El Paso, TX

HOW TO

PREPARE YOUR HOME

FOR A QUICK SALE AT A PREMIUM PRICE

By Jese Gonzalez

RE/MAX Associates

915-549-1962

JeseG@remax.net

Why is it important to correctly prepare your home for sale?

First impressions are everything, and that is also true for buyers who tour your home. A home properly presented will have buyers thinking that your home is the perfect place for them. This will translate to a quicker sale and a higher price.

Tips for Preparing Your Home for Sale

Outside

•Ø Paint, stain or varnish front door and surrounding trim. Polish brass.

•Ø Go around the perimeter of the house and move all garbage cans, discarded wood scraps, extra building materials, etc., into the garage.

•Ø Make sure gutters are swept and cleaned.

•Ø Look at all plants... prune bushes and trees. Keep plants from blocking windows. Buyers won't purchase a house they can't see!

•Ø Weed and then mulch all planting areas. Keep lawn freshly cut and fertilized. Remove any dead plants or shrubs.

•Ø Clear patios and decks of all small items, such as small planters, flower pots, charcoal, barbecues, toys, etc. Put them in the garage or a storage unit.

•Ø Check paint condition of the entire house.

Inside

•Ø Plants, floral arrangements and even fresh fruit are simple, inexpensive ways to liven up a home and appeal to a buyer's senses.

•Ø The foyer must be clean and not cluttered with furniture. Clean light fixtures and the floor until they sparkle. Add a nice touch with a small entrance table with fresh-cut flowers.

•Ø Put away all collections (figurines, fragile items, etc.) and store all political and religious mementos as well as any business, sports and personal awards.

•Ø Take the extra leaf out of the dining room &/or kitchen table and put a nice white tablecloth on it. Again, a center-piece of flowers or fresh fruit adds a nice touch.

•Ø Remove all refrigerator magnets and items, including children's pictures from school.

•Ø Stow all small kitchen appliances under the cabinets to free up counter space.

•Ø Clear all unnecessary objects from the kitchen countertops. A sparse kitchen helps the buyer mentally move their own things into your kitchen.

•Ø Downplay dated bathroom ceramic tile color with white towels, window treatments and scatter rugs.

•Ø Replace rusted sinks or cover up spots with touch up.

•Ø Repair or replace defective bathroom exhaust fans.

•Ø Remove any unnecessary items from bathroom countertops, tubs, shower stalls and commode tops. Keep only your most needed cosmetics (brushes, perfumes etc.) in one small group on the counter, but only if necessary.

•Ø Coordinate bath towels to one or two colors only.

•Ø Clean out bedroom, coat, and linen closets to make them appear as if there is plenty of room.

•Ø Remove stains from garage floors.

•Ø Clean all windows/cobwebs in corners of garage and basement.

•Ø Repair all screen holes or replace screen completely, depending on condition.

•Ø Make sure outdoor furniture is clean and orderly, and not excessive.

•Ø Review each room and:

•1. Rearrange/remove some furniture if necessary. As owners, many times we have too much furniture in a room. This is wonderful for our own personal enjoyment, but when it comes to selling, we need to thin out as much as possible to make rooms appear larger.

•2. Take down, or rearrange certain pictures or objects on walls. Patch and paint if necessary.

•3. Clear all unnecessary objects from furniture throughout the house. Keep decorative objects on the furniture to a minimum.

•4. Paint any room needing paint.

•5. Clean carpets or drapes that need it.

•6. Clean Windows.

•Ø If you need room to store extra possessions use the garage or rent a storage unit.

My Home is Ready - Now What?

The way you live in your home and the way you live in your home when you are selling it are two different things. It is very important that you keep your home in the proper condition.

•ü Make all beds everyday.

•ü Keep all toilet seats down.

•ü Make sure towels are hung properly.

•ü Make sure all crumbs are cleaned from counter tops after meals, and all pots/pans/dishes are cleaned and put away.

•ü Turn on lights in each room when showing and have light music playing during showings.

•ü Don't leave dirty clothes on the floor, and put all your belongings away.

•ü Keep all counter top items put away in the kitchen and baths

•ü If your home is being shown by a Realtor, leave the house! The buyer will feel self-conscious about viewing your home with you there

BUYER CHECKLIST

Buying a home can be a confusing and tedious process- closing should not be! By completing this form, you may avoid possible last minute delays.

ITEM NEEDED	CHECK IF COMPLETE
1. CONTRACT EXECUTED- All Parties who have any potential interest in owning the property (i.e., husband and wife) have executed the contract and the effective date is complete.
2. EXISTING SURVEY- If Seller has agreed to provide existing survey; both survey and the Residential Real Property Affidavit have been provided to both Buyer and Title Officer.
3. NEW SURVEY- If Seller or Buyer is purchasing a new survey, arrangements have been made for its completion and a copy sent to the Title Officer.
4. HOMEOWNER ASSOCIATION- If the property is located in a home owner association, a resale package and resale certificate have been received by Buyer's Agent and Title Officer.
5. SELLER DISCLOSURE- Seller's Disclosure has been provided to Buyer, if applicable.
5. RESIDENTIAL SERVICE CONTRACT- Residential Services Contract has been ordered, if applicable, or Title Officer has been provided a copy of the invoice. Title Officer has been made aware of any upgrades to the Residential Services Contract to be paid for by the Buyer at closing.
6. LEGAL NOTICE- Paragraph 21 is complete with information for Seller and Buyer for legal notice to be sent pursuant to the contract.
7. CONTRACT INFORMATION- Broker/ Agent information complete on the contract and provided to Title Officer.
8. COMMISSION/ SPLIT- Commission Disbursement Authorization has been sent from the Broker, if applicable. Buyer's Agent split commission is disclosed clearly. (i.e., if there is a certain percentage on one portion of the sales price and another percentage on the balance)
9. LENDER INFORMATION- A loan will be used to purchase the house. Title Officer has been provided the mortgage broker or lender's name, phone, fax and e-mail.
10. MARITAL STATUS- Buyer's marital status has been determined and disclosed.
11. TRUST/ BUSINESS ENTITY- Buyer is a trust, partnership or other legal entity and appropriate documentation sent to title.
12. SELLER PAID COSTS- Seller paid closing costs are clear and based off a good faith estimate provided by the Lender. Buyer is clear that any extra Seller paid funds will be refunded to the Seller.
13. IDENTIFICATION- Buyers have a current, valid government- issued identification card to provide at closing.
14. MAIL OUT/ COURTESY CLOSING- Buyer is located out of town for closing and e-mail or overnight mail information has been provided.
15. POWER OF ATTORNEY- Buyer is planning on using a Power of Attorney. The original has been located and provided to the Title Officer or Title has been notified to prepare a new power of attorney.
16. CLOSING FUNDS- Buyer will provide any funds required at close in the form of a wire or cashier's check (if the funds total more than $1,499.99).
17. KEYS- Buyer understands that keys, other access materials and possession of the house cannot take place until the lender has provided the loan funds and authorization to disburse.

SELLER CHECKLIST

Selling a home can be a confusing and tedious process- closing should not be! Here's a checklist of wants needs to be done to go from Contract to Closing.

ITEM NEEDED	CHECK IF PROVIDED TO TITLE
1. CONTRACT EXECUTED- All Parties who have an interest in the property have executed the contract and the effective date is complete.
2. SURVEY- Seller has agreed to provide existing survey; both survey and the Residential Real Property Affidavit have been provided to Buyer and Title Company.
3. HOMEOWNER ASSOCIATION- If the property is located in a home owner association, a resale package and resale certificate have been provided to Buyer's Agent and Title Officer.
4. SELLER DISCLOSURE- Seller's Disclosure has been provided to Buyer's Agent, if applicable.
5. RESIDENTIAL SERVICE CONTRACT- A residential service contract has been negotiated and has been ordered, if applicable and Title Officer has been provided a copy of the invoice.
6. LEGAL NOTICE- Paragraph 21 is complete with information for Seller and Buyer for legal notice to be sent to the Parties under the contract.
7. CONTACT INFORMATION- Broker/ Agent information complete on the contract and provided to Title Officer.
8. COMMISSION/ SPLIT- Complete commission has been disclosed to title and a Commission Disbursement Authorization has been sent from the Broker, if applicable. Buyer's Agent split commission is disclosed clearly (i.e., if there is a certain percentage on one portion of the sales price and another percentage on the balance)
9. PAYOFF- A loan payoff will be made at closing. Title Officer will need the payoff lender, the loan number, a social security number and a contact number in order to request a current payoff.
10. MARITAL STATUS- Seller's marital status has been determined and disclosed to Title Officer.
11. ESTATE/ TRUST- Seller is an estate or trust and appropriate documentation sent to Title Officer.
12. SELLER PAID COSTS- Seller paid closing costs are clear and based off a good faith estimate.
13. IDENTIFICATION- Sellers have a current, valid government- issued identification card to provide at closing.
14. MAIL OUT- Seller is located out of town for closing and e-mail or overnight mail information has been provided.
15. POWER OF ATTORNEY- Seller is planning on using a Power of Attorney. The original has been located and provided to the Title Officer or Title Officer has been notified to prepare a new power of attorney.
16. FORWARDING CONTACT INFORMATION- Seller's forwarding address and Social Security Number (for form 1099) have been provided.
17. SALES PROCEEDS- Seller would like his sales proceeds wired and written wire instructions have been provided OR Seller would like his sales proceeds in a hard check and an overnight mailing address has been provided.
18. KEYS- Keys and any other access materials have been provided (or other arrangements made) to agent once funding has occurred.

Lenders analyze your credit score to determine whether or not to approve a home mortage.

Before lending you money, creditors want to determine how much of a risk you are-in other words, how likely you are to repay the money they loan you. Credit scores help them do that, and the higher your score, the less risk they feel you'll be.

It's important to note that raising your FICO credit score is a bit like losing weight: It takes time and there is no quick fix. In fact, quick-fix efforts can backfire. The best advice is to manage credit responsibly over time. You can save money by just following these tips and raising your credit score.

1. Know and Track Your Credit Score- You can get the free MyFico 30-Day Trial of Score Watch which will tell you your current score and alert you if there are any changes.
2. Never Miss a Payment, Starting Today- So you might not have had the best track record, but if you can keep your credit clean from now until forever your credit score will raise over time by itself! You can pay your bills online or use a direct deposit payment so that you never miss!(+100 pts).
3. Never Use More Than 30% of Your Available Credit- This is one of the lesser known tricks to credit score building. If you have a $1000 credit limit on one card, only use a maximum of $200 on it. This rule applies to every card you have.(+15 pts).
4. Keep Credit Cards That Have No Annual Fees Open For as Long as Possible- The length of your credit history is a good indicator for your short term performance on paying a bill or loan. So, even if you're trying to resist the temptation of using your cards, do not close them. Cutting them up is ok. (+25 pts).
5. Get New Ones- This has to do with tip #3 there, it's better to have more available credit on one card, then to have it spread around multiple cards. Besides, it's just easier to keep track of, and it will help you not miss your bill cycle. (+10 pts).
6. If You Think You Are Going to be FORCED to Pay a Bill Late Ask for an Extension or Payment Plan -Avoid getting a negative mark on your credit report, however possible. Beg, plead, make a deal. Once they bring out the smudger, your credit is smudged. Save yourself a major hit, negotiate new payment terms, refinance, - they really just want their money, but some credit places out there are dirty and tricky. Try try, and save yourself 15 points. Remember each hit is compounding negatively against your FICO points! This is a Plan B for those days where you forgot to follow trick #2(+15 pts).
7. Take out a Small Personal Loan and Repay it Over a Year-Tricky, but it works. Take out a loan for say $1000 and pay the balance off over the course of the year. If you pay every month on time you will start to build a credit history. (+10 points).
8. Have At Least Three Revolving Credit Lines-You might consider to have all four of the major credit cards such as Visa, Mastercard, Discover and American Express. The idea behind this is that creditors want to see thay you can manage multiple accounts. (+10 pts).

The first thing we need to do is review "comparables".....comparable homes to your dream home that have sold within the last 6 months or so. We review properties that are in the same basic location, with similar square footage and amenities. We want to determine that the home is appropriately priced before making an offer. My job is to make sure you don't overpay for the property.

Then, we write up the offer. There's a lot more that goes into making an offer than simply price. My years of experience, real estate "know-how" and negotiating skills will help you make the strongest offer possible. Keep in mind that the "strongest" offer doesn't mean capitulating to the seller. The strongest offer is one that puts you in the best possible negotiating position to get you what you want. Remember, I work for you, and will always look out for your best interests.

Successful negotiations generally result in the feeling of a win-win for both the buyer and the seller. The key is to structure initial and counter-offers such that it appears you're being flexible. Give a little on the things that you really don't care that much about-the seller will feel that you're making concessions and negotiating in good faith, and will be more apt to act in a similar manner.

You want to make your offer with a minimum of contingencies - this will give you an edge in the negotiations. If you have a home to sell before purchasing, consider selling it first or get interim financing. And don't forget to get a mortgage pre-approval. (OK - I realize that previous posts have talked about this. I hate to nag, but it is very important that you get pre-approved.)

Be prepared for negotiations to take some time. We may go back-and-forth with the seller a number of times before coming to an agreement. Or it may take no time at all. You must also be prepared for this not to work out. Somethimes the parties can't reach a meeting of the minds, and both sides decide to go their separate ways. In this case, I always believe that it just wasn't meant to be, and there is something better out there for you.

It's your Realtor's job to guide you through this process, and work with your best interests in mind. We're also there to offer moral support. This is a business decision, but there's a lot of emotion in the decision, too. A good Realtor will recognize that and help you keep the business and emotions balanced.