Nowadays, tech savvy homeowners have access to so much information online, giving sellers an advantage when it comes to selling their home.

But, there’s a lot more that goes into it than just accepting an offer.  Here are some key things you might not have thought about.

• ACCESS TO SERIOUS BUYERS

In most cases, serious buyers are working with a Realtor to help them buy a house.  On average, every Realtor can be working with at least 2 buyers at any given time.  

When you hire a Realtor to list your house, they post your home on MLS.  It then gets distributed to multiple channels used by Realtors and their clients to set up home searches and showings.

This by far, is where the widest pool of potential buyers would be.  Without access to this, those potential buyers will never see your home, or even know it is for sale.

Even though you may be able to post your home online, you don’t have access to the MLS database without a Realtor.  You will be missing out on the maximum exposure for your property, and missing out on MANY showings since Realtors almost exclusively use MLS to set up appointments.  

A key factor in driving a higher selling price is to get the maximum amount of interest in your property, often prompting buyers to pay more for your home.

• PROFESSIONAL LISTING PREPARATION, APPOINTMENT MANAGEMENT AND SECURITY

Realtors are experienced in knowing how to prepare and market a property to appeal to the widest audience.  They can come into your home with an objective eye and tell you exactly what needs to get done so your home is showcased in the best possible light.

Once your house is officially “For Sale”, you must open your home up to potential buyers for viewings.  Realtors will guide you on the best practices for showings so your home is presented beautifully, with a goal of “wowing” the buyer.

Your also home contains a lifetime of valuables and personal belongings, and you must be mindful of security concerns.  Whenever you invite someone into your home, you put your home at risk for damage or even theft, however minor.  A Realtor will be able to prepare you properly to minimize the risks associated with showings.  They have secure booking systems that keep a record of all the agents & buyers brought into your home.  Additionally, whenever your home is shown, buyers are ALWAYS accompanied by a licensed Realtor and never left free to roam your home and personal belongings.

Realtors also set you up with an organized booking management system that will handle all showing requests on your behalf.  That way, you don’t have to worry about keeping track of all the appointments, and who is coming when.

• CLIENT vs. CUSTOMER

Two types of Realtor-Buyer relationships exist:  Client vs. Customer.  You may think of these terms being used synonymously, however in real estate, that is NOT the case and can have very different implications.

A Realtor has a fiduciary duty to their client(s). 

Meaning, if you are a “client”, Realtors and the Brokerage have an obligation to promote and protect your best interests at all times, particularly in a real estate transaction.  They are ethically obligated to negotiate on your behalf and work FOR you.

Alternatively, your relationship can also be that of a “Customer” if you decide not to “officially” hire a realtor.  An example would be if you were be approached by buyers that have an agent, and you were to use their agent to facilitate the transaction.

As a “Customer”, a Realtor and Brokerage will provide you with some level service, but are not necessarily looking out for your best interests.  They are also not obligated to keep your real estate information confidential.  This could translate into them drafting the offer, but not going above and beyond to make sure you are protected.  Or advocating on your behalf.

By putting yourself in a position without a Realtor, you could be giving potential buyers a huge advantage, translating into potentially receiving a MUCH lower price as a Seller.  Also, any information you may share with the buyer’s agent could potentially be passed on to the Buyer(s), putting you at a disadvantage during negotiations.

• CONDITIONS & CLAUSES

You might not be aware of, or have access to all of the clauses that should be included in an offer during negotiations.  Realtors have been trained to know exactly what things should be included to avoid problems, or potentially legal issues down the line.  Without knowing what you should be including, you open yourself up to future liability or even litigation.

• COMPARATIVE MARKET EVALUATIONS (CMA’S)

When it comes to Listing and Selling price, Realtors are experts in pricing strategies and knowing the comparables.  Without access to all of the information, and knowing how to analyze the comps, you risk undervaluing your home by tens of thousands of dollars or more.

• REGULATION

In Ontario, the Real estate industry is highly regulated and the provincial government writes the rules that both Realtors & Brokerages must follow.  RECO (Real Estate Council of Ontario) enforces the rules on the government’s behalf and has laid out legislation and regulations that govern the entire profession.  You can be assured that in most cases, you’ll be working with a dedicated, licensed professional bound to a strict code of ethics.  And, you’ll have recourse for any wrongdoings or complaints through RECO.

These are just a few of the many reasons why having a Realtor by your side is imperative when searching for a home

There is no clear cut answer to this question.  It will first depend on your circumstances, and how quickly you need to sell.  And, it can also depend on whether you have a home to purchase too. 

Generally, the busiest seasons for real estate fall between February to June, and then September to November.

You might automatically think you’ll get the best prices in Fall or Springtime.  But, keep in mind that’s exactly what everyone else is thinking, so you might see a number of listings hit the market during these periods. 

Price is driven by supply and demand, so the highest prices can be fetched when supply is low and demand is high.  

Experience has consistently shown that best time to get the peak selling price actually occurs in mid-to late February.  At this point in the cycle, serious buyer’s who didn’t find a home in the fall are itching to get back out there, raising demand for housing.  But, many Seller’s still haven’t jumped on the wagon, so supply remains as we come out of the winter holidays. 

These two things combined gives Seller’s an edge when it comes to negotiating, particularly when there is less choice for homes in the Market and more buyers fighting for what is on the market.

In general, you can expect to pay:

1. Legal costs including a statement of adjustments
2. A mortgage discharge fee to transfer or close out your mortgage
3. Mortgage prepayment penalties if you are selling before the end of your term
4. Cost for listing prep which may include: Repairs, renovations, cleaning etc.
5. Staging costs
6. Realtor Fees, if using a Realtor

Let’s breakdown Realtor fees.

Typically, you pay a commission based on the home’s sale price, and commissions may be negotiable.  They can range from 2% to 6% depending on your location, services provided and listing needs.  

In Ontario, the bulk of the realtor fees are paid by the seller, who then split the commissions with the agent who represents the buyer.

A typical structure may look like this:

Total 4%-5% commissions payable on the sale price.  This is usually determined by the level of services you require for your property.  Many full service Listing agents will cover the costs for staging, professional photography and/or some level of listing prep or cleaning.  It is important to discuss what is included with your Realtor so you know exactly what you are getting for the fee.

Half of that would be split with the buyer’s agent.  Therefore:

Approx. 2-2.5% would be allocated to the Listing Agent/Brokerage. And,

Approx. 2-2.5% would be allocated to the Buyer’s Agent/Brokerage.

Professional stagers are trained to turn your home into a product for sale, which means minimizing it’s flaws, highlighting it’s features and appealing to the widest number of people.  When your home appeals to more people, you are more likely to generate more interest and bring in a higher selling price.

When you live in a home, you fill it with personal belongings, and your personal style is infused into the furniture and decor.  This is wonderful when you are living there, and using the space to fit your needs. 

When selling, buyers need to visualize themselves living there, which can be hard to do when a space is personalized.

A stagers job is to actually de-personalize the space by removing most personal items.  They are then trained to bring in neutral decor and furniture allowing buyers to look beyond the “stuff” and picture themselves (and their own furniture) in the home.

A well staged home will generally have a better chance of selling for more money vs. one that has not been staged.

Clutter or too much furniture can make a space look smaller or even older depending on the condition of your furniture and decor.  

While a staged home often present as model or show home, creating a very positive first impression.  This can get buyers excited at the prospect of owning such a prestine property.

Staged homes also photograph better, generating more interest in your listing online from the outset.

Additionally, staged homes typically sell quicker which minimizes the burden of a long listing period for sellers.

Although it can be hard to quantify exactly how much more money a seller can make, I have seen first hand that the difference can add thousands or more to the final sale price.  Most sellers more than make up for the cost of staging in their selling price.

As a Certified Ultimate Stager™️ myself, all of my listing packages include staging*.

*ask me about my various levels of staging services.  Costs may vary depending on the extent of staging you require.

No!  And Yes!  Ok, actually, this is a 2 part question, and the answer is both!

It is my personal belief that the relationship with your Realtor must be a good fit, just like any friendship or professional relationship.  And, if at any point in the process that sentiment changes, or, if your circumstances change, I believe you should have the opportunity to pause or end the process.  As such, I will never force you to stay in a contract you can’t get out of.  

Now for the “Yes” part!

When you are ready to list your home, it is law in Ontario that Realtors reduce the agreement to writing and provide it to you for your signature.  The agreement should be in writing in order to protect the interest of all parties.

This means, that I wouldn’t actually be able to advertise your property for sale without a Listing Agreement in place.  

But, before we even get to that point, we’d go over everything you need to know about the contract.  And, you’d never be contractually forced to work with me if you ever needed out of the relationship.

Keep in mind that the expense for listing a property is born by the individual Realtor up front, and typically amounts to thousands of dollars.  Should you wish to cancel the listing or contract, the Realtor must still pay for all of the expenses incurred.

I don’t need to hide behind a contract, so you’re free to cancel anytime.  But, I’ll do everything I can to ensure you’re happy while we’re working together