free4now
Thinks s/he gets paid by the post
- Joined
- Dec 28, 2005
- Messages
- 1,228
I'm gearing up to put my condo on the market FSBO and have some questions that I'm sure the knowledgeable folks here can chime in on. This is the first time I've sold real estate FSBO or otherwise. I've read the Nolo press California FSBO book, and I've already read nord's excellent FSBO post at:
http://early-retirement.org/forums/index.php?topic=7926.msg142144#msg142144
A little background.
I’m selling my 2Br/2Ba condo about a half hour south of San Francisco, on the north end of what people consider Silicon Valley. It's part of a condo complex with 400+ other similar units, and about half have exactly the same floorplan, so it's not hard finding comparable sales. Zillow gives the value as $546k, and there are two with the same floorplan on the market right now, offered at $575k and $565k, and from what I've seen they are having trouble selling... one remarked that nobody was showing up for the open home and the other has been on MLS for 60+ days. My title company gave me a list of comparables, and the most recent sales with the same floorplan were:
9/29/06 $615k
9/22/06 $558k
8/18/06 $555k
8/14/06 $600k
8/07/06 $548k
7/18/06 $600k
6/30/06 $564k
I'm planning on offering the 3% buyer's agent fee. I don't need a super fast sale since I'm single and FIRE, but I'd like to get it sold before the spring/summer rush subsides. I'm also concerned that values may decline if I don't sell quick. I'm going to get it on the market before April and try to price it to make sure it sells before the fall season. Ideally I'd like to have it sold quicker because I'm finding it boring living in the suburbs as a single person without a job holding me here… I’m planning on renting in San Francisco when I sell.
One main attraction of this location is that many units have views of a beautiful undeveloped canyon; you can see hills miles away and you can't see any manmade structures. I think I have an advantage here in that at least one of other units on the market has the canyon view blocked completely by close trees, while my view of the canyon isn't blocked (although there are trees growing at a rate which might largely block the view in a few years). I also think my condo is in better shape than average; I've upgraded all the ceiling lighting to halogen, upgraded most plumbing fixtures, upgraded tile floors, removed original tacky 70's decor, and it generally looks modern, except the kitchen which is clean but a bit dated looking.
My decision/questions are:
1. How to price it. I'm thinking to price a bit higher than the other inferior units that are on the market now. But the fact that those others haven't sold makes me wonder... is it just the slow winter season or are they overpriced. How would you price it?
2. How to market it. I'll definitely create a detailed website with floorplan, and advertise on craigslist every week or so. I'm planning on doing open homes, advertised on craigslist and in the SF Chronicle Sunday open homes.
The question is whether to pay someone to get it on MLS or not. I'm thinking that because this is Silicon Valley where everyone looks for things on the craigslist anyway, that MLS might not be that necessary. Maybe I'll put it on ebay too.
3. Handling the forms. I was able to wrangle disclosure forms, a purchase contract, and a counteroffer form from the real estate agent who sold me the place. They are the forms the local realtors use, developed by the California Association of Realtors and customized by PRDS for the Silicon Valley market. But there are a whole raft of minor forms that my real estate agent couldn't give me because they had the Coldwell Banker logo on them... I am wondering how important those are, or can I just use the ones out of the Nolo CA FSBO book if needed. My guess is that the title company will provide most of the minor forms for closing (e.g. "Notice of supplemental property tax bill", "Public Schools Disclosure"), right?
And I'm thinking I need a real estate attorney to make sure I don’t do anything stupid while filling in the forms right?
4. Getting the place ready to sell. I think I need to order a pest inspection, contractor inspection, and natural hazard report to have available for serious buyers. The wall to wall beige carpeting is clean but 10 years old. It shows a little fraying at the edges and some wear patterns. I’m thinking it’s not worth replacing the carpet… better to let the buyer decide what they want, and I can offer a credit if they want. The popcorn ceilings are known to have a little asbestos in them, and about half the units I’ve seen on the market have paid $5k or so to have them removed and flattened. This is California after all where almost every commercial building has a sign saying “This building contains chemicals that may give you cancer”. My feeling is that it’s not an issue if you don’t disturb them, so I just covered the ceilings with plywood in the closets, but I wonder if this is going to turn buyers off. Reading Nords’s post helped to clarify for me that I think my target buyer is a sophisticated person who will make whatever improvements they want themselves, so I’m thinking I’ll just leave the popcorn ceilings in place. I think it’s not worth ordering an appraisal since there are so many comparables and I probably have a better idea of the differences among units than the appraiser.
Comments? Suggestions?
http://early-retirement.org/forums/index.php?topic=7926.msg142144#msg142144
A little background.
I’m selling my 2Br/2Ba condo about a half hour south of San Francisco, on the north end of what people consider Silicon Valley. It's part of a condo complex with 400+ other similar units, and about half have exactly the same floorplan, so it's not hard finding comparable sales. Zillow gives the value as $546k, and there are two with the same floorplan on the market right now, offered at $575k and $565k, and from what I've seen they are having trouble selling... one remarked that nobody was showing up for the open home and the other has been on MLS for 60+ days. My title company gave me a list of comparables, and the most recent sales with the same floorplan were:
9/29/06 $615k
9/22/06 $558k
8/18/06 $555k
8/14/06 $600k
8/07/06 $548k
7/18/06 $600k
6/30/06 $564k
I'm planning on offering the 3% buyer's agent fee. I don't need a super fast sale since I'm single and FIRE, but I'd like to get it sold before the spring/summer rush subsides. I'm also concerned that values may decline if I don't sell quick. I'm going to get it on the market before April and try to price it to make sure it sells before the fall season. Ideally I'd like to have it sold quicker because I'm finding it boring living in the suburbs as a single person without a job holding me here… I’m planning on renting in San Francisco when I sell.
One main attraction of this location is that many units have views of a beautiful undeveloped canyon; you can see hills miles away and you can't see any manmade structures. I think I have an advantage here in that at least one of other units on the market has the canyon view blocked completely by close trees, while my view of the canyon isn't blocked (although there are trees growing at a rate which might largely block the view in a few years). I also think my condo is in better shape than average; I've upgraded all the ceiling lighting to halogen, upgraded most plumbing fixtures, upgraded tile floors, removed original tacky 70's decor, and it generally looks modern, except the kitchen which is clean but a bit dated looking.
My decision/questions are:
1. How to price it. I'm thinking to price a bit higher than the other inferior units that are on the market now. But the fact that those others haven't sold makes me wonder... is it just the slow winter season or are they overpriced. How would you price it?
2. How to market it. I'll definitely create a detailed website with floorplan, and advertise on craigslist every week or so. I'm planning on doing open homes, advertised on craigslist and in the SF Chronicle Sunday open homes.
The question is whether to pay someone to get it on MLS or not. I'm thinking that because this is Silicon Valley where everyone looks for things on the craigslist anyway, that MLS might not be that necessary. Maybe I'll put it on ebay too.
3. Handling the forms. I was able to wrangle disclosure forms, a purchase contract, and a counteroffer form from the real estate agent who sold me the place. They are the forms the local realtors use, developed by the California Association of Realtors and customized by PRDS for the Silicon Valley market. But there are a whole raft of minor forms that my real estate agent couldn't give me because they had the Coldwell Banker logo on them... I am wondering how important those are, or can I just use the ones out of the Nolo CA FSBO book if needed. My guess is that the title company will provide most of the minor forms for closing (e.g. "Notice of supplemental property tax bill", "Public Schools Disclosure"), right?
And I'm thinking I need a real estate attorney to make sure I don’t do anything stupid while filling in the forms right?
4. Getting the place ready to sell. I think I need to order a pest inspection, contractor inspection, and natural hazard report to have available for serious buyers. The wall to wall beige carpeting is clean but 10 years old. It shows a little fraying at the edges and some wear patterns. I’m thinking it’s not worth replacing the carpet… better to let the buyer decide what they want, and I can offer a credit if they want. The popcorn ceilings are known to have a little asbestos in them, and about half the units I’ve seen on the market have paid $5k or so to have them removed and flattened. This is California after all where almost every commercial building has a sign saying “This building contains chemicals that may give you cancer”. My feeling is that it’s not an issue if you don’t disturb them, so I just covered the ceilings with plywood in the closets, but I wonder if this is going to turn buyers off. Reading Nords’s post helped to clarify for me that I think my target buyer is a sophisticated person who will make whatever improvements they want themselves, so I’m thinking I’ll just leave the popcorn ceilings in place. I think it’s not worth ordering an appraisal since there are so many comparables and I probably have a better idea of the differences among units than the appraiser.
Comments? Suggestions?
