Part II - Thinking About Selling Your Pompano Beach House Using The For Sale By Owner Approach?
Showings on Your Pompano Beach House for Sale
Once your marketing skills succeed you will start to get potential home buyers that want to see your house. You need to bring them into your home and make sure that you do not put yourself into a legal bind by saying the wrong thing. Or you omit to tell them the right thing. For example, do you have to reveal to a potential buyer if the house is haunted? What about if someone in the past has died in the house? Or a more likely situation, the roof has a small leak that is not noticeable unless it rains? All of these situations can easily be navigated through if you use a Pompano Beach Real Estate Professional. If you choose to FSBO, you might say or do the wrong thing ending up in years of litigation. It can also end up in potentially thousands of dollars lost.
Not to mention just the legal concerns that you can face, but what about the quality of life. After working a long day, do you want to come home and walk complete strangers through your house? How about that weekend getaway you wanted to go on? Do you have a serious potential buyer that wanted to see the house? All of these situations can begin to cause undue stress in your life. After all, you just want to sell your house and save a few hundred dollars while doing it.
Negotiations on Your House for Sale in Pompano Beach
Your marketing paid off and you had the opportunity to show your house without interrupting your daily life tasks. Now, you have entered the stage of negotiations. If you were lucky enough to find a home buyer that is not represented by a Realtor, you will be moving through negotiations seamlessly, or so you think. It might get very interesting when you get to the point of who pays for what at the closing table. But, those few hundred dollars you have saved from not using a professional real estate agent in Pompano Beach, is in your back pocket for a rainy day. That is if your closing day is rainy. Who pays for the title policy, how about the deed transfer or even better yet, simply the closing process? All of these options can easily be explained by that Real Estate Professional in Pompano Beach, Gleason Realty.
In 2017, Collateral Analytics released a study. The study showed sellers that used a professional real estate advisor, netted 6% more in the sale of their home. This is after they paid the real estate fees and commissions to their real estate professional. So, the fact that FSBO is believed to save you money is actually questionable.
What about if the potential buyers are represented by a Realtor? Do you negotiate that commission you will pay the buyers representative? Maybe you just refuse to pay in hopes that someone who is not represented by a Realtor passes your house in that low traffic and quiet neighborhood? These are all negotiations that you will face but it is definitely not an all-encompassing list.
Deadlines and Time Constraints During the Sale of Your House for Sale in Pompano Beach
Did you know there are certain time constraints and deadlines that you should put into place while selling your home? Some of these deadlines include an inspection deadline, a mortgage approval deadline, a Homeowner’s Association application deadline, and most importantly a closing date are just a few.
Inspection Deadline on the Sale of Your Home in Pompano Beach
Here in Florida, we often give some time for the potential buyer to complete any inspections they feel are necessary. While working with a real estate professional, they will advise of the customary periods of time for inspections. On average it's customary to give at least a week and sometimes more to complete the inspections. The inspector will come to your house, which you must accommodate, to complete the inspection. These inspections include a multitude of things from the electrical to plumbing to structural items of the house. During this period of time, the buyer has the opportunity to request for certain items to be repaired. If these items are not repaired, the buyer can terminate the contract.
It is important to keep track of this deadline and make sure that all requests are promptly addressed during this period. If an agreement cannot be made as to the repair of items found not up to the buyer’s idea of functioning, the buyer can terminate the contract without losing any of their deposit placed at contract execution. If this deadline passes and an extension is not agreed upon, you can be entitled to part if not all of the deposit placed on the house.
Mortgage Approval Deadline on that Pompano Beach House for Sale
The mortgage process is often time-consuming and requires several different steps. The buyer must comply with several different requests for documents and most loans require an appraisal of the house for sale.
During the appraisal process, you might be informed that the house is not valued at what you thought it was. This is very common and can cost you several thousands of dollars net at the end of the transaction. You have to have a professional at your side to help combat these appraisal issues and understand the most appropriate course of action.
After the appraisal, the rest is up to the buyer. If the buyer does not produce an approval letter from their mortgage company, you have an option to extend the deadline. If no extension is agreed upon, then if the deal falls through due to the mortgage being denied, you may have the chance to keep the escrow deposit.
Homeowner’s Association (HOA) Application for Your Pompano Beach Home for Sale
During the normal transaction, you may encounter situations where your buyer may have to apply to an HOA for approval. The average amount of time that is given to a buyer to start this process in South Florida is five (5) days. If your buyer does not submit proof of application submittal within 5 days of the executed contract, you may have recourse options if the buyer is later denied by the HOA.
These are several different deadlines that must be kept track of along with the process of showings that will need to be conducted to sell your home. If you noticed, I stopped short of the Closing Date deadline. Look for the final part, Part III, tomorrow where we will outline the closing of your real estate transaction. There are important steps that you cannot miss.
If I still haven’t convinced you yet to use Gleason Realty as your Pompano Beach Real Estate Professionals, stay tuned for the final part, Part III.