Hiring the right real estate agent can make or break the deal along the way with a few other considerations. If a seller is considering putting their home on the market, then they need to make sure they have done their due diligence with the home selling process. Hiring a professional who is able to articulate and fully explain the home selling process will make a difference and result in a smooth transaction for all parties. Find other reasons a home seller can sabotage their home sale!
Not Hiring a Professional Real Estate Agent
Hiring a professional and full-time Real Estate agent is key in the sale of a property. A professional Realtor will prepare recent comparable sales to help in setting the appropriate price for the property. If a home is overpriced, it is likely that it will sit on the market with very few showings or no showings at all.
Having an agent who communicates in a timely manner is important. Determining the manner of communication should be decided upon in advance and whether it will be text, phone or email. I personally prefer text or email as then it is in writing. I always prefer utilizing text for showing appointments as well.
Understanding the time frames and the terms of a real estate purchase are paramount. The agent needs to explain the terms of the agreement including the earnest money deposit, length of escrow, down payment and what is required for a seller to provide to a buyer in order to be in the contract, and time frames. There are specific time periods in a residential purchase agreement which require that the seller provide specific documents and disclosures including HOA documents to a buyer within a specific time period to remain within the spirit of the contract.
Overpricing the Property
No one wants to leave any money on the table, but overpricing a home can result in a lower purchase price and more days on the market than if it was priced in alignment with the market in the first place.
If a property is overpriced, then it will result in fewer showings, perhaps no showings, low ball offers if any at all. The property can also accumulate days on market and this can send a message to another home buyer that there is something “wrong” with the property and a buyer may wonder what is wrong with it.
When a property initially hits the market, there should be listing activity with buyers wanting to view it, and perhaps receive an offer within a few days of sale. Basing the sales price on Zestimates or internet estimates is not suggested, as those estimates do not take into account the upgrades or specifics of a property which can influence value.
Not Responding to Offers in a Timely Manner
All aspects of Real Estate is time sensitive. In all Real Estate transactions, time is of the essence. What that means is that responding to offers and counteroffers in a timely manner sends a message to the buyer and or seller.
If a listing agent IGNORES or does not RESPOND to an offer or a counteroffer, this definitely sets the tone of how the transaction is going to be managed during the escrow period. If there is NO communication between the listing agent and the selling agent, this may cause the buyer to have doubts because our thoughts, as agents, are irrelevant.
Waiting too long to respond to an offer or counteroffer sends a message to the buyer that their offer was not good enough to warrant a response. The buyer can lose interest and want to move on to another property.
Another fact about waiting too long to respond is that another “like” property can close escrow and be below the offer is written at. There can also be a property which closes above that price too.
If a listing agent doesn’t even respond to text messages or phone calls, that a buyer’s agent and the buyer can only assume that either the seller did not want to sell –OR- the listing agent allowed the offer or counteroffer to expire.
The agents should be pro-active with managing the listing from ensuring that it looks fantastic online and with responding to all agent inquiries. The last thing a seller wants to have happened is for the listing to expire! The listing agent should have the seller’s best interest at heart and respond to all agent inquiries or property inquiries in a timely manner.Time is of the essence when responding to an offer or a counteroffer with a real estate transaction.Click To Tweet
Ignoring Contingencies in the Purchase Agreement
There are time frames for contingencies in the purchase agreement, and they can include the sale of a buyer’s home, the home inspection contingency, appraisal contingency, loan contingency and more. Those time frames can be from 17 days to 21 days, but these time frames can be negotiated in the purchase agreement and they can vary by area. Other contingencies can be included in the sale. It is important for the listing agent to not ignore these time frames and ensure that the buyer is performing and removing those contingencies as the time periods are ending.
Not Making Requested and Agreed Upon Repairs
After a home inspection, a buyer makes submit a request for repair to the home seller. The home seller is under no obligation to make necessary repairs, and that is part of the negotiation between seller and buyer.
However, if there are agreed upon repairs, then the home seller should hire the appropriate professionals to make the repairs. Especially if the repairs revolve around the electrical, HVAC or plumbing systems in the home. Licensed professionals are recommended and then providing the buyer with the receipt with what specifically has been repaired. Then, if there is a problem after it closes escrow, the buyer (new homeowner) can contact the licensed tradesperson with proper recourse.
Home repairs need to be done in a specific time frame, and these receipts should be provided to the buyer upon the walkthrough or verification of property condition which ensures the requested and agreed upon repairs have been made.
When selling a home, it is imperative to hire a professional. Google the neighborhood where the home is going to be sold, and a seller will be able to identify who is the “local expert” and who dominates online in that community. Interview agents and ask for references. The last thing a seller wants is for their agent to blow up the deal because of lack of professionalism. Additionally, ensuring the property is not overpriced, and once in escrow ensuring that all time frames are managed closely. If I can answer any questions about home selling, please contact me.
Considering selling your home? Check out 5 Ways a Seller can Sabotage their Home Sale https://t.co/kMZKDbZRHx via @massrealty @WWeirRelocation @PaulPsian @WellingtonHomez @Tewksbury_RE & @PaulPsian pic.twitter.com/RFEtwXufZq
— Sharon Paxson (@SharonPaxson) March 20, 2018
Find Other Valuable Resources for “5 Ways a Seller Can Sabotage Their Home Sale” from Real Estate Professionals Across the Country. Please check out the articles below, and please share across Social Media if you liked the articles.
5 Negotiating Mistakes Sellers Make via Anita Clark, Selling Warner Robbings
Dangers of Overpricing Your Home via Bill Gassett, Maximum Real Estate Exposure
Hiring a Real Estate Agent via Kevin Vitali, Merrimack Valley Real Estate
Preventing Mistakes when Selling via Wendy Weir Relocation
Home Selling Checklist via Michelle Gibson, Wellington Home Team
Your Listing Expired via Paul Sian, Cincinnati and Northern Kentucky Real Estate
About the Author
The above real estate article “5 Ways a Seller Can Sabotage Their Home Sale” was written by Sharon Paxson of Newport Beach Real Estate. With combined experience since 2005 with selling or buying, we would love to share our knowledge and expertise and guide you through the home buying or selling process.
We service the following Orange County CA areas: Corona del Mar, Huntington Beach, Laguna Beach, Newport Beach, Newport Coast, Orange, Santa Ana, Sunset Beach, Tustin and more! If you are considering selling your home, we welcome the opportunity to work with you and list your home with a top Newport Beach CA Realtor.