S E L L E R ’S G U I DE RE/MAX CREST REALTY WESTSIDE
778.889.5283 kate@katemacphail.com www.katemacphail.com RE/MAX Crest Realty Westside 1428 W 7th Avenue Vancouver, BC V6H 1C1
Kate MacPhail Kate MacPhail is a professional and passionate REALTORÂŽ who understands the complexities of the Vancouver property market. Kate was born and raised in Vancouver. She holds a Bachelor of Arts degree from McGill University as well as a Publishing Certificate from Ryerson University. Her background in television and feature film production, as well as marketing and advertising make her a natural when it comes to marketing properties. She is also a skilled salesperson and expert negotiator. You can expect professionalism when working with Kate and most importantly, you will enjoy how genuine and sincere she is in her approach.
778.889.5283 | kate@katemacphail.com
RE/MAX Seller’s Guide
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C O N S U LTA N T V. S . S A L E S R E P R E S E N TAT I V E I am a Consultant. Not a Sales Representative.
What is the difference? TYPICAL SALES REPRESENTATIVE
Learns what their clients need, want and expect
Tells their clients what to do
Involves their clients in arriving at solutions that work
Puts their own economic and personal interests first
Puts their clients’ economic and personal interests first (fiduciary duty)
Says what the price should be
Takes their clients through a CMA that leads to a logical conclusion that both agent and seller can support
Puts up a sign, posts on the MLS then makes themselves scarce
Communicates with their clients with agreed upon frequency
Thinks Win/Lose
Thinks Win/Win
Talks more than they listen Talks about what they can do
4
CONSULTANT
RE/MAX Seller’s Guide
Listens more than they talk
CONTENTS Introduction - Welcome to Selling a Home
7
Commitment - Building a Winning Relationship
8
Important Considerations
11
4 Factors that Affect Saleability
12
10 Steps to Selling Define Your Goals Select a REALTOR® Price Your Property Prepare Your Home Market the Home Show the Home Ask for Feedback Negotiate the Offer Remove Subjects Close the Deal
13 14 16 19 20 23 26 29 30 33 35
Common Mistakes for Home Sellers
37
Featured Suppliers
38
Statistical Analysis
39
Local Community Involvement
44
A Home Seller’s Glossary
45
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6
RE/MAX Seller’s Guide
I N TR O DU CTIO N Welcome to Selling a Home Your home or investment property is usually one of your most valuable assets and I recognize that the decision to sell one of these is a big decision with many factors to consider, both logically and emotionally. I appreciate you considering entrusting this important task to me, and thank you for your time. This booklet is designed to help answer some of the more common questions that may come up, and help prepare you for our meeting. I hope you find it helpful and informative.
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C O M M I TM E N T Building a Winning Relationship Working with a REALTOR® who understands how to market your home is one of the key advantages of working with a real estate professional.
My Commitment To You To execute my responsibilities in accordance with your instructions, including complete disclosure, loyalty, confidentiality and accountability in line with the Real Estate Board of Greater Vancouver’s Code of Ethics. •
To Understand Your Requirements. Time line, expected return, and important considerations.
•
To Research The Market. To understand your competition.
•
To Give Unbiased Assessments On The Value. By providing you comparative statistics on similar properties recently sold.
•
To Ensure Your Family’s Safety. I will review prudent safety precautions to ensure your valuables, including pets, are taken into consideration when the home is being viewed.
•
To Act As Your Consultant. Providing the right advice through experience and knowledge when receiving offers to purchase.
•
To Review Feedback. I will follow-up with emails and phone calls to all REALTORS® who show the property. Feedback will be provided to you on a regular basis.
•
To Negotiate On Your Behalf. All offers will be presented to you promptly and negotiated with your best interest in mind. Ensuring the best possible price and terms are in line with current market conditions and your objectives.
•
To Recommend Professional Service Providers. From financial options to home-related services.
•
To Closing. Working beside you throughout the entire process, keeping you informed and knowledgeable about your commitments to time lines.
In short, I will provide you with comprehensive, high-quality seller’s service. After all, the buyer has their own representative working for their best interests — shouldn’t you have an expert on your side?
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RE/MAX Seller’s Guide
Your Commitment To Me When working with clients to help market their home for sale, it is important to me that we form a strong relationship of commitment and understanding. This will help us maximize the opportunity for selling your home for the best price and I only ask that you: •
Ensure that we take the time to prepare your home ready for sale.
•
Allow me to prepare a comprehensive marketing plan before we list your home for sale.
•
Ensure that I am able to access your property (at suitable times) to show to prospective buyers.
•
To be your known REALTOR® of choice.
•
To negotiate on your behalf with buyer’s agents.
•
To advise if my service level falls below your expectations. RE/MAX Seller’s Guide
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IM P O RTA N T CO NS I DE R ATIO NS Before we start, I ask my clients to review these considerations — as they make a significant difference in the success of this process:
GO OD P HOTOS MATTER . As more buyers are being introduced to properties online, professional pictures and videos matter. Ensure your home has been properly de-cluttered and consider staging tips that will make the rooms appear larger. AN M LS LISTING ISN’T E N O UG H. Your home needs to be effectively marketed to the right home buyers - whether that is through advertising, social media, the Internet, or direct mail. It is important that your home is viewed by as many potential buyers as possible, in order to maximize the revenue return. I S YOUR PRICE RIGHT? A home is likely to attract the most interest within the first two weeks it is listed. If the home is overpriced, buyers will move on. Be realistic when you set a sale price. Check out the competition and see what recent sales have been in the area.
ACC ES S AVA I LA B IL ITY. You never know when a potential buyer will want to see your home. Having a comprehensive schedule of available viewing times can make all the difference. UN D ER STA N D POSSIB L E DOW NFA L LS. It’s never easy hearing negative remarks about your home, but knowing is half the battle. Get feedback from your agent from potential buyers who have seen your home. The feedback provided could be helpful in the next showing. C HO OS I N G THE RIG H T AGE NT. Never forget the agent you choose is there for you. They are your number one ally. The right agent will guide you through the selling process and any answer questions you have. They have just as much invested in the sale of your home as you do. If they can demonstrate why they are the perfect agent for you, then hire them. Always trust your instincts.
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4 FACTO R S TH AT A FFECT THE SA L EA B ILI TY O F YO U R HOME PRICE POINT • I will provide you with a price range in which your home should be listed, based on the current market conditions. By providing relevant information, and helping you analyze and interpret it, you will be able to determine if now is the right time to sell your home or investment property. MA RKET CON DITIONS • The real estate market is always fluctuating both locally and abroad. As a RE/MAX Agent, I will be able to discuss the pros and cons of listing during varied market conditions. My goal is to be your “Trusted Advisor” for all of your real estate needs, now and in the future.
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PR O PERTY CO N DIT IO N • The condition of your property will have a lot to do with the selling price and how quickly it will sell. If there are minor repairs, or if professional staging is required, I will be there to assist and offer my guidance and network. MA R K ET EXPOSU RE • Unlike the previous three factors, our main focus will be on the factor we can control – market exposure and negotiating offers. I want to get the most qualified buyers into your home, in the least amount of time, and with minimal inconvenience. My clients enjoy a comprehensive marketing plan, combined with tried and true techniques that will get their home noticed and sold in any market.
1 0 STE P S TO SE LLI N G YO U R H OME 1. Define Your Goals 2. Select a REALTOR® 3. Price Your Property 4. Prepare Your Home 5. Market Your Home 6. Show Your Home 7. Ask for Feedback 8. Negotiate the Offer 9. Remove Subjects 10. Close the Deal
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1 . | D E F I N E YOUR G OALS D ETERM INE WH Y YOU A R E S ELLI N G YO UR HOM E Before you start to think about all the things that need to be done, take some time to figure out why you are selling and clearly define your goals. Everyone has different reasons. As you start to go through this process of discovery, focus on what is important to you and your family, as this will help streamline the process. These are six important questions to ask yourself: xx Is there a time line? xx Are you relocating? xx Are you looking for a bigger home or to downsize? xx Looking for a different neighbourhood? More city, more suburban? xx Looking for different amenities? xx Are financial considerations relevant?
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5 Important Considerations xx Do you understand the associated costs? xx Is this the right time for you to sell? xx What are the present market conditions and the implications to your sale? xx Does your home’s equity give you an advantage? xx What are the current mortgage interest rate options compared to your rate and commitment? Recognize that every market is different and the selling process can be a sprint or a marathon - be prepared for both.
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2 . | S E L ECT A R EALTOR ® Deciding who represents you is the most important decision you will make in the home selling process. As a RE/MAX real estate representative, I am here to help you. ACT AS YOUR MARKETIN G MA N AG ER : • Set a competitive market price. • Advise you on how to showcase your home and highlight its best features. • Develop a professional and personalized marketing strategy. • Communicate with you regularly, and provide feedback on influences as they may impact the market value of your home. I NTRODUCE QUALIFIED BUY ER S : • Work with the industry’s most productive Buyer’s Agents. • Confirm each buyer has been pre-qualified prior to viewing your home.
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S ERV E AS YO UR EX P E RIE NCE D NEG OT IATO R : • Advise you on the merits of the offers submitted. • Represent your best interests at all times and keep your goals in full view. ACT AS YO UR C LOSING CO O RDINATO R : • Send all documents out on time. • Deliver the keys to the buyers after title has transferred and funds are ready to be issued by your lawyer or notary. • Follow-up with any loose ends prior to and after moving day. • Provide you with helpful tips on moving that can make the day go smoother.
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18 RE/MAX Seller’s Guide
3. | P R I CE YOUR PR OPERTY The first thing buyers want to know is the price. With that in mind, we need to ensure that your property is on the market for a price that will attract buyers, but will still provide you with a good return. W HAT IS MARKET VALUE? Deciding on the true market value is where my expertise will come into play. Regardless of its original price, or even the improvements you’ve made over the years, the market value is based on what buyers are paying at the time your home is on the market. OVERP RICIN G YOUR HOM E The rule of thumb is that buyers look at about twelve properties before they make an offer. This will give them a great idea of whether or not your property is well priced. If it’s priced too high, you’ve just lost a potential buyer. If the home has been priced too high and later you lower the price, they may wonder what is wrong with your home. Pricing your home reasonably the first time is critical to attracting the right buyer at the right time.
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4. | P RE PA RE THE HOM E Begin this process with one simple idea “This is not my home; it is a house.” For this Seller’s Guide, I have broken down this process into three levels. Discuss with your REALTOR® what level is required to get the most value for your home. L EVE L 1: THE BAS ICS • De-clutter • De-personalize • Deep clean L EVE L 2: BEYOND THE BAS I CS • Paint the walls neutral colors • Change room decorations and themes • Minor repairs as needed L EVE L 3 : WAY BEYOND T H E BAS I CS xx Major renovations • Finish the basement xx Other repairs
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Helpful tips:
xx Think of this process as a head start to packing. xx Even though some repairs seem minor, they can become a major factor in determining whether the buyer will actually buy. xx Pay particular attention to rooms that smell - odors are a complete turn-off. xx Don’t forget about the outside - this is the first impression. xx Scrutinize the home. If you were a buyer, would you want to buy this home? You have lived here and you know all the pros and cons. Highlight the pros and help eliminate the cons. xx I will also provide you with access to RE/MAX’s exclusive “Are You Fit to Sell” videos and checklists to help get the home ready for the market.
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WH E R E D O BUYE R S COME F ROM?
Internet
Real Estate Agent
51%
Friend, Relative, or Neighbour
4%
Yard Sign/ Open House
34%
Home Builder or Their Agent
2%
8%
Directly from the Seller
1%
Print Newspaper Advertisement
1%
This representation is based in whole or in part on data generated by the National Association of REALTORSÂŽ (NAR), which assume no responsibility for its accuracy. Updated December 2016.
22 RE/MAX Seller’s Guide
5. | MA RK ET THE HOM E A sophisticated and professionally prepared marketing plan is essential to maximizing exposure; it needs to be a carefully prepared and strategically implemented. • • • • • • •
Yard Signs and Directionals Marketing Collateral For Your Home Public and Private Showings Local Advertisements Networking and Referrals Virtual Tours through Online Video Marketing Web Exposure
OU R DIRECT APPROACH Professional promotional materials that are directly mailed are one of the most powerful ways to spread the message that your home is for sale. Your neighbours will be first to tell their friends and family about your home – they already love their community and are your biggest advocates!
Feature Sheet
Feature Sheet
206 - 1159 Main Street, Vancouver 3 beds, 2 baths - Apartment
Feature Sheet
204 - 1477 W 15th Avenue, Vancouver 2 beds, 2 baths - Apartment
206 - 1159 Main Street, Vancouver
9'-0"
M.BATH
CLO.
KITCHEN 8'-11"x 7'-4"
kate@katemacphail.com
MASTER BEDROOM 13'-9" x 10'-10"
DINING ROOM 9'-1" x 16'-3"
M.BATH
M.WALK IN CLOSET 8'-10" x 5'-11"
3 bedrooms under 700k in Mount Pleasant! 1417 sf and completely renovated to the studs (with permits); this Kate MacPhail place is one of a kind. The kitchen is a chef's dream with s/s appliances and centre island. Dining space is large KITCHEN 13'-5" x 9'-11"
Re/Max Crest Realty Westside
enough for an 8 person table. Entertain to your heat's delight in this open living space. The master has no shared walls with the 2 additional bedrooms and a large den off the master is the perfect family room. Gallery walls offer
BATH
1,417 sq.ft. 8'-0"
#206-1159 Main Street, Vancouver, B.C.
778-889-5283 ample space to hang artwork to enhance the urban/contemporary feel of this city home. Includes 1 parking & kate@katemacphail.com locker. City Gate has recently had new elevators, re-piping and an extensive re-caulking project. The perfect time katemacphail.com to invest in the building. SNEAK PEEK Thurs Sept 24 7-8pm. Open Sat/Sun Sept 26/27 2-4pm. Main Floor: Ceiling Height:
FOYER 8'-3" x 3'-11"
CLO.
DEN 12'-6" x 10'-6"
LIVING ROOM 19'-4" x 11'-8"
8'
778-889-5283 kate@katemacphail.com katemacphail.com
604-639-5434
Re/Max Crest Realty Westside 604-639-5434
WWW.PIXILINK.COM
4'
8'
ExcE lsior MEASURING
2'
4'
NORTH
$698,000 Apartment 2 2 2008 898 Sq.Ft. $321 $1,775 (2015)
SCALE
2'
0'
0'
The floor plan is not suitable for architectural/construction, square footage-method ANSI Z765 used & is covered under E&O
WWW.PIXILINK.COM
Kate MacPhail
SCALE
Price: Type: Beds: Baths: Built: Size: Mnt Fee: Taxes: W/D
STO.
ExcE lsior MEASURING
2 bdrm & DEN in South Granville's prestigious SHAUGHNESSY MANSIONS. The location cannot be beat; steps from Vancouver's finest shops and restaurants, this heritage building was completely restored in 2006 and updated to the most elegant and high end modern standards. The kitchen will take your breath away w/top of the line appliances incl. Wolf range & features an extra large W/I pantry for all of your storage needs. The living/dining & den are bathed in natural light (west facing) but the central heating/cooling will keep the space a comfortable temperature all year round. The perfect turn key investment (furniture can be included and rentals allowed) or home for the urban professional, couple or young family. Open Oct 31/Nov 1.
BEDROOM 9'-10" x 10'-0"
NORTH
FOYER 5'-7" x 5'-9"
CLOSET
CLOSET
BEDROOM 6'-8" x 10'-5"
CLOSET
BATH
BEDROOM 9'-6" x 10'-5"
The floor plan is not suitable for architectural/construction, square footage-method ANSI Z765 used & is covered under E&O
MASTER BEDROOM 9'-11" x 11'-2"
PANTRY 7'-4" x 5'-3"
778.889.5283 www.katemacphail.com
898 sq.ft.
DEN 8'-3" x 8'-1"
LIVING ROOM 10'-6" x 11'-7"
DINING ROOM 9'-0" x 5'-5"
Main Floor: Ceiling Height:
3 beds, 2 baths - Apartment
Kate MacPhail P.R.E.C
kate@katemacphail.com www.katemacphail.com
Royal LePage Sussex
2 beds, 2 baths - Apartment
#204-1477 15th Avenue, Vancouver, B.C.
Kate Macphail 778-889-5283
Feature Sheet
204 - 1477 W 15th Avenue, Vancouver
Price: Type: Beds: Baths: Built: Size: Mnt Fee: Taxes:
$699,000 Apartment 3 2 1994 1,417 Sq.Ft. $532 $2,065 (2015)
Kate MacPhail
Re/Max Crest Realty Westside 778-889-5283 kate@katemacphail.com katemacphail.com
Kate MacPhail Re/Max Crest Realty Westside 778-889-5283 kate@katemacphail.com katemacphail.com
RE/MAX Seller’s Guide 23
24 / 7 W E B EX P OSU R E With nearly 94% of home buyers beginning their search on the Internet, you will want to ensure that your home will receive maximum Online exposure. As part of my marketing plan, your home will receive unparalleled exposure among consumers and real estate professionals across the globe.
REAL ESTATE
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LO CA L EX P E RTS, GLO BA L LY CO N N ECTED When you sell your home with me, you become part of a worldwide sales force. You will be tapping into the world’s most effective referral network and enjoying the benefits of the most powerful real estate brands. Go Global - Go RE/MAX!
OVER 100,000 AGENTS IN OVER 100 COUNTRIES NORTH AMERICA | United States of America | Canada | Mexico | CENTRAL AMERICA | Belize | Costa Rica | El Salvador | Guatemala | Honduras | Nicaragua |Panama | SOUTH AMERICA | Argentina | Bolivia | Brazil | Chile | Colombia | Ecuador | Guyana | Peru | Suriname | Uruguay | Venezuela | CARIBBEAN | Antigua and Barbuda Aruba | Bahamas | Barbados | Bonaire | Cayman Islands | Curacao | Dominica | Dominican Republic | Grenada | Jamaica | Puerto Rico | St. Barthelemy St. Kitts & Nevis | St. Lucia | St. Martin | Trinidad & Tobago Turks & Caicos | US Virgin Islands | EUROPE | Albania | Austria | Belarus | Belgium | Bosnia & Herzegovina Bulgaria | Croatia | Czech Republic | Denmark | England | Estonia | Finland | France | Germany | Greece Hungary | Iceland | Ireland | Italy | Latvia | Liechtenstein | Lithuania Luxembourg | Malta | Montenegro | Netherlands | Norway | Poland | Portugal | Romania | Scotland | Serbia | Slovakia | Slovenia | Spain | Sweden | Switzerland | Wales MIDDLE EAST | Bahrain | Egypt | Israel | Kuwait | Lebanon | Oman | Qatar Saudi Arabia | Turkey | United Arab Emirates | AFRICA | Algeria | Botswana | Cape Verde | Mauritius Morocco | Mozambique | Namibia | Seychelles | South Africa | Zambia | Zimbabwe | ASIA/PACIFIC | Australia | Bhutan | China | Guam | India | Indonesia Japan | Micronesia | Mongolia | Nepal | New Zealand Northern Mariana Islands | Philippines | Republic of Palau | Singapore | South Korea | Sri Lanka | Thailand
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6. | S H OW THE HOM E Sellers place a lot of pressure on themselves when showing their property. Here are a few things to keep in mind to generate the best first impression and increase your chances of receiving those all-important offers. • • • • • • •
Let Your Agent Handle It Be Flexible Quick Clean Climate Control Animal Care Light the Way Communicate with your REALTOR®
TIP: Keep a box for personal items, when not in use keep them in a closet or drawer.
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The “Show Home” Ready Checklist YO U H AV E 10 M I N UT ES : Make the beds Grab a basket/box and throw all personal items of clutter in there and put it in the back of your car Empty all the garbage Make sure the bathroom towels are clean, straightened, and they match Put down all the lids to the toilet Wipe down all counter tops and sinks Turn on all the lights in the house Make sure the house temperature is comfortable Make sure the home smells good YOU HAVE ONE HOUR: Do everything on the ten minute list, PLUS Vacuum all carpeted areas Sweep all surfaces Clean all mirrors Give the toilets a good clean and wipe down Clear kitchen counters and wipe down Laundry should be clean and put away Sweep the front doorway and shake out the mat
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7. | AS K FO R F EED BACK It is important to hear feedback on your property, whether its good, bad or ugly. The information provided could be helpful in the next showing. Following an open house or buyer showing, we will discuss your home’s reception and consider recommendations. xx Are you getting a steady stream of people to Open Houses and Agent Opens? What is the typical number for comparable homes? xx I will advise you on what feedback was given to me. Use this feedback to enhance your home’s presentation for future showings. I may have some ideas on how to spruce up your home’s presentation factor. xx Could your home use an incentive to entice more buyers to come for a look? xx We can discuss what other marketing strategies to attract more buyers? xx It is important to keep things in perspective following an open house or a buyer showing. Remember that home shoppers need time to process what they have seen and maybe time to look around at other homes before making such a big decision. xx Be patient. Be open to feedback and continue to maintain an open dialogue with me - never forget I am on your side.
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8 . | N EGOT IATE THE OF F ER The most complex moment in the sales process is when you get an offer on the home. There are many components to an offer and I will explain the entire process, so you are comfortable with all the steps involved. There are two types of offers. An offer with or without conditions: an offer without conditions is known as a firm or subject-free offer, and one with conditions is known as a conditional or subject offer. You can reject or accept the initial offer. If you agree to some points of the offer but not others, then you would submit a counter offer. Offers can be countered back and forth between the parties until one of you accepts or rejects, ending the negotiations all together. COUN TER OFFERS Counter offers are generated by the seller after a buyer has submitted an offer to purchase. Typically, counter offers will state that the seller has accepted the buyer’s offer subject to particulars such as: xx Higher price (if buyer’s offer doesn’t match sale price) xx Increase the amount of the deposit xx Refusal to pay for certain reports or fees xx Altering closing and/or possession dates xx Modifying the contingency time frames xx Excluding personal property Counter offers can go back and forth several times. Just remember time is of the essence. Counter offers contain expirations, which means you as the seller can accept another offer while the buyer decides if they will sign the counter offer.
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WORKING PAPERLESSLY
Not in town? Not a Problem! While Real Estate will always be about building and maintaining personal relationships with our clients, it’s not always possible or convenient to get together to sign or exchange documents. With your convenience in mind and a conscious effort to reduce our industry’s carbon footprint, our associates are committed to investing in technologies that will make your transactions as easy and paperless as possible. Whether it’s electronic signature software and apps, cloud storage solutions that make sharing and storing of transaction paperwork fast and easy, smart phones and tablet computers to help service my clients on the go, or video chat and email solutions that make communications from anywhere in the world feel like you’re right next door, I use cutting edge technology solutions that help make your buying or selling experience a breeze - no matter where you are!
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9. | RE MOV E SUB JECTS Once both parties accept the sales contract and its subjects, they will start to work towards removing these conditions within a specific time frame. I will advise you on what subjects can be removed based on the results once the appropriate due diligence has been completed. Ideally, both parties should have been able to negotiate a reasonable time to remove these conditions. As an experienced REALTORÂŽ, I will be able to advise you on the right course of action should the subjects not be removed by its due date.
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1 0. | CLOS E THE D EAL Once all subjects have been removed the sale is considered final. The final documents will be sent to your lawyer/notary to prepare the necessary documentation pertaining to the sale of your home. Your lawyer/notary will forward these important documents to the buyer’s lawyer/notary for final execution. Your lawyer/notary will arrange with the buyer’s lawyer/notary to pick up funds and then you will be notified that the sale is complete. I will contact you to handle any further requirements, such as transferring the keys to the new owner.
Understanding Your Fees In order to provide the best service and exceed expectations, I feel it is important to explain how the commission you pay on the sale of your home is apportioned to the various parties involved.
Seller’s Brokerage
Personal Fees Business & Marketing Expenses REALTOR® Fees Buyer’s Brokerage Good Service Doesn't Just Happen. As your REALTOR®, I invest both time and money upfront into selling your home. I’m not paid a salary and only get paid when your transaction is closed and the title of the home is transferred. When a brokerage fee is earned, it is shared between the real estate companies involved in the transaction.
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COMMO N M I STA K ES FO R H OM E S E L L E R S 1. Not Hiring a Professional – You need the expertise of a REALTOR®. Sellers who try to sell the home themselves take longer to sell and for far less. 2. Not Pricing The Home Correctly – Overpricing or underpricing can be a costly mistake. It’s critical to know the market and review comparables to know what price your home needs to be set at to sell. 3. Neglecting Necessary Repairs – It will always cost you less out of pocket to fix things ahead of time rather than having buyers request that you fix it through their vendor of choice. 4. Not De-cluttering – One of the least expensive improvements you can make to your home is to de-clutter and create a sense of space throughout the home. 5. Getting in the Way of Negotiating – Too many sellers take negotiating personally and lose out on creating a win-win deal. 6. Failing to Complete a Full Set of Disclosures Prior to Closing – Be upfront about any of your home’s issues; this will save you money and time. 7. Overlooking Fees and Extra Expenses – Request a list of fees and expenses before closing. Review these with your REALTOR® and discuss them ahead of time. 8. Not Hiring a Professional Photographer – More than 90% of all buyers start their home search online so make sure you leave a great first impression. 9. Not Trusting or Communicating with Your REALTOR® – They are your biggest ally. Trust them to guide you through this process. Be open and honest as you can and allow them to do their job.
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Featured Suppliers: Metro Home Services The GetMetro.ca Preferred Supplier Program connects our agents and their clients with the many high quality service providers that have been used and recommended by our company and its associates over the years. If you are looking for a reliable referral in any of the categories listed below, please visit www.GetMetro.ca! • • • • • •
Lawyers Notaries Mortgage Brokers Insurance Providers Financial Advisors Architecture and Design
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• • • • • •
Builders Home Inspectors Cleaning Services Contractors Decks and Fences Flooring
• • • • • •
Handyman Services Landscapers Oil Tank Removal Plumbing & Heating Roofing, Siding and Gutters Windows
R E / MAX CA N A DA VS. T H E I N D UST RY BUYERS, SELLERS WHO KNOW THE BRAND1
AGENT EXPERIENCE (IN YEARS)
AGENTS CANADA
AGENTS WORLDWIDE
OFFICES WORLDWIDE
COUNTRIES2
95.5%
13.6
20,672
111,915
7,343
100+
BUYERS, SELLERS WHO KNOW THE BRAND1
100% 80% 60% 40% 20% 0%
RE/MAX
Royal LePage
Century 21
Coldwell Banker
Sutton Better Homes HomeLife & Gardens
Keller Williams
Sotheby's
Data is year-end 2015, except as noted. Coldwell Banker, Century 21, Better Homes and Gardens and Sotheby’s data is as reported by Realogy Corporation on SEC 10-K, Annual Report for 2015; Keller Williams, Royal LePage, Sutton and HomeLife data is from company websites and industry reports. 1. MMR Strategy Group study of total brand awareness of real estate organizations among buyers, sellers, and those planning to buy or sell. 2. Based on lists of countries claimed at each franchisor’s website, excluding claimed locations that are not independent countries (i.e. territories, etc.).
RE/MAX Seller’s Guide 39
2 0 16 BR O KE R AG E P E R FO RMA NCE VANCOUVER & THE FRASER VALLEY MARKET SHARE LISTING AND SELLING ENDS COMBINED, MARKET SHARE BY UNITS
25% 20% 15% 10% 5% 0%
RE/MAX
Sutton
Royal Royal Macdonald HomeLife Century 21 Coldwell Regent One Percent Banker Park Realty Realty Le Page Pacific Realty Realty
#1 Sales Group Worldwide 2009, 2010, 2011, 2013, 2014, 2015, and 2016 This representation is based in whole or in part on data generated by the Real Estate Boards of Greater Vacouver, Fraser Valley, Victoria, and Vancouver Island, Okanagan Mainline, South Okanagan, and BC Northern, which assume no responsibility for its accuracy. Data is reflective of data pulled between December 2015 and December 2016.
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RE/MAX OF GREATER VANCOUVER & FRASER VALLEY BY THE NUMBERS
NUMBER OF ASSOCIATES
NUMBER OF SALES
AVERAGE NUMBER OF SALES PER ASSOCIATE
AVERAGE NUMBER OF SALES VOLUME PER ASSOCIATE
TOTAL REPORTED SALES VOLUME
1,954 29,088
14.9 $12.52 Million $24.46 Billion
This representation is based in whole or in part on data generated by the Real Estate Boards of Greater Vacouver, Fraser Valley, Victoria, and Vancouver Island, Okanagan Mainline, South Okanagan, and BC Northern, which assume no responsibility for its accuracy. Data is reflective of data pulled between December 2015 and December 2016.
RE/MAX Seller’s Guide 41
2 0 16 BR O KE R AG E P E R FO RMA NCE
North Vancouver
WEST SIDE
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#1 Sales Group Worldwide 2009, 2010, 2011, 2013, 2014, 2015, and 2016
T HRO UGH O UT M ETR O VANCOUV ER 25%
West & North Vancouver Market Share
20%
20%
15%
15%
10%
10%
5%
5%
0%
0% RE/MAX
Royal LePage
Sutton
Macdonald
25%
Angell Royal Hasmar Pacific Realty
Team 3000
Sotheby’s
Burnaby, Coquitlam, & New Westminster Market Share
20%
10%
10%
5%
5%
0%
0% Royal Royal Pacific Realty LePage
New Coast
Macdonald
Keller Williams
Team 3000
Sutton
Royal Macdonald Pacific Realty Realty
Royal Le Page
Rennie
Century 21
Oakwyn
Richmond Market Share
20% 15%
Sutton
RE/MAX
25%
15%
RE/MAX
Downtown, East Vancouver, & Vancouver Westside Market Share
25%
RE/MAX
Sutton
#1 Sales Group Worldwide 2009, 2010, 2011, 2013, 2014, 2015, and 2016
Royal Macdonald Pacific Realty Realty
New Coast
Multiple Realty
Regent Park
RE/MAX Seller’s Guide 43
Metro
LOCAL COMMUNITY INVO LV E ME N T RE/MAX understands that building a great neighbourhood starts with supporting local programs and organizations that make a profound difference in everyday lives. That’s why we put our hearts, our dollars and our efforts behind a wide number of incredible worthwhile charities, right here at home.
CHI LD R EN ’S M I R AC LE N ETWO R K
RE/MAX is the exclusive real estate partner to the Children’s Miracle Network, a charitable organization consisting of 14 children’s member hospitals in every province treating more than 2.6 million children each year. Throughout our twenty-year partnership, $44 million has been raised by RE/MAX agents who make a contribution with every home sold through the Miracle Home Program.
BAC K PAC K BUD D I ES
At RE/MAX, the needs of children at risk have always been our 1st choice for charitable giving. Backpack Buddies feeds our kids at risk who without this program, go without nutritional food on the weekends. Through this Kids Helping Kids initiative there are bags of food prepared and delivered to recipient schools for children to take home on Friday’s after school.
SOL D O N SAV I N G LI V ES
You can help improve the quality of life for those living with HIV/AIDS by choosing a RE/MAX Sold on Saving Lives agent. Participating RE/MAX agents have pledged to make a donation to the Dr. Peter AIDS Foundation on behalf of each home sold. By buying or selling with a RE/MAX agent who supports Sold on Saving Lives, you are making a choice to help those living with HIV/AIDS.
ORG A N D O N O R AWA R EN ES S
RE/MAX is committed to help raise awareness of the ongoing need for organ donation. Canadian Association of Transplantation assists Canadians in making informed decisions regarding organ, tissue and bone marrow donation. Visit their website, www.transplant.ca, for national information regarding organ and tissue donation.
QUEST FO R EXC ELLEN C E ® S C HO LA R S HI P
Quest for Excellence is a bursary program for grade 12 students in Western Canada, established by RE/MAX of Western Canada to recognize the success and ongoing pursuits of students in regards to leadership and community contribution initiatives.
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A H O M E S E L L E R ’ S G LO S S A RY When buying a home, it’s important to understand some of the key concepts and terms. Throughout the purchase process, your REALTOR® will be available to explain any unfamiliar terms you encounter. That said, here is a short list of terms you’ll want to know: Abstract Of Title – A complete historical summary of the public records relating to the legal ownership of a particular property from the time of the first transfer to the present. Agreement of Sale – Also known as contract of purchase, purchase agreement, or sales agreement according to location or jurisdiction. A contract in which a seller and buyer agree to transact under certain terms spelled out in writing and signed by both parties. Amortization – The process of reducing the principal debt through a schedule of fixed payments at regular intervals of time, with an interest rate specified in a loan document. Appraisal – A professional appraiser’s estimate of the market value of a property based on local market data and the recent sale prices of similar properties. Assessed Value – The value placed on a home by municipal assessors for the purposes of determining property taxes.
Closing – The final steps in the transfer of property ownership. On the Closing Date, as specified by the sales agreement, the buyer inspects and signs all the documents relating to the transaction and the final disbursements are paid. Also referred to as the Settlement. Closing Costs – The costs to complete a real estate transaction in addition to the price of the home, may include: taxes, title insurance, appraisal fees and legal fees. Closing Date – This is usually the date that the legal ownership of the property transfers from the seller to the buyer. Conditions or "Subjects" – Items that are usually put in place to protect a party’s interests upon selling or buying the property and refer to things that must occur or be in place before the sale closes. Some of these conditions could be “subject to financing approval”, “subject to the strata council allowing pets”, “subject to the buyer’s house selling”, “subject to an approved home inspection”, etc.
RE/MAX Seller’s Guide 45
Contingency – A clause in the purchase contract that describes certain conditions that must be met and agreed upon by both buyer and seller before the contract is binding.
Easements – Legal right of access to use of a property by individuals or groups for specific purposes. Easements may affect property values and are sometimes part of the deed.
Counter-Offer – An offer, made in response to a previous offer, that rejects all or part of it while enabling negotiations to continue towards a mutually acceptable sales contract.
Fixed-Rate Mortgage – A type of mortgage loan where the interest rate does not change during the entire term of the loan. The rate is locked in at time of closing.
Conventional Mortgage – One that is not insured or guaranteed by the federal government. Debt-to-Income Ratio – A ratio that measures total debt burden. It is calculated by dividing gross monthly debt repayments, including mortgages, by gross monthly income. Deposit – A deposit is provided from the buyer to the seller as a token of the buyer’s assurance and intention to buy the property involved. The deposit is applied against the purchase price of the home once the sale has closed. Your agent can assist you in proposing a certain and appropriate amount for the deposit. Equity – The value of the property, less the loan balance and any outstanding liens or other debts against the property.
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Home Inspection – Professional inspection of a home, paid for by the buyer, to evaluate the quality and safety of its plumbing, heating, wiring, appliances, roof, foundation, etc. Homeowner’s Insurance – A policy that protects you and the lender from fire or flood, a liability such as visitor injury or damage to your personal property. Inclusions and Exclusions – These are specifications within the offer that detail the items to be included or excluded from the purchase of the property. Typical inclusions are appliances, window coverings, fixtures and decorative pieces. Lien – A claim or charge on property for payment of a debt. With a mortgage, the lender has the right to take the title to your property if you don’t make the mortgage payments.
Market Value – The amount a willing buyer would pay a willing seller for a home. An appraised value is an estimate of the current fair market value.
Purchase Price – The amount that the buyer is offering to pay for the property, usually dependent on market conditions and may differ from the seller’s current asking price. There is no “normal” amount or percentage Possession and Adjustment Dates – When the buyer takes that a price will differ from its asking price, as the final possession as specified in contract of purchase sale and price will be determined by many factors, including the adjustments are made for prepaid taxes, maintenance seller’s motivation and how close the asking price is to fees, etc. They are usually the same date. actual “market value”. Possession Date – The date, as specified by the sales agreement, that the buyer can move into the property. Generally, it occurs within a couple days of the Closing Date.
Terms – An offer includes certain “terms”, which specify the total price offered and how the financing will be arranged, such as if you will arrange your own with a financial institution or mortgage broker or if you wish to take over the seller’s mortgage (assumability).
Pre-Approval Letter – A letter from a mortgage lender indicating that a buyer qualifies for a mortgage of a Title – The right to, and the ownership of, property. A specific amount. It also shows a home seller that you’re Title or Deed is sometimes used as proof of ownership of a serious buyer. land. Clear title refers to a title that has no legal defects. Principal – The amount of money borrowed from a lender to buy a home, or the amount of the loan that has not yet been repaid. Does not include the interest paid to borrow.
Title Search – A historical review of all legal documents relating to ownership of a property to determine if there have been any flaws in prior transfers of ownership or if there are any claims or encumbrances on the title to the property.
Purchase Offer – A detailed, written document which makes an offer to purchase a property, and which * The purchase offer and contract procedures vary by may be amended several times in the process of region. negotiations. When signed by all parties involved in the sale, the purchase offer becomes a legally-binding sales agreement.*
RE/MAX Seller’s Guide 47
NOTES
48 RE/MAX Seller’s Guide
NOTES
RE/MAX Seller’s Guide 49
Thank you again for entrusting me with the sale of your home. Please know that I am here for you. My responsibility is to ensure that you receive the best quality service and that you walk away from this experience confident and satisfied. As always, please contact me at anytime if you have questions or concerns.
Kate MacPhail
50 RE/MAX Seller’s Guide
“Selling your home does not mean you leave your memories behind...but rather a journey through which you must travel, so let me be your guide.�
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