• Fill in mortar in bricks. Patch and pressure-wash driveways and sidewalks.
• Check the siding for cracks and replace missing pieces.
• Repaint the entryway door if needed and polish the door handles. Buy a new doormat, which you can take with you when you move.
• Paint the house and trim if it needs it. A fresh coat of paint can be a good investment because it could greatly improve the overall opinion of the home, leading to higher offers.
• Make sure gutters are securely attached and clear of debris.
• Organize and thoroughly clean the garage. Paint the garage door if necessary and remove any rust with a wire brush. Clean the floor and remove any grease stains with a degreaser.
• Replace any worn or rotting wood on decks. Remove any unnecessary patio furniture.
• Repair a leaky roof because you can be sued if you do not disclose such a defect

• Spruce up the landscaping with new bushes and mature flowers. Prune existing shrubs and tame overgrown areas.
• Weed the flower beds and cover with fresh mulch.
• Remove all clutter from yard, storing lawn mowers, hoses, and children’s toys where they can not be seen.
• Keep your lawn watered, fertilized, cut, and edged. Kill any weeds and plant seed if needed.
• Rake all leaves. If snowing, keep all walkways and driveways cleared and de-iced.

  The following are a few steps that you can take to ensure that the interior of your house will sell itself.
  

• Clean, clean, clean! This means the oven, the cracks in the shower, the cobwebs under the dresser, and inside your kitchen cabinets. Have all fixtures sparkling.
• Remove all clutter, box it up, and store it elsewhere such as a storage unit or family member’s home. Create the illusion of added space. This also applies to unnecessary furniture, under sinks, and items stored in your attic, basement, or garage.
• Make minor repairs. Check for leaky pipes, oil hinges on doors, remove stubborn stains, replace broken floor tiles, etc.
• Get everything off the kitchen counters and free up some space in the cabinets and drawers.
• Paint if necessary to update or clean walls. Opt for a neutral color.
• Have carpets cleaned or replaced if old, worn, or outdated. Choose something neutral and inexpensive.
• Remove personal items such as photographs. You want the prospect to envision living there.

2. Set your price

The fair pricing of your home is probably the most important factor in successfully selling your home. A price too low conveys a message that there is something wrong with the house. If you price your home too high, it could sit on the market for too long or your buyer’s may not be able to qualify for a large enough loan. Then if you decide you must lower your price, you run the risk of buyers assuming you’re desperate, in which case you may receive lower offers than you’d like.

In order for you to price your home correctly, you should determine its true market value. There are various ways, listed below, to obtain information about the value of your home.

• Getting a professional appraisal of your home. An appraiser will give you a complete analysis of the estimated value of your home based on its condition, proximity, neighborhood, and sales of homes comparable to yours. The appraiser will directly compare your home to others sold within a certain radius, adding value for special features your home has and deducting value for items your house lacks. This will give you a good idea of your home’s value when setting a fair price.
• Having a real estate agent provide you with a Comparable Market Analysis. Similar to an appraisal report, a CMA helps determine the fair market value of your home by comparing it to listings and sales in your area. Be aware that the agent is likely to pursue you in hopes of securing your listing. Asking for a CMA entails no commitment on your part.
• Research sales at your county’s Register of Deeds office. The clerk at the office should be able to help you decipher the documents.
• Keep an eye on asking prices in your area. Read the real estate section of your newspaper, visit open houses, call other sellers, check out websites such as HousesBuyOwner.com, pick up home magazines such as HousesBuyOwner Monthly Magazine, and ask around.

Visit the homes that compare to yours to get an idea of the lot size, condition, and style of homes similar to yours. Take into consideration other factors when you set your price: the location, condition of the economy, seasonal influences, proximity to schools, your home’s extras such as a pool or fireplace, and overall condition of your home in relation to others.

3. Marketing your home

Marketing your home is a very important step in the home-sale process. It not only informs buyers that your house is available for purchase, but it gives you a chance to differentiate your home from others for sale in your area. HousesBuyOwner is an advertising company for FSBO homes, and we’ll help you with the marketing of your house. The following are various tools to employ to effectively market your home:

• HousesBuyOwner.com: Our website can be very effective in that we offer numerous color photos, a 360° On-line Virtual Tour, and a detailed fact sheet on your home. Contact us for information on how to list your home on our website.
• Home Magazines: HousesBuyOwner has a full-color monthly magazine which is distributed all over Chattanooga, North Georgia, and surrounding areas. Each individual ad contains a large color photograph, detailed description, contact information, and Personal ID# to enter into our website for direct access to that home’s Personal Ad Page.
• Yard Signs: Yard signs not only attract buyers, but they serve as an alert for neighbors and passers-by. Neighbors will spread the word that your house is for sale without you even requesting their help. HousesBuyOwner offers professionally printed yard signs with all our packages. The signs are printed with the seller’s phone number and Property ID# so they can again access your Personal Ad Page on our website. We include weatherproof holders that attach to your sign to hold flyers for your home. Your Personal Ad Page can be printed as needed to replenish the flyer holder. We also include two directional signs to lead buyers straight to your house.
• Newspaper classifieds: You may wish to place a classified ad with your local newspaper. To maximize your dollar amount, mention our web address and your Personal ID# so buyers can instantly view your Personal Ad Page on our website.
• Multiple Listing Service: The MLS is a tool offered by real estate agents. It is a list of homes that are for sale through agents. You may be able to offer an agent a flat fee just for listing your home on the MLS. Be aware that if an agent sees your house on the MLS and provides a buyer, you may have to pay the agent commission.
• Have an inspection and appraisal done: Both give you written proof that the house is considered to be in good shape and priced correctly, not to mention the peace of mind they offer you.

When describing your home, set it apart from other homes for sale in your area. Use a catchy headline based on your home’s best feature to grab their attention. For example, if your home is nestled in a wooded area, you might choose a heading such as “Tucked Away…”. Or if you’ve recently renovated your home, a headline such as “Refreshed and Rejuvenated!” might work. Be sure to highlight your home’s best features in the body of your description, along with significant information. You may want to make comments about the best features regarding the construction, condition, financing, interior, location, and land. Close with a colorful phrase that entices the buyer into action such as “Don’t let this one get away!”

By utilizing HousesBuyOwner.com to advertise your home, you can integrate various tools and have them work in conjunction with one another, strengthening your marketing plan. Spread the word that your house is for sale. Put together a mailing for everybody in your address book that includes your Personal Ad Page flyer and small note from you. Hang your flyers on bulletin boards at supermarkets, drugstores, restaurants, and at work. Hand them out to neighbors, friends, family, and even strangers.

4. The Buyer

You probably have worked very hard up to this point. Your house is immaculate and organized, you’ve priced it at a fair price, and your marketing tools are up and running. Now the fun begins! Here are some tips to think about when showing your home to prospective buyers:

• Once the prospect has entered your home, it is best to keep a low profile. Plant yourself somewhere so that they know where you are to answer any questions that may arise.
• Leash your pets or have them join your children for a visit to a friend for the duration of the prospect’s visit.
• Open up all window treatments to let light in during the day and turn on all lights, inside and out, during the night. Start a fire in the fireplace during colder months.
• You may want soft music playing in the background or bread baking in the oven. Appealing to all of the prospect’s senses makes for a more memorable experience.
• Put away any valuables or remove them from your home altogether.
• Place a stack of your Personal Ad Page flyers on the kitchen counter.
• You may choose to have a set of feature cards, one card for each room. They inform prospects about a few highlights of the room such as a door that leads to the deck or the brand of ceiling fan. Attach the card to a wall or piece of furniture in a spot that can be easily seen by your guest.
• You may also want to compile a home book. It could contain photos of your home in different seasons, copies of your utility bills for the past year, and information about your neighborhood and local schools.

Determine the level of qualification and seriousness that your potential buyer possesses. Come right out and ask whether or not they’re interested in your home. If they answer “yes”, continue asking questions such as whether they’ve been pre-qualified, how many homes they’ve looked at, the current status of their present home, and when they think they’ll be making an offer on the house. If they say they have to think about it for awhile, get to the root of what is making them stall. Purchasing a house is a huge decision, and some buyers just want reassurance. You will need to overcome all of the buyer’s objections until they have no more reasons why they shouldn’t make an offer on your home. Whatever you do, do not apologize for your home or its lack of features. Rather keep a positive tone and say something like, “Oh, you think the street is too busy? Really we never noticed. It’s just so nice to be this close to the interstate, and there’s a shopping center right around the corner.”

5. Negotiating an Offer

You may benefit from some of the following tips when presented with an offer:

• Don’t let your emotions get in the way. Remember that this is a business transaction.
• If you receive your first offer from a qualified buyer with terms that you can work with, don’t dismiss it in hopes that a better one might come along.
• A pre-qualified buyer is better than one who hasn’t contacted a loan officer. A pre-approved buyer is better than one that is pre-qualified. A cash buyer is the best one you can find. Assess the buyer’s financial situation to avoid a situation where the deal may fall through if they don’t qualify for the loan.
• Consult a real estate attorney and have him review the offer. Ask if there is an Attorney Review Period, usually 3 days, which allows for time to cancel or amend the offer. It becomes binding at the end of this period.
• Watch for certain clauses that favor the buyer, such as the closing date being linked to the sale of the buyer’s current home, excessive time for buyer to get financing, or requirement for the seller to pay the buyer’s closing costs.
• Know whether your market is slow or fast. If you receive more than one offer, be careful not to counter more than one at a time.
• Keep in mind the lowest price you’re willing to go and be prepared to walk away from the deal if necessary.
• Request earnest money to show that the Buyer is serious about buying your house. This check is made out to the seller but held by an attorney or title company until the closing.

You then have three choices to make: accept the offer, reject the offer, or make a counter-offer. In your counter-offer you will cross out unacceptable terms or fill out a new contract, specifying the terms you want.

6. The Sales Contract

Once the offer is accepted by you, it becomes a legally binding sales contract. You should consult an attorney to review the sales contract prior to signing it.

The sales contract might include: the sales price; full names of buyers and sellers; address and legal description of the home; the deposit amount; payment of closing costs and transfer taxes; payment of commissions to agents if applicable; date and location of closing; date for seller to vacate the property; and time periods for performing contingencies. The contract or an addendum can be used for items not listed in the sales contract including:

• Contingencies such as the buyer getting financed within a certain time frame;
• Items that are included in the sale such as appliances and fixtures;
• Repairs that must be made before transfer;
• The buyer’s right to inspections and the time;
• Lead Based Paint Disclosure for homes built prior to 1978;
• Termite Inspection letters guaranteeing the home is free from termites (usually paid for by the seller and a requirement in some states).
• Seller’s Disclosure which lists item by item each of the various parts of a house and their condition.

There are certain events that might take place before the closing of the sale. Who pays for the following services varies by state or is negotiated in the contract. Again, you should consult your attorney or title company for the laws and customs in your state.

• Home inspection: Expect to have contingencies such as a satisfactory report from a home inspector. In the event of an unsatisfactory report, you will be responsible for any repairs that are necessary to ensure the safety, resale value, or livability of your home. You may wish to avoid these problems by hiring your own inspector prior to putting your home on the market. If the buyer desires a home inspection, the contract should state that it be completed within a certain time frame or they forfeit the inspection.
• Appraisal: In order for your buyer to receive a loan commitment, an appraisal is usually required by the buyer’s lender to ensure that the value of the home is as much as or greater than the loan amount. Some may even order a surveyor to verify property boundaries.
• Title Insurance: When transferring the title to your home to your buyer, the buyer may require you to purchase a policy of title insurance. This insures the buyer’s ownership of the house.
• Buyer “walk through” inspection: Usually a day or two before the closing day, the buyer will have a final walk through to make sure all the requested repairs have been made and that the home is in the same condition as when the sales contract was signed.

There are certain things that you should handle prior to the closing. You should make repairs as agreed in the contract before the buyer’s “walk through” inspection. Notify your lender that you’ll be paying off your mortgage and ask for a statement of the remaining balance. Gather all the warranties and instruction books for appliances and systems to hand over to the new buyer. Once a closing date is scheduled notify your utility, telephone, water, and trash companies to inform them of your final billing date. Get a copy of the settlement statement from the closing agent in advance so that you may review it with your attorney, if you so desire.

7. The Closing

You can find a closing agent from your title company or real estate attorney. The buyer and seller agree on the location for the closing to occur, and in some instances the closing can actually occur by their respective closing agents in separate locations on separate days. Either way, it is a good idea to have your attorney or real estate agent with you. As soon as possible, turn over to your closing agent all of the following documents and any others he might request:

• Sales contract and all addendums;
• Mortgage payoff statement or payoff letter from your mortgage company;
• Title insurance;
• Buyer’s financing information;
• Original termite inspections, if required;
• All other documents requested by the closing agent.

Review the closing documents in advance of the closing, preferably with an attorney. Although the laws, regulations, and closing procedures vary from state to state, the following is a list of some of the typical documents included in the closing package:

• Settlement statement (also known as the HUD statement): It contains all the details of the charges and credits between the buyer and seller, as well as the amount of money owed by and credited to both buyer and seller.
• Deed: The actual document used to transfer ownership from the seller to the buyer.
• Bill of Sale: This itemizes and transfers ownership of those items that are included in the sale, but are not attached to the property, such as appliances or patio furniture.
• Mortgage Payoff Statement: This is a letter from the financial institution that holds the mortgage to your home.
• 1099-S Report: This document reports to the government the sale price of the property and the gross proceeds.