Over the last month we have had several inquiries about Pre-Sales. A Pre-Sale is a home that is purchased either prior to construction commencing or during construction with a delay in closing
5 Ways a Seller Can Sabotage Their Home Sale in the Okanagan
Dated: February 28 2019
Hiring the right real estate agent can make or break the deal along the way with a few other considerations. If a seller is considering putting their home on the market, then they need to make sure they have done their due diligence with the home selling process. Hiring a professional who is able to articulate and fully explain the home selling process will make a difference and result in a smooth transaction for all parties. Find other reasons a home seller can sabotage their home sale!
1- Not Hiring a Professional Real Estate Agent
Hiring a professional and full-time Real Estate agent is key in the sale of a property. A professional Realtor will prepare recent comparable sales to help in setting the appropriate price for the property. If a home is overpriced, it is likely that it will sit on the market with very few showings or no showings at all.
Having an agent who communicates in a timely manner is important. Determining the manner of communication should be decided upon in advance and whether it will be text, phone or email.
Understanding the time frames and the terms of a real estate purchase are paramount.The agent needs to explain what is required for a seller to provide to a buyer in order to be in the contract, and time frames. There are specific time periods in a residential purchase agreement which require that the seller provide specific documents and disclosures to a buyer within a specific time period to remain within the spirit of the contract.
2- Overpricing the Property
No one wants to leave any money on the table, but overpricing a home can result in a lower purchase price and more days on the market than if it was priced in alignment with the market in the first place.
If a property is overpriced, then it will result in fewer showings, perhaps no showings, low ball offers if any at all. The property can also accumulate days on market and this can send a message to another home buyer that there is something “wrong” with the property and a buyer may wonder what is wrong with it.
3- Not Responding to Offers in a Timely Manner
All aspects of Real Estate are time sensitive. In all Real Estate transactions, time is of the essence. What that means is that responding to offers and counteroffers in a timely manner sends a message to the buyer and or seller.
If a listing agent IGNORES or does not RESPOND to an offer or a counteroffer, this definitely sets the tone of how the transaction is going to be managed. If there is NO communication between the listing agent and the selling agent, this may cause the buyer to have doubts.
Waiting too long to respond to an offer or counteroffer sends a message to the buyer that their offer was not good enough to warrant a response. The buyer can lose interest and want to move on to another property.
If a listing agent doesn’t even respond to text messages or phone calls, that a buyer’s agent and the buyer can only assume that either the seller did not want to sell –OR- the listing agent allowed the offer or counteroffer to expire.
The agents should be pro-active with managing the listing from ensuring that it looks fantastic online and with responding to all agent inquiries. The last thing a seller wants to have happened is for the listing to expire! The listing agent should have the seller’s best interest at heart and respond to all agent inquiries or property inquiries in a timely manner.
4- Ignoring Contingencies in the Purchase Agreement
There are time frames for contingencies in the purchase agreement, and they can include the sale of a buyer’s home, the home inspection contingency, appraisal contingency, loan contingency and more. Those time frames can be from 17 days to 21 days, but these time frames can be negotiated in the purchase agreement and they can vary by area. Other contingencies can be included in the sale.
It is important for the listing agent to not ignore these time frames and ensure that the buyer is performing and removing those contingencies as the time periods are ending.
5- Not Making Requested and Agreed Upon Repairs
After a home inspection, a buyer may submit a request for repair to the home seller. The home seller is under no obligation to make necessary repairs, and that is part of the negotiation between seller and buyer.
However, if there are agreed upon repairs, then the home seller should hire the appropriate professionals to make the repairs. Especially if the repairs revolve around the electrical, HVAC or plumbing systems in the home. Licensed professionals are recommended and then providing the buyer with the receipt with what specifically has been repaired. Then, if there is a problem after it closes, the buyer (new homeowner) can contact the licensed tradesperson with proper recourse.
When selling a home in the Okanagan, it is imperative to hire a professional. Be sure to interview agents and ask for references.
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Move Okanagan Real Estate - one step ahead Real Estate
Annette has been in Real Estate since 1994. Her determination to uphold a tradition of trust, integrity, and expertise has earned her a long list of satisfied clients who recommend her at every opp....