Although Austin isn’t seeing the horror of many other markets (like southern California), the nervousness and hesitation of Austin’s buyers still has us in a buyer’s market.  So in a buyer’s market, what should you do differently, as a seller?

One of the best things a seller can do in any market is detach from your house completely.  This is your most important strategy in a buyer’s market as well.  We know you have more than money invested in your house.  It’s been home to you in the best and worst of times, and you’ve worked hard to improve it and make it the best that it can be.  But in these times, you need to be objective and detach from the house to make it not your home, but a place someone else wants to live.

Don’t take it personally.  Any offer is good.  If you get an offer, it means you beat out your neighbors no matter how low or complicated it may be.  You may not be able to accept the offer, especially if it has a ton of strings attached, but don’t take it personally if you get a low offer.  The buyers chose your house over all the others — keep that in mind.  It could be low for a number of reasons, but it’s not because they don’t think the house is great.  Sure, they will likely make a great deal of changes, but not until it’s their home.  Many buyers who have previously been priced out of the home of their dreams are fishing for a great deal from someone who needs to move on.  You may be in this situation or you may not be, but always remember, any offer is a good offer.  Even low offers open a dialog of negotiations that can result in a sale.  You can always have your agent draft a counteroffer.

Don’t over-price thinking that it leaves you room to negotiate.  Over-pricing puts your house in a pool with other houses that are likely larger with more features so which house in the price range would you pick?  Always put yourself in the buyer’s shoes.  Sellers who over-price end up in a cycle of reductions to actually get their homes sold several headaches later.  Save yourself the stress, it’s worth it.  Price reasonably and competitively to get your house sold more quickly than the competition.  You will be making fewer payments which saves you money even if you don’t actually see the savings.

Be patient with your buyers.  Loans are tough right now and under-writers are struggling to approve many who could have received a loan for almost nothing down not too long ago.  Even pre-approved buyers can be sent through seemingly endless waits for final approval.  Your buyers want to buy a house; it’s an emotional time for them as well.  Don’t panic over financing.  Wait it out.  The deal may not work out, but financing is really out of your control as a seller.

Sellers in Austin may have had it easy a few years ago, but times have changed.  You can still sell your home if you get your house completely ready for sale, price it competitively, detach emotionally, and don’t take it all personally.

Tags: austin real estate, facts, hot market, housing, money, seller, sellers by Aria
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After my recent post “We Are the Real Estate Experts, Aren’t We?” you may argue that large, national chain brokerages may be better because they have the resources and the budgets for agent raining and education. And while I think that these Brokerages are a great place for new agents to start for that reason, if you are serious about buying or selling a home or investment property in Austin, chose a boutique real estate company.

Why? Let the new agents get their start with one of the big guys. They often have in-house training, which is truly needed to get these agents competent enough in their careers after relaxed education requirements by the Texas Real Estate Commission (TREC). And many great agents emerge from the big guys — into small, boutique-style companies with a focus on customer service. The rest are eaten up by the business, and pursue a better-fitting career.

Quality vs. Quantity
Do you want the agent you hire to be focused on quality or quantity? The big companies play the old-fashioned, used-car-salesman numbers game. No wonder REALTORS® are getting the Used Car Salesman reputation, huh? The instruct agents to go after every listing, no matter the quality of the clients and the property. If you have 10 listings and 5 drop out, you still have 5 listings! This is why you receive post cards all the time from agents with the big companies, especially if your listing expires in MLS.

Although some small Austin brokerages still focus on quantity, most focus on quality. Quality listings, quality clients, take 3 clients, have 3 happy clients who make it to closing with smiles on their faces. Shouldn’t quality over quantity matter when you’re hiring someone to guide you through such am important time in your life?

Do you want to be a number or a person?
Although I sometimes want to shop quietly and anonymously, be it at the mall or for real estate, I still want the customer service when it counts. I want the answers and I want them when I need them. I want guidance and I want it when I need it. What will I get that with a frazzled agent shuffling 10 listings and 15 buyer-clients (with 8 over-priced listings, 5 don’t show well, 9 haven’t heard from her in weeks, and all 15 buyers are represented without pre-qualification and a buyer’s rep agreement)? I doubt she’ll answer when I call, how can she? I doubt she’ll have the answer and will have to get back with me. Why am I paying her again?

I won’t take a number, I’ll move on to the next guy. I don’t want to waste time, effort, and money. I want to get it done and get it done now. That’s why I recommend a small company — a Boutique Brokerage — headed by a great Owner/Broker who has a vast amount of knowledge and experience. Don’t take a number, be number 1. Hire someone who will earn their money by giving you guidance and advice every step of the way, even before you asked the question. Hire a REALTOR® who will take the time to be your friend, because trust me as someone who moves a lot, a friend is what everyone needs when they are moving!

Naturally, I recommend BridgeOne Properties headed by Michelle Cain. Yes, she got her start with one of the big companies. She used everything she learned by being successful with the big guys to create a company supportive of both its agents and its clients. BridgeOne is Austin’s Boutique Real Estate Company… We don’t sell an exceptional number of properties, just exceptional ones.

Tags: Realtors, aria, austin, austin real estate, sales, seller, sellers by Aria
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I’m at it with my numbers again! While I was logged into MLS to update my listings, I decided to do a quick search for the most expensive home sale for 2008 to date (as of 4/14/2008). With so much unfounded real estate panic floating around, wouldn’t the rich and famous be weary of making a home purchase right now? Of course not! Those in the know are taking full advantage of this buyer’s market before it turns. And at the rising rate of multiple offers that my office has seen this year, another seller’s market could be just around the corner. Of course, I still recommend buying if you need to move closer to work or find a larger home for your growing family, not as an investor unless you are really up for it. Like buying stocks, real estate goes up and down and it’s best to be in it for the long hall.

Anyway, the most expensive home sold so far this year was listed at $3,800,000 in Northwest Travis County. The sales price was under asking, but I don’t believe in revealing those details! This home was one of two homes to sell for over $3 million so far this year.

5 homes have sold for $2,000,000 to 2,999,999 and 37 have sold from $1,000,000 to $1,999,999 this year alone in the 4.5 months we’ve had so far.

According to my ABOR MLS search, 4858 homes total have sold so far this year by Austin’s Realtors.

Tags: austin real estate, buyers, economy, estates, hot market, housing, info, luxury, market, money, sales, seller, sellers, statistics by Aria
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AUSTIN’S REAL ESTATE MARKET UPDATE

My last post was on the 11th, where have I been? Busy, busy, busy. All of a sudden earlier this month, the phones started ringing again and emails where flying in faster than I could answer them. It sounds like the word is out that now is indeed a good time to buy. Offers are coming in to sellers and although they are still lower than expected, sellers aren’t feeling the desperation from November, December and January. Things are looking up.

If you are looking to buy, you still have a great chance. Just don’t insult sellers with unreasonable offers because showing activity is way up. Leave negotiating to the professionals. Listen to your Realtor’s advice in times like these because the little things are still important.

If you are looking to sell, get your house ready! Search this blog as well as the headlines section for tips on how to get your house ready and consult with a professional. This spring should bring plenty of activity, but you still want your house to WOW buyers with the still overwhelming inventory still available. You can sell in this market, but you still can’t expect to have buyers knocking down your door unless your house stands above the rest.

As always, if you would like any more information, that is my job! Feel free to call me at (512) 771-1776 or email.

Keeping you up to date,

Aria Schoenfelt McIntosh
liveaustinrealestate.com

Tags: austin, austin real estate, hot market, housing, living, market, money, planning, real estate, realtor, sales, seller by Aria
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• Price - This cannot be stressed enough. There are two easy-t0-understand reasons why your potential buyer pool can’t see past it. First, they may never even see your home. Buyers already have a top number in their head and if you’re priced over it (especially if you’re priced over your neighborhood), your home simply won’t come up in searches. But let’s say, for the sake of my second point, that your home does come up in their search or their Realtor knows to look just a little over their price range to make offers. They take a look at your home with high expectations and are left disappointed asking “isn’t the house down the street the same price and it has xxxx?” Unfortunately, you are not the best judge of your home’s value. Although you have many reasons for selling it now, you have a high opinion of it. It was your pick, it’s been your home, it’s great for all these reasons! We know, but your competition is sitting much better if they hit the price on the nose. They are more likely to get a full-price offer and to sell their home for more. Buyers want to feel like they are getting a great value.
• Overpricing - If your home is overpriced, it will sit on the market longer and you will lose the interest of those who don’t want to get into heavy negotiations, make an offer than may be insulting, and who can find a comparable home elsewhere.
• Underpricing - This far less-common pricing mistake obviously leaves you netting less on the sale of your home and may also leave buyers wondering what’s wrong with your home that doesn’t meet the eye.
  
• Laziness - Now I don’t want to just call my sellers lazy, but you must be willing to take care of the things that make your house ready for buyers to move in or they’ll move on to the one that is. Far fewer buyers are looking for fixer-upers than you think. Sure, HGTV is inspiring, but those looking to live their own episode of “Flip This House” are looking for an under priced home to invest in. Unless your price really reflects it, don’t try to sell “As Is”. If you do, be prepared to have your house sit on the market while the neighboring listings sell. Your house needs to look it’s absolute best; as close to a magazine photo as possible. This means getting help, packing up your books, photos, personal items, and being prepared to return your house to “magazine shape” each morning before you leave. Sure, it’s a hassle, but you are extremely likely to be inconvenienced for a far shorter listing period when your house impresses well beyond the neighbors. Again, it goes back to value.
  
• Clean - I don’t mean the kind of clean you do to get ready for a party or the in-laws. If you’re not an expert house cleaner, I recommend hiring one if at all possible. It’s a psychological thing. Buyers are much more likely to buy an immaculate house stripped of any evidence of previous residents. My sellers always want to argue this with me saying “I had no problem looking past the messes,” but it’s a proven fact with hard evidence. If you are serious about selling your home, it needs to be seriously clean. That means every nook and cranny, organized cabinets, clear counters, clean baseboards, clean doors, clean corners. If it sounds like too much for you, consider investing in a cleaning service for 2-4 times a week. Your house should sell more quickly and you will have time for other things (like getting ready for your new home!). Again, buyers are looking at the value of your house compared to the competition.
• Staging - Staging is even more important in these days of trendy design shows on so many channels these days. With so much information available with a click, buyers are seeing perfectly decorated homes that are becoming the standard. Before you list, your home represents who you are. When you list, your home need to represent trends and why buyers want. The two are never the same. Your house may be decorated beautifully, but neutralizing and updating just a few things while getting rid of the clutter (less is truly more value) will make your home appeal to more buyers. Many Realtors, myself included, now offer a professional staging consultation as a part of the listing package. This is money well-spent for us because it is the objective opinion of a specialized professional who have great ideas on how to get that “magazine finish” in your house. A beautifully staged house makes people want the image that comes with your house. This adds value to your house and that will put you ahead of other competing listings.
  
• “For Sale by Owner” - On the surface, many believe they can sell their house for the same about of money as a Realtor without paying any commissions, especially when they are in a high-traffic area. In these situations when I am asked my opinion, I give the facts and say “Give it x amount of time and then call me.” According to the National Association of Realtors, sellers who list with a Realtor make 16% more on the sale of their home — easily covering commissions. Here’s why… the house has been your home, filled with memories, projects, and things you cherish. Hiring an objective outsider gives you insight that no one can come up with themselves. In face, even when selling my own home, I get the help of my colleagues. Even with all of my knowledge of what makes a house show to sell, on how to price a home, and staging, even a home I’ve lived in for a couple of years as an investment is too personal to me for a truly objective analysis. And many do-it-themselves sellers skip over a major part of the process in their reasoning and are ill-equip to deal with the contracts and negotiations needed to get the transaction to the closing table. Not to mention the lack of safety of inviting strangers off the street into your home, many of whom have not been pre-qualified and screened by a Realtor. I feel your pain, but after trying to sell my house myself before I became a licensed Realtor, I can truly appreciate the value in a hired professional. I tried it both ways, and in the end the trick is to hire someone who will stick with you and not bolt after signing a listing agreement and placing the property in MLS. It is the list-and-run agents who tarnish the reputations of true professionals who provide a highly valuable service.
• Picking the Wrong Agent - This leads me very nicely into my next point. Do your research after getting recommendations. Everyone gets the nice cards in the mail and an offer of a free market analysis, but who can follow through? With thousands of Realtors to choose from in the Austin area, you have the opportunity to be selective and find someone who meshes well with your personality and needs. You need someone knowledgeable in Austin and your specific area who is passionate about their career. An agent with passion will keep up with all of the market news and fluctuations and keep you as in the loop as you would like to be. Don’t be afraid to interview agents to find the right fit.
• At Home During Showings - Make your potential buyers feel at home by getting out of the house. Take a walk if you have warning as this is also a great opportunity to get pets out of the house for your showing. If you have a surprise showing or an appointment that arrives early, ask as if you were headed out for a walk anyway and act as though you are also a guest in your newly staged home. Be ready to show your best patience during your listing period because your flexibility is key. Make your home available to those who would like to see it. Of course, this ties in to the earlier point of hiring a professional to list your home. Buyers will be accompanied by trained professionals if not your agent who is watching your home and your belongings. Don’t limit access to your home if you can help it, and get out so buyers feel comfortable in making it feel like home to them.

Tags: austin real estate, info, market, seller by Aria
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