House Appeal Checklist

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  Charles Rutenberg Realty, LLC.
  

• Introduction

  There are many things that can influence the sale of your house.  It’s absolutely imperative property owners prepare themselves and their house prior to listing their house for sale.  Immediately after listing your house, your house becomes a "focus of attention".  The first few weeks will typically produce more potential buyers than the next few months.  

  In order to take advantage of this initial traffic, you must be prepared.  Not just for potential buyers, but also for any agents who may show your house.  If the house is prepared, agents will tend to bring back other potential buyers.  The following information is intended to help you as the seller do the things that appeal to potential buyers and their agents.
   

• Emotions

There are a lot of psychological factors that affect you as the seller, potential buyers and even their agents.  The thought of selling your house is very emotional.  However, as the property owner, you need to separate emotion from the reality of selling your house.  Don’t think of it as selling your “home”.  Your home consists of all your personal belongs.  Your furniture, pictures, decorations, etc.  The walls, the carpet, cabinets, tile floors, garage, etc, are all part of the house.  Start thinking of your house as “property for sale”.  

You want potential buyers to picture your property as their potential home, not yours.  Buyers tend to purchase property based on emotions.  If buyers can’t picture your property as their potential home, it becomes harder and takes longer to sell your property.

• Model Homes

If there are any new construction communities in your area that are similar to your house, take a look at their model homes.  Model homes are professionally designed inside and out in order to appeal to the emotional needs of potential buyers.  Everything from landscaping, the latest colors, interior design, etc, are all intentional.  Model homes aren't just for buyers, they offer great ideas for sellers too.  So be sure to visit them and turn your house into a model home!

• Curb Appeal

A buyer's first impression of your house is before they even get out of their car.  Curb appeal is probably the most important preparation to help you sell your house.  If your house lacks curb appeal, many buyers will simply drive off.  That means you just lost a potential buyer, and possibly the ability to negotiate price and terms with several buyers at once. 

Landscaping is relatively easy, inexpensive and yes, it will add dollars to the offers that buyers make.  It's important that you fix any landscaping first so that any new grass, bushes, flowers, fertilizer, etc, will have time to get established prior to listing your house.  Compare your landscaping to other houses in your neighborhood.  Is it below average, average, excessive?  Drive by model homes and compare.  Your lawn and bushes should be evenly cut, trimmed, edged, raked, and well watered.  If necessary, re-sod brown spots on your lawn and replace dead bushes.  Fertilizer can turn a lawn into a plush green within weeks and add to your curb appeal.  If you have flower beds, buy mature, colorful flowers and plant them.  Do not buy bulbs or seeds, they will not mature soon enough.  It is not necessary to plant any new trees.  Mature trees are costly and immature trees don't add enough to the appearance or the value of your house.  And last, but not least, keep it maintained.

Many buyers will walk around the exterior of the entire house prior to entering.  Therefore, the back yard needs to be prepared too.  If you have a pool or spa, keep it maintained and cleaned.  For those with dogs, be sure to keep the area clear of "debris." If you have swing sets or anything elaborate for your kids, it probably makes more sense to remove them than to leave them in place.  They take up room, and you want your back yard to appear as spacious as possible.  Again, repair any necessary landscaping as you would in the front.  

A big decision is whether or not to paint your house.  Sometimes all that is needed is a good pressure wash.  However, look at your house from across the street.  Does it look tired and faded?  The color of your house is important too.  It should not be garnish or unusual.  It should be consistent with the style of your house and other houses in the neighborhood.  Again, drive by new model homes for ideas on new colors that appeal to buyers.  Relatively speaking, painting is also one of the least expensive and best ways of freshening up the look of your house and will add dollars to the offers that buyers make.

The front door should be especially sharp, since it is the entryway into the house.  Polish the door fixture so it gleams.  If the door needs refinishing or repainting, make sure to get it done.  Oil the hinges and locks to ensure they work properly.  Ensure any new keys work easily and smoothly.  If you have a plaque or shingle with your family name on it, remove it.  Don't forget, you want buyers to picture your house as their potential home, not yours.  You can always put it up again once you move.  Put out a plush door mat.  This is something else you can take with you once you move.  Also, keep the area swept clean and free of clutter at all times.

• Remove Inessentials

  Before packing or storing anything, have a garage sale.  The more stuff you sell, the less you have to pack and move.  Besides, the extra cash can help pay for other things necessary to prepare your house.

  Remove your "personality".  This is the hardest part for sellers to deal with emotionally.  But, it's even harder for potential buyers to visualize your house as their potential home with all your personal belongings in the house.  The fact that you are selling your house means that you are going to have to pack everything anyhow, so start packing now.  Pack personal belongings such as family photos on the walls, knick-knacks, sport trophies, collectables, etc, anything that potential buyers can’t visualize as being their own.  Packing your personality will also help you start thinking of your house as property for sale.  It will give you a head start and make your move easier later down the road when things are going to be extra busy.

  Remove the "excess".  This can be difficult for sellers too.  Not because it's emotional like removing personality, but because we don't think of our things as being excess belongings.  However, packing up excess belongings is just as important as removing your personality because it does impact how potential buyers view the spaciousness of your house.  You want your property to appear spacious so buyers can picture what they would do with "their" space.  Excess belongings are everywhere.  Cabinets, closets, shelves, drawers, attics, garages and even excess furniture.  A good rule of thumb; if you haven't used it, worn it, seen it, or needed it for the past month, pack it.  If it's not a necessity and you can survive without it, pack it.  Buyers will look into every closet, cabinet, drawer, etc, to determine if there is enough storage space.  You don't want them to appear jammed.  Furniture takes up a lot of space and most people simply have too much of it.  Again, look at model homes in your area.  They are professionally designed to appear more spacious.  Ask an objective friend or your agent to help point out excess belongings.

  The kitchen is of particular importance when removing inessentials.  Potential home buyers will spend more time in the kitchen than any other place in your house.  Remove everything from the counter tops, everything!  Even your toaster and coffee pot.  Put them away and take them out only when you use them.  Those old pots and pans, the extra coffee pot, that fondue set that are all packed away deep within your cabinets, excess dishes, glasses, silverware, etc, pack them.  Time for some creative cooking.  Start eating the food items that you currently have.  Food items take up a lot of space and you don't want to have to pack them when you move anyhow.  Clean out the refrigerator.  All those expired cartons, condiments, that green stuff in the back, get rid of them.  Replace the bulb if necessary.  

  Now that you have all of your inessentials packed up, don't stash the boxes in your garage, attic, basement, shed, etc.  In fact, those all need to be cleared as much as possible too.  Put all your excess in a storage unit where buyers will never see it.  If you are moving locally, get a storage unit close to your new home.  That way when you sell your house, you can take your time moving your belongings from your storage unit to your new home.  It will simply make the process of moving less stressful.
   

• Repairs

Even though repairs to a house are negotiable between the seller and buyer, many mortgage lenders will not loan money to the buyer of a home that needs repairs until they are completed.  If you choose not to repair anything that you are aware of prior to listing your house, the law requires that you disclose any known defects to any and all potential buyers.  

Some repairs can be costly such as a leaky roof, plumbing, electrical, structural, etc.  You may choose to wait for the results of a home inspection prior to repairing any defects.  However, it may be better to repair these prior to listing your house so that buyers will be less discouraged from entering a sales contract.  If you do have any major repairs done, make sure they are completed by a licensed contractor.  Otherwise, the repairs may not have a warrantee.  In order to keep your repair costs down, do not try to do anything such as remodeling.  

Many repairs are minor and can be completed inexpensively by you as the seller.  Such as; painting, broken windows, screens, leaky faucets, squeaky doors/windows, doorknobs, broken tiles, loose trim, nail holes, etc.  

Also, if possible, use savings to pay for any repairs and improvements.  Do not go charging up credit cards or obtaining new loans.  Remember that part of selling a house is also preparing to buy your next home.  You do not want to do anything that will affect your credit scores or hurt your ability to qualify for your next mortgage.  Many contractors are willing to get paid at closing so long as the title company writes a check directly to them, so be sure and ask.

• Cleaning

Probably the easiest and least expensive way of preparing your house, is to clean it from top to bottom.  A clean house sets a favorable impression on potential buyers that the entire house has been maintained.

Hire a professional carpet cleaner.  Carpet cleaners have industrial strength products that can remove those stubborn stains and odors from you carpets.  If your carpets are worn, old, or outdated, and you decide to replace them, be sure to pick out something fairly inexpensive and a neutral color.  

Kitchens and bathrooms present the majority of cleaning.  Make sure that all the plumbing fixtures, counter tops, tubs, sinks, tile, mirrors, floors, etc, are gleaming.  There are many products on the market today that can help remove even the most difficult stains and grime.  It isn't necessary to replace anything unless it is broken.  A simple, clean, fresh appearance is easier, less expensive and very effective in setting a favorable impression on potential buyers.

Walls, ceilings and doors are fairly easy to clean too.  Be sure to clean around doorknobs, light switches, handrails, old water stains, etc.  However, you may find it just as easy to repaint.  Especially if the color is outdated, unusual, or just plain dull.  Off white and neutral colors are cleaner, brighter, appear more spacious and appeal to the largest number of buyers.

I don't do windows!  Well guess what, now it's time.  Clean windows let more light into your house making it brighter and appearing more spacious when a buyer is viewing your house.  Buyers will also look out the windows to see what type of views are offered.  Remove screens and lightly scrub them if necessary.  Vacuum or hose out any dead bugs or debris in the window sills.  And last, but not least, wash the windows.

Odors present a big problem and are often hard to get rid of.  If you smoke, minimize your smoking indoors while trying to sell your house.  Many buyers are turned off by tobacco odors and won't purchase a home for that exact reason.  If necessary, open all your windows and air your house out as often as possible.  Be sure to put away ashtrays.  Even if you manage to get the smell of smoke out, buyers will see the ashtrays and know that you have smoked in the house.  Pets also present an odor problem.  Give your pets a bath, wash their bedding, keep litter boxes empty daily, and keep them outdoors whenever possible.

Also, don't forget to clean all of your lighting fixtures and ceiling fans of dust and bugs.  Also, be sure to replace any burnt out bulbs.  The lighting is necessary when you or other agents show your house.

• Realtors

Now that your house is prepared, you've decided to seek the services of a licensed real estate agent.  If you decide to list your house with an agent, ensure that they are a "Realtor".  Contrary to what most people believe and what most agents portray, not all licensed real estate agents are Realtors.  Realtors are part of an association.  Realtors are bound by a code of ethics.  Realtors own and operate the Multiple Listing Service (MLS).  Realtors receive additional mandatory training.  Realtors are more experienced.  Realtors have networks already in place.  In other words, don't hire a listing agent unless they are a Realtor!  Simply put, for the same price, other agents cannot do for you what a Realtor can.

Many sellers hire a listing agent believing that their listing agent is going to "sell" their house.  Realtors have a different way of thinking and working.  Realtors work with other Realtors in your area to help sell your house.  A listing agent who isn't a Realtor is one person working to sell your house.  A Realtor uses a network of all the other Realtors in your area who also help to sell your house.  What it comes down to is; one person, or a network of Realtors working to sell your house!

• Listing Agreements

There are several different types of listing agreements between sellers and agents.  The most common is the "Exclusive Right of Sale".  The other types, "open listing", "exclusive agency", "net listing" and "limited service" are not typically used.

With an exclusive right of sale listing, a seller lists their property with only one broker.  The seller agrees to pay that broker a commission if the property is sold during the listing period, no matter who sells the property.  This is the type of listing that brokers spend the most time and money working to sell the property because they get paid no matter who sells it.  

An open listing allows a broker to attempt to find a buyer for the seller's house.  This type of listing is often given to many brokers, and the broker who produces a buyer gets paid a commission.  This is also the most common type of listing for "For Sale by Owners" who are willing to pay a commission to any broker who produces a buyer.  Brokers will only show your house to their potential buyers.  They will not spend any additional time or money to sell your house.

Exclusive agency is similar to the exclusive right of sale and the open listing.  It still allows the seller to sell their house on their own and not have to pay a commission to the listing agent.  All other brokers have to work through the listing agency in order to sell the house.  If any broker sells the house, the listing broker gets paid the commission and then compensates the selling broker.  Brokers will not spend much time or money working to sell an exclusive agency listing because the seller may still sell the property and the broker does not get paid.

A net listing is probably the least common of all the listing agreements for residential purposes.  A net listing is where the seller sets a price that they want to receive and if the broker sells the property for anything over that price, they get the remaining amount as compensation.  Brokers do not spend much time working to sell a net listing simply because they may end up with nothing if the property sells for the price the seller has set.

Limited service listing agreements are common when a broker is providing a specific type of service to a seller.  This type of listing agreement is common among "For Sale by Owners" who may choose to list their house in the MLS, or have a broker coordinate their closing, etc.

• Marketing/Showing Your House

There are many ways of marketing your house.  Newspapers, magazines, signs, flyers, neighborhood announcements, open houses, networking, etc.  However, the most effective way of marketing any house is the Multiple Listing Service (MLS).

The MLS is responsible for over 97% of all the house sales in the United States today.  When you enter your house into the MLS, other brokers can bring up your listing, show and sell your property.  Realtor.com also has direct access to the MLS database so online buyers can also view your listing.  Statistics show that 3 out of 4 buyers have looked for property on the internet prior to purchasing a home.  The MLS is owned andoperated by the Association of Realtors.  If you choose to list your house in the MLS, you will have to seek the services of a Realtor.  It's important that if you list your house in the MLS that you offer some type of compensation to brokers.  Otherwise they will not show or sell your house, after all, they want to get paid for their services.  Many for sale by owner companies agree to list your house in the MLS for a fee and don't offer any compensation to cooperating brokers.  You just paid for a service that isn't going to work.

Newspapers, magazines and other periodicals aren't as effective as one might think.  Many times, the ads for an agencies listings are published after they have already sold the property or the ads simply run for too long.  Agencies who use periodicals for advertising aren't necessarily working to sell your house.  They are working to market their agency hoping to receive calls from potential buyers whom they sell other houses to.

Yard signs, flyers and open houses work!  They are very effective at getting potential buyers to view your property.  If you choose to seek the services of a Realtor, be sure and ask them if they are willing to conduct open houses.  If you are a for sale by owner, you should be conducting open houses as often as possible.  Yard and highway signs are simply a way of getting potential buyers to stop and look at your house.  Be sure to put out a flyer box and keep it full of informative flyers.

Networking is probably the best way of selling your house.  Many sellers seek the services of a Realtor thinking that their Realtor is going to sell their home.  In most cases, it's other Realtors from different agencies who have actually sold your home.  The key to marketing through networking isn't for your listing agent to try and sell your house to a buyer, it's to market your house to the other local Realtors.  That creates a network of Realtors who are all working to sell your house.  The most common form of networking is the MLS.

So now you and your house are prepared.  You've listed and marketed the house and are now ready to show it.  Availability is the most important factor when showing your house.  Your house needs to be available anytime a buyer or agent wants to view it.  If your house is unavailable, buyers and agents will look elsewhere and you just lost a potential buyer.  Lockboxes are a common way of keeping your house available for agents even when you are not home.  It's better if you are not home when agents are showing your house to their buyers.  Buyers feel like they are intruding your house if you are present.  If you cannot leave, simply try to stay out of their way.  Don't volunteer information, only answer questions if asked.  The most common question a buyer will ask a seller that is present is; "Why are you selling?".  Answering a question like that could indicate to the buyer that you are distressed and may have just given them an advantage when negotiating terms later.  Many sellers get upset when a buyer comes into their home and starts talking about remodeling this, moving that, etc.  Actually, that is good thing.  That means that the buyer is picturing themselves in your house.  That's what all the preparation, marketing and showing was intended for.  Lighting is important when showing your home.  Turn on every light in the house, open up blinds to let in more light when ever possible.  A brighter house appears more spacious.  When opening blinds, adjust them so light enters the room but still offers some privacy.  Pets should be kept locked or penned up.  Be sure to put a notice on any door where you may have a pet contained.  Do not use fragrances when showing your house.  What you consider to be pleasant may be offensive to others, not to mention some may be allergic.  If you want a pleasant aroma while showing your house, baking a loaf of bread has proven to be effective.  Also be sure to keep your house tidy and neat.  Make sure the beds are made, trash is empty, dusted, vacuumed, etc.  It's important to keep your house tidy and neat at all times because an agent might show your house today while you are out.

• Summary

Prepare yourself and your house.  Start thinking of your house as property, not your home.  The goal is for buyers to picture your house as their potential home, not yours.  Visit some of the new community model homes for some great ideas on landscaping, colors, interior design, lighting, etc.  Start with the outside of your house to ensure any new bushes, grass, fertilizer, etc have time to get established.  Buyers receive their first impression of your house even before they get out of their car.  Have a garage sale and then start packing and removing all of your inessentials including personal belongings.  Put them into storage.  Repair whatever you can yourself and consider hiring a licensed contractor for any other major repairs.  Some lenders will not lend money to a buyer for a house that requires repairs.  Clean your house from top to bottom.  Hire a professional carpet cleaner for those stubborn stains and odors.  Do not do any major renovation projects.  If you decide to list your house with an agent, ensure that they are a Realtor.  Realtors provide more services than other agents.  Determine the type of listing agreement that is necessary for you.  However, many Realtors will only enter into an exclusive right of sale agreement.  Market and show your home.  Buyers need to view your home if you are going to sell it.  Make it available, keep it clean, lighting, vacuumed, etc.