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M.K.(Mike) Kissinger
M. K. (Mike) Kissinger
Realtor Associate
    Years of Experience: 30+

    Member of NAR - National Assn of Realtors
    Member of FAR - Florida Assn of Realtors
    PGPCNP Real Estate Association Member
    Multi-Million Dollar Producer

Direct: 941-979-1455

Office: 941-637-1090



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Coldwell Banker Morris
2825 Tamiami Trail
Punta Gorda, FL 33950
941-637-1090


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Selling Your Punta Gorda Home

Punta Gorda Sellers Learn How to Find A “COMP”!

Monday, October 10th, 2011

 

Before you put your home up for sale, use the right comparable sales to find the perfect price.  A house is comparable to yours in price if it’s in the same neighborhood, on a similar street,  the same age, same size, and has the similar amenities.

How much can you sell your home for? Probably about as much as the neighbors got, as long as the neighbors sold their house in the least 3 months and their home was just like your home.  Knowing how much homes similar to yours, called comparable sales (or in real estate lingo, comps), sold for gives you the best idea of the current estimated value of your home. The trick is finding sales that closely match yours.

What makes a good comparable sale?
Your best comparable sale is the same model as your house in the same subdivision—and it closed escrow last week. If you can’t find that, here are other factors that count:

Location:   The closer to your house the better, but don’t just use any comparable sale within a mile radius. A good comparable sale is a house in your neighborhood, your subdivision, on the same type of street as your house, and in your school district.

Home type:  Try to find comparable sales that are like your home in style, construction material, square footage, number of bedrooms and baths, basement (having one and whether it’s finished), finishes, and yard size.

Amenities and upgrades:   Is the kitchen new? Does the comparable sale house have full A/C? Is there crown molding, a deck, or a pool? Does your community have the same amenities (pool, workout room, walking trails, etc.) and homeowners association fees?

Date of sale:   You may want to use a comparable sale from two years ago when the market was high, but that won’t fly. Most buyers use government-guaranteed mortgages, and those lending programs say comparable sales can be no older than 90 days.

Sales sweeteners:Did the comparable-sale sellers give the buyers down payment assistance, closing costs, or a free television? You have to reduce the value of any comparable sale to account for any deal sweeteners.

Agents can help adjust price based on local market insights
Even if you live in a subdivision, your home will always be different from your neighbors’. Evaluating those differences—like the fact that your home has one more bedroom than the comparables or a basement office—is one of the ways real estate agents add value.

An active agent has been inside a lot of homes in your neighborhood and knows all sorts of details about comparable sales. She has read the comments the selling agent put into the MLS, seen the ugly wallpaper, and heard what other REALTORS®, lenders, closing agents, and appraisers said about the comparable sale.

More ways to pick a home listing price
If you’re still having trouble picking out a listing price for your home, look at the current competition. Ask your real estate agent to be honest about your home and the other homes on the market (and then listen to her without taking the criticism personally).

Next, put your comparable sales into two piles: more expensive and less expensive. What makes your home more valuable than the cheaper comparable sales and less valuable than the pricier comparable sales?

Are foreclosures and short sales comparables?
If one or more of your comparable sales was a foreclosed home or a short sale (a home that sold for less money than the owners owed on the mortgage), ask your real estate agent how to treat those comps.

A foreclosed home is usually in poor condition because owners who can’t pay their mortgage can’t afford to pay for upkeep. Your home is in great shape, so the foreclosure should be priced lower than your home.

Short sales are typically in good condition, although they are still distressed sales. The owners usually have to sell because they’re divorcing, or their employer is moving them to Kansas.

How much short sales are discounted from their market value varies among local markets. The average short-sale home in Omaha in recent years was discounted by 8.5%, according to a University of Nebraska at Omaha study. In suburban Washington, D.C., sellers typically discount short-sale homes by 3% to 5% to get them quickly sold, real estate agents report. In other markets, sellers price short sales the same as other homes in the neighborhood.  So you have to rely on your REALTOR’s® knowledge of the local market to use a short sale as a comparable sale.

Carl Vogel, a freelance writer and former editor of The Neighborhood Works magazine, lives in a home in Chicago that is not typical of those nearby, so he appreciates a savvy comp

For the “What it’s Worth File.”   There are two factors that make finding “good” comps currently difficult.  One is the fact that sellers have a tendency not to be realistic (Emotional) and the second factor is low-end bank properties are being sold at below market prices to disburse lender inventory.  The only way to accomplish a true “comparable” price is to enlist the services of a Realtor® who will conduct a CMA ( Comparable Market Analysis).  Remember, if you need a Realtor® where you live or need one where you are moving – just call me.  I will help you find a “good” oneM.K. (Mike) Kissinger  #941-979-1455

Punta Gorda, FL Sellers Don’t Let Pet Odor Chase Away Buyers

Wednesday, June 15th, 2011

 

Air your house out. While you’re cleaning, throw open all the windows in your home to allow fresh air to circulate and sweep out unpleasant scents.

Once your house is free of pet odors, do what you can to keep the smells from returning. Crate your dog when you’re out or keep it outdoors. Limit the cat to one floor or room, if possible. Remove or replace pet bedding.

Scrub thoroughly. Scrub bare floors and walls soiled by pets with vinegar, wood floor cleaner, or an odor-neutralizing product, which you can purchase at a pet supply store for $10 to $25.

Try a 1:9 bleach-to-water solution on surfaces it won’t damage, like cement floors or walls.

Got a stubborn pet odors covering a large area? You may have to spend several hundred dollars to hire a service that specializes in hard-to-clean stains.

Wash your drapes and upholstery. Pet odors seep into fabrics. Launder, steam clean, or dry clean all your fabric window coverings. Steam clean upholstered furniture.

Either buy a steam cleaner designed to remove pet hair for around $200 and do the job yourself, or pay a pro. You’ll spend about $40 for an upholstered chair, $100 for a sofa, and $7 for each dining room chair if a pro does your cleaning.

Clean your carpets. Shampoo your carpets and rugs, or have professionals do the job for $25 to $50 per room, depending on their size and the level of filth embedded in them. The cleaner will try to sell you deodorizing treatments. You’ll know if you need to spend the extra money on those after the carpet dries and you have a friend perform a sniff test.

If deodorizing doesn’t remove the pet odor from your home, the carpets and padding will have to go. Once you tear them out, scrub the subfloor with vinegar or an odor-removing product, and install new padding and carpeting. Unless the smell is in the subfloor, in which case that goes next.

Paint, replace, or seal walls. When heavy-duty cleaners haven’t eradicated smells in drywall, plaster, or woodwork, add a fresh coat of paint or stain, or replace the drywall or wood altogether.

On brick and cement, apply a sealant appropriate for the surface for $25 to $100. That may smother and seal in the odor, keeping it from reemerging.

Place potpourri or scented candles in strategic locations. Put a bow on your deep clean with potpourri and scented candles. Don’t go overboard and turn off buyers sensitive to perfumes. Simply place a bowl of mild potpourri in your foyer to create a warm first impression, and add other mild scents to the kitchen and bathrooms.

Control ongoing urine smells. If your dog uses indoor pee pads, put down a new pad each time the dog goes. Throw them away outside in a trash can with a tight lid. Remove even clean pads from view before each showing.

Replace kitty litter daily, rather than scooping used litter clumps, and sweep up around the litter box. Hide the litter box before each showing.

Relocate pets. If your dog or cat has a best friend it can stay with while you’re selling your home (and you can stand to be separated from your pet), consider sending your pet on a temporary vacation. If pets have to stay, remove them from the house for showings and put away their dishes, towels, and toys.

Source:   HouseLogic,  by G.M. Filisko who is an attorney and award-winning writer whose a regular contributor to many national publications including Bankrate.com, REALTOR® Magazine, and the American Bar Association Journal, she specializes in real estate, business, personal finance, and legal topics.

For the “What it’s Worth File”.    Over half the homes in America have family pets.  That being said, the other half are not that accepting of the aroma.  Don’t be offended by the issue.  It behooves you , the pet owning seller to make the house as appealing to all buyers as possible.  You can’t, in this market, afford to automatically turn 50% of the potential buyers away!  This is good advice, if you are struggling with the eradication process – call an expert carpet professional.  Remember, if you are in need of a Realtor® where you live of need one where you are moving – just call.  I will help you find a “Good” one!

Even Punta Gorda Sellers felt the “SURGE” of International Buyers!

Monday, June 6th, 2011

 

The NAR (National Association of Realtors®) in their 2011 Profile of International Home Buying Activity, reports that international home purchases surged by $16 Billion, one of the highest increases in recent years. 

The U.S. continues to remain a top choice for foreign buyers, while Florida garnered 31% of those sales, more than the next three states combined ( CA, TX & AZ).   The average price paid by an international buyer for a U.S. home was $315K, compared to the average domestic home purchase price  @ $218K.  In comparison though, 45% of international purchases were under $200K, presumably a result of the serious decline in US property values in the last several years in conjunction with the strengthening of some foreign currencies.

Where did these foreign buyers come from, you ask?  Well, according to the study, 70 different countries were represented, up from 53 in 2010.  For the fourth consecutive year Canada was the leader with 23%, China came in second with 9% and third place was a tie between Mexico, the UK and India.  The top five contries of origin accounted for 53% of the total international sales.  61% of those buyers purchased a single family home with 36% choosing to acquire a multi-family dwelling.

In further detail analysis, 62% of those international buyers purchased their property with cash, a significantly higher percentage than the domestic buyers in the same period.  The resulting cause for these differences comes as a result of the international credit reporting standards and our stringent new financial lending regulations.  It was reported however, that those foreign buyers who needed to or chose to finance a U.S.  home encountered serious difficulty as well.

“The US has always been a desirable place to own property and a profitable investment”, says NAR President Mr. Ron Phipps.  Historically, foreign buyers have been attracted to property ownership in the U.S.  for a number of reasons.  First, U.S. homes are generally less expensive than comparable foreign properties; secondly, homes in this country are viewed as a secure investment and the U.S. market offers rental opportunities and long term appreciation potential.

For the “What it’s Worth File”.      It appears that our foreign counterparts are able to see through all that negative media  babble and are reaping the rewards by taking advantage of the “real” values that exist right here in the U.S.  and especially in Florida.  Is it safe to say that we, the U.S. buyer, needs to re-focus, re-visit the opportunity and “either lead or get out of the way” as the famed Lee Iacocca so eloquently purported.  Remember, if you need a Realtor® where you live or need one where  you are moving – just call.  I will help you find a “Good” one!

Source:  www.floridarealtors.org, NAR (National Association of Realtors®)

 

Your Punta Gorda, FL Home Not Selling? Guess Why?

Monday, May 9th, 2011

 If after a moment of deep thought, your answer is “price” – you are probably right!    What is the right price?  The right price is a number that is quite uniquely determined by the process of matching the price the seller is willing to take compared to the price the buyer is willing to give for the home.  Sure all those impacting factors carry some weight, but in the final analysis – it is that agreed upon number.  That is what is meant, when you hear someone say, “only the market can set the price”.  

Generally speaking, there are four very different approaches that are traditionally used when a seller endeavors to establish the right price for their home.  Of those four unique techniques, there is only one that will give you any degree of proven success.  Let’s look at the three unsuccessful efforts first.

Pricing based on Need:  Unfortunately, what you need to net from the sales processs is of no concern to the buyer, so if you are planning to use this windfall in order to retire, buy a boat, or whatever, you will most likely fail to accomplish your goal.

Pricing based on Ego:  Using what your neighbor sold his house for last year as a benchmark, is likely to also be unsuccessful.  After all, you “know” that your house is better than his, so why wouldn’t you be able to get more? Right?  This is really a bad idea!

Pricing based on Greed:   Even if you do some research and compare similar properties to yours, if you jack up the number by 10% you will lose 30% of the potential buyers.  Worse than that, it will sit, because buyers will determine that it is overpriced by comparison and it will sit on the market longer and longer.  Now the correct approach.

Pricing based on Fair Market Value:   How do you find FMV?  You call a professional Realtor® who will do a CMA (Comparative Market Analysis)  to determine what the current value of your property really is.  Then you price it just below, if you are desperate to sell  or right at FMV if you can live with it taking 30-45 days.  This technique requires that you take your emotions and put them in your back pocket and leave them there until it is over.

I realize that there could be other reasons, that could keep your home from selling quickly.  But, experience tells us that most of those reasons can also be handled properly with a Home Enhancement Review and then by listening to your agent and taking their advice. 

Remember, if you need a Realtor® where you live or need one where you are moving – just call me.  I will help you find a “Good” one!

Your Punta Gorda Home Not Selling? This may be the Reason!

Monday, March 21st, 2011

 

Print out this handy checklist when staging and preparing your home for potential buyers.

1. Plan Ahead

* Walk through each room and criticize the home from a buyer’s perspective.

* Ask a few local real estate professionals for their advice.

* Consider getting a professional home inspection to see if any repairs are needed.

* Hire a contractor to handle any major projects.

* Consider getting an appraisal to find out your current market value.

* Hold a yard sale. Sell, donate or trash anything you don’t need.

2. Clean, Declutter and Depersonalize

* Thoroughly clean the entire home.

* Scrub tile in the kitchen and bathrooms.

* Clean hardwood floors.

* Steam clean carpets and drapes. Consider replacing carpet if stains are prominent.

* Get rid of all dust bunnies.

* Repair cracks and holes in the walls.

* Paint interior walls with neutral colors, like beige, cream or light pastels. Pale blues and greens are good for bathrooms.

* Remove excess and oversized furniture.

* Rearrange furniture to maximize space.

* Organize room closets and store out-of-season clothes.

* Remove all small appliances, toys, magazines and pet items.

* Remove family photos, personal collections and medications.

* Remove items from the garage and store them off site.

* Secure valuable items, including cash and jewelry.

3. Maximize Curb Appeal

* Paint the home’s exterior, including trim, doors and shutters.

* Check front door, doorbell, address number and welcome mat.

* Power wash the siding and windows.

* Inspect the roof and make repairs as needed.

* Repair cracks in the driveway and sidewalks* Sweep the entryway and walkways.

* Mow, water and fertilize the lawn.

* Trim shrubs and trees and rake the leaves.

* Plant colorful flowers and shrubs.

* Store any toys or equipment lying on the yard.

* Clean up pet droppings.

* Clean the gutters and downspouts.

4. Pay Attention to Kitchens and Bathrooms

* Mop and wax/polish the floors.

* Clear the countertops.

* Replace outdated hardware.

* Clean appliances and fixtures.

* Clean and organize the pantry, cabinets and drawers.

* Replace old caulking around sinks and bathtubs.

* Remove stains from sinks, toilets and bathtubs.

* Keep all toilet seat lids closed.

* Hang fresh towels.

5. Appeal to the Senses

* Bake cookies or burn scented candles.

* Offer light refreshments.

* Install higher wattage incandescent light bulbs to brighten rooms.

* Turn on all the lights.

* Open windows to let in fresh air.

* Open curtains or blinds to let in natural light and show off views.

* Turn off TVs.

* Relocate pets on the day of the open house.

* Refrain from smoking in the home.

6. Show Off Your Home’s Best Features

* Remove rugs to show off hardwood floors.

* Pull back drapes to showcase nice views.

* Stage the front porch or deck with furniture and potted plants.

* Make sure fireplaces are in working condition.

* Clean the backyard and pool area.

7. Prepare for the Open House

* Hold an exclusive brokers’ open house to let local agents know your home is on the market. Offer food and refreshments.

* Inform family, friends and neighbors of the date and time of your open house.

* Put ads in local newspapers, real estate publications and on free Web sites like Craigslist.com.

* Put up “Open House” signs on the front lawn and at nearby intersections with directions to the house.

* Create property description sheets and prepare important documents, such as homeowner’s association rules, inspection reports and purchase offer forms.

For the “What it’s Worth File”. The problem with many people when showing their home is that they think someone else is going to appreciate all their stuff. In fact – NOT TRUE. The more uncluttered the better. When viewing a potential home, buyers will try and visualize their things in the home and do not want to see yours. This list is a great ‘”checklist” for anyone in the selling process. This list may seem like “overkill”, but believe me, you will benefit if you pay attention to the list. Remember, if you need a Realtor® where you live or need one where you are moving – just call. I will be glad to help you find a “Good” one!

Punta Gorda Sellers Know How To Get the Highest Possible Price!

Tuesday, March 8th, 2011

 

Making a mistake in selling a home can cost you hundreds or thousands of dollars in lost profit. Often home sellers make the same mistakes over and over. Avoiding these mistakes is easy and takes little time and effort on your part. Take the time with your home sale and follow the guidelines in this report.

 

 Distress Selling:    At times, selling quickly is unavoidable. That’s when knowing the right techniques to sell your home without looking desperate and making yourself a target for low bidders really pays off. Know all there is to know about the market before listing and work hand in hand with the right real estate professional. Ensure that you are not settling for the first offer through the door.

Best Home in the Neighborhood:    Your home is one of your most personal possessions. Don’t be blind to flaws and needed cosmetic improvements. This will cause overvaluing of the home, hurting it’s chances to be sold. Listing with the right agent gives you a well informed third eye that will help you price your home at a fair market price.

Limited Home Viewing:    Buyers want to view a home on their own time schedule. Unfortunately their time schedule does not always coincide with your time schedule. Leave a lockbox or key with your agent so your home can be shown when you are not around. You never know if the one who got away was your buyer.

Restrain Emotional Decisions:    Don’t allow a few hundred dollars to ruin a sale. That money will mean very little to you in the long run. Take a look at the big picture and react rationally. Use sound business judgement!

Make Cosmetic Improvements:    Prospects make up their minds within the first twenty minutes. First impressions can make all the difference in selling your home. Spending $1,200 on new carpet might add another $4,000 to the price of your home. Get an objective point of view from your real estate professional. They can provide you with a list of items that will maximize the profit of your home sale.

Disclose Property Flaws:    Property disclosure laws require sellers to list any flaws required by your state. If you are unaware of flaws or attempt to cover them up, you risk losing the sale and finding yourself in court. Get professional assistance from your agent who can introduce you to qualified inspectors and ensure the smooth sale of your home.

For Sale By Owner:    Most homeowners who decide to sell their own home do so because they believe they can save the commission paid to the real estate agent. Everything has a price and selling a home carries a high one. The enormous amount of time and effort required to sell a home often surprises the “For Sale By Owner.” Furthermore, many costly mistakes can be avoided with the right guidance.

Refusing to Trust Your Agent:    Would you tell a physician that you’ve decided to run your own tests and come to your own diagnosis? By choosing the right Realtor, you can relax and trust their judgment. The right agent is a valuable team member who will protect your best interests and make your sale as profitable as possible.

Know Your Market:    Most homes that do not sell in their first listing period are priced too high. Conversely, most homes that sell quickly are priced too low and cheat the homeowner out of profits. You need to understand the market and evaluate the value of your home based on fact, not gut instinct or conventional wisdom. A professional agent knows the market, just as you know the market for your business.

Before you make one of your most important decisions regarding your home sale shouldn’t you become as informed as possible? By aligning yourself with a top agent you ensure that all the important issues and seemingly insignificant but….very important….details are handled professionally. Your home sale should not be a grueling ordeal. The more informed you are, the better chance you have of making a sound business decision.

For the “What it’s Worth File”   Selling your home, is all about getting the best price possible.  It only makes sense then, that if optimizing your profit potential is the desired result, that you would make every effort to guarantee the best and most favorable results possible.  Let’s us not kid ourselves - Use a Professional Realtor®.  If you need one where you live or where you are moving – just call.  I will gladly help you find a “Good” one.

7 Mistakes Punta Gorda Sellers “Do Not” Have To Make!

Tuesday, February 22nd, 2011

Mistakes Made During the “Selling” process can turn out to be very costly.


Mistake #1 — Pricing Your Property Too High

Every seller obviously wants to get the most money for his or her product. Ironically, the best way to do this is NOT to list your product at an excessively high price! A high listing price will cause some prospective buyers to lose interest before even seeing your property. Also, it may lead other buyers to expect more than what you have to offer. As a result, overpriced properties tend to take an unusually long time to sell, and they end up being sold at a lower price.

Mistake #2 — Mistaking Re-finance Appraisals for the Market Value

Unfortunately, a re-finance appraisal may have been stated at an untruthfully high price. Often, lenders estimate the value of your property to be higher than it actually is in order to encourage re-financing. The market value of your home could actually be lower. Your best bet is to ask your Realtor for the most recent information regarding property sales in your community. This will give you an up-to-date and factually accurate estimate of your property value.

Mistake #3 — Forgetting to “Showcase Your Home”

In spite of how frequently this mistake is addressed and how simple it is to avoid, its prevalence is still widespread. When attempting to sell your home to prospective buyers, do not forget to make your home look as pleasant as possible. Make necessary repairs. Clean. Make sure everything functions and looks presentable. A poorly kept home in need of repairs will surely lower the selling price of your property and will even turn away some buyers.

Mistake #4 — Trying to “Hard Sell” While Showing

Buying a house is always an emotional and difficult decision. As a result, you should try to allow prospective buyers to comfortably examine your property. Don’t try haggling or forcefully selling. Instead, be friendly and hospitable. A good idea would be to point out any subtle amenities and be receptive to questions.

Mistake #5 — Trying to Sell to “Looky-Loos”

A prospective buyer who shows interest because of a “for sale” sign he saw may not really be interested in your property. Often buyers who do not come through a Realtor are a good 6-9 months away from buying, and they are more interested in seeing what is out there than in actually making a purchase. They may still have to sell their house, or may not be able to afford a house yet. They may still even be unsure as to whether or not they want to relocate.

Your Realtor should be able to distinguish realistic potential buyers from mere lookers. Realtors should usually find out a prospective buyer’s savings, credit rating, and purchasing power in general. If your Realtor fails to find out this pertinent information, you should do some investigating and questioning on your own. This will help you avoid wasting valuable time marketing towards the wrong people. If you have to do this work yourself, consider finding a new Realtor.

Mistake #6 — Not Knowing Your Rights & Responsibilities

It is extremely important that you are well-informed of the details in your real estate contract. Real estate contracts are legally binding documents, and they can often be complex and confusing. Not being aware of the terms in your contract could cost you thousands for repairs and inspections. Know what you are responsible for before signing the contract. Can the property be sold “as is”? How will deed restrictions and local zoning laws will affect your transaction? Not knowing the answers to these kind of questions could end up costing you a considerable amount of money.

Mistake #7 — Limiting the Marketing and Advertising of the Property

Your Realtor should employ a wide variety of marketing techniques. Your Realtor should also be committed to selling your property; he or she should be available for every phone call from a prospective buyer. Most calls are received, and open houses are scheduled, during business hours, so make sure that your Realtor is working on selling your home during these hours. Chances are that you have a job, too, so you may not be able to get in touch with many potential buyers.

For the “What it’s Worth File”. Want to make all of these and a bucket full of other potential mistakes go away?  It is really very simple – USE A PROFESSIONAL REALTOR®.  Remember – if you need a Realtor® where you live or need one where you are moving – just call.  I will gladly help you find a “Good” one!

Show the House in 10 Minutes? Here’s the Punta Gorda Drill!

Wednesday, February 16th, 2011

 

The 10 Minute Showing Drill

 

You may receive a call requesting a showing in the next ten minutes. The decision to allow the prospective buyers in is yours. If you elect to cooperate with the showing, the following punch list may help:

Sound – Turn off the television. Soft classical musical is okay, but some people find it distracting.

Sight - Turn on every light in the house – day and night. Every window covering should be open (unless the view is unattractive).

Smell – Heat a pan on the stove and drop in a few drops of vanilla

Kitchen - Make sure dirty dishes are out of sight

Bathrooms – Close toilet lids.

Living/Family rooms – Hide clutter, magazines, newspapers, etc.

Bedrooms – Make the beds, don’t use the closet as a hiding place – try underneath the bed.

Exterior – Keep the walkway clear, put away trashcans and toys.

Children & Pets Outside – You too! Let the Realtor sell your home. If you are there the buyer may feel uncomfortable voicing objections and their Agent won’t be able to respond to these objections.

——————————————————————————–

Source:  Phyllis Harb, a California native is a Realtor/Marketing Specialist at RE/Max Tri City in La Canada California. Harb has been assisting local home sellers and buyers since 1989 and offers over 10 years additional experience in real estate lending.

For the “What it’s Worth File   When you place your home on the market, you subject yourself to exactly the above scenario.  You can always say “no” to the request.  But, how do you know that this isn’t the “Buyer” you have been waiting for?  You don’t – so you suck it up and go through the “drill”.   You can always ask your realtor to buy you a little more time.  Remember, if you need a Realtor® where you live or need one where you are moving – just call.  I will gladly help you find  “Good” one.

Punta Gorda Sellers Experimenting with “REVERSE OFFERS”!

Thursday, February 10th, 2011


A “Reverse Offer” may solve your Sales Problem!

 

At the beginning of the housing crisis, sellers turned to gimmicky tricks like YouTube love letters about their homes and burying St. Christopher’s figurines upside down in the front yard to try to move their homes off the market. These days, though, many sellers are getting smarter and more strategic, turning the transaction on its head to get buyers off the fence with a phenomenon called the reverse offer.

Usually, the buyer makes an offer for a certain price and on certain terms. A reverse offer goes in the opposite direction: from seller to buyer. In some cases, a seller whose home has been on the market for ages with lots of viewers, but no offers, may enlist their agent to go back and approach several or even all of the buyers who have come to see the property, and make an offer to the buyer. In other scenarios, the seller’s agent extends an offer to a particular buyer who has come to see the property multiple times and seems very interested, but has been hesitant to make an offer.

Reverse offers generally offer to sell the home at a price lower than the list price, and they often sweeten the pot by throwing in added incentives like paying some or all of the buyer’s closing costs, buying down the buyer’s interest rate, paying for HOA dues or fees or even throwing property like flat-screen TVs, cars or other valuables into the deal.

Here are 3 best practices for sellers making reverse offers:

 

• Give the buyers a short period of time to respond.   The whole point of a reverse offer is to create urgency where the buyer currently feels none. Extend a reverse offer with the caveat that it is only good for a day or two, to push the buyers into moving quickly. Similarly, if you have extended the reverse offer to multiple buyers, let them all know that this is the case and that the first buyer to bite takes the house.

• Great candidates for reverse offers include sellers facing lots of competition.   If your home is nearly identical to neighboring homes for sale at the same price, or you are struggling to position it competitively with foreclosures and short sales in the area, consider making a reverse offer. A proactive, reverse offer differentiates your house in the minds of home buyers and, again, creates urgency to act on the part of buyers who otherwise have so many homes to choose from that they feel they have all the time, choice and bargaining leverage in the world.

• If one buyer has viewed your home repeatedly, check in with their agent directly before making a reverse offer.   Ask your listing agent to contact the broker for any buyers who have made more than one visit to your home, to inquire into what is keeping them on the fence. This will boost the likelihood of making a successful reverse offer by making sure the offer addresses the issues that have made buyers hesitant to pull the trigger.

Critics of the reverse offer express a concern that it may make a seller seem desperate. If you’re worried, ask the real estate professionals for their thoughts. However, when you talk to home buyers on today’s market, their biggest beef is sellers who are unrealistic and inflexible, not sellers who seem overly motivated to sell.

No serious home buyer gets turned off by a seller who seems willing to go the extra mile to help them solve the problems that are stopping them from buying a home. Also, a reverse offer doesn’t have to chop tens of thousands off the home’s list price to work – a percentage point or two can often do the trick. In any event, sellers who extend a reverse offer don’t limit their options for responding to low-ball offers from the prospective buyer in any way; if the buyer senses desperation and comes back with a low ball offer, the seller can still take it, counter or leave it, just like they would have been able to do before making the reverse offer (but they end up with a buyer, which they didn’t have before the reverse offer).

Source:  Tara Nicholle Nelson, Broker, San Francisco, CA via Trulia.

For the “What it’s Worth File”.   Marketing is all about “differentiation!  You need to make yourself or your product, look “special” to the buyer.  This “Reverse Offer” is a very interesting approach to getting something to happen with your home if it is just sitting on the market and no one is making any effort to buy it.  If you choose to implement this approach, I would strongly suggest that you utilize the talents of a Professional Realtor® in order to mazimize your opportunity.  Remember, if you need one where you live or need one where you are moving – just call.  I will gladly help you find a “Good” one!

Tips for HOLIDAY Showing & Sales in Punta Gorda!

Wednesday, December 22nd, 2010

 

Here are 5 Tips For Showing And Selling Your Home During The Holiday

  

 If you’ve been active in the market for long, you know that the real estate pauses for no man, woman or life event. Nor does it pause for any season; while the market usually does a major slowdown around the winter holidays, the very most motivated buyers and sellers are still doing deals. If your home is currently listed for sale, here are some tips for showing – and selling – your home during the season of peace, love and joyous overeating/overspending!

 

1. Don’t, if you don’t have to.     During the holidays, the pool of qualified and active buyers shrinks – dramatically. The cold, wet weather in some areas makes buyers hesitant to come out and view properties, and holiday travels cause others to put their house hunts on hold. Buyers also know that many sellers take their homes off the market during this period, so the forecast for receiving lowball offers is: highly likely. Taking your home off the market during the holidays and relisting it after New Year’s holds the potential of exposing your home to a fresh set of buyers motivated by a fresh set of resolutions. Plus, many sellers simply don’t want to deal with buyers’ muddy feet and scheduling intrusion while they are at home on vacation or hosting holiday dinners or guests. (Note: Most of these issues are slightly less impactful in warm-weather climates.]

 

With that said, there are some advantages to having your home on the market at this time of year, too. Although there will be a larger pool of buyers out and active after the first of the year, the ones who are out in the wet and the cold right now tend to be really motivated to buy. Holiday house hunters usually fall into two camps: they either plain old need a place to live, fast, or they need to close escrow on their new home by year’s end for tax reasons. Given that post-tax credit buyers have been characterized by an almost stunning lack of urgency, keeping your home on the market over the holidays is one way to try to capitalize on the urgency this season’s motivated buyers face, due to their circumstances.

 

2. Ditch the holiday decor or make it meticulous.     No Charlie Brown trees, people. Staging your home at its festive holiday best can truly backfire if your seasonal staging comes off as amateurish or overdone. If your living room is already small and your marble mantel is the main selling point, crowding the room with a massive arboreal masterpiece (i.e., big tree), piles of gifts, life-sized reindeer-and-sleigh set and covering the entire mantle with faux snow and stockings will do more harm to a prospective buyer’s first impressions than good.

 

If you DO decide to decorate, rethink it as staging with some holiday cheer; this will help you follow the staging mandates of depersonalizing and decluttering your place. If you have a dining room, stage it for a holiday dinner – many a buyer has bought a whole house around their holiday dinner fantasies. Help them visualize their first Hanukah, Christmas or Kwanzaa hosted at their new home (psst – that’s your home, in the vision).
But keep your holiday decor somewhat secular and ethnically neutral, if possible. Trees, garlands, lights and bulbs are great – but if I personally were selling my home during the holidays, I’d probably pack my family’s nativity scenes away. You might not want your cherished family heirlooms exposed to the public, in the first place. And you definitely don’t want to let your ethnic or religious stuff interfere with the buyers’ ability to envision their own holidays in your home.

 

3. Set a few, clear “no show” dates and times.     There is no faster way to lose a potential buyer than to make it difficult for their broker or agent to schedule a showing for your home. Sellers seem to forget that most often, buyer’s brokers are scheduling multiple properties to be shown in a couple of hours’-long-showing – if the other 3 dozen homes for sale in your neighborhood are vacant or very easy to show, and yours has a bunch of random black out times or dates that the agent can’t figure out without making multiple calls to your agent, who then has to call you and call the other agent back – geez, I’m exhausted just writing that! Imagine how tiring it is for buyer’s brokers to do that on 5 or 6 properites per showing. This is an easy way to tip buyers toward a competing property.

 

By the same token, it’s understandable that you may need to blackout showings on particular hoildays or times when you’re hosting guests. So, rather than going through the drama and frustration of back-and-forth scheduling arrangements around your vacations and obligations, give your listing agent a couple of clear guidelines around holiday season showings (e.g., no showings on12/24, 12/25, 12/31 or 1/1) and ask your agent to include these dates in the confidential remarks for buyer’s agents on MLS. The keyword here is “a couple” – keep these “no show” slots to an absolute minimum. If there are multiple, whole weeks or lots of half-day time slots during which you don’t want your home shown, consider taking it off the market and relisting it in the New Year, rather than running the risk of getting bumped to the bottom of buyers’ brokers’ “show” lists.

 

4. Expect some inconvenience and irritation.     Selling during the holidays can be rewarding, but smart sellers approach it knowing it won’t always be fun. Go in with realistic expectations. Some buyer is highly likely to track rain, mud or snow into your house, at some point. If you’re home for a long staycation, chances are good that someone will interrupt your Zen for a showing. It’s even possible that some buyer will leave your front door open longer than you’d like, letting your expensively heated air seep into the great outdoors (on your dime). These things will happen, but the upside is that a super-motivated buyer-to-be may also come see your place. Avoid the emotional rollercoaster and irritation by expecting these issues and chalking them up as par for the course. It might not hurt to flex your holiday shopping muscles to invest in a $50-ish hand-held carpet cleaner, either! Expectation + preparation eliminate irritation, I like to say. (  OK - I made that up!)

 

5. Engage in safe, sensory staging.    Holiday food smells like spiced cider, pumpkin pie and baked appley/cinnamoney things are about as universally comforting as smells get. It certainly wouldn’t hurt to do some sensory staging to create a sense of comfort and cheer. Also, remember that dreary winter weather can make even the loveliest house and showing take on a gray cast; counteract this by making sure your home is well-lighted and -heated. One thing, though – if your holiday home is a candle-lit home, make sure you leave no candles burning if you clear your family out for showings.

 

Source: Market Conditions, Home Selling, Design & Decor | November 30, 2010.

 

For the “What it’s Worth File”.    Having your home listed over the Holidays can be very frustrating.  It is true in Real Estate that the period from Thanksgiving through New Years is traditionally slow and normally the only people who are seriously looking to make a decision are experiencing some “trauma” related situation that can’t wait.  There are two schools of thought regarding this conundrum.  Some say that you never pass an opportunity to show, because that may be the one who will buy and the other resulting wisdom says “it can wait until after the holidays – I don’t want to be bothered!”  That sounds like a personal choice to me!!  If you need a Realtor® where you live or need one where you are moving  -  Call me, I would be glad to assist you in finding a “good” one.
M.K.(Mike) Kissinger’s Bio
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