Answers to the most common Home Seller FAQ:
Like most industries, there are some counter-intuitive aspects of real estate sales. We cover some of the main questions Home Sellers have in this post.
- We are considering another company besides Keller Williams Realty. Is there really any difference?
Yes! Our office has been ranked by the Atlanta Business Chronicle as the highest sales volume single office in the Atlanta marketplace for 7 years running. Our office is also a part of the Rawls Group cluster of KW offices – rated as the #1 Best Place to Work in Atlanta for large companies again this year for the third year in a row. We believe the adage that “Success breeds Success” and our ever increasing market share bears that out.
Even so, not all Keller Williams Realty agents are equally effective. We are highly competitive on behalf of our clients which means we are striving to be the best of the best. After reviewing our marketing plan, I am sure you will feel confident that we can sell your home for top dollar.
How long is the Listing Agreement for?
Statistics show that homes in top condition and priced properly go Under Contract in under 30 days near their Original List Price. This occurs at all price points and our goal for you is to get you into that group. The research also tells us that if an offer is not received within two weeks OR ten showings, the buyer pool has rejected the Original List Price. Our listing strategy is designed to answer the questions as to what it will take to attract an offer on your property within 90 days.
Can’t we save the commissions by selling it ourselves?
That is a great question. The interesting reality more often than not is that this approach diminishes the seller’s net instead of increasing it. It might surprise you to know that a study done over the last 3 years determined that the average private seller will end up selling their property for 14% less than one where professional representation and exposure occurred. What’s worse is the fact that statistically only 2-3% of all For Sale By Owners end up selling themselves while 97% ultimately end up being listed and sold by real estate agents. Here are some pitfalls For-Sale-by-Owner’s should avoid.
I hear that another agent is really well connected.
Connections pay off in many ways but they will not overcome poor pricing and condition. The best way to motivate the buyer pool is to create spectacular marketing, price your house fairly and mobilize the entire agent community. Believe us, Buyers “jump” when they feel like someone else is going to take something they want.
Can we list it higher and come down later if it doesn’t sell?
It is very common to want to leave room for negotiating. The problem is that the penalty for shooting too high with the price is severe because most buyers won’t even bother looking at properties that are priced out of the market. So, the real question is how much can you push it without getting burned? Current data shows the best houses sell for 97% of List price within the first 30 days. Multiple offers are becoming commonplace and a certain percentage of listing properties are selling over Original List Price. We are successfully creating “seller markets” around our listings and we can do that for you too.
Can we think about it or “sleep on it?”
With such a big decision this is very common because it involves a huge asset of yours. Yet, it is a decision that must be made based upon what you want. One option is that you sign the listing agreement when we meet “contingent on your final go ahead” within 24 hours. You then will have 24 hours to feel comfortable and sleep on it. In the meantime, we will contact our Stager and pencil you in for the first available time slot. That way we can hit the ground running! Then when you call, you simply tell us yes or no. If you say no, we will shred the listing agreement and cancel the Stager. You have no further obligation. When you say “yes”, we confirm the staging appointment, plan out the preparation stages and begin drafting the marketing collateral’s.
Is it better to use a friend in the business?
In today’s market almost everyone knows one or two people that are in the business of real estate. The question to ask yourself is are you selling the house to do a favor to your friend or are you truly looking for an aggressive team that will net you top dollar for your home? Many agents transitioned into other part-time jobs over the past 5 years to help make ends meet. We have remained 100% focused on real estate. Please take the time to review our plan of action to sell your home and you will immediately see what separates us from most agents.
Another agent said that they can get me more money, why should I use you?
Ask them to make you a written offer then. It’s very interesting that an agent who will list your property above what the sales data says it should be worth assumes that they can take your listing now and then start beating you up on the price week after week after week after week. Worst case they can pick up some buyer leads so that they can make money even if your house does not sell.
The statistics show that if the Original List Price does not work and the price has to be reduced, sellers in those instances were penalized and extra 16.6% off the Original List price when the sale closed and they were on the market almost 6 months longer. If an agent is not strong enough to level with you on pricing, how effective will they be defending your equity? Our team prides itself on being truthful and straightforward with you as the client no matter how uncomfortable it may be. That is what we feel you deserve.
What do you do to sell homes?
There are two types of agents in real estate today: Passive and Active. We are active, meaning, when you sign the contract our entire team is going to work immediately in activating our proven marketing plan. This will be directed at our individual buyers, past clients, as well as the other active agents in your area. We have found that a motivated homeowner wants someone who will work actively and aggressively to get their home sold.
Will you cut your commission?
No. In fact, you need to actually be concerned if another agent will agree to this. If an agent is not strong enough to defend and articulate their own worth and value, how strong can they possibly be defending you and the value of your home during future negotiations. Do you really want someone who is going to use your equity as a negotiating tool in the same way that they do their own?
What is Prospecting?
Prospecting is aggressively doing what other agents will not do to achieve results other agents do not achieve. We arrive at the office each morning by 8:00 am to begin compiling all of our lead sources and rehearsing the unique value proposition for each of our listings. At 9:00 am, Michael puts on a headset and begins calling the following people:
- Any web inquiries, sign callers or agents who have asked about your house
- Neighbors on your street and adjacent areas: We tell them your house is for sale and ask them, “Who do you know who is looking to buy or sell a home in the near future?”
- All ‘For Sale By Owners’, ‘Expired Listings’, and new ‘Active Listings’ in the nearby areas. The vast majority of people selling their homes are relocating in the same area. They are upsizing, downsizing, or wanting something different. We ask all of the people, “Where are you planning on moving when you sell your home?”
- All Past Clients and our Circle of Influence: We ask each of these friends and past clients, “Who do you know who is looking to buy or sell a home?”
- We have a database of local Buyers and Investors that we call, asking them what they are currently looking for.
- Our minimum standard is to spend 3 hours a day Monday through Friday prospecting for buyers for your home. Our average is one contact every six minutes.