7 Tips for Chehalis / Centralia Home Sellers: Tip #3

7 Tips for Chehalis / Centralia Home Sellers:
Tip #3 Pricing Your Home

Welcome back to 10 Tips for Chehalis/Centralia Area Home Sellers! I’m Eren Millam Realtor, Extraordinary Service – Extraordinary Results. Last week we discussed the selling process once you have an offer. If you missed it, you can click here. Today we’re going to talk about the importance of pricing!

I’ve talked about the distrust of realtors before and I think that plays a large factor when discussing price with a seller. Most sellers want to start high, test the market, and come down in increments until they get a bite. They don’t trust when their agent tells them that’s not a good idea because they think their agent wants a quick sale and fast commission. Granted, that may be true for certain agents – but trust your gut. If something doesn’t feel right, ask your agent to back up their statements with market evidence. Another strategy I hear is to list high so seller can negotiate lower with buyer. Being a Certified Negotiation Expert, I can tell you both of those strategies lead to undesired results.

If you list too high above the market, you won’t get any interest from buyers. Buyers will compare your property to others and see they get similar amenities, updates, and upgrades for a lower price. Like it or not, a home that is priced high will become “stale” in the eyes of buyers and you usually end up selling for a lot lower than market value because you’ll only receive low-ball offers. I’ve worked with sellers who wouldn’t take multiple offers they deemed too low only to settle on a final offer that was 10% less than those original low offers.

Obviously every seller wants the highest amount in the fastest time for least amount of hassle. The way to do this is not to price high, but to price competitively! An Extraordinary agent will know what similar homes are selling for, what the competition looks like, and how to position your home so it presents a value to the buyer. This does not mean that buyers are getting a deal, but there’s nothing more enticing to buyer than a house that screams “get in here today or you’ll lose me forever”. That’s the way you get top dollar. Your house has to be seen to buyers as something they can’t live without. Buyers will pay more if they think they’re going to lose out on your home, and if you have multiple interested buyers, the price of your home will go up. Don’t believe me? I follow a proven system of pricing a home based on the market’s reaction to it. That’s why 30% of my listings last year went over asking in less than a few weeks, some within HOURS of being listed.

Which do you prefer, an agent who goes along with your strategy and hopes for a high offer, or an agent who knows with certainty how to get you the highest amount using proven systems based on a foundation of negotiation expertise?

So today we talked about the importance of correctly pricing your home to sell. Resist the urge to list high as it will lead to a lower sales price overall. The key thing to remember is that a willing and able buyer is who sets the price. It’s your agent’s duty to show them what the true value of your home is. There’s really 3 components to ensuring your home sells for top dollar, but we discussed pricing 1st because it’s the most important. But, even if you’re priced well, you still might not be able to find a buyer due to staging and marketing which we will discuss in the following weeks. Until next time, make it an Extraordinary day!

1366 Hining Rd, Winlock, WA 98596

1366 Hining Rd, Winlock, WA 98596

Alluring modern home on 2 pristine acres w/ luxurious updates and design! Over 2800 Sq Ft w/ over 9 ft ceilings lends a palatial feel throughout, including an enormous master suite w/ 2 walk-in closets, 5 piece en suite, an over sized den, and your own private deck w/ hot tub - perfect for relaxing your cares away! Save your hard earned dollars w/ the Good Sense energy package and live maintenance free for 30+ years! Plenty of room for gardening or building a shop on the far side of the creek!

For more information or to schedule a showing, contact Eren Millam Realtor.

Eren Millam

Realty World Cosser & Associates

360-219-3616

Alluring Modern Home at 1366 Hining Rd, Winlock, WA

Alluring Modern Home at 1366 Hining Rd, Winlock, WA

Get Directions Click Here

• Description
• Photos
• Maps & Local
• Schools
• Print Brochure

$ Click for current price
3 BEDROOMS | 2 (2 full ) BATHROOMS | 2809 SQUARE FEET

Alluring modern home on 2 pristine acres w/ luxurious updates and design! Over 2800 Sq Ft w/ over 9 ft ceilings lends a palatial feel throughout, including an enormous master suite w/ 2 walk-in closets, 5 piece en suite, an over sized den, and your own private deck w/ hot tub - perfect for relaxing your cares away! Save your hard earned dollars w/ the Good Sense energy package and live maintenance free for 30+ years! Plenty of room for gardening or building a shop on the far side of the creek!

• Follow This Home!
• Free List of Foreclosed Homes For Sale
• Avoid Foreclosure
• Free Home Values
• Homes Close to Where You Work
• Mortgage & Refinance
• Search All Homes For Sale

Presented By:

Eren Millam

Realty World Cosser & Associates
360-219-3616
Licensed In: Washington
License #: 113974

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Schedule a Showing/Request Info

7 Tips for Chehalis / Centralia Home Sellers: Tip #2

Tip #2:  What Happens During a Purchase & Sale?

Hello Again! This is Eren Millam Realtor coming to you from Extraordinary Photography Studios. Last week we discussed the importance of understanding your current market. If you missed it, you can click the link in the video at 23 seconds. This week I want to talk to you about What Happens During a Purchase and Sale after you’ve received an offer.

Most well priced homes sell within 95% - 97% of current asking price. An Extraordinary agent averages between 99% - 102% of asking price! But, I digress.

So you’ve received an offer and now you have three options. You can accept, reject, or counter. Your agent can go over the pros and cons of each offer, but it’s up to you what direction you want to go. For the purposes of this video, let’s say you received a full price offer and accepted.

The first period of an offer is the inspection phase. This phase is typically 10 days but can be shortened or lengthened during negotiations. A buyer will pay for a licensed home inspector to review the current state of the house and make note of any issues whether serious or not. Once completed, the buyer has an opportunity to request seller to pay for certain repairs. It is then up to you, with the guidance of your agent, to decide whether or not you will do any repairs or certain repairs. The majority of deals die in this phase for obvious reasons!

Once you and buyer have agreed to move forward with the purchase and sale, the next phase is the appraisal. This phase can last anywhere from a few days to 4-5 weeks depending on your area and the time of year because of the availability of appraisers. The appraisal is ordered by the buyer’s lender (and paid for by buyer) to assess the condition of the home and to make sure the agreed upon offer is in line with the market. The ideal scenario is for an appraisal to come in at-value. If it comes in over agreed price, your agent left money on the table. If the appraisal comes in lower than agreed price, you have three options. 

The first option is to come down to appraised value. The second is to stand firm and ask buyer to come up with the difference out of pocket. The third option is almost worthless, and that is to agree with buyer to terminate contract. I say it’s worthless because some appraisals stay with the property for up to 6 months! So even if another buyer wanted to pay full price, they’d run into the same issue with a low appraisal. Most buyers don’t have the ability to make up the difference in my experience, but every situation is unique and use your agent’s expertise and guidance to make the best informed decision.

After that, it’s really just a waiting game for lender and title company to draw up paperwork and review the title. Your main costs will come from any repairs that you’ve agreed to and if you have a septic, you will need to get that pumped which is around $400 - $600 in the Chehalis / Centralia area. Those are typically out of pocket expenses, and the rest such as closing, title, escrow, realtor, etc. will come out of your proceeds at closing, as well as any liens or loans currently on the property. (As an aside, a short sale is when you owe more on your house than it is currently worth. If you don’t have any money to bring to closing, the amount you owe is written off as a default. That is a subject for another time).

Alright, so we talked about the purchase and sale process. It doesn’t require a ton of work on your part, but there is a lot of waiting and some upfront costs involved. The key here is selecting a Realtor who knows and understands the forms required and how to use them to your benefit. Wouldn’t that be a great question to ask when selecting an agent to list your home? Next week we’ll discuss the importance of pricing your home to ensure you get top dollar! Thanks so much for watching, now go out and make it an Extraordinary day! 

1225 Eshom Rd, Centralia, WA

1225 Eshom Rd, Centralia, WA

Get Directions Click Here

OPEN HOUSE April 09, Saturday 11:00 AM - 1:00 PM

• Description
• Photos
• Maps & Local
• Schools
• Print Brochure

$ Click for current price
3 BEDROOMS | 3 (1 full, 1 half, 1 ¾ bath ) BATHROOMS | 1840 SQUARE FEET

Captivate your senses as you unravel this Fords Prairie treasure! Immaculately maintained 3 Bedroom home w/den & 3 separate bathrooms (including en suite) spread over 1840 sq ft and more than 1/3 acre! Lounge on the semi-covered deck or play in your spacious backyard enveloped by your own personal greenbelt. Plenty of room to build a shop to your tastes or outdoor rec area w/ existing cement pad. Easy walking distance to schools, town & I-5 w/ a private country ambiance. Make it yours today!

• Follow This Home!
• Free List of Foreclosed Homes For Sale
• Avoid Foreclosure
• Free Home Values
• Homes Close to Where You Work
• Mortgage & Refinance
• Centralia Homes For Sale
• Centralia Homes for Sale
• Search All Homes For Sale

Presented By:

Eren Millam

Realty World Cosser & Associates
360-219-3616
Licensed In: Washington
License #: 113974

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• 
• 

Schedule a Showing/Request Info

7 Tips for Chehalis/Centralia Home Sellers: TIP 1

This is the first video in 7 Tips for Chehalis/Centralia Area Home Sellers and today we’ll discuss Understanding Your Local Market.

When you’re thinking about making a move, it helps to know what your options are. One of those options, is how much your home is worth and how much you can expect to make. You will probably hear all sorts of rumors about a good market, low inventory, but unless you’re involved with the real estate industry, it’s hard to know an exact range.

Many people go by their tax assessment or online real estate sites like Zillow. Both are inaccurate. The tax assessment follows legal guidelines for value and of course, they’re going to tax you at the highest rate possible. Many times after a sale, the assessed tax value will go up because the higher sales price increases the maximum taxable value. Likewise, Zillow is inaccurate because it uses an algorithm. If you don’t input correct information into the algorithm, you’re not going to get accurate estimates at the end. In my experience, Zillow is off on home valuations by at least 30% or more!

Another option is to hire an appraiser for $400-800. To be quite frank, appraisers rarely get it right. An agent friend of mine told me a story where she told the owners a price and her broker didn’t agree. So the broker told the owner to get an appraisal and they will sell it for that amount, whatever it is. So appraiser came in higher by another $20,000. The home expired a few months later with very little interest.

That leaves you with your best option for understanding your local market: a Realtor. Granted, we don’t always get it right either, but we, for the most part, have a pulse on the market. The key thing to remember is that the market is set by a willing and able buyer for your property. A Realtor is going to be the most accurate estimate of value, and it’s free to get a Comparative Market Analysis done for your home! 

Once armed with that information, you’ll then have to decide whether you want to list with a Realtor or sell the home yourself.

Thinking about “Selling my home For Sale By Owner”?

One of the biggest reasons a home owner will chose to sell their home by themselves is to save on the commission. However, in reality you’re discounting your home by 11%+. I’ve worked with many FSBOs and I average 11% greater sales price than their last advertised price, more than making up for the commission. The difference is enhanced exposure. You’re not going to get the highest possible price if that person doesn’t know your house exists!

In summary, if you’re thinking about selling your home, the first step is to know your home’s value range in the current market. You have many options to find that value, with a Realtor being the most accurate. You can then list with a Realtor or market the home yourself. Next week’s video we’ll go over what happens when you receive an offer! Thanks so much for listening and make it an Extraordinary day!

Demystified: The Home Buyer Consultation

Demystified: The Home Buyer Consultation 

So if you haven’t learned from my other blogs that I am a big proponent of the buyer consultation, let me be clear: I am a big proponent of the buyer consultation! Most buyers (even some agents) have never heard of a buyer consultation and typically react negatively when I suggest meeting for coffee to discuss what you’re looking for.

I get it. You can look for homes online and you’re more informed as a buyer class than any other buyer class before you. You just contacted me because I can get you into the door, and you want to limit the amount of time you’re with me, one of the least trusted professions in the world. But, let me throw it back on you – do you want to work with someone who does not insist on buyer consultation because they’re afraid of losing a commission or do you want to work with someone who has the heart of a teacher and takes time to answer your questions and fill in potential blanks that could save you thousands of dollars?

That being said, I wanted to explain what happens during a buyer consultation and why it’s important, so without further ado…

Image Courtesy of Pinellas Suncoast Home Sales

1. Discuss what you need / want in a home and separate them.

When I ask buyers what they’re looking for, a fairly common answer is “3 Bedrooms, 2 Bath, and some land.”  I could find you a ton of properties that match that description, but in my experience it’s not all about marking the check boxes – it’s about the feel of the home. It is extremely difficult to find that “feel” you’re looking for without delving deeper. For example, “some land” may mean 1 acre because any more would be too much to maintain where another buyer would say a minimum of 5 acres. I’ve had buyers call me, tell me a home is perfect for them, they want to go see it immediately, but after meeting change their mind because they didn’t realize it was in a flood zone! Once we’re on the same page about what you’re truly looking for, you won’t need to take time off work to look at homes that don’t cut it!

2. Discuss the entire home buying process, the length of time it will take to complete each phase, and what it will cost you to purchase.

Image Courtesy of  The Odyssey Online

Buyers are incredibly informed, more so than previous buyers because the internet is a wealth of information. However, there’s not a lot of information out there about the process, time, or cost to purchase. The typical home search in my area is about 3 months. A ratified deal can take as little as 4-5 weeks or as much as 8-10 weeks. It’s going to require a significant investment of your time and energy, not to mention money! Many buyers think they don’t have enough money saved for a down payment and are shocked to learn that a conventional loan (used to be 20%) is now only 3%. Also, there’s still a couple 0% down loans available in the Lewis County area. But’s that’s not all the costs involved. You still have to save for the inspection, appraisal, closing costs, and other miscellaneous fees typical in a contract to purchase. One fee you won’t pay is your Buyer’s Rep commission!

3. How Realtors get paid and why it’s important.

Many buyers don’t want to use an agent to purchase because they don’t want to pay a commission. However, buyer’s don’t pay their Realtor’s commission – the seller pays both! Why wouldn’t you use professional representation if it’s free? So, the commission on a house is set by seller and seller’s broker. Typically, it is split in four between both agent offices and both agents. Nobody gets paid unless the deal gets closed! This is a good system that makes agents work harder and think outside the box to keep deals together, but you could feel pressured to complete the deal as well. This is another reason to meet with your agent first and see if you like them and can trust them. If things start to go south, you want to be confident they’re fighting for you, not their commission.

4. My value to you and why you should work with me instead of other agents.

Image Courtesy of  LinkedIn

I hear this a lot in the agent community said to buyers and sellers: “There’s really no difference between agents, just pick someone you like and get along with.” While you do want to pick someone whom you don’t hate, any agent who tells you there is no difference is a red flag. First, they say there is no difference because they don’t know any better. Second, if they don’t have the ability or confidence to separate themselves from other agents, how hard do you think they are going to fight for you if they don’t fight for themselves. Third, you’re not going to be receiving the best service possible. There is NOBODY providing better service or results than me, and you can take that to the bank – no, literally, you’re going to save thousands with me than with the average agent (and I’ll show you the stats)!

5. Legal disclosures required by Government.

Real estate is becoming more and more regulated, which is both a good and bad thing. I provide you with legal disclosures upfront, allowing you to actually read through them rather than having you sign off on them when writing the offer. Also, I provide you with the Realtor Code of Ethics so you know the rules I adhere to.

6. What does an actual contract look like?

A real estate purchase and sale agreement is multiple pages long, sometimes 30 pages or more. I provide you with the main form where all the meat and potato terms of the deal show up. Of course, I explain everything while making the offer, but it’s always a good thing to be knowledgeable of what’s required. And you’ll be prepared before actually seeing the large stack of papers that you’ll have to sign/date/initial over and over and over again!

7. What’s the next step?

Finally, you’re going to leave the meeting with a game plan of what needs to be done over the next few days and the course of the deal. This is one of the most frequently asked questions I get, “What happens next, where do I go from here.” If you don’t have the consultation, you’re at the whim of your agent who let you in the door after just meeting you at the house!

Image Courtesy of  Next Step Connections

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Hopefully this blog has shed some light and Demystified the Home Buyer Consultation. On the same note, hopefully you see the intrinsic value of meeting with your agent before looking at homes. If you want a glorified gatekeeper, there are plenty of agents ready and willing to take that call. My background is customer service so I do things a little differently. If your agent doesn’t take the time to truly understand your needs and provide Extraordinary Service, how are they going to deliver you Extraordinary Results?

See My 5-Star Reviews on Zillow!