Dean Graziosi

Selling a home is usually easier if you use a real estate agent to help you with the details and the deals. When you do use an agent, you will normally have to sign a listing contract or agreement to start the ball rolling. This may be the first paperwork you do regarding selling your home, so it makes sense to learn about it before you go to your first meeting with your agent.

Dates

The dates of the contract are very important. If you want to get started right away, you will want the start date to be set for the current date. Another thing to factor in when thinking about the dates on the contract is that you might not be satisfied with this real estate agent. You might not want an indefinite or very long-term contract, at least not at first. Do not accept any date you are given blindly, but have your say about how long you want to commit to the contract.

List Price

You and the realtor will determine the price you want to set for the property on the listing. This figure will be included in the contract as the listing price. This does not mean that you will be bound to sell the house at that price in every situation. It means that you have agreed on a price for the property for listing and marketing. It could also affect you if you back out on a deal.

Compensation for the Realtor

A section of the listing contract will outline the way the real estate agent will be paid. It will say whether the fee is a flat fee or a percentage of the total amount of the sale. Then, it will set out the amount for that fee, either in dollar amount or percent.

When the Seller Pays

The next part of the listing contract will define the terms and conditions relating to when the seller will pay the realtor. These may be complex. They may include provisions for what happens if you abandon the contract. There also may be a clause that compels the seller to pay the commission if the real estate agent has found a qualified and willing buyer who will pay the asking price, even if the seller reneges on the deal.

Working with Other Real Estate Agents

The listing contract may include details about how the real estate agent may cooperate with other real estate agents. If so, it will also spell out how those other realtors are to be compensated.

Responsibilities of Seller and Agent

The responsibilities of the seller and agent will be explained in the listing contract. The seller is generally required to tell the agent important information about the property. The agent is required to convey all the rules and regulations that apply to selling the home.

Signing a listing contract is a big step. There are many factors to consider and it is important to understand the paperwork in front of you. Make sure you understand all the parts of the contract before you sign on that dotted line.

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Both property selling prices and interest rates are very low right now. Yet, with the economy suffering, many people are unwilling to take the plunge and purchase a home. That makes it an excellent time to invest in rental properties. A few tips will help you get started.

1. Start by making connections within the real estate investment community.

Get to know other, more experienced investors. If at all possible, find a mentor who will help you understand the processes involved. You can get advice on making the initial real estate deals, arranging financing, rehabbing the property if needed, maintaining the property and dealing with tenants. Insider knowledge of the system can help you be successful.

2. Decide whether you want to buy and sell rental properties or become a landlord.

You can make money either way, if you get good advice and make the right moves. You might be more suited to either type of investing. Think about whether you would want to deal with tenants. Think about whether you are so fond of sales deals that you want to make that your focus. The best thing you can do is to get to know yourself.

3. Get familiar with your financing options.

Talk to a lender or trusted advisor to get a feel for the kind of leverage you can manage with the assets you have. Locate financing to have on standby in case you get the deal you want on short notice. It is better to be prepared than to accept the first financing source that comes up without examining your options.

4. Get to know people in the building and maintenance trades.

If you are going to buy and sell rental properties, you may need to have them fixed up before you can move them. Also, if you are going to become a landlord, you will definitely need people who know construction and maintenance to keep your buildings in good repair. Getting to know essential workers is always a good idea, and making friends in the industry is even better.

5. Start looking for rental properties in good locations.

People naturally gravitate to rentals with good schools, nearby shopping, and safe neighborhoods. Transportation is high on most people’s lists, but the type of transportation people want depends more on the lifestyle of your area. If people use public transportation, they might want to be near bus lines for example. If driving is the major means of conveyance in the area, the key is to find neighborhoods with good roads and easy access to major thoroughfares.

When you have all the people and services lined up to help you succeed, it is time to start seriously considering rental properties if you want to invest in them. If you are prepared for the process ahead of time, you will be ready to move quickly when the right deal comes along.

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Everyone wants to get the best deal possible on their house, but in a buyers market it can be difficult to know when to stand your ground and when to give in. Especially if your house has been on the market for a long time, it can be tempting to take any offer that is put on the table. However, you don’t want to give too much, or you will come out of the deal smelling like a rotten egg instead of roses. Take these tips into consideration when examining and negotiating real estate deals in a buyers market.

1.      Be willing to give on the little things. If you were planning on taking your appliances with you or selling them separately and the buyer wants to keep them in as part of the deal, go with it. Appliances don’t cost enough to make it worth arguing over, and it certainly should not be a deal breaker.

2.      Be willing to give a little on the asking price. Your asking price is just that, a starting point that you are asking for. It should not be set in stone. If someone makes an offer within five thousand dollars of your asking price, take it. Even within ten thousand can be a good deal if your house has been sitting for a long time.

3.      Be willing to work with the buyer on down payment and closing costs. You can get a much better offer in many cases if you stick to your asking price but make a “seller’s contribution” to the down payment and agree pay the closing costs. This way the buyer has to give up less money to get into the property, which makes them more likely to buy from you.

4.      If your house has been sitting vacant for a long time, you will have a harder time selling it if you don’t budge in negotiations. The longer a house sits, the less it is worth. This is what makes today a buyers market in the first place. Keep in mind this fact, and be willing to give in on negotiations when necessary to get the house sold.

5.      Don’t think you have to give in on everything. If someone wants to pay ten grand less than your asking price, have all appliances included, go with a lower down payment and still have you pay the closing costs, they are going too far. While you should be willing to be flexible, don’t let buyers walk all over you either. Other wise you will find quickly that you have made a deal that leaves you in the hole, all in the name of selling quickly.

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