Ultimate Guide: Fixing your House to Sell -- SELLING YOUR HOME

There can be many reasons for selling your home -- a change of job, a growing family or investment needs. Whatever your reason is for selling your home, a variety of small repairs and general cleaning tasks can make the house easier to sell-at the price you ask. Real estate professionals from realtors to appraisers and inspectors cite two factors as most often determining whether a buyer stops his search for a home at a particular house or walks off to continue house-hunting: a realistic asking price and the cleanliness of the home.

From the moment a prospective buyer drives up to the door, your house is on display. Take the time before you put your house on the market to give it a thorough cleaning and inspection-inside and outdoors. Make the easy repairs and catch up on the regular maintenance that you have put off. Minor irritants you can overlook or comfortably ignore while living in the house are likely to stand out as detracting focal points to a potential buyer. Fix the minor problems; however, don’t attempt to disguise any major problem.

Use the illustration as a guide to the areas and systems of your home important to its sale, then refer to the specific sections indicated. Each section pinpoints common problems, and directs you through basic cleaning and repair jobs. Taking care of these tasks can increase the likelihood of your house selling quickly at your original selling price. The longer a house is listed on the market, the less chance there is that it will sell at the asking price.

Make use of real estate professionals to ease the business of selling your home. The first step for many vendors is contacting an inspector who can examine the entire house, determining its condition and offering advice on the repairs it needs. An appraiser can help you set a fair asking price by evaluating your property in relation to comparable properties in the neighborhood. Although many vendors choose to sell their homes by themselves, saving the commission of an agent, most vendors opt for employing an agent.

If you decide to become a FIZZBO (coined from the "For Sale by Owner" yard signs), be aware of the responsibilities entailed. Refer to information on when and how to obtain the services of qualified real estate professionals. Before signing contracts with a real estate agent, appraiser or inspector, consult a lawyer specializing in real estate transactions. Selling your home is a legal matter; refer to information on the legal responsibilities and liability of the vendor.

Just as a few weekend projects can take care of small problems, small touches when showing your house can convince prospective buyers that this is the home they would like to live in. The tips below will help you show your house at its best, and help you deal efficiently and pleasantly with potential buyers. Remember that any effort you make in repairing, cleaning and showing your home is likely to be returned in a fast sale at a favorable price.

• Basement and garage --- An unfinished basement or garage can be viewed as potential living space; keep them neat and tidy. Call a professional to evaluate any foundation crack that may indicate a structural problem.
• Grounds and exterior --- The grounds and exterior of your home provide its curb appear-the basis for the all-important first impression of it.
• Windows and doors --- Clean, smoothly-functioning windows and doors the resale value of your
• Plumbing --- A dripping faucet running toilet give the impression that the plumbing is in need major repair.
• Electricity --- A faulty switch, outlet or fixture raises questions about the safety of your home's electrical system-and the costly repairs it may need.
• Kitchen and bathrooms --- The condition of your kitchen and bathrooms can make or break the sale of your home.
• Heating and cooling --- Well-maintained heating and cooling systems can earn notice as translating into low monthly bills.
• Floors and stairs --- Squeaky floors or stair and wobbly handrails can foster a false impression about your home's structural soundness.
• Walls and ceilings --- Clean, uncluttered walls and ceilings of a neutral shade are attractive to buyers; time and money spent on repairing walls and ceilings carry high returns.

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PREPARING TO MAKE A SUCCESSFUL SALE

Having the house inspected. Any defect in your house, whether large or small, can affect its marketability. If you are selling an older house, have made major repairs, or suspect a defect, have your home evaluated by a house inspector. A good house inspector can help identify major defects and pinpoint minor problems that might affect the sale of the house. A thorough house inspection covers both the house exterior and interior, from the basement floor to the roof ridge, including the electrical, plumbing, and heating and cooling systems.

To find a reputable house inspector, ask a friend or neighbor who has recently bought or sold property. Alternately, consult a local realtor, a mortgage company or your local consumer affairs office for a recommended house inspector. Ensure that your house inspector is listed with a national- or state-level professional house-inspection organization. Before you hire a house inspector, find out what kind of documentation and guarantee is provided; in general, choose a house inspector who will provide you with a full written report of the inspection and is willing to guarantee the report in the event of a future problem.

If you suspect or you are informed by a house inspector that there is a major structural defect in your home, hire a professional engineer to evaluate it and document the inspection results. If at any time you have had a pest infestation in the house, ask a house inspector or a real estate agent about your legal obligations; some states have laws that require a seller to obtain a certificate of non-infestation within 30 days of a property transfer.

Having the house appraised ---- A fair asking price is one of the most important factors in ensuring a prompt house sale; and a quick sale saves you time and money. With careful initial pricing, you can avoid the protracted negotiations involved in later lowering your asking price. Never use your local tax assessment appraisal as the basis for setting your asking price; it often bears little relation to the market value of the house. Instead, hire a good appraiser who can help you determine the best asking price for your home.

Have your house appraised before you approach a real estate agent and before you deal with potential buyers; dealing with an agent or a buyer is easier if you are confident about your asking price and can back it up with a certified appraisal report. By having your own appraisal done, a potential buyer or the buyer's mortgage company or bank is less likely to hire an appraiser and your initial asking price is more likely to stand.

To find a reputable appraiser, ask the local branch of a national or regional residential real-estate appraisal organization. Although appraisers have no legal qualifications and are not formally certified, many appraisal organizations have clear standards covering professional ethics, required training and work experience, and peer review. Hire an appraiser who is a member of a national or regional organization; ask about the organization's standards. Find an appraiser who works for a flat fee-not a percentage of the final appraised value, which can lead to an inflated appraisal and an asking price that is unrealistically high. Choose an appraiser who will provide a full written report, backed by data gathered through careful research on your local real estate market; some appraisers guarantee their reports. Finally, get a copy of the appraisal report; have the appraiser explain it to you carefully and correct any mis representations or omissions.

Having the house sold---If you have the time, the interest and the energy, consider selling your house yourself; while there can be much work involved, you will eliminate the need to hire and pay a real estate agent. For information and advice about selling your house yourself, ask the local real estate board to recommend a good real estate consultant. A good consultant can guide you through the selling process; the fee of a consultant is negotiable, but is usually about two percent of the house selling price- compared to the six or seven percent fee of a real estate agent.

To sell a house yourself, you will need to have the house inspected and appraised. Your job will include the handling of news paper and word-of-mouth advertising, the screening of prospective buyers by checking their references thoroughly, as well as the arranging and managing of visits and open houses. You also will need to consult a lawyer who specializes in real estate trans actions to obtain information and papers for the legal work involved, If you fail to sell your own house after two months or if you prefer to avoid the work involved in selling your house yourself, hire a good real estate agent to sell the house for you. A good real estate agent will list the house, promote it, screen buyers, arrange showings and open houses, and organize all the paperwork up to and including the sale closing. While a real estate agent cannot handle any legal matters involved in the sale of the house, a good agent will advise you on when, how and where to obtain the ser vices of a lawyer who specializes in real estate transactions. Some agents will also help you obtain a home warranty or the services of a house inspector. An agent's fee for these services is usually six or seven percent of the house selling price, but this may vary and is often negotiable.

To find a reputable real estate agent, ask a friend or neighbor who has recently bought or sold property. Then, shop around, comparing the services, experience and fees of different agents.

A qualified real estate agent must be licensed by a state authority and may be certified by a state or national association. Ask the agent about his certification and qualifications; if he works for a brokerage company, ask the company about the qualifications it requires of its agents. Also ask the agent and the company about their experience in selling homes in your area. A good agent or company will happily disclose this information.

Evaluate a potential agent's knowledge of your neighborhood. A good agent should be able to sell your neighborhood, as well as your house. Ensure that the agent knows about local health and community services, shopping facilities, schools, and recreational programs. A good agent should also be able to provide you with tips on how to get your home into the best possible shape for showing to prospective buyers.

Determining your liability for a house defect ---While no house is ever in perfect condition, concealing a serious defect when you sell a house can mean a lawsuit. Long after the sale of your house, you or your real estate agent can be held liable by the buyer for a house detect that was concealed by one of you, or that could have been discovered by one of you had you taken reasonable care to look for it. The liability of a house seller or agent is determined by state law; while past law proclaimed that it was the buyer who had to beware (caveat emptor), state law now often holds the seller or agent responsible for the sale of a defective house-whether the defect was known or unknown to the seller or agent.

Disputes among sellers, buyers and their agents typically involve a detective roof, basement or foundation, or plumbing system; pest infestation and inaccurate property documentation are other common causes of legal action. If you make a major structural repair or you suspect structural damage, have the house evaluated by a professional engineer. If there is a defect or if you correct one, tell your agent and make a note of the conversation; it’s then your agent's responsibility to inform the house buyer. If you are selling the house yourself, it’s your responsibility to inform the buyer. If you are in doubt about your legal obligations, consult a lawyer who specializes in real estate transactions.

Showing the house---Once you have fixed your house to sell and made your arrangements with inspectors, appraisers and real estate agents, it’s time for you or your agent to show the house to prospective buyers. Use the tips below to help prepare for and conduct a successful sales visit. The tidiness of the house, the behavior of you and other family members, and your ability to provide quick, pleasant answers to a prospective buyer's questions can make a strong impression on anyone visiting-and can mean the difference between a visitor who takes one look and leaves, and one who wants the house.

1. Make sure the house is clean and tidy before a sales visit; consult the checklist diagrams in each section of this guide for specific tips.

2. Avoid sales visits when you are entertaining your own guests or when you are busy- a prospective buyer should have your complete attention.

3. Ensure that an open house is planned for an opportune time, such as a holiday weekend, and that it won’t conflict with a major event such as a televised sport competition.

4. Let the real estate agent show the house even if you are not at home; a hard-to-see house is a hard-to-sell house.

5. Determine in advance which household items and fixtures are to be included in the sale price and which are not; for an item not included, but which you are willing to sell, have a price for it in mind should a prospective buyer express an interest in it.

6. Add a few decorator touches before a sales visit-fresh flowers, pleasant aromas from the kitchen, an attractive furniture arrangement or a special lighting effect might help make the sale.

7. For a sales visit during the cold, winter months, light a tire in the fireplace, if you have one, to brighten and warm the house.

8. During a daytime sales visit, open drapes and curtains to make the house bright and cheerful; at night, turn on bright lights.

9. Eliminate distracting noise during a sales visit by turning off any running televisions, radios, stereos and unnecessary appliances.

10. Keep pets out of the way during a sales visit; they can be distracting and troublesome.

11. Let the real estate agent do the selling when you are home during a sales visit. Be prepared to answer questions, but be brief.

12. During a sales visit, have copies of recent utility bills and property tax assessments handy for quick reference if an interested buyer asks for information about house expenses.

13. During a sales visit, keep handy a neighborhood map, a copy of the community newspaper, and any information on local services and organizations about which an interested prospective buyer might have questions.

14. If a prospective buyer wants to discuss the house sale at length during a visit, choose a comfortable area to sit, and provide refreshments.

15. Have on hand a small information packet on the house for an interested prospective buyer to take after a visit; include a recent photograph of the house and a floor plan, scaled to size.