Florida Real Estate Blog

Tampa Area Housing Recovery Predicted for Second Half of 2008

Lawrence Yun, the chief economist for the National Association of REALTORs was in Tampa recently. He had some good news for home buyers, sellers, and REALTORS in the west central area of Florida.

It is his opinion that recovery should begin after August of this year. Though we hear doom-and-gloom on the television, Yun said there are several indicators that could be omens of better days to come.

1. It appears that the worst may have already passed us in the Tampa area.

2. There are many qualified home buyers who have been sitting on the fence for a long time and there is increased pressure for them to make a move in the future. Fears that mortgage rates and home prices could rise may push them off that fence.

3. Risky loan products are now being replaced by safer lending products.

4. Mortgage rates remain at historically low levels.

5. Housing starts are way down and this allows stale inventory to disappear, thus creating greater demand in the coming months and next year.

For those of us who have been around a while, we know that our current situation is not all doom and gloom. We are not in the boom of a couple of years ago, but we are not doing all that badly. Do any of you remember back in the late 70's and early 80's when mortgage interest rates were nearly 20%??

I will close on 3 homes next week. Sellers are selling and buyers are buying. The important thing is that buyers and sellers see our current situation in realistic terms and not dwell on the minuses. There are some, but there are lots of great plusses too. Like low interest rates, low home prices which translate into lower property taxes and lower insurance rates. More homes to choose from so sellers will negotiate.

It will be interesting to see if Mr. Yun's forecast comes true. I for one am optimistic!

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

Showing Your Own Home? - That Could Be a Dangerous Proposition!

A while ago I posted some questions that you should ask any potential listing agents you were considering employing. An event yesterday highlited something that I mentioned in that post, and I felt it was worth repeating here. It deals with your safety and that of your loved ones, especially if you are considering selling your own home or using a "reduced service" brokerage.

Yesterday, in Lakeland, Florida, about 15 miles from here, a real estate agent went to a home to meet with what she thought were potential customers. Upon entering the home she was overpowered and threatened with a utility knife. The robbers tied the agent up and then stole her credit cards and her 2006 Nissan. Needless to say, the agent was probably scared out of her wits and will be so for some time to come. Police are currently looking for the two men who accosted this poor woman. They are considered armed and dangerous.

I wish I could say this was an isolated incident. However, just this past March 7th, in St. Petersburg, FL (again, not all that far away from here) a man posed as a potential home buyer. After looking at several homes with the agent, he hit her on the head with a gun and threatened to kill her. Her ATM and credit cards were stolen.

In a way, these 2 agents were lucky. In the past many agents have been murdered while trying to assist their customers. These two incidents took place near here, but these crimes happen all over the country.

So if you are selling your own home, be aware that the person knocking at the door may or may not be a legitimate buyer. If you are alone in your home you could find yourself in a very uncomfortable position. Once the "buyer" is inside your home, you are at a distinct disadvantage.

If you are using a "reduced service" brokerage find out if someone from their agency will be accompanying all buyers that visit your home, or will YOU be expected to show the home by yourself? Some companies do have agents that come out to take potential buyers through homes. However, there are many others that receive calls at their phone centers and then call you to inform you that a Mr. XYZ is coming to see your home at 3:00 PM. Keep in mind that the call centers have no way of knowing who this person is. It may be a good man looking for a home. However, it could be a not-so-good guy (or group of not-so-good guys) with something else on his mind. This can be an especially dangerous situation if the seller is someone who is more vulnerable than most. In my area we have a high percentage of individuals who would find it very difficult to defend themselves if someone should try to take advantage of them.

As I mentioned earlier, sometimes the objective is just to steal from you. Though that can be traumatic enough. But there will be some evil individuals out there that could do something much much worse. So be on your toes at all times, and make your home marketing decisions carefully and thoughtfully.

When you use a full-service agent, you will never have to show your home by yourself. You do not even have to be there at all. Either I  or a licensed colleague from my office or a cooperating office will be there to show your home. A much safer alternative for you and those you love.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

Mobile Homes Selling Briskly in Zephyrhills and in the Rest of Florida

One of the agents in our CENTURY 21 office always says that "In January buyers kick the tires on the vacation homes here, and then make their decisions to buy in February, March, and April". That seems to be holding true this year as well. As a plus for buyers, this year there are many more homes on the market, and sellers are pricing their homes more reasonably and are often willing to negotiate.

If you are looking for a vacation home or permanent residence in Zephyrhills, Dade City, Wesley Chapel, North Tampa, North Lakeland, or the general Pasco County area of Florida, do not hesitate to contact me. I can e-mail you the most recent listings directly from the MLS. Often listings from other sites are outdated, sometimes by several months. I can also set up an auto-search for you so you will be notified immediately as soon as a new listing comes on the market.

You can call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

Homeowners Finally Competing Head-to-Head With Developers/Builders on Home Prices

For several months now you have heard me mention again and again how many home sellers were asking for more money per square foot than the developers were. It made little sense to me that a buyer would pay $134/sq ft when a developer would sell them a brand new home for $100/sq ft. Yet sellers would stubbornly hold on to the dream of hitting a jackpot while the developers sold off their inventories.

Now we are seeing that the light of reality has finally begun to shine on many sellers and they are giving some of the developers a run for their money. The builders are limited to the costs of constructing a home in today's economic circumstances. Resellers, however, are limited only by the price they paid for their homes. And if they purchased then several years ago, they can undercut the prices of the builders and still make a profit.

As an example, in our area we have a large subdivision called Lake Bernadette. It was started in the 1980's but construction continues to this day in various parts of it. I recently pulled up the MLS listings that were currently on the market. Of the 56 that came up as "active", half of them were at, or very close to, $100 per square foot. A few were substantially under that amount. This tells me that homeowners are not telling their agents to be more aggressive in their pricing and are offering their properties for realistic amounts that compete well with the builder/developers.

What also helps the homeowners at this time is the cut-back in new construction that is taking place. We have several subdivisions near our office that have streets, lights, stop signs, etc, and not a single home under construction. They have sat this way for many months. This lack of of additional inventory each month can only help those sellers who want to move their homes.

So if you home has been languishing on the market for months, or in some cases years, take a lesson from your neighbors who are going after those buyers who will pass you by on the way to the homes that are reasonably priced.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

Defining Who Is The Best Real Estate Agent In An Area

On one of the sites where I assist other real estate agents as they answer consumer questions, I saw a person ask for the name of the best agent in an area of Florida. Specifically, the seller wanted to know who had sold the highest dollar amount over the past year. Perhaps the one who brought in the most dollars is the best agent. But then again, maybe not. When you focus on just one quality of an agent, you may not get the person that is best able to help you sell your home within your time-frame, at the best price that can be achieved, and with as few hassles to you as possible. Just like it would be foolish to marry a person simply because they were very attractive, only to find out later that they had many negative issues about them. In the same way, you need to look at the whole agent that will be working with you to sell one of your most prized investments.

Here are some things to consider before you decide who is "the best" agent in your area:

• Do not go simply by the total dollar amount of an agent's sales for a year. It could be that they only sold a few high priced properties that are very unlike your own home. They could have sold many homes, but each for less than the market should have commanded. They could be using a business model where one agent and/or broker gets credit for all the listings in the office, and the other agents act more as assistants to the "main broker".
• Do not completely rely on the total units sold by an agent. Typically there are two sides to each sale. A listing side and a selling side. If a listing agent also finds a buyer who purchases the home, then he or she gets credit for two sides. For the same reasons mentioned above, the number of sides that an agent has may, or may not be a reliable indicator of how the agent will work for you. Getting credit for a "side" does not necessarily mean that the agent got a good price for the seller. Were the sides an agent got for 2007 thirty good sides or thirty sides where the sellers lost money? Also, if an agent has a huge inventory and has sold a ton of homes, will they be able to give you the one-on-one attention that another agent might Will they have the time to handle all of the details that are unique to each property and its owner? You may get better service and thus a better sales result from an agent who sells fewer homes because he or she can devote more time to you as a customer. Can an agent who sells 100 homes a year devote the same amount of time to you that an agent who sells 40 homes can? Kind of like the difference between the local fast food restaurant and a classier restaurant. Which gives you better service and attention?
• While franchise or company awards are never a bad thing, they do not necessarily indicate who is the best agent in the company. Many companies have awards that they may call "Market Leader", "Top Seller", etc. But if you are going to base your decisions on these awards, you need to know the criteria that was used to determine who won them and who did not. By the same token, ask prospective agents what it means when they say they are "the best in the area". The statement could be true, but only for the first two weeks in June 2006. Not a lie, but not the whole story either.
• When you consider the total sales that an agent has made in a specific period, ask how close the sale prices were to the asking (list) prices. If they were close, that could be a good indicator. However, if they always seem to be very near 100%, keep in mind that it could be that the homes have been underpriced making it much eaiser to close the gap between selling price and list price.
• Do ask what exposure your home will get on the internet. Today it is believed that from 70% to 80% of home buyers begin searching on the web. If the agent you are interviewing is just using the automatic sites that their office has set up for them, then your home is not going to get the exposure it needs to get it sold quickly and for the best possible price. My listings appear on 25 sites, including 3 that I personally own and set up. There are other agents that have done the same thing. But if your agent cannot tell you what special things they are doing for web advertising other than placement on a few webpages like their company site and the REALTOR.com basic site, then perhaps you need to keep searching for an agent that will get your home the prominence on the internet that it deserves.

My main point here is this, there is no ONE indicator of who is the best agent in your area. Total sales, total dollars brought in, etc are not the sole indicators of which agent will be the best one for you to use. If you rely on just one specific thing on which to make your decision, you may regret your decision sooner than you think. My recommendation is that you speak with several agents and ask many relevant questions that will help you see who will do the best job for you.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

Mortgage Interest Rates Plummet For Another Week Says Freddie Mac

It may be hard to believe, but today 1/24/08,  Freddie Mac reported that the average mortgage interest rates for 30 year and 15 year fixed-rate interest rates dropped AGAIN substantially! Nationally the average mortgage interest rate for 30 year fixed-rate mortgages was 5.48% (5.46% in the southeast), down from 5.69% a week ago. This is the lowest it has been since March of 2004! The average interest rate for 15 year fixed-rate mortgages was 4.95%. down from 5.21% last week and for the first time in a long time it has gone below 5.0%.

Reports of lower housing sales in 2007, as well as a drop in building permits for future construction were indicators of a slowing economy and this helped cause another big drop in rates..

The interest rate drop was also helped by the Federal Reserve's drop in one of its key interest rates that I mentioned recently. They dropped it 0.75%. The drop along was large and it was also unusually in that the Fed did not wait until one of its regular meetings to act. The last time they took a similar unexpected action was just after the attacks of September 11, 2001. This time their cuts appear to have helped lower mortgage interest rates as well. When the banks have to pay less for money they get from the Fed, they can charge us less when we borrow it.

I hate to keep repeating this like a broken record, but with interest rates and home prices BOTH at low levels, this is a time for buyers who have been sitting on the sidelines to think about making a move. At some point either interest rates or home prices will start to rise, perhaps significantly. Both have lower limits below which they cannot practically go beyond. For example, developers will not build and sell homes that they cannot sell for enough money to cover their costs. Have we reached that point? In my opinion, we are close to it, if not already there. Do not wait too long or you might miss out on some great deals. As for how low interest rates may drop, their are many that think they can still go a bit lower if the Fed feels that it is necessary to stimulate the economy. But again, there will be a limit below which they will not be able to go.

Do keep in mind that we live in a very large and complex country. What happens in California is not necessarily what is happening in Florida. And what happens in Florida may be a far cry from what occurs in Michigan. Real estate is still very much a local issue.

If you want to learn more about Freddie Mac or see the details of their survey, go to: www.freddiemac.com  and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.

If you would like to speak with a lender you can find some at my website: www.jelwell.century21bnr.com . You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be, should you decide to finance a home purchase.

Don't Hire A REALTOR That Is Too Faraway To Service Your Listing

As I was going to visit one of my listings this morning I passed a home with a for sale sign on it that I did not recognize. After looking at the phone number, I realized that this home had been listed by a company that was at least an hour away from Zephyrhills. Why would anyone list their home with someone that was so faraway from the market where the home was being marketed when there are many excellent agents close-at-hand? I believe this is often due to sellers looking for agents on the internet. The web is a great resource, but often the search results are not very reliable when it comes to finding a local agent. Here are some of the reasons that make the use of a local professional imperative if you want to achieve your goals.

• Local agents know the market better in the areas where they work and live. They will be better able to help you price your home correctly and market it effectively, thus avoiding frustrating months waiting for offers that never materialize.
• Local agents are better able to service your listing. Is an agent going to drive a hour or more to fill the information box, put up signs, install the lockbox, let repairman into the home, have open houses, give agents tours, etc.?
• Will your distant agent be there to show the home, or will he/she call you and leave it up to you to let strangers into your home?
• Local agents have formed a network with their colleagues in other local real estate offices and this makes it easy for them to tell others about your home. Many of my sales have come from casual chats with my fellow agents over lunch. Networking can only work within a limited area. Local agents have access to that network.
• You will have greater access to a local agent. Sometimes you just need to meet with your REALTOR face-to-face. Often two or three times a week. Do you think a faraway agent will drive to your home 2 or 2 times to have a chat with you? I had one agent that even refused to bring the purchase offer to his sellers and I had to deliver it. He was so unmotivated that I also had to take him his sign and lockbox since he did not want to drive way up here to pick them up!
• Will the long-distance agent know the area well? Will he know which subdivisions are deed restricted? Is the home in the city or the county? Where are the flood zones? What plans does the local government have for the area near the home? Does he know how to spell the name of the town, street, subdivision? Don't laugh, it happens all the time and it hurts when people are trying to search for homes on the internet. One wrong letter and they can miss your home altogether.
• Local agents have developed working relationships with service providers like title insurance companies, repairman, pest control experts, professional inspectors, etc. Often they know who does a good job for a good price and who should be avoided.
• Local agents can also provide your buyers with contact information for local financial institutions that can often be more flexible than the banking giants.
• Local agents know which types of advertising work and do not work in their areas. For example, large newspapers in my area seldom bring inquiries, but the local real estate magazine and internet exposure do.

So when you are searching for a REALTOR® to sell your home, one of your first questions should be "How faraway do you live and work from MY home?" If the answer is more than 20 minutes, I would keep looking and try find someone closer. If you are in a very rural area you may need to stretch that a bit. However, most of you live within close proximity to some excellent agents.

Also be aware that if you use a search engine like Google or Yahoo and enter terms like "real estate agents Zephyrhills" or "Realtor Wilmington", most of the first page of the search results and even into the second will be referral services. They will fill their results with the name of the city you are searching in to make it look like they are local, but in reality they could be at the other end of the country. Each week these types of companies call me trying to get me use them. The only qualification for being chosen by them is the ability to pay their fee. The agent they recommend could be great or completely incompetent. When they have tried to solicit me, they have never asked me how many homes I have sold, what type of training I have had, how long I have been in the business, or what I do to serve my customers best. As long as I have the cash, I qualify. So my suggestion to you is to scroll through a few more pages until you find an actual name of a local REALTOR or a local company that you recognize. Then interview agents and do not leave your decision to a referral service that is not local and does not know the people that they are referring to you. Selling and/or buying a home is too important!

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com 

I also invite you to visit my webpage at:  www.jelwell.century21bnr.com

Beware of Unlicensed Real Estate Agents or Brokers in Zephyrhills and the State of Florida

It has come to my attention that we may have an unlicensed person acting as a real estate agent in one of our subdivisions. He approaches buyers and sellers and offers to sell homes for a pretty hefty fee, considering the limitations of his services. This is a dangerous practice for sellers and buyers, and could have serious consequences for both parties in the transaction. Any potential savings could be rapidly eaten away when things go wrong. A real estate professional with an active license will always be happy to show it to you.

The State of Florida has issued an advisory to let citizens know that it is never a good idea to work with unlicensed contractors, especially for real estate transactions. On their website they mention the reasons why a person may not have a license:

• may not be able to meet the financial requirements;
      
• may not be able to pass a background check;
      
• may not meet the education or experience (skill) requirements;
      
• may not meet the workers’ compensation requirements; and/or
      
• may not meet the liability insurance requirements

Think about these points carefully. If a person cannot meet the financial requirements, is this the person you want handling large sums of your money when you sell or buy a home? Is the escrow deposit safe?

When I got my license I was fingerprinted and a background check was done to be sure I had no previous trouble that would prevent me from being licensed. If someone cannot pass a background check, you need to wonder "why"? Is there a felony conviction somewhere? Has the person committed some other unlawful act? If they have, is this who you want to have in control of one of your most valuable assets?

If the person does not have the required training, how will you know if things will be handled correctly? There are many regulations that cover the sale of real property, and these change frequently. For example, did you know that if your home was built before 1978 you must give the buyers a "Lead Disclosure Form" and a booklet concerning the dangers of lead contamination? Most people don't. Only by using a licensed agent can you be sure that your representative is up-to-date concerning the latest developments in the real estate market and the laws that pertain to it. Also, keep in mind that, legal issues aside, a lack of training will make your person less able to effectively price your home, market it, and negotiate the best deal for you. Unlicensed agents do not have access to the Multiple Listing Service (MLS). Where are they pulling their prices from? Out of thin air or their hunches? If they price your home too low you will lose money, and if they price it too high it will sit and sit while you pay HOA fees, taxes and maintenance.

Unlicensed agents cannot belong to the National Association of REALTORs (NAR) and therefore do not have to adhere to the high level of ethical conduct that NAR members follow. In our  treatment of customers we try to go far beyond what the law requires. Will an unlicensed person do the same?

According to Florida Statute 475.42  "A person may not operate as a broker or sales associate without being the holder of a valid and current active license therefor. Any person who violates this paragraph commits a felony of the third degree, punishable as provided in s. 775.082 or s. 775.083.."

The penalties for being convicted of this crime according to s. 775.082  are a $5,000 fine and according to s. 775.083 a term of imprisionment not exceeding 5 years. These are not "slap on the hand punishments".

Also consider this. If by selling your home an unlicensed contractor is willing to commit a 3rd degree felony, is this the type of person you wish to be dealing with? Would you go to an unlicensed doctor because he was cheaper and would you disregard that he was committing a serious crime? I sure wouldn't.

Suppose you are already dealing with an unlicensed person acting as a real estate agent or broker, and for whatever reason you do not wish to pay him or her? Here is what Florida law has to say about that. And this is directly from the state's website: "Chapter 475.41 Contracts of unlicensed person for commissions invalid.--No contract for a commission or compensation for any act or service enumerated in s. 475.01(3) is valid unless the broker or sales associate has complied with this chapter in regard to issuance and renewal of the license at the time the act or service was performed." No license, no obligation to pay. Seems like years ago I was watching the original "People's Court" on television, and old Judge Wapner said that a contract to commit an illegal act cannot be enforced. So perhaps that is what is coming into play here. But I am not a lawyer, and I am sure one of them can explain it much much better.

So please play it safe and deal only with licensed agents. Think twice before you jeopardize your biggest asset by using an unlicensed real estate agent just to save a few bucks (which you may very well lose in the end anyway). At the very least consult with an attorney to make sure everything is being done correctly and you are not paying fees to someone that could be literally committing a third degree felony.

To see the documents from the state concerning unlicensed activity, click on the following links:  Download Toll-Free_Press-Release.pdf     Download 800-Number.pdf

If you think you have dealt with, or are dealing with, an unlicensed individual, in Florida you can call the state to report this at: 1-866-532-1440   You can also download the complaint reporting form by clicking here: Download unlicensed_complaint_form.pdf  You can also check on the license status of an individual by clicking on this link: Licensee Search - REAL ESTATE

You can also e-mail me at: jelwell1@tampabay.rr.com , and I will do my best to assist you with questions concerning how to handle unlicensed activity.

Messy Homes Are The Last Ones That Should Be Over-Priced!

Yesterday I had a couple who wanted me to show them mobile homes in one of the nicest subdivisions in Zephyrhills, Florida. In this park you own the land. The HOA fees are just $30 per month, yet the park has a huge clubhouse, heated pool, whirlpool spa, covered terrace, shuffleboard and tennis courts. In other words, a very nice subdivision.

In general, nice homes here range in price from the mid $70,000's to the mid $80,000's, depending on size. A couple of weeks ago a few agents started pricing their listings at $99,000! Too high, in my very humble opinion. What often happens is when one seller lists his home that high, the neighbors get the same idea since they think their homes are as good or better.  Most have since lowered their prices somewhat.

Now back to the couple that I was showing around. We looked at a homes in price from $74,900 to $97,000. Seven in total. All but one were very nice and only a couple of them were truly overpriced. Guess which one was a mess? You got it. The one at $97,000! The most expensive one in the park. There was clutter everywhere. The kitchen was not as clean as it should be, windows were dirty, and we could not even walk into the spare bedroom due to all the "stuff". Even the utility shed was filled from top-to-bottom. The sellers were there when we were visiting and they, of course, thought their home was great. It was not. The state of the home decreased its value in my mind by at least $10,000, and possibly more. As you may have seen me say before, "If you want top price, your home had better look perfect in today's buyers market.

I cannot imagine why the other agent would price the home so outrageously high. I know this agent to be experienced and honest. Sometimes we do get pressure from sellers to put a price on a home that we know is too high. But it has always been my policy to very politely excuse myself from such situations. I feel it is wrong to encourage the sellers' misperceptions. Not only will their home sit for months unsold, it will become "stale" to the other agents and buyers. In the end the sellers will get mad at the listing agent because they are receiving no offers. Well, SURPRISE, the buyers can get a nicer home just down the street for a lower price! Why would they pay $8,000 more for a home that is a disaster when they can get a better one for less in the same subdivision? They won't! This applies to conventional homes as much as it does to the mobile homes I have been speaking of in this post.

As a REALTOR® I believe that we do our sellers and our colleagues no favor when we accept listings that we know are way over-priced. Even if the sellers insist. This is just my opinion. However, ethically and morally, I believe that it is our responsibility to price homes as close to their true market value as possible. It is the sellers' option whether or not to accept our professional advice.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

Repair Before You Sell Your Home, or You Will Be Losing Money Down the Drain!

Yesterday was "caravan day" for real estate agents in Zephyrhills. That is the day when many agents go from new listing to new listing to see what homes have come onto the market. Often they find one that they think will please buyers that they are working with.

I had a new mobile home listing that I was showing, so I made homemade soups and bought a deli tray of sandwiches to attract the agents. In this buyers market there are so many new listings each week, unless you offer food, you may get passed by. As it was, I had a very good turnout.

In between agent visits, I happened to check out the air filter on the heating/AC unit. This is often where buyers and/or their inspectors will look. A filthy filter often tells them how good or bad the care of the home may have been. In my case the filter was pretty bad, so I replaced it. While doing this I heard a sound that was like the crinkling of those plastic grocery bags. I looked down the cold air intake duct and discovered that the duct had split and was actually sucking in outside air instead of drawing all of its air from the interior of the home via the filter. When I got home I called the owner and I explained that we could leave it or repair it. My advice was to fix it since the cost will be minimal. He readily agreed. When the home finds a buyer and the inspector looks under the home he will find no problem at all.

It just so happened that later on the same day I was showing some buyers a different mobile home in the same park. It looked very neat and they were very tempted to make a good offer on it. However, the listing agent (being an honest and ethical person) gave me the results of an inspection that had been done two months previously by another potential buyer. It stated that the mobile home's straps that secured it to the ground had rusted away and the home was no longer fastened to the ground at all. He also mentioned severe problems with the roof and with amateur wiring. My buyers declined to make an offer and lost all interest in the home.

I spoke with the other agent to let her know. She said that she had tried to convince the owner to fix these important problems, but so far he had refused. Is there any doubt as to why this home has been on the market for over 6 months and will likely spend much more time as an orphan property? To keep some money in his pocket, this seller will likely lose money in the end.

So if your home has items that need repair: a dripping faucet, a roof leak, a cracked electrical outlet plate, a dead light fixture, a stuck patio door, etc., get them fixed. Do not leave them for the buyers to discover and repair. And trust me, either they or their inspectors WILL discover them! With so many homes now on the market, it is very likely that your buyer can find a well-maintained home that is similar at the same price and will cross yours quickly off their lists. A home in disrepair literally screams at the buyers "Wait until you find the problems I have that you cannot see!".

The choice is yours. Save a few dollars now and lose thousands later, or take care of repairs and get that home sold quicker at a better price!

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

A Tale of Four Homes - Lessons to for Sellers to Learn

This past Friday, I received a call from some buyers who wanted to look at mobile homes in Colony Hills Subdivision, just outside of Zephyrhills, Florida. They wanted to stay between $70,000 to $80,000. It so happened that there were 4 homes on the market in that subdivision. All pretty similar in size, age, lot size, bedrooms and baths. So on Friday afternoon we went on a tour of all 4 of these homes. Let's see which one got the buyers interested.

HOME 1 - It had actually just had its priced dropped so it was $67,000. Less than the range the buyers were looking for. It had had a new roof installed in the spring of 2007, but otherwise had had very little updating done. It would need some cleaning, new flooring and painting throughout. Also the heat/air-conditioning unit was probably over 20 years old. The price was truly not all that bad for a home that needs a little TLC, but most retirees are not interested in moving here only to begin doing major renovations on their new home. So my buyers passed on this one.

HOME 2 - Was in much better shape and had been updated in many areas. Of course, the price was higher than the first at $79,000. But when we entered it the home was very dark. Apparently the owner was trying to save electricity by putting small wattage bulbs in most of the lamps and fixtures. Not only that, but the furniture was all dark in color. As a consequence, the buyers spent about  5 minutes in the home and  then they were ready to move on. As I have mentioned in a previous post(s) dark homes do not sell!!

Home 3 - Was bright, clean, and updated. It even had a nice den added to the rear of the home, a large laundry/utility room, and a new heat and AC system. Price was $79,000. But it was about the most "unstaged" home I had seen in a while. It seemed like every square inch of the walls was covered with something. Family pictures, paintings, plaster of Paris cherubs, ceramic figurines, artificial flowers, etc. Furniture was everywhere. Nice furniture, but WAY too much of it. When your home looks like a furniture showroom, you have too much stuff in the room. Again, we were out of that home within 5 minutes. The buyers just kept saying "Good lord, how much stuff do these sellers have?"

HOME 4 - Finally we arrived at the last home on the list in that park. It was priced lower than the last two at $76,900. It had a huge Florida room that ran all along the front of the home. Inside it had beautiful engineered wood-like flooring and newer Berber carpet. In the living room there was just a couch, two easy chairs, a TV and a couple of small tables. It was perfectly staged and looked spacious. The dining room had a built-in buffet and a table with four chairs. Nothing else. Again, it looked large and uncrowded. The two bedrooms were similarly arranged. The buyers loved this house and the wife even said "This home is STAGED perfectly". The home was updated, clean, staged, and priced lower than the less attractive competition (not counting the fixer-upper which was not really a comparable property).

Which home do you think these buyers are going to make an offer on? I am sure the agents of all the homes recommended changes to their sellers. But just the owners of the last home listened. In the end, these owners are very likely to sell their home quickly and probably at an overall higher profit. The other sellers are going to have to wait for other buyers that may, or may not, show up in our slow market.

Now these were mobiles, but the principles involved apply equally to condos, single-family homes, townhomes, and villas. I just wish more sellers would listen to their real estate professionals, use their own common sense, and look at their home as potential buyers will. In the end they will have a much more positive and profitable selling experience.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com 

Overprice Your Home and Make Less Profit On Its Sale

As most of you know, we are now in a "buyers market". That means there are more sellers and homes for sale than there are buyers to purchase them. For this reason, buyers can be choosy and do not have to settle for the first home they see.

For years I have tried to convince my sellers that it is better to price their homes just below the competition in order to get them sold within a reasonable amount of time. However, too often they insist that their home is so "special" that there is no way that they will price it under any of their neighbors. Unfortunately their opinions are seldom objective and they are not seeing their homes as potential buyers view them. Many say they want to price it higher so they have negotiating room. Too often the price repels buyers and the sellers end up never getting any offers to negotiate. Their home just sits, and sits, and sits, month, after month, after month. Sometimes year after year.

I read a recent survey by an appraiser. He found that those sellers who priced their homes higher than the competition so they "would have room to negotiate" actually ending up netting less profit than their neighbors who undercut the competion. The higher priced homes spent more time on the market and made smaller profits for their owners. He found out that buyers were immediately turned off by the higher prices and concentrated on the lower priced homes. Since many buyers today are afraid that prices may continue to fall, they are much more attracted to homes that are priced lower than other similar homes.

Think about it this way. Say you have 10 homes in your subdivision that are similar to yours (in some subdivisions there are 30 or more) that are for sale at the same time as yours. Their prices range from $200,000 to $230,000. You think yours is better and decide to price your home at $230,000+. Where do you think the buyers are going to start???? Most, if not all, will start with the lowest price and work their way up through the available inventory. That means that there is a very good chance that they will find something they like long before they get to your "special" home. In all likelihood, your home will not even get a visit by them. So the cheaper house sells. The price is lower, so those owners made less than you will. What suckers, right?? Probably not.

As your home spends more and more time on the market as the lower priced homes sell, the housing market will probably drop more and your home will be worth less and less.  The banks' appraisers will make you and buyers all too aware of this. Not only that, it will become what many real estate professionals refer to as "stale". In the meantime, you are paying taxes, insurance, mortgage payments, homeowner fees, etc. If and when you finally sell your home, it is very likely that you will net less than your neighbor who sold his home a year earlier because he priced his home just under the competition. Something to think about before you overprice your home.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com 

23 Questions Sellers Should Ask Prospective Listing Agents

23 Important Questions to Ask Prospective Listing REALTORs^®

1. Are you and your broker licensed to sell real estate in the State of Florida or the state where the property is located? Is your license “active”?

2. Are you a member of the National Association of Realtors^® (NAR) and do you comply with their “code of ethics”?

3. Do you live in Pasco County? (Or the local area where the property is located)

4. Do most of your real estate transactions take place in Pasco County, and therefore make you very familiar with the local market and sales trends?

5. How will you be paid? What will happen in the unlikely event that my home does not sell during the listing period?

6. Will you offer a discount on the commission if you personally find the person(s) who successfully purchases my home?

7. Will I be required to pay any money “up front”?

8. As my real estate agent, you will be investing your money and time in advertising fees and other activities to promote my home. What will I owe you in the unlikely event that my home does not sell?

9. Will you or your company require me to use a particular title company, or will I be free to choose which company I wish to use?

10. Will I be required to purchase a home warranty for the benefit of the buyers?

11. What motivation do you have to price my home at the highest reasonable level?

12. Will you  or other licensed agents be available to show my home to buyers or will I have to give tours and provide information by myself?

13. Since I, as the seller, am not familiar with state and federal regulations, and the laws concerning real estate transactions, could I be at risk of doing or saying  something wrong or making some other  mistake if I were to be responsible for giving out information and conducting tours of my home?

14. When I call you will I be able to speak directly with you or will I speak to different people each time? Will I have your personal number to use when I need to speak to you?

15. Will I need to be at home all the time or will you place a lockbox on my home? Do you use the most secure type of lockbox or do you use the less secure combination lockbox?

16. In what ways will you market my home and expose it to the greatest number of potential buyers? How extensively to do you use the internet?

17. Will my home be placed in the Multiple Listing Service (MLS)?

18. If it will be advertised in the MLS, what will you offer cooperating agents to encourage them to bring potential buyers to see my home?

19. Will you be able to give me advice concerning how to prepare my home to make it more attractive to potential buyers?

20. Will you personally be involved in negotiations once offers begin to come in, or will I be on my own?

21. Will you help coordinate inspections, repairs, showings, etc. or will the be my responsibility?

22. Will you be available outside of regular business hours; such as evenings, weekends, and  holidays; if I need to contact you or if someone wants to see my home?

23. How many agents work for your company?

Selling your home is one of the most important decisions that you will make. Therefore, I urge you to carefully consider whom you will choose to market your home. There are many companies out there with different plans, services, and commission rates. Only you can decide which one offers a program that best fits your needs, and therefore, will be more likely to help you achieve your goals. Often the old adage is true. "You get what you pay for."

Of course, I hope that you will allow me to assist you. However, no matter whom you decide to sign a listing agreement with, I wish you the best of luck!  Do not hesitate to contact me if you have any questions or if I can assist you in any way.

To find out how I will answer each of these questions, please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com  I will be happy to show you how I do business for my customers.

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

© John Elwell - June 2006

If You Want to Sell Your Home, Make It Accessible

Previously I have posted articles concerning why some homes do not sell here in Florida and in other parts of the country. Today I want to concentrate on one that keeps cropping up with sellers. This is accessibility. With so many homes for sale now, buyers often want to see the homes NOW, not tomorrow or in a couple of days. If they cannot see your home, they will move on to the others in the neighborhood, and very likely buy one of them. This is not always by choice since I often have buyers who fly in to look for a new home and are only here a couple of days. If it is difficult to find a time to see your home, they will probably have to miss it altogether.

Let me make it clear that I do require that agents give me a courtesy call before a showing so I can clear it with the sellers. I do not want buyers catching sellers off-guard. But to delay them hours or days can sometimes be the kiss-of-death for any interest in the property that you want to sell.

Here are some of the major obstacles that other agents and I have had to overcome with some of our sellers:

• Restrictive Showing Hours. Do not limit times for showings any more than you have to. I have seen listings that stated that the home could only be shown between 1 PM to 5 PM, Monday to Friday. That made it impossible for most working people to see the home. And employed buyers are the ones who are most likely to qualify for mortgages. Think about it. There is a reason that Walmart opens early and closes late, they want to sell their products and make it easier for customers to buy them.


• Not permitting the use of a lockbox. Often buyers agents will call me and want to see a home that they and their clients have driven by. If there is no lockbox on the door, then they must often travel several miles to get a key from our office or wait for me to finish my appointment so I can take a key to them. In our current market, buyers are not going to wait in a hot car for up to an hour before they can see the house. They know that they can easily see four or five other homes in the area without waiting a long time. The only other option is for the sellers to stay home all the time to let the agents in. Again, making it easy for potential buyers to see your home will help it sell faster. You can ask your listing agent what type of lockbox he or she uses. The old combination boxes are less secure than the new electronic boxes. Those are the only ones that I use. There is no combination that others can see and they keep a record of who has entered the home and when. Lockboxes are a great way to make your home easily accessible. To read my post about lockboxes, click on the following link: Lockbox Post


• Sometimes sellers will request that the listing agent be present for all showings. If I am free, I have no problem doing this. However, there are many times when I have prior commitments to others that I must honor, and therefore cannot be at the home when the agent and his buyers will be there. As a result, the home does not get shown to buyers that could be the very ones that would like to buy it. It is almost never necessary for the listing agent to be at the home for a showing, since all of my showings are conducted by licensed real estate agents and there is very little risk to the homeowner. Of course, common sense tells us that no extremely valuable items should be out where they can be seen. Put that diamond tiara in the safe.


• Do not make unreasonable demands on agents and buyers. I had one lady who wanted the agents to park in the hospital parking lot on the other side of a busy four-lane highway and have them and their clients try to get across the traffic to the subdivision. Why? She did not want her neighbors to know she was selling her home. I did not take that listing, of course. The fact is that it is a good idea for your neighbors to know your home is for sale. They may know someone who would like to buy it!


• Demanding a lengthy warning period before the home can be shown. Some sellers ask for at least 48 hours notice before their home is shown. That did not even work in the good old days. Buyers are not willing to wait 48, or even 24 hours. Their schedules are often tight and if they cannot see your home in a reasonable time, they will move on to the competition. And today there are tons of competition that will gladly open their doors at a moments notice and take your buyers away from you.

Remember, your goal is to sell your home as quickly as possible, for the best price possible, and with the least hassles to you and your family. Making it easy for your home to be shown will go a long way to help you achieve those goals!

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

 

Sellers, Don't "Gas" Buyers When They Tour Your Home

Today another agent from our office showed one of my homes to a potential buyer. The buyer was very pleased with the home, its layout, the furnishings that were included, and the subdivision. However, she and the agent were practically driven out of the home. Why??

The home is vacant, and following an "old wives' tale" that spreads within many of the seasonal subdivisions, these owners had spread moth balls everywhere throughout the home. They did this thinking it would keep critters out of the home while they were away. The truth is it keeps more buyers away than it does cockroaches and moths. In a 90º home that has been shut up during a Florida summer the smell becomes overpowering. And if a person has breathing or eye problems, it can cause physical discomfort. Not really what you want potential buyers to experience in a home you want to sell badly.

In a past post I titled "Smell Your House, or Sell Your House" I expounded on the problems offensive smells can cause in a home. In this case, the owners would be better off cleaning up all food traces that could attract pests and spraying around the interior and exterior walls with a product like Home Devense by Ortho, or putting out bait traps for roaches and ants. You can also consider having a profession exterminator treat your home just before you leave. In reality, a couple of dead bugs on the floor do not put people off that much in a vacant home. Most people realize that one or two will get in and die there. Of course if you leave the home a mess and do no spraying, live bugs running all over the place will send the buyers out the door in a second. So DO clean and DO spray before you leave for the summer. But DO NOT put out potent mothballs. Instead of killing moths, you will kill potential deals.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com 

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

What Home Buyers DO and DO NOT Care About

Often when REALTORs go out to do a new listing they try to get the sellers to see their home as buyers would. Sometimes the seller listen and sometimes they do not. If you are a fan of any of the plethora of TV shows that are airing now that deal with preparing homes for sale, you can see how sellers resist taking advice from the very experts they have hired to help them sell their homes for the best prices. So I have decided to create two lists. One with things that matter to home buyers and another with things that buyers do not care about. These are not to be construed as exhaustive lists, but they can help you analyze your own situation when you go to market your home.

Things That Matter To Buyers:

• That the home is clean and uncluttered. I was in a home that was on tour today and there was 1/2 inch of dust on most of the furniture. Buyers are turned off by dirty homes or homes in which you have to maneuver around toys, dirty clothes, small furniture, etc. The bathroom should be spotless. And god forbid that there is mold around the tub. There is so much on the news about mold, the last thing you want is a buyer to start wandering down that worrisome path!
• The home should appear roomy, even if it is, in fact, small. Rooms with too much furniture in them, whether they are huge or small, will all seem tiny to buyers and they will not be able to imagine their furniture fitting in.
• The home should appear well-maintained. If they get the impression that the sellers have not taken care of certain items, like AC filters or dripping faucets, they begin to wonder what hidden problems have been allowed to go bad as well.
• It is important that buyers can imagine themselves and their belongings fitting into the home. I am not speaking just of size, but also of the types of flooring, wall colors, etc. Keep in mind that walls covered with family pictures keeps the buyers thinking they are visitors, not potential owners. Buyers will often decide within one minute if the home pleases them or turns them off.
• Buyers do want a home that smells fresh and clean. If Fido has left his mark on the rug, even if you cannot see it, the smell will turn off the buyers. The same goes for strong cooking odors.
• Buyers care about the location of the home in relation to places they may frequently have to travel to, such as: work, shopping, restaurants, parks, schools, hospitals, etc.
• Buyers want to see a neat exterior. Keep the grass mowed and the flowers watered. Do not have piles of junk on the patio or around the garage. Remember, you are creating an image in the buyers' minds of you and the hidden condition of the home. What they see will either make their perception a positive or a negative one.
• If you live in a subdivision with deed restrictions, buyers want to be sure that these rules will not restrict their normal way of life. If there are homeowner fees, they need to feel that they are getting value for the money they pay monthly. $100/month does not sound bad if you get a pool, playground, gym, security, and lawn care.

What Buyers DO NOT Care About:

• Buyers do not care if you laid the tile in the kitchen or sponge painted the dining room yourself. They will not even care if you built the home from the ground up with your own hands. In fact they may worry that the work was not done correctly or that it conflicts with their own tastes.
• In general, buyers do not care if your home is a "custom home" or not. It depends on the custom features the home has. Upgrades may be a plus as long as they are upgrades the buyers want. But just like getting a custom tailored suit made for yourself, a custom home you have constructed may not "fit" the buyers.
• Buyers do not care if you have "over improved" the home for the area where you live. In a neighborhood of luxury homes, a pool can be a plus. However, in an area of modest two-bedroom homes, you will never get back what you invested in the installation of a pool.
• Buyers will be looking for good prices on similar homes. They do not care what the reasons are for the price you have set. It is not their concern if you borrowed too much money, lost the family savings in Las Vegas, or your Aunt Sadie needs a heart transplant. They are not cruel, but these are issues that do not play a part in their decision to buy or not to buy your property. If you have priced your home above the competition, be prepared to see the buyers purchase the home next door. Even if you did convince someone to pay way over the market value for your "special" home, I can assure you that in most cases the bank's appraiser will quickly pull the plug on the deal as he or she injects a dose of reality to the deal.
• Buyers do not care if you have a busy life and have little time to make your home look good for showings. They will just move on to the next house. And this will only end up making you work even more to keep your home looking good as it lingers on the market month after month.

We are in a Buyers Market at this point in time. Whether we like it or not, they have the advantage. If your house is not appealing, they will just go down the street or around the corner and buy one there. This situation will probably not change in the near future.

So if you want to sell your home, keep in mind what are and are not the buyers' priorities. Listen to your full-service agent who can give you the benefit of his or her training and experience. In the end, this will make your home selling experience a much more positive (and possibly profitable) one.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com 

I also invite you to visit my my website where I think you will find a lot of useful information. To get there just click on the following link: www.jelwell.century21bnr.com

When Buying a Mobile Home With Land, Make Sure Your Title Company Can Handle It

A few months ago I had a buyer who was looking for a mobile home in Zephyrhills, Florida that came with its own lot. I found her one in a nearby subdivision that was priced at just $49,000! Very low for that area. Apparently the owners had not paid their HOA fees and the homeowners association had taken over the property. It had been bought by a flipper who was also a real estate agent in Tampa, Florida. He painted the interior and exterior, and had laid down new flooring throughout the mobile.

My buyer put in a offer that was accepted and we went into escrow. I asked the agent if he had the titles to the mobile. He said he had no paper titles since there were RP (residential property) stickers on the home. He said that meant that the home's titles had been retired at the motor vehicle department, and there were no longer paper titles.  Now, it is true that banks are frequently asking that the titles be retired and the homes be permanently "attached" to the land. But an RP sticker is no indicator of this. Homes with paper titles still have RP stickers. I spoke with the title company he was using for our deal and found out that this company had also handled the agent's purchase of the mobile. They informed me that they already told him that the DID NOT check on mobiles at all, not the titles, not liens, nada.

I had a title company I normally use do some checking, and it turned out that the agent did indeed have the deed to the land. HOWEVER, the titles to the mobile home were in the possession of a holding company. That meant that for practical purposes, the home had been separated from the land.  The agent owned the lot and the holding company owned the mobile home. When I told the owner-agent this, he did some checking and found out he would have to pay an additional $6,000 to get the titles back. A costly error that reduced his profit considerably. I recommended to him that in the future if he bought other mobile homes he might want to consider using a title company that was familiar with that type of property and sale. I do not think he was going to take my advice.

If you are a real estate agent, a buyer or seller I recommend that you consider that same advice. If the title company that is used is not familiar with the procedures for transferring the deed AND the titles of mobile homes, as well as having the ability to make sure you get clear title to everything that you are purchasing, you may wish to change title companies. These are big investments. You should do all you can to make sure that there are no problems after the sale concerning the title on the land AND the mobile that sits on it. Would not be a pleasant surprise to wake up some morning to see a truck out front ready to tow your home away!

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com 

I also invite you to visit my website: www.jelwell.century21bnr.com

Another Home That Will Likely Spend Months On The Market Unsold in Pasco County, Florida

Today we had our weekly "agents caravan". This is when we go around the area to tour the new listings that came on the market during the previous week. Most of them were pretty reasonably priced for what they were. Many sellers are now realizing that they can earn a profit, but that the days of 50% yearly appreciation are no longer here.

I visited one home in a nice upscale neighborhood. Most of these homes are less than 5 years old and are on 0.42 acre lots. This subdivision is located in a small somewhat sleepy college town that buyers like since it is an easy commute into Tampa. Similar homes in that subdivision hover around $300,000 in price. In 2003 you could get them for around $200,000. The houses there have a lot of positive things going for them.

However, the home I visited was priced at over $500,000! Nothing I saw inside would warrant that high a price. It was priced as high as homes in a luxury golf resort not faraway. I am sure the owners have convinced themselves that their home is "special". And to them I am sure it is. The question is, will it be special enough to buyers that they will pay $200,000 over similar homes for this "specialness"?

One feature of the home that I am sure the owners think adds great value to the residence is the stained concrete floors. No wood, no ceramic tile, and no carpeting anywhere. Just stained concrete everywhere! Now I am sure that there are some buyers who love stained concrete. But the majority of buyers of homes in this area and in this price range will not see them as a positive. And of those that do like them, they may not like the colors that the owners chose. Add to that the fact that bare concrete does not hide cracks, and there was a large one in the living room, and what the owners see as a selling point will probably turnout to be seen as a negative for the majority of buyers. Now toss in the very high price, and you have a long and lonely period of no visits or offers stretching far into the future. My prediction is that this listing will end up expiring with very few showings.

I know and like the listing agent, and only wish him the best of luck. But, in my opinion and the opinions of other agents, he has a very rough road ahead. I have little doubt that his price recommendation was much lower, but that the owners refused his advice and overpriced their home.

My advice to my readers, as always, is to go for the highest reasonable price, but do not get greedy. Keep in mind that what you think is a big selling feature may in fact turn people off. Listen to your real estate professional. S/he has the experience, training, and intuition to help you reach your goals as long as you consider his or her advice carefully. To do otherwise is set yourselves up for frustration and failure.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com 

You are also invited to visit my webpage at: http://jelwell.century21bnr.com

The Effect of COLOR - If Buyers Cannot Imagine Living in Your House, They Will Not Buy It!

The colors in your home can affect your home's saleability, especially in today's buyers market. Click on the picture to the left so it becomes larger. Concentrate a minute on what you see there. Now try to imagine that instead of what it depicts, the picture is of a beach scene, a vista from a mountain, a famous landmark, someone in your family, another favorite painting or portrait, etc. Kind of hard to do isn't it? The image is so strong that it makes it difficult to imagine that the image is anything but what you see.

Now click on the next image just to the left of this paragraph. Take a few seconds to look at it. Now try to imagine that it is any other color in the rainbow. Can you force your mind to see it as a blue wall, a purple wall, a tan wall, a red wall, etc? How about blue and white stripes? A floral print? As with the previous picture, it can be hard to make your mind overcome the strength of the color and see it as a different one, a mixture of colors, or a pattern or design.

Now click on the blank space to the left of this paragraph. It is a plain white space. Can you imagine a scene that might fill it? Is it a bit easier to see other colors with it or in place of it? Can you imagine stripes or a pattern over the white? Would this wall clash with your furniture. The space is neutral with no strong colors that scream out at you. For many people it will be easier to imagine this white or blank space as something else. Their minds are not overpowered with a strong color or an equally strong image.

When buyers enter your home, it is crucial that they can imagine themselves living in it. Tastes in color are very personal. If your color choices are so specific to your tastes and your tastes are not in the mainstream, you are likely going to turn buyers off before they even have a chance to examine your home closely. Now I am not saying that if you have bright and vibrant hues in your home that you have bad taste. Not at all. I have seen some beautifully decorated rooms in bright colors and complementary furniture. However, one thing that sellers often forget is that you are creating an atmosphere to appeal to buyers, not a place that YOU are going to continue to live in for very long (hopefully). Remember, you want to sell your home, not continue to live in it.

The use of neutral colors like white and light beige on the walls gives the buyers a chance to imagine their furnishings in your home. Strong colors make it more likely that they will worry that their furniture and other personal items will not fit in aesthetically. This also applies to special wall treatments that have become popular lately. Buyers will start to worry that  their red sofa will not go with your purple wall?  For them it is hard to see it in their minds? They know they can repaint of course, but they have difficulty seeing the purple wall as the sage green that would go with their dining room set. If your walls are white or more neutral, buyers can begin to imagine that it might work for them. They can also more easily imagine the colors or wall coverings that they will want to use.

I often hear sellers say that they will not paint any walls. "Let them paint the walls the colors they like after they buy" is their usual statement. But that stubborness can cost you money in your pocket and time out of your lives since the home will probably spend more time on the market. Why do you think that most model homes that developers maintain for tours have neutral or muted colors? They want buyers to think "Hey, I can see myself watching the football game in this family room or eating great meals in this wonderful dining room." If  buyers cannot picture themselves living in your house, I can guarantee you that they will not consider buying it.

So if your agent advises you to tone down the colors in your home, you would be well-advised to give it some very serious consideration. A few hours of not too strenuous work and a hundred dollars in paint could put more money in your pocket and get your home sold before those of your neighbors. Food for thought.

For more information or questions about this topic please call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com 

You are also invited to visit my webpage at: http://jelwell.century21bnr.com