home selling

More qualified traffic increases the odds of selling a homeAlthough the Silicon Valley real estate market remains hot, and generally is a strong seller’s market, not every home is selling in 2-3 weeks.  Most of the time, if the property is unsold after 30 days, it’s time to reevaluate the marketing strategy.  The biggest piece of the marketing effort, of course, is price.  (Please also see Why didn’t my San Jose home sell? for info on other remedies to real estate not getting pending.)  if the home isn’t selling, it may be time to lower the list price or asking price.

Usually, the main reason why a home doesn’t sell is that buyers think that it is overpriced. Sometimes you, the seller, can compensate by improving the condition or some other relevant factor, but often, the solution will be to adjust or lower the price.

How much should you lower it?  Naturally, it depends.  If you’re going to change the price, though, make it worthwhile – not a drop in the bucket.  Too small of a price reduction can actually backfire.

Recently I visited an open house in which there’d been less than a 1% price reduction after 30 days on the market.   That very minimal kind of repricing tells a buyer “I’m not budging”, which the buyer may read as “My price is high and I’m unreasonable; move along, this is not the house you seek”.

It’s all about the traffic

First, how much activity is your property getting? How many showings per week?

If you are getting at least 3-5 showings per week, but no offers, you  are probably close on price. Perhaps a smaller reduction, combined with some other adjustment (restrictive hours loosened up, scary pets removed, alarm disarmed) may do the trick in getting you more traffic to create a viable offer.

If you are getting NO showings, or close to no showings, you may well be way, way high on  your price or have other major issues which need to be corrected.  My general advice, below, may not apply in that case as you may need something more to get the qualified traffic in through the door.  The more qualified traffic you get, the better your odds are of selling. An atractive price is the bait that can attract those buyers.

Here are two old rules of thumb, which I think pretty much still work today:

  • for every week it’s been on the open market, lower it $10,000 (so a reduction in 3 weeks would be $30,000 or a reduction in 5 weeks would be $50,000)
  • alternatively, for every week it’s been for sale and active on the MLS, lower it 1% of the sale price (hence at 3 weeks, a 3% reduction would be appropriate and at 5 weeks a 5% reduction would be indicated)

Every situation is, of course, unique, so it’s important to look at the big picture. If buyers and agents are staying away because the home smells of pets or cigarette smoke, or if there are people constantly home during showings (you should all vacate), or if you demand that the listing agent be present for all showings, any of these things can drive away qualified traffic. But if the marketing is good, the home is clean and reasonably accessible, and all the other basics are correct, it probably is price. Sit down and talk with  your Realtor to get good guidance.  If those who have shown the home have provided feedback, take it to heart – whatever that input is.

 

 

Graphic image of a house with a for sale in frontIf you want to sell your home, you probably know that your house and yard need to be spotless, that anything scary (like a safety hazard – let’s say, something like rats in your attic) is taken care of, and that your property feels inviting and uncluttered.

What you may not know is how very important it is for you to be GONE. Home buyers want to see your property with their agent. When you’re not there, they can talk about how they’d like to live in it, changes they want to make, or even things they really dislike about your home. They won’t feel free to do any of that if you are there – and especially if you are crowding them by insisting on showing them through.

Home buyers usually hate it when home sellers are present for showings, lead the buyers through the house and tell them all the details that they might not notice.

There are some exceptions. If it’s a 2nd or 3rd time back, maybe it would be helpful to have the sellers fill the buyers in on the area and the home. But certainly not the first time through  – then, it can feel territorial.  Home buyers feel like they are intruding, even if home sellers feel like they are trying to be welcoming.

So home sellers: just don’t do it. If there’s an appointment to sell your Los Gatos or San Jose area home, please be gone. The buyer’s agent can use the lockbox to get in at the time of the appointment.

This actually happened to me in  1999.  My family and I were wanting to move up from Cambrian to Los Gatos.  We had outgrown our 1249 SF Cambrian Gardens house and wanted to get more elbow room closer to the hills.  We were especially looking at the areas around Alta Vista School and the Belwood and Belgatos area.

One day all four of us went to view a home. Not only was the home owner there, but he insisted on showing us through the house.  When we went outside, we wanted to try to figure out if we could move the garage and enlarge the smallish family room.  He followed us, pulled out a lawn chair, aimed it at us and sat down.  My kids noted in their best “quiet voice” that it was creepy. They were right.

We left, and I let the listing agent know what had happened – not the showing feedback he’d wanted to hear! We didn’t want to go back – it was a complete turnoff.   That year, thee was plenty of inventory, and we bought a nice house from nice sellers about 1 block away.

Home sellers – don’t be a creep.  Be gone during showings, especially the first showing. “Giving buyers a tour” usually will hurt your odds of selling, it will hurt your sale price, and may even keep you from selling your home at all.

Home Sweet HomeFrequently seller clients ask me how many things they ought to be removing in order to maximize their sales price.  It varies, but as a rule of thumb, most people should remove about half to two thirds of whatever is visible on counter tops, book shelves, dressers, etc.

The look you want is as if someone is barely living there.  Keep that in mind.

Of course, you also want to depersonalize.  If Silicon Valley home buyers visit your property and see your sports trophies (or your kids’), your college diploma, your religious decor, photos from your wedding and so on, they will find it irresistible. Instead of looking at the house that is for sale, they look at your personal items – which aren’t!  They’ll try to figure out who you are instead of whether your current home should be their next one.

By clearing out a lot of your accessories and excess furniture, but leaving enough in to show how a room can be used, you’ll enable your potential home buyer to “mentally move in”. Removing distractions can help your house or condo to sell itself. This can be tough when you’re still living there, but if you can decide that now it’s a place you’re selling.  Home will be where you go next, so let go of this current residence as home and you’ll have an easier time with the depersonalizing of your residence.

Often this is the most important step in staging a home for sale: making the space needed for buyers to mentally play out how they would use the space for themselves.

Interested in selling your home? I’d love to hear from you!

To read more about prepping your home for the market, check out a few of the related posts in the links below:

In a hurry? How to quickly get your Silicon Valley home ready to sell

Home selling?  Small fixes that make a big, positive difference.

How to Prepare for Your Open House

Selling Your Silicon Valley Home: Staging & Color

Creating a cheerful, sunny, welcoming environment for selling a Silicon Valley home

See what’s happening in your market:

  1. 3 beds, 3 baths
    Home size: 1,528 sq ft
    Lot size: 5,998 sqft
  2. 5 beds, 3 baths
    Home size: 1,337 sq ft
    Lot size: 5,998 sqft
  3. 5 beds, 4 baths
    Home size: 3,953 sq ft
    Lot size: 13,229 sqft
  4. 1 bed, 2 baths
    Home size: 1,420 sq ft
    Lot size: 988 sqft
  5. 3 beds, 2 baths
    Home size: 1,844 sq ft
    Lot size: 5,998 sqft
  6. 3 beds, 3 baths
    Home size: 1,299 sq ft
    Lot size: 3,497 sqft
  7. 4 beds, 3 baths
    Home size: 1,892 sq ft
    Lot size: 8,398 sqft
  8. 4 beds, 2 baths
    Home size: 2,082 sq ft
    Lot size: 5,998 sqft
  9. 3 beds, 2 baths
    Home size: 1,260 sq ft
    Lot size: 5,501 sqft
  10. 4 beds, 2 baths
    Home size: 1,196 sq ft
    Lot size: 6,298 sqft

See all Real estate in the city of San Jose.
(all data current as of 6/22/2017)

Listing information deemed reliable but not guaranteed. Read full disclaimer.

Licensed contractor neededHome sellers appreciate it when their Realtor takes some of the workload off of their shoulders.  In some places, we are seeing real estate licensees overstepping their professional boundaries, though, and acting as if they are general contractors and overseeing the complete rehabilitation of properties before they go on the market.  Unless those agents are also licensed contractors, they likely are acting illegally, though.

A few years ago, I had a listing appointment in Milpitas with a home owner who felt that my job, as a seller’s agent, would be to get the home ready for market. “I work full time, I cannot supervise all these people coming in to fix up my house,” she said.  I explained to her that I am not a licensed contractor and it would be illegal for me to take responsibility over the plumbers, electricians, and the rest of the trades.  She truly believed that these functions were part of a real estate agent’s job and nothing I said could convince her otherwise, so I told her that I could not work with her in the sale of her home.  Where did her expectation come from?  Most likely, she’d heard stories of other people selling their homes and having the listing agents do the lion’s share of organizing and supervising the fixup-to-sell jobs.

When is a contractor’s license needed?  It’s simple.  Here is a quote from the California State Contractors Licensing Board:

“In California, anyone who contracts to perform work on a project that is valued at $500 or more for combined labor and materials costs must hold a current, valid license from CSLB.”

When in doubt, check with the Contractors State License Board!

What can the Realtor do legally to assist a home owner in preparing a property to sell?

As a listing agent who is not a licensed contractor, I can Continue reading

Hire firstSeveral times in recent years I have represented buyers in transactions where the seller’s side of the escrow seems to be a little messed up.  In most of those cases, the problem was a result (directly or indirectly) of the home seller doing too much prep work before hiring an agent.  That is really putting the cart before the horse, is a waste of money and it can cause harm to you, the seller, down the road.

In a couple of instances, the sellers ordered pre-sale inspections first and hired a real estate licensee later.  What could be wrong with that?  Like all professionals, there are better and worse inspectors (and better and worse companies).  There are firms with fantastic reputations for honesty, thoroughness, and reliability. And then there are the duds.

Most of my real estate colleagues have a preferred vendor or two, but also have a long list of professionals whom they would trust to inspect a property and do a good job of it.  Most home sellers, though, do not have much experience with inspectors and do not know these companies by reputation.  More than once, I’ve heard sellers picking a national brand due to name recognition.  That may be OK some of the time, but it’s sure not how most real estate agents would suggest hiring anyone!

When you hire a Realtor or other real estate licensee in a full service capacity (which is what happens most of the time), you are paying not for just the MLS entry, the negotiations, the fliers etc., but the whole transaction package, from start to finish. You’re paying for advice and guidance and that can begin long, long before there’s a sign in the yard.  Why not take advantage of that guidance from the very beginning, with basic input on decluttering and staging and then which inspections to order – and for those, get a list of trusted sources from the real estate professional you hire.

As for the sales in which the seller made a poor inspection choice, in one case it cost that home owner about $10,000 and in another a lost sale.

There are many decisions you’ll need to make when selling your home.  You don’t have to go it alone!  Hire a great agent or broker to work with you and take advantage of your trusted resource from the very beginning. That will save you time, money and stress in the long run!

If you found this informative, there’s plenty more to read. Try one of these related posts:

Hiring an Agent to Help You Sell or Buy a Home in Silicon Valley

How to get a great buyer’s agent in a seller’s market (when most Realtors would rather assist home sellers)

How do you choose a real estate agent whom you trust?

Thinking of Selling Your Silicon Valley Home? Get It Right The First Time if You Go On The Market!

  1. 3 beds, 3 baths
    Home size: 1,701 sq ft
    Lot size: 6,669 sqft
  2. 4 beds, 3 baths
    Home size: 1,576 sq ft
    Lot size: 1,663 sqft
  3. 2 beds, 1 bath
    Home size: 814 sq ft
    Lot size: 5,898 sqft
  4. 0 beds, 0 bath
    Home size: 2,250 sq ft
    Lot size: 8,664 sqft
  5. 1 bed, 1 bath
    Home size: 1,062 sq ft
    Lot size: 1,681 sqft
  6. 5 beds, 5 baths
    Home size: 3,727 sq ft
    Lot size: 9,374 sqft
  7. 3 beds, 3 baths
    Home size: 1,698 sq ft
    Lot size: 6,298 sqft
  8. 3 beds, 2 baths
    Home size: 1,432 sq ft
    Lot size: 6,137 sqft
  9. 4 beds, 3 baths
    Home size: 2,102 sq ft
    Lot size: 7,405 sqft
  10. 5 beds, 4 baths
    Home size: 3,204 sq ft
    Lot size: 6,969 sqft

See all Real estate in the city of Cupertino.
(all data current as of 6/22/2017)

Listing information deemed reliable but not guaranteed. Read full disclaimer.

In Silicon Valley, we have pretty decent weather all year, at least most years.  The climate doesn’t make selling your house or condo especially hard at any time, though of course there are seasonal variances and it can be harder to get qualified buyers in during the holidays than on a sunny day in March.

The common wisdom in the San Jose area or the greater San Francisco Bay Area is that February through April tends to be the best time to find or to sell residential real estate, as opposed to late summer or the depths of winter, such as they are.

Often the early months of every year find us with more buyers than sellers.  That is especially the case now, but even in a more normal market, that’s what we see.  That supply and demand situation often causes home prices to rise in the early months of the year.  As the year goes on, more sellers tend to bring their homes to the market as buyers back off.  (Many sellers think that the best time to put a home on the market is summer, but the buyers tend to be more active a bit earlier in the year.)  So as the balance tips a little more in the buyers’ favor, prices frequently either level off or even decline a bit from the peak of spring.

The National Association of Realtors came out with a study that broke it into quarters (for which the Feb – April window straddles both the 1st and 2nd quarters).  Here it’s pretty clear that the 2nd quarter offers the highest median sales price.   Homes which close escrow then (April – June) actually went under contract between March and May in most cases, or approximately 30 days earlier.

Highest median sale price by quarter in Silicon Valley

If the data were presented by month, I believe we’d see that February – April is the best window overall.  Your particular market in Los Gatos, Cupertino, Sunnyvale or elsewhere could be different.  It could also vary depending on price point or school district.

My real time experience is that sales just a little earlier than most sellers expect is the ideal time.  Less competition usually means better pricing for home owners.  (Just recently I had 17 offers on a listing in the Santa Teresa area of San Jose – and it was a February sale.)

Interested in selling your Silicon Valley home?  Please call or email me and we can set up a confidential, no obligation consultation.

  1. 3 beds, 3 baths
    Home size: 1,528 sq ft
    Lot size: 5,998 sqft
  2. 5 beds, 3 baths
    Home size: 1,337 sq ft
    Lot size: 5,998 sqft
  3. 5 beds, 4 baths
    Home size: 3,953 sq ft
    Lot size: 13,229 sqft
  4. 1 bed, 2 baths
    Home size: 1,420 sq ft
    Lot size: 988 sqft
  5. 3 beds, 2 baths
    Home size: 1,844 sq ft
    Lot size: 5,998 sqft
  6. 3 beds, 3 baths
    Home size: 1,299 sq ft
    Lot size: 3,497 sqft
  7. 4 beds, 3 baths
    Home size: 1,892 sq ft
    Lot size: 8,398 sqft
  8. 4 beds, 2 baths
    Home size: 2,082 sq ft
    Lot size: 5,998 sqft
  9. 3 beds, 2 baths
    Home size: 1,260 sq ft
    Lot size: 5,501 sqft
  10. 4 beds, 2 baths
    Home size: 1,196 sq ft
    Lot size: 6,298 sqft

See all Real estate in the city of San Jose.
(all data current as of 6/22/2017)

Listing information deemed reliable but not guaranteed. Read full disclaimer.

Colorful flowersMost home owners know that staging a home will help to improve the selling price and give a good “bang for the buck” or return. This is even more true for staging the front yard, because usually the first impression comes online with the view of the front of the house. If the photos on the MLS (multiple listing service) and portals such as Realtor.com, Zillow and Trulia do not display a welcoming and appealing exterior from the street, many visitors to those sites often will not bother to check the inside of the house.   (When we real estate agents do virtual tours of our listings with TourFactory, that site sends us traffic reports weekly.  The front image always has the largest amount of traffic by far.)

Anyone living in the Los Gatos, San Jose or Silicon Valley area for the last decade knows that we get droughts – and we’re in a serious one now.  Many lawns look less than green.  What can you do to make the front look desirable when everything is so parched?  Here are a few tips:

  • use automatic sprinklers and set them to go at 4 or 5am, when the watering will do the most good
  • tidy the front yard: coil up hoses, dust or paint the front, sweep the porch and walkways, repair any lifted concrete which could be a tripping hazard, remove any non-essentials from view such as watering cans, toys, projects “to do”
  • consider painting the front door something colorful such as blue or red – talk to your stager about the color choice first!
  • possibly add mulch or tanbark in the planter areas (they will help to keep the moisture in when you water your plants)
  • trim back hedges which are covering any of the windows so that they are below them
  • if you have palm trees, consider trimming the dead “skirt” for a cleaner look
  • if there’s a porch, create a seating arrangement using chairs and a table
  • put colorful flowers near the front door, either along the walkway or in pots near the door (just remember that potted flowers will need frequent watering, so they are not a good choice for vacant property) – if you have enough lead time, plant bushes which flower but are not too “thirsty” – talk with someone at the garden store or research which plants will thrive in your home’s particular micro-climate and which will not require much watering

Get more tips on staging the home and making it look its best in photos here:
Selling Your Silicon Valley Home? Photo Tips for Better Marketing

  1. 3 beds, 1 bath
    Home size: 2,507 sq ft
    Lot size: 2.02 ac
  2. 3 beds, 2 baths
    Home size: 1,344 sq ft
    Lot size: 5,218 sqft
  3. 4 beds, 3 baths
    Home size: 2,172 sq ft
    Lot size: 14,139 sqft
  4. 2 beds, 2 baths
    Home size: 1,144 sq ft
    Lot size: 40.00 ac
  5. 4 beds, 5 baths
    Home size: 4,227 sq ft
    Lot size: 9,901 sqft
  6. 4 beds, 4 baths
    Home size: 3,405 sq ft
    Lot size: 31,842 sqft
  7. 3 beds, 3 baths
    Home size: 1,650 sq ft
    Lot size: 1,306 sqft
  8. 0 beds, 0 bath
    Home size: 2,079 sq ft
    Lot size: 7,000 sqft
  9. 4 beds, 3 baths
    Home size: 3,001 sq ft
    Lot size: 11,238 sqft
  10. 5 beds, 3 baths
    Home size: 3,086 sq ft
    Lot size: 10,001 sqft

See all Real estate in the city of Los Gatos.
(all data current as of 6/22/2017)

Listing information deemed reliable but not guaranteed. Read full disclaimer.

Tough pathSelling a home is always stressful, no matter the reason.  But some circumstances are tougher than others, and perhaps the worst is selling a house or home after the death of a loved one or in the face of declining health, particularly with serious or terminal illness, specifically if the sick individual is living at the home which must be sold.  Today we’ll discuss that situation.

How can you sell a property if the owner usually cannot leave for buyer showings and cannot really keep the home in top condition?

It is of course not ideal to have the property being listed, marketed and sold not show well and if the seller cannot step out when home buyers visit.  But there are strategies which may help.  The goal is to sell the home quickly, which normally will also cause the price to be as high as possible (given everything).

First, before the home is ever actively marketed: Continue reading

seagull in stained glassIf you are purchasing a home in California, it would be wise to ask a lot of questions.  You may wonder why, given the absolutely enormous stack of disclosures that sellers must fill out already.  Is it possible that anything at all could be left out?  You bet.

First, a lot of the disclosures are a little bit limited in one way or another.  More than anything, often they are a subjective assessment by property owners who may not feel the same way about something as you do.  For instance, what constitutes a nuisance or something annoying?  Perhaps they love the sight of seagulls (seagulls are overly abundant in San Jose right now) circling over head, but maybe you view them as flying poop monsters, whose droppings will ruin the paint on your prized automobile.  Are they a nuisance? Or do they enhance the sense of closeness with nature?

Another limitation is with some of the questions themselves.  The number of questions and the way they are worded have changed over time in response to problems which arose from lack of clarity.  In the 90s, one of the questions in the PRDS Supplemental Seller’s Checklist asked if there was any landfill on the property.  After a lawsuit involving medical waste in a Willow Glen (San Jose) backyard, the word was changed to just “fill” (sans “land”) to cover a broader meaning.

In some cases, the meaning is still narrow.  For instance, you may want to know if anyone has ever died at the house.  The disclosure forms, though, only ask if anyone has died there in the last 3 years.  If you don’t ask, the seller doesn’t have to volunteer about a death prior to that (some exceptions).  If this would be a concern to you, then, you will have to ask – and the home owner is required to answer truthfully. Continue reading

Photograph things which stay with the home

Photograph things which stay with the home

Silicon Valley home buyers shop for their new house online first, and the most important element in their shopping (once price, size and location are considered) is the property condition.  That translates to this: photographs are extremely important!  After price, I would say that photos are the most important element of marketing a home for sale today.

In the past, I have ranted a little about agents who take or use poor quality photos, ones which are dark, blurry, involve clutter (such as cars in the driveway) etc.  Some listing agents are very sloppy, and their clients do not seem to notice, incredibly.  Even if the condominium is “distressed”, that doesn’t mean that the photos need to be!

Even when the images are clear and well illuminated, though, there’s a tendency of agents or home owners (who sometimes provide the photography) to include scenes which are pretty, but not relevant.

I’m talking about your piano, your bed against the wall, or that inviting leather chair and ottoman with a reading lamp in the corner.  None of these appealing pieces of furniture will stay with the house, and home buyers know it.  A wall is a wall…. And that means it’s not a helpful shot in terms of marketing your home.

Home buyers want to see the kitchen, the bathrooms, windows and doors. Closeups of tile work, leaded glass windows or an amazing front door work well, because these items all stay. They would like to get a sense of every major room and area in the house – but not your decor!  If the focus of the photo is on your sleigh bed or giant hutch against a long wall in the dining room, the mark is missed.

Most professional photographers will show how a room is used, so a dining room shot will include the furniture.  But the image will usually show more than furniture and walls – it will normally also display the light fixture, the flooring, doors or windows – all of which stay.

  1. 2 beds, 3 baths
    Home size: 1,254 sq ft
    Lot size: 2,705 sqft
  2. 3 beds, 2 baths
    Home size: 1,056 sq ft
    Lot size: 6,629 sqft
  3. 5 beds, 3 baths
    Home size: 1,835 sq ft
    Lot size: 6,120 sqft
  4. 2 beds, 1 bath
    Home size: 840 sq ft
    Lot size: 5,100 sqft
  5. 3 beds, 3 baths
    Home size: 1,700 sq ft
    Lot size: 2,374 sqft
  6. 3 beds, 2 baths
    Home size: 2,289 sq ft
    Lot size: 7,501 sqft
  7. 1 bed, 1 bath
    Home size: 716 sq ft
    Lot size: 714 sqft
  8. 4 beds, 4 baths
    Home size: 2,645 sq ft
    Lot size: 5,000 sqft
  9. 3 beds, 2 baths
    Home size: 1,873 sq ft
    Lot size: 5,998 sqft
  10. 4 beds, 2 baths
    Home size: 1,687 sq ft
    Lot size: 7,278 sqft

See all Real estate in the city of Santa Clara.
(all data current as of 6/22/2017)

Listing information deemed reliable but not guaranteed. Read full disclaimer.

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Mary Pope-Handy
Realtor
ABR, CIPS, CRS, SRES
Sereno Group Real Estate
214 Los Gatos-Saratoga Rd
Los Gatos, CA 95030
408 204-7673
Mary (at) PopeHandy.com
License# 01153805


Selling homes in
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