Ashley Morgan - HOW TO SELL HOMES FAST FOR TOP DOLLAR

HOW TO SELL HOMES FAST FOR TOP DOLLAR

Ashley Morgan

Table Of Contents

Introduction

First Steps to Home Selling

"80/20 Rule - The Pareto principle"

Creating Curb Appeal

Staging with Purpose

Upgrading with ROI in Mind

The Three D's

How To Market Your Home

Common Seller Mistakes

10. Learn From Other's Mistakes

11. Finding Buyers

12. Be A Power Negotiator

13. The Dos and Don'ts of Negotiating

14. Bargaining Chips

15. Why Hire an Agent?

Preface When I first started in real estate, my goal was simple: to help sellers like you avoid all the stress and headaches that come with selling a home. Over the years, I’ve walked alongside many clients, learning what really works to help them get the most money for their home, and to sell quickly without the usual hassle. That’s why I created this book—to put all my experience and insider knowledge in one place, so you can have the best possible home-selling experience. My aim is to help you do three things: sell your home for the highest price, sell it as fast as possible, and avoid all the common frustrations that can come with the process. Think of this book as my gift to you. Inside, you’ll find practical advice and proven strategies, including how to: • Price your home to get top dollar • Use marketing techniques that actually attract buyers • Understand what today’s buyers are really looking for • And much more I want this to be a helpful resource you can turn to again and again. And if, after reading it, you want a partner to help you put a plan in action, I’m here for that too. Here’s to a smooth, successful sale—and to you getting exactly what you deserve.

About Ashley Morgan I am a wife, mother and real estate professional. I enjoy spending time with the Lord, my family and serving in ministry. I have been a realtor in the greater Atlanta area for years now and lived here since I was a little girl. I believe my passion for serving others has made me an exceptional realtor. I strive hard to deliver five star service in everything that I do. I find when you truly just have a passion for serving and doing it with excellence it leads to being successful in whatever you put your hands to. I have sold millions of dollars in real estate from new construction, homes, land and even commercial. Considering this factor, it has made me very well versed in real estate. I have been able to help people with some of the best moments of their lives and transition families no matter what stage of their lives they are in. When I first started in real estate I never knew this would become something that I truly have such a passion for, mostly because I get to be a big part of someone's life even if it was such a short amount of time. I believe when you serve a need with your main goal being the helping hand, it truly makes all the difference in how a transaction goes. I go into every deal as just that, a helping hand to help the client get the result that is best for them and their situation. A little about me, I was raised outside of Atlanta with 3 siblings. As a child I had aspirations of being a lawyer. Never in a million years did I think I would stumble into the real estate industry, but you can’t always predict where or when you’ll discover what you’re meant to do in life. It should not surprise me though, since I grew up with my grandfather as a realtor and broker. It is in my blood. As the years went by, I have worked my way from the loan industry to now a real estate professional, never wavering in my ability to to become the best version of myself with each career

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move.

As I have advanced in this career I have found working with sellers has brought me the most joy. I feel like an expert in listing homes. I have put in the work to even learn from a multi-million dollar ad adgency owner on just how to market a home in front of the right buyers. I have also worked with a top 1% coach to make sure I can be the best agent I can be to service people well. Just know when you decide to work with me, I aim to provide the highest level of service to my clients and I take deep pride in helping them achieve their real estate goals.

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Testimonials & Reviews for Ashley Morgan Here’s a list of people whom I have helped buy or sell a home, and what they said about working with me:

Ashley had a tough job, but she did it!

10/10 recommend Ashley Morgan as a top notch realtor! Ashley represented me in the sale of one home, and then purchase of another! Through both transactions she kept constant communication with all parties, advocated for me as the seller, and then again as the buyer. Ashley has many connections with local companies incase you need to make any last minute repairs or upgrades to get top dollar for your home. Ashley is the best agent in smooth transitions of selling and helping you buy! I’ve used Ashley with the sell of my home and for the purchase on my retirement home, and I was impressed with how smooth the transaction was during this time. I bought my dream home and it was an easy purchase considering I had the help I needed to make it a no stress process. Ashley worked long and hard to find me the perfect home. And she had me multiple offers on my original home by giving me the best advice to get top dollar for the sale of my home. Everything went quickly and smoothly when I had put this off for awhile because the fear of the stress of this. Ashley is honestly the BEST in the business. I would highly recommend her to everyone.

Ashley's perseverance got me the house

My experience with Ashley during the entire home-buying process, from start to finish, has been nothing short of ix

exceptional. I have a unique work structure, and because of this, it was very difficult to find mortgage lenders that would approve me for a home. I was very frustrated and on the verge of giving up, but Ashley insisted that we continue searching. Not only did we find a mortgage lender but also a mortgage that I felt great about. Her perseverance is the reason I am now a homeowner. She is professional, punctual, knowledgeable, and very easy to work with. With the highest regard, I will recommend Ashley to all my friends and family.

Very attentive to concerns, details, and negotiations

Ashley helped me find a house by literally picking it out for me. Every house I wanted to go to, I got there and didn’t love it. Ashley was busy taking note of the likes and dislikes I was stating and said “I have a house that you’re going to love”.... AND I DID! I went back 4 or 5 times to show other members of my family, and she accommodated me without complaint. I was a first-time homebuyer, and she walked me through the steps of everything, gave me advice, and constantly followed up to make sure I was doing OK. With her help, I was able to close on the house early, right before I started my new job. I would recommend Ashley to EVERYONE, buying or selling.

Ashley even advised me on how to prepare my house

Ashley Morgan was a gem. In addition to being highly knowledgeable about the real estate market, with many years of experience, she is a consummate professional. She was extremely easy to work with, gave me very good advice about preparing my house for sale and was very responsive during the entire process of receiving offers, selling and closing. I would work with her again in a heartbeat. Ashley kept us calm throughout the process! She always made herself available to answer questions. She worked hard to sell

our home and find the best fit for our new home. She and her team worked with us through the entire process and kept us calm when we got anxious. I am 100 percent satisfied. I would definitely recommend her to anyone. Very smooth transaction from start to finish. I felt confident with her experience. Ashley found us our dream home. She was very efficient and helped us find our dream home within a few short months. She was able to negotiate the price that we wanted for the house. Overall, I would look for her again to help us look for a house if need be in the future. Thank you so much for the efficient communication and service!

CHAPTER 1 Introduction

For most people, their home is the largest investment they will ever make. That means selling a home whether it is a single- family house, a duplex, or a condo is often the biggest, most complex financial transaction they will face. It involves unfamiliar terms, financial details, and numbers much larger than what we deal with day to day. On top of that, emotions almost always play a huge role. It is natural to feel that your home, where you have raised your family and created countless memories, is worth more than just the physical structure. But emotions can sometimes cloud judgment, especially during price negotiations. Selling a home involves countless decisions and a significant investment of your time, energy, and money, so it is important to keep a clear focus on your goals. Your aim as a seller is to attract that one buyer who cannot resist your home and who is willing to pay top dollar for it. To do this, your home needs to make a powerful first impression. You want buyers to feel, the moment they pull up to your house, like they are stepping into their future home, not just walking through someone else’s. That feeling of falling in love at first sight starts right from the curb and the front walkway. Most sellers do not go through this process alone. They work with a trusted, experienced real estate professional who helps make the journey easier. I wrote this book to give you some of that guidance and reassurance, without the pressure of in- person sales conversations. My goal is to help you understand the home selling process on your own terms and to provide 1

practical advice on how to market your home, avoid common mistakes, and keep your focus where it needs to be. Think of this book as your go-to resource for strategies and techniques that will help you sell your home quickly and for the best price. Take your time with each chapter and learn the secrets successful sellers use. For example, you will discover why similar homes can sell for very different prices and how to know your home’s true market value. You will learn about setting the right listing price, smart negotiation tactics, and which home improvements will give you the best return on investment. I hope this book saves you time, money, and frustration during your sale. Part 1 covers preparing your home to get top offers including how to present your home, the 80/20 rule, and which upgrades really pay off. Part 2 dives into marketing your home, how to avoid costly mistakes, and how to find qualified buyers. Part 3 focuses on the all important negotiation process and explains how a skilled real estate professional can add real value helping you sell faster and for more money. Reading this book is the first step toward a successful sale. Once you are ready, I am here to help with a Comparative Market Analysis and a marketing plan tailored to your budget and lifestyle.

CHAPTER 2 First Steps to Home Selling o Home Selling

Location is everything in real estate. It’s the most important factor, and often the biggest influence on a home’s price. Whether you’re a first-time seller or someone who’s sold before, it’s crucial to understand the elements that go into setting your home’s price. Pricing your home isn’t a simple formula or purely a numbers game. Many factors come into play. Throughout this book, you’ll see examples of similar homes in similar neighborhoods selling for very different prices, and you’ll learn why. Knowing that your home’s calculated market value might not match what you think it’s worth can help you avoid overpricing, which is one of the main reasons homes sit on the market too long or don’t sell at all. It helps to understand key real estate terms like market value, appraisal value, and assessed value. Knowing the differences can save you frustration and give you confidence when setting your listing price. Market value is generally defined as the most probable price a property will bring in a fair and open market. It’s basically an estimate of what a reasonable buyer would pay in your area, such as your neighborhood or suburb. Appraisal value is a professional’s estimate of your home’s worth at a given time. Appraisers look at many factors, and this value is important when buyers apply for loans because it affects how much money lenders will loan and on what terms. For example, lenders use the loan to value ratio to decide if mortgage insurance is needed. Assessed value is what your local government assigns for property tax purposes. It often differs 3

from market or appraisal values. In fact, about 60 percent of properties in the U.S. have assessed values higher than their current market value. So, what is your home really worth? That’s the first step in selling. Understanding the difference between value, worth, and price lets you make better decisions. There are several ways to determine your home’s value. A professional appraisal gives an official estimate of value based on a detailed inspection and comparison to recent sales. Appraisers consider things like the type of home, its design and features, upgrades, comparable sales, location, age, size, and condition. While location can’t be changed, improvements can boost value. A Comparative Market Analysis, or CMA, is another way to understand your home’s worth. Real estate agents offer CMAs for free and these are often more detailed and helpful than online estimates. A CMA looks at homes sold in your area recently, what they sold for, and what is currently for sale—all your competition. Your agent will also help you price your home realistically and answer your questions. Knowing your home’s value is only part of the picture. The current market also plays a big role. By working with an experienced agent, you get expert advice to help you price your home competitively. I’m happy to provide a CMA anytime—just reach out. Once you know your home’s value, the next step is figuring out how to get more than that price. The difference comes down to your time, effort, and investment in preparing your home to shine. Being willing to keep your home in show-ready condition, sometimes for weeks or months, can shorten how long it stays on the market and increase the offers you receive. A balanced market is one where homes typically sell within six months. Buyers and sellers have roughly equal power. A big company moving in or out of your area can tip the market

quickly, making it either faster or slower to sell. In a seller’s market, homes sell faster than six months—sometimes as quickly as 30 days. In a slow market, it might take nine months or more. Selling your home can feel like living in a fishbowl. You’ll need to keep your home spotless and ready to show at a moment’s notice. Expect calls and texts from agents and buyers, appointments for repairs or inspections, and photographers coming through to capture your home online and in brochures. During this time, children and pets should be kept out of sight and out of earshot. Their presence can distract buyers and affect their experience. Plan ahead so kids are elsewhere during showings, pets are leashed or crated, and the house is clean and tidy—dishes done, counters wiped down, and no pet hair around. It’s easy to feel pressured to show your home to everyone who wants to look, thinking the more eyes on it, the faster it will sell. But many agents show clients dozens of homes without a clear understanding of what the buyer really wants, which leads to a lot of wasted time for sellers. Remember, you’ll show your home to far more people who are just curious than to serious buyers. Each showing can take an hour or more out of your day, so it’s important to focus on attracting buyers who are genuinely interested. This is where having a good agent makes all the difference—they help filter out the window shoppers so you don’t waste energy on uninterested parties. With the right planning, organization, and professional support, even the most overwhelming parts of selling your home can be handled smoothly—without draining your time or patience.

CHAPTER 3 "80/20 Rule - The Pareto principle" The saying “Eighty percent of the results come from just twenty percent of the effort” is known as the Pareto principle. It’s named after Vilfredo Pareto, an Italian economist and philosopher who, back in 1906, made an interesting observation. He noticed that 20% of the pea plants in his garden produced 80% of the healthy pods. This discovery led him to explore similar patterns elsewhere. For example, he found that 20% of the people in Italy owned 80% of the land. He also looked into different industries and saw that 80% of production often came from just 20% of the companies. From these findings came the idea that most results come from a small portion of effort or input. While it’s not always a perfect 80/20 split, this pattern shows up in many areas of business: • 20% of reported software bugs cause 80% of crashes • 20% of patients account for 80% of healthcare costs Applying the 80/20 Rule to Selling Your Home Understanding this principle can save you time and effort when selling your home. Instead of trying to sell every part of your home equally, focus on the 20% of features that truly make your home stand out. The other 80% still matters, but highlighting the unique qualities will capture buyers’ attention. Your selling points won’t be the features your home shares with others on the market. Instead, emphasize the things that make your home different—those special details that draw buyers in. • 20% of salespeople generate 80% of sales • 20% of customers bring in 80% of profits

Buyer’s Story Take Vince and Sue, for example. Vince wanted an ocean view and they toured many homes, but nothing felt right. Some were overpriced, others had blocked views. Then they found an older home a short walk from the beach. The exterior and interior needed work, but when Vince stepped onto the third-floor balcony off the master bedroom and saw the ocean, he was sold. The view made every other flaw disappear. What was the 20% that mattered most to Vince and Sue? That stunning third-floor ocean view. Seller’s Story Cam and Kate needed a buyer who didn’t mind their home’s unpaved road. The house was over ten years old but freshly updated inside with neutral paint and new carpet. The yard was full of towering trees, creating a peaceful, welcoming feel. Nearby was another home with similar features, plus a koi pond and patio, but it was on a busy street. The buyer chose Cam and Kate’s home because of its secluded country setting on 1.8 acres surrounded by pastures and grand oak trees. What was the 20% that sold their home? The quiet, private country atmosphere. Location Matters Sometimes a location feature sets a home apart. One buyer paid more for a townhouse with a view of the woods rather than the parking lot. Another seller highlighted that their townhouse was one of the few with a half-acre grassy yard, making it unique in the complex. That feature helped sell the home for more. A different townhouse bordered a lake and fountain. That unique location detail helped the owner sell quickly and at a better price. The 80/20 Rule in Action: Buyers Look for What’s Unique When marketing your home, decide what your unique features

are and put them front and center in photos, descriptions, and showings. Don’t waste time explaining how a storage room could become a bathroom. Instead, show the fenced dog run in a large backyard if you’re targeting dog owners. Buyers looking for specific features will be drawn in, and they’re more likely to pay full price. Every home has something special. Here are some examples if you’re unsure what yours might be: • Hilltop or high vantage point views • Open fields or wildlife nearby • Unobstructed sunrises or sunsets • Patios, decks, dog runs, gardens, or gazebos—especially if neighbors don’t have these or yours is larger/better • Location perks like a cul-de-sac or corner lot • Privacy provided by trees or landscaping • Fenced yards (consider adding fencing if you don’t have it) • Finished basements, large attics, garages, pools—anything that stands out Following the 80/20 rule means you’ll spend less time showing your home to casual lookers and more time with serious buyers ready to make an offer. This saves your energy and reduces lowball offers. Take the time to identify your home’s strongest features and boost them. Compare your home to others nearby and highlight what makes yours different. Real-Life Example A buyer from out of town was shown many homes that were basically the same—about 80% alike. Each time, he offered 10-20% less than asking. On the last house of the day, an older home with a dated exterior and neglected yard, something clicked. The buyer wasn’t focused on kitchens or bathrooms—he saw the

amazing hilltop view out a large window. As the sun set beyond the trees, that view sold him. The other parts of the home could be fixed, but the view was the 20% that mattered most. Another Example A brand-new custom home sat on the market for over seven months without offers. The builder hired an agent who carefully looked for what made the property stand out. He found the home had a five-acre lot, larger and more private than others nearby, which only had one or two acres. By marketing the large, private yard instead of just the house, the agent attracted more interest. This unique feature sparked the sale. Using the 80/20 rule will help you focus on the features that matter most to buyers and get your home sold faster and for a better price.

CHAPTER 4 Creating Curb Appeal b Appeal

Someone once said, “a stunning first impression is not the same thing as love at first sight. But surely it is an invitation to consider the matter.” This could not be truer than in selling a home. First impressions matter. Sometimes they are everything.

Nothing sets the tone of a relationship or encourages a transaction more than first impressions. So, always consider what a potential homebuyer may think as he or she drives up to your property for the very first time. Think of “curb appeal” as the home seller’s shop window. Like picking a lunch place on a busy avenue in a tourist spot, it’s either the outside presentation, or, as we saw in the 80/20 rule discussion, some particular feature that brings in the customers. For most lunch seekers, it is the way the place looks (“curb appeal”), and to others, the soups and sandwiches they serve (specific desired feature). You do not have a lot of time to establish a curb appeal relationship with a prospective homebuyer. Whether cruising the web to view online photos from across the country, or cruising by your home in the family SUV on a Sunday afternoon outing, home shoppers will decide at a glance whether they want to see more. 11

“We buy ugly houses” is a sign often seen nailed to electric poles. Rehabbers look for ugly houses so that they can pay the least amount possible; homebuyers looking for a deal—not a “basement bargain”—do not want an unattractive home. Creating curb appeal is essential to attracting interest in your home. How your home looks from the road is so persuasive that a well-prepared house may catch the attention of buyers who did not find the written description particularly compelling. Likewise, a neglected house can cause a buyer previously excited by the description to cruise right on by. Try this. Go out into your street and look—I mean really look—at your home, and see if you can spot any imperfections. Is it appealing, pristine, and well-kept, or are there necessary repairs that you have been putting off? After you’ve lived in a home for a long while, you’re not likely to examine it objectively. Listen to suggestions from real estate experts, your friends and/or potential home buyers about how you can make your house show better. Then, take a drive around your neighborhood and surrounding area and see which homes for sale appeal to you and note why. Well-tended houses with trimmed bushes, groomed lawns, attractive landscaping, and a “grand entrance” (discussed shortly) will be more impressive than homes with an unkempt walkway, uncut grass, and a paint-peeling front door. The outside appearance of a property needs to be an invitation to come inside. Potential homebuyers are drawn to welcoming entries and uncluttered yards. They are unlikely to be attracted to a home with dead shrubbery and a weather-worn exterior. It is no stretch to think a buyer will believe the home is neglected on the inside as well.

Look at your home as a prospect would. Drive up to the curb and take inventory of everything that needs attention. Low-cost investments like power washing the house and concrete, repainting trim, and adding landscaping give your house more curb appeal. Simple improvements like weeding, trimming, and window washing can improve the appearance of a home with little to no expense. Repairing and repainting your home can cost more money, but often those upgrades are reflected in the eventual sales price of your home. The goal here is to get more money for your home. Homebuyers generally aren’t interested in a home that needs work, unless you want to sell below market value. Look around your yard, and make a written list of everything that could be improved: • Shrubs trimmed, flower gardens tended, walkways tidy, and beds weeded • No trash, trash cans, lawn clippings, branches, or general mess in the yard • All outside fixtures and components (door and yard lights, garage door, porch rails); functioning properly and looking their best • Outdoor features, such as patio furniture or the deck, updated with staining or painting Make all major and minor improvements to update the exterior of your property. There might be a long list of things to do. It takes hard work to get a home ready to sell. Anyone can put a house on the market, but not everyone sells quickly or with great profits. Then, await the prospective buyers who will be drawn to the inside of your home when they see how beautiful it is from your 13

curb!

CREATING A GRAND ENTR AND ENTRANCE

As I mentioned earlier, an important part of curb appeal is the home’s “grand entrance”—the portal to even the most modest house. You want to create a sense of a great place to come home to. Impressing the home shopper at the front door is a vital part of the home sale. This means more than putting out a welcome mat and potted plants. You want prospective buyers to feel welcome, safe, and secure when they open the door. The doorknob is the first point of touch on a home. Security is important to homebuyers. A flimsy lock or handle on the front door will make potential homebuyers uncomfortable, and they may not even know why. Replace a worn or loose entry handset. Consider replacing the door handle with a heavy-duty deadbolt and knob combination. This investment of less than $100 will make your home more visibly and practically secure, and everyone wants to be secure in their home. The front door is a focal point; make it impressive. Freshen it up and add a dash of color. Choose a paint that complements the color of your home. Replacing a wooden door with a steel entry door is worth the cost with a 91% ROI (Return on Investment).

SOME OTHER CONSIDERATIONS IN CREATING GREAT CURB AP T CURB APPEAL: EAL:

• Symmetry appeals to the eye and is easy to accomplish. Lopsided landscaping or unevenly trimmed bushes will detract from the curb appeal; the overall appearance of the home needs balance.

• The mailbox should complement your home. If it is worn, dated, or unsightly, replace it. This doesn’t cost much and is worthwhile. • Use outdoor lighting to add to landscaping appeal as well as a perceived safety feature. • Use flower boxes and raised flower beds to add instant color. This is an easy, inexpensive way to enhance curb appeal. • Spruce up the landscaping. Eliminating weeds and adding fresh mulch can really make a difference and show homeowner care and maintenance. • Consider enhancing architectural appeal by adding molding to the tops and sides of the doorway or around windows. • Keep shutters and trim in excellent shape. Repainting them adds to the attractiveness. Fence gates, arbors, and fencing panels should be clean and fresh. • Clean downspouts and gutters. Repaint or touch up to eliminate rust spots. • Ensure the walkway to the front door is clear and approachable. Stacked hoses and unruly landscaping interfere with home shoppers walking up and diminish the inviting look. • Try a fresh coat of exterior paint; faded or chipping paint, siding, or trim will always detract from curb appeal. If exterior paint is good, ensure door and window trim are, too. This simple upgrade is well worth the cost. • Power washing the house, walkways, and driveway can be almost as effective as repainting, at a much lower cost. Power washers are easily rented from hardware stores. • Adding some stone or stone veneer to the face of the

home is an inexpensive way to instantly update your home, if it complements the design. • Add a “smart” doorbell. Eight of 10 home doorbells are outdated or not working, so if you invest $200 in a doorbell equipped with a camera and speaker, you will gain the approval of home shoppers who are looking for security measures. Curb appeal is one of the most essential elements in selling your home quickly and successfully. You can create interest in your home before buyers even step out of the car, even if they didn’t think they were looking for a home like yours. If you put money into cleaning up the outside of your home, buyers will be far more likely to want to see the inside. Your home’s curb appeal draws buyers in, maintains their interest, and sets your home apart from the competition. Remember that unless you are willing to lower your home’s price well below market value, prospective homebuyers typically won’t want to take on a major renovation project.

CHAPTER 5 Staging with Purpose

Staging is the act of sprucing up and setting up a home's interior to make it as visually appealing as possible to a prospective buyer. Creating an appealing home—one that potential buyers can envision themselves living in—is the best investment in the sales effort. Sellers often fail to take full advantage in this regard, as it takes considerable time and work. However, the payoff is proven. Staging is considered one of the most effective marketing strategies to increase the value of your home.

This strategy is effective in any market, in any type of home

property being listed. It applies equally to single-family houses, apartments, townhouses, and condos. This approach works! Agents and sellers using this tactic have a greater chance of selling the property for more money.

Staging the home will:

• Distinguish it from the competition • Attract top dollar from homebuyers • Provide a visual edge over the competition

STAGED VS. NON-STAGED CASE STUDY & REPORT

Dear Reader,

I wanted to give you the most convincing proof possible. Many people find it hard to believe that the simple act of staging helps one home sell for more than another, similar home. In my research, I looked for examples of similar houses being sold for differing amounts of money, where only one of the two houses was staged. The clearest example I could find was in the case of these two listings.

This development has 200 equivalent townhouses.

Every single townhome in the neighborhood is three stories, with three bedrooms and three bathrooms. Every unit has the same floor plan.

I looked for two sales there, and found these:

• Townhome A sold on August 26. • Townhome B (5 doors down) sold on July 26, for 40,000 dollars less. I visited this neighborhood, and I am familiar with these properties. You could not find a better example of two identical properties that sold for different prices. The lots the units sit on are identical, as far as the desirableness of the location. Both units had the same kitchen plan, with the same cabinets and a tile floor. Both units had nice hardwood floors in the living room and carpeted bedrooms. Every important detail of these townhouses was identical. I studied every aspect of these sales to find what made the difference. There are two reasons one home sold for $40,000 more than the other: • Townhome A was professionally staged, giving it a more appealing appearance. • The agent selling Townhome A took higher quality, more attractive photos of the home. Those two seemingly small actions made the $40,000 difference! The buyers of Townhome A made a higher offer because the agent presented the home in a more appealing and attractive way. 19

THE POWER OF STAGING WHEN SELLING A HOME

Consider these results from surveys conducted by Coldwell Banker and the National Association of REALTORS®: • Staged homes spent 50% less time on the market than homes that were not staged. • Staged homes sold for more than 6% above asking price. • A staging investment of 1% to 3% of asking price generates an ROI of between 8% and 10%. • Homes staged prior to listing sold 79% faster than homes staged after listing.

WHAT DO BUYERS WANT TO SEE?

Most home shoppers are envisioning a fresh start. If they can picture themselves living in the home, the home will be easier to sell. This is known as “interior curb appeal,” where the eyes are drawn to inviting spaces and light, as well as to unique features. Each room needs a purpose or suggested use. The home must feel new to reflect ease of upkeep. The goal is to create a clean, simple, and contemporary feel. Painting, updating fixtures, and eliminating stained carpets and popcorn ceilings can affect the saleability of the home by 75%!

NEUTRALIZE FOR VISUAL APPEAL

The idea is to neutralize the home regarding personal taste or decoration, so buyers can easily envision the home as it would be outfitted in their taste or with their possessions without the distractions of the seller’s taste and possessions. In staging, distractions are removed so the home shopper can imagine living in each space of the house.

An effective way to achieve this is to paint all rooms in a neutral color. A wide range of neutrals is available, from soft grays to warm beiges. Painting the interior gives newness and freshness and can make the home appear more spacious. Using the same color in visibly adjacent rooms gives the house a seamless look and uninterrupted flow. Changing your window coverings to match the walls can also create an illusion of more space. Dark or bold wall colors can dampen interest in a home if used in large spaces; however, they can occasionally be used effectively as accent colors.

FOCUS ON FURNITURE: LESS IS MORE

In staging, a visibly inviting space is created so that the home shopper can envision or imagine life in that space. Minimization is the key. If the seller’s personal taste and style are showcased while the home is on the market, it may be a sale distraction. Preparing for moving is part and parcel of selling a home; it might as well be done at this stage of the process, to enhance the property’s saleability. Shortly, we will examine depersonalizing the home, a key step. First, however, we must examine the concept of creating space by minimizing furniture. Buyers are attracted to homes flooded with light and roominess. They are equally put off by cramped homes filled with unnavigable spaces. Home shoppers want to walk through a house without obstacles in the way. Space and storage are high on the list of buyers’ desires, so every area of the home should feel spacious. Remove all unnecessary furniture from living spaces. Store it while the home is marketed. Closets, pantries, and storage rooms

must be free of clutter and look organized. Pruning back unnecessary items can create interest by showcasing space and storage in areas such as closets, attics or basements. Furniture placement is an easy way to highlight unique house features. A grouping of chairs in front of a fireplace will draw attention to it. Avoid pushing furniture close to the walls. Reposition easy chairs into floating group spaces. Every room must be staged to show function. An empty room used for overflow of boxes, possessions, or unwanted items should be transformed into a usable, desirable space. Clean it out and create an office space with a desk and chair, or a reading room with a lamp and recliner. Exercise equipment might be arranged to feature it as a workout room. Every room should have a purpose and be user-friendly. Make your home’s traffic flow smoothly, so buyers can browse each room without effort.

EMOTIONAL CUES AL CUES

Once every room has a purpose, creating atmosphere is crucial to make the home desirable. Decorative touches of greenery, flowers, and coffee table books give life to a room. Creatively hung wall art can do the same. A bedroom that has one bed with one pillow and blanket may make the room seem bare and lonely. By adding a table with a lamp and a rocking chair draped with a lap robe, you heighten its appeal. Be sure to add elements of the same color, shape, or texture to unify the room. Any splashes of color should appear in wall art or any place you want to draw attention. Learn to strike a balance between staging and living in your home. You can even seasonally decorate your home without dashing its appeal. The main goal is to keep your home clean and free of clutter that distracts would-be buyers. Even simple things can make a big impact on the final sale price of a home.

You have two options for staging a home: do it yourself, or hire a professional home stager. If you are considering hiring someone, I can provide recommendations.

TO STAY OR NOT TO STAY?

Home sellers often ask whether they should stay in their home while it is on the market, or move out. There are pros and cons to both and factors that can tip the scale to one side.

Pros of Moving Out

If the seller has engaged a real estate agent, the burden of showing a vacant home is virtually eliminated. The agent will field all calls, set appointments, and show the home. Buyers’ real estate agents are also more likely to want to show vacant homes. If agents have 20 home options and 15 are occupied, they may well show the vacant homes out of convenience. They don’t have to call and make an appointment and can simply go over and use the lockbox. Further, the continual pressure to keep daily life from affecting the home’s pristine staging presentation is eliminated. The seller is not under constant pressure to keep the home in immaculate showing condition. If you’re someone who might struggle to keep your home in turnkey condition for showing purposes—for example, if you have young children—consider vacating before putting the home on the market.

Cons of Moving Out

A vacant home can signal that the homeowner is a “motivated seller” who needs to sell quickly. Consider this example found on an online real estate forum. A buyer saw that a home was vacant

and offered $30,000 less than the asking price. The buyer was sold on the home anyway and would have paid more, but “haggling” began well below asking price because the buyer assumed the owner was desperate to sell.

CHAPTER 6 Upgrading with ROI in Mind OI in Mind

Making upgrades can be as easy as replacing the handset on your front door and freshening up the paint job, or as daunting as remodeling an entire kitchen or master bath. The question always is, what home improvements give the best return on the remodeling dollar?

Return on Investment (ROI) is generally less than 100% in real estate, so the rule of thumb is “less is more.” It is frequently advised in this area that it’s better to update/remodel your home while living in it and not solely at the time it comes to sell. That way, there is more enjoyment in the improvement and less cost and time in preparing for sale. Some desirable upgrades or home improvements will not return their cost in the sale price, so it’s better for the owners to enjoy them all along. If your home is worth $275,000, and you spend $25,000 to revamp the kitchen, don’t make the mistake of assuming that the investment will increase the value, dollar for dollar. The remodel may add value to the home, but the return in dollars spent will be around 50%. Smaller upgrades, like replacing outdated fixtures in the kitchen and bath, are certainly worthwhile, but major remodeling of those rooms isn’t wise, just to sell your home. That’s not to say you can ignore necessary repairs that a home inspector would red-flag or mortgage company would demand before issuing a loan to a buyer. If major problems, like a leaking 25

roof or outdated electrical wiring, exist, you may want to repair those before putting your home on the market, or expect to give concessions to the buyer.

STARTING WITH THE B G WITH THE BASICS

Every listed home should meet the basic expectations of any buyer. It should have a sound roof, functioning gutters and downspouts, foundation without cracks, functioning heating and/or air-conditioning system, solid subflooring, and safe and secure electrical wiring. With finance-mandated home inspections, any shortcomings may be required to be remedied to get buyer financing approval. It is important to understand that the market value of a home is determined by the prices of comparable homes recently sold in the area. Extensive remodeling to sell the home or to increase the value may not pay off. The property needs to be up to the standards of neighboring homes, so while the kitchen has to be comparable to others, spending $25,000 to remodel a kitchen in an area where comparable homes recently sold for $275,000 will not increase the house’s value to $300,000. While it may be a helpful selling feature, it won’t return dollar-for-dollar value.

MECHANICAL MAINTEN CAL MAINTENANCE IS A MUS CE IS A MUST

It is easy to get wrapped up in the more eye-pleasing aspects of preparing a home to sell. However, the upkeep of all the more mundane aspects of the home cannot be overlooked.

These mechanical features require consideration:

• Electrical boxes and wiring • Natural gas lines • Plumbing

• Central heating and air-conditioning

If these components are old, outdated, or not working correctly, the home’s appeal is lowered, as is the eventual sale price. According to the National Association of Realtors®, heating and cooling costs were the most important environmental features for recent home buyers, with 83% finding these features at least somewhat important. People want to purchase a home that reflects their aesthetic tastes and lifestyles, but also one that is safe and sound. Faulty electrical systems do not provide a feeling of safety. Leaky plumbing arouses concerns of mold infestation and sewage problems. These areas can require extensive work and they are extremely important. Overlook them in the preparation stage, and you run the risk of trouble later with inspections and appraisals. It aids the sale if professionals certify or remediate any deficiencies in the mechanical systems. Having a professional inspection for buyers to review is a big plus in marketing. • Have a certified plumber inspect the entire water system for leaks. Check the well and septic field, if applicable. • Hire an electrician to check the wiring. • Call an HVAC company and have technicians perform a thorough service checkup. • Contact the natural gas supplier and have them double- check the mechanics of your tank and lines. If you’re looking for an alternative to calling and arranging all the different inspections, certified home inspectors usually cover all items related to mechanical issues (and more). They will be able to identify possible trouble spots. Many buyers hire an inspector, so you may be saving them a major step in the sale process. 27

If you have mechanical issues and decide to sell your home “as is,” it may be necessary to negotiate with the buyer.

REPLACING APPLIANCES

New appliances undoubtedly make an impact on buyers. The National Association of Realtors® conducted a survey of buyers and found that: • Buyers were usually “interested” or “somewhat interested” in buying a home that featured new appliances. • 41% percent of home buyers were willing to pay more for a home with stainless steel appliances. • The most important factor: that appliances were available in the home. • Most buyers who were unable to get their sought-after appliances said they would have been willing to pay, on average, nearly $2,000 more for them. Potential buyers want appliances included and will pay more for them, especially if they are new or in excellent condition. New appliances might be what sets a house apart from the home for sale across the street. If new appliances are out of reach, offer immaculately clean and fully functioning existing ones.

UPDATING HARDWARE

Carefully inspect your bathroom and kitchen hardware. If it is unsightly or worn, it’s best to replace it. Put yourself in a buyer’s shoes. Your home will potentially be their new home. Old, worn- out fixtures are not going to speak to them the way nice, new

shiny hardware will.

Unless your knobs, pulls, handles, or hinges are broken, you need not replace them. Get that fresh look simply by thoroughly washing, sanding, and painting them with spray paint made specifically for kitchen and bath hardware, making it cost- effective.

Check these hardware items closely and replace, as needed:

• Towel bars • Toilet paper holder • Door handles • Dated light fixtures

The goal is to touch up your home nicely without excessive spending. The internet has a wealth of do-it-yourself videos that can help you update your bath and kitchen if your budget is limited. If you have broken or worn-out hardware, it’s best to replace the entire set. If you can find matching pieces, you can paint the old and new to match.

LET THERE BE LIGHT

Whether natural or artificial, bringing in light is one of the most effective ways to show off your home. Using light to enhance your home’s appeal can make a difference. Harsh light is unflattering, even to the best furnishings and features. Dim lighting gives everything in the house a dingy feel. Assessing the lighting in each area of your home will give you a quick idea where to bring in more light. Rooms with abundant windows greatly benefit from natural light, as your home will be

seen during the day.

Supplemental light is necessary for rooms with smaller windows or little natural light coming in. Increase the wattage of light bulbs in your lamps to improve artificial light. As a rule of thumb, there should be 100 watts for each 50 square feet of space. There are three kinds of lighting. General lighting or overhead is typically ambient. The pendant light is good for tasks like food preparation or reading. Accent lights are usually on tables or mounted on walls. You can use all three to bring out the best your home has to offer. Key areas, such as foyers, can set the stage by impressing buyers with a dramatic light source. If you do not have an abundance of natural light coming in, a chandelier-type light works if your ceilings are high. Otherwise, wall sconces are impressive in smaller spaces. Do not assume you need to buy new fixtures if you can update existing ones. The goal is to make sure each area of the home is effectively lit. Kitchen and bathrooms are pivotal rooms. These two areas can make or break a sale. The combination of ambient, natural, and pendant light can bring out the best in your kitchen space. Mounting track lighting underneath cabinets gives the counters a chance to shine aesthetically and functionally. Make sure the light over the sink area is sufficient and working properly. If you have a hood over the stove, install clear bulbs to ensure the brightest light. Lighting in the bathroom needs to be intense without being harsh. Soft lighting enhances any part of the house you want to highlight. Avoid harsh lighting in the bedrooms, as well. Lamps strategically placed will give the bedrooms a peaceful, restful feel.

The closet light should be bright, though.

One last tip: Lightly painted rooms still need sufficient light so the room does not appear drab.

FLOORING PLAN

Although you want to avoid home shoppers looking down on your home, they will be looking down at what is under their feet. Your home’s value can be downgraded by the buyer if your floors are in bad shape. On the flip side, if your home’s flooring is well done and in excellent condition, buyers will be more willing to pay more for it. Maximizing profit without compromising investment dollars is the goal, but if flooring and carpeting are not in salable shape, you need to take inventory. There is no point in spending money unnecessarily if the improvements do not add significant value or help the home sell quickly; however, there are options that don’t break the budget. Repairing and thoroughly cleaning the floors are the least expensive ways, so start with those. Take stock by examining all floors. Move furniture out of the way and make notes regarding condition, stains, or blemishes. Write down what needs to be replaced, cleaned, or repaired. Carpets can be steam cleaned to eliminate stains and odors. If the carpets are path-worn and dull, you can replace them easily with other kinds of flooring with a reasonable ROI, although carpeting does make a room feel cozy. Laminate floors can be cosmetically fixed with repair kits found at home improvement stores. Hardwood flooring can be easily refinished if the wood is worn or water damaged. Seek the advice of a flooring professional because real wood floors add a level of quality to a home that

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