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Seller's Roadmap
Use the information below to assess your readiness to be an active, hands-on Seller. This information is provided courtesy of National Association of Real Estate Consultants.
Home Seller Roadmap Synopsis
First, the home selling process may be broken into six segments or checkpoints, thus:
|
Task |
Average Time* |
Importance Rating** |
| 1. Prepare / stage the property for sale | 20 hrs | 6 |
| 2. Gather property information & price the property | 20 hrs | 9 |
| 3. Market the property | 15 hrs | 5 |
| 4. Locate / pre-qualify the buyer | 10 hrs | 5 |
| 5. Draft contract / negotiate with the buyer | 8 hrs | 9 |
| 6. Troubleshoot the sale / close the transaction | 10 hrs | 10 |
| 83 hrs total | 7 average importance |
*Average time as determined by a
poll of 100 real estate consultants.
**Importance rating is the impact the component has on the seller in
orchestrating a timely sale, at the best price, with the fewest hassles. Scale
is 1 - 10, with 1 as lowest importance.
What the Numbers and Ratings Mean
for Sellers:
As the facts and figures reflect, real estate consultants estimate that it takes
an average time of 83 hours from beginning to end to sell a sellers house. But,
when one hundred consumer/sellers were polled, their average estimate was only
54 hours. This is 35% less than what the experts gauge.
When it comes to the impact each of the six checkpoints/tasks has on obtaining the best price, in a timely fashion with the least hassles, the average rating for all tasks is a seven (7) in importance. As you'll see in reviewing the Buyers Roadmap, sellers, on the average, have an easier time navigating tasks than do buyers. Lesson for Sellers: understand your buyer.
Where Do You Need Help in the Sales Process and How Do You Know?
Use the Mini-Quizzes to Help You Decide
Should you/can you go it alone to sell your own property?
Take the quiz for each Seller Checkpoint
How to use the Quizzes:
Each quiz focuses on one of the six separate checkpoints of the sale. This helps
you get a good overview of what you are capable of doing, and particularly what
you are not capable nor comfortable doing.
Please understand. None of this is designed as any kind of put-down. However, it is designed to give you a realistic understanding of what is involved in selling a home.
Seller's Checkpoint #1:
Test Your Ability to Prepare / Stage the Property for Sale
| 1. I am prepared to spend the time necessary to deep-clean the house prior to putting it on the market. | Y | N |
| 2. I am prepared to spend the time necessary making necessary repairs inside and outside the house prior to putting it on the market. | Y | N |
| 3. I understand the importance of curb appeal when attracting buyers and will spend the time, money and effort it takes to get the lawn, shrubbery, walkways and driveways in showing condition. | Y | N |
| 4. I am prepared to paint any worn or peeling areas, especially in the kitchen, bathroom, and near the front door of the home. | Y | N |
| 5. I will clear all clutter in the home, boxing up unnecessary items prior to placing the home on the market. | Y | N |
| 6. I will make sure flooring in the kitchen, bathroom and living room is spotless at all times when showing the house to prospective buyers. | Y | N |
If you answered "yes" to three or more questions, you have a better-than-average chance of being able to complete this home selling phase on your own or with only a moderate degree of help.
Seller's Checkpoint #2:
Test Your Ability to Gather Property Information and Price the Property
| 1. I will obtain a comparative market analysis (CMA) to help confirm the market value of the property. | Y | N |
| 2. I will obtain the legal description and property tax information with either the courthouse or title company. | Y | N |
| 3. I am capable of gathering and double-checking property facts and amenities and completing the property information sheet for prospective buyers. | Y | N |
| 4. I am capable of measuring and calculating the square footage of the house and dimensions of the lot. | Y | N |
| 5. I can obtain and complete the property disclosure forms required by the State of California and present and explain them to potential buyers. | Y | N |
|
6. I will gather all information regarding homeowner's insurance, zoning regulations, and conditions, covenants, and restrictions to present to prospective buyers. |
Y | N |
If you answered "yes" to three or more questions, you have a better-than-average chance of being able to complete this home selling phase on your own or with only a moderate degree of help.
Seller's Checkpoint #3:
Test Your Ability to Market the Property
| 1. I am web savvy and will place information about the property on various no-cost/low-cost web sites in order to attract buyers. | Y | N |
| 2. I am capable of writing advertising and placing it in various print and web mediums. | Y | N |
| 3. I know the profile of the buyer most likely to purchase my home will target all advertising (including signage) to attract him/her. | Y | N |
| 4. I am aware of the market type (seller's or buyer's) and will structure my advertising to attract the best buyer prospects at this time. | Y | N |
| 5. I will design my property information fact sheet to address the most pressing needs of my target buyer. | Y | N |
|
6. I will deliver copies of my property information fact sheet to at least twenty homes across from, behind, and adjacent to my home to enlist their help in finding qualified buyers. |
Y | N |
If you answered "yes" to three or more questions, you have a better-than-average chance of being able to complete this home selling phase on your own or with only a moderate degree of help.
Seller's Checkpoint #4:
Test Your Ability to Locate & Pre-approve the Buyer
| 1. I know the prescreening questions I will ask of all prospects before allowing them to make an appointment to see the house. | Y | N |
| 2. I will never show the house alone without someone else home. | Y | N |
| 3. I understand the difference between a buyer being pre-qualified and pre-approved and will allow only pre-approved buyers to view the house. | Y | N |
| 4. If a motivated buyer is not pre-approved, I have conduits in place to assist them in becoming pre-approved. | Y | N |
| 5. I know the proper closing questions to ask prospects as they tour the house. | Y | N |
|
6. I will follow up within twenty-four hours with each prospective buyer that views the house, asking what they liked and disliked about the house. |
Y | N |
If you answered "yes" to three or more questions, you have a better-than-average chance of being able to complete this home selling phase on your own or with only a moderate degree of help.
Seller's Checkpoint #5:
Test Your Ability to Draft the Purchase Agreement and Negotiate with the Buyer
| 1. I will spend time understanding the property purchase agreement most commonly used in my locale and will be able to complete it to serve my best interests in any offer or counter offer I receive. | Y | N |
| 2. I will design a negotiating strategy to prioritize what I want to win while allowing the buyer to win on issues of importance to him/her. | Y | N |
| 3. I am able to determine my costs of sale (including closing costs) prior to accepting any offer from the buyer. | Y | N |
| 4. I understand the procedures and legal ramifications of offers and counter-offers in real estate negotiating. | Y | N |
| 5. I understand various contingency clauses in purchase and sale agreements, including the ramifications they have on my bargaining positions as a seller. | Y | N |
|
6. I consider myself a strong yet fair negotiator when it comes to financial matters. |
Y | N |
If you answered "yes" to three or more questions, you have a better-than-average chance of being able to complete this home selling phase on your own or with only a moderate degree of help.
Seller's Checkpoint #6:
Test Your Ability to Troubleshoot the Sale and Close the Transaction
| 1. I understand and can describe the sequence of events in closing a real estate transaction and can effectively navigate each one on my own. | Y | N |
| 2. I will prioritize the time and effort it takes to monitor the buyer's mortgage process, keep current on the progress of the closing with service providers, and be available to answer questions and troubleshoot the sale to closing. | Y | N |
| 3. I know the approach to take, what to look for and the documentation required when the buyer makes the walk-through inspection prior to closing. | Y | N |
| 4. I am capable of reviewing and interpreting all closing documents on my own. | Y | N |
| 5. I am capable of calculating the approximate amount of net proceeds I will receive at closing. | Y | N |
|
6. If need be, I am capable of re-negotiating any or all terms of the sale with the buyer prior to closing. |
Y | N |
If you answered "yes" to three or more questions, you have a better-than-average chance of being able to complete this home selling phase on your own or with only a moderate degree of help.
Some lessons that might be learned:
If a seller were to analyze the results of this exercise, some important lessons learned might include:
- It takes most consumers the equivalent of a part-time job, three hours per day, five days per week for approximately six weeks in order to navigate as an FSBO. Most people can't/won't devote that amount of time to selling their home;
- Even if sellers did tackle the process, they were 35% less realistic about the time it would take to complete.
- Even if the seller does devote the amount of time it takes, there are skill levels (often from the middle to the end of the transaction) that many sellers are incapable of tackling successfully. These include negotiating, writing the contract, and troubleshooting the sale to a successful closing.
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