Tony Warfield - SELLING SECRETS YOU CAN'T AFFORD TO MISS

SELLING SECRETS YOU CAN'T AFFORD TO MISS

Tony Warfield

Table Of Contents

Introduction

First Steps To Home Selling

Pareto's Principle

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 Other's Mistakes

11. Finding Buyers

12. Be A Power Negotiator

13. The Dos And Don'ts Of Negotiating

14. Bargaining Chips

15. Why Hire An Agent?

Introduction Hi there! It’s nice to meet you. If you’ve received this book, it’s probably because you’re thinking about selling your home. And if you’re like most sellers, you may be dreading the entire process. But that’s why I’m here! My job is to make your job as a seller as easy and painless as possible. Throughout my years of experience in the real estate industry, I’ve amassed insider knowledge to help home sellers get the most money out of their homes in the least amount of time. And now, you’ve got all of that information at your fingertips. If you’ve ever wondered how a friend with a seemingly average house in a seemingly average neighborhood managed to sell his home way above market value, the answer isn’t luck. That person likely was working with a great Realtor®.

In this book, you’ll find:

• An overview of the sales process • Secret strategies to sell your home for more money • Common mistakes to avoid • Marketing techniques employed by top agents • Advice on how to appeal to today’s buyers • Tips for upgrading with the greatest return on investment • A negotiation guide to get more money • And much, much more Sure, you can try to employ these strategies yourself. But I suggest talking to a licensed professional — like myself — to employ them for you. Yes, selling your home can be extremely stressful, but with this book (and my help!), we can make the process as quick and seamless as possible. v

About Tony Tony Warfield is a native resident of the City of Torrance of more than 55 years. He has extensive knowledge in real estate and a love for his South Bay local community. In 2010, he obtained his real estate broker’s license and was one of the first Realtors to join 3 Leaf Realty in its inaugural year. From 2015-2018, four years in a row, 3 Leaf Realty was voted as the “Best of the Beach” brokerage by the community. In 2020, he received a "Top Producer" award. Tony has worked with many families throughout the South Bay over the years and you can be sure that he has firsthand knowledge of the area. He will offer you a promise to always place you and your family's best interest in the forefront of all he does. You will find him to be one of the most honest and ethical Realtors to deal with. Whether you are searching for the home of your dreams or an investment property, he will work with you to create a plan to find the ideal property that you are seeking for your family. By having a large network and great relationships with many local agents, Tony is able to access on and off-market listings for his buyers. If you are considering on selling your home, you will want the best marketing strategy working for you. Tony meets with his sellers and provides various reports full of ideas and suggestions on how to increase the value of your home AND how to best prepare it for the sale. His listings are syndicated which means they are posted to hundreds of real estate websites, to maximize your home’s exposure to the public and generates above average interest. He works very closely with all his clients and makes himself available to provide excellent service that definitely meets your needs. Tony is an outstanding negotiator on your behalf to get the best possible deal, while making the process as smooth and hassle-free as can be.

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As your Realtor, Tony will be a concierge for all things related to your home and real estate needs. He prides himself in offering excellent personalized service and is dedicated to guiding his clients through the complexities of today’s real estate market. In his free time, Tony is involved in the community in which he lives. He volunteers his time to youth sports programs and is involved with the local schools and other non-profit organizations. He enjoys coaching and refereeing soccer matches and playing an occasional round of golf. Reach out and have a friendly chat with Tony about your real estate needs; you won't find many agents who will work as hard as he does for his clients by going the extra mile. Just ask to see the numerous letters of recommendations he has received. He also lives by this quote - "A person is not given integrity. It is earned from the relentless pursuit of honesty at all times."

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Testimonials & Reviews for Tony Warfield Here’s a list of people whom I have helped buy or sell a home, and what they said about working with me: The decision to list our family home following Dad’s passing was difficult on many levels. I had interviewed other Realtors and cannot be more pleased with my choice of Tony Warfield. He was professional, knowledgeable and very patient throughout the process. His results far exceeded our expectations. I would not hesitate to recommend him to friends and neighbors, in fact I already have. Kathleen C - Torrance CA We have known Tony for years and have always thought of him as a fair and ethical person, so naturally he was our first choice to help us in the confusing process of buying and selling our homes. We used Tony for our first condo purchase and we came back to him years later in 2020 to sell and move onto purchasing our family dream home. Tony will go above and beyond to help and make sure the job gets done and done right. Liz M and David A - Torrance & La Mirada, CA I have known Tony Warfield personally and professionally for many years, so I knew he was the perfect real estate agent to help my sister and me sell our dad's house. Selling his house was extremely emotional for both of us and not only was Tony supportive through this process, he was also very professional, informative, and responsive. He kept us updated throughout the entire time and provided great guidance throughout the entire transaction. Tony is not only knowledgeable, but supportive, friendly, and a true professional. I wholeheartedly recommend him as an agent! Lynda S - San Pedro, CA ix

Tony recently helped me purchasing an investment property. The transaction was challenging because of flaky seller. Tony worked hard to get the deal closed. He was very helpful and knowledgeable throughout the process. I recommend calling Tony if you want to purchase or sell real estate. Great guy. Jason L - San Pedro, CA Not knowing what to do, other than we needed to sell our home, Tony took my wife and I through the selling process step-by-step. The wife and I were moving slow on getting ready for the sale and Tony was patient, honest, professional and friendly from start to finish. If you need to sell or buy a home, there is no one better to call than Tony. Fred and Sue S - Torrance, CA We contracted with Tony to sell our house and from the very beginning he devoted all his efforts to accomplish this. He met with us personally and laid out a very smart plan. He diligently held open houses almost every weekend. Even though the sale took longer than anticipated, Tony never gave up. He kept us informed of the progress with weekly reports. We proudly recommend Tony for selling your property, you will not be disappointed. Dan and Vicky C - Gardena, CA Tony Warfield represented me in the purchase and also the sale of a flip investment property in North Torrance. He was diligent, responsible, and knowledgeable throughout the process of the transactions. I highly recommend Tony to represent you for all

your Real Estate needs. Steve K - Torrance, CA

I spoke to Tony several years ago that there will be a time that I will be selling my mother's house. My mother passed away and when we were ready, he helped us so much. He kept us at ease

through the whole process. We thought it would take about 3 months to sell the house, but Tony sold it with the first open house we had and we ended up with almost 40 offers. We couldn't be happier with Tony's help and understanding. We are seniors and I have already instructed my daughters when the time comes to sell our house, to have Tony handle it. Jim C - Torrance, CA Tony helped us sell and buy a home. Tony is great in providing excellent service and is very knowledgeable in the real estate market. We have received wonderful customer assistance from Tony in selling our townhouse and buying a new home. He provided a variety of ways to market our home and dedicated time in having multiple open houses. He also made it convenient and easy for us to search for and go see new homes to buy. One of the benefits of working with Tony is he really put in the time in providing us with great service of helping us find that new home. We know he cares about us and kept us abreast of every aspect of the process of buying a home. Top Qualities: Great Results, Expert, High Integrity Wendy and Ron C - Torrance, CA Tony was very patient with us. It took us about 4 years to find the right place because we had 3 deaths in the family. He was very caring and understanding. He kept in contact with us through phone calls, text messages and emails and always providing information to us on homes available according to our preferences. We give him 5 Stars for his Local Knowledge, Expertise, Responsiveness and Negotiation Skills Morgan nd Laurie G - Torrance, CA Tony Warfield went out of his way to ensure we purchased the 8 unit rental property we really wanted. His ability to focus on the most important issues helped us secure the property. Tony handled the many hurdles the financial institutions threw at us

with professionalism and poise, staying calm all the way through escrow. Robert and Michelle K - Gardena, CA When we wanted to purchase another investment property, Tony helped us again. He was very attentive to what we were looking for in a duplex. His response time to our questions was quick and always friendly. He has integrity and a very easy-going manner. He was able to build an immediate positive relationship with the listing agent, which helped to get our offer accepted, even though we weren't the highest offer!! Robert and Michelle K - Gardena, CA We had the opportunity and the pleasure to be represented by Tony Warfield in the process of purchasing our home. Regardless of my never-ending questions, he was never bothered or too busy to help us. Even on the weekends he would quickly respond. We were very confused at times but he was always in good spirits to walk us through the process and explain things so we understood. Tony is also very professional. I can't thank him enough for representing us. Even after the purchase, he was still helping us with other issues that he didn't need to be dealing with. We are definitely recommending you to all our friends and family. ;-) Maria and Jerry P - Gardena, CA I was a first time home buyer and was warned by friends of the nightmare I was walking into of purchasing a home. But from start to finish Tony Warfield was there taking care of everything I needed. It was the personal touch that I really appreciated. David A - Torrance, CA When we approached Tony, we thought we had an idea of what we were looking for, but it wasn’t until he gave us a list of things to consider, that we actually found, with certainty, what we were looking for. After that, Tony worked diligently trying to find us

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the house he knew we wanted. There was great communication from Tony and he scheduled all viewing appointments for us, based around our schedule. He ensured that our “must haves” were important to him. The experience was stress-free, expeditious, and overall wonderful. I’m typing this review from my new dining room. Thanks Tony. Erik V - Lakewood, CA Our experience with Tony was wonderful. He was very understanding and considerate about our special needs. He continued to search for us and provided recommendations on how we could also help ourselves. Our son and future daughter- in-law recommended that we contact him because he helped them find their home. We would recommend him to anyone seeking the assistance of a Real Estate Professional. Holly and Bill V, Gardena, CA Tony sold a home for me. This was a very emotional experience for me and my family, as it was my Mom's house and she passed away recently. Tony was very compassionate and very knowledgeable as to what the procedures were for a trust sale. He kept me informed all the time as to what was taking place and what documents would need to be completed. All of the neighbors that met him were very impressed with his genuine, honest personality. Two of them want Tony to be their agent when they list their homes. I would not hesitate to recommend him to anyone looking for a great agent. Sharon B - Hawthorne, CA Tony took over as my listing agent for the short sale of my home, when the first agent could not get anywhere with the bank. I was at the point of walking away and letting the bank just take the house, but Tony quickly took charge and was able to stop the foreclosure process. He actually had to stop it twice. Tony was able to generate over 10 offers and negotiated the highest amount possible with the buyers. He persuaded the bank to approve the

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short sale, he was even able to get me $1,000 from the bank as well, which was a very nice surprise. I was extremely pleased with the outcome. I know that doing a successful short sale was so much better for me, rather than having a foreclosure on my record. I highly recommend Tony to anyone wanting to sell their home. Rhonda M - Harbor City, CA Dear Tony, Thank you very much for helping me buy my first home; your guidance made the whole process much easier. I also want to thank you for helping me with my loan and getting me a lower interest rate, unfortunately, everyone is not as honest or has integrity like you have Tony. I will recommend your services to my friends and family because I know you will take good care of them and get them a great deal like you did for me. Thank you again. Rhonda M - Harbor City, CA Tony was great in helping us search for our 1st home! Regardless of my never-ending questions, sometimes the same ones, he always replied with a smile. It got pretty hectic sometimes, but he was there to walk us thru it. I will most certainly recommend him to family & friends. Gina and Gilbert J - Gardena, CA If you are a first-time home buyer, I highly recommend that you have a talk with Tony Warfield. I did not know anything about home purchasing, especially the numbers and terminologies. Tony patiently sat me down and explained every page of the purchase offer. He answered questions I had prior to signing it. It did not end there, I had to call or e-mail him following up with some more queries about what I signed. He was very accommodating and responded accordingly even after business hours. He also explained some of the loan and escrow documents I had to sign, until it closed. The rest was history. Leilani E - Torrance, CA

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Tony did a great job from start to finish. His calm demeanor throughout the negotiations helped to put me at ease. It’s obvious he has extensive experience in real estate transactions. I would recommend Tony without hesitation. We may be entering into another real estate transaction in the next couple years and Tony will be the first Agent we call. Jerry W - Gardena, CA I would HIGHLY recommend Tony Warfield to anyone interested in buying a home, especially if you are buying for the first time. Tony was extremely patient, understanding, and helpful in all aspects of our home buying process. Even through some pretty, unusually rough times, Tony was always there to resolve any issues we brought to his attention. All in all, we made it to the end of our process, we absolutely love our new home, and we have only Tony to thank for that, so Thank You Very Much Tony! Breanna and Theresa T - Wilmington, CA Tony Warfield was referred to me by a friend. She said he was a very honest and hard-working individual. I found him to be all that and more. My property had lots of issues including mold. I was really stressed out and appreciated Tony keeping me calm. I would highly recommend him. Julie W - Torrance, CA Tony is extremely supportive. I found myself using him as a sounding board in difficult situations. Tony is fair, ethical and honest in his dealings. He gave invaluable feedback at the beginning of the upgrade and throughout the process. His CMA and Net Sheet Estimates really hit the mark and supported my decision making. Tony provided the answers I needed. He went over and beyond what is required. I just cannot say enough positives about the over-all experience. Patricia G - Gardena, CA

Tony was very patient with us. My wife had her preferences and I had my own. In the end we managed to hit on both our priorities and found a beautiful home. The process went very much like Tony said it would. The few surprises we encountered

were handled very professionally. Rick and Liz C - Lake Forest, CA

Tony Warfield was an exceptional agent and so our experience in selling our home was exceptional. Tony was very kind and patient with us as he walked us through what can be a very daunting process. He is honest and kept our best interests at heart. His business sense and negotiations skills are excellent and kept us on track. I would strongly recommend Tony for any of your real estate needs. Christine and Carlos D - Torrance, CA Tony is the best realtor in the South Bay if you like great service and honest, expert advice - he skillfully guided me through the selling process and offered insightful, productive recommendations the whole way through! Dean K - Lomita, CA We have known Tony for many years outside of the real estate business. When we first contemplated the idea of selling our house, we wanted someone we knew, who had local knowledge and most of all, would be a professional. Tony fit all of those criteria for us. It was months from when we first approached Tony until we actually put our home on the market. He helped us in deciding how to best get our home ready for sale. He was never "pushy" and did things in a timely manner. He always returned our phone calls. All real estate transactions have their bumps in the road and Tony was very successful in navigating those issues as they arose. We would highly recommend him to anyone needing professional real estate services. Mike and Tish S - Torrance, CA

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Tony helped us find the PERFECT property in the area we were looking in. He is full of knowledge, efficient, and NEVER gives up - even when dealing with other "difficult" real estate agents.

Thank you, Tony for doing a GREAT job! Rynette and Arlette L - Garden Grove, CA

Tony did an exceptional job in helping me get my condo ready and then selling it. It was sold in less than 2 weeks’ time, and the closing process went along very smoothly. I certainly will use him

again if the need arises. Sandy R - Torrance, CA

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CHAPTER 1 Introduction

The largest investment most people make is their home. That makes selling a home — whether it’s 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 acumen, and larger figures than normally dealt with. There are also many emotions at play that can affect good judgment. Many sellers think, Surely, 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 traveling 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 do not 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- to-person contact. 1

I want the prospective or active home seller 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, 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

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 neighborhood. 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 5

terms. For example, the Loan to Value (LTV) ratio is based on the appraised value. Where LTV is greater than 80%, the lender generally will require the borrower to buy mortgage insurance. Assessed value is the amount local or state government has designated for specific property and frequently differs from 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. Approximately 60% of U.S. properties are assessed higher than their current 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.

PROFESSIONAL APPRAISAL

Nothing determines the sale price of a piece of real estate but the price at which it 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 valuation”) 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 type (e.g., one-story, two-story, split-level, factory-built) • Features (including design) — materials used and the kind of structure present and how they were built • Improvements made • Comparable sales • Location — type of neighborhood, zoning areas, proximity to other establishments • Age of property • Size • Depreciation Condition, of course, is a crucial factor in valuation. 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 MARKET ANALYSIS BY A REAL ESTATE PROFESSIONAL

This type of home valuation is free from real estate professionals and more 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 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. I will be happy to provide you with a Comparative Market Analysis. Please refer to the last page of this book if you would like more information on how to request a free home valuation.

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

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

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 Pareto's Principle

“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 • 20% of patients account for 80% of healthcare spending

RELATING THE 80/20 RULE TO HOME 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 11

remaining 80% of your home still affects the buyer’s decision, so do not 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. They looked at many desirable properties 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 miles 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 buyer’s eye and prompted him 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 in the complex overlooking 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 shared a half-acre grassy area. An owner whose townhouse bordered this yard area sold his home for a higher price than other townhouses in the complex because he 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 townhome. 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. Do not spend 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 neighboring 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 low-ball 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 neighborhood to see what makes yours stand out. Work with that.

HOW THE 80/20 RULE APPLIES TO HOME 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

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 homebuyer 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 homebuyer. 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 ugly houses” is a sign often seen nailed to electric poles. Rehabbers look for ugly houses so that they can pay the least amount possible; homebuyers looking for a deal — not a “basement bargain” — do not want an unattractive home.

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 there 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 neighborhood 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 homebuyers 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. Repairs and repainting are costlier, but the payoff is often reflected in the sale price. The goal here is to get more money for your home. Homebuyers 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 ENTRANCE

As I mentioned earlier, an important part of curb appeal is the home’s “grand entrance” — the portal to even the most modest house. You want to create a sense of a great place to come home 19

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 homebuyers. A flimsy lock or handle on the front door will make potential homebuyers uncomfortable, and they may not even know why. Replace a worn or loose entry handset. 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 (Return on Investment).

SOME OTHER CONSIDERATIONS IN CREATING GREAT CURB APPEAL:

• 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. • The mailbox should complement your home. If it is worn, dated, or unsightly, replace it. This doesn’t cost much and is worthwhile. • 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 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 clean and fresh. • 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. Eight of 10 home doorbells are outdated or not working, so if you invest $200 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 homebuyers 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 townhome in the neighborhood is three stories, 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 August 26. • Townhome B (5 doors down) sold on July 26, for 40,000 dollars less. I visited this neighborhood, 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

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