Selling a house in the prime market is a major undertaking. With various required disclosures and potential legal pitfalls, there are a number of things you should know before you begin the process of selling a home. People sell a house for various reasons. There are people who sell a house for a living. Some sell a home because they want to upgrade their old house. Others sell house because they badly need money. Whatever your reasons might be in selling a home, sell your home in better terms. Selling a house in posh locations is easy. Like selling a house in Laguna Hills, it might be like hotcakes for sale. Selling a home in Orange County will be easy as you think it is. Here are the easy processes of selling a home.
- Hire an agent – You can try to sell your home on your own, but a qualified agent will know the current value of similar homes in your area, and how to effectively present and market your home so a good number of buyers will make credible offers. Home sales involving real estate agents usually involve purchase prices significantly higher than those without an agent, even after payment of commissions. We can assist you with finding the busy Agent that fits your needs. Find an agent with a diverse marketing plan who has a proven track record of success.
- Prepare your listing agreement – There are three kinds of real estate listing agreements. An open listing is one where the owner retains the right to sell the home and pays no commissions. An exclusive agency listing is used for a sale by the owner. The owner executes the listing agreement with a broker if the broker is the cause of the sale. With an exclusive right to sell listing, the seller agrees to pay a commission to the listing broker regardless of who brings in the buyer.
- Set the Sales Price – Your agent typically determines the listing price of your home by comparing sales prices of similar homes within a quarter mile or half mile of your property. Other factors should also be considered, such as proximity to schools, markets and freeways.
- Get the offer – An offer is a proposal to pay a certain price based on set terms and conditions. It’s not a legally binding contract until the seller accepts the offer and its material terms and then notifies the buyer that it has been accepted. A counteroffer rejects the original offer based on purchase price or other terms or conditions, and proposes a different price or new terms. After an offer is agreed on and signed by all parties, the buyer deposits funds into an escrow account, secures mortgage approval, arranges a home inspection, and follows all state and local regulations regarding transfer of the property.
- Prepare the Purchase Agreement – A purchase agreement is a legally binding contract for the sale of real estate.
- Negotiate Post-Contract Issues – If an inspection turns up material defects, the buyer can insist that you pay to fix the problems or lower the purchase price so the transaction can still proceed.
- Close the sale – At the close of escrow, several events typically occur, such as: buyer signs a promissory note, seller pays certain closing costs, buyer signs the deed of trust on the property as security for the loan, title insurance is verified and the deed is recorded on the day escrow closes. As the seller, you don’t have to be present at closing, as long as all costs are paid and all documents are signed. You typically have to turn over the keys to the buyer that day if the deed is recorded at that time.
In all sorts of home selling transactions, never forget to consult your lawyer. California real estate laws are complicated, and not all laws are the same in every state. Sellers should consult with a real estate attorney, or Real Estate Broker to ensure a successful and problem-free home sale.