CLOSING THE DEAL

Once you have negotiated a contract and agreed on a sales price, the next phase of our job begins. Below is a list of some of the details I will be managing through this process.

» I will constantly check with the title company to assess when they need additional information and whether there will be any problems that could affect obtaining title.

»I ensure that both you and your Buyer receive copies of all documents pertaining to the transaction. I will have the Buyer sign to acknowledge that he/she has received his/her copies.

»I will make sure that the Buyer meets and removes all contingencies within the time limit provided or get an extension, if needed, signed by both you and the Buyer.

» I will keep you abreast of the Buyer's application for a loan and the progress of the appraisal on your home.

» I will work with the appraiser to arrange for entry to the property and to answer any questions he/she may have about the home or neighborhood. I will also provide the appraiser with the most recent comparable sales in the area.

» I will make sure that the Buyer increases their deposit in a timely manner.

» I will coordinate and attend as many inspections as possible and keep you informed of all findings.

» Once the inspections are complete, I will negotiate for you if any problems arise.

» I will cooperate with the Buyer and others involved ensuring that corrective work is completed according to the terms of the contract.

» I will ensure that all documents are ordered and drawn, including your loan pay-off and insurance for the Buyer.

» I will do my best to have your closing papers drawn one week before Close of Escrow (COE) so that if any problems arise, I can solve them while remaining within the time frame you expect.

» If you prefer, I will deliver your escrow check to you personally. I am also happy to coordinate move-in dates.

During the escrow process, you must inform the buyer of specialized conditions that affect your home. These may include the following conditions:
Lead Paint Sellers of properties built prior to 1978 have the following obligations:
» Provide buyers with a HUD pamphlet entitled "Protect Your Family From Lead in Your Home"» Disclose all known lead-based paint and related hazards and provide any available reports
» Include a standardized warning as an attachment to the contract
» Complete and sign statements verifying that requirements have been met
» Retain the signed acknowledgment for 3 years
» In addition, you must provide the buyers with a 10-day opportunity to test for lead

Natural HazardsCalifornia law requires sellers to disclose, via a "Natural Hazard Disclosure Statement" or NHD, if properties are located in one of six predetermined "natural hazard" zones. (If the property is not within one of these zones, you, of course, have no such obligation.)

The six zones are:

» A flood hazard zone as designated by the Federal Emergency Management Agency (FEMA)» An area of potential flooding after a dam failure (also known as an inundation area)
» A very high fire hazard zone
» A wildland fire area, also known as a state fire responsibility area
» An earthquake fault zone
» A seismic hazard zone

If an NHD is delivered to the buyer after both parties have signed the Purchase Agreement, the buyer will have three days to rescind the agreement. However, if the buyer received the NHD before they signed the Purchase Agreement, then they cannot use the NHD to rescind.
Mello-Roos DistrictsEspecially (but not exclusively) if you are selling a home in a newer area, you may be within a Mello-Roos tax district, and you must provide to the buyer a "Notice of Special Tax." If this notice is delivered to the buyer in person, they have three days to rescind their offer. If it’s delivered via U.S. mail, they have five days to decide.
Basically, a "Mello-Roos Community Facilities District" is formed by a local government, district, or agency to finance public services and facilities including police and fire departments, ambulance and paramedic services, parks, schools, libraries, museums and cultural facilities.
Condominiums etc.If you’re selling a condominium, townhouse or other planned development (for purposes of this discussion, we will call them all "condominiums"), there are the buyer needs to know about common areas (such as greenbelts and recreational rooms) and the homeowner’s association.
The buyer will be required to make monthly payments, known as regular assessments, to maintain common areas, as well as special assessments to replace a roof or repair the plumbing, as determined by the homeowner’s association (HOA.)
Condominiums also may have regulations regarding architectural requirements, limitations on pets, and age restrictions (i.e., senior housing). These must be formally disclosed to the buyer during escrow. You may provide this information via the following documents, to the extent that they exist and are available:
» Declaration of Restrictions: Commonly known as "CC&Rs", or Conditions, Covenants and Restrictions» Articles of Incorporation or Articles of Association Bylaws
» All current financial information and related statements, including operating budget, estimated revenue and expenses, HOA reserves, estimated remaining life of major components (including roofs, plumbing etc.), and regular and special assessments
» A statement describing the HOA’s policies and practices in enforcing lien rights or other legal remedies for default in payment of its assessments
» A summary of the HOA’s property, general liability, and earthquake and flood insurance policies
» On existing HOA’s, a statement describing any restrictions on the basis of age, such as authorized senior citizen housing

Many smaller HOAs will not have all of these documents, but must provide what they do have.

When buying or selling a home, people often question the need for a Realtor® because they are tempted to avoid paying the commission. Keep in mind that if you take on the duties of buying or selling a home unassisted, you also assume many difficult responsibilities.
Without a Realtor®, SELLERS do all the work and take all the risks.
Time and expense You pay for costly ads that may prove ineffective and you pay for legal fees. You must stay constantly at home "on duty" seven days a week, or miss possible contact with potential buyers.
Screening Your "For Sale" sign and advertising may attract unqualified, curious people seeking entry into your home. Identifying a real prospect is often difficult. Without an agent, you could spend all your time with unqualified buyers. Furthermore, an agent will use their valuable contacts to find the right buyer.
Negotiation For sellers without a Realtor®, negotiations lead to the most difficulties. A skillful third-party negotiator is usually necessary to secure a beneficial final agreement between the buyer and the seller and to provide a greater net return on your investment.
Financing Arrangements Realtors® can save you hours of research by sharing their knowledge about where money is available and who has the most competitive rates.
Is It Worth It? The commission "saved" may prove inadequate to meet the total costs of your own time and marketing efforts. Who wins if you sell through a Realtor®..? You do!

The often complex process required to sell your house can be confusing and exhausting. It helps to know you are not alone and that you have, at your disposal, your Agent's professional expertise. I will help you to do the following:
» Educate you through the entire process» Listen to your needs to understand your real estate objectives
» Help you understand all of the paperwork
» Handle any problems that arise during the transaction
» Properly prepare forms, contracts and disclosures, which are required by law, and make sure that they are legally correct
» Provide comparable sales data to assure that you are setting the proper price for your home
» Guide you regarding the repairs that should be made
» Show you homes in an effective and professional manner
» Guide you in your selection of escrow/closing and title people
» Oversee the closing process
» Help you spot buyers who are attempting to take advantage of you
» Help you understand the use and limitations of good faith deposits
» Advise you as to when you should seek the advice of an attorney
» Make sure the appraisal process is handled properly
» Help you to understand the complete escrow/closing and title process
» Advise you as to any inspections such as septic, well or soil, which might be applicable to your property
» Guide you as to how the escrow/closing instructions should be prepared
» Properly handle the walk-through process with you prior to the final closing
» See that any repairs or requirements are met prior to the closing
» Advise you as to what course of action should be taken if the buyer refuses to close the transaction
» Negotiate and deal effectively on your behalf with the buyers, other agents, escrow/closing, title people and attorneys
» See that each and every facet of the buying process is effectively and professionally handled in your best interest

If you list your home with me, be assured that keeping you informed of all client interest and market activity is a high priority of mine. Whether by phone, by e-mail, or by written notification, I will report regularly to you and keep you apprised of all relevant information including:
» Broker feedback from broker tours and open houses» Client feedback from showing appointments including broker feedback
» Advertising notifications
» Any new market data or trends affecting the sale of your home
» Review of your home’s marketing activities
» Suggested adjustments to your marketing plan or pricing strategy

If you are interested in selling your property but have not listed yet, it would be my pleasure to show you all the ways in which I can effectively market your property through a Listing Presentation.

How to price your home – one of the most important issues you will face. Pricing will determine, among other things:
· How quickly your home sells· How attractive your home will be to buyers
· How you will reach your financial goals regarding the transactions

Unless there are extenuating circumstances, such as your property’s being located in a high-risk, undesirable or unusual area, the listing price of your home will set the tone for your entire transaction.
That’s why my expertise and knowledge of your local marketplace is so helpful. I will gather statistics that quantify the prices of comparable homes in your neighborhood:

· That have sold· That have not sold· That are pending· That currently are on the market
I will compare aspects of those homes against the unique features of yours. I will also analyze market conditions, the availability of mortgage funds, neighborhood reputation and characteristics, among other considerations, to create a Comparative Market Analysis (CMA). The CMA provides objective information that will enable us to make an educated, informed pricing decision designed to yield a speedy sale for the most advantageous price possible.
Philosophically speaking, put yourself in a potential buyer’s shoes when considering pricing. Buyers’ main considerations will be location, age of property, its condition and style and of course, price. Thinking objectively about these matters will help you and me determine a price based on fair market value -- what your house is worth in the current market, not the amount you or your buyers would like it to be.
Other key aspects to consider include the following:
How soon do I want to sell my property? Statistics show the narrower the gap between the asking price and my estimate of value, the sooner an offer will come in.
How does my home compare to others in the area? As a real estate professional, I have access to details about current listed and sold properties through the Multiple Listing Service. You will be able to see how much competition there is and what effect market conditions have had in your area. You can then determine your price by analyzing homes comparable to yours in age, size, condition and location.
What are buyers willing to offer? Buyers are interested in your home’s comparable worth, not what you might need to get out of the property. The buyer’s perception of the value of your home will not be altered by the cost of your next home, your need to pay off an existing mortgage, or your hope for a dollar-for-dollar return on home improvements. Remember that sellers and Realtors© are not appraisers...buyers are. In the end, it is the buyer's evaluation that matters. Buyers make their assessments by comparing your property with others that offer similar features and are in a similar condition to yours.
Is there any harm in overpricing property, then dropping the price if it doesn’t sell? Yes. To effectively price your home, you must establish a solid correlation between the asking price and the fair market value. A realistic asking price will result in a fast, lucrative sale. If your price is out of sync with the market, you’re likely to turn off a large group of potential buyers. Contrary to popular belief, a buyer usually makes an offer on a fairly priced property before making a lower offer on a listing that is seen as overpriced. Also, overpricing your home often helps sell your neighbor's home faster than yours.
But my house is worth so much more... Emotion and pride should have no place in the pricing process. Sellers speak of value, amount invested and what they can afford "to take." Buyers consider only price, condition and other properties offered.
Should I leave room for negotiating? Experience has shown that the closer your listing price is to the supporting comparable sales data, the greater your chances
for a quick sale at or near your asking price. As a result, we recommend pricing as close to that figure as possible. If you list your home at an unreasonably high price and receive a full-priced offer, the price will be tested during the appraisal and lending process. As a result, it’s important to price your property at something statistics and the experience of the local brokers can justify. In fact, agents will miss showing your property to potentially qualified buyers simply because, at face value, your property is out of their clients' price range.

Why is it that some homes sit on the market for a year while others sell like hot cakes? Frustrated sellers will blame a bad market, while a good real estate professional will tell you that many times, a slow sale is often attributed to the listing price.
If a home is overpriced, buyers will stay away. But, if the price is competitive with similar homes in the area and “shows” better than the competition, it will have a better chance of being sold quickly.
The secret is perfecting a technique that’s as American as apple pie: comparative shopping.
Although comparing houses with different styles, square-footages and locations is challenging, real estate professionals still feel it’s one of the best methods to use when determining a home’s market value.
A responsible real estate agent will effectively evaluate a home’s worth through a process known as Comparative Market Analysis (CMA). Taking a look at assets, such as a swimming pool, bigger than normal living spaces, a fantastic view, adjacent city parks and other attractions, the agent will begin to compare your home with similar properties, called “comparables,” that have sold in the area within the last six months. Typically, it is a realistic price range that will ensure you top dollar and a reasonably quick sale.
However, factors such as the amount of time needed to sell your home can affect the agent's price recommendation dramatically.
I can determine the typical duration that listings are on the market and can explain that the marketing “norms” vary with prices and properties. Based on this criteria, we will be able to sell your house for a price that both you and the buyer will be happy with. However, if you’re under time constraints because of unexpected job changes or moving agreements you’ve made on another property, this will narrow your chances of selling the home for top dollar in the market.
Assuming you have sufficient time to market the home, here are a few small steps you and your agent can take to finding the right price for your property.
The best comparisons can be made with similar homes that have been sold within the last 45 days as opposed to the standard six months. Any longer, and other factors, such as the economy, could cloud your view of how much your home is really worth.
Another good benchmark is to review the selling prices of homes that have just been sold and are pending closes. Most MLS services provide information on deals pending that most real estate agents should be able to share with you.
A good rule of thumb before setting a price is to make 20 comparisons of comparable properties within a one-mile radius of your house. Once completed you can feel comfortable that the price you’ve picked is a good gauge of the home’s worth and won’t discourage qualified buyers.
Being open and honest about what you see as the home’s greatest strengths and biggest weaknesses will also help your agent get a better feel for how to best evaluate (or assess) and market your home. Think of your home as if you were the buyer. If your home is listed at the right price, you’re well on your way to a speedy and fruitful sale.

When you receive an offer for your property, there are many decisions to make and details to consider. We will help you evaluate the quality of the offer, negotiate the terms and ensure a smooth transaction. Here are just a few of the many ways we will assist you through this important process:
» Be at your side when the offer is presented.» Request information about the buyer’s background, intentions and qualifications.
» Ensure that the buyer is knowledgeable about available financing alternatives.
» Thoroughly review the contract and ensure that you understand all the details.
» Guide you through key stages of the process - contingencies, inspections, disclosures, escrow, buyer financing, and any unusual terms and costs.» Negotiate the sales price and terms that are most advantageous to you.» Provide you with information about recent market activity.
» Provide you with specific information about local, state and federal requirements that affect the sale of property. These requirements may include state codes such as: Transfer Disclosure Statement, Smoke Detectors Compliance, Environmental Hazards Disclosure; and Federal requirements such as: The Foreign Investment in Real Property Tax Act (FIRPTA) and Lead Paint Hazard Reduction Act.

You may also wish to consult your attorney or tax advisor during the sales process. We will always present you with all the facts at our disposal and offer our educated personal opinion, but the final decision to accept, reject or counter an offer is yours.

Q: What is an offer?
A: An offer is usually made in the form of a written contract prepared by a sales associate representing a buyer. All offers for your property will generally first be presented to me, and I will then present them to you.
Q: How quickly must I act?
A: Usually time is of the essence in negotiating an offer. There are often strict deadlines, which must be met. I will stay in constant communication with you during the entire transaction process.
Q: Who knows about the terms of an offer for my property?
A: No one, except you, and myself, will know about the terms of an offer prior to your acceptance. You will be kept informed of any other buyer’s interest in your property; and if more than one offer is submitted to me, all will be presented to you for your consideration.