1. CARRYING COSTS PER MONTH - Before you place your property on the market as active for buyers to see and view, it is in your best interest to figure out what your household carrying costs are per month. This includes everything. The mortgage, taxes, insurance, utilities, etc. What are your monthly carrying costs? Keep this in the back of your mind during the property sale process. If your property does not have activity, you will need to weigh in this figure and factor in reducing the listing price vs. keeping the price the same. No one wants to have expenses on a property they are ready to sell.
2. ACTIVE LIST PRICE WITH NO ACTIVITY - You cannot sell your property without an offer. So if you are listed at a price and nothing is happening at all, your price is too high. This equates to no showings and no offers and no calls.
3. ACTIVE LIST PRICE WITH SHOWINGS AND NO OFFERS - If you are listed at a price with showings, and no offers you are still high on your listing price. You may need to simply reduce a little to keep the property in the "hot sheet" mode that shows a reduction.
4. PRICE MIGHT BE TOO LOW - If you are listed at a price and receive lots of showings and multiple offers, your listing price is too low. Despite what agents tell you, it is perfectly legal and protocol to negotiate offers above the listing price. Remember the REALTOR bringing you the buyer is trying to get the lowest price for the buyer!
5. REDUCTION OF THE LISTING PRICE - If activity is slow, remember consistently reducing the listing price will keep the MLS listing on the "hot sheets". We recommend re evaluating your listing price on this time schedule: 14 days, 30 days, 45 days, 60 days, 75 days, 90 days, 120 days, 150 days, and 180 days. Your property will be exposed to the syndicated portals and the local MLS and every reduction places the status of the property in a different status with reductions. Communicate your reduction to your MLS partner as follows in writing via e mail:
Subject Line has your property address, and in the body of the e mail, write in the reduction amount. For example,
Subject Line: 1234 Main Street Anywhere, USA - RE: Reduction In Listing Price
Body: Please reduce my listing price to $XXX,XXX.XX from $XXX,XXX.XX
6. MULTIPLE OFFERS - If you receive multiple offers, remember the following: You are in control and can sell the property to the buyer you feel is in your best interest without violating Fair Housing laws. You can only pursue one of the offers. You cannot counter all offers at once. You will need to choose the best one to try and convert it to an under contract property. Tell all other buyers, "We are evaluating all offers and will provide feedback when we make a decision. Thank you for your offer." Per most state laws, all final contracts must be in writing to be binding. Multiple offers is a great position for an owner, but remember there is only one final winner in the end, and often times 2 - 5 people who do not get the property they want. can be angry and use tactics to try and get their way.
THE BELOW SECRETS RELATE TO PEOPLE WITH FINANCIAL HARDSHIPS
1. FORECLOSURE - If you are facing foreclosure, you must remember you are in a legal situation, and should have an attorney represent you. With judicial states, the foreclosure can occur very fast. In NOn judicial states, the foreclosure process can take a lot longer. Find out what the procedures are for your state.
2. POST FORECLOSURE - If you had your property foreclosed, and you are still living in the property, remember the lender wants to have possession of the property and will do all they can to make you move. Some will try and assist, and others will go straight to the courts and involve the Sheriff's Department and Marshals. You will eventually need to move. Prepare now.
3. CASH FOR KEYS - If you still reside in a property after a foreclosure, some lenders will offer you a monetary amount to vacate a property willingly with a dead line. So if the new owner's representative approaches you, be prepared to obtain their offer and accept, reject, or counter it. They do not give you very much time. Please understand the lender will have an eviction in process and not call off the case until you are 100% out of the property.
4. DELAY TACTICS - You may be able to buy some more possession time in your property post foreclosure if you take the numbers off of your mail box. You may also be able to contact the eviction company in charge and see if they can give you extra time, or a representative from the law firm handling the eviction, or the bank who owns the property.
5. EVICTION DAY - If you are still in a property and the judge issues a Writ Of Possession, your days are limited. The case will usually be assigned to an eviction company whose job it is to knock on your door with a deputy, change the locks, move your personal property to the right of way and kick you out. Once your personal property is in the right of way, be prepared for neighbors to take your items.