers market, the home buyers rarely ask for the seller to help with closing costs. They don't even ask for the home seller to allow them to finance the closing costs. If the market is a buyers market and if the sellers have a long day on market timeframe, that changes the typical negotiation to include the sellers paying for or contributing to the buyers closing costs.
Do sellers pay property taxes at closing? Yes, they keep the property taxes paid up to the moment of closing. After that, the buyer picks up the tab from that day moving forward. If the property taxes have been paid to a further point in the future, the seller will be credited back for those amounts in escrow. The property is kept current with regard to taxes and it becomes a day to day event.
What does a seller have to pay at closing? During escrow, the funds for the seller's closing costs will typically be deducted from the seller's proceeds. If there is not sufficient money from the proceeds to pay for these costs, the seller will know this ahead of time and have the necessary funds transferred from an account to escrow so the transaction is able to close.
What happens when you sell your house for a profit? There could be tax implications depending on a number of factors. There could be a state-mandated withholding that escrow will enforce. Basically, a percentage of the home sales price is held back by escrow and given to the State of __________ franchise tax board per their requirement. If you buy and sell a home within a particular time period you could be taxed at a hefty amount. This depends on your particular state and personal tax profile. Make sure you ask your CPA and local escrow officer.
Does the seller pay closing costs out of pocket? If the home seller is not breaking even on the sale of their home, meaning if their closing costs and expenses are not absorbed by the home sale in the way of money to be made in the positive, then yes. In some cases, home sellers are upside down on their homes, but they need to sell anyway. In those cases, they will list their home for sale, see what types of discounts they can get from their hired realtors, and make up the rest to sell with money from other sources.
In other cases, sellers that are upside down may have a hardship requiring them to sell. In those cases, these sellers may choose to have their home handled as a short sale where we list the home and provide documentation to the mortgage holder about the seller's hardship and seek them to approve the short sale or short pay sale. This does harm a person's credit and can also create other financial issues.
Who pays what at closing? The buyer is responsible for their closing costs(detailed above) and with bringing in the required down payment. The home seller is responsible for paying their closing costs(detailed above).
I have been selling real estate since 1998, I'm Connor T. MacIvor and I'm glad to be your real estate consultant and eventually your real estate representative. I am also a great real estate agent referral source for anywhere in this country. Just give me the city and state of your interest and what type of housing you are considering and I'll get you the best real estate agent you will be able to find. Be well, be awesome and please share this with those whom you know would need it.