R E A L T Y T H E R A W L S G R O U P. Selling Your Home

Transcription

1 Selling Your Home

2 Your Decision You might want me to market and sell your home. That would be great! You might not want me to sell your home and that would be OK. I might be unable to market and sell your property. I am not in the business of listing property, but satisfying my Sellers needs You may have a need or expectation that I can t meet. It all comes down to having a Win-Win relationship with my clients. M

3 Keller Williams Realty continues to rank number 2 in total unit sales of Condos, Townhomes and Single Family Detached Residences R E A L T Y Partner With a Growing Atlanta Market Leader Keller Williams Realty has increased market share every year since 2005, in all types of markets M

4 LOCAL MARKET STATISTICS Success Is In The Access to local sales and market trends from ChartMaster Services, LLC equips YOU to price for a faster sale and a higher price. Company TIMELY EDUCATION & TRAINING Keller Williams University focuses on developing and teaching strategies designed for a shifting market. This equips agents to help YOU sell within YOUR timeframe, for the highest dollar. KWLS OUR LISTINGS ARE SYNDICATED YOU Keep THEKW PROFIT SHARING STRATEGY 2008 NAR surveys revealed that 87% of buyers used the internet in their home search. Keller Williams Listing System(KWLS) and ListHub, a National Listing Network, have joined forces to ensure YOUR listing appears on the most frequented internet search sites. This maximizes YOUR exposure for a faster sale.. Through our commitment to share almost 50% of our office profits with agents who help us grow and prosper, our offices have an environment dedicated to helping each other be successful. This teamwork of sharing resources, ideas and tools helps YOU experience a faster sale. M

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6 10-Point Marketing Plan 1. STAGING and PRICING STRATEGIES 2. For Sale Sign, Rider Signs, Directional signs, Just Listed Cards 3. Front-yard Flyer Box and Distribution of Flyers in Neighborhood 4. Flyers in House/Home Book/Comment Cards 5. MLS Services 6. Web Listings 7. Open House Program 8. Track Showings/Collect Feedback 9. Weekly Seller Updates 10. Property Caravans Additional Points: 1. Circle Market 2. Seller Sphere 3. Choose Your Neighbor Cards M

7 Yard Signs, Flyers M

8 Just Listed Cards M

9 FMLS First Multiple Listing Service 35,000+ Agents 81% of homebuyers used a Realtor to purchase their home in % of home buyers used a Realtor in their home search Using the Maximum Number of Photos 20 M

10 Georgia MLS Georgia Multiple Listing Service 32,000+ Agents 81% of homebuyers used a Realtor to purchase their home in 2009 Using the maximum Number of Photos % of home buyers used a Realtor in their home search M

11 The Internet Today s Most Important Marketplace kw.com In 2009, 89% of first-time home buyers used the internet to search for homes In 2009, 86% of repeat home buyers used the internet to search for homes M

12 The Internet Today s Most Important Marketplace Personal Web Site M

13 74,000+ Agents 30 Photos M

14 Keeps YOU Everywhere Buyers Search Our Keller Williams Listing System and Your Home A National Listing Network M

15 A Strategic Partnership and 24 Hour Exposure Enhanced Property Descriptions Virtual Tour Open House Dates Seller Reports 20 Photos 5.5+ Million Page Views per Month: Maximizing Your Opportunity for a Faster Sale M

16 Realtor.com M

17 Showcase Listing Enhancements Up to 25 Jumbo Photos Fully showcase your home Full motion Video And Virtual Tours Provide Can provide more robust information Realtor.com Open House Alerts Help drive more buyers to your home Custom Property Description Engages consumers Capturing Even More Buyers 116% More Clicks M

18 Craigslist.com M

19 My 10+ Customer Service Commitment As the REALTOR you have chosen to exclusively represent you in the purchase of your new home, I promise that I will: 1. Provide you with 10+ Customer Service during the entire selling process including taking the time to understand your wants, needs and expectations, returning your calls and s the same day and being honest with you at all times. 2. Help you obtain the highest possible price for your house in the shortest amount of time. 3. Advise you on pricing and assist you with staging your home. 4. Implement the 10-Point Marketing Plan to market your house through as many channels as possible. 5. Coordinate the home showing process. 6. Present all offers in person and advise you on the terms and contingencies. 7. Negotiate offers on your behalf. 8. Schedule and coordinate completion of contingencies and inspections. 9. Monitor the Buyer s loan process. 10. Coordinate and supervise the preparation of all closing documents and guide you through the closing process. I look forward to selling your property! M

20 The Post Listing Consultation There is much to discuss with regard to showing and selling a property. Sensitive to the needs and concerns of the homeowner and family, I provide a Post Listing Consultation within days of signing the listing paperwork. During this consultation, I will discuss many of the necessary strategies and details involved in the process of selling your property. The Consultation Includes: Customary Showing Procedures Showing your Home with Pets and Children Offers and Counteroffers First Offers, Low Offers, Multiple Offers Home Inspection Issues Survey Issues Termite Issues Sale of Property Contingency Negotiation Strategies Financing Issues-Closing Costs Advantages of a Home Warranty Schedule of Pricing Review From Contract to Closing Homeowner Concerns M

21 Cancellation Guarantee I guarantee to let you cancel your listing agreement at any time, prior to accepting an offer to purchase your home, if you feel that I have not done my job as outlined in the Listing Agreement and in my 10+ Customer Service Commitment. The benefits to you are: You do not have to worry about a long-term commitment if you are not satisfied with my service. You do not have to worry about lengthy broker protection periods if you decide to cancel. You do not have to pay any costly cancellation fee. I make listing your home with me totally hassle free. My responsibility to you: I am 100% committed to providing you with the highest level of service in the Atlanta market. My success and the growth of my business depends upon this commitment to you. I realize that you are the most important element in this relationship. Agent Seller M

22 Attracting Buyers It all Begins With Price

23 Provided by ChartMaster Services, LLC Exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas State of the Market- 4Q 2009 Improved Conditions: A year-to-year increase occurred in 4Q sales for the first time in the last 3 years Sales in the <$200K price range rose by 14% compared to the same quarter last year a recovery will likely start with low-priced properties Foreclosure sales as a percentage of total sales were up slightly, but some stabilization in distressed properties sales may be happening The % Sales price/original List Price ratio improved again in 4Q 2009 compared to earlier 2009 quarters and was above that of 4Q 2008 representing the first such increase in the last 3 years The Failed listing percentage is gradually falling from the peak Supply of listings is much lower than in December, 2008 and is lower in all price ranges, nearing a balanced market (6 mos.) in the <$200K price range Although still high, the percentage of transactions which followed a price reduction was lower in 4Q 2009 than in 4Q 2008 Median Sales price was slightly above that of 4Q 2008 Still Troubling Conditions: 4Q 2009 comparisons were against a severely depressed market in 4Q Future comparisons will not have that advantage. % S/L ratios still low compared to past markets Days-on-Market remains high although slightly lower than in the comparable period of last year More than a 9-month supply of listings exists when a neutral market has a 6-months supply, with supply extremely high in upper price ranges for both New and Resale properties Distressed properties still represent more than 1 in every 4 sales, keeping prices lower and DOM longer for nonforeclosure properties 87% of properties are still initially being overpriced for current conditions, setting up price reductions, lower S/L ratios and longer DOM P FMLS Data for single family detached residence sales. Data is believed to be accurate, but is not warranted. ChartMaster Services, LLC

24 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas (4Q Only) Foreclosures add a negative effect to a weaker market and represented 35.6% of sales in the <$200K price range in 4Q 2009 Significant increases in foreclosures were evident in the higher price ranges where the percentage of sales doubled ($750K- $999K) or nearly tripled ($1.0M+) P

25 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas Although multiple factors may have influenced median sales prices during this market downturn, Foreclosure sales have been one of the biggest As the number of foreclosure sales (red trend line) increased, the median sales price (gold trend line) of nonforeclosure properties has declined The number of foreclosure sales fell somewhat after July, likely contributing to somewhat more stable sales prices during that time P

26 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas Median Sales Prices shown monthly, by year, illustrates the degree to which prices in 2009 have declined compared to other recent years Only in November and December of 2009 were median sales prices slightly ahead of the depressed prices during those months in 2008 and well below those of previous years P

27 What You Do & Don t Control Seller Controls: Property Condition Availability for Showing Price Home Warranty Seller Doesn t Control: Competition Buyer s or Seller s Market Interest Rates When The Perfect Buyer Walks Thru Door P

28 Supply vs. Demand Seller s Market Demand Exceeds Supply Buyer s Market Supply Exceeds Demand P

29 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas The number of properties listed for sale compared to the number of properties which sold each month, illustrates the continuing imbalance existing between Supply (listings) and Demand (sales) Using a 3-month average of 4Q 2009 sales yields a 9.0 months supply, meaning that it would take 9.0 months to sell the current inventory of listings if no new listings came on the market A supply of more than 6 months is usually considered to be a Buyer s market P

30 Chasing the Market Closer to the market is still out of the market Above Price vs. Competition No-Man s Land 50% 30% Out of the Market Homes that Don t Sell 20% In the Market Homes that Sell within 6 months Below Great Homes with Insufficient price reductions Poor Condition vs. Competition P

31 Atlanta Buyer s Market Only 13% of the 4Q 2009 Atlanta housing inventory was initially priced in the market Above 60% Price vs. Competition In the Market Homes that Sell within 6 months Below 27% 13% Chased The Market Great Out of The Market Homes that Don t Sell 60% Condition vs. Competition Poor P

32 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas EFFECT OF PREVIOUS LISTING PERIODS INCLUDED Monthly current listing prices (not original list prices) for Active, Failed, Pending and Sold listings illustrate that properties which have not sold (Active or Failed) continue to be listed at prices that are being rejected by Buyers List price trends for Pending Sale properties should foretell the direction of sales prices within the near future A slight downturn in listing prices for Active and Foreclosed properties during 4Q 2009 may indicate that Sellers are trying harder to meet market demand prices P

33 Seller: I d like to try listing at a higher price for 30 days and if we don t get any offers then we can lower the price P

34 Asking Price vs. Percentage of Buyers That View the Property 15% 10% 10% 30% Fair Market Value 60% -10% 75% -15% 90% ASKING PRICE PERCENTAGE OF BUYERS P

35 Buyer Interest vs. Weeks on Market Traditional Theory REALITY In 2009, property sales peaked in the 2 nd week after listing, declining sharply after that P

36 Effect of Overpricing on Selling Time and Price Traditional Theory REALITY Evidence that the best offers come in the first weeks a listing is active, was shown in 2009 by the progressively declining % S/L ratio in each successive week after a listing becomes active P

37 Getting it Right The First Time

38 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas Failed listings (Expired+ Withdrawn) are shown here as a percentage of total finalized (Expired + Withdrawn + Closed) listings The continued high failure rate of listings peaked in January, 2009 at 75% of finalized listings, offering further evidence of the strong Buyer price resistance in this market, since listings usually fail due to overpricing Although the 4Q average failure rate is fairly stable at a high 59.5%, a sharp and steady decline in this rate occurred during the first half of 2009 P

39 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas What s the REAL STORY? Many times listed properties will have expired or been withdrawn one or more times prior to the listing period in which they sold. Including the original listing prices and cumulative days on market from those previous listing periods, results in a more realistic set of measurements. (4Q Only) Total Sales (100%) 85.9% S/L* 139 DOM* * Medians: Half are above and half are below Price Reduced (66.8% of Total) 78.5% S/L* 247 DOM* No Price Reduction (33.2% of Total) 97.1% S/L* 25 DOM* Previously Listed (38.9% of Total) 71.6% S/L* 426 DOM* Not Previously Listed (27.9% of Total) 86.2% S/L* 110 DOM* Previously Listed (.8% of Total) 94.6% S/L* 204 DOM* Not Previously Listed (32.4%Of Total) 97.5% S/L* 23 DOM* Chased the Market Chased the Market Chased the Market In the Market FMLS Data for single family detached residence sales. Data is believed to be accurate, but is not warranted. ChartMaster Services, LLC P

40 4Q 2009 Quarterly Metro Market Profile Provided By ChartMaster Services, LLC exclusively for Keller Williams Realty Single Family Detached Residences 39 FMLS Areas (4Q ONLY) Out of every 100 finalized listings, 60 failed to sell and 40 sold Of the 40 sold listings, 27 (67%) required a price reduction, when listing prices from previous listing periods are included, in order to attract a Buyer Therefore, if 60 failed due to overpricing and another 27 required a price reduction in order to sell, 87 out of every 100 listings were initially overpriced in 4Q 2009, resulting in either no sale, or a sale at a much-reduced price after a much-longer listing period FMLS Data for single family detached residence sales. Data is believed to be accurate, but is not warranted. ChartMaster Services, LLC P

41 Capturing Buyers By Enhancing Appearance and Condition

42 The Key To Living In A House Is Comfort The Key To Selling A House Is Presentation Knowing The Difference Between The Two Is. The Key To Your Profits S

43 STAGING MATTERS! Home Staging Statistics 80% of what causes a property to sell is the way it is priced and how it appears to the Buyer Gary Keller S Source: Accredited Staging Professionals

44 Home Repair Home Staging R E A L T Y Improvements that Cost the Least but Bring the Most Return Your return on home-improvement Investments Improvement Typical Cost Increase in Sales Price Average Return % of Agents Recommending Lighten & Brighten $233-$370 $1,178-$1, % 97% Clean & De-Clutter $190-$318 $1,505-$1, % 97% Landscape & Trim $378-$546 $1,718-$2, % 97% Staging $403-$584 $1,380-$2, % 91% Fix Plumbing, Elect. $438-$621 $1,205-$1, % 93% Kitchen, Bath Upgrades $1,404-$1,828 $3,216-$3, % 87% Repair Flooring $628-$878 $1,633-$2, % 94% Paint Exterior Walls $863-$938 $1,757-$2, % 88% Renew Carpeting $562-$808 $1,532-$1, % 98% 2007/2008 HomeGain Survey of 2,000 real estate agents nationwide found that moderately priced home improvements, ranging from $190-$2400, made in preparation for sale, actually yield the highest returns when a house is sold. S

45 Staging Capture Your Buyer! The investment in Staging is always less than your first price reduction! Barb Schwarz Creator of the Home Staging Concept Before Cleaned, De-Cluttered and Rearranged Photos courtesy of Listing Impression S

46 Staging Capture Your Buyer! Before Neutralized Photos courtesy of Listing Impression S

47 Staging Capture Your Buyer! Before Rearranged, with Softer palette Photos courtesy of Listing Impression S

48 Staging Capture Your Buyer! Before Re-Purposed Photos courtesy of Listing Impression S

49 Staging Capture Your Buyer! Before Vacant Property Staged Photos courtesy of Listing Impression S

50 Staging Capture Your Buyer! Before Landscaped and Neutralized Photos courtesy of Listing Impression S

51 80% 20% Out of The Market Homes that Don t Sell In the Market 80% Great Poor Condition vs. Competition Property Improvements Staging S

52 Highest Price Optimal Positioning Fewest Days on Market Market Pricing Condition Staging S