The Critical Role of the Realtor

Listed here are typical actions, research steps, procedures, processes and review stages in a successful residential real estate transaction that are normally provided by full service real estate brokerages in return for their sales commission. Depending upon the transaction, some may take minutes, hours or even days to complete, while some may not be needed.  More importantly, they reflect the level of skill, knowledge and attention to detail required in today’s real estate transactions.

Pre-Listing Activities

*Make appointment with seller for listing presentation

*Call seller to confirm appointment

*Review pre-appointment questions

*Research all comparable currently listed properties

*Research sales activity for the past 12 months from MLS and public databases

*Research “Avg. days on the market” for property of this type, price range and location

*Prepare Comparable Market Analysis (CMA) to establish fair market value

*Obtain copy of subdivision plat

*Research property’s ownership & deep type

*Research property’s public record information for lot size & dimensions

*Research property’s land use coding and deed restrictions

*Research property’s current use and coding

*Verify legal names of owner(s) in county’s public records

*Prepare listing presentation package with above materials

*Perform exterior “curb appeal assessment” of subject property

*Compile and assemble formal file on property

*Review listing appointment checklist to ensure all steps and actions have been completed

Listing Appointment Presentation

*Give seller an overview of current market conditions and projections

*Review agent’s and company’s credentials and accomplishments in the market

*Present CMA results to seller, including comparables, solds, current listings & expireds

*Offer pricing strategy based on professional judgment and interpretation of current market conditions

*Discuss goals with seller to market effectively

*Explain market power and benefits of Multiple Listing Service

* Explain market power of web marketing

*Explain the work the brokerage and agent do “behind the scenes” and agent’s availability on weekends

*Explain agent’s role in taking calls to screen for qualified buyers and protect seller from curiosity seekers

*Present and discuss master marketing plan

*Explain different agency relationships and determine seller’s preference

*Review and explain all clauses in Listing Contract and obtain seller’s signature

Once Property is Under Listing Agreement

*Review current title information

*Measure overall and heated square footage

*Measure interior room sizes

*Confirm lot size via owner’s copy of certified survey, if available

*Note any and all unrecorded property lines, agreements or easements

*Obtain house plans, if applicable and available

*Review house plans and make copy

*Order plat map for retention in property’s listing file

*Prepare showing instructions for buyers’ agents and agree on showing time window

*Obtain current mortgage loan(s) information: companies and loan account numbers

*Verify current loan information with lender(s)

*Check assumability of loan(s) and any special requirements

*Discuss possible buyer financing alternatives and options with seller

*Review current appraisal if available

*Identify Home Owner Association manager if applicable

*Verify Home Owner Association fees with manager-mandatory, optional and annual fee

*Research electricity availability and supplier’s name and phone number

*Calculate average utility usage from last 12 months of bills

*Research and verify sewer/septic tank system

*Water system: calculate average water fees for last 12 month

*Natural gas: research/verify availability and suppliers name and phone number

*Verify security system, current term of service and whether owned or leased

*Verify if seller has a transferable Termite Bond

*Ascertain need for lead-based paint disclosure

*Prepare list of property amenities

*Compile list of completed repairs and maintenance items

*Send vacancy checklist to seller if property is vacant

*Explain benefits of Home Owner Warranty to seller

*Have extra key made for lockbox

*Arrange for installation of yard sign

*Verify if property has rental units involved. If so compile all necessary rental

   paper work

*Assist seller with completion of Seller’s Disclosure form

*Load listing into MLS system and all websites

Entering Property in Multiple Listing Service Database

*Prepare MLS profile sheet

*Enter property data from profile sheet into MLS listing database

*Proofread entry for accuracy

*Provide seller with signed copies of Listing Agreement and MLS Profile Sheet within 48 hours

*Take additional photos for upload into MLS and use in flyers.

Marketing the Listing

*Create print and internet ads with seller’s input

*Coordinate showings with owners, tenants, and other Realtors. Return all calls-weekends included.

*Install electronic lockbox is authorized by owner.

*Prepare flyers

*Review comparable MLS listings regularly to ensure property remains competitive in price, terms, conditions and availability

*Provide feedback to sellers after a buyers visit

*Promptly enter price changes in MLS listing database

The Offer and Contract

*Receive and review all Offer to Purchase contracts submitted by buyers or buyer’s agent

*Evaluate offers and prepare  a “net sheet” on each for the owner for comparison purposes

*Counsel seller on offers. Explain merits and weakness of each component of each offer

*Contact buyers agents to review buyer’s qualifications and discuss offer

*Fax/deliver Seller’s Disclosure to buyer’s agent or buyer upon request and prior to offer if possible

*Confirm buyer is pre-qualified by calling loan officer

*Obtain pre-qualification letter on buyer from loan officer

*Negotiate all offers on seller behalf, setting time limit for loan approval and closing date

*Prepare and convey any counteroffers, acceptance or amendments to buyer’s agent

*Record and promptly deposit buyers earnest money check into escrow account

*Deliver copies of fully signed Offer to Purchase contract to seller

*FAX/deliver copies of Offer to Purchase contract to selling agent

*Fax copies of Offer to Purchase contract to lender

*Provide copies of signed Offer to Purchase contract for office file

*Change status in MLS to “Sale Pending”

*Assist buyer with obtaining financing, if applicable and follow-up as necessary

*Advise seller and/or buyer of any and all inspections or appraisals that need to be completed and give deadline for such.

Tracking the Loan Process

*Confirm Verification of Deposit &Buyer’s Employment have been returned

*Follow loan processing through to the underwriter

*Contact lender weekly to ensure processing is on track

*Relay final approval of buyer’s loan application to seller

Home Inspection

*Coordinate buyer’s professional home inspection with seller

*Review home inspector’s report

*Ensure seller’s compliance with Home Inspection Clause requirement

*Recommend or assist seller with identifying and negotiating with trustworthy

  contractors to perform any required repairs

*Negotiate payment and oversee completion of all required repairs on seller’s behalf

The Appraisal

*Schedule appraisal

*Follow up on appraisal

*Assist seller in questioning appraisal report if it seems too low.

Closing Preparation and Duties

*Contract is signed by all parties

*Coordinate closing process with buyer’s agent and lender

*Update closing forms and files

*Ensure all parties have all forms and information needed to close the sale

*Select location where location will be held

*Confirm closing date and time and notify all parties

*Work with buyer’s agent in scheduling and conducting buyer’s final walk through prior to closing

*Request final closing figures from closing agent (attorney or title company)

*Receive & carefully review closing figures to ensure accuracy of preparation

*Forward verified closing figures to buyer’s agent

*Request closing documents, carefully review all documents examining for errors

*Provide earnest money deposit check from escrow account to closing agent

*Have a “no surprises” closing so that seller receives a net proceeds check at closing

*Change MLS status to sold