Tip 3

The Single Most Powerful Tactic Home Sellers Miss

for Attracting Qualified Buyers

Who’ll Find Their Home a Perfect Fit.

A buyer’s market can easily seduce home sellers into thinking they’ll save big by not pay­ing an agent’s commission fee. And so they go it alone with a FSBO (For Sale By Owner). But problems arise when the buyers they attract are hunting for a bargain too, hoping to pay a price that’s lower by AT LEAST the amount of an agent’s fee. And since it’s im­possible for both the buyer AND the seller to save the SAME commission fee, the seller usually ends up selling for less.

 Plus, the bargain hunters attracted by a FSBO are more likely to assume that without a professional agent’s advice, the seller doesn’t really know the home’s market value, so they offer the seller considerably less.

 FSBO sellers often feel insulted by these “lowball” buyers…

 and here’s what usually happens next …

 • They ignore the offer, or …

• They’re upset and become so emotionally involved they’re unable to negotiate with any degree of skill, and …

• Since they’re not experts at negotiating to begin with, they end up selling too low.

Statistics show that the majority of sellers who start out as a FSBO end up listing with an agent in thirty to sixty days precisely because of the low-quality buyers FSBO attracts — everything from low-ballers to tire kickers to window shoppers who couldn’t afford to buy without first striking oil..

What about selling over the Internet?

This is certainly an option. However, as the market goes down, the number of homes for sale goes up. And when buyers go online, they find hundreds, if not thousands, of choices, which causes buyer overload.

 MARKET SMARTS FOR HOME SELLERS

Buyers who shop online today discover that finding a home is an overwhelming choice. Statistics show that the majority of homebuyers who initially shop the Internet turn to a real estate professional for help with making the best decision. Buyers go to agents because they know they need somebody to help them compare homes and guide them through the whole decision process.

 Tap into the mother lode of homebuyers …

Since it costs buyers nothing extra to use an agent, it’s to their advantage to do so. And THAT’S where you’ll find them — shopping for a home with their real estate agent.

So, be market smart …

• To attract qualified buyers, go first to the real estate community. If you’ve already tried to sell it yourself and it didn’t work out, it’s not too late to go now.

• When you list your home with a quality agent, s/he will promote your home to all the other agents.

• The agents will screen and pre-qualify the buyers they bring to your home.

• This means they will bring you only buyers having the means to buy your home …

• They will bring you only buyers looking for a home the size of yours …

• They will bring you only buyers looking for a home the style of yours …

• They will bring you only buyers wanting a floor plan like yours …

• Agents will bring you buyers less likely to lowball you.

So, if you don’t have the time, patience or money to waste on lowballers, tire kickers and window shoppers, call a quality agent in your community who’ll connect you with qualified buyers. You’ll save yourself a lot of headaches, not to mention potential trouble resulting from all the little details that — if not handled properly — can come back to haunt you.

 This raises the question of how so many home sellers leave themselves open to litigation.

 Why Bad Sales Happen to Good People.

No home seller wants litigation … no! But it’s easy for home sellers to forget that a home sale is a legal transaction governed by both state and federal laws and regulations that are subject to fairly frequent change.

 Buyers and sellers are natural adversaries …

The legitimate self-interest of buyers and sellers gives rise to a natural conflict occurring from the differences in what a buyer is trying to accomplish and what a seller wants to hap­pen. The legal rules are meant to keep this conflict to a minimum.

But when sellers and buyers deal directly with each other, the possibility for misrepresentation and misunderstanding leading to legal trouble increases exponentially …

Consider, for example, a buyer touring a seller’s house who asks, “Is your roof sound?” And the seller responds, “Oh yes, we’ve got a great roof. ” But he fails to mention there’s been a tiny leak for the last couple of years on one of the eaves outside. And since it doesn’t really affect anything, he doesn’t bring it up. So, the buyer buys the house. Three months later, there’s a huge rainstorm, and that one little leak on the eave suddenly breaks into the kitchen.  

But because the seller didn’t think the leak important enough to disclose, AND, he didn’t have an agent there saying you’ve got to disclose that no matter what, he left himself wide open for a lawsuit. Now, suddenly, he’s being dragged into court. And he’ll have to spend more than he would have ever paid an agent … who would have considered all his possible legal issues.

 So, be market smart …

 • Statistics show that the percentage of transactions ending up in court is much higher for those handled by homeowners selling directly to buyers than for those handled by professional real estate agents.

• In almost every state, sellers have to disclose every possible defect in their house. If they don’t and it comes out, they are legally bound to repair or replace whatever failed as a result.

• One of an agent’s most important responsibilities is to go through the house with the seller and look at all the defects. Most states today require agents to sign off on a legal disclosure stating they’ve done a walk-through and made a visual inspection of everything possible and that the house is in reasonably good condition. If there are any exceptions, agents must list them.

• The homebuyer must sign off on the disclosure, acknowledging any exceptions and agreeing to the home’s stated condition.

• Remember that for one full year after you sell, you are open to a lawsuit if you failed to disclose everything properly.

• When you have a quality agent serving you, all the little things that can land you in court are discussed out BEFORE the transaction closes. This eliminates the possibility of the buyer coming back incensed by an undisclosed defect and accusing you of taking advantage.

• When you list with a quality agent, you’ll have the help of a licensed knowledgeable professional who is up to date on all the legal pitfalls having the potential to cost you huge amounts of time and money.

This leads to the question of how to identify such a quality agent within your community