Real Estate Talk:
Why use a broker?
Selling a property without a professional is like performing surgery on yourself
By Joseph Marovitch
I met old acquaintances the other day who told me they are going to sell their property on their own. I was told they would save on the commission and what was the big deal? The big deal is that whether you are a licensed broker or Joe Shmoe, the real estate brokerage act and all the requirements, codes and laws still apply.
Selling a property entails many factors. The easy part is marketing the property which includes: ads, Centris listing, website placement, newsletters, emails, flyers, etc. This all works if the house is properly priced and presented as a qualified and experienced broker would do.
Then there is negotiation to get the best price possible. This is a skill that is practiced and mastered. I am asked many times by buyers who visit my properties, “What is the best price my client will sell for?” My answer is always the same, “As much as we can get”, and the negotiation begins.
… whether you are a licensed broker or Joe Shmoe, the real estate brokerage act and all the requirements, codes and laws still apply.
The hard part is navigating from an accepted offer to signing. Many issues must be addressed to insure a sale, such as:
– The Centris listing must be precise in measurement, accuracy and terms. If the measurement of a room is incorrect and only detected to be wrong after signing, the buyer can reverse and cancel the sale or litigate.
– If the Centris listing states the property is sold without legal warranty but is not stated in the promise to purchase, counter promise to purchase or amendments, then the property is sold with warranty.
– Deadlines must be maintained or negotiations can cease.
– Conditions such as inspection and financing must be fulfilled, and once they are, the property is legally sold.
– Certificates of location cannot be more than seven years old, however, if the property has not changed in any way, it is the responsibility of the buyer to acquire the new certificate not the seller. If there have been changes, then the seller must acquire the new certificate.
– Then there are illegal views, acquired rights, proximity of one property to the next. These are all issues that the broker solves.
Brokers are trained in all aspects of real estate law, contracts, marketing and negotiation. Selling a property without a professional is like performing surgery on yourself. Unless you are trained and have experience, you can run into a multitude of complications.
‘Brokers are trained in all aspects of real estate law, contracts, marketing and negotiation.’
When interviewing a broker to represent you in the sale of your property, you should insure the broker will do the following:
1. Proper evaluation and pricing with proof, based on current active comparable property for sale, comparable property that sold in the last twelve months and the condition of your property.
2. Marketing to sell quickly by targeting buyers for your location and the type of property you are selling.
3. Qualify buyers by requesting the buyer’s pre-approval or proof of cash.
4. Properly preparing all forms including the brokerage form, amendments, counter proposals, etc.
5. Negotiate on your behalf in a fair but stern manner. When the broker is asked by the buyer “What will the property sell for?” the answer should be “As much as possible” or “The price is…” They should not use the word “asking”.
6. Finally, a good broker is relentless between accepted offer and signing. They do not stop or slow down until the financing is in place, inspection is complete, the notary has performed all their work and signing has taken place. They get the job done and insure all deadlines are adhered to.
State of the market
The real estate market had been phenomenal over the past season. For the first time in years there has been multiple offers on several Montreal properties and the selling prices have been close to asking in many cases.
Sales in the Greater Montreal area have increased by 8% or 44,448 units according the Quebec Federation of Real Estate boards. As well, sales for the entire island of Montreal have increased by 15% over last year.
Sales for luxury homes exceeding $1,000,000 increased by 20% over last year. The market is hot and will continue to be until the construction holiday in mid August.
Should you have any real estate questions, feel free to contact me anytime.
Read also: Real Estate Talk: Qualifying a buyer
Joseph Marovitch has worked in the service industry for over 30 years. His first career was working with families from Westmount and surrounding areas, hosting children between the ages of 6 to 16 as the owner and director of Camp Maromac, a sports and arts sleep away summer camp established in 1968. Using the same strengths caring for the families, such as reliability, integrity, honesty and a deep sense of protecting the interests of those he is responsible to, Joseph applies this to his present real estate broker career.
Should you have questions please feel free to contact Joseph Marovitch at 514 825-8771, or email@example.com