Special report on "How to Sell Your Home Yourself"

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Dear Homeseller,

Like thousands of other homeowners, you want to sell your house. Except unlike

most of them, you want to sell it yourself, without the use of a real estate agent.

Why? Probably because you want to save the commission.

Sure! Why not. I can't blame you one bit. The thought of saving thousands of

dollars certainly is appealing.

I'm not like most real estate agents that will try to convince you that selling your

home yourself is silly. In fact, if you are willing to learn the process, and invest the

time and money to do it, you can sell your home yourself, and save thousands of

dollars in real estate agent's commissions.

The techniques and suggestions in this report are not just some random ideas

thrown together. They have been tested and proven over many years and thousands of

successful sales.

This report is organized, and right to the point. Everything you need to know is

here, but there's not a lot of fluff thrown in that would waste your time (You'll need

every minute to work on the sale)!

Before we get started, I know that you may be thinking:

2

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

It does seem a little odd, but there is a perfectly logical explanation.

I mentioned before that I am not like most other agents you'll meet. I know that

what goes around comes around.

I will do everything I can to assist you so that you can achieve your goal of

selling your home yourself, and there is absolutely no obligation.

The facts are that nearly 90% of all the people that put their home up for sale by

themselves eventually end up listing with an agent.

If your situation changes and you decide to list with an agent, I hope that you will

allow me to show you my marketing plans and that you will at least consider me for

the job.

If you are successful selling your home yourself (and your chances are excellent

with the tips in this report), experience has proven to me that you may remember the

help that I provided and give my name to others who might need my services.

In fact, I get more referrals from people who were successful selling on their own

than the ones who end up listing. So I actually hope that you do achieve your goal

and sell it!

No matter what happens, though, it's OK with me. I know that in the long run if I

help enough people to get what they want, I will get what I want... which is to make

a good living providing top-notch service to my clients.

So there you have it, pure and simple.

Now let's move on to the real task at hand... getting your home sold!!

You can sell your home yourself, without listing it with a real estate agent.

3

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Lots of work needs to be done, which means that you need to do the work of the

agent. If you're willing to put in the effort and learn the process that top agents use,

your chances of success will increase greatly.

First off, you need to adopt a business attitude about the entire situation.

Homeowners are often quite emotional about their homes, and it can prevent them

from making rational decisions when selling.

They reminisce about all of the holiday get togethers, back yard barbecues, and

how the family grew together in the home.

Potential buyers are not interested in nor effected by your emotional attachments

to your home.

Potential buyers are not looking to buy your home, they are looking to buy a house

that they can make into their home.

You must put your emotions aside and realize that you are going to have to make a

dollars and cents business transaction.

Studies have shown that homesellers want three main things:

If you are like most sellers, you probably want the same things. Only since you are

selling it yourself, you are willing to give up some on number three, because you are

going to have to take on the work that a real estate agent would normally do.

Yes, that's right.

4

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

It can be a very overwhelming task, so the best way to tackle it is to learn and

understand the six-step home selling process:

Let's get right to it, and examine the six steps in closer detail!

This is by far the most important, yet most often misunderstood step.

Failure to understand the market and properly price your home is the single

biggest factor that will cause it to NOT SELL for top dollar and sit unsold for months

on end!

To make sure that this doesn't happen to you, you must first focus on two main

areas:

1) CURRENT MARKET CONDITIONS

2) YOUR TIME REQUIREMENTS

Let's look at how current market conditions can effect selling and pricing.

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Suppose that there were very few homes on the market for sale, and a large

amount of eager buyers. What would that do to prices?

That's right, they would go up. This is referred to as a seller's market.

Conversely, if there were very few buyers and lots of eager sellers, what would

that do to prices?

Sure, they would go down. That would be a buyer's market.

It is the basic laws of supply and demand.

Of course, that is a very simple example. Your local market may be at one of the

extremes, or anywhere in between. You must consider things like interest rates, new

home sales, and local economic factors such as large businesses opening or closing,

etc.

To properly analyze your current market conditions, you will need to research

homes currently available, under contract, and recently sold in your area.

There are several ways to get information on homes that have sold.

The first way is to do the research yourself. The sales prices of homes that have

sold and closed is public record, so you can go to your county or city records office

and dig for all of the information. I don't know exactly how long it would take, but

don't make any other plans that day!

Many title companies will provide you with data on sold homes. Most will do this

for free, to entice you to use them for your title insurance policy.

To get the most complete information, give me a call. With the click of a few

buttons on my computer, I can have a complete computerized market analysis of your

area (including available, under contract, and closed homes, average price per square

foot, average days on market, etc.) printed out in a matter of minutes.

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Once you have the market information on homes in your area, take some time and

drive around the area, stopping in front of the homes on your list. Make notes about

the appearance and other details of the homes.

If any of the available homes are having an open house, take a look inside. Be up

front with the owner or agent, and tell them, "We live in the area and are planning to

sell our home ourselves. Do you mind if we take a quick look?"

This driving around is an important step, because it gets you more familiar with

the market, and will help you make a more objective decision on pricing your home.

Next, sit down at the table and review the data and make honest, unbiased

comparisons based on criteria such as:

SIZE

AGE

BEDROOMS

BATHS

POOL/SPA

BASEMENT

GARAGE

VIEW

LOT SIZE

OTHER FEATURES AND UPGRADES

Start by taking a brief look at the homes that are currently available for sale. The

purpose of looking at the availables is to get a feel for what other people in your area

are asking, NOT to use the information to base your price on.

A seller can ask any price for their home, regardless of what it is really worth.

Many of the available homes are priced in "dreamland". These prices DO NOT

reflect the realities of the market. In fact, professional appraisers can not use available

prices at all when appraising a house, only closed sales within the past six months.

Now move on to the pending and closed sales. This is the real bottom line, where

the "rubber meets the road". It is the hard reality - what buyer's were willing to pay

and what seller's were willing to sell for in a free, open market.

7

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Study the closed sales. The first thing you may discover is that the actual sales

price of the neighbor's home that sold 2 months ago is less than what they told you

when you saw them out in the driveway. Imagine that!

Identify the homes that are similar to yours, ones that are nearly the same size,

style, etc. Then look for items that are different like a remodeled kitchen, pool,

finished basement, etc. and make adjustments.

DO NOT make the mistake of thinking that maintenance items can be considered

as improvements that increase value. Things such as a new roof or new

heating/cooling unit are really maintenance items.

While these items may make your home sell faster, they typically do not add much

to the potential asking price of the home. After all, a buyer will expect a home to

have a roof that doesn't leak and a properly functioning heating/cooling unit.

For example, let's say that there are 4 homes like yours that have recently sold,

priced at $166,500, $169,900, $179,000, and $183,900. The home at $183,900 has

some extra features that yours doesn't, but yours is superior to the one that sold for

$166,500. Overall, the two other homes are pretty close to yours.

This gives you a current price range of $169,900 to $179,000. Now all you have

to do is pick a price within this range!

Once you determine the proper price range for your home, how quickly you want

to sell will dictate whether you price at the lower or higher ends of the price range.

This is where your own time requirements come into play.

Your own personal situation will have some effect on the price you ask for your

home. It is easy to see that if you needed to sell your home within 4 days, you would

have to price it lower than if you had 4 months to sell it.

If you were not in a major rush, but still wanted a sale in a reasonable amount of

time, you might decide on an asking price of $175,000.

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

If you are still having difficulty determining the proper price for your home, you

can call me for assistance (no obligation, of course), or hire a fee appraiser which you

can find listed in the phone book.

It is natural for every homeowner to have a certain "pride of ownership" and to

think that their home should be worth more than the one down the street. This is

where you must be objective, and try to take your emotional attachments to your

home out of the situation.

You must be reasonable. Unless you are in a total sellers market, if you price your

home too high IT WILL NOT SELL!! It will sit on the market for months on end,

getting the reputation of a "problem property".

People will assume that since the home has not sold, there must be something

wrong with it. They will start to avoid it like the plague!

Even if you then drop the price, the damage is already done... the stigma is there,

and you may need to drop the price even further to entice skeptical buyers.

Improper pricing is the single biggest mistake that sellers make. Don't let this

happen to you. Make sure that you set a reasonable price for your home right from

the start.

Once you have determined a fair market price for your home, you can calculate

your bottom line. This is the amount that you will net (get a check for) after paying

all of the expenses associated with selling a home.

Remember, by selling your home yourself, the only cost you avoid is the real

estate agent's commission. You will still have to pay all of the other closing costs,

just like any other seller.

9

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Closing costs vary from area to area and also depend on how each individual

contract is structured. The following are items that you may need to deduct from your

sales price to determine your net proceeds:

􀂾 MORTGAGES OR LOANS - Any first, second, etc. loans, or mortgages. Also

any liens that occurred if you used your home as collateral. Call or write your

lender and ask for the amount to pay the loan in full (often not the same as the

principal balance).

􀂾 PRORATED INTEREST - Mortgage interest is generally charged in arrears.

This means that when you make your July payment, you are actually paying

interest for June. So if your home sale closes on July 26th , you will still owe

interest for 26 days even though you already made your payment on July 1st.

􀂾 BUYERS CLOSING COSTS -These costs can include, but are not limited to:

loan application fees (if applicable), credit report, loan discount points, title

search, land title Registration fees, property purchase tax, survey certificate (if

Required), and Lawyer's or Notary fees, mortgage fees, property taxes, mortgage

insurance premiums, , fire insurance, Sales Tax (if applicable), Goods and

Services (GST) and interest.

􀂾 ATTORNEY FEES - Everyone loves lawyers!

They hold trust funds, handle paperwork, and make sure that all necessary

conditions are met before releasing money or transferring title.

􀂾 TRANSFER TAXES/CHARGES - Transfer fees are often charged by Province

or local governments as a way to increase revenue. They vary widely, and are

often based on a percentage of the sales price.

􀂾 APPRAISAL FEES - If the buyer is obtaining new financing for the purchase,

the lender will require a professional appraisal on the house. This is another

negotiable item, but is often paid by the Buyer in some areas.

􀂾 TERMITE INSPECTIONS - Required on some government loans, and

requested by many buyers.

􀂾 STRUCTURAL/GENERAL INSPECTIONS - Professional independent

inspection services are required by law in some areas and often requested by

buyers to make them more confident about the purchase.

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

􀂾 TITLE INSURANCE FEES - Title insurance protects the buyer and lender

against issues of improper ownership or transfer. The title insurance company will

research the title to make sure there are no liens, judgements, or clouds on the title

that would effect the ownership rights. There is an Extra Cost for this Service.

􀂾 PREPAYMENT PENALTIES - Many private and some conventional

loans/mortgages have specific monetary penalties if the loan is paid off prior to a

certain date.

􀂾 RECONVEYANCE FEES - This fee may be charged by an Lawyer or Notary

to clear off the lien on the title when your existing loan is paid off at closing.

􀂾 FAILURE TO NOTIFY PENALTIES - Some lenders can charge extra interest

if you fail to notify them at least 30 days in advance of your intent to pay off the

loan. Check with your mortgage company to confirm any prepayment costs.

􀂾 ASSUMPTION FEES - Loans that are being assumed by the buyer often have an

assumption fee charged by the lender.

􀂾 HOME WARRANTY COVERAGE -Depending on the plan, a home warranty

covers items in the house (plumbing, electrical, appliances, etc.) for a period of

one/five years.

For a list of specific charges, you can contact a title/escrow office, mortgage lender,

or a real estate attorney. Of course, I would be happy to provide you with a net

proceeds analysis at no cost or obligation.

After completing the first two steps in the process, it is entirely possible that you

may decide not to sell after all. Perhaps the market values are not what you had

thought, and you won't be able to net enough money on the sale to be able to

accomplish your next goal.

The important thing is to accept the realities of the market. If the timing isn't right

for you, it isn't right!

11

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Properly preparing your home for sale can make the difference between a quick

sale at full price, and a home that sits unsold for months... even after several price

reductions.

The first order of business is to forget your emotional attachment to your home

and look at it through the eyes of a potential buyer. Be impartial, and recognize the

weaknesses of your home.

How does it stack up?

Remember, potential buyers are going to be viewing lots of other homes, and if

yours doesn't stand out, it will be much more difficult to sell.

It's just like if you were going to sell your car. The first thing you would do is

clean and "detail" the car inside and out. Your house is no different!!

With a mental picture of a model home in your mind, make an "attack list" of

items to be completed on your home. It may be a short or long list, depending on the

condition of your home, but keep in mind that all your efforts now will pay off big on

closing day.

The objective is to make your home appear well maintained, spacious, organized

and clean. Many factors such as how light it is, the colors, sounds and smell subtly

effect the buyers impression of your home.

Start by walking out to the middle of the street and take a good, focused look at

the overall appearance of the exterior of your home. Good "curb appeal" will make

the critical proper first impression. Remember, if a home is unattractive from the

outside, buyers won't bother to see the inside!

This means well groomed, healthy looking lawn, trees, shrubs, and flower beds.

Check your driveway and clean any oil stains with cleaning solutions, and move

any old vehicles, trailers, or boats off the premises to a storage facility.

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Replace or repair any loose or missing roof shingles or tiles.

If needed, replace or repaint the mailbox.

Your front door is a focal point of potential buyers. Make sure it is scrubbed clean

or completely refinished if necessary.

Fix any broken windows or screens.

Completely repainting the exterior of your home may be necessary if it is peeling

or blistering, but often simply doing the trim, window sashes, shutters, and garage

door is sufficient.

Remove any political or other signs.

Now do the same to the side and rear yards. Remove all debris, junk, and clutter.

Clean and neatly arrange any lawn furniture, barbecues, etc.

Next move to the inside of your home.

Begin with a complete, top to bottom, military-style scrubbing of every room,

nook and cranny. Be especially diligent in the kitchen and bathrooms, which should

pass the white glove test. Clean houses sell!

Attack the garage and basement, if you have them. Now is the time to get rid of

any old junk, and clean and organize everything else.

If the interior hasn't been painted in several years, you should probably go ahead

and do it. A fresh coat of white or off-white paint will make the place look bigger and

lighter, and give it a "new" smell. It doesn't cost that much, and makes a big

difference in buyer perception. If not, do a thorough job of touch-up painting.

Have the carpet cleaned. If it is worn, replace it. This is a fairly big cost, but it

makes a huge difference in how the home shows. You should more than make up for

the expense with a faster sale at a higher price.

Install the highest intensity bulbs allowable in all the light fixtures. This will make

the rooms appear larger, brighter, and more cheerful.

Clean all windows and curtains/blinds.

13

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Clean out the closets to make them look bigger. Store out of season clothes

elsewhere and neatly arrange what's left.

Too much clutter will make a home feel small and disorganized. Move out excess

furniture, especially worn or outdated items, and take down pictures that hide the

walls. Clean off the magnets from the refrigerator, and box up any other cluttercausing

nick knacks.

Clean all the heating/cooling system vents, and replace the filters.

Fix or replace all of the little things that you have been meaning to get to. Make

sure that everything is working properly (toilets, appliances, doorbell, etc.)

If you have lived in your home for a while, by the time you finish with your attack

list you will probably have truckloads of stuff to either sell, give away to charity, or

take to the dump. Your motto should be: "If in doubt, move it out"!!

Consider having a huge garage sale. Not only will you reduce the clutter in your

home, but you can use the proceeds to pay for some of your touch-ups and repairs.

Plus, movers charge by the pound, so you'll save there too!

Make sure that your cars are clean as well. It all adds to the impression that you

are people that take good care of your things.

If you smoke, DO NOT SMOKE IN THE HOUSE!! A smoky smelling house

turns buyers off faster than nuclear waste, even buyers who smoke themselves!

If you have smoked in the house much, you will probably need to paint the

interior, and have the carpets, drapes, and furniture deep cleaned.

This brings us to pets. While household pets may be nice for everyday living, they

are one of your worst enemies when it's time to sell.

If you have pets, you'll have pet odors, whether you notice them or not. About

25% of prospective buyers will not consider a home with pets in it - either because

they have allergies, or simply think it is dirty. Plus, a dog barking, sniffing, and

scratching hardly makes a potential buyer feel relaxed and comfortable.

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

If at all possible, see if a neighbor, friend, or relative will take the animal until the

home is sold. I know you may be quite attached to your pet and this may be a touchy

subject, but it's up to you if you want a sale for top dollar.

It can be a lot of work, but it will be worth it. Clean, organized, clutter-free homes

are always the first to sell!

Now that your home is ready, it's time to find some interested buyers to show it

to. The effort required to attract potential purchasers depends on the current market

conditions in your area.

If you are in the midst of a sellers market where there is a shortage of homes for

sale, simply throwing a FOR SALE sign out in the yard can produce a frenzy of

activity.

Unfortunately, most markets are nowhere near that good, so you better plan on

putting in some long hours. You are competing with all of the other homes for sale,

and the competition is often fierce.

The first step in your marketing plan is to put up a for sale sign in the front yard.

Before you run down to the corner drug store, keep in mind that a cheap, flimsy

looking sign does not convey the quality image that you want. Invest some money in

a nice looking, quality sign that will last longer than the first rain storm.

It should be at least as nice as the ones that the real estate agents use. Call some

sign painters and get some bids.

Next, put together a professional looking brochure that communicates all of the

features and benefits of your home. Include a nice picture of your home and touch on

such items as proximity to schools, shopping, major transportation routes, major

employers, and recreation areas.

Also cover neighborhood amenities, age, appearance, condition, bedrooms,

bathrooms, type and style, landscaping, garage, kitchen, family room, laundry,

pool/spa, basement, etc.

15

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Don't forget financial information such as the price, down payment, monthly

payment, year round utility expenses, property taxes, what items are included in the

sale (such as appliances, shelving, etc.), and of course, directions to the house along

with your name, address, and phone number.

A representative from a local mortgage company should be willing to provide you

with all of the information you'll need regarding loan programs, down payments,

interest rates, monthly payments, etc.

With personal computers, desktop publishing is much easier than ever before. If

you have access to a computer, you should be able to put together a nice looking

brochure if you take your time and think it through. Please... no junky looking flyers!

If you can't do it yourself, sketch out a rough draft by hand and take it along with

a picture of your home to a quick print shop. They should be able to fix you up fairly

inexpensively.

Once you have your brochures, you need to have a weatherproof information box

to put them in next to (or attached to) the yard sign. The box should read: FREE

INFO - PLEASE TAKE ONE. Monitor the box and keep it full.

Also pass out the brochures to all of your friends and neighbors, pass them out at

area businesses, drop some off at the relocation office of any large employers in the

area, and put them up on bulletin boards wherever possible.

Now write a good, enthusiastic sounding ad to run in the newspaper. Try to make

your ad stand out from the others. It is important to have an attention-getting

HEADLINE such as:

"MOVING TO TEXAS" "OUR LOSS, YOUR GAIN"

"DIVORCE FORCES SALE" "YOU WON'T BELIEVE THIS"

"MUST SELL QUICK" "SPACIOUS HOME NEEDS LOVING FAMILY"

"WALK TO SCHOOL" "ENJOY PRIVACY"

Test different ads and see what the responses are. You can try running a different

ad each week, or a different one in separate publications.

Focus on the benefits of your home. Don't write a boring ad that sounds like all

the others and will get lost in the crowd. Stress items such as views, quiet street,

landscaping, master bedroom, kitchen, and family room.

16

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

The whole purpose of the ad is to get your phone to ring.

THIS MEANS THAT SOMEONE NEEDS TO ANSWER IT!!

The biggest complaint that buyers have with for sale by owners is that no one

answers the phone when they call... or they get a child or babysitter that is not

prepared to handle the call properly.

You are competing against professionals. You need to be home, or utilize a

cellular phone, call forwarding, or pager. If a buyer can't get through to you, they

often just go on to the next ad or call a real estate agent.

Keep a copy of your brochure next to the phone, it can help you stay organized

and not miss any features when callers inquire. If callers don't want to set an

appointment yet, offer to mail them a brochure.

Also keep a call log handy, so you will know how many calls you are getting

from which ads, and to keep track of names and phone numbers.

Look into all possible avenues to market your home. Your area may have a FOR

SALE BY OWNER magazine, or cable TV program, etc.

An Open House can help get your home exposed to the market. Get some directional

Open House signs and place them at corners leading to your home from major streets,

and one in front of your house. Make sure to check local regulations before placing

signs. You also may want to run an advertisement in the newspaper, many have

separate Open House sections.

I am now going to suggest an option that can add a large amount of exposure to

your home and still save you half of the normal commission you would pay an agent.

Before you have a heart attack, I am not talking about listing it with an agent.

You do not have to use this option, but in most markets it makes a lot of sense.

On your sign and in all of your ads, insert the words "Agents Welcome". When

agents call, tell them that you are NOT listing with an agent, but that you will be

happy to pay them a 3% commission if they bring you a buyer that successfully buys

your home.

17

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

This commission is about the same as an agent would make if they sold another

agents listing, and a majority of homes are sold by an agent other than the listing

agent.

This option can generate a lot of additional interest in your home. If an agent does

end up selling it, not only will you still save a substantial amount compared to a full

commission, but you will have professional assistance along the way, as well.

Once you have attracted interested buyers, it's time to show your home. This is

where all your time and effort in preparing your home will really pay off!

Before you set an appointment, make sure that the buyer is looking for what you

have. If they need six bedrooms and you only have three, they probably won't be

serious about your home.

Also take a few minutes to politely "qualify" the buyer by asking questions about

how long they have been on the job, do they own a home currently, have they been

pre-approved for a loan by a lender, etc.

Also, a few words of caution. People are not always who they seem, and you can

never be to careful. One look at the newspaper or evening news is proof enough.

It is recommended that you ask for identification and the license number of their

car prior to letting strangers into your home. Serious buyers won't mind, especially

when you cheerfully tell them that it is simply a security precaution that was

recommended to you.

Stash all small valuables out of sight. Even though you will try to stay with the

buyers as they tour your home, you never can watch them completely.

It is probably a wise idea for women to avoid showing the home without someone

else present. This is not intended to be sexist, just cautious. You decide for yourself.

18

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

To get the most out of every showing, there are certain procedures you should

follow, both prior to the buyers arrival and after they come in.

Shortly before the appointment, open all of the drapes and blinds and turn on all

the lights, ... even in the daytime. Turn off the TV and put some soft music on low

volume. Set the thermostats so that it is not too hot or cold. If you have children, send

them to a friends, or put them on their best behavior.

If you still have pets in the house, get them out and freshen the air. Make sure all

of the beds are made and do a quick pick-up throughout.

When the buyers arrive, your home should sell itself. Be friendly and cheerful,

and try to make them feel comfortable. Hand them your brochure, and take them on a

tour of the property.

Show the most appealing parts of your home first. Casually point out all of the

features and benefits of your home, but don't oversell or say stupid things like "this is

the kitchen".

If they are not interested, they will probably politely thank you and head for the

door. Don't take it personally, the layout or something else about the house probably

just doesn't fit their personal needs.

If the buyers are interested, you will know it. They will stay longer, and ask lots

of questions.

It's time to get a signed contract!

Being familiar with the market conditions and knowing your personal motivation

to sell will guide you in the negotiations.

Get a standard real estate purchase contract and make sure that you are

completely familiar with it and how to fill it out. Review it with a real estate attorney

if you are not comfortable.

19

Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

Generally, the buyer will present you with an offer for you to consider. In most

states, only written contracts for the purchase of real estate are enforceable, so make

sure it is in writing, not merely verbal.

The buyer may not have the proper forms, so always make sure to have several

contracts ready to go.

Starting negotiations face to face with the buyer with both of you staring at a

blank page can be a bit awkward, but just keep your objectives in mind and forge

ahead. Politely but firmly take control of the situation.

This is where things can get a little sticky, and you will need to have done your

homework. Having a contract that is not worded properly can put you into a real

hornet's nest.

Make sure to spell out every little detail in the contract. A misunderstanding

(honest or otherwise), could end up costing you thousands of dollars or even tying

your home up for months.

When you are presented with an offer from a buyer, you have three basic options:

1) Accept the offer

2) Reject the offer

3) Make a counter offer

Here is some items that you should consider when structuring an offer or deciding

how to respond to an offer that is presented to you.

􀀹 PRICE

􀀹 DOWN PAYMENT

􀀹 DEPOSIT (MINIMUM 2-10% OF SALES PRICE)

􀀹 IS THE BUYER PRE-APPROVED

􀀹 IS THE INTEREST RATE THEY WANT AVAILABLE

􀀹 CLOSING/POSSESSION DATES

􀀹 PRORATIONS

􀀹 LOAN DISCOUNT POINTS - WHO PAYS

􀀹 CLOSING COSTS - WHO PAYS WHAT

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Compliments of Fred Carver, Re/Max Camosun 478-9600

Email: fredcarver@remax.net

􀀹 APPRAISAL - WHO PAYS

􀀹 HOME WARANTEE/PROTECTION PLAN - WHO PAYS

􀀹 INSPECTIONS - WHAT TYPE AND WHO PAYS

􀀹 ITEMS INCLUDED (WASHER/DRYER, REFRIGERATOR, ETC.)

􀀹 TITLE/NOTARY/LAWYER

􀀹 CONTINGENCIES - WHAT AND HOW LONG

Contingencies may seem like a minor issue, but they can be a major stumbling

block. A contingency means that something else must happen in order for the deal to

go through.

A purchase may be contingent on the buyer getting approved for financing,

selling the home that they already own, getting a favorable inspection report, or any

number of other things.

Make the contingencies as specific as possible, and spell out exactly what will

happen if the contingency is or isn't met. Also try to make them self-canceling. For

Spending some extra time to make sure that the contract is "clean" can save you

enormous headaches down the road! Consider having a Notary or Lawyer review the

Contract before signing.

Once you have a contract mutually agreed upon and signed by all parties, take it

with the buyers deposit to a Notary or real estate Lawyer.

You are on the home stretch, almost there!! Now is not the time to get lazy or drop

the ball.

Once all of the terms and conditions of the contract are agreed upon by you and

the buyer, you will really need to stay on top of things on a daily basis. There are at

least a hundred things that can go wrong and foul up the sale.

You will probably be dealing with a mortgage company, title company, notary or

attorney, appraiser, and inspector, among others. Make certain that the buyers deposit

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Compliments of Fred Carver, Re/Max Camosun 744-3301

Email: fredcarver@remax.net

check clears the bank, that their credit report and other financial information is O.K.,

and that all deadlines and contingencies are met.

Make darn sure that everything is in order BEFORE you start loading things into

the moving truck. You don't want to have to put the house back on the market after

you have moved out! Plus, once you move out, the buyer has a lot more leverage to

get you to alter the contract in their favor.

Don't forget the little details like transferring the utilities out of your name, and

change of address for Canada Post and newspapers.

There you have it. If you have taken the time and energy to handle your sale

properly, you will be rewarded with a nice proceeds check from the notary or lawyers

office!

I hope you have found this report to be a valuable source of information to aid you

in selling your home yourself. If you follow the tips and recommendations outlined

here, you will be way ahead of most others attempting to sell their homes.

Every home sale is unique, so if you have any questions that I can help you with,

Any time you call me you can count on knowledgeable assistance without any

obligation, pressure, gimmicks, or sales pitches.

Good luck and happy selling.

Fred Carver Re/Max Camosun

(250) 744-3301

P.S. My direct phone number is 598-2963, in case you need to reach me in the evening or on the weekends.

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