Steven’s Listing Consultation Process

Selling Real Estate | Seller Q&A

What are the top marketing tips and strategies to get properties sold with fewer days on the market and maximize price?

1. Showcase the property's unique charm and livability through stunning photos, captivating videos, and a detailed, evocative description.

2. Maximize exposure to qualified buyers by advertising on all top real estate websites and prominent networks, ensuring your property shines before a targeted audience.

3. Strategically price the property to spark immediate interest and optimize your chance of securing offers above market value.

4. Continuously monitor market trends and adapt your approach to ensure maximum appeal if buyer preferences shift.

5. Prepare necessary disclosures and proactively address potential concerns through pre-inspection to minimize negotiation surprises during escrow.

How can I be sure that I am getting the best possible price for my property?

Engage a licensed real estate broker to conduct a thorough walkthrough of your property and present a valuation report. This report will analyze significant market price influences, including active and pending listings, recent sales, average days on market, property details, location, condition, specific neighborhood amenities, school district boundaries, market trends, investment potential, and other relevant factors, providing you with the most accurate picture of your property's market value. This comprehensive assessment will empower you to confidently determine whether you're getting the best possible price for your property.

Can I sell and buy property at the same time?

Yes. Strategic coordination allows you to seamlessly transition from your existing investment property or primary residence to a new one, ensuring all closings execute concurrently. Discussing listing and buying contingency options, 1031 exchange eligibility, and rent back options with an experienced agent will minimize financial risks and ensure a smooth and successful move.

What are common ways a real estate deal falls apart after accepting an offer?

Buyer-related issues:

- Financing falls through: This is the most common reason, as the buyer might not be able to secure the necessary mortgage or loan approval.
- Home inspection reveals problems: Issues found during the inspection could lead to renegotiations, requests for repairs, or even the buyer backing out.
- Appraisal comes in low: If the property appraises for less than the agreed-upon price, the buyer might have trouble securing financing or may feel the price is unfair.
- Cold feet: Sometimes, buyers experience post-offer regret and simply change their minds about the purchase.
- Contingencies not met: Some deals are contingent on certain conditions being met, like selling an existing property first. If these conditions aren’t met, the deal can fall through.

Seller-related issues:

- Title issues: Hidden problems with the property’s title, like ownership disputes or liens, can surface and complicate the sale.
- Unexpected repairs: Major unforeseen repairs needed on the property can lead the seller to back out or renegotiate.
- Better offer emerges: In a hot market, the seller might receive a higher offer after accepting yours, tempting them to break the agreement.
- Change of heart: Just like buyers, sellers can also have second thoughts and decide not to sell after all.

Other factors:

- Market changes: If the market shifts significantly between offer acceptance and closing, it could put strain on the deal and lead to renegotiations or even failure.
- Communication breakdown: Misunderstandings or poor communication between buyer and seller can create friction and ultimately lead to the deal falling apart.
- Legal issues: Unexpected legal issues related to the property or the contract can cause complications and potentially derail the sale.

Tips to avoid deal collapse:

- Choose a reliable Realtor: Steven can help navigate the process, anticipate potential issues, and ensure smooth communication.
- Get pre-approved for a mortgage: This reduces the risk of financing falling through later.
- Conduct a thorough inspection: Get the property inspected by a qualified professional to avoid surprise problems.
- Draft a clear and concise contract: Ensure all contingencies and timelines are explicitly stated.
- Maintain open communication: Be transparent and update each other on any developments throughout the process.

Is your asking price sending away buyers to another property? Key points to know.

Focus on buyer perception: Market Value = What buyers perceive it’s worth.
Start right: Don’t overprice to attract higher offers – it backfires.
First impression matters: High interest fades after 2-4 weeks, price reductions needed later.
Stale listings hurt your wallet: Market psychology lowers “salable price” of overpriced listings.
Be realistic: List price should reflect the current “salable price” to attract buyers.
Price it right from the start: Homes initially priced too high often sell for less than their true value.

What are 9 simple tips to prepare your home for the market?

Spiff up everything on the outside of the home. Edge the yard and plant flowers.
Add lighting to the interior and exterior. While it may seem like a small expense, most buyers will probably drive by your home at night.
Touch up paint where needed.
Go with neutral paint colors on the inside.
De-clutter and tidy up the house.
Pay attention to the front door. Make sure it’s spotless.
Deep clean the house.
Straighten up the basement.
Buy a pre-home inspection. It may cost about $300, but it will eliminate unpleasant surprises.

As life evolves, so do our dreams for our homes and our financial goals. Are you considering downsizing for a simpler life, upsizing for a growing family, moving for a job, trading horizons with a 1031 exchange, or cashing in on built-up equity?

Whatever your motivation, selling your property is a big decision. Don't settle for just any agent. Partner with someone who will take the time to understand your unique situation and goals, and deliver the communication, expertise, and dedication to help you find the highest bidder for your property, in the shortest amount of time, and safeguard your seller rights from contract to close.

Embark on Your Selling Journey.
Interview Steven, Today.

The Selling Process + Tax Considerations

1. Manage Showings

What is a showing? Potential buyers get a feel for your home in person.

Ready your house: Declutter, depersonalize, stage, clean, and address minor repairs. Boost curb appeal and open up the space with light.

Showtime: Your agent handles scheduling and questions, opening doors for private showings and open houses to showcase your home.

2. Review Offers

What is an offer? Your buyer’s written proposal, with a price, terms like closing date and inspection requests, and any contingencies (think repair credits).

Making your pick:

Price: Meets your expectations or flexible?
Terms: Smooth closing, favorable conditions for you?
Buyer strength: Pre-approved, financially stable – ready to close?

Multiple offers? You hold the cards:

Accept the one you love, negotiate for a better deal, or even walk away.
Your agent will navigate the process, helping you secure the best offer.

3. Prepare For Inspections

What is it? A licensed inspector examines your home’s major systems like roof, plumbing, and electrical to assess their condition and potential repair needs.

What gets checked? Expect the inspector to test appliances, fixtures, and systems, looking for any visible defects, potential repairs, and safety hazards.

What’s not included? Cosmetic issues, environmental concerns like asbestos or radon, and underground components like septic systems typically require separate inspections.

What happens next? The inspector delivers a report outlining their findings, which the buyer uses to evaluate their offer or potentially request repairs. This is where the process can take a turn: the inspection period holds the highest risk of buyers reconsidering their purchase based on the report’s details, findings related to the property’s location, and any additional investigation or due diligence they conduct. Be aware that if the buyer is within their contingency period and chooses to back out in the investigation period, the earnest money deposit will be returned to them.

Negotiation Time: Depending on the report, you and the buyer may discuss repairs, credits, or even the possibility of the buyer withdrawing from the contract. Your real estate agent is crucial here, guiding you through the negotiation process and helping you reach a mutually agreeable solution.

4. Prepare for Appraisal

What is an appraisal? An appraisal is a professional assessment of your home’s market value conducted by a licensed appraiser. This is typically required by the buyer’s lender to ensure the property is worth the loan amount.

How is my house appraised? The appraiser will consider various factors like comparable recent sales in the area, the property’s condition, square footage, amenities, and overall market trends. They will conduct a physical inspection and review relevant documents like your listing details and property tax records.

How to prepare for an appraisal? Ensure the house is clean and presentable for the appraiser’s visit. Gather relevant documents like recent renovations receipts, similar sold properties that the support value of the sale, permits and any documentation showcasing unique features. Provide the appraiser with access to all areas of the property for their inspection.

How can an appraisal affect my home sale? If the appraised value meets or exceeds the agreed-upon purchase price, the sale can proceed smoothly. If the appraised value falls below the purchase price, there are several possibilities:

The buyer makes up the difference to bridge the gap. This can be negotiated prior to entering into a contract with the buyer.
The buyer may renegotiate the purchase price to reflect the appraised value.
You may offer concessions to bridge the gap between the appraised value and the purchase price.
The buyer may choose to walk away from the deal if financing cannot be secured at the appraised value.

5. Closing

What should I do before the closing? Finish any contract-required fixes, collect appliance manuals for your buyers, and schedule a final walk-through. Secure movers, swap utilities, and update your address. Carefully review closing documents, especially the settlement statement, then give your house a sparkling farewell clean.

What can I expect when closing? Attending closing is optional for sellers. Signing can happen beforehand. Expect closing costs (deducted from sale proceeds): mortgage balance, real estate commissions, prorated taxes, utilities, insurance, and HOA dues.

What’s next? Congrats, homeowner! After closing expect your sale proceeds via wire transfer, cancel homeowner’s insurance after closing for full-day coverage, and save paperwork: closing docs & home improvement records for taxes.

6. Tax Considerations

What tax implications should I be aware of when selling my home?

California-Specific Considerations:

Prop 19: If eligible (over 55 or facing qualifying hardships), utilize Proposition 19 to transfer your low property tax base to a new California home, shielding yourself from significant tax hikes.

Capital Gains & Income Taxes:

1031 Exchange: This strategy allows you to defer capital gains taxes by reinvesting your sale proceeds into a similar investment property. However, it comes with strict rules and deadlines, so consult a tax professional for guidance.

Capital Gains Tax: Brace yourself for potential capital gains taxes on the profit from your home sale. The actual amount depends on several factors, including the purchase price, selling price, and ownership duration. For primary residences, generous federal exclusions are available (up to $250,000 for single filers and $500,000 for married couples filing jointly). Consult a tax professional for accurate calculations and potential exceptions.

California Capital Gains Tax: This adds an additional layer of taxation with rates ranging from 1% to 13.3%, on top of federal capital gains taxes.

Millionaire’s Tax: If your taxable income (including capital gains) exceeds $1 million, prepare for a 1% surcharge.

Closing Costs: Some closing costs can be tax-deductible. Organize your paperwork and consult a professional to identify potential deductions.

Home Improvements: Deduct major improvements added to the property’s cost basis (e.g., kitchen, deck). Remember, good record-keeping with receipts and pictures is crucial.

Home Staging: Unfortunately, home staging expenses are not currently deductible.

Please seek qualified professional advice to analyze your specific situation and optimize your tax outcomes.