Devin B. Gray - INSIDER HOME SELLING TIPS

INSIDER HOME SELLING TIPS

Devin B. Gray

Table Of Contents

Introduction

First Steps To Home Selling

The 80/20 Rule

Creating Curb Appeal

Staging With Purpose

Upgrading With ROI In Mind

The Three D's

How To Market Your Home

Common Seller Mistakes

10. Learn From Others' Mistakes

11. Finding Buyers

12. Be A Power Negotiator

13. Dos And Don'ts Of Negotiations

14. Bargaining Chips

15. Why Hire An Agent?

Foreword When I first ventured into the real estate industry, it was to help sellers, like you, avoid the headaches that often come with the home-selling process. In my years of experience, I've helped alleviate the stress of selling for numerous clients, but I’ve also accumulated years of knowledge from various sources and experiences to help them get more money for their homes in the least amount of time. I felt it best to share all of my expertise in one place for you. That’s why I am happy you decided to read this book. I want to help you have the best possible home-selling experience. And by that, I mean I want you to; First, get the MOST MONEY POSSIBLE for your home; Second, SELL IN THE LEAST AMOUNT OF TIME; and Third, AVOID THE HEADACHES most commonly associated with the home selling process. Think of this book as a gift to you. It contains insider advice on the home-selling process to help you achieve your ultimate real estate goals, including: * SECRET STRATEGIES to sell your home for more money. * MARKETING TECHNIQUES employed by top agents. * ADVICE on how to appeal to today’s buyers. * And more SELLING SECRETS you can't afford to miss! If you have more questions, after reading my book, or are ready to list your home, I’d be more than happy to meet with you to discuss a customized plan. My contact information is located on the back cover of this book. I look forward to hearing from you.

Happy reading!

About Devin Gray

Devin was raised in Edmonton, Alberta, Canada. His childhood aspirations were to be a famous radio announcer. Never in a million years did he think he’d stumble into the real estate industry, but you can’t always predict where or when you’ll discover what you’re meant to do in life. At a young age, Devin was taught that if you want something in life, you have to work for it. So that’s what he did. And he worked hard. As the years went by, Devin worked his way from being an on- air announcer in radio, to sales and then management, never wavering in his resolve to become the best version of himself with each career move. He got into the real estate industry as an investor with his wife, Tracie, in 2007 when they purchased their first rental property near their own home. That was their first step in working towards financial freedom through real estate. Devin realized that with the right systems in place you can become very successful in real estate investing. He enjoyed it so much that Devin decided to jump into real estate full time by also becoming a Professional Realtor. Real Estate is Devin's true passion. Along with growing his own portfolio, he likes working with others who are interested in real estate investing and helping them to achieve their goals. He also works closely with home buyers and sellers to make the process as seamless, fun, stress-free and as profitable for them as possible. Devin lives in Edmonton, Alberta with his wife, Tracie, his two teenage sons, Dylan and Anson, and their dog, Tobi. In his free time, he enjoys travelling, golf, skiing and spending quality time

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with his family.

Devin always aims to provide the highest level of service to his clients, and takes deep pride in helping them achieve their real estate goals.

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Testimonials & Reviews for Devin Gray Here’s a list of people that I have helped buy or sell a home, and what they said about working with me: Devin is so professional from the moment you meet him. I would 100% recommend him to anyone that is looking to buy/sell a house/property - Lucia B. Devin Gray made my first time home buying experience smooth. The process was very fast and everything was easy thanks to his knowledge and support. I am grateful for his help and would recommend him and use him for my second home purchase. Thank you Devin and Mogul team! - Theresa M. I was able to sell my property with Devin in t in in the middle of the pandemic, and fast!! In all honesty, as I said to him, he's a t e's a true rock star who knows the business and really helps you navigate the whole process of selling a house, from a to z, therefore if you want a great, professional who cares and knows all the ins and outs of real estate, then do not hesitate to contact Devin Gray with Mogul Realty Group, when selling/buying or investing in your next property. - Juan C. We started the year off not knowing exactly what we wanted or what we were willing to compromise on. Devin was very patient with us. I wasn't sure how I felt about a few details because I wasn't sure what I wanted, let alone what my husband wanted. After multiple offers fell through due to bidding wars and/or failed inspections, we finally found a house we were happy with. Devin has been insightful, honest and very knowledgeable. In the future, we plan on choosing Devin as our realtor for our next purchase and will continue to recommend to any of our friends who are looking to buy. - Samantha A. ix

I was lucky to find Devin during my search for a home in Edmonton. Coming from out of town, our communication had to be remote and Devin was quick to respond to each email, text, and phone call. Even after moving in he answered many questions as we got settled. - Patricia K. We had Devin help us look for a home, and it was great. He provided timely and thorough information, and was always around when we had questions. Thanks! - Zoe K. Devin was extremely knowledgeable, professional, and helpful. He made our home buying experience easy and enjoyable. Devin was straightforward and upfront with us throughout the entire process, was very fast at communicating with us, and accommodating of our schedules. If we ever buy another property we will be asking for Devin to help us again and would highly recommend him. - Tom L. We are finally home! We recently decided to move across Canada to the Edmonton area and purchase our first ever home, if that wasn’t a big enough step on its own, we did it through a pandemic! We were lucky enough to have a friend recommend Devin Gray, with Mogul Realty Group, to be our realtor and assist us throughout the whole process. Devin was amazing to work with and made this journey easy and exciting! He knew that we were first time home buyers, and that we were going through this process with family at a di t a distance. He educated us every step of the way, showing us items to be cautious about, to actually go through the buying process. Devin was always there, ready to answer ALL questions and book last minute viewings. We really depended on Devin’s knowledge and expertise throughout this adventure and he was willing and able to guide us the whole way through! We would HIGHLY recommend Devin and his team at Mogul Realty Group, and we will most definitely be using them again if and when that time comes! - Jesecca R.

Devin was really great. It felt like we really did not have to do anything. And it was very comforting knowing we had a good negotiator on our side. - Adam & Christine My lady and I were very happy with the professionalism and patience of our realtor Devin. He made the selling process smooth and manageable while we still had to work full time. - Chris M. We bought a house with Devin Gray and couldn't be happier with the experience and smoothness of the transaction. He was quick to follow up with additional information as requested. Scheduled viewings at times that worked for us. Most importantly, he always followed up with emails and calls when asked without ever making us feel we were bothering him. Devin walked us through everything smoothly; was able to recommend excellent service providers (home inspections etc.) that saved us money in t y in the end. Devin di in did a great job in negotiating the deal on the house we absolutely love. He is very friendly and not outwardly pushy. Great follow up even almost 2 months after the sale, with an issue we had. I would recommend him very highly and I feel you won't be disappointed in his negotiation skills, follow up and work he puts into the client needs. I certainly would use him again if we were looking for another place and recommend him to others that are considering an agent. - Peter T. Devin was amazing. He was always right on point with service and answering questions any time we had them. Couldn't ask for better service! - Brett W. Devin was awesome! He was always available and made it so easy. He was always helpful and we would highly recommend Mogul and Devin. - Tom & Teri.

Devin was really good. We 100% r e 100% recommend. - Jared & Emily

Devin was fantastic. He was always willing to go out of his way to help and answer questions. I could not have asked for a better realtor. - Troy D.

It was great, great, great! Thank you, Devin! - Elohor O.

Devin was recommended by a friend. If I could give him a six star rating I would. His professionalism was incredible and evident in his extensive knowledge (this included understanding what I was looking for before I even really knew, to seamless guidance with the closing/possession process), tireless patience (he was always supportive and encouraged looking at multiple properties, he never, never pressured!), and his ever ready availability (all texts, emails and phones calls were promptly answered and answered correctly! He never missed a question or concern and inquired further if he was unsure). I think the best way to summarize Devin's approach and skills is this, we were not the multi-million dollar client, but he definitely treated us that way! Very exceptional knowledge, professionalism and guidance through an exciting process! Thank you, Devin! - Sheri R. Devin is the type of realtor that takes care of it all. He works for you at all hours of the day and brings with him a t im a team of professionals from home inspectors, contractors, and property managers. He has in-depth knowledge of the market and is an investor in Edmonton. If you want an active realtor that delivers he is the one. - Ambrose RB. Devin was amazing to work with, he gets it done quick! If you need someone that works fast and answers your calls, Devin is you man! - Alex M.

Awesome agent to work with; really quick on getting you

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answers and information needed. Super friendly, really glad we met and were able to work together. - Steve B. I worked with Devin from The Mogul Realty Group for a couple months and he was a huge help. He has great knowledge of the Edmonton area and is keen to educate and fit you into the right house or investment property. I would recommend Devin to anyone looking in the Edmonton area. - Matthew D. Devin was awesome to deal with, always available (day or night) and easy to communicate with. He is very knowledgeable and any random questions we had were answered in a day. - Coty G. I have been dealing with Devin Gray and he has been nothing but a CLASS realtor; a family man knows what kind of a house another family is looking to buy.... - Vijay N. I worked with Devin Gray a few months back and was extremely happy with the service that he provided, Devin does a great job educating you so that you can make good decisions when buying a house. I look forward to working with Devin Gray again in the future. - David N. My fiancé and I had the pleasure of working with Devin Gray. Devin was very knowledgeable and so personable that the biggest decision of our lives became the best decision of our lives and we couldn’t have done it without his expertise and patience with us as first time buyers with a million questions. He also introduced us to some amazing people who helped make the transaction run as smoothly as it possibly could have. We would highly recommend Devin to any prospective buyer because he listened to what we were looking for and communicated effectively with us to ensure we were happy with our decision. - Alisha K.

I met Devin by chance at a conference. Right away I could tell he

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was one of the 'good ones'. Looking to purchase an investment property in Edmonton, I decided to work with Devin after having some really great authentic and informative conversations. His willingness and patience to spend time answering all my questions and giving me the 'straight up' answers was greatly appreciated. Devin truly has a passion for real estate and truly has a passion to help people achieve their goals. He made the process simple and fun. We feel as if he really thought about our needs in our real estate investing purchase, and made sure we got what fit our criteria. Devin is a great agent and we will be recommending him and Mogul Realty Group - eXp to our friends and family. My favorite part of working with Devin was his knowledge and professional approach, but bringing that in a very authentic and friendly manner. If you are doing your due diligence on Devin right now, you have found the right guy! - Trevor N. Devin from Mogul was extremely helpful in helping me with the purchase of our first house. As a first time home buyer I was overwhelmed and confused by the process but Devin was readily available and always open to talking and explaining the whole process and any questions I had, even when I thought they were stupid questions. He helped us find a house in just a few weeks and was reachable the whole time. The team at Mogul are all very helpful and made this process very easy on me even when there were roadblocks or issues that popped up along the way. I would highly recommend Devin to anyone looking to buy a house. - Scott W. I've had the chance to work with Devin a couple of times. What I appreciate most about him is his honesty. I've bought a couple homes through him, and he has never been pushy in order to make the sale. If things did not feel too good, he would just lay out the facts and help me make an educated decision. I'd highly recommend Devin and the entire team at Mogul Realty / exp. - Daryl H .

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CHAPTER 1 Introduction

The largest investment most people make is their home. That makes selling a home — whether a single-family residence, duplex, or condominium — the single largest, most complex transaction a person will ever undertake. It involves new terms and concepts, financial understanding, and larger figures than normally dealt with. It is also one in which emotions may come into play to the detriment of good judgment. Surely, the seller thinks, my home where I raised my children and made so many memories is worth more than the bricks and mortar it contains. Real estate transactions involve dozens of decisions and substantial investment in homeowners’ time, energy, and money, and emotions almost always lead to problems in a sales price negotiation. The home seller’s objective is to find that home shopper who cannot resist buying your house at the highest price. To do this, you need to offer potential buyers a striking home sales presentation that outshines other homes on the market. It requires making a fantastic first impression, creating for the buyers an instant feeling that they are travelling up the front walkway of their new home for the first time, not visiting someone else’s. It’s about falling in love at first sight, from the curb, in those initial seconds. Most sellers don’t venture alone into selling their home. They find it better to have an experienced real estate professional with whom they are comfortable. This book was written to provide some of that comfort without the direct sales stressors of person- 2

to-person contact.

I want you to independently achieve a better understanding of the home-selling process. I’ve also provided actionable insight into how best to market your home, avoid critical mistakes, and maintain a proper focus. Let this book be your go-to resource for information, strategies, and techniques that can be put to work to sell your home quickly at the best price. Take time looking through the chapters and master the secrets of successful home sellers. For example, discover why comparable homes sell for considerably different prices. Be ready to sell by knowing your home’s market value, best listing price, negotiation tactics, and improvements that offer the best Return on Investment (ROI). My sincere hope is that this book will help you make the most of your time and efforts to sell your home. In Part 1, the process and importance of preparing your house for sale is examined: how to present to get top offers, the “80/20 rule,” along with which upgrades will make the most difference in ROI. Part 2 delves into marketing your home with a look at costly mistakes, avoiding those mistakes, and finding qualified buyers. In Part 3, we examine the critical topic of negotiations — what to expect and how to conduct them — and finish with a look at what engaging a real estate professional brings to your real estate sale transaction. After you learn the process, requirements, and tips, you will see that an experienced, financially astute real estate professional can vastly cut the time and raise the economic value of your transaction. Reading this book is your first step to selling your home for the best price in the shortest time. After you read it, you might want

to talk with me. I stand by to assist you with a Comparative Market Analysis and a solid marketing plan to fit your budget and lifestyle.

CHAPTER 2 First Steps to Home Selling o Home Selling

Location! Location! Location! is the most crucial consideration in real estate and a major factor, if not the predominant one, in real estate pricing. Novice (and not-so-novice) home sellers alike must know the considerations that determine a home’s price. Setting the price at which to sell your home is not a simple formula, nor totally mathematical. Many elements factor into the decision. Throughout this book, you will read examples of similar and similarly situated houses that sold for very different prices, along with the reasons for the disparities. A calculated home value is not necessarily what you believe your home is worth. Recognizing this helps avoid overpricing, a major factor that leaves homes languishing or unsold. Familiarity with the real estate terms market value, appraisal value, and assessed value can save disappointment and frustration, and allow the home seller to meaningfully engage in setting a home’s listing price. The most used definition of market value is “the most probable price a property should bring in a competitive, open market, under conditions requisite to a fair sale.” Essentially, this is a pre- negotiation opinion of what a house should bring in its local market, i.e., its geographical area, generally an area such as a suburb or neighbourhood. Appraisal value is an evaluation of a property’s worth at a given point in time that is performed by a professional appraiser. Appraised value is a crucial factor in loan underwriting and determines how much money may be borrowed and under what 6

terms.

For example, the Loan-to Value (LTV) ratio is based on the appraised value. Buyers with a down payment of at least 5% of the purchase price but less than 20% must be backed by mortgage insurance. This protects the lender in the event that the home buyer defaults. These loans are known as “high LTV” or “high ratio” mortgages. In situations in which the buyer has 20% or more for a down payment, the lender or borrower could obtain “low-ratio” insurance that covers 100% of the loan in the event of a default. Mortgage insurance is backed by the Canadian government through the Canada Mortgage and Housing Corporation, most often called the CMHC. There are two other companies that also provide mortgage insurance - Genworth Canada and Canada Guaranty. Assessed value is the amount a local or provincial government has designated for a specific property, and it can frequently differ from a market value or appraisal value. This assessed value is used as the basis of property tax and when a property tax is levied. The assessed value of real property is not necessarily equal to the property’s market value.

WHAT IS YOUR HOME WORTH?

The first step in selling your home is knowing the difference between value, worth, and price. Let’s examine the determining factors at work. Understanding those factors allows them to be leveraged. There are several ways a home’s value is derived.

ONLINE HOME EVALUATION

Online tools will provide you with a very basic estimate of your

home’s current value based on recent comparable home sales in your area using a comprehensive database. Note that the assessment is based on available data with no guarantee of accuracy, and often uses an algorithm that simply averages comparable sales in the geographic area. These tools might be quick and easy, but they don’t take into consideration factors like location, current local trends, and the condition of the property. Be aware that the prices arrived upon might even be highly inaccurate.

PROFESSIONAL APPRAISAL

Nothing determines the sale price of a piece of real estate but the price at which it actually sells. Houses are not same-priced identical cans of tuna on the grocery store shelf or shares of stock valued and traded every day on the stock exchange. Real estate appraisal (“property evaluation”) is the process of developing a perspective of value for real property. This is the market value — i.e., what a willing, reasonable buyer would pay for the property to a willing, reasonable seller. Real estate transactions generally require assessments because they happen infrequently, and every real property is unique in features and characteristics. An appraisal helps in various decision points. The seller can use the appraisal as a basis for pricing. The buyer can use it as a gauge on which to base an offer. Lenders use appraisals to know how much money to credit to their borrowers.

The important factors in a house appraisal are:

• Dwelling style (e.g., one-storey, two-storey, split-level, bungalow) • Features (including design) — materials used and the

kind of structure present and how they were built • Improvements made • Comparable sales • Location — type of neighbourhood, zoning areas, proximity to other establishments, amenities, schools and transportation • Age of property • Size • Depreciation Condition, of course, is a crucial factor in evaluation. Location is also a factor; however, as property cannot change location, upgrades or improvements to a residential property often can enhance its value. A professional appraiser should be a qualified, disinterested specialist in real estate appraisals, with expertise in your region. His or her job is to determine an estimated value by inspecting the property, reviewing the initial purchase price, and weighing it against recent sales with the same purchase price.

COMPARATIVE MARKE TIVE MARKET ANALYSIS BY A REAL ESTATE PROFESSIONAL

This type of home evaluation, the Comparative Market Analysis (CMA), is often free from some real estate professionals, and more detailed and helpful than automated online offerings. It provides detailed information on each house sold in your area over the last six months, along with the final sale price. It also includes the specifics of all the houses for sale in your area, including the asking price. These homes are your competition. The real estate professional will also answer any questions, and help you price your home realistically. Along with an understanding of how the worth of a home is 9

determined, the current market must be considered. By utilizing a professional real estate agent, you can rely on proven expertise to market your home at the best listing price. Whether or not you are thinking of selling your home, I will be happy to provide you with a CMA to determine its worth. Please refer to the last page of this book if you would like more information on how to request a free home evaluation.

THE SECOND STEP (SELLING YOUR HOME FOR MORE)

Prior discussion showed that there is no calculable certainty in setting the value of a home. There can be wide differences between the seller’s assessed price, the asking or listing price (market value), and the price at which the home sells (sale price). Let’s turn to what the homeowner/seller can do to elicit offers at, or even above, the listing price in a competitive market. The seller’s time, effort, and investment are the most important parts of the process. The seller’s willingness to adequately prepare the home for presentation — and willingness to live in that pristine state for the time it takes to sell the property — will greatly affect both the sale period as well as the price at which the home sells. A market in which homes normally sell in no more than six months of listing is considered balanced or neutral, which means a good number of homeowners are selling and buyers are purchasing; therefore, neither has an upper hand. In Canada, ever since the end of the short recession in 2008, this has generally been the case in most provinces. However, market shifts can—and do—happen. A variable, for instance, like a major company entering — or moving from — the area will tip the scale toward homeowners to make a swift market or toward buyers to make a slow market. The typical selling time in a hot market

might be 30 days or less, while that of a slow market may be up to nine months. Typically, any number below six months is considered a “seller’s market".

EXAMPLE OF DIFFERING HOME VALUATIONS

A buyer is interested in a home listed at $525,000. The online valuation determines the house is worth $550,000. Based on that estimate, the buyer offers the asking price. When a professional appraisal comes in at $500,000, and the existing tax records assess the home at $450,000, the buyer wonders why the values are so different and whether he overpaid. The house was listed at $525,000 because at that price, the home would sell in a reasonable amount of time. Why would the appraised value not be whatever a buyer was willing to pay? The fact that they paid $525,000 does not mean that is the true value of the home. Certain factors may weigh in — undesirable businesses located near the property, for example. Online valuations can’t take into consideration the condition of the property or the qualities of the neighbourhood. Since an assessed home value is for taxing purposes only, it can be much more or much less than the market value. Ideally, they should be the same, but usually they are not; it is based on a percentage of the appraised value determined by a professional. From legal descriptions to onsite inspections to comparable home-selling prices, the assessor will take all these things into consideration when appraising a home. Location near industry, high traffic, or potential development will also affect the appraisal.

LIVING IN A FISHBOWL

A house on the market requires keeping the home in a constant “show-ready” condition, and changes in day-to-day life are

inherent in the process. Sellers get unexpected phone calls at all hours from unrepresented prospects and buyers’ agents to show the home, as well as frequent updates by phone, email, and text and show appointment scheduling messages from the listing agent. They also will likely deal with repair and reconditioning appointments and inspections. The house may be photographed for online, periodical, or brochure presentations.

There are repeated showings when the home first hits the market. Keep your home in pristine showing condition for impromptu visitors — the perfect prospect might just drop in at dinnertime.

CHILDREN AND PETS SHOULD BE UNSEEN, UNHEARD EEN, UNHEARD

Children (and Pets) Should be Unseen, Unheard. Children and pets are distractions for potential buyers, affecting their experience of your home. You should plan for your children to be elsewhere and your pets crated or leashed, and no toys lying about or dog hair on the sofa. The dishes should always be done and the kitchen sparkling. The pressure of showing to everyone even mildly interested in looking (not necessarily buying) may come from the idea that the more your home is seen, the more quickly and easily your home will sell. Many real estate agents provide their clients with dozens of homes to consider without a clear picture of what the buyer wants. Low-interest traffic can be heavy and a burden on the seller’s time, energy, and resources. Since a showing can take an hour or even hours out of your day, finding an interested buyer is what matters most. The home will be shown to many more uninterested buyers than interested buyers. How many times will you have to show your home? In an ideal world, your property would be shown to serious buyers

only. However, many “Sunday afternoon window shoppers” exist in the real estate business. That said, you shouldn’t waste your time trying to appeal to uninterested buyers. This is where planning, organizing, and the professional help of a qualified real estate agent enables you to handle even the most intimidating tasks without wasting efforts.

CHAPTER 3 The 80/20 Rule

“Eighty percent of results will come from just twenty percent of the action.” This is the Pareto principle, attributed to Italian economist and philosopher Vilfredo Pareto, who, in 1906, observed an intriguing correlation. He began work on the “80/ 20 rule” with the observation that 20% of the pea plants in his garden generated 80% of the healthy pea pods. This observation caused him to explore more examples of uneven distribution. He discovered that 80% of the land in Italy was owned by just 20% of the population. He investigated different industries and found that 80% of production typically came from just 20% of the companies. His findings led to the concept that 80% of results will come from 20% of the action. While it does not always come to be an exact 80/20 ratio, this imbalance is often seen in various business cases: • 20% of sales reps generate 80% of total sales • 20% of customers account for 80% of total profits • 20% of the most reported software bugs cause 80% of software crashes

RELATING THE 80/20 R G THE 80/20 RULE TO SELLING

Understanding the 80/20 rule concept can save you time in selling your home. Applying the 80/20 rule, you stop trying to sell people on the entire home. Applying the rule, you can highlight the 20% of your home’s features that make it special. The remaining 80% of your home still affects the buyer’s decision, so

don’t neglect it, but in photographs, and showings, feature the elements that make your home special. Keep in mind, your selling point won’t be the common features your home shares with the other properties on the market. Instead, use your home’s unique features to grab the attention of buyers who are interested in those distinctive attributes.

BUYER’S STORY

When Vince and Sue were shopping for a new home, Vince wanted an ocean view of the Pacific. They looked at many desirable properties, on Vancouver Island but didn’t find any that were right for them. Some were overpriced; others had obstructed views. The search went on for almost a year until they found an older home a short walk from the ocean. The neglected exterior and dated interior were not encouraging, but when Vince stepped onto the third-floor balcony off the master suite, he was sold. Any shortcomings in wall color or fixtures faded away when he took in the view. He could now see the sunrise from his bedroom window every morning. What 20% of the home caught the eyes of Vince and Sue? The magnificent third-floor view of the ocean!

SELLER’S STORY

When Cam and Kate listed their home, they needed a buyer who wasn’t concerned that the house was on an unpaved road. Though the home was over 10 years old, the interior was updated with fresh, neutral wall colors and carpeting to look brand new. The towering trees and established yard gave the home a welcoming appeal.

The buyer had also looked at a home within just a few kilometres

of Cam and Kate’s that had towering trees, as well as a koi pond and patio. This home was comparable in interior and exterior, but it was on a busy street. What 20% of the home caught the buyers’ eye and prompted them to choose Cam and Kate’s home? The buyer loved the secluded country feel of the home. The 1.8-acre property was surrounded by pastures, with grand oaks dotting the landscape.

LOCATION MATTERS

A buyer paid extra for a townhouse because of its location overlooking the woods instead of the parking area. Another seller took advantage of the fact that most of the surrounding homes didn’t have yards; only a few of them shared a grassy area. An owner sold his home for a higher price than other townhouses in the complex. His had a characteristic shared by fewer than 10% of others — in fact, he had the only available listing offering that feature. He pointed to that feature in marketing the townhouse. With this attractive point of difference, the house sold for a higher price. Another townhouse seller in the same complex found a different unique feature. Although she did not have a yard, she was still able to use location to advantage. Her property backed up to a lake and fountain. This unique feature helped her to sell the townhouse quickly and for a better-than-average sales price.

THE 80/20 RULE IN ACTION: BUYERS ARE SEARCHING FOR UNIQUE FEATURES

Decide upon, improve, and spotlight the unique features of your home in marketing copy, photographs, and showings. Don’t bother spending too much time explaining how the storage room can be converted to another full bath; instead, lead the dog- owning prospect to the fenced-off dog run in the unusually large

backyard. If the home has a certain feature a buyer is specifically looking for, highlighting this aspect in marketing efforts will attract interested buyers willing to pay the asking price. Each house will have its unique features. Here are some suggestions if you aren’t sure of yours:

• Hilltop views or high vantage point, offering a spectacular view of the surrounding area • Open fields frequented by wildlife • Unobstructed views of sunrise and sunset

• Patios, decks, dog runs, garden areas, and gazebos — highlight items neighbouring houses don’t have, or differences in size or quality; that one vital feature could help you sell your home • Location can set a property apart, even in the same area, adding value to a home on a cul-de-sac or corner lot • A private location or lot partially concealed by trees • A unique, shady, or larger backyard; a fenced backyard is a big selling point (If your yard can be fenced but is not, consider making that improvement.) • Finished basement, large attic or garage, swimming pool, or anything else that makes your home stand out Following the 80/20 rule can lessen time showing to people who aren’t interested. Instead, you will be showing your home to buyers who are motivated to make a purchase. You won’t have to show as frequently. You also won’t have to sift through lowball offers from casual shoppers. Keeping this in mind, you must take the time to uncover your home’s most attractive and unique features and improve them to their highest potential. Compare your house with others in the

neighbourhood to see what makes yours stand out. Work with that.

HOW THE 80/20 RULE APPLIES TO HOME SALES ME SALES

An out-of-town home shopper with no specific requirements contacted a real estate agent to look at available homes for sale. The agent drove him from house to house. In each case, the buyer suggested offers 10% to 20% below the asking price without budging. As the day progressed, the agent’s chances of finding a suitable home for the buyer were dwindling. They stopped at one last house as the sun set. The exterior of the house was dated and the yard untended. This agent and her client had spent the entire day looking at houses that shared 80% of the same features. Nevertheless, once the buyer walked into this home, he wanted to offer the full asking price. What set this house apart from the others? He wasn’t too interested in the kitchen, bathrooms, and bedrooms. A bedroom was a bedroom, as far as he was concerned. He fell in love with the one remarkable feature of this otherwise uninspiring house. The house sat on a hill with a beautiful view out a large window. As they entered the great room, the sun was setting below the distant tree line. That view sold the buyer. The remaining parts of the home could be improved. The home buyer based his decision to buy on the window view from the hillside. The 20% of the home’s features motivated him to offer full price on the spot. Such is the power of the 80/20 rule. In some cases, the 80/20 rule may help people make a sale without even conducting a showing. The house in the following example had languished on the market for months. Unlike the previous home, this one was attractive.

It was a brand-new, custom-built home, yet it sat on the market for over seven months without a single offer. The builder hired a real estate agent who knew the importance of finding that one special feature. He drove out to give the house a thorough investigation. He discovered what the property had that the competition did not. The house had a five-acre yard. Other houses being sold in the area had one- to two-acre lots. Not only was the yard bigger, it was also more private than the other properties. The real estate agent marketed the property by highlighting the five acres. Because the house was no longer the main selling point, interest in the property increased.

CHAPTER 4 Creating Curb Appeal b Appeal

Someone once said, “a stunning first impression is not the same thing as love at first sight. But surely it is an invitation to consider the matter.” This could not be truer than in selling a home. First impressions matter. Sometimes they are everything. Nothing sets the tone of a relationship or encourages a transaction more than first impressions. So, always consider what a potential home buyer may think as he or she drives up to your property for the very first time. Think of “curb appeal” as the home seller’s shop window. Like picking a lunch place on a busy avenue in a tourist spot, it’s either the outside presentation, or as we saw in the 80/20 rule discussion, some particular feature that brings in the customers. For most lunch seekers, it is the way the place looks (“curb appeal”), and to others, the soups and sandwiches they serve (specific desired feature). You do not have a lot of time to establish a curb appeal relationship with a prospective home buyer. Whether cruising the web to view online photos from across the country, or cruising by your home in the family SUV on a Sunday afternoon outing, home shoppers will decide at a glance whether they want to see more. “We buy houses quick” or "We buy houses for cash" are signs often seen nailed to electric poles. Rehabbers look for ugly houses so that they can pay the least amount possible; home buyers looking for a deal — not a “basement bargain” — do not want an unattractive home. 20

Creating curb appeal is essential to attracting interest in your home. How your home looks from the road is so persuasive that a well-prepared house may catch the attention of buyers who did not find the written description particularly compelling. Likewise, a neglected house can cause a buyer previously excited by the description to cruise right on by. Try this. Go out into your street and look — I mean really look — at your home, and see if you can spot any imperfections. Is it appealing, pristine, and well-kept, or are their necessary repairs that you have been putting off ? After you’ve lived in a home for a long while, you’re not likely to examine it objectively. Listen to suggestions from real estate experts, your friends and/ or potential home buyers about how you can make your house show better. Then, take a drive around your neighbourhood and surrounding area and see which homes for sale appeal to you and note why. Well-tended houses with trimmed bushes, groomed lawns, attractive landscaping, and a “grand entrance” (discussed shortly) will be more impressive than homes with an unkempt walkway, uncut grass, and a paint-peeling front door. The outside appearance of a property needs to be an invitation to come inside. Potential home buyers are drawn to welcoming entries and uncluttered yards. They are unlikely to be attracted to a home with dead shrubbery and a weather-worn exterior. It is no stretch to think a buyer will believe the home is neglected on the inside as well. Look at your home as a prospect would. Drive up to the curb and take inventory of everything that needs attention. Low-cost investments like power washing the house and concrete, repainting trim, and adding landscaping give your house more curb appeal. Simple improvements like weeding, trimming, and

window washing can improve the appearance of a home with little to no expense. Repair and repainting are costlier, but often tell in time-to-sale or sale price. The goal here is to get more money for your home. Home buyers generally aren’t interested in a home that needs work, unless you want to sell below market value. Look around your yard, and make a written list of everything that could be improved: • Shrubs trimmed, flower gardens tended, walkways tidy, and beds weeded • No trash, trash cans, lawn clippings, branches, or general mess in the yard • All outside fixtures and components (door and yard lights, garage door, porch rails); functioning properly and looking their best • Outdoor features, such as patio furniture or the deck, updated with staining or painting Make all major and minor improvements to update the exterior of your property. There might be a long list of things to do. It takes hard work to get a home ready to sell. Anyone can put a house on the market, but not everyone sells quickly or with great profits. Then, await the prospective buyers who will be drawn to the inside of your home when they see how beautiful it is from your curb!

CREATING A GRAND ENTR AND ENTRANCE

As I mentioned earlier, an important part of curb appeal is the home’s “grand entrance” — the portal to even the most modest 22

house. You want to create a sense of a great place to come home to. Impressing the home shopper at the front door is a vital part of the home sale. This means more than putting out a welcome mat and potted plants. You want prospective buyers to feel welcome, safe, and secure when they open the door. The doorknob is the first point-of-touch on a home. Security is important to home buyers. A flimsy lock or handle on the front door will make potential home buyers uncomfortable, and they may not even know why. Replace a worn or loose entry handle. Consider replacing the door handle with a heavy-duty deadbolt and knob combination. This investment of less than $100 will make your home more visibly and practically secure, and everyone wants to be secure in their home. The front door is a focal point; make it impressive. Freshen it up and add a dash of color. Choose a paint that complements the color of your home. Replacing a wooden door with a steel entry door is worth the cost with a 91% ROI. • Symmetry appeals to the eye and is easy to accomplish. Lopsided landscaping or unevenly trimmed bushes will detract from the curb appeal; the overall appearance of the home needs balance. • Use outdoor lighting to add to landscaping appeal as well as a perceived safety feature. • Use flower boxes and raised flower beds to add instant color. This is an easy, inexpensive way to enhance curb appeal. • Spruce up the landscaping. Eliminating weeds and adding SOME OTHER CONSIDERATIONS IN CREATING GREAT CURB AP T CURB APPEAL: EAL:

fresh mulch can really make a difference and shows homeowner care and maintenance. • Consider enhancing architectural appeal by adding molding to the tops and sides of the doorway or around windows. • Keep shutters and trim in excellent shape. Repainting them adds to the attractiveness. Fence gates, arbors, and fencing panels should be fresh and clean. • Clean downspouts and gutters. Repaint or touch up to eliminate rust spots. • Ensure the walkway to the front door is clear and approachable. Stacked hoses and unruly landscaping interfere with home shoppers walking up and diminish the inviting look. • Try a fresh coat of exterior paint; faded or chipping paint, siding, or trim will always detract from curb appeal. If exterior paint is good, ensure door and window trim are, too. This simple upgrade is well worth the cost. • Power washing the house, walkways, and driveway can be almost as effective as repainting, at a much lower cost. Power washers are easily rented from hardware stores. • Adding some stone or stone veneer to the face of the home is an inexpensive way to instantly update your home, if it complements the design. • Add a “smart” doorbell. Most home doorbells are outdated or not working, so if you invest around $150 to $250 in a doorbell equipped with a camera and speaker, you will gain the approval of home shoppers who are looking for security measures.

Curb appeal is one of the most essential elements in selling your

home quickly and successfully. You can create interest in your home before buyers even step out of the car, even if they didn’t think they were looking for a home like yours. If you put money into cleaning up the outside of your home, buyers will be far more likely to want to see the inside. Your home’s curb appeal draws buyers in, maintains their interest, and sets your home apart from the competition. Remember that unless you are willing to lower your home’s price well below market value, prospective home buyers typically won’t want to take on a major renovation project.

CHAPTER 5 Staging with Purpose

Staging is the act of sprucing up and setting up a home's interior to make it as visually appealing as possible to a prospective buyer. Creating an appealing home — one that potential buyers can envision themselves living in — is the best investment in the sales effort. Sellers often fail to take full advantage in this regard, as it takes considerable time and work. However, the payoff is proven. Staging is considered one of the most effective marketing strategies to increase the value of your home. This strategy is effective in any market, in any type of home property being listed. It applies equally to single-family houses, apartments, townhouses, and condos. This approach works! Agents and sellers using this tactic have a greater chance of selling the property for more money.

Staging the home will:

• Distinguish it from the competition • Attract top dollar from homebuyers • Provide a visual edge over the competition

STAGED VS. NON-STAGED CASE STUDY & REPORT

Dear Reader,

I wanted to give you the most convincing proof possible. Many

people find it hard to believe that the simple act of staging helps one home sell for more than another similar home. In my research, I looked for examples of similar houses being sold for differing amounts of money, where only one of the two houses was staged. The clearest example I could find was in the case of these two listings.

This development has 200 equivalent townhouses.

Every single townhouse in the neighbourhood is three storeys, with three bedrooms and three bathrooms. Every unit has the same floor plan.

I looked for two sales there, and found these:

• Townhome A sold on June 21. • Townhome B, a few doors down, sold a month earlier for $25,000 less. I visited this neighbourhood, and I am familiar with these properties. You could not find a better example of two identical properties that sold for different prices. The lots the units sit on are identical, as far as the desirableness of the location. Both units had the same kitchen plan, with the same cabinets and a tile floor.

Both units had nice hardwood floors in the living room and

carpeted bedrooms.

Every important detail of these townhouses was identical. I studied every aspect of these sales to find what made the difference. There are two reasons one home sold for $25,000 more than the other: • Townhome A was professionally staged, giving it a more appealing appearance. • The agent selling this home took higher-quality, more attractive photos of the home. Those two seemingly small actions made the $25,000 difference! The buyers of Townhome A made a higher offer because the agent presented the home in a more appealing, attractive way.

THE POWER OF STAGING WHEN S G WHEN SELLING A HOME

Consider these potential case studies and reports, based on real stories, regarding the power of staging (vs. not staging) your home when selling it: In general, you will find that staged homes sell for more money and more quickly than non-staged homes. According to the International Association of Home Staging Professionals (IAHSP) — which serves and educates home stagers and Realtors in North America and beyond — staged homes sell for an average of 17% higher than the asking price. For higher-priced homes in cities like Vancouver, Toronto (GTA), Montreal and Calgary, this could amount to a significant chunk of change.

The IAHSP also reports that staged homes sell within an average of 11 days, spending almost 75% less time on the market than their non-staged counterparts.

WHAT DO BUYERS WANT TO SEE?

Most home shoppers are envisioning a fresh start. If they can picture themselves living in the home, the home will be easier to sell. This is known as “interior curb appeal,” where the eyes are drawn to inviting spaces and light, as well as to unique features. Each room needs a purpose or suggested use. The home must feel new to reflect ease of upkeep. The goal is to create a clean, simple, and contemporary feel. Painting, updating fixtures, and eliminating stained carpets and popcorn ceilings can affect the sale-ability of the home by 75%!

NEUTRALIZE FOR VISUAL APPEAL

The idea is to neutralize the home regarding personal taste or decoration, so buyers can easily envision the home as it would be outfitted in their taste or with their possessions, without the distractions of the seller’s taste and possessions. In staging, distractions are removed so the home shopper can imagine living in each space of the house. An effective way to achieve this is to paint all rooms in a neutral color. A wide range of neutrals is available, from soft grays to warm beiges. Painting the interior gives newness and freshness and can make the home appear more spacious. Using the same color in visibly adjacent rooms gives the house a seamless look and uninterrupted flow. Changing your window coverings to match the walls can also create an illusion of more space. Dark or bold wall colors can dampen interest in a home if used in large spaces; however, they can occasionally be used effectively as accent colors.

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