Mitch typically has active buyers that are looking for great properties. If you have a property For Sale By Owner (FSBO) and would like to know if it might interest one of Mitch's buyers, and how the FSBO process works with Mitch ONLY representing his buyers, select the type of property below.
But, Mitch would love to help you find a new place if selling your current home means that you will need to buy a new one. With Mitch as your Buyer’s Agent, on your new home, you will get a great Agent on your team and you can effectively further reduce the costs to sell your existing home! This savings occurs because when Mitch is your Buyer’s Agent on your next place, he will reduce the commission percentage you are paying him to represent the Buyers on your current home. The savings is an amount equal to 15% of the total commission Mitch will receive as your Buyer’s Agent on your NEW HOME! If your next home costs $200K that could be a savings of over $1,000. And there is not limit or cap so the greater the price of the next home the greater the savings!
As you can probably already tell Mitch is 100% committed to representing the interests of his clients and goes well beyond what typical REALTORS will do to help you find the perfect home!
If you choose this path, and your home is worth more than 500K, then you as the Sellers and I will execute FSBO Realtor Commission for homes Greater than 500K or FSBO Realtor Commission for homes less than 500K. This document is limited to this particular client and only this client. Should this Buyer purchase your home then you are agreeing to pay a brokerage fee to Keller Williams Realty Indianapolis.
You and the Buyers will also sign a No Agency Doc when Mitch Represents Buyer Only that confirms that you, as the Seller, understand that I will ONLY be representing the Buyer in this transaction and that you, as the Seller, have declined to have your own representation.
Although I will NOT be representing you as the Seller, working without the benefit of another agent on the other side of the transaction, means that I will be doing things to help insure that we get the sale closed that your own agent typically would handle. Because of this you will pay 4.0% (for homes over 500K) to 4.5% to me to represent the Buyer. This means for homes over 500K you will save over $10,000 and for homes less than 500K you could save up to $15,000 in commissions depending of course on the sales price.
- Helping you as the Seller price the property
- Marketing and showing the property to prospective Buyers
- Negotiating offers and counter-offers on the Seller’s behalf
- Managing the escrow process once you are under contract
- Accompanying you as the Seller to the closing.
Because I may already have an interested Buyer, there is no need for a Listing Agent to complete step 2. Which is the most time consuming and costly part of the process. This means that I can typically refer you to a fellow REALTOR who will represent only your interests through a “One Time Listing Agreement” that covers the remaining steps.
Since there are no costs associated with marketing the home, and a much lower amount of the Agent’s time is required the fees can be lower than the usual commission. In this instance the fees will typically be only 4% (for homes over 500K) to 4.75% which would include the 3%-3.5% that you would pay to me as the Buyer’s Agent. Similar to the FSBO option, the representation by the other REALTOR would only be limited to this particular Buyer.
Starting with what you paid and adding on for all of the improvements, like the new roof, the updated kitchen, plus then adding for commissions to the agents, along with an amount for some return on your investment and lastly including some room to negotiate is not likely to generate a realistic price. Even if you then try to validate your number by looking at what else is currently for sale and hope your place holds it’s own, the odds unfortunately are against you in being able to based on the true value of your home.
And a home that’s initially overpriced statistically tends to ultimately sell for less while also taking a longer than average number of days to sell.
Mitch is proud of his accomplishments and track record but only you can decide what makes a REALTOR #1 or learn What’s Unique about Mitch as A Listing Agent
Mitch provides an analytical and justifiable approach that reflects that the price of your home is based on 3 elements much like a 3 legged stool.
The 1st Leg Is About Your Home...
Features like the size, lot or unit location, configuration of bedrooms and bathrooms, the finishes and updates, views, and the community or development all impact the value and marketability of your home. Any market analysis, completed by a potental listing agent, should make adjustments to the revelvant comparable sales being used to determine a list and likely sales price for your home.
Get Two Comparative Market Analyses "CMAs"
If you are not working with a prior agent, that has a proven track record that you have experienced first-hand, then you should start with at least two real estate agents who visit your home and give you their opinion of its likely selling price.
Don't accept or rely upon an Agent's "gut feeling" about the proper list or likely sales price. Ask for a ‘comparative market analysis’ (CMA), which shows the prices of comparable recently sold homes, as well as active comparable listings that potential buyers will also be considering when they look at your place along with comparable homes that were on the market, but did not sell because we can learn both what the market will not support pricing wise and some, if not many of these properties may also become active competitors when your place is for sale.
The on-the-market homes are the “competition” for your home. Ask the agents why each home was included in the CMA and whether any other comparable homes were eliminated from the CMA. Just realize that price recommendations are not an exact science. If this process was that black and white then Real Estate Agent's would not exist!
If the suggested list and/or sales price in the first two CMA's vary widely than you should have a 3rd CMA completed by another agent. But keep in mind that some agents will tell you to under-price your home in hope of sparking a bidding war. Others will suggest a flatteringly high price to ‘buy’ your listing only to demand a price reduction a few weeks later. The best agent can easily justify the sales price to you using timely and relevant market data. If any agent can’t defend their price, high or low, to you then please don’t expect those same agents to be able to justify your list or sales price to a buyer’s agent or buyer who wants to buy your home for less!
Do your own market research
Go to open houses in your neighborhood and try to make an impartial assessment of how those homes compare to yours in terms of location, size, amenities and condition.
Assuming all the asking prices were the same, would you buy your home or someone else’s? Great agents will not only suggest that you do this but will offer to take you to see all of the competition, including when new places continue to come on the market after yours is listed. Being familiar with the competition will also help you digest the feedback from showings from buyers who are comparing your place to the others they are also viewing.
Looking At And Using A Price Per Square Foot Valuation
The average price per square foot for homes in your development or neighborhood should not be the basis for a list or sales price! This caculation instead should ONLY help validate the CMA’s completed by agents in Step 2 above. Dollar's per square feet don't reflect the bedroom/bath counts. Likelise this caculation does not consider the number of garage spaces, if the basement is finished, updates and improvements, nor lot size or location and numberous other factors.
A price per square foot should ONLY be used as a one of many adjustments that are part of a CMA, to adjust for any difference in the size between your property and the relevant comparable sale.
Keep in mind that like the a CMA even the price per square foot is not an exact science and various methodologies can be used to calculate square footage. For example locally when we calculate price per square feet, we do not include basement square feet unless it’s a fully finished walkout basement. Similarly I don’t factor in a finished 3rd story or finished attics using the same value per square foot as I use on the first and second floors.
Consider Market Conditions
Are home prices in your area trending upwards or downwards? Are homes selling quickly or languishing? Will your home be on the market in the spring home-buying season or the dead of winter? Are interest rates attractive? Is the economy hot or cold? Is the local job market strong or are employees fearful of staff reductions?
Will you be selling in a buyer’s market or a seller’s market? You can detrmine the market type based on many of these bench mark along with also asking agents to share with you the "Market Absorption Rate." This indicator uses the number similar homes that are available when you list, contrasted with recent demand for homes of the same type and price. This indicator lets you determine how many months of supply exist for homes like yours. The greater the number of months of supply the more it's a Buyer's market for buyer’s looking to purchase a place like yours and the greater the months of supply means it will likely take a longer amount of time to sell your place.
Incentives help make your place stand out from the competition. For example if you can be out quickly, then make that known! Although you have to be careful that what you are offering as a benefit is not turned in to a perceived ‘need to sell’ by buyers and their agents.
While any buyer can ask for seller’s assistance many buyers don’t know that. So, if you have a home that appeals to first time home buyers then sharing in the listing that your list price includes $2,000-$3,000 of seller’s assistance towards a buyer's closing costs may increase the attention you get from these buyers.
Howeve,r buyer incentives won’t change what a home is worth or what it appraises for. So, if a home is only worth $250,000 then increasing the sales price by adding another $3,000 of incentives, meaning that the property must appraise for $253,000 could mean the difference in sale happening or not.
Keep in mind that when you market your home you are marketing to buyers and ALSO to the buyer’s agents. Making sure that the buyer’s agent commission is equal to other similar listings could mean the difference between you place being the bride vs. the bridesmaid. Think about if everything else is equal between two properties, and the buyer asks their agent about which home they think is a better buy/investment/value, and your commission is less than what the other seller is paying, then don't give that Agent a reason to encourage the other property.
In fact one strategy in a Buyer's market, or when trying to sell a listing that's not popular for many reasons, is to gain more Agent attention by paying a higher commission to the buyer’s agent or by offering a ‘commission bonus’ when the property is under contract and/or closed by a certain date.
The bottom line is the more creative and flexible you can be in meeting the buyer’s needs, the more success you’ll have in pricing your home to sell in the time frame that you desire..
This seller of this $525,000 property had resisted staging the house till it had been on the market for around 70+/- days with zero offers. Then they agreed and we had the property staged at a cost of around $2,000. We also had new photos taken after the staging was complete AND the same day we published the new photos in the MLS/BLC we also INCREASED the list price $5,000.
Within a 7 days we had 3 offers including an offer at full list price! Additionally one of those 3 buyers became a backup offer!
Before & After Pictures