Took a Risk...Praying it Works Out!

[TNKBELL]

Dh and I decided to simplify our lives and sell our more expensive home at the same time we purchased an abandonned house in forclosure. We have been fixing up the "new house" and are moved in. Our old house has been on the market since April and we have not yet had an offer. We are getting pretty nervous about making double payments, but even though it will be super tight, we should be able to manage. We got a great deal on our current home.
This is the only way Dh would agree to downsize, he didn't want to sell our house and then have to rent..essentially moving twice. Does anyone have any advice about selling a home??? We have it For Sale by Owner, but I did pay to have it added to the MLS. I also have it listed on every FSBO site including Craigslist that I could find. We have had several showings...just no offers. It has been cleaned top to bottom and completely decluttered. I'm just wondering if it's our pricing? We consulted a Realtor and she suggested an amount and we went under that by 4%. Does it look bad to change your price more than once??? We just want it to sell, its' getting so hard to maintain 2 properties, especially with summer coming and all the watering.
Thanks!!!! You guys always give me the BEST ADVICE!!!!

 

[lovesmurfs]

Dh and I decided to simplify our lives and sell our more expensive home at the same time we purchased an abandonned house in forclosure. We have been fixing up the "new house" and are moved in. Our old house has been on the market since April and we have not yet had an offer. We are getting pretty nervous about making double payments, but even though it will be super tight, we should be able to manage. We got a great deal on our current home.
This is the only way Dh would agree to downsize, he didn't want to sell our house and then have to rent..essentially moving twice. Does anyone have any advice about selling a home??? We have it For Sale by Owner, but I did pay to have it added to the MLS. I also have it listed on every FSBO site including Craigslist that I could find. We have had several showings...just no offers. It has been cleaned top to bottom and completely decluttered. I'm just wondering if it's our pricing? We consulted a Realtor and she suggested an amount and we went under that by 4%. Does it look bad to change your price more than once??? We just want it to sell, its' getting so hard to maintain 2 properties, especially with summer coming and all the watering.
Thanks!!!! You guys always give me the BEST ADVICE!!!!

I wouldn't try to sell my home in this market without listing with a realtor, one who will work full-time to sell my house.

Best wishes. It sounds like a great adventure!

 

[dizneechic]

I would also suggest switching to a broker. We built new 4.5 years ago, across the street from our current house, we thought we could easily FSBO since there was no inconvenience what so ever for us to show and do what ever was needed. We had a few people come through that were really interested, but they were with brokers, and we found the brokers deterred them from purchasing a FSBO home because it effected the commission percentage they could make. We ended up listing with a broker and the house was sold a little over a month later.

FYI we did FSBO and listed on MLS, had our own website, and some local marketing. We did everything right, but the brokers really wanted to work with other brokers and there was no way we could really compete with industry norms.

 

[TNKBELL]

I would also suggest switching to a broker. We built new 4.5 years ago, across the street from our current house, we thought we could easily FSBO since there was no inconvenience what so ever for us to show and do what ever was needed. We had a few people come through that were really interested, but they were with brokers, and we found the brokers deterred them from purchasing a FSBO home because it effected the commission percentage they could make. We ended up listing with a broker and the house was sold a little over a month later.

FYI we did FSBO and listed on MLS, had our own website, and some local marketing. We did everything right, but the brokers really wanted to work with other brokers and there was no way we could really compete with industry norms.

Thanks, we have been thinking about listing with a Realtor. We were just hoping to be able to profit enough to finish fixing up our our new home.

 

[kkwis2]

I have to agree that if you really want to sell the house, get a Realtor. You will get much more exposure for your home and it will be someone else's job to get it sold. Anybody who is under contract with a buyer's agent will likely not look at your house if it is FSBO.

In these times, though, don't be afraid to negotiate your commission. Many will take a slightly lower commission just to get your listing. Also, don't overprice trying to make up for what you are "losing" by hiring an agent. If the price is right it will sell.

One more thing.... if you decide to hire an agent, ask several from different companies, both large and small, to give you a market analysis. Just because one agent says your house should be listed at a certain price doesn't mean that he/she is right. Ask them to back up the number they give. Why did they choose that price? Let them court you and choose the one that you feel will best represent you. Some Realtors are lazy and sit back waiting for the house to sell itself. Others are go-getters who will do everything in their power to help you. Which one do you want? It's not all about price, but rather who will work for what you are paying them, i.e. their commission.

Good luck!

 

[TNKBELL]

Ok, so if we decide to go with a Realtor, who do we choose?? The Realtor who sold us our current house is really nice and organized but she charges 6%, we told her we would hire her if we decide to go with a Realtor. But a friend of ours recommended a Realtor that works for a smaller commission and promises to sell homes faster, it sounds like a pretty good deal for us. I just don't want to not follow through on what we told our first Realtor. My husband says "It's business, not personal". We are going to hold one more open house this weekend, and then call someone....Who would you hire??

 

[rbork]

I would hire a realtor that has experience and actually SOLD homes in your immediate area. Don't let them "buy" your listing by telling you it can sell at a super high price or that promises to sell fast.
Realtors network among each other and can bring potential buyers in.
Be realistic with commission fees and other costs. Be forwarned that broker's want you to contract with them longer now because of the increase/trend of DOM. Good Luck and hope it works out well.

 

[Irin997]

Shop around. Think of it as hiring an employee. The Realtor is working for you. Also, I'm not sure if 6% is the norm around where you live, but here in MD the standard is 3% for the selling broker and 3% for the buyers broker for a total of 6% commission paid. I know that for higher priced homes a lot of the brokers will lower the commission to 2.5% each side for a total of 5%.

 

[Bren's Mom]

I think there are several things you can do.

First, invite a few 'tell it like it is' friends over. Ask them for brutally honest feedback on the house. Fix whatever they're telling you is a problem.

Second, are you offering a commission to any buyer's agents? If not, consider that. 'Standard' RE commission is 6%, although that is negotiable. When you list with an agent, you agree on a total amount and how much of that is going to the buyer's agent. Sometimes it's 3/3, sometimes it's 3/2 or 2/3, 2.5/2.5...just depends on what you negotiated. You CAN list FSBO but make it clear to any agent that brings you a buyer that you'll pay them a 2 or 2.5 or 3% commission.

Third, you can check the sold comps (not ones listed, ones actually SOLD) in your area yourself. See if the past 30-90 days sales prices per sf are comparable to yours. You can also consider paying a few hundred dollars for an appraiser to come and give you their appraisal. That might tell you if you're way off. (If the realtor gave you an inflated high price, even if you went 4% below, it could still be overpriced.)

Fourth, if you do decide to list with an agent remember that you negotiate the commission (as I said above).

 

[4Seasons]

Ok, so if we decide to go with a Realtor, who do we choose?? The Realtor who sold us our current house is really nice and organized but she charges 6%, we told her we would hire her if we decide to go with a Realtor. But a friend of ours recommended a Realtor that works for a smaller commission and promises to sell homes faster, it sounds like a pretty good deal for us. I just don't want to not follow through on what we told our first Realtor. My husband says "It's business, not personal". We are going to hold one more open house this weekend, and then call someone....Who would you hire??

The realtor can promise whatever he/she wants but it takes a BUYER to make it happen. Unless they themselves are willing to buy the house the realtor cannot GUARANTEE anything.

I would go with a realtor that has a proven track record selling homes in your neighborhood/immediate area. It's great to save a buck here or there, but if you are doing so at the expense of monthly carrying costs for a house that sits empty.............what are you really saving?

 

[TNKBELL]

I think there are several things you can do.

First, invite a few 'tell it like it is' friends over. Ask them for brutally honest feedback on the house. Fix whatever they're telling you is a problem.

Second, are you offering a commission to any buyer's agents? If not, consider that. 'Standard' RE commission is 6%, although that is negotiable. When you list with an agent, you agree on a total amount and how much of that is going to the buyer's agent. Sometimes it's 3/3, sometimes it's 3/2 or 2/3, 2.5/2.5...just depends on what you negotiated. You CAN list FSBO but make it clear to any agent that brings you a buyer that you'll pay them a 2 or 2.5 or 3% commission.

Third, you can check the sold comps (not ones listed, ones actually SOLD) in your area yourself. See if the past 30-90 days sales prices per sf are comparable to yours. You can also consider paying a few hundred dollars for an appraiser to come and give you their appraisal. That might tell you if you're way off. (If the realtor gave you an inflated high price, even if you went 4% below, it could still be overpriced.)

Fourth, if you do decide to list with an agent remember that you negotiate the commission (as I said above).

Thanks!! That's good advice everyone!!
Bren's Mom: How can I check the sold comps myself? I don't know how to access that.

I had the most critical person I could find come over and point things out....My Mother! LOL, she was great, she pointed out some things I never would have even thought about.

As far as negotiating commission, I guess maybe we could talk to our original Realtor and see if she would be willing to negotiate...even a little would help so much.

 

[Bren's Mom]

The realtor can promise whatever he/she wants but it takes a BUYER to make it happen. Unless they themselves are willing to buy the house the realtor cannot GUARANTEE anything.

I would go with a realtor that has a proven track record selling homes in your neighborhood/immediate area.

You can ask both realtors to give you a written fair market analysis, and also ask them how many homes they've listed in the last 3/6 months as well as how many homes they've sold in that time period, and the average days on the market. That will tell you right away if they're BS or not.

And at your open house...ASK people what they think! Let them know you'd love feedback, if they're interested, if they're not would they mind sharing why not (is it price, location, condition?). Can't hurt to ask them!

 

[Bren's Mom]

Thanks!! That's good advice everyone!!
Bren's Mom: How can I check the sold comps myself? I don't know how to access that.

I had the most critical person I could find come over and point things out....My Mother! LOL, she was great, she pointed out some things I never would have even thought about.

As far as negotiating commission, I guess maybe we could talk to our original Realtor and see if she would be willing to negotiate...even a little would help so much.

I'm in CT, so I can't tell you exactly. But I find the sold comps on one of the large real estate agency websites. Try those and see if any of them offer the sold comps. You also can find them on zillow.com (ETA: and on homes.com)

And try having another friend or two come over today or tomorrow. Different people have different thresholds for things. They might notice or have a preference about things your mom didn't think were an issue.

 

[kkwis2]

As far as negotiating commission, I guess maybe we could talk to our original Realtor and see if she would be willing to negotiate...even a little would help so much.

If you feel that you would like to work with the Realtor with whom you have worked before, I would give her a shot at it. Be honest and tell her that if she can lower her commission, you will choose her. But if she can't, and you don't want to pay 6%, and you have found someone else with whom you also feel comfortable, go with someone else. It is definitely business and you are the boss which can be an uncomfortable position to be in.

 

[TNKBELL]

I'm in CT, so I can't tell you exactly. But I find the sold comps on one of the large real estate agency websites. Try those and see if any of them offer the sold comps. You also can find them on zillow.com (ETA: and on homes.com)

And try having another friend or two come over today or tomorrow. Different people have different thresholds for things. They might notice or have a preference about things your mom didn't think were an issue.

Good Point!
Hey thanks for the Zillow reference, I am in the process of listing it on there, their "zestimate" was way over our asking price, so that makes me feel that we are in the right ballpark.

If you feel that you would like to work with the Realtor with whom you have worked before, I would give her a shot at it. Be honest and tell her that if she can lower her commission, you will choose her. But if she can't, and you don't want to pay 6%, and you have found someone else with whom you also feel comfortable, go with someone else. It is definitely business and you are the boss which can be an uncomfortable position to be in.

You are right, it IS uncomfortable, I think that this is the best way to go, I would feel right about it. Thanks!!!!

 

[dizneechic]

Good Point!
Hey thanks for the Zillow reference, I am in the process of listing it on there, their "zestimate" was way over our asking price, so that makes me feel that we are in the right ballpark.

FYI Zillow "zestimates" aren't necessarily accurate. For instance our neighbors house was valued on there at 380k, they listed it for sale at 449k and all of a sudden their "zestimate" rose to be more in line with the for sale price. This house has also turned over several times over the years so since there are more transactions on it, it's "zestimate" is higher. Identical houses up and down the street who are still with original owners are valued much less than the turned over house since the only information on the sale was from 15 years ago when our neighborhood was constructed. Anyhow, it's an OK indicator, but certainly not something I would rely on for value. It's great to look at though for comp values and recent sales since it pulls from county records.

 

[TNKBELL]

FYI Zillow "zestimates" aren't necessarily accurate. For instance our neighbors house was valued on there at 380k, they listed it for sale at 449k and all of a sudden their "zestimate" rose to be more in line with the for sale price. This house has also turned over several times over the years so since there are more transactions on it, it's "zestimate" is higher. Identical houses up and down the street who are still with original owners are valued much less than the turned over house since the only information on the sale was from 15 years ago when our neighborhood was constructed. Anyhow, it's an OK indicator, but certainly not something I would rely on for value. It's great to look at though for comp values and recent sales since it pulls from county records.

Yes you are right, I noticed that the "zestimates" around our culdesac varied greatly, all the houses that have sold within the last few years had higher estimates. But I think it's a good concept taken with that perspective.

 

[PurplePinkleEater]

Thanks, we have been thinking about listing with a Realtor. We were just hoping to be able to profit enough to finish fixing up our our new home.

Realize every additional payment you make on the larger home will be taking money away from you, which decreases your profit.

 

[TNKBELL]

Realize every additional payment you make on the larger home will be taking money away from you, which decreases your profit.

That is very true, Dh and I are going to call her after this weekend.

 

[Pigeon]

Our county has listings online for homes that have sold, with a description of the home and the selling price. If you don't have that, you probably can go to a county or town office and research them yourself. It is public information.