5 Ps for Sellers
Originally appeared in Hills Publications, August 10, 2001 and ANG Newspapers, August 18, 2001
Few sellers are clear on what they need from an agent. Before hiring one to market and sell your home, remember these “five Ps.” They could make the difference between a happy transaction and one filled with heartache.
Pricing
Like every seller, your first question may be, “How much is my house worth?” Naturally, the higher the number, the more pleased you may feel, but be careful. The answer involves many variables: location, condition, style, size, schools, outdoor living, and access to transportation, among others.
If you interview a number Realtors, the one with the highest price may be more interested in getting a listing than doing the best possible job for you. Do not let the dollar signs cloud your thinking. In a fast market, overpricing is not as crucial. With our current “in-transition” environment, however, starting at too high a price could be a costly error.
As pricing is much more art than science, you need a local agent who understands the intricacies of the overall market as well as the specifics of your neighborhood and street. This requires years of experience. Make sure you choose someone who is successful.
Promoting
There is a vast difference between the best marketing agents and the rest. Top salespeople will show you samples of their marketing materials. Notice the distinction between assembly line, prosaic flyers and postcards and others that have an individual flair.
I know agents from tiny “mom-and-pop” offices who do a far better, more creative job than others who work for mega-brokers. Remember, the name recognition of the company is not what will get your home sold for the best possible price and terms; it is the individual agent.
With today’s technology, a comprehensive set of indoor and outdoor digital photos of your property is a must. It does not matter whether the agent takes the photos himself or hires others. An artist’s rendering is also a plus.
Amazingly, only about 50 per cent of Realtors have a Web site. Of those, a much smaller number have their own, personal site. The Bay area probably has more Web-savvy homebuyers than anywhere in the world. The vast majority actively uses the Internet to more efficiently search for a house.
Carefully review your prospective agent’s Web site before committing to him. Those without a Web site, or an unattractive one, should go to the bottom of your list. Again, pay attention to the difference between the cookie-cutter Web sites and those that have panache.
Before marketing, make sure your agent explains the open house schedule and how the property will be exposed to local brokers. In the Oakland-Kensington corridor, there are two main lists of homes for broker’s tours. One is the Multiple Listing Service (MLS); the other is a publication called the Ad Review. To receive full exposure, your home needs to be advertised in both. Unfortunately, this is not done for a large percentage of local listings.
A flyer box attached to the “For Sale” sign helps to promote the property, but is often not provided. Insist on it.
Professionalism
It is no surprise that there is an enormous difference in how various agents operate. A professional is someone who takes his business seriously and consistently does things the right way.
Sometimes, an already scheduled broker’s tour needs to be postponed because the property is not ready to be shown. Professional agents make sure to notify local real estate offices of the change. It is frustrating, but not uncommon, for agents to spend 15-20 minutes driving to a specific listing, only to find it is not open for tour that day. Often, they will not make the trip again.
The best agents communicate well with their fellow Realtors and return voice-mail and e-mail messages in a timely manner. Most importantly, your agent should be in touch with you on a regular basis, at least once or twice a week, until your escrow has closed.
Professionalism is also reflected in how an agent handles contract presentations. This is particularly true in multiple offer situations. As an agent presenting an offer, I have seen numerous cases where the seller would have netted more had his agent been more competent.
Protecting
Agents at the peak of their profession protect their sellers by answering questions the clients may not even know to ask. They interpret various scenarios and their implications. Top real estate people put themselves in their clients’ shoes. They place the person first and not the sale.
Finding this type of individual is rare in any business; he is worthy of your confidence and trust. These agents do exist. When you find one, consider yourself fortunate.
Personal relationship
When all is said and done, you must feel comfortable with your agent. Even if he fulfills all of the above criteria, it will be a positive experience only if you feel a personal connection. As the process unfolds, you may be spending more time with him than with family members. Select someone you can relate to.
A word of caution: Do not make the common mistake of choosing based primarily on personality. What you need is someone with all five Ps.
Final thoughts
As a seller, there are certain basics you will require from your agent. When you find him, you will have a sale that is pleasant and profitable.
Related Articles:
Protecting Sellers
Seller’s Do’s & Don’ts, Part 1
Seller’s Do’s & Don’ts, Part 2