Harvey and Shelley’s five-part “Listing Your Home” series continued with their latest installment focusing on Listing Paperwork. In this segment, Harvey and Shelley discussed the importance of paperwork and just what you as a potential seller need to watch for as you prepare to sell your home.
One important aspect of the paperwork that they covered was the commission. What home sellers are advised to look for is the percentage commission, and Shelley tells listeners to look for two numbers that go into that percentage. The first number is a gross commission. A gross commission is what is paid to the agency. The second number is a co-op commission.
The entirety of the commission does not go to the agent. In fact, some agencies may not even offer a commission to the agent. When that happens, agents have a hard time finding the desire to show off a listed property. As Harvey says, “…It costs me money to work with a client, so making nothing is not my ideal.”
Shelley and Harvey advised sellers to pay attention to what is offered to the broker. They should be getting offered the industry standard, though there is no fixed standard. If a broker is charging less, that usually means they are doing less, as Shelley says. Harvey advises, “…It’s worth it to spend just a little bit more to make sure every potential buyer comes through.”
Another crucial part of listing paperwork is the seller’s real property disclosure, or SRPD as it’s referred to in the industry. This means the seller of the home must disclose everything that has been done to the home or has happened to the home. If not, the buyer could find out something about the home after the sale is final, opening up oneself to the potential of a lawsuit. One question that is asked is, “Have you ever had water damage?”
Special guest Joey Toth of Pitbull Pest Control posed an interesting question as well. “If a seller, knowingly, had a serious rodent probem, is that something you’d [put on the disclosure form?” Harvey answered with a yes, as one of the questions asked on the form is “Do you have any infestations?” When all else fails, lay anything you are aware of out on the line. If you don’t, it could lead to problems in the future.
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