Average house prices in the US have risen 6.6% in the last 12 months. Now, the average home costs just over $379,000.

Whether we’re in a buyer’s or seller’s market is up for debate. But as the cost of living increases alongside the market, it’s becoming more challenging to buy.

Even if you do save up for a deposit, there’s a necessary expense you mustn’t forget: closing costs.

Closing costs are split between the seller and buyer. Each owes fees to different parties. Some buyers use sellers assist, or seller concessions, to cover their closing costs.

This clever way of restructuring your sale or purchase can benefit both the buyer and the seller. Read on to learn more about sellers assist and whether you should consider it for your property.

What Is Sellers Assist?

Closing costs are an oft-forgotten expense. But if a buyer doesn’t budget for them, it can be detrimental!

Closing costs for a buyer average out at between 3-6% of the cost of the home they’re buying. For sellers, the cost is usually lower.

Closing costs on a real estate transaction include insurance, taxes, and sale fees. Some common examples are:

• Property appraisal fee
• Survey fee
• Attorney fee
• Underwriting fee

For buyers in the US, the average closing cost total per property sale in 2021 was just under $7,000.  

As closing costs are such a large expense, sometimes the seller may help the buyer cover their end. This agreement is called sellers assist.

However, sellers assist does not mean that the seller loses $7,000! Here’s how the agreement works for the buyer and the seller.

How Does Sellers Assist Work?

How can a seller fork out an average of $7,000 without losing money? Because the agreed-upon amount is then factored into the house sale price!

For example, if a buyer wants to purchase a $400,000 home, their closing costs may come out at $12,000. As that is a large sum of upfront payments, they may ask the seller to pay. The seller will have the capital on hand from having sold their home.

However, the buyer will then pay the seller the closing costs as part of the house sale. In other words, they’ll buy the house for $412,000.

Though the buyer will still have to pay the costs eventually, they’re now on finance. The upfront costs transition to becoming part of the mortgage.

There are regulations for the total value of closing costs that your seller can cover. For a typical house purchase, it ranges between 3% and 9% of the total house cost, depending on the details. Sellers assist for investment properties is capped at 2% of the total house sale.

Other regulations determine that the new house price must still sit reasonably within the appraisal of its value. But within those two limits, buyers and sellers are free to make whatever deal suits them best.

Is Seller Assist a Good Idea?

For a buyer, sellers assist cancels out closing costs for the time being. Does that mean they’re always a good idea?

Generally speaking, all buyers have a limited amount of capital on hand for a down payment. When an average of $7,000 is sucked out of that sum, it means fewer properties are available to them.

However, if you can buy a home with sellers assist, you can use all of the capital for the house deposit. That means you can invest in more valuable properties.

Over time though, the costs will be greater. The closing cost value is now added to the sale price. Buyers will pay interest on the value of those costs in their mortgage payments.

Whether they’re a good idea for you as a buyer is a personal decision that depends on your financial planning.

Why Sellers Might Help You

As we mentioned, sellers can also benefit from sellers assist.

Whether sellers assist is offered on a sale is completely at the discretion of the seller. Many prefer the simplicity of not offering sellers assist on their property. But it can be beneficial, especially for those trying to sell quickly.

When sellers assist is available, the pool of potential buyers expands substantially. Now, those who couldn’t afford to make an offer may consider it.

In a buyer’s market, it can also help your property stand out. If buyers are debating between several properties, but yours has concessions, it could swing their choice in your favor.

Most importantly, seller concessions essentially cost sellers nothing. They do have to pay for the costs upfront. But then they receive that capital back from the higher sale price.

It is a very low-risk, low-cost strategy for marketing and moving your home in any market.

Advantages of Sellers Assist 

Sellers assist can benefit both parties. The major pros are efficiency, security, and choice for the buyer and seller.

Faster and More Secure Sales

Even if a buyer is aware of closing costs, they can only find out the final sum a few days before the sale. What if they’re higher than expected and the buyer can’t pay? That could slow down the sale, or even make it fall through.

When a seller covers these costs, it reduces these risks.

Higher Sale Price

As we explained, the buyer pool expands when sellers offer concessions. This increases competition between the buyers, and can lead to higher offers! Even if you sell to a buyer who didn’t need sellers assist, they may have offered so high because of the competition.

More Purchasing Opportunities

Of course, there are benefits for the buyer too. If a seller offers concessions, they have more capital to play with. That means that can invest in more expensive properties.

But buyers can also use this capital to stand out! As closing costs are reduced or eliminated for the buyer, they can make a higher offer. Especially in a seller’s market, this makes it more likely that the seller will choose their offer.

Drawbacks of Sellers Assist 

Overall, there are few drawbacks to sellers assist, especially for the seller. But buyers should consider these two points.

More Expensive Over Time

Sellers assist usually directly increases your mortgage total. This adds to your mortgage payments. If you don’t pay your closing costs upfront, you’ll be paying more to finance them.

Potential for Rejected Offers

Not all sellers want to offer seller concessions. As a buyer, if you make an offer with sellers assist attached, your offer may be declined.

This may feel counterintuitive, as the agreement has little to no impact on the seller. Surely they’d rather take a higher offer and pay concessions for a faster sale! But it’s not always the case, and could jeopardize your offer’s success.

However, if your only way to buy is with concessions, there is another option.

If You Can’t Buy With Seller Concessions

It may be possible to create a similar concession arrangement with your bank. Just like the seller, they’ll pay your closing costs, then add them to the sale price.

This is the worse of the two options, though. You will pay more over time, but some banks will also increase your interest rate to offer this service! By contrast, sellers assist shouldn’t come with any change in your mortgage interest rate.

Your property may then cost you far more than it’s worth by the time your mortgage payments are over. In this case, it may be better to find another property that offers sellers assist. Or you could lower your overall budget and buy without concessions.

Tax Implications of Sellers Assist

Sellers assist increases the total sale price of a home. Does this affect how you pay tax on your sale or purchase?

Usually, the tax implications are minimal. Of course, you should check with a lawyer that this is true in your case. But since the sale has only increased by a few percentage points, it shouldn’t have a large impact.

While there will likely be no tax increase, sellers assist may open up the way to tax deductions – specifically, mortgage interest tax deduction. If your agreement includes mortgage discount points, you may be able to get a tax deduction.

As always, check with your lawyer whether this applies to your case before deciding.

The Simpler Sale Solution

Sellers assist is a modern solution that can help both parties. It speeds up house sales and attracts more buyers. But it can still involve complex negotiations to decide what will and won’t be covered.

There’s a better way to shift your property quickly and painlessly: accepting a cash offer.

Selling your home for cash eliminates closing cost negotiations between the two parties. And it will never involve a chain.

How much could you earn from an instant cash offer to sell your house? Enter your address in our online calculator to find out now!

The post What is Sellers Assist, and Is It a Good Idea? appeared first on iBuyer Blog.

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The average sale price of a home in the US is $507,800.

Depending on your situation, selling your home could be ideal for you right now. It’s worth bearing in mind, however, that selling a home isn’t always easy. Several things will affect the value of your home, as well as how easy it is to sell.

Because of this, a lot of work may be involved. There’s a good chance it will take longer than you might expect to sell your home, and this will almost certainly include multiple showings.

For a rundown of how many showings before an offer, and how to increase the value of your home, keep reading.

How Many Showings Before an Offer?

How many showings to sell a house? It’s hard to say.

There’s a range of factors that will affect how interested people are in making an offer or buying your home. In most cases, however, it generally takes somewhere between 10 and 25 showings to sell a house.

With that in mind, it can sometimes take just a few showings, and others can take many more. This will go hand in hand with how long your home is on the market. Some get bought in less than a week, and others can take several months to sell.

Do You Have to Show Your House?

When you decide to sell your home, there’s a good chance you’ll still be living in it. This can make showings very inconvenient. You’ll need to keep the house in a good state at all times and be prepared to have potential buyers view the house at times that suit them.

Fortunately, more sight-unseen offers are happening these days due to advanced technology. People can use things like video listings, digital walkthroughs, and virtual tours to get a detailed look at a property from a remote location. This is beneficial for both the buyer and the seller.

It’s still the case, however, that people prefer to see properties in person before making an offer as they’ll get to see things in more detail and get a better feel for the property. It also makes it easier for them to notice any issues. As such, most property sales tend to rely on in-person viewings.

How to Avoid Showings

It may be the case that you want to avoid showings completely. Fortunately, there are solutions for this. Companies like iBuyer.com allow people to sell their homes online quickly and easily without the need for any viewings.

You can enter your address on our site, and using algorithms along with publicly available information, we’ll be able to provide you with a cash offer for your home. Selling your home “as is” means that, on top of showings, you can also avoid things like staging and repairs.

When you request an estimate from us, it takes less than 48 hours for us to provide an offer. You’ll then be able to close (sometimes in just 10 days). After that, we can determine a move-out date that suits your needs.

Why Might a Home Get No Offers?

The more offers on your home, the easier it will be to sell. In some cases, however, you might struggle to get any offers. This can happen for a range of reasons.

Pricing

One of the most common reasons a seller doesn’t get any offers on their home is that it’s priced too high. It can be difficult to settle on a price, and you want to get as much as you can for it. At the same time, you need to be realistic and don’t set your expectations too high.

You might also struggle to get viewings if the price is too low. This is because people see a low price as a red flag and might assume there are problems with the property. If someone looks at a listing and the deal seems too good to be true, they’ll quickly move on to other options.

Unusual Features

Making home improvements can increase the value of a property, but people often add unusual and unique features to their homes. If you do this, it’s important to remember that not everyone has the same tastes as you. Something like a large mural can add character to a home, but that sort of thing isn’t for everyone.

While it may seem boring, a more generic home is generally easier to sell. If any potential buyers want to add their own unique features they’re free to do so, but people are unlikely to want to buy a property if there is something significant that puts them off.

Factors Beyond Your Control

Unfortunately, there can be various factors beyond your control that can make it harder to sell your home. An example of this would be if the neighborhood (or even the city) has become less desirable since you purchased the property.

Other Factors That Can Influence Your Showings

There are many more factors that will affect how many offers you’re getting. With some of these, you can take action to make your home easier to sell. It can be a good idea to look into these before you put your house up for sale as you’ll be able to decide on a more suitable listing price.

Market Conditions

In a buyer’s market, there are more homes available than buyers. This means that people have plenty of choices, and as a seller, you’ll have competition. In these conditions, it will generally be harder to sell your home.

In a seller’s market, the opposite is true. There will be more buyers, and fewer homes, which will likely increase the number of viewings you’re getting. It also increases the chance of people making offers shortly after viewing your home – maybe even after the first viewing.

In the US, seller’s markets are generally more common than buyer’s markets. As a seller, this will make things easier for you.

Time of Year

The time of year can affect both how many viewing you get, as well as how many you’ll need before you get an offer.

In the warmer months of the year, people are happier to go around viewing different properties. As such, you’re likely to get more casual viewings. This means that more people will see your property, but they might not be as likely to make an offer.

Conversely, in the winter, people aren’t as likely to view a property unless they’re very interested. This means fewer viewings, but each viewing is more likely to be followed by an offer.

This will vary depending on your location. If the weather in your area doesn’t vary as much, there won’t be as much of a difference in terms of viewings and offers.

Home Condition

You want to make sure your home is in a good state so that potential buyers are impressed when looking around. Make sure you’ve done a deep clean and taken care of small repairs around the home before showing it to people.

If there’s mess, dirt, or damage, buyers will just see it as extra work they’ll need to do when they move in. An unclean home also indicates that it hasn’t been looked after properly. From this, people are likely to assume there are other issues that they’re not aware of, making them more reluctant to make an offer.

Curb Appeal

First impressions are crucial. You want people to like your property as soon as they see it, so it needs to look good from the outside. You’ll also need good pictures of the front of your home for any listings – this is what will generate viewings, so it’s crucial.

Location

People can make changes to properties, but not the surrounding area. A dilapidated property in an ideal location will still sell (if it’s priced right).

People often prefer properties that have useful facilities close by such as schools, shops, parks, and public transport links. A great view can also make it easier to get offers.

People’s preferences vary, so there’s no single location that’s perfect. Think about the area your home is in, and be sure to highlight the best features of that location.

Marketing Strategy

In today’s world, the best place to market a home you’re selling is online. Ensure you have good photos and highlight all the best features of the property that people would be interested in. Make sure your description is accurate (even in terms of less desirable aspects) as you don’t want people to be surprised by any negative features when they come for a viewing.

Can You Avoid These Showings?

Selling your house can be hard work, and you may want to make things easier for yourself. Dealing with viewings is often time-consuming, and may be very inconvenient. As such, you might want to avoid them altogether.

Get an Offer From iBuyer.com

If you want to avoid wondering how many showings you will have before an offer, you can sell your home through a company like iBuyer.com. We’ll give you a quick cash offer, making the whole process streamlined and hassle-free.

The post No Offers? How Many Showings You Will Have Before an Offer appeared first on iBuyer Blog.

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In Q3 2022, there were more than 92,000 foreclosure filings, including notices, scheduled auctions, and bank repossessions. The number is up 3% from Q2 2022 and 104% from Q3 2021. 

While homeowners believe that foreclosure is inevitable when they fail to make their mortgage payments, this is far from the truth. Homeowners have another option, and that is to make a short sale. What is a short sale vs. a foreclosure?

To learn more about the difference between short sale vs. foreclosure and the buying process for each, continue reading. 

What Is a Short Sale?

A short sale is when you sell your property for less than what you still owe on the mortgage.

For instance, if you still owe $250,000 on the mortgage, you could sell the home quickly for $200,000. However, you would still be responsible for paying the remainder of the mortgage, in this case, $50,000, and any cost associated with the sale. 

Most importantly, you cannot begin the short sale process without getting approval from your mortgage lender. The lender must sign off on the sale before it can proceed. 

Lenders often lose money on a short sale, so you will be required to provide documentation stating why a short sale is necessary. You will need to prove that your financial troubles were recent. Common examples include:

• Divorce
• Health problems
• Job loss

If you list any financial struggles you disclosed to the lender when you first applied for the mortgage, the lender will deny your short sale. Additionally, if you mention any pre-existing financial struggles you didn’t previously disclose to the lender, the lender will see you as dishonest and likely not approve the sale. 

Once the lender approves the short sale and the property sells, the lender will collect the proceeds. The lender may forgive the remaining mortgage balance, but since the homeowner is still responsible for paying it, the lender may try to collect the funds through a deficiency judgment. 

What Is a Foreclosure?

A foreclosure is when the mortgage holder takes legal action against you after you fail to make your monthly mortgage payments. The lender takes ownership of the property, then sells it to recover the mortgage amount. 

Pre-foreclosure can begin a few months after you fail to make several months of payments. The number of payments you need to miss varies from lender to lender and between mortgage terms.

Each state governs foreclosure proceedings, so lenders must abide by these rules. This includes how lenders notify homeowners and provide alternative solutions, like refinancing options, to bring the loan up to date and avoid foreclosure. 

What’s the Difference Between a Foreclosure and a Short Sale?

Both short sales and foreclosures help you get out of paying your mortgage. But, the most significant difference between a short sale and a foreclosure is choice. A homeowner can choose to make a short sale. The process is voluntary. 

Conversely, foreclosures are involuntary. The lender takes legal action to control and sell the property regardless of what the homeowner says or does. 

Another difference is that homeowners engage in the short sale process, while only the lenders participate in the foreclosure process. When the homeowner decides to make a short sale, they will sell the home through a realtor. However, foreclosed properties sell in a public auction at the courthouse.

Short Sale vs. Foreclosure: Impact on Credit Report

While short sales and foreclosures both negatively impact your credit report, short sales don’t do as much damage.

The average credit score drop for a short sale is 50-150 points. The effect may only last for 12 to 18 months. Yet, for a foreclosure, the drop is 200-400 points.

Typically a foreclosure stays on your credit report for seven to ten years. For the first five years, you cannot buy a new home. After five years, you may be able to purchase a new home, but it will come with restrictions. After seven years, you can buy a new home without restrictions.

You will also be required to report foreclosure on all future loan applications.

However, a short sale may never show up on your credit report. The creditor has the option to report the debt reduction to credit agencies. Many don’t report it. You can purchase a new home immediately after a short sale with some conditions. You may need to report the short sale on future loan applications, but it’s not always necessary. 

Short Sale Buying Process

Buyers looking to buy a short-sale property will have better investment opportunities than buying foreclosed properties.

But, interested buyers should look for a pre-approved short sale. This is when the lender approves the property’s sale price before it goes on the open market. It signals that the lender and homeowner are ready to sell the property. 

If you negotiate the sale with the lender, they can reject any offer. Lenders, especially banks, are well known for having slow response times because there is a lot to consider regarding a short sale transaction. 

The lender wants to recover as much of the principal mortgage loan as possible. Thus, they often won’t accept an offer below the current market value or lower than the amount still owed on the mortgage. However, if the lender does accept an offer, it will still take time to process. 

This is why scouting for a preapproved short sale is best. 

You can find short-sale properties on a multiple listing service (MLS). Set your search options to short-sale listings, and filter out short sales that are subject to lender approval or require a third-party review. A third-party review means the lender has yet to approve the short sale. 

You can also network with real estate investors, agents, and wholesalers to find short-sale listings.

Further, the local courthouse will have a record of properties in pre-foreclosure. The owners of these homes haven’t paid their mortgage for several months, and the lender has filed a notice of default. If the homeowner doesn’t negotiate a solution with the lender or pay the balance, the property can be considered a short sale.  

Pros of a Short Sale

Short-sale homes are often in better condition than foreclosures, which is why they provide better investment opportunities. Homeowners who decide to short-sell usually try to lessen the damage to their credit score by maintaining the property. 

Sometimes, short sales will sell for below market value, offering buyers an excellent opportunity to find a deal. This is especially so with preapproved short-sale properties. Plus, there is often less competition for short-sale properties because many don’t want to negotiate with the lender due to its inconvenience. 

Cons of a Short Sale

Since short-sale properties are sold as-is, buyers assume some risk. For example, the homeowner could change their mind and pay their past-due balance to keep the home. The money you spent during the home buying process for inspections would be lost. 

On the other hand, the house could require a lot of maintenance or be in poor condition because the homeowner didn’t have the funds to keep it up. 

Furthermore, short sales take longer to close because there are multiple lienholders. The process also requires more paperwork and due diligence than traditional home-buying.   

Foreclosure Buying Process

Like the short sale buying process, lenders want to recoup as much of the mortgage balance owed during a foreclosure sale. Banks don’t want to be landlords, so they try to sell the property as fast as possible for as much as possible. 

Unlike short sales, with a foreclosed property, you usually don’t get to tour the home or order an inspection before purchasing it. Since the property will be sold as-is, you need to pay close attention to the listing to understand the property’s condition better. 

Additionally, many foreclosures require a cash payment. Therefore, if you want to take out a mortgage for the purchase, you need to look for other home-buying options. 

To find foreclosure opportunities, you can consult the following:

• Bank offices
• Foreclosure websites
• Local newspapers
• MLS
• Real estate agents and online searches

Foreclosure Pros

More often than not, foreclosed properties sell for below current market value, and the sale happens quickly. This is because lenders are eager to get rid of the property, and closing a cash offer is faster than a short sale or standard home purchase. 

Foreclosures also come with a clean title. After a foreclosure, the bank will remove all liens and encumbrances from the previous owner. 

Foreclosure Cons

The federal government states that 42% of households have mortgages, and the average mortgage debt is just over $200,000. Thus, providing a cash offer is challenging for many who want to purchase a foreclosed home.

Further, those with cash on hand often end up with a property needing significant improvements. Homeowners with financial woes tend to neglect maintenance or abandon the property altogether. Even if you get a property at a significantly lower price, you may need to spend a lot of money on renovations. 

Need to Sell Your House?

For those behind on their mortgage payments, carefully weighing the pros and cons of a short sale vs. foreclosure can help you decide the best way to recover the most funds for your property while saving your credit score. Many buyers are interested in purchasing your home, especially for a below-market price. 

If you’re interested in selling your house, let iBuyer.com help. Get your home valuation now and quickly sell your home for cash. 

The post Short Sale vs. Foreclosure: What You Need to Know appeared first on iBuyer Blog.

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Over six million homes are sold across America every single year. A successful home sale runs smoothly and can help you make a nice profit on your property!

However, the condition of your home and property market aren’t the only things that can affect your home sale. The real estate agent that you hire to sell your home can also have a huge impact on the success of your sale. So, with more than 1.5 million realtors working in America at the moment, how do you choose a good one? 

Well, knowing how to spot bad real estate agents can help you a lot. This will make it easy to spot red flags and avoid dodgy realtors. So what are the signs of a bad real estate agent?

Read on to find out 10 warning signs of a bad real estate agent and what to do if you hire one.

1. Poor Communication 

Selling your home can take months, so you will have to deal with your realtor a lot. They need to provide clear, concise, professional communication.

You need a realtor who is going to keep you up-to-date on home viewings and their marketing plans. You also need to be able to get in touch with them when you have questions.

If you struggle to make an appointment with them or don’t hear back for ages this is a sign of poor communication. In that case, you should look elsewhere. 

Of course, you also don’t want to hire a realtor who is going to bombard you with calls and information. If you find that their level of communication is overwhelming then it’s also best to avoid them.

2. Bad Real Estate Agents Lack Confidence 

Your realtor is responsible for selling your home and getting a great price for it. So if they can’t even sell themselves then this is a bad sign. 

You don’t want a realtor who is too cocky or arrogant. However, you do want to find someone who feels secure in the knowledge they have and knows how to close a sale. 

When you meet them, look out for a realtor with presence who really engages with you. You can also test their knowledge by asking lots of questions. This will show whether or not they can keep their cool.

3. Lacks a Professional Network 

Any realtor with an established professional career will have a great network. They can use this to: 

• Negotiate your home selling price 
• Organize open house viewings 
• Offer referrals for home inspections 

A realtor who doesn’t have a strong network is either inexperienced or can’t maintain professional relationships. Neither of these is a good thing! 

4. Bad Listening Skills 

Great listening skills are a must-have for any realtor. After all, they can’t represent your needs if they don’t understand what these are!

Listening skills can also help your realtor bond with potential buyers and market your home to suit their interests. 

Because of this, you want to avoid a realtor who doesn’t listen or struggles to take information in. If you constantly find yourself answering the same questions or explaining the same things, it is time to look elsewhere.

5. Lacks Proper Experience 

When it comes to marketing a home successfully, experience is key. This means that your realtor will understand your home’s value. They can use this understanding to help you set a realistic asking price.

They’ll also understand how to market your home’s assets and will be confident when talking to potential buyers. This can all help you maximize your profits. 

An experienced realtor also has a detailed knowledge of real estate market trends. They can use this to market your property and find the perfect time to sell it.

During your real estate agent interview, make sure you ask the realtor about their professional experience. This can tell you a lot about what they are bringing to the table. 

6. Behaves Unprofessionally 

Your realtor acts as your representative when selling a home, especially if you can’t be at viewings. So you have to trust them. 

Because of this, you want a realtor who is going to behave professionally and keep your best interests at heart. This is why unprofessional behavior is such an important red flag to look out for.

Examples of unprofessional behavior from your real estate agent can include: 

• Them providing inaccurate or poorly-researched information 
• Disclosing personal details about potential buyers 
• Poaching clients from other realtors
• Bad-mouthing colleagues or competitors 
• Contacting you at anti-social hours
• Being over-familiar or making you uncomfortable in person or when they communicate with you 
• Being rude to you or potential buyers
• Showing up late to meetings and house viewings 

This behavior shows that your realtor isn’t committed to giving their job 100%. In fact, their energy may be elsewhere. 

This doesn’t just make them difficult to work with. It can also mean that they aren’t trying their hardest to get you a good deal on your home sale.

7. Is Too Pushy and Puts Pressure On You 

A realtor can provide valuable support and expertise, but they are not there to make decisions for you. In fact, it is worth remembering that they have an interest in making a sale on your home and their commission. 

A good realtor should provide insights and advice. However, they should never seem pushy or try to force you to make a decision. If you do notice them doing this then it is time to look elsewhere.

8. Doesn’t Know How to Negotiate 

Receiving a home offer can be an exciting time. However, you may find that potential buyers make an offer that is below your asking price. 

This is when your realtor can make a huge difference. They will come back to you with the offer and let you decide whether or not you want to accept it. 

A good realtor will recognize a good deal when they see one and can advise you on this. However, they cannot accept an offer on your behalf, even if they advise you to. 

Instead, you can ask them to negotiate on your behalf. How they handle negotiations can have a huge impact on the success of your sale. 

For example, if they aren’t confident or don’t communicate quickly, you could lose a potential buyer. So you want someone who knows what they’re doing and is on top of things.

Of course, you don’t want to wait until crunch time to find out if your realtor can negotiate. Ask about their negotiation strategy when you first meet with them. This will give you a good idea of how they will handle negotiations further down the line.

9. Has No Marketing Skills 

The key to getting a great offer on your home is good marketing. This helps the right buyers find your property. 

Because of this, you should check out a realtor’s marketing skills before you hire them. Take a look at the properties on their website and search for them online. The more visible they are, the better their marketing strategy.

Of course, you also want to see a marketing strategy in place. A consistent brand and content show great marketing skills. In comparison, marketing that is all over the place will make it harder for buyers to find your realtor and their services.

Digital Marketing Skills 

Digital marketing, in particular, is a must-have. After all, we spend hours every day on our phones and computers. So why not make the most of this captive audience? 

You can check out a realtor’s digital marketing skills easily by looking at their website or social media pages. The more they use these, the better their engagement will be.

Because of this, you should be wary of any realtor without an online presence or with an empty social media feed.

10. Shows Questionable Ethics 

Bad ethics go beyond the limit of unprofessional behavior and can make it very difficult for you to sell your home. In fact, you could even report a realtor for unethical behavior, such as: 

• Discriminating against you or potential buyers
• Charging referral and unearned fees 
• Practicing without a valid real estate license 
• Giving you unqualified legal advice while you are selling your home 
• Misrepresenting you, either by accident or intentionally
• Representing both you and your buyer (this is also known as “dual agency”) 

Some of this behavior isn’t just unethical; it is also illegal. Fortunately, you can report your realtor or make a complaint against them. To do this, reach out to the local Association of Realtors or the Department of Justice in your state.

What Can You Do If You Notice the Signs of a Bad Real Estate Agent?  

Ideally, you should look out for the signs of a bad realtor before you hire them. However, this doesn’t always happen. 

If you are concerned about your realtor’s behavior, it is important to address this as soon as possible. The last thing you want is to spend months dealing with a bad realtor. 

Start by raising your complaints with them and see how they respond. They may hold their hands up and clean up their act. This isn’t ideal, but it can save you a lot of admin.

If not, then you should get rid of your realtor as soon as possible.

Have You Signed the Listing Agreement? 

When a hire a real estate agent, you sign a written listing agreement. This gives them permission to market your property and represent you during your home sale.

This agreement includes your terms for hiring a realtor, such as: 

• The listing price you have agreed to 
• Their duties in representing you 
• Any duties you have to fulfill (such as making the property available for viewings) 
• The agent’s commission rate
• Terms for mediation 
• An automatic termination date if your property does not sell 

It can also include a clause for broker’s compensation. You owe this to the realtor if you fail to fulfill your duties. If you choose to dismiss them, then you may also owe them compensation. 

There are different types of listing agreements that you can sign. For example, you may have signed an exclusive agency listing agreement or open listing agreement. These let you market and sell your property without help from the realtor.

In comparison, an exclusive right-to-sell listing agreement makes this more difficult. Even if you do sell your property without their help, you will still have to pay their commission. 

If you have signed the listing agreement already, then you will need to discuss this with your realtor. Depending on the type of agreement you have, you may be able to sell your property without them releasing you from your listing. 

Will Your Realtor Release You From Your Listing Agreement? 

You can terminate your listing agreement according to the terms in the agreement itself. This might include cancelation fees. 

Some realtors may try to convince you to stay or make it difficult for you to leave. After all, they want to get their commission on your home sale. 

It is best to approach this calmly and with plenty of evidence. Explain why you want to terminate the agreement and list examples of their behavior. Put this in an email so you have a record of the exchange. 

While you may still have to pay the cancelation fees, most reasonable realtors will accept this, especially if you have evidence. This means you can be rid of them and start looking for other ways to sell your home.

Try Selling With an iBuyer 

If you are selling a home, hiring a realtor isn’t your only option. Using an iBuyer (or instant buyer) is a great way to save money and cut out the hassle of trying to find a realtor. 

To sell your home to an iBuyer you simply: 

• Upload your property details and photos onto a secure online portal 
• Wait to receive all-cash offers on your home 
• Arrange a home inspection for your potential buyer 
• Accept their offer and complete the sale 

This process is incredibly quick, and iBuyers offer great value for properties. So you don’t have to sell your home below market value. 

On top of this, you won’t have to pay an agent commission for the sale. This means that you can maximize your profits!

Keep the 10 Warning Signs of a Bad Real Estate Agent in Mind

As you can see, when it comes to spotting bad real estate agents, there are plenty of things to look out for.

Keeping these 10 warning signs of a bad real estate agent in mind will help you avoid choosing a bad realtor. So you won’t waste valuable time when selling your home! 

Of course, you don’t have to worry about this when selling with an iBuyer. In that case, head over to iBuyer now to get a cash offer on your home today!

The post How To Spot a Bad Real Estate Agent: 10 Warning Signs appeared first on iBuyer Blog.

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Your plumbing system, faulty appliances, and catastrophic weather events have something in common. They can all cause water damage to your home.

Most homeowners are shocked to discover how much water damage house repair costs can impact their wallets.

Read this article for answers to the most pressing questions about water damage repair. We’ll cover how to detect water damage, how to prevent it, and how much you’ll likely pay for water damage restoration.

This is particularly timely if you’re considering selling your home.

How To Spot Water Damage

In the case of a home flooding, it’s not difficult to visualize and smell water damage. Soaking wet carpets, water-stained furniture, and ruined personal belongings are all clues.

Unfortunately, water damage is often hidden behind walls, ceilings, or under flooring.

If you don’t notice the damage, it can eventually result in structural damage to your home. What could have been a relatively easy and economical repair may end up costing thousands of dollars.

Here are the hidden signs of water damage in a home:

• Peeling wallpaper
• Flaking paint
• Water-stained ceilings
• Discolored drywall
• Buckled floors
• Warped walls and ceilings
• Musty odors
• Mold

Another clue to watch for is an unexplained increase in your water bill. If you pay close attention to billing trends and notice a sudden spike in usage, you could have a hidden leak.

For home sellers, water damage is always on the formal home inspection checklist.

Water Damage Restoration

When dealing with water damage, the path to repair can be complex. There are several steps to take if you hope for a complete restoration.

In most cases, you’ll need to call a professional remediation company. Professionals bring the best equipment for the job and can also handle any permits required during the repair process.

The first step to repairing the damage is an inspection of your home and its structure. If you have structural damage, it may not be safe to even remain in the house.

After the initial assessment, you can begin removing any standing water. Professionals use industrial-type wet vacs and submersible pumps, which can remove thousands of gallons of water. 

Once you handle standing water, you can begin the drying process. Professionals use industrial dehumidifying equipment and fans, which help speed up the water evaporation process.

After removing water from walls, floor pads, and building materials, you may need to clean and sanitize your home. Store-bought air fresheners won’t suffice, so you’ll likely need professional air scrubbers.

After you’ve removed the water, it’s time to make any necessary repairs. Repairs may include the following:

• Roof repair
• Floor repair
• Drywall replacement
• Carpet installation
• Repainting

In addition to working through the restoration process, you’ll also work with your insurance company to submit whatever documentation they need to process your water damage claim.

What Factors Determine Water Damage Repair Cost?

Several factors determine water intrusion repair costs, including the size of your home and the amount of water involved. The type of floodwater you’re dealing with is another significant factor in determining your repair costs.

Water damage professionals categorize floodwater based on the level of hazard the water presents. They use the following categories:

Category 1

What separates Category 1 water is its source. This is clean water that comes from a sanitary source. For example, water from a faucet is clean, and so is melting snow.

It’s determined to be clean because it’s not dangerous for humans or pets. Even so, it can cause significant property damage.

Category 2

Water deemed to be Category 2 isn’t considered clean. This water is used and contaminated. However, it does not contain sewage.

Category 2 water, often called gray water, comes from appliances such as washing machines and dishwashers. It may also come from a failed sump pump, sink drain, or overflowing toilet containing only urine.

Category 3

The worst category and considered highly unsanitary, Category 3 water contains bacteria, household chemicals, and sewage. This water can cause illness and even death if a person ingests it.

You may hear Category 3 water called black water. It comes from a toilet overflowing with feces, sewer backups, and flooded rivers and streams. Category 2 water can become Category 3 if bacteria develop.

Each factor requires a different level of restoration, which impacts the water damage repair cost.

Water Damage House Repair Costs

The average cost to repair water damage is $3,300. Depending on the damage and the other factors listed in the previous section, you could pay up to $13,000 or more.

Professionals calculate costs based on the level of property loss. Class 1 water loss is the least expensive, and Class 4 requires the most intervention, making it the most costly. 

Here is more information about water loss classification: 

Class 1

If you have a Class 1 water loss, the damage is usually limited to one part of a room. This type of loss might also impact a large area but with minimal water absorption.

Cost: $150 to $400

Class 2

A class 2 water loss damages all the carpet in one room. The upholstery and cushions will be soggy if you have furniture in the room. 

You’ll see a waterline on the walls that measures less than 24 inches high. Building materials like plywood, concrete and structural wood will be saturated with water.

Cost: $500 to $1,000

Class 3

It’s common to find Class 3 water loss in walls and ceilings, insulation, carpet, and sub-flooring. Usually, the water comes from overhead, such as from a leaky plumbing pipe located above the ceiling.

The water saturates everything in the area.

Cost: $1,000 to $3,000

Class 4

If you suffer a Class 4 property loss, your home has extensive water damage. Damaged materials have deep pockets of saturation, resulting in longer drying times than materials from Classes 1 through 3.

Remediation also requires unique methods and equipment.

Cost: $20,000 to $100,000

Labor Costs To Repair Water Damage

When you work with a water restoration professional, you’ll get an estimate for the project after they perform their inspection. In most cases, labor will make up a significant portion of the cost.

When considering labor costs, it’s essential to know that the water damage repair process happens in two phases. 

First, you must dry out the house. The second phase is restoration.

The timeframe for the completion of the project will depend on the category and class of damages. Expect to pay between $70 and $200 per hour for every technician working on your project.

You may pay more or less depending on your location.

Additional Costs Associated with Water Damage Repair

So far, the cost to repair water damage covers drying out the house. You may incur other charges beyond water removal and dehumidification.

For example, let’s say you have a flood-damaged 800-square-foot basement with unsalvagable carpet. To install a new carpet, you spend between $1,400 and $6,000.

Harwood flooring can suffer extreme water damage, especially if left without treatment for too long. If you have to replace or refinish hardwood floors, you’ll pay around $10.45 per sq. ft.

You may need to replace entire sections of the drywall. Drywall replacement costs around $1.40 per sq. ft.

Plaster walls often need replacement, which is a much more expensive repair cost than drywall at between $6.25 and $18.75 per sq. ft.

Mold is another issue that many homeowners face after water damage. If it happens to your home, you’ll need mold remediation. Your cost will run about $5.00 per sq. ft.

How To Prevent Mold After Water Damage

One of the unpleasant and unhealthy effects of water damage is mold development. Aside from the smell, allowing mold to grow in your home risks your health.

You can prevent mold from growing, but time is essential. If your home is not completely dry within roughly 24 hours, mold will develop.

If you hire a water damage technician, they will do everything possible to prevent mold growth. Many homeowners choose the DIY route to water damage restoration. If that’s what you decide to do, then you’ll need to move quickly.

If you have a wet/dry shop vac, it will be a great tool to start the drying-out process. The job will go faster if you can rent an industrial-grade wet/dry vacuum.

You’ll want to start drying out the water-logged area immediately, which means using fans. You can begin with box fans, but you should consider renting an industrial fan since they can move five times as much air.

While you can use a consumer-grade dehumidifier, an industrial-quality dehumidifier will dry things out faster. Using a rental dehumidifier, you should be able to pull 18-20 gallons of water from the air every 24 hours. Most consumer-grade dehumidifiers have small tanks that only absorb 5 gallons of water daily.

More Tips on Preventing Mold

Using the best machines and techniques helps prevent mold development, but there are a few other things to keep in mind.

When cleaning up, start with areas with Category 3 water damage. Black water is a prime breeding ground for mold spores. After dealing with Category 3 damage, you can move on to gray and fresh water-damaged areas.

Don’t keep waterlogged and unsalvageable material. It can develop mold weeks after your home flooding occurs. Even materials with just a trace of moisture can host mold growth.

After restoration, you’ll want to be aware of clues that you haven’t eliminated all the water. You’ll also want to stay alert to signs of mold development, including:

• Musty odor
• Warped drywall
• Paint deterioration
• Visible mold

Pay close attention to the carpet and drywall. You should always check by touching the areas because they may look dry but feel wet.

If you find mold growing, take steps to remove it, and perhaps, contact the company that took care of the water damage repairs.

How To Prevent Water Damage

When you experience water damage, you may not know what to do next. It can feel overwhelming, but a quick reaction can help you minimize the damage and the cost of repairing your home.

While you can’t prepare for every catastrophic event, you can be proactive.  It’s a good idea to use this section as a checklist as you go through the motions of securing your home from water damage.

• Inspect sinks and drains
• Locate water shut-off valves
• Install leak detectors
• Monitor the sump pump
• Fix plumbing leaks
• Caulk around windows and doors
• Keep gutters and downspouts clean

You should also check your appliances.

If your refrigerator includes an icemaker, ensure the water lines are intact. Water heaters are notorious for causing floods. Every year, inspect for slow leaks, pooling water, rust, or corrosion.

Don’t forget your air conditioner. Keep an eye out for leaks or water damage in your unit’s area. 

How Your Water Bill Can Prevent Water Damage

Earlier in this article, you read about increased water usage and water damage. Keeping track of changes in water usage is as simple as tracking your water bills.

While many homeowners don’t pay much attention to minor differences in monthly water bills, a significant spike should get immediate attention. A big jump could indicate a hidden water leak.

If you can rule out a leaking toilet, dripping faucet, watering the lawn, or filling the swimming pool, it’s time to get more serious about narrowing down the cause of a higher bill.

The longer water damage goes unchecked, the higher your risk for costly repairs. 

Get a Cash Offer from iBuyer.com

Even if you take all the measures to protect your home, you can’t always prevent water damage. When you experience severe water damage, house repair costs may be too much for your finances.

It’s also possible you’ve discovered water damage in a home you’re trying to sell. If that’s the situation you’re facing today, you have options.

Many homeowners in this situation take advantage of a cash offer from iBuyer.com.

The post How Much Does It Cost To Repair A House With Water Damage? appeared first on iBuyer Blog.

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