Before You Turn Off The Lights: A Helpful Home Seller’s Checklist
You still remember the first day you walked in the door and knew that you were home. Through the years that home meant everything to you, from a place to entertain to a quiet place to relax and unwind. Yet all good things must come to an end, and you’ve found the perfect time to make a move.
Before you turn that key for the final time though, there are a number of steps that you must take in order to ensure that your sale runs smoothly. Having the right team is crucial, from the right real estate agent to the right lawyer, but there are also things that you as the homeowner can take to ensure that everything goes according to plan.
Know your numbers. The right agent will assist you with this, but make sure that even before you enter the sales process you have a decent estimation of what your home is actually worth. If the numbers in your mind are wildly out of proportion, you may be inclined to accept an early offer that wildly undervalues your home, or refuse stellar offers because the number in your mind is unrealistic.
Set aside some cash. While you may make money on the sale of your home as it appreciates, there are numerous costs that you will want to be aware of so that you have reserves of cash available, especially if you’ve already spent significant money on your next purchase. Breaking your mortgage, for example, may come with a steep financial penalty depending on your lender. You should also be prepared to lay out extra cash for any repairs needed to your home, a final home inspection, and of course legal fees.
Make it pretty. As you adjust to your home you’ve likely learned to ignore the little things, like the scuffed walls, paint chips, or popped nails that really don’t bother you. A purchaser will definitely notice though, and those small cosmetic fixes will help your home sell quicker.
Stage it well. Home staging can be the defining point in a sale. A buyer does not want to do the mental ‘heavy lifting’ of having to picture moving your possessions out and theirs in. Good home stagers will transform your home into something unrecognizable. They’ll replace your art and furniture with neutral, welcoming colours and knick-knacks that allow any buyer to visualize the space to their particular liking. Remember you will need to keep the home in staging condition during showings, even if you are sleeping there at night.
Store your valuables. While this may seem obvious, remember that an open house will mean a series of strangers, sometimes dozens or even hundreds, going through your home largely unsupervised. Your home will be tidy for the showings, but do not leave cash, jewelry, or other valuables anywhere easily accessible to spectators.
Help your agent. Your real estate agent will tell you all of the information that they need, but you can assist them by doing your homework in advance. Prepare as many of the helpful documents as you can gather, including utility costs, land surveys, joint use or encroachment agreements, a list of upgrades, and anything else that may be relevant to helping them sell your property.
Find the right lawyer. While the buyer’s deposit will go through your agent, the majority of the funds in your transaction go through your lawyer. It is your lawyer’s job to walk you through your agreement of purchase and sale, review and negotiate any conditions of the deal, and advocate for you should any disputes arise through the sale process. Find a lawyer who you are comfortable working with - they can be your strongest asset.
Clean it up. Under your Agreement of Purchase and Sale, the purchasers’ lawyer will likely negotiate that the home is in “broom-swept condition.” While a good sweep is important, you have likely uncovered a significant amount of dirt and dust in corners and under furniture that had gone unexplored for far too long. If it is within your budget, consider bringing in a professional cleaning service to get the home into the conditions that you would have wanted as a new occupant.
Move it over. You will need to coordinate with the utility companies directly to determine how all of their household services will be transferred to the new owner. Arrangements are routinely put in place to facilitate the smooth transfer of water and hydro, whereas other luxuries such as cable can be up for discussion.
Make it known. Just like when you moved the last time, you will need to go through the motions again of changing your address. While you can make forwarding arrangements with Canada Post, you will also need to change your driver’s license, inform your credit card companies and financial institutions, and any other important parties that rely on your address.
Be ready for anything. As hard as you, your agent, and your legal team work to facilitate a smooth closing, sometimes the stars simply do not align. If the purchaser has any last-minute unexpected issues with their funding, your home may not close on the exact planned date, which can put your next purchase in jeopardy if you planned on your own closing on that same date. Speak with your team about how to prepare in case something unexpected happens, and the steps that you can take to protect yourself wherever possible.
At Sari Rose Law, we work every day with buyers and sellers to help them make exciting moves. We would be pleased to assist you in facilitating the sale of your property, and to serve as your advocates throughout the process. Contact us today to figure out your next steps.