PRE-LISTING ACTIVITIES
SET APPOINTMENT with seller – LISTING PRESENTATION
E-MAIL and CALL to CONFIRM seller’s listing appointment
PRE-APPOINTMENT QUESTIONS:
IN FAVOR - ADVANTAGES, PLANS
AGAINST - CONCERNS, DOUBTS, CHALLENGES
ASK CLIENT’S – WRITE MY OWN
(it is good strategy to ask client what his/her concerns are so I can research solutions)
COMPARABLES RESEARCH - CURRENTLY LISTED – MLS and public databases
COMPARABLE RESEARCH - PAST SALES - MLS and public databases
COMPARABLES RESEARCH - AVERAGE DAYS ON MARKET for properties of this TYPE, PRICE RANGE and LOCATION.
PROPERTY TAX ROLL INFORMATION (ntreis tax?) download and review
CMA - establish fair market value
PLAT - Obtain copy of subdivision PLAT/complex lay-out
OWNERSHIP and DEED TYPE - Research property’s ownership and deed type
LOT SIZE and DIMENSIONS - Research property’s public record
LEGAL DESCRIPTION - Research and verify
LAND USE CODING and DEED RESTRICTIONS - Research and verify
CURRENT USE and ZONING - Research and verify
LEGAL NAMES OF OWNERS in county’s public property records – Research and verify
LISTING PRESENTATION POWER POINT / KEYNOTE / VIDEO
CURB APPEAL ASSESSMENT of property
FORMAL FILE ON PROPERTY - Compile and assemble
CURRENT PUBLIC SCHOOLS - explain impact of schools on market value
20. REVIEW FOR COMPLETION
LISTING APPOINTMENT PRESENTATION
21. OVERVIEW OF CURRENT MARKET CONDITIONS and PROJECTIONS
22. AGENT’S and COMPANY’S CREDENTIALS and ACCOMPLISHMENTS in the market
(What we can do for you)
23. NICHE in the marketplace (agent and the company)
24. CMA results to seller, including Comparables, Solds, Current Listings and Expireds
25. PRICING STRATEGY present based on professional judgment and interpretation of current market conditions
26. DISCUSS GOALS with seller to market effectively
27. MARKET POWER of the MLS - Explain
28. MARKET POWER of WEB MARKETING, IDX, and other avenues. - Explain
29. Explain THE WORK THE BROKERAGE AND AGENT DO “behind the scenes” and AGENT’S AVAILABILITY ON WEEKENDS
30. AGENT TO SCREEN ALL CALLS - Explain
31. STRATEGIC MASTER MARKETING PLAN - Present and discuss
32. DIFFERENT AGENCY RELATIONSHIPS - Explain and determine seller’s preference
33. LISTING CONTRACT & ADDENDUM - Review and explain all clauses and OBTAIN SELLER’S SIGNATURE
ONCE PROPERTY IS UNDER LISTING AGREEMENT
34. CURRENT TITLE INFORMATION - Review
35. TAKE MEASUREMENTS - overall and heated square footage
36. TAKE MEASUREMENTS - Measure interior room sizes
37. OWNER’S SURVEY - Confirm lot size via owner’s copy of certified survey, if available
38. UNRECORDED PROPERTY LINES, AGREEMENTS AND EASEMENTS - Note any and all
39. HOUSE PLANS - Obtain house plans, if available, and make copy
40. PLAT MAP - Order plat map for retention in property’s listing file
41. SHOWING INSTRUCTIONS for buyer’s agents and agree on SHOWING TIME WINDOW with seller
42. CURRENT MORTGAGE LOANS INFO – bank/companies and loan account numbers
43. CURRENT MORTGAGE LOANS - verify current loan information with lender(s)
44. ASSUMABILITY of the LOANS - Check assumability of loan(s) and any special requirements
45. BUYER FINANCING ALTERNATIVES and OPTIONS - Discuss with seller
46. CURRENT APPRAISAL - Review if available
47. HOA - Identify Homeowner Association manager, if applicable
48. HOA fees - Verify Homeowner Association Fees with manager—mandatory or optional and current annual fee
49. HOA BYLAWS - Order copy of Homeowner Association Bylaws, if applicable
50. ELECTRICITY - Research electricity availability and supplier’s name and phone number
51. SECURE an ENERGY AUDIT – with an energy inspector if the home is 10 or more years old
52. ELECTRICITY – AVERAGE COST of last 12 months
53. CITY SEWER - Research and verify city sewer/septic tank system - AVERAGE COST of last 12 months
54. WATER SYSTEM – AVERAGE COST of last 12 months
55. WELL WATER: Confirm well status, depth and output from Well Report
56. NATURAL GAS: Research/verify availability and supplier’s name and phone number
57. SECURITY SYSTEM - current term of service and whether owned or leased
58. TERMITE BOND - Verify if seller has transferable Termite Bond
59. LEAD-BASED PAINT DISCLOSURE - Ascertain need
60. DETAILED LIST OF PROPERTY AMENITIES and assess market impact
61. “INCLUSIONS & CONVEYANCES WITH SALE” Prepare detailed list
62. LIST OF COMPLETED REPAIRS AND MAINTENANCE ITEMS
63. “VACANCY CHECKLIST” to seller, if property is vacant
64. Explain benefits of HOME OWNER WARRANTY to seller
65. Assist sellers with COMPLETION AND SUBMISSION OF HOME OWNER WARRANTY APPLICATION
66. When received, PLACE HOME OWNER WARRANTY IN PROPERTY FILE for conveyance at time of sale
67. Have EXTRA KEY MADE FOR LOCKBOX
68. Verify if property has RENTAL UNITS INVOLVED. And if so:
69. Make COPIES OF ALL LEASES for retention in listing file
70. Verify all RENTS AND DEPOSITS
71. INFORM TENANTS OF LISTING and discuss how showings will be handled
72. Arrange for INSTALLATION OF YARD SIGN
73. Assist seller with completion of SELLER’S DISCLOSURE form
74. “NEW LISTING CHECKLIST” Completed
75. Review results of CURB APPEAL ASSESSMENT with seller and PROVIDE SUGGESTIONS TO IMPROVE SALABILITY
76. Review results of INTERIOR DÉCOR ASSESSMENT AND SUGGEST CHANGES TO SHORTEN TIME ON MARKET
77. Load listing into TRANSACTION MANAGEMENT SOFTWARE PROGRAM
ENTERING PROPERTY IN THE MLS DATABASE
78. PREPARE MLS PROFILE SHEET—Agent is responsible for “QUALITY CONTROL” AND ACCURACY OF LISTING DATA
79. ENTER PROPERTY DATA from Profile Sheet into MLS Listing Database
80. PROOFREAD MLS DATABASE LISTING FOR ACCURACY—including PROPER PLACEMENT IN MAPPING FUNCTION
81. ADD PROPERTY TO COMPANY’S ACTIVE LISTINGS LIST
82. Provide seller with SIGNED COPIES OF LISTING AGREEMENT AND MLS PROFILE SHEET DATA FORM
83. Take additional PHOTOS FOR UPLOAD INTO MLS AND USE IN FLYERS; DISCUSS EFFICACY OF PANORAMIC photography
MARKETING THE LISTING
84. CREATE PRINT AND INTERNET ADS with seller’s input
85. COORDINATE SHOWINGS with owners, tenants and other REALTORS®;
RETURN ALL CALLS INCLUDING WEEKENDS
86. Install ELECTRONIC LOCK BOX, if authorized by owner; PROGRAM LOCKBOX WITH AGREED-UPON SHOWING TIME WINDOWS
87. Prepare MAILING AND CONTACT LIST
88. GENERATE LETTERS and combine with contact list
89. Order “JUST LISTED” LABELS AND REPORTS
90. Prepare FLYERS
91. Review COMPARABLE MLS LISTINGS regularly to ensure property remains competitive in PRICE, TERMS, CONDITIONS AND AVAILABILITY
92. Prepare PROPERTY MARKETING BROCHURE FOR SELLER’S REVIEW
93. Arrange for PRINTING OR COPYING A SUPPLY OF MARKETING BROCHURES or fliers
94. Place MARKETING BROCHURES IN ALL COMPANY AGENT MAIL BOXES
95. UPLOAD LISTING TO COMPANY AND AGENT WEBSITE, if applicable
96. MAIL OUT “JUST LISTED” notice to all neighborhood residents
97. Advise NETWORK REFERRAL PROGRAM of listing
98. Provide marketing data to buyers coming through INTERNATIONAL RELOCATION NETWORKS
99. Provide marketing data to buyers coming from REFERRAL NETWORK
100. Provide “SPECIAL FEATURE” CARDS for marketing, if applicable
101. Submit ADS to company’s PARTICIPATING REAL ESTATE WEBSITES
102. CONVEY PRICE CHANGES to all groups promptly via MLS
103. REPRINT/SUPPLY BROCHURES promptly as needed
104. REVIEW AND UPDATE LOAN INFORMATION as required
105. FEEDBACK E-MAILS/faxes sent to buyer’s agents AFTER SHOWINGS
106. Review MARKET STATISTICS
107. DISCUSS FEEDBACK FROM SHOWING AGENTS WITH SELLER to determine if CHANGES WILL ACCELERATE THE SALE
108. Place regular WEEKLY UPDATE CALLS TO SELLER to discuss MARKETING AND PRICING
THE OFFER AND CONTRACT
109. RECEIVE AND REVIEW ALL OFFERS to Purchase contracts submitted by buyers or buyer’s agents.
110. EVALUATE OFFER(S) AND PREPARE A “NET SHEET” on each for the owner for COMPARISON PURPOSES
111. COUNSEL SELLER ON OFFERS. Explain MERITS AND WEAKNESS OF EACH COMPONENT of each offer
112. CONTACT BUYER’S AGENTS to REVIEW BUYER’S QUALIFICATIONS AND DISCUSS OFFER
113. DELIVER SELLER’S DISCLOSURE to buyer’s agent or buyer upon request and PRIOR TO OFFER, IF POSSIBLE
114. CONFIRM BUYER IS PRE-QUALIFIED by calling LOAN OFFICER
115. Obtain PRE-QUALIFICATION LETTER on buyer FROM LOAN OFFICER
116. NEGOTIATE ALL OFFERS on seller’s behalf, setting TIME LIMIT FOR LOAN APPROVAL and CLOSING DATE
117. PREPARE AND CONVEY ANY COUNTEROFFERS, ACCEPTANCE OR AMENDMENTS to buyer’s agent
118. Distribute COPIES OF CONTRACT AND ALL ADDENDUMS TO CLOSING ATTORNEY OR TITLE COMPANY
119. When OFFER TO PURCHASE CONTRACT IS ACCEPTED AND SIGNED BY SELLER, DELIVER TO BUYER’S AGENT
120. Record and promptly deposit buyer’s EARNEST MONEY IN ESCROW ACCOUNT – (TITLE COMPANY)
121. Disseminate “UNDER-CONTRACT SHOWING RESTRICTIONS” AS SELLER REQUESTS
122. Deliver COPIES OF FULLY SIGNED OFFER TO PURCHASE CONTRACT TO SELLER
123. Deliver COPIES OF OFFER TO PURCHASE CONTRACT TO SELLING AGENT
124. Deliver COPIES OF OFFER TO PURCHASE CONTRACT TO LENDER
125. Provide copies of SIGNED OFFER TO PURCHASE CONTRACT FOR OFFICE FILE
126. ADVISE SELLER IN HANDLING ADDITIONAL OFFERS to purchase submitted BETWEEN CONTRACT AND CLOSING
127. Change STATUS IN MLS TO “PENDING”
128. UPDATE TRANSACTION MANAGEMENT PROGRAM show “Pending”
129. REVIEW BUYER’S CREDIT REPORT results—advise seller of worst and best case scenarios
130. Provide credit report information to seller, if property will be SELLER-FINANCED
131. ASSIST BUYER WITH OBTAINING FINANCING, if applicable and FOLLOW-UP AS NECESSARY
132. Coordinate with lender on DISCOUNT POINTS BEING LOCKED IN WITH DATES
133. Deliver UNRECORDED PROPERTY INFORMATION to buyer
134. Order SEPTIC SYSTEM INSPECTION, if applicable
135. Receive and review septic system report and assess any possible impact on sale
136. Deliver copy of SEPTIC SYSTEM INSPECTION REPORT TO LENDER AND BUYER
137. Deliver WELL FLOW TEST REPORT COPIES TO LENDER AND BUYER AND PROPERTY LISTING FILE
138. Verify TERMITE INSPECTION ORDERED
139. Verify MOLD INSPECTION ORDERED, if required
TRACKING THE LOAN PROCESS
140. Confirm VERIFICATIONS OF DEPOSIT AND BUYER’S EMPLOYMENT have been returned
141. Follow LOAN PROCESSING THROUGH TO THE UNDERWRITER
142. CONTACT LENDER WEEKLY to ensure PROCESSING IS ON TRACK
143. Relay FINAL APPROVAL OF BUYER’S LOAN application to seller
HOME INSPECTION
144. COORDINATE BUYER’S PROFESSIONAL HOME INSPECTION with seller
145. REVIEW HOME INSPECTOR’S REPORT
146. Explain SELLER’S RESPONSIBILITIES WITH RESPECT TO LOAN LIMITS and INTERPRET ANY CLAUSES IN THE CONTRACT
147. Ensure SELLER’S COMPLIANCE WITH HOME INSPECTION CLAUSE requirements
148. Recommend or ASSIST SELLER WITH IDENTIFYING AND NEGOTIATING WITH TRUSTWORTHY CONTRACTORS to perform any required repairs
149. NEGOTIATE PAYMENT AND OVERSEE COMPLETION OF ALL REQUIRED REPAIRS on seller’s behalf, if needed
THE APPRAISAL
150. SCHEDULE APPRAISAL
151. PROVIDE COMPARABLE SALES used in market pricing TO APPRAISER
152. FOLLOW-UP ON APPRAISAL
153. Enter COMPLETION INTO TRANSACTION MANAGEMENT program
154. ASSIST SELLER IN QUESTIONING APPRAISAL REPORT if it seems too low
LOSING PREPARATIONS AND DUTIES
155. Ensure CONTRACT IS SIGNED by all parties
156. COORDINATE CLOSING PROCESS with buyer’s agent and lender
157. UPDATE CLOSING FORMS AND FILES
158. Ensure all PARTIES HAVE ALL FORMS AND INFORMATION NEEDED TO CLOSE the sale
159. Select LOCATION WHERE CLOSING WILL BE HELD
160. CONFIRM CLOSING DATE AND TIME, and notify all parties
161. ASSIST IN SOLVING ANY TITLE PROBLEMS (boundary disputes, easements, etc)
CERTIFICATES
162. Work with buyer’s agent in scheduling and conducting BUYER’S FINAL WALK-THROUGH prior to closing
163. Research all TAX, HOA, UTILITY AND OTHER APPLICABLE PRORATIONS
164. Request FINAL CLOSING FIGURES FROM CLOSING AGENT (attorney or title company)
165. Receive and carefully REVIEW CLOSING FIGURES TO ENSURE ACCURACY of preparation
166. Forward VERIFIED CLOSING FIGURES TO BUYER’S AGENT
167. Request COPY OF CLOSING DOCUMENTS FROM CLOSING AGENT
168. Confirm BUYER AND BUYER’S AGENT HAVE RECEIVED TITLE INSURANCE COMMITMENT
169. Provide “HOME OWNERS WARRANTY” for availability at closing
170. REVIEWS ALL CLOSING DOCUMENTS carefully for errors
171. Forward closing documents to ABSENTEE SELLER as requested
172. REVIEW DOCUMENTS WITH CLOSING AGENT (ATTORNEY)
173. Provide EARNEST MONEY deposit check from escrow account to closing agent
174. COORDINATE THIS CLOSING WITH SELLER’S NEXT PURCHASE and RESOLVE ANY TIMING PROBLEMS
175. HAVE A “NO SURPRISES” CLOSING so that SELLER RECEIVES A NET PROCEEDS CHECK AT CLOSING
176. REFER SELLERS to one of the BEST AGENTS AT THEIR DESTINATION, if applicable
177. Change MLS STATUS TO SOLD. Enter SALE DATE, PRICE, SELLING BROKER AND AGENT’S ID NUMBERS, ETC.
FOLLOW UP AFTER CLOSING
178. Answer QUESTIONS ABOUT FILING CLAIMS WITH HOME OWNER WARRANTY company, if requested
179. Attempt to CLARIFY AND RESOLVE ANY CONFLICTS ABOUT REPAIRS IF BUYER IS NOT SATISFIED
180. Respond to any FOLLOW-ON CALLS AND PROVIDE ANY ADDITIONAL INFORMATION required from office files.
VACANT HOME SELLER CHECKLIST
Seller Checklist When Leaving a Vacant Unsold House
Posted on July 7, 2015 by Veronica "Roni" Weaver
Written by Debbie Reynolds
Real Estate Agent with Berkshire Hathaway HomeServices PenFed Realty, TN Broker
Seller Checklist When Leaving a Vacant Unsold House
Making sure that a house looks like a well-cared for home is important so as to attract buyers and get the best price and a quicker sale.
With expenses from the new and old home coming in, there is a tendency for sellers to want to scale back, to shut off utilities and delay lawn cutting services until it is absolutely necessary. This is not the time to scrimp and make your home look neglected or like it has been abandoned.
Consider these items when leaving your vacant unsold house:
1) Curb appeal will help get buyers in the door– Keep your lawn on a routine cutting rotation. It needs to look like someone is living there. Don’t forget the shrubs and trees limbs grow too and don’t let them get out of hand and overgrown looking.
2) It’s hot outside– Outside temperatures can be over 90 degrees and going into a hot house is a turnoff. If it is cool you will have buyers take time to look at the house instead of only thinking about how quickly they can get out of the hot house and back into a cool car. It is okay to turn the thermostat up a few degrees higher than normal. This will still feel cool to a buyer coming in from the outside.
3) Buyers need to be able to see the features–Even during the summer months a home without lights can be dark and not a pleasant showing experience. If the showing is in the evening hours without lights, an agent is wasting their time and a buyer cannot see whether they like the house or not.
4) Not having climate control is bad for your home– Sheetrock tape can pop, cracks appear, doors and trim separate, flooring can become unglued and lift. Keeping your air on helps protect your interior finishes.
5) No utilities makes a buyer think that you may be in a financial crisis–Having your utilities on will make the house feel like a home and have you ready for an offer, the home inspection and appraisal periods that do require utilities be on. It may even save you new deposits and connections fees. Turning utilties off can also strain the systems and cause problems with surges when they are turned back on. Just leave them on.
6) For plumbing fixtures– it is okay to turn the breakers to the off position on your water heater and turn water shutoffs off at sinks, etc. Nobody should be using these and a home inspector will know to turn them back on to check them out.
7) Keep blinds semi open– Closing blinds completely makes a home look unoccupied, dark when showing and may invite thieves or vandals.
8) Have a neighbor or friend keep an eye out– A neighbor doing a routine check every few days will help give you peace of mind. Your agent should help monitor the property as well.
9) Let your insurance and mortgage companies know you are moving– Make sure you have proper insurance coverage for your vacant home.
9) Touch up housecleaning–Showings produce foot traffic and dirt. Bugs die and counters, window seals and light fixtures may get dusty. Toilets get water rings. Arrange to have a light clean up to keep the house looking ready for buyers and smelling good.
Seller Checklist When Leaving a Vacant Unsold House.
By assuring that the house looks cared for and ready for buyers your home will be looked upon favorably by buyers and hopefully you will get an offer soon.
This is a great Article to refer to when you are selling your home.
My Real Estate Expert LLC.
NOLO’S HOME SELLING CHECKLIST
Homeseller's Checklist: Expenses to Expect When Selling Your Home
Everyone knows that buying a home is expensive -- but what about selling?
Talk to anyone who's just sold a home, and you'll probably see some eye-rolling as they recount how the supposed profits were undercut by one expense after another. But the results won't seem quite so shocking if you know what to expect.
Strategize for a quick and successful home sale with this all-in-one guide
In fact, if you start planning ahead of time, you may find ways to reduce some of the costs, perhaps by handling some tasks yourself or getting lots of competing bids for work.
Before the Sale: Expenses to Expect
Here are the typical upfront expenses. Some are a matter of choice, yet may be important investments in making sure your house sells for the highest amount possible -- or sells at all.
Painting. A new paint job is one of most cost-effective ways of freshening your house up, inside and out. If you've recently painted, this is less important -- though if your color choices were bold or unique, you might want to tone them down with some crowd-pleasing neutrals. Your stager, if you hire one (see below) can help advise on the best colors. You can save some money by doing some of the painting yourself -- hiring someone will quickly run into the thousands of dollars.
Window washing. When did you last wash them -- especially on the outside panes of upper floors? Sparkling windows make a surprisingly large difference to buyer perceptions. Hiring someone will cost a few hundred dollars, depending on the size and height of your home.
Fixups. Which fixups are necessary (such as replacing cracked windows or stained carpeting) and which (such as major remodels) should be left for the buyer to handle is a separate discussion in itself. But there's practically no house that couldn't use some quick maintenance to make sure it looks well-cared for and leaves fewer items for a home inspector to comment on.
Staging. It's de rigeur in some parts of the United States, and less known in others -- but staging your home, or having a decorator help declutter, reorganize, and in some cases refurnish it after you've moved your stuff out, can help impress buyers in a big way. In fact, studies show that buyers pay more for staged homes. Expect to pay a professional stager a few thousand dollars for their services (a bit less if some of your own furniture is usable.) For more on this topic, see Nolo's article Is Hiring a Home Stager Worth the Cost?.
Adding decorative or new items to your home (if you're not hiring a stager). Even if you decide to save money by staging your own home, you're almost guaranteed to have to buy things like a new doormat, new plush towels for the bathroom, flowers for the showings, and more, depending on what your house needs. Other likely possibilities include new couch cushions, area rugs, a nice table runner, and artwork to replace your wall of kids' photos.
Landscaping. Buyers are increasingly interested in the state of your garden. If it's already fully planted, you'll want to hire someone (or put in some sweat equity) to get it raked, pruned, and otherwise tidied up. If the area hasn't already been landscaped, plan to add some new greenery and flowering plants. (By the way, if you plant in containers, you can take the containers with you when you move -- unless they're so big or incorporated into the property as to be considered "fixtures.") Many sellers simply put in new sod -- but do the buyers a favor and don't leave the plastic mesh backing on it, in case the buyers want to replace it with something more interesting and environmentally friendly.
Pre-inspection reports. Having a professional inspect your house for either termite/pest damage or other structural matters isn't required , nor expected in most parts of the United States. Buyers expect to pay for their own inspectors, and in fact will probably want to hire ones they know and trust regardless of whether you've had the property inspected first. Yet there are situations where you might want to have the house inspected before letting buyers in -- for example, if you've owned the property for many years and wonder whether any problems have arisen "below the hood" that you're oblivious to, and would perhaps prefer to fix before buyers have a chance to get upset about them. Inspections will run you upwards of $200.
Lights and heat while the house sits empty. If you'll be moving out before putting your house on the market, expect to pay double utilities for a while. You'll want to leave the lights and heat on in the house for sale, or program them to stay on during any hours that potential buyers and their agents may be stopping by the place. No one likes to enter a cold, dark house and fumble around for the light switches. Check your current bills for approximately what to expect.
Extra homeowners' insurance for the vacancy period. Check with your homeowners' carrier. Your insurance may not apply when the home is "vacant," which term will be defined in your policy. You can ask for a rider to cover any period of vacancy.
At Closing: More Expenses to Expect
The good news is, most of what you'll be paying out at closing will come out of the sale proceeds. The bad news is, you'll be saying goodbye to some big dollars.
Real estate agent commissions. You, as the seller, will likely be paying the entire 5% - 6% commission, to be split between the buyer's agent and yours. For ways to reduce this figure, see Nolo's article Negotiate the Agent's Commission When Selling Your House.
Other closing costs or credits to the buyer. You might have agreed -- based on local tradition or buyer negotiation -- to pay various of the standard costs associated with closing the deal, such as fees for the escrow company; the mortgage and home appraisal; recording and transfer of the property; homeowners' and title insurance; and more. If your local real estate market is sluggish, buyers may also ask you to pay all or a hefty portion of the closing costs, which typically add up to 2% to 4% of the selling price.
Transfer tax. Your city or state may require you to pay transfer taxes, as a small percentage of the sale price.
Home warranty for the buyer. Whether because the buyer requests it or to make the buyer feel secure about the home purchase, many sellers buy a home warranty on the buyer's behalf. This is a service contract that covers repairs to appliances and certain systems within the house for the first year of ownership. It will cost about $500.
Capital gains tax. If you earn less than $250,000 on your home sale (or $500,000 if you're married and filing jointly), don't worry -- you won't owe a thing in the way of capital gains taxes. But if you earn more than that, you'll want to look further into the matter. Once you've subtracted things like the costs of preparing the property for sale from the supposed gains, you may not owe the tax. For more information, see Nolo's article Avoiding Capital Gains Tax When Selling Your Home: Read the Fine Print.
Moving costs. Asking your friends with pickup trucks to help can save you some dough -- but will take a lot more time. Sometimes it's worth paying for the deluxe treatment, where the company packs your boxes for you, transports them to the new location, and unpacks at the other end.
For more information on all aspects of marketing and selling your home, see Selling Your House: Nolo's Essential Guide.
by: Ilona Bray, J.D.
Both as a friend and as a Realtor, I end up taking care of vacant homes for people. Often I get asked for my “checklist” of what to look for and how to take care of a home. When someone is asked to care for a home, it’s often a simple, “will you watch over my home for me” with no real guidance or instructions, and while that works for a short vacation trip, it doesn’t work when the homeowner is gone for a much longer time period. As a result, I’ve written out these instructions to give to the many people who ask me how to take care of a home.
One thing I would suggest is up front, determine how the person taking care of the home is going to be reimbursed for any out-of-pocket expenses. There will be some things that regardless of how much “stuff” the homeowner leaves behind, he won’t have left enough or the right things and the person caring for the home will have to go buy – whether it’s light bulbs or insect spray or leaf bags. Does the homeowner leave $100 with the person taking care of the home and then send more money as needed? Does the person caring for the home keep receipts and then settle up at a set time? It’s up to you, but it needs to be decided in advance.
When it comes to caring for a vacant home, there are differences based on location - the issues you will face in a southern climate are different then those you will face in a northern climate, but there are some very basic starting points. First is to define why you are taking care of it. Watching a home for someone who is away on vacation or deployed in the military for an extended time period and is coming back to their own home and you want to make sure that they aren’t ticketed by the local municipality, has damage that no one catches until it’s a big problem or their home is marked as “empty” by thieves is totally different than keeping a home in a show-ready state when it’s on the market to be sold. As you go through my list, please keep that in mind.
Take care of the exterior – make sure the yard is watered and mowed and weeds trimmed (and that included not just flower beds but the cracks between the sidewalks and driveways). Keep vines under control as they can grow up and force their way into a home through windows and cracks. In the fall, rake the leaves. In the winter, at the minimum if the home is not being shown, open the garage door and drive a car through the snow from the street to the garage and out to make it look like the home is being used and shovel the walk. If the home is for sale, then shovel the drive and the walks (this helps to prevent a buyer from slipping and falling on the snow as well). If you have an exterior storm drain close to a door (in St Louis, we have a tendency to have them close to a basement door on the outside), keep them clear of leaves and debris – if they get covered and can’t keep the rain water going down the drain, it will go back into the home. Keep downed branches and brush picked up and take out any dead bushes.
Pick up the free newspapers, phonebooks and marketing materials that are left on the doorstep and on the door handles and in the mailbox. Even when the mail is stopped, you will periodically have a temporary mailperson assigned to the route who will deliver the junk mail without paying attention to the fact that it is an empty house, so check the mailbox periodically.
When the seasons change and it gets cold, make sure that hoses are disconnected and taken inside, and that outside faucets are turned off from inside the home if at all possible. If there is a sprinkler system, disconnect it and take off the multi-hose connections at the faucets. Sometimes I invest a little bit of money (a couple of dollars) in putting the Styrofoam covers over outside faucets if I can’t find the inside faucet shutoffs. Make sure that all water is allowed to run out of sprinkler hoses and the end caps are taken off as well. If you are in an area where children may turn on the faucets to play with the water or neighbors may help themselves to watering the yard or washing the car with your water, you may want to disconnect the outside faucets (just put a note in your files so you remember that they are shut off or put a note at the shut off valves inside the home) If a home is really vacant and no one is going to be there, then the utilities may be turned off and the water shut off and antifreeze put in the system (toilets and water heater will be drained then) but a sign goes up warning people or someone WILL use the toilet and then it is a mess (in which case you carry bottles of water to the home and manually flush it)
After any large storm, someone should walk around the outside of the home and check it for damage and walk around the inside of the home and check for broken windows, damaged roof, leaks, water coming UP drains, etc. Any damages should be taken care of right away. If a hurricane is coming, put up the shutters and boards.
Bugs are a way of life, but spiders will take over a vacant home in a heart beat. Spray the interior and the exterior periodically, especially around exterior lights, exterior doors and windows – inside and outside. Take a stick and knock down the cobwebs even if it is close to Halloween, you don’t want spider eggs hatching and the more webs you have the more neglected the home looks. In some areas, you may want to put out mouse traps, bug glue traps (both those that go on the floor and those that hang down from the ceiling) and cockroach motels.
Water - Run water down the sinks and tubs/showers periodically to prevent the pipes from getting dry enough that sewer gases come back up (I do it at least once a month). Flush the toilets periodically – water will evaporate from the toilets leaving nasty rings – MAKE SURE when you flush that you stay around long enough to make sure that they stop flushing since the seals can dry up, chains can get hooked up, etc and the water can continue to run indefinitely with no one in the house to catch it (again at least once a month). Gaskets dry out. Both laundry and dishwashers need to be run every few months to ensure that the gaskets and hoses don't dry out too much or they will leak when they are run. Also the garbage disposal should be cleaned before the home owner leaves or accumulated soap, food particles, etc can essentially gum it up to the point that it will freeze and become inoperable.
My parents once had the ice maker and it’s water supply line for their refrigerator ice maker go haywire while they were out of town on a long trip and they came back to find their entire house flooded. After that they turned the water off to their home whenever they left town for more than a day or two and they would have to turn it back on when they got home again before they could get a glass of water, for many that would be overkill, but after having the water flood their kitchen, and then be absorbed by the carpet in the dining room, family room and living room and then seep into the basement and flood the basement and have to deal with the mold and mildew for years (and the collateral damage of not only the floors and walls that were ruined but cleaning and reupholstering the furniture, paintings were ruined , boxes of things stored in the basement were ruined, etc) they took no chances.
Electricity - If the utilities are on, the home owner may want to invest in motion detector lights or lights on timers that will come on periodically to give an illusion that the home is occupied. You may want to unplug the garage door opener. And turn off all the big appliances at the breaker box (just put a note that they are turned off). If there are outside electrical outlets, and the home is in an area where someone might "help themselves" by using the home's electricity, shut them off at the circuit breaker box. Likewise, if possible shut off any outside phone jacks so no one runs up a phone bill.
Periodically check the thermostat – if it’s newer and has a battery, make sure the battery doesn’t go out, in which case the thermostat won’t work. When the seasons change, someone has to reset from one season to the next – turn off the a/c and turn on the furnace, turn on and off humidifiers, etc. In a hot, humid climate, the a/c may be left on just to keep the moisture down in the house to keep the mold and mildew from growing Water heaters can be turned to vacation settings to keep utility bills lower. Any refrigerators left in the home can be turned to their lowest setting (freezer and refrig)
Light bulbs and toilet paper and some hand soap (and if you’re really nice some paper towels or a small hand towel) should be in the homes as people looking at the homes (and those taking care of the home) do need to use the facilities). (I have small garbage cans under the bathroom sinks and kitchen sink (or plastic garbage sacks) that I periodically take home and empty (empty homes don’t have trash pickup).
If a home is being shown for sale, someone needs to check on the “nice cleaning”. Sometimes it’s a matter of dusting as well, or cleaning the windows (inside may stay clean but outside won’t). Periodically the floors need to be swept if people have tracked in leaves etc (you can ask the agent for shoe covers if the floors are carpeted to keep the carpets clean).
If there is a pool or hot tub, it may need to have the chemical balance checked periodically, so instructions and chemicals may need to be left by the homeowner.
Check the refrigerator, they do go out while they are running. If you stop using the refrig, make sure to unplug it and block the door open so you get enough air circulation inside so it does not develop mold and mildew inside.
Believe it or not, things that aren’t being used break. I walk through a home and look for “odd” things – is there a leak that has developed somewhere, is there a doorknob that is loose, is there a window that isn’t closed properly or that has cracked from a tree branch hitting it in a storm, a door that isn’t locking easily – I look for security issues as well as preventative maintenance as well as things that make a home look nice. I also try to keep air fresheners in the home and if the home has ceiling fans I’ll keep them on low so the air continues to circulate regardless of temp, to keep the house from smelling stale. Herbal tea bags can help keep drawers and cabinets smelling nice.
I sincerely hope that this helps you as you care for a vacant home. If I've missed anything, please let me know. I'm always looking to improve this list.
184 STEPS: THE TRANSACTION CHECKLIST
By Bethany Cleveland on February 1, 2012
REALTORS® perform a myriad of tasks to ensure that the home buying process goes smoothly for their clients. This list was originally prepared by the Orlando Area Association of REALTORS®. The National Association of REALTORS® (NAR) presented it to Congress to demonstrate all the tasks that real estate professionals must do to close a single transaction.
Pre-listing activities
___ 1. Make appointment with seller for listing presentation.
___ 2. Send a written or e-mail confirmation of appointment and call to confirm.
___ 3. Review appointment questions.
___ 4. Research all comparable currently listed properties.
___ 5. Research sales activity for past 18 months from MLS and public databases.
___ 6. Research “average days on market” for properties similar in type, price and location.
___ 7. Download and review property tax roll information.
___ 8. Prepare “comparable market analysis” (CMA) to establish market value.
___ 9. Obtain copy of subdivision plat/complex layout.
___ 10. Research property’s ownership and deed type.
___ 11. Research property’s public record information for lot size and dimensions.
___ 12. Verify legal description.
___ 13. Research property’s land use coding and deed restrictions.
___ 14. Research property’s current use and zoning.
___ 15. Verify legal names of owner(s) in county’s public property records.
___ 16. Prepare listing presentation package with above materials.
___ 17. Perform exterior “curb appeal assessment” of subject property.
___ 18. Compile and assemble formal file on property.
___ 19. Confirm current public schools and explain their impact on market value.
___ 20. Review listing appointment checklist to ensure completion of all steps.
Listing appointment presentation
___ 21. Give seller an overview of current market conditions and projections.
___ 22. Review agent and company credentials and accomplishments.
___ 23. Present company’s profile and position or “niche” in the marketplace.
___ 24. Present CMA results, including comparables, solds, current listings and expireds.
___ 25. Offer pricing strategy based on professional judgment and interpretation of current market conditions.
___ 26. Discuss goals to market effectively.
___ 27. Explain market power and benefits of multiple listing service.
___ 28. Explain market power of Web marketing, IDX and REALTOR.com.
___ 29. Explain the work the brokerage and agent do “behind the scenes” and agent’s availability on weekends.
___ 30. Explain agent’s role in screening qualified buyers to protect against curiosity seekers.
___ 31. Present and discuss strategic master marketing plan.
___ 32. Explain different agency relationships and determine seller’s preference.
___ 33. Review all clauses in listing contract and obtain seller’s signature.
After listing agreement is signed
___ 34. Review current title information.
___ 35. Measure overall and heated square footage.
___ 36. Measure interior room sizes.
___ 37. Confirm lot size via owner’s copy of certified survey, if available.
___ 38. Note any and all unrecorded property lines, agreements, easements.
___ 39. Obtain house plans, if applicable and available.
___ 40. Review house plans, make copy.
___ 41. Order plat map for retention in property’s listing file.
___ 42. Prepare showing instructions for buyers’ agents and agree on showing time window with seller.
___ 43. Obtain current mortgage loan(s) information: companies and account numbers.
___ 44. Verify current loan information with lender(s).
___ 45. Check assumability of loan(s) and any special requirements.
___ 46. Discuss possible buyer financing alternatives and options with seller.
___ 47. Review current appraisal if available.
___ 48. Identify Home Owner Association manager if applicable.
___ 49. Verify Home Owner Association fees with manager — mandatory or optional and current annual fee.
___ 50. Order copy of Homeowner Association bylaws, if applicable.
___ 51. Research electricity availability and supplier’s name and phone number.
___ 52. Calculate average utility usage from last 12 months of bills.
___ 53. Research and verify city sewer/septic tank system.
___ 54. Calculate average water system fees or rates from last 12 months of bills.
___ 55. Or confirm well status, depth and output from Well Report.
___ 56. Research/verify natural gas availability, supplier’s name & phone number.
___ 57. Verify security system, term of service and whether owned or leased.
___ 58. Verify if seller has transferable Termite Bond.
___ 59. Ascertain need for lead-based paint disclosure.
___ 60. Prepare detailed list of property amenities and assess market impact.
___ 61. Prepare detailed list of property’s “Inclusions & Conveyances with Sale .”
___ 62. Compile list of completed repairs and maintenance items.
___ 63. Send “Vacancy Checklist” to seller if property is vacant.
___ 64. Explain benefits of Home Owner Warranty to seller.
___ 65. Assist sellers with completion and submission of Home Owner Warranty application.
___ 66. When received, place Home Owner Warranty in property file for conveyance at time of sale.
___ 67. Have extra key made for lockbox.
___ 68. Verify if property has rental units involved. And if so:
___ 69. Make copies of all leases for retention in listing file.
___ 70. Verify all rents and deposits.
___ 71. Inform tenants of listing and discuss how showings will be handled.
___ 72. Arrange for yard sign installation.
___ 73. Assist seller with completion of Seller’s Disclosure form.
___ 74. Complete “new listing checklist.”
___ 75. Review results of Curb Appeal Assessment with seller and provide suggestions to improve salability.
___ 76. Review results of Interior Décor Assessment and suggest changes to shorten time on market.
___ 77. Load listing into transaction management software program.
Entering property in MLS database
___ 78. Prepare MLS Profile Sheet — agent is responsible for “quality control” and accuracy of listing data.
___ 79. Enter property data from Profile Sheet into MLS listing database.
___ 80. Proofread MLS database listing for accuracy, including proper placement in mapping function.
___ 81. Add property to company’s Active Listings list.
___ 82. Provide seller with signed copies of Listing Agreement and MLS Profile Sheet Data Form within 48 hours.
___ 83. Take additional photos for upload into MLS and use in flyers. Discuss efficacy of panoramic photography.
Marketing the listing
___ 84. Create print and Internet ads with seller’s input.
___ 85. Coordinate showings with owners, tenants, and other Realtors®. Return all calls — weekends included.
___ 86. Install electronic lock box if authorized by owner. Program with agreed-upon showing time windows.
___ 87. Prepare mailing and contact list.
___ 88. Generate mail-merge letters to contact list.
___ 89. Order “Just Listed” labels and reports.
___ 90. Prepare flyers and feedback faxes.
___ 91. Review comparable MLS listings regularly to ensure property remains competitive in price, terms, conditions and availability.
___ 92. Prepare property marketing brochure for seller’s review.
___ 93. Arrange for printing or copying of supply of marketing brochures or flyers.
___ 94. Place marketing brochures in all company agent mailboxes.
___ 95. Upload listing to company and agent Internet sites, if applicable.
___ 96. Mail “Just Listed” notice to all neighborhood residents.
___ 97. Advise Network Referral Program of listing.
___ 98. Provide marketing data to buyers from international relocation networks.
___ 99. Provide marketing data to buyers coming from referral network.
___ 100. Provide “Special Feature” cards for marketing, if applicable.
___ 101. Submit ads to company’s participating Internet real estate sites.
___ 102. Convey price changes promptly to all Internet groups.
___ 103. Reprint/supply brochures promptly as needed.
___ 104. Review and update loan information in MLS as required.
___ 105. Send feedback e-mails/faxes to buyers’ agents after showings.
___ 106. Review weekly Market Study.
___ 107. Discuss feedback from showing agents with seller to determine if changes will accelerate the sale.
___ 108. Place regular weekly update calls to seller to discuss marketing & pricing.
___ 109. Promptly enter price changes in MLS listings database.
The offer and contract
___ 110. Receive and review all Offer to Purchase contracts submitted by buyers or buyers’ agents.
___ 111. Evaluate offer(s) and prepare “net sheet” on each for owner to compare.
___ 112. Counsel seller on offers. Explain merits and weakness of each component of each offer.
___ 113. Contact buyers’ agents to review buyer’s qualifications and discuss offer.
___ 114. Fax/deliver Seller’s Disclosure to buyer’s agent or buyer upon request and prior to offer if possible.
___ 115. Confirm buyer is pre-qualified by calling loan officer.
___ 116. Obtain pre-qualification letter on buyer from loan officer.
___ 117. Negotiate all offers on seller’s behalf, setting time limit for loan approval and closing date.
___ 118. Prepare and convey any counteroffers, acceptance or amendments to buyer’s agent.
___ 119. Fax copies of contract and all addendums to closing attorney or title company.
___ 120. When Offer-to-Purchase contract is accepted and signed by seller, deliver to buyer’s agent.
___ 121. Record and promptly deposit buyer’s earnest money into escrow account.
___ 122. Disseminate “Under-Contract Showing Restrictions” as seller requests.
___ 123. Deliver copies of fully signed Offer to Purchase contract to seller.
___ 124. Fax/deliver copies of Offer to Purchase contract to selling agent.
___ 125. Fax copies of Offer to Purchase contract to lender.
___ 126. Provide copies of signed Offer to Purchase contract for office file.
___ 127. Advise seller in handling additional offers to purchase submitted between contract and closing.
___ 128. Change MLS status to “Sale Pending.”
___ 129. Update transaction management program to show “Sale Pending.”
___ 130. Review buyer’s credit report results — Advise seller of worst and best case scenarios.
___ 131. Provide credit report information to seller if property to be seller-financed.
___ 132. Assist buyer with obtaining financing and follow up as necessary.
___ 133. Coordinate with lender on discount points being locked in with dates.
___ 134. Deliver unrecorded property information to buyer.
___ 135. Order septic system inspection, if applicable.
___ 136. Receive and review septic system report and assess any impact on sale.
___ 137. Deliver copy of septic system inspection report to lender and buyer.
___ 138. Deliver well flow test report copies to lender, buyer and listing file.
___ 139. Verify termite inspection ordered.
___ 140. Verify mold inspection ordered, if required.
Tracking the loan process
___ 141. Confirm return of verifications of deposit and buyer’s employment.
___ 142. Follow loan processing through to the underwriter.
___ 143. Add lender and other vendors to transaction management program so agents, buyer and seller can track progress of sale.
___ 144. Contact lender weekly to ensure processing is on track.
___ 145. Relay final approval of buyer’s loan application to seller.
Home inspection
___ 146. Coordinate buyer’s professional home inspection with seller.
___ 147. Review home inspector’s report.
___ 148. Enter completion into transaction management tracking software program.
___ 149. Explain seller’s responsibilities with respect to loan limits and interpret any clauses in the contract.
___ 150. Ensure seller’s compliance with home inspection clause requirements.
___ 151. Recommend/assist seller with identifying and negotiating with trustworthy contractors for required repairs.
___ 152. Negotiate payment and oversee completion of all required repairs on seller’s behalf, if needed.
The appraisal
___ 153. Schedule appraisal.
___ 154. Provide comparable sales used in market pricing to appraiser.
___ 155. Follow up on appraisal.
___ 156. Enter completion into transaction management program.
___ 157. Assist seller in questioning appraisal report if it seems too low.
Closing preparations and duties
___ 158. Make sure contract is signed by all parties.
___ 159. Coordinate closing process with buyer’s agent and lender.
___ 160. Update closing forms and files.
___ 161. Ensure all parties have all forms and information needed to close the sale.
___ 162. Select location for closing.
___ 163. Confirm closing date and time and notify all parties.
___ 164. Assist in solving any title problems (boundary disputes, easements, etc.) or in obtaining death certificates.
___ 165. Work with buyer’s agent in scheduling and conducting buyer’s final walk-through prior to closing.
___ 166. Research all tax, HOA, utility and other applicable prorations.
___ 167. Request final closing figures from closing agent (attorney or title company).
___ 168. Receive and carefully review closing figures to ensure accuracy.
___ 169. Forward verified closing figures to buyer’s agent.
___ 170. Request copy of closing documents from closing agent.
___ 171. Confirm buyer and buyer’s agent received title insurance commitment.
___ 172. Provide “Home Owners Warranty” for availability at closing.
___ 173. Review all closing documents carefully for errors.
___ 174. Forward closing documents to absentee seller as requested.
___ 175. Review documents with closing agent (attorney).
___ 176. Provide earnest money deposit from escrow account to closing agent.
___ 177. Coordinate closing with seller’s next purchase, resolving timing issues.
___ 178. Have a “no surprises” closing so that seller receives a net proceeds check at closing.
___ 179. Refer sellers to one of the best agents at their destination, if applicable.
___ 180. Change MLS status to Sold. Enter sale date, price, selling broker and agent’s ID numbers, etc.
___ 181. Close out listing in transaction management program.
Follow up after closing
___ 182. Answer questions about filing claims with Home Owner Warranty company if requested.
___ 183. Attempt to clarify and resolve any repair conflicts if buyer is dissatisfied.
___ 184. Respond to any follow-up calls and provide any additional information required from office files.
