FYI

Five more tools will be covered next month!

Buying a home? The process can be stressful.  A home inspection is supposed to give you peace of mind, but often has the opposite effect.  You will be asked to absorb a lot of information in a short time.  This often includes a written report, a checklist, photographs, environmental reports, and what the inspector himself says during the inspection.  All this, combined with the seller’s disclosure and what you notice yourself, makes the experience even more overwhelming.  What should you do? 

Relax.  Most of your inspection will be maintenance recommendations, life expectancies for various systems and components, and minor imperfections. These are useful to know about.  However, the issues that really matter will fall into four categories: 

1. major defects.  An example of this would be a structural failure;
2. things that lead to major defects, such as a small roof-flashing leak, for example;
3. things that may hinder your ability to finance, legally occupy, or insure the home; and
4. safety hazards, such as an exposed, live buss bar at the electrical panel.

Anything in these categories should be addressed.  Often, a serious problem can be corrected inexpensively to protect both life and property (especially in categories 2 and 4).

 Most sellers are honest and are often surprised to learn of defects uncovered during an inspection.  Realize that sellers are under no obligation to repair everything mentioned in the report.  No home is perfect.  Keep things in perspective.  Do not kill your deal over things that do not matter.  It is inappropriate to demand that a seller address deferred maintenance, conditions already listed on the seller’s disclosure, or nit-picky items.

So, you’ve evaluated your finances, thought about your lifestyle and made the big decision to sell your home. Maybe you’ve decided to downsize, or you’re moving out of the big city because you can now work remotely, or maybe you just want to live somewhere warmer and bought a house in Phoenix or a condo in San Diego. Whatever your reason, you’re ready to sell. With so many things to consider, selling a house can be an overwhelming process, and this is especially true during a pandemic. Luckily, for you, we put together a comprehensive guide on how to sell your house in 2021.

What to expect from the housing market in 2021

The coronavirus pandemic has had a major impact on our lives – from how we work to how we socialize and travel. It has also affected how we buy and sell homes. So, if you’re planning on selling your house in 2021, it’s important to understand what to expect from the housing market this year and how to best prepare. Luckily, Redfin Chief Economist Daryl Fairweather gives us her keen insights into what to look out for in 2021.

“Typically, the homebuying season starts in late spring, but this year, we expect the homebuying season to begin by late January. That’s because buyers will want to take advantage of record-low mortgage rates before they begin to rise. So if you are thinking about selling this year, you should get your home ready now. Buyers want move-in ready homes because they don’t want to worry about having contractors in and out of their new home during a pandemic. It won’t hurt to list your home early.”

Regardless of if you’re a first-time or seasoned home seller, this step-by-step guide will help you navigate how to sell your house this year.

1) Hire a home inspector

You’re probably thinking, wait, isn’t that the buyer’s responsibility? You’re not wrong. When you’ve accepted an offer, the buyer will most likely request a home inspection of their own. So, why would you have one? First, if a home inspection turns up something that’s in need of repair, wouldn’t you prefer to resolve it before entering into negotiations?

In fact, if you end up needing to make repairs that take weeks to fix, you may lose that buyer altogether. Having a home inspection is a proactive approach to getting your home ready to sell. Known as a pre-listing home inspection, you can find out the exact condition of your property, what issues and repairs need to be addressed beforehand, fix them, and then focus on the next task to sell your home fast.

Also, knowing the condition of your property will further assist you during the negotiation phase with potential buyers. As you may already be aware, buyers often use their home inspection as a way of getting concessions from sellers, such as asking you to drop your list price. If you’ve already addressed these repairs, it is less likely that anything new will come up and impact your negotiation. Before hiring an inspector, be sure to inquire about what measures they are taking to protect their customers from COVID-19. 

2) Make repairs and small upgrades to your house

After you receive a comprehensive list of repairs you should make, it’s time to get started either making the repairs yourself or contracting out the right person. This may also be a great time to make small upgrades to your home.

Understand what today’s homebuyers are looking for

Due to the pandemic and so much time spent at home, there are certain features that are becoming a necessity for homeowners. For example, homebuyers want a home office. If you don’t have a designated office space, stage a spare bedroom or extra space as a home office. Add a desk, a plant, and a bookshelf to give it a look that will stand out on Zoom calls. Homebuyers are also looking for deluxe kitchens. This is no surprise as so many picked up cooking or baking as a new hobby in 2020. Consider upgrading your kitchen with new appliances and quartz or granite countertops. (Granite countertops are actually one of the top 10 home trends with the highest sale-to-list ratio in the U.S.)

Enhance your outdoor space

When you are selling your house, you want to find ways to make it stand out, and what better way than having the most beautiful entrance and lawn on the block. You don’t necessarily have to paint the exterior of your house to impress homebuyers. Simple things like trimming your hedges and a freshly mowed lawn will go a long way. Even freshly laid beauty bark and newly planted flowers can really make your yard pop. If these improvements seem like too much to handle while you’re trying to prepare your home to sell, look into hiring a landscaper to assist.

Brighten your home

When it comes to first impressions, a poorly lit home is at an automatic disadvantage. Darkness can make a home feel uninviting, dirty, and cramped even when it isn’t. So, before putting your home on the market, you’ll want to find simple ways to brighten your home. These can include painting your ceilings white and choosing a wall color that is brighter and more neutral, adding mirrors, replacing light bulbs, and adding additional light sources. 

3) Declutter and prep your house to sell

Decluttering and prepping your house are steps you should make a priority when learning how to sell your house. Renting storage units is becoming an increasingly popular method of decluttering one’s house before selling it. The idea is to limit the amount of stuff in your house so that potential future owners can envision themselves (and their stuff) in that space. Even removing photos is a great way to allow potential buyers to think about what they would hang on those walls. If you’re looking for a quick turnaround, bring in a professional organizer, or schedule a virtual consultation. They can help get your house in order, while also preparing you for a stress-free move. 

4) Find a real estate agent

Finding a real estate agent is easy, finding a great real estate agent can be more of a challenge. Getting referrals and reading online reviews is a great way to start narrowing down your options. You’ll want to understand what you’re looking for when hiring a real estate agent to represent your best interests. Here are some questions to consider asking any potential candidate:

• How many clients have you served this year?
• Has a client ever filed a complaint against you?
• What is your fee? 
• What services do you offer beyond negotiations and escrow?

After you decide on a real estate agent, you and your agent should come up with a plan of action for how to sell your house. It should include a timeline, from the pricing of your house and getting it listed on MLS to personal showings. You and your agent should be on the same page at all times and a plan of action will help ensure that.

5) How to price your house to sell

Now is the time to find out what price you should list your home. You can start by using online tools to help you get an idea of what your home is worth. However, you should never set your sights on a single number and expect it to happen. Market conditions change all the time and so does buyer behavior. 

Another option is to conduct an appraisal. Home appraisers are licensed professionals that will assess the value of your house based on the state of your property and overall housing market conditions. They will look at the size of your property, the interior and exterior conditions of your house, any upgrades, additions, or home improvements you’ve done, and then calculate your home’s worth based on the local market conditions.

Looking at comparables of recently sold homes in your area will also help you settle on a price. These homes should be similar in size, location, and sold within the last few months. Furthermore, you want to be strategic about your pricing. Instead of lumping the price of your house in with others in the area, strategize your pricing based on your home’s selling features. In other words, if there are three houses for sale in your area and they are priced at $350,000, you might be able to justify $360,000 or more because you have a larger lot size or maybe you’re located in a popular neighborhood.

6) Stage your home to sell 

If you don’t deem yourself a design-minded individual, consider hiring a professional home stager to help. Given the current climate, however, not everyone necessarily wants a professional stager to enter their house. Luckily, many staging services offer virtual consultations as a popular alternative. Regardless if you work with a professional or handle the staging on your own, here is a list of things to consider that will really help you make your house shine:

• Clear the clutter: You may have already transferred most of your belongings to a storage unit by this point. Now is the time to focus on cleaning up the clutter on countertops and tables. Put away newspapers, mail, or magazines, or if you have children, help them pick up their toys.
• Deep clean your house: Nothing turns off buyers more than an unclean bathroom. That is also true for the rest of your house. Now more than ever is the time to wash your windows, windowsills, and scrub your grimy glass shower doors.
• Add white accents: White accents such as flowers or towels in the bathroom create a sense of welcome cleanliness.
• Arrange furniture: You don’t have to necessarily rent furniture to stage your home. You can most likely use what you have. The key is to limit the number of furniture pieces in any one room. Then arrange them in a way that’s inviting to people as they enter the room.
• Bring in light: Think about removing your curtains or keeping them drawn back to allow as much light into your house as possible. If you have rather large elaborate curtains, consider storing them away until you get to your next home.
• Highlight your floors: Floors are a key feature homebuyers are looking at, especially if you have wood floors. Show them off by removing any rugs or unneeded furniture so more of your flooring can be seen. If you have wood floors, think about polishing them to really make them pop.
• Organize all closets and drawers: Homebuyers touring your home will most likely look in your closets to determine space and, frankly, to see if their stuff will fit in there. They will also likely open kitchen drawers and cabinets as well, so make sure everything is nice and tidy.
• Dust: Concentrate on all the areas that you’ve most likely have turned a blind eye to for some time, like ceiling fans, baseboards, on top of doorways, appliances, etc.

7) Get professional photos taken of your home

Nothing sells a house faster than professional photos. This is especially true now, as many prospective buyers are conducting their home search completely online due to the coronavirus. Put yourself in the buyer’s shoes. They are searching online, looking at every home that comes up for sale within their filtered interests the moment it’s listed. If your house is represented online by poorly shot photography, your listing will see very little traffic. Not to mention, it’s widely observed that houses with professionally shot photos, on average, sell for more money than other listings.

When planning how to sell your house, you should also strongly consider having your home digitally scanned for an online 3D tour. These 3D walkthroughs, where you point and click through a home from your computer, are more than 5 times as popular now as they were before the pandemic. And with more buyers buying from out-of-town, a 3D walkthrough can help out-of-town buyers decide whether to make an offer on your home before they have a chance to see it in person. 

Lastly, aerial photography that shows a bird’s eye view of one’s home and its surrounding area has become increasingly popular with buyers looking online. Many agencies include some or all of these services as a component of their overall services to you as a seller. Just remember, the better you represent your house online, the faster it will sell.

8) List your home to sell

Your real estate agent will list your home online on MLS (Multiple Listing Service), in order for it to start showing up on real estate websites for potential buyers. Also, don’t limit the marketing of your house to your real estate agent and online search. Market your house yourself. Spread the word through your family and friends. Share your listing on social media and send out emails asking people to share your listing with others. 

9) Have a plan in case your home doesn’t sell quick enough

You and your real estate agent should have already gone over this beforehand, but not every house sells quickly. There are many factors at play and depending on the condition of the housing market for your area, your real estate agent may have to use some other strategies in their arsenal to get your house sold. If it’s lowering the price of your home or holding more tours, you’ll want to agree on what the next steps should be in case your house isn’t seeing any offers.

10) Negotiate the sale price of your home

One thing to consider is that the buyer is trying to get the absolute best price they can, while you’re doing the exact same. There will be multiple factors to consider, as each home sold and purchased is different. For example, if it’s a buyer’s market, that means the buyer has the upper hand because there are multiple listings with fewer offers being made. However, that doesn’t necessarily mean you have to make huge concessions in order to sell your house.

This is where your agent really steps up. They will help you navigate the negotiation process, and will give you their advice on how to proceed when offers are being made. Luckily, you interviewed and hired the right agent, so you know they have your best interests in mind.

11) Sign and close

You and your agent have been working towards this moment. You’ve agreed on a price with the buyers, all inspections and appraisals of your home have been completed, and you are now ready to sign the papers and close. To comply with social distancing guidelines, some states are now allowing completely electronic closings, called eClosings. Once you’ve signed all of the paperwork – congratulations, you’ve sold your house! 

Originally published by Redfin

Whether you are buying or selling a home the home inspection is a major hurdle to clear. A house inspection can be exhausting for both parties and the real estate agents. For almost every home inspection there is probably some kind of problem. Most of the time these issues are minor and fairly simple to negotiate.

Unfortunately, some problems can be deal breakers that make home buyers run away.

As a seller, it is important for you do be cognizant of the items that are likely to give buyers pause in moving forward with a purchase. If you can discover and take care of these issues before a buyer has a home inspection that is a major plus.

Preparation for a buyer’s home inspection is of the utmost importance. It can be the difference between selling a home or putting it back on the market. Lots of smart home sellers will spend the money on a pre-listing home inspection. More often than not it is well worth the money to find out your homes condition ahead of time.

If you have any doubt as to the condition of your property, these are the potential home inspection deal breakers you’ll want to address. If you are buying a home, these are some of the potential problems you’ll want to be on the lookout for.

1. Pests and Bugs

In case a house inspector finds termites, you might need to rethink your purchase. Termites feed on the structure of your house, leaving it feeble and unsteady under certain circumstances. But there are a lot of methods to use to get rid of termites.

Ask a specialist to look at the home and treat it is vital. Truth be told, a yearly termite inspection can decrease the risk of danger and keep you calm.

2. Wrong Wiring

The wiring status of a house ought to never be taken lightly. The inspector checks the house wiring for un-grounded outlets, lack of GFCI protection, over-burden circuit breakers, double tapping and general work of poor quality.

Home inspectors will also look for dated types of electrical components such as knob and tube and aluminum wiring, neither of which is used in modern day construction.

Aluminum wiring was mostly used during the 1960s or 1970s and it is usually one of the deal breakers. Aluminum wiring can prompt poor or defective connections, which can lead to recurring flickering or incessant turning off of light, hot switch plates and sockets, burning smell, or power failure taken without triggering a circuit breaker.

House wiring can cost between $ 6,000 and $15,000, relying on the size of the house and the simplicity with which an electrician can get to and supplant the old wiring.

3. Problems with the Roof

A typical issue is a roof leak brought about by damaged shingles. Fixing shingles or flashing can be a simple and cheap repair. However, if the issue persists very long, it implies a lot of work and cash to spend. Any kind of water penetration into the home has the potential to cause mold.

If the roof is past it’s useful life that is another story. Roofs can be fairly expensive to replace, especially if the home is larger. The roof may or may not be a solid investment depending on how long you expect to be in the house.

If your going to be selling within the next year or two, you may not get your money back.

4. Foundation Problems

Your foundation is the stronghold of the house. As with a lot of things in life, in case the foundation is not solid, then what is above can suddenly collapse. If you discover major foundation problems with the house, which would be a great endeavor to fix, this will presumably be a deal-breaker.

Most home buyers do not want to take on major structural issues with a property. Foundation cracks can be quite common. Checking to make sure they do not extend past a certain size is important. Some cracks are part of normal settling others are not. It is important to distinguish between the two.

5. Lead Paint

If the home you are buying or selling was built before 1978, you need to be aware the potential for lead paint exists. Buyers and sellers must follow the lead paint law. It is vital for each party to understand their obligations under the law.

Every real estate agent needs to be well versed in understanding the federal lead paint law – it is mandatory.

6. Bad Pipes

Low water pressure is an indication that the flow of water is narrow. This mostly happens because of fragmented internal plumbing or low water volume from the streets. Stains found below sinks and roofs indicate leaks that require fixing.

Inspect around the toilet, dishwasher, and ice maker if the floor isn’t soft because of breaks. Finally, ask your inspector to check if the house isn’t equipped with polybutylene (PB) pipes (utilized in the years the 70s or 80s). This kind of pipe can leak all of a sudden and cause huge damage. Fixing or replacing water pipes can cost between $ 5,000 and $ 50,000.

7. Faulty Well

When you are buying or selling a home there aren’t many more important things than having a good water supply. Buyers need to be aware of two things when it comes to checking a well. You want both the water quality and quantity to pass local and EPA standards.

It is imperative to check both when buying a home. Lots of home buyers don’t check the well because they have lived with city water and don’t know any better. An excellent real estate agent should point out the necessity to check on the water supply.

8. Radon

It has been reported that there are about 20,000 deaths which occur every year from radon, which is a drab, chemically nonreactive inert gas. The most widely recognized courses of exposure in people are through inhalation and ingestion.

High radon levels have been found in all states. High levels of radon, however are very sporadic. One home might test high and the next door neighbor not so much. Getting your house inspected for radon is the best way to see whether you will pass the suggested EPA limit. This is crucial as the symptoms of radon exposure take a very long time to emerge.

Request a professional to review before signing off on your new house.

9. Flood Areas

The flood areas have turned out to be progressively critical! You don’t need to purchase a house close to a beach or lake to be in a flood zone. Flooding not only leads to problems in your house, but it can also as well cause problems inside your house too. You should also consider the increasing trouble of selling your house in the near future.

When buying a home it is always important to ask if the home is in a flood plain. If it is expect to pay flood insurance which can be very costly.

10. Mold

This is one of the things a homeowner never wishes not to find in a house. Black mold is harmful and negatively impacts the health of all people staying in the house. It develops in areas that are flooded or have had significant exposure to water.

It also has an awful smell. It may be found in wet plasterboard, basement walls, and floors. The detection of dark mold needs the evacuation of every affected material and fixing the source of the problem.

11. Septic System

One of the most costly areas of a home is the replacement of a septic system. More than likely a seller will be required to have their septic system pass inspection in order for a buyer to get a loan on the property.

Replacing a septic system can run anywhere from ten thousand up to $50,000 or more depending on soils and water table. The septic system is the last place you’ll want to find a problem. It is almost always a home inspection deal breaker because of the time involved in getting it corrected.

Final Thoughts

When buying a home it is always advisable to completely understand the home inspection process. If the inspection of your house has structural or mechanical problems, it is advisable to get them fixed. Passing off these issues to a buyer moving forward is going to be challenging to say the least. Most buyers have minimum expectations on what they are willing to accept.

For buyers it can be heartbreaking to lose a house that you have already pictured yourself living in. Nonetheless, if after a home inspection you discover significant fixes that you can’t deal with, the seller won’t acknowledge the same – You may need to simply pull back the home search and reopen it.

Real Estate agents call these things deal breakers for a reason. Lots of people don’t want to deal with such problems when buying a house.

Note: This article was originally posted in the ASHI (American Society of Home Inspectors) website found here and reposted here for your convenience. Written by Bill Gassett and posted on 12/15/2020.

10% discounts to first responders, doctors, nurses and hospital workers. Just let us know when booking your inspection.

From the Ohio Department of Health

If you are selling your house, here are some ways to make your home inspection go smoother, with fewer concerns to delay closing.

• Make sure the inspector has access, not only to the house, but also to the furnace, water heater and air-conditioning units (especially in closets, attics and crawlspaces).
• Remove items blocking access to HVAC equipment, electric service, panels, water heaters, etc.
• Check to see that the garage is open and that any water heater, utility panel and shutoffs and resets for ground-fault circuit interrupters (GFCIs) within are accessible.
• Unlock areas the inspector must access, such as attic doors or hatches, electric service panels, closets, fence gates and crawlspaces.
• Ensure that all utility services are on, with gas pilot lights burning.
• Make sure that pets won’t hinder the inspection. Ideally, they should be removed from the premises or secured outside. Tell your agent about any pets at home.
• Replace burned-out bulbs to avoid a “light did not operate” report that may suggest an electrical problem.
• Remove stored items, debris and wood from the foundation. These may be cited as conditions conducive to wood-destroying insects.
• Trim tree limbs to 10 feet from the roof and shrubs to 1 foot from the house to allow access.
• Attend to broken or missing items such as doorknobs, locks and latches, windowpanes, screens and locks, and gutters, downspouts and chimney caps.

Checking these areas before your home inspection is an investment in selling your property, and will expedite your closing.

ASHI is the American Society of Home Inspectors

A home inspection is a vital part of a home purchase. ASHI believes that home inspections can continue during the COVID-19 outbreak when prudent safety precautions are practiced, and when performing the inspection does not conflict with government orders and recommendations.

Everyone involved with the home inspection is responsible for helping with safety. The following advice is based on current recommendations from the CDC, NIH, & WHO. People should be aware that the situation is changing constantly and should monitor the CDC for official updates and recommended behavior.

For Home Inspectors:

• Reschedule the inspection if you feel sick, or if you exhibit symptoms of a respiratory illness.
• Bring your own anti-bacterial soap, towel, hand sanitizer, and shoe covers.
• Use hand sanitizer before entering the home, and wash your hands as recommended before and throughout beginning the inspection.
• Wear disposable shoe covers when entering the home.
• Do not shake hands, bump fists, or touch elbows.
• Avoid touching your face.
• Wash your hands after inspecting each bathroom and the kitchen.
• Wipe bathroom and kitchen fixtures and toilet handles with a sanitizing wipe after inspecting these areas. Be sure the wipe instructions allow use on the fixture or handle.
• Wipe door handle/knob inside and outside the home as you enter and leave the home.

For Buyers and Real Estate Agents:

• Do not attend the inspection. If you wish to attend, do so only at the end of the inspection.
• Do not bring children, relatives, contractors, and others to the inspection. Reschedule the inspection if you wish to attend, and if you feel sick, or if you exhibit symptoms of a respiratory illness.
• Use hand sanitizer before entering and before leaving the home.
• Touch as few things in the home as possible.

For Sellers:

• Reschedule the inspection if anyone in the home feels sick, or exhibits symptoms of a respiratory illness.
• Do not attend the inspection. Make arrangements for children, relatives, and others to be out of the home during the inspection.
• Wipe bathroom and kitchen fixtures, toilet handles, and doorknobs with a sanitizing wipe before the inspection. Be sure the wipe instructions allow use on the surface.