Home Seller's Checklist

Home Seller's Checklist

Authors: Robert Irwin

Published: 2004

ISBN: 9780071457163 0071432159

Contents

Acknowledgments

Preface

1: Fixing-up Your Home to Show

Questions to Ask Yourself

Do I understand the importance of appearance?

Have I evaluated the appearance of my home?

Have I checked out the competition?

Does my house make a good first impression?

Does my front lawn need replanting?

Is my front sidewalk or driveway in good shape?

Do I have colorful, attractive flowers in front?

Have I manicured my bushes?

Are the steps leading to my house attractive?

Have I painted the front of my house?

Should I refurbish my front windows?

Does the rest of the exterior of my house need work?

Have I avoided harsh colors?

Is the transom solid and clean?

Does the door close well?

Is the inside of my house roomy?

Is my carpet clean?

Does the interior of my house need painting?

Is the kitchen modern and airy looking?

Is my bathroom tidy?

Are the windows washed?

Is the inside of my house light and airy?

Are there any bad smells inside?

Are there any pet odors?

Have I checked for black mold?

Have I cleaned up my back and side yards?

Is the landscaping in my yard in good shape?

Do I use my garage for storage?

Questions to Ask an Agent

Can you evaluate the condition of my home?

Is the house clean enough to show?

Are there any big-ticket items I need to fix or replace?

What about the heating/air?

What about the plumbing?

What about the roof?

Is the carpet in good enough condition to sell the house?

Is there anything detracting about the house that you see?

2: How to Find a Good Agent

Questions to Ask Yourself

Have I tried selling my house “by owner”?

Do I have a recommendation for a good agent?

Have I looked for local real estate offices?

Have I gone to “open houses” in my area?

Have I narrowed the field to one particular agent?

Have I interviewed that agent?

Did I get pressured by the agent?

Does the agent seem knowledgeable?

Is the agent experienced?

Does the agent know all about homes in my area?

Does the agent seem honest?

Can the agent give me references?

Would I be willing to trust this agent with my personal finances?

Have I called the Better Business Bureau?

Have I checked with my state’s department of real estate?

Have I called trade organizations?

Questions to Ask an Agent

Are you a licensed agent?

Are you a salesperson or a broker?

How many years of experience do you have?

How many homes did you list last year?

Of those, how many sold?

Do you have other sources of income?

How did you present the offers on those that sold?

Do you suggest any special “tips” to get better bids?

On how many sales did you represent both the seller and the buyer?

Do you work on weekends as well as during the week?

How often do you plan on calling to tell me how things are going?

What kind of promotion will you do on my property?

Will you put my property on the Multiple Listing Service?

How else will you spread the word about my house?

What kind of “open house” will you hold?

What kind of advertising will you do?

How soon will you place a sign on my property?

Will you create flyers about my house?

Will you act as a seller’s agent, buyer’s agent, or dual agent?

Will you handle all the paperwork?

What professional organizations do you belong to?

Has a state real estate department ever taken action against you?

Are you the focus of any real estate lawsuits?

3: Pricing to Market

Questions to Ask Yourself

Do I have a price in mind?

Have I received a comparative market analysis from an agent?

Can I rely on the CMA?

Have I checked out comparable homes?

Have I become a pretend buyer for a weekend?

Have I determined the price spread?

Have I taken into account recent price increases?

Have I determined the inventory of unsold houses?

Have I considered the economy?

Have I factored in interest rates?

How price sensitive are buyers?

What price can I realistically get?

Can I afford to sell?

Should I call in an appraiser?

Questions to Ask an Agent

Can you give me a CMA?

Do you suggest absentee pricing?

Do You Suggest Underpricing?

Do you suggest range-pricing?

What, in your opinion, is my house really worth?

What can I do to improve my home’s for-sale value?

How long do you think it will take to sell my home?

Should I get a formal appraisal?

4: Checking Out the Agreement When You List

Questions to Ask Yourself

Have I decided on a price?

Have I decided on a commission rate?

Have I decided for how long to list?

Do I understand the listing agreement?

Has the agent asked for my “power-of-attorney”?

Do I get to choose title insurance and escrow companies?

Has my attorney reviewed the listing?

Questions to Ask an Agent

For how long do you want to take a listing?

Are you happy with my listing?

What kind of listing do you want?

Will you co-broke my property with other agents?

If you are an independent, will you list on the MLS?

Are you a REALTOR®?

If you are a chain, what advantages will you offer me?

What commission rate do you want?

Is there a transaction fee?

Is there a title company/escrow company you insist on using?

Who pays for title insurance and escrow charges?

What if I do some of the work?

What type of listing will you want?

Do you offer a guaranteed-sale listing?

Who gets any forfeited deposit?

5: Preparing Disclosures

Questions to Ask Yourself

Do I know what disclosures are?

What can happen if I don’t disclose defects?

Do I need a special disclosure form?

When should I give my disclosures to the buyer?

Should I give my disclosures in writing?

What sorts of things must I disclose?

What if I take a chance on not getting caught?

What if I play hardball and refuse to fix a problem I didn’t disclose?

Am I better off not disclosing small problems?

Should I fix the problem myself?

Should I disclose a problem I’ve fixed?

Is there a time limit for disclosures?

Should I order my own home inspection?

Should I disclose a roof leak?

Should I disclose a foundation crack?

Should I disclose nonpermitted additions?

Should I disclose noisy neighbors?

Should I disclose barking dogs?

Should I disclose a death or murder in the house?

Should I disclose a neighborhood problem?

Should I disclose water problems?

Should I disclose the existence of black mold?

Should I disclose heating/air problems?

Should I disclose electrical problems?

Should I disclose soil problems?

Should I disclose zoning violations?

Should I disclose problems with appliances?

Should I disclose a bad fireplace?

Should I disclose cracks, breaks, holes, and similar problems?

Should I disclose any homeowners’ association problems?

Should I disclose any other problems or possible problems?

Questions to Ask an Agent

Are there any mandatory state or federal disclosures I need to make?

Will you make your own disclosures to the buyers?

Will you assist me with my disclosures?

Is there anything I should emphasize in my disclosures?

Is there anything I should fix immediately?

Should I get a professional home inspection first?

Is there anything I need not disclose?

Is there anything I should hide from the buyers?

6: Handling the Buyer’s Home Inspection

Questions to Ask Yourself

Should I allow the buyer to have an inspection?

How much time should I give the buyers?

Should I require a copy of the report?

Should I pay for the inspection?

Should I go along with the inspector?

Should I agree to fix the problems?

Do I have to produce earlier inspection reports?

Should I give the buyer an allowance?

Can I save money by doing corrective work myself?

Should I pay for a termite inspection?

Should I pay for corrective termite work?

Can I refuse to sell if the termite repair work is too costly?

Can I demand a different inspection report?

Can I demand a different person do the work?

Questions to Ask an Agent

Do you recommend a particular inspector?

Should I do the corrective work or pay a professional?

Should I renegotiate the price?

Will you handle negotiations?

Are the corrections demanded reasonable?

Are there alternatives?

7: The Challenge: Counteroffers

Questions to Ask Yourself

Should I accept the buyer’s offer?

Do I understand the buyer’s offer?

Are there contingencies in the buyer’s offer?

Are the contingencies frivolous or reasonable?

Can I limit the buyer’s contingencies?

Can I accept and still change the buyer’s offer?

Should I make a counteroffer?

Should I counter on price?

Should I counter on terms?

Should I counter the contingencies?

What if the buyers accept my counter?

What if they reject it?

Should I “split the difference”?

Should I walk away?

Do I know how to accept an offer?

How long should I give the buyers to accept my counter?

Questions to Ask an Agent

How will you let me know when I receive an offer?

Will you present other offers as received?

Will the buyer’s agent, or you, or both present the offer?

Can you explain everything I don’t understand?

What constitutes a good offer?

Why is it a bad offer?

Should I accept?

If I don’t accept, what should I counter on?

If I counter on price, how low should I go?

Do you think I’ll be getting more offers soon?

Will you present my counter?

Have you any suggestions on how to make the deal work?

8: Special Concerns for Condo and Co-Op Sellers

Questions to Ask Yourself

Am I using an agent?

Am I promoting my lifestyle?

Do I have a map available showing how to get to the amenities?

Have I talked to the HOA, board, and/or architectural committee?

Have I increased the lighting as much as possible?

Have I turned on the air conditioning/heating?

Have I made my patio area as presentable as possible?

Do I have my neighbor’s cooperation?

Questions to Ask an HOA or Board

Do you allow signs on the property?

Are there any restrictions on buyers?

Are there any restrictions on showing the property?

Can I allow buyers in the front gate/door?

Can my agent show the property when I’m not there?

Can I put a lockbox on my door?

How can the buyer get a list of architectural restrictions?

How can the buyer get copies of the CC&Rs, rules, and bylaws?

Are there any active lawsuits pending?

Are there new assessments pending?

Are there any known physical problems with the building(s)?

9: Selling “By Owner”

Questions to Ask Yourself

Do I want to save on the commission?

Do I want to sell faster?

Will the market allow me to do it?

Do I have the “special skills” necessary to sell?

Am I willing to show my home to strangers?

Who will handle the paperwork?

Do I really have time for this?

Am I better off hiring a discount broker?

What about a fee-for-service broker?

Should I pay for advertising?

Can I actually write an ad that sells?

Where will I get a sign to stick in my front yard?

Do I really need to bother with flyers?

Should I have a guest book?

If I get a buyer, do I know how to prepare the sales agreement?

Do I know how to handle the escrow and closing?

Should I help the buyer with financing?

What if the buyer wants my special chair?

Should I offer to co-broke?

Have I set a time limit?

10: Selling Under Pressure (If the Market Should Drop)

Questions to Ask Yourself

Have I analyzed where the market is?

Is it likely to get better or worse?

How much do I owe upon the sale of the property?

What if I sell “by owner”?

How much can I realistically get when I sell?

Do I have equity or am I “upside down”?

Have I talked to my lender?

Have I talked to an agent?

Have I talked to my financial advisor?

Have I talked to my attorney?

Am I current on my payments?

Is the bank threatening foreclosure?

Have I considered a “deed in lieu of foreclosure”?

Have I considered asking for a short sale?

Have I considered renting out the property?

Have I considered staying where I am?

Have I considered “trading places”?

Am I thinking about “walking”?

Questions to Ask a Lender

Will you help me refinance?

Will you give me a second mortgage?

Will you defer payments for awhile?

Will you accept a deed in lieu?

Will you accept a short sale?

Are you going to proceed with foreclosure?

What is the foreclosure process?

11: Closing the Sale

Questions to Ask Yourself

Do I understand what an escrow is?

Do I know the date of closing?

Has escrow been opened?

Have I signed the preliminary escrow instructions?

Is my agent taking charge of the closing?

Are there any loose ends left up to me?

Has the buyer increased the deposit?

Are there any problems with the buyer’s loan?

Have I prepared and given all needed disclosures to the buyer?

Is the buyer working on removing contingencies?

Are there any problems with the house?

Are there any “clouds” on my title?

Have I called in a pest control company?

Do I need to consult with an attorney?

Does my agent call me regularly and keep me informed?

Is my home ready for the final “walk-through”?

Do I have to pay escrow and title fees?

Do I know the dollar amount of the commission?

Do I understand “prorations”?

Have I been told the “home warranty plan” charge?

Do I know of any extra charges?

Am I ready to sign the final escrow instructions?

Have I contacted the escrow officer and set up a time for signing the final papers?

Will my agent and/or attorney be present?

Do I understand all of the closing documents?

Have I made all my moving plans?

Have I arranged for transfer of the key?

Questions to Ask an Agent

Will you open escrow?

Can I save money on title/escrow fees?

Will you check the abstract of title for me?

Will you see to it that the buyers are removing contingencies?

Will you handle the “termite clearance”?

Do you have disclosures for me to sign?

Has the buyer gotten approval for loan funding?

Will you attend the closing with me?

Are there any problems?

12: Paying the Taxes

Questions to Ask Yourself

Do I have to pay taxes when I sell my home?

Can I get a write-off if I sell my home for a loss?

Do I understand the difference between “profit” and “gain”?

Have I saved all my receipts?

Will I have a capital gain on the sale of my property?

Will I have a capital loss?

Who should I use as a tax advisor?

Do I understand the tax exclusion on homes?

What if I haven’t lived in my home for the past 3 years?

Is it my main residence?

Is my name on the title?

What if I recently converted the home from an investment property to my principal residence?

Can I convert to an investment property and trade?

Questions to Ask an Accountant

What is my adjusted tax basis?

Do I qualify for the home exclusion?

Do you advise me to sell or hold and rent out my property?

Is there anything tax-wise that I’m overlooking?

Understanding the Terminology

Internet Resources

Index