{"id":1718,"date":"2021-02-02T12:00:13","date_gmt":"2021-02-02T12:00:13","guid":{"rendered":"https:\/\/brokernadir.com\/?p=1718"},"modified":"2021-02-02T12:00:13","modified_gmt":"2021-02-02T12:00:13","slug":"challenges-for-home-sellers","status":"publish","type":"post","link":"https:\/\/zentricstudio.smtgamma.com\/index.php\/2021\/02\/02\/challenges-for-home-sellers\/","title":{"rendered":"Challenges for home sellers"},"content":{"rendered":"<h2><span data-preserver-spaces=\"true\">Challenges for home sellers in a seller&#8217;s market<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">The real estate market is currently considered a\u00a0<\/span><em><span data-preserver-spaces=\"true\">seller&#8217;s market\u00a0<\/span><\/em><span data-preserver-spaces=\"true\">almost throughout the country \u2013 especially in Washington State. Seller&#8217;s markets create additional demands on homebuyers in general and first-time homebuyers in particular. Most people don&#8217;t realize that it also creates unique challenges for home sellers.<\/span><!--more--><\/p>\n<h2><span data-preserver-spaces=\"true\">Tough questions that home sellers must answer<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">It is challenging for home sellers to figure out how to:<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">Make their home presentable to fetch the best price\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">What needs to be fixed up\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">How much to spend on these repairs<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">How to price their home\u00a0<\/span><em><span data-preserver-spaces=\"true\">just right<\/span><\/em><\/li>\n<li><span data-preserver-spaces=\"true\">How to choose the best offer<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h3>Short supply and high demand<\/h3>\n<p><span data-preserver-spaces=\"true\">There are so few <a href=\"https:\/\/zentricstudio.smtgamma.com\/i-want-to-buy-a-home\/\">homes for sale<\/a> \u2013 and so many buyers. This basic disparity in supply and demand has resulted in a new trend. Homebuyers offer substantially higher than the asking price. They also waive several of their rights, thus giving up the protections provided to them by law. Most <strong>real estate brokers<\/strong>, eager to make a sale, neglect to help their clients fully grasp these tactics&#8217; dangers.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Negotiations to deal with buyers&#8217; concerns after the home inspection, appraisal issues, and other <\/span><em><span data-preserver-spaces=\"true\">escrow-related<\/span><\/em><span data-preserver-spaces=\"true\">\u00a0matters follow this phase. These add to the challenges for home sellers. There are many pitfalls in each of these phases \u2013 each can be costly. It often gets pretty stressful.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">It is no wonder that more than 97% do this with a listing broker&#8217;s help. An insignificant number tries to go it alone. More than 70% of that minuscule number ends up hiring a listing broker. That has its own downside due to the property&#8217;s initial exposure to the market was less than optimal. <\/span><a href=\"https:\/\/zentricstudio.smtgamma.com\/i-want-to-sell\/\">Get BN Real Estate in your corner.<\/a><\/p>\n<p>&nbsp;<\/p>\n<h4><span data-preserver-spaces=\"true\">Abandoning rational thinking can be very costly for homebuyers<\/span><\/h4>\n<p><span data-preserver-spaces=\"true\">This abandonment of rational thinking by homebuyers also creates challenges for home sellers. Some of these challenges are:<\/span><\/p>\n<ol>\n<li><span data-preserver-spaces=\"true\">Listing brokers often list homes based on their assessment of the home&#8217;s market value. The house often does not appraise for the\u00a0<\/span><em><span data-preserver-spaces=\"true\">price sold<\/span><\/em><span data-preserver-spaces=\"true\">\u00a0if that number is tens of thousands of dollars higher than that number. This can result in the transaction not closing.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Homebuyers may waive their right to have the house professionally inspected. When the offer is accepted, they try to find other ways to check things out. Sellers have to deal with this nuisance.\u00a0\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">If a transaction falls through and does not close, the listing comes back on the market. That is always a challenge. It is not a new listing anymore. Buyers ask more questions, and it is often difficult to get the price that the house originally sold for.\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">If the appraisal was lower than what it sold for and the sale does not close, the seller can only expect to get the lower price now.\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">It is not unusual for a listing to get multiple offers. It has also become common practice for buyers to include an <\/span><em><span data-preserver-spaces=\"true\">escalation clause<\/span><\/em><span data-preserver-spaces=\"true\">\u00a0in the offer. Escalation clauses are complex and tricky to present correctly and even more complex for the sellers to decipher accurately. Often even the brokers do not fully understand the proper use and deciphering of an escalation clause, leave alone explain it to their clients. I will write a post about this separately.<\/span><\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n<h5>More tough questions for home sellers when selecting the best offer<\/h5>\n<p><span data-preserver-spaces=\"true\">For offers that are significantly higher than the asking price and have one or more buyer&#8217;s rights waived, home sellers must consider the following:<\/span><\/p>\n<ol>\n<li><span data-preserver-spaces=\"true\">What are the odds that the house will appraise for that amount?\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Are the buyer&#8217;s financials strong enough that they will be able to complete the transaction?<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Are the buyers waiving their various having fully understood the repercussions?\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Is there any issue with the property that may not have been fully disclosed to the buyers and thus may result in a lawsuit at some future point?<\/span><\/li>\n<\/ol>\n<p><span data-preserver-spaces=\"true\">This phenomenon underscores the need for home sellers to have a seasoned, knowledgable, forthright broker in their corner as a listing broker, and for the buyers, a buyer&#8217;s agent. <a href=\"https:\/\/zentricstudio.smtgamma.com\/about-us\/\">Learn how BN Real Estate can help you.<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Challenges for home sellers in a seller&#8217;s market The real estate market is currently considered a\u00a0seller&#8217;s market\u00a0almost throughout the country \u2013 especially in Washington State. Seller&#8217;s markets create additional demands on homebuyers in general and first-time homebuyers in particular. Most people don&#8217;t realize that it also creates unique challenges for home sellers.<\/p>\n","protected":false},"author":3,"featured_media":1725,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":["post-1718","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate-info"],"_links":{"self":[{"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/posts\/1718","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/comments?post=1718"}],"version-history":[{"count":0,"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/posts\/1718\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/media\/1725"}],"wp:attachment":[{"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/media?parent=1718"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/categories?post=1718"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zentricstudio.smtgamma.com\/index.php\/wp-json\/wp\/v2\/tags?post=1718"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}