GREAT MARKETING TIPS

HOW WELCOMING

What YOU Need to Know BEFORE You Sell or Buy

Why Price is Imperative

A Quick Reference Guide

IS YOUR HOUSE ?

www.donovanblatt.com

Pg. 11

PAGE 16

Over 20 Years Experience Competitive Rates

● All Credit Considered ● FHA

● Reverse Mortgage - Refinance and Purchase ● VA

● Fannie Mae ● Freddie Mac

Mary Lou Finney

949-400-1017 BRE #00588640/NMLS #357415

FINNEY BROKERAGE INC

PRACTICE

You have a lot on your plate already!.

GROCERIES

BILLS TO PAY

WORK SPORTS

RETIREMENT?

FAMILY

DINNER

ARE WE

READY?

SCHOOL

BR

E 01

26

74

79

Christine Donovan, Esq. / Broker

How do you know when it’s the right time to buy or sell your home?

CALL US! - We can help you decide so you can focus on other things.

We open doors and fulfill dreams.

714-319-9751

christine@donovanblatt.com

Just as each home is unique, so are you, and each

transaction carries with it a host of potential pitfalls and

problems that must be solved in order to reach the end goal

of closing escrow or selling the home. Working with our

clients to overcome these challenges and find solutions is an

important part of being a Realtor®, one which I take great

pride in.

I hope this Ultimate Real Estate Guide will help you

understand more about this important transition in your life,

about us and our business, while answering many questions

you may have before we meet.

DonovanBlatt Realty’s Ultimate Real Estate Guide is

dedicated to my past clients, who trusted me to help them

achieve their real estate goals of selling and/or buying

their home, and to all of those future clients yet to come.

These transactions are a group effort between

homeowners, buyers, and our team of real estate

professionals. After experiencing this so many times, I’ve

learned a great deal about the emotions, concerns and the

excitement that face every seller and buyer.

There is a lot you should know before making the critical

decision of who will best help you make your move. This

guide is designed to help you make that choice.

The Ultimate Real Estate Guide was created to provide a

starting point for the discussion of moving and to

answer many of your initial questions. When we meet, our

team will answer all of your questions and share with you

what we believe to be the best way for you to proceed.

Our goal together will be to have a fun, efficient, and

successful real estate experience.

We truly appreciate your time. As a licensed real estate

broker, you can expect that I will give you my honest

opinion regarding your position in today’s market, not just

what you want to hear. I look forward to talking with you.

If you’re holding this edition of the Ultimate Real

Estate Guide, you’ve probably realized that it’s time to

move and are wondering about how to proceed. Thanks

for allowing us to provide you with some information

before you go forward.

You are about to make a critical decision, and it is one

that should not be taken lightly . . . selling or buying a

home in today’s market. It is essential to understand

what the market conditions are and how to best

position yourself to beat the competition to achieve

your goal.

You likely have some important reasons for moving,

and tied to those reasons are both positive and negative

emotions. However, I expect that you are committed to

doing what is necessary to reach your American dream.

From the Broker

If your home is currently listed for sale, this is not a solicitation.

Christine Donovan Real Estate Broker, Attorney at Law, CDPE, Realtor®

DonovanBlatt Realty

(714) 319-9751 christine@donovanblatt.com

www.donovanblatt.com

California BRE Lic. #01267479

Welcome

© 2020 Christine Donovan

A Quick Reference Guide to the Forms We’ll Use

LIST

ING

FO

RM

S Agency Disclosure...Informs the seller of their agent’s duty and responsibilities; clarifies what type of representation they agree

to

Disclosure & Consent for Representation(1)...States that the agent may represent more than one party, potentially even the

buyer

Listing Agreement...Contract to market & sell the home; states the listing period, price, inclusions and exclusions from the sale

Seller’s Exclusion of Listing...Allows the agent to exclude the property from the local Multiple Listing Service, use with caution

OFF

ER F

OR

MS

Residential Purchase Agreement...The offer form - includes price, down payment, financing terms, costs, and contingency peri-

ods

Buyer’s Inspection Advisory...Explains the obligations of the parties to the sale and many of the required disclosures as well

Disclosure and Consent for Representation...States that the buyer’s agent may represent more than one party at a time

Wood Destroying Pest Addendum...Clarifies what termite inspections and reports the buyer is requesting, and who will pay for

them

DIS

CLO

SUR

E FO

RM

S O

PTI

ON

AL

Transfer Disclosure Statement...This is the opportunity for the seller to disclose property issues of which they are aware

Seller’s Affidavit of Non-Foreign Status...The seller must complete this so that taxes can be properly assessed

Water Heater and Smoke Detector Compliance...A dual use one page form that confirms each of these items comply to state regs

Lead Based Paint Hazard...Only used for homes built prior to 1978 to disclose the potential for lead based paint exposure

Seller Property Questionnaire...A short questionnaire for the seller to reply to specific questions about property characteristics

Residential Earthquake Hazards Report...A seismic hazard study that informs the buyer of the proximity of fault zones

Natural Hazards Report...This is a wide ranging report disclosing external influences of which the buyer should be aware

Agent’s Visual Inspection Disclosure...The agent’s opportunity to state the visual condition of the property inside and out

Verification of Property Condition...Performed 5 or less days before close of escrow to acknowledge the final condition of the home

Megan’s Law Database...This informs the buyer about the Megan’s Law Database, including why and how to access it

Radon Gas & Mold Notice...1 page dual use form; informs the buyer to get inspections and reports if they have concerns

Market Conditions Advisory...States that the market forces can and will cause fluctuation in price and other factors

88 POTENTIAL PITFALLS PAGE 4

WHY PRICE IS IMPERATIVE PAGE 6

SUCCESS STORIES PAGE 11

WHAT IS ESCROW? PAGE 12

8 GREAT MARKETING IDEAS PAGE 13

5 TIPS TO SELL YOUR HOUSE FAST AND FOR THE MOST $$$ PAGE 7

GETTING PRE-APPROVED BEFORE YOU SHOP PAGE 7

HOW DO REALTORS AND BROKERS GET PAID? PAGE 19

THE REALTORS CRITICAL ROLE PAGE 16

HOW MUCH SHOULD I OFFER? PAGE 20

7 MISTAKES THAT CAUSE REAL ESTATE EMERGENCIES PAGE 18

WHO PAYS FOR WHAT? PAGE 20

LENDER ADVICE PAGE 21

CONTINGENCIES PAGE 21

THE HOME SELLING PROCESS PAGE 5

At DonovanBlatt Realty,

we believe in preparing our

clients for the potential

pitfalls and problems that

can occur during a real

estate transaction. As

Christine Donovan explained

to the Orange County

Register, “One of the biggest

stumbling blocks I run into in

real estate deals is when

agents haven’t prepared

their clients for certain

challenges and don’t know

how to manage their clients’

expectations.”

We started using this list to

prepare our clients for the

realities of the transaction and

to allow them to have more

control because we feel that

knowledge is power, and

we believe in empowering our

clients.

88 Potential Pitfalls The home selling process

begins when you make the

decision to sell your home and

sign a listing agreement with a real

estate broker.

It includes all the steps of

having your home marketed for

sale by putting it on the MLS and

online. Once your home is “out

there”, you can expect buyers to

begin touring your house with

your agent, other agents and

during open houses. During this

initial period, you will likely be

asked to complete disclosures and

have some inspections completed.

When an offer is received, your

Realtor® will present and discuss

the offer with you. You will make

a decision to accept or counter the

offer. Once an offer is accepted,

escrow is opened, earnest money

is deposited to escrow, and the

next phase starts.

During escrow, the buyer is

working to obtain their loan, have

an appraisal done and complete

their investigations of the house.

Once all this is done, contingencies

are removed, and you’re almost

ready to close.

SCAN THIS QR CODE WITH

YOUR MOBILE DEVICE TO

READ THE WHOLE ARTICLE 4

The Home Selling Process List your home with

DonovanBlatt

Realty

Picture Day

for the new

listing

Promote on

Multiple

Listing

Service

Marketing & 3rd Party

Websites

Showings Offers Received,

Qualifying Offers

& Counter Offers Accept Offer and

Open Escrow!

Buyer’s

Inspec-

tions

17 Days

Appraisal &

Bank/Loan

Approval

Contact Our

Current Buyers

Celebrate at

the Signing!!

Don’t forget to

ask about the

MOVING PARTY!

Title Search

5

Why Price is Imperative How to Sell Your Home Quickly for the Most Money Possible

Better Response to Signs and Ads— If the price is high for the

market (and today’s buyers are educated by all of their online

research), most buyers won’t waste their time looking at an

over-priced home.

More and Higher Offers— While buyers recognize over-priced

homes, they also recognize well-priced homes, and they know that

well-priced homes can attract other potential buyers, sometimes

resulting in multiple offers. This makes potential buyers less likely

to make “low ball” offers for fear of losing the home.

Avoiding Becoming Stale and Stigmatized— When a buyer sees

a home that sits on the market for sale for a long time, they often

begin to wonder what might be wrong with that home even if the

only thing wrong was pricing. They also begin to wonder how

desperate the seller might be getting. This often results in lower

offers.

More Money to You— When a home is priced correctly from the

beginning, the excitement of being the new home on the block,

often produces a higher sales price. This results in a higher net

amount to you plus lower carrying costs.

Faster Sale—When your home sells faster, you spend less

money on mortgage payments, interest and other costs of

home ownership, even if you don’t have a mortgage. When a

home sits on the market waiting for a buyer, each day is $$$

lost. A faster sale means less inconvenience for you, fewer days

that you have to keep the home clean and “show” ready, fewer

days to get everybody packed up and out of the house. Proper

pricing is imperative to avoid the headaches and delays that

come with pricing a house too high for the market.

When you price your house closer to real market value, you

get the most exposure possible. Our goal is to reach the largest

pool of well qualified buyers as soon as we can, and not just the

one buyer who MAY be willing to pay a price that is over current

market value and will have difficulty obtaining financing.

Increased Agent Response— When the real estate agents are

excited about a property and the price, they are more likely to

contact their potential buyers. When they see a house that is

priced for the current market, they know that it is likely to sell

more quickly than over-priced homes, and so they will encourage

their buyers to view it. This excitement is often contagious.

The Right Price encourages Serious Buyers to make Serious Offers, while

a High Price encourages Bargain Shoppers to make Low Ball Offers.

6

5 Tips to Sell Your Home Fast

However, many have commented that it is not the right house because it was too dark or because it felt like a cave. Buyers want a home to be light, bright and clean. There is very little cost in lighting up your house so why not take advantage of this cheap and easy "upgrade"?

4. Make Sure it Smells Clean — When he was little, my son walked into an open house with me, and his first reaction was, "Mommy, why does the house smell like smoke?" If a little one noticed this, how quickly do you think a potential buyer who has his eyes, ears and nose open for problems will notice it? Smell is a big deal when selling a house, and certain smells, especially smoke and animals can be a big deterrent to a potential home buyer. They may be wondering if changing the carpet and painting will be enough. What can you do to make your house more appealing?

• Clean the carpets • Try to minimize animal smells

• Change air filters • Stop smoking in the house

• Paint the house • Have it professionally cleaned

These may not eliminate the smells entirely though they should help to alleviate some of the worst of it. As we’ve said before, lots of fresh air coming through can make a big difference to potential buyers.

5. Don’t Miss the Honeymoon — When a home first comes

on the market, all buyers who are looking for that type of home will buzz about it and likely notice it. However, if it is over priced, many of those potential buyers will choose not to look at it. As time goes on and the overpriced home is inevitably reduced in price, the home may actually become stigmatized from being on the market too long. Now, new potential buyers or the older buyers will wonder what is wrong with the home, or why it hasn't already sold.

1. First Impressions — You’ve probably heard at least a

thousand times that first impressions are important. When you sell your house, they are even more important. If a buyer doesn’t want to look inside your home, they won’t buy it.

Today, the large majority of buyers are looking online. If they don’t see a home that sparks their interest in the pictures, they will probably not look any further. If the house passes the online viewing test and they come to see it, they still may not come inside if the outside isn't appealing. I have had several buyers over the years who have said to me when we pulled up, and they saw the home for the first time, “Never mind. I don’t want to see it.”

So, make sure your yard is inviting, add some color, paint your front door. Do what it takes to draw the buyers inside.

2. Declutter the House —If you're thinking about selling

your house or have it up for sale, one of the most important things you can do is declutter your house. When you declutter your house:

• It looks more inviting!

• The home appear larger!

• It looks well taken care of!

3. Let the Light Shine Through — If you're considering

selling your house, it is important to make sure that your home is show ready. One of the best, easiest and cheapest ways to do this is to open up the house to fresh air and sunshine.

Pull back the shades, get rid of heavy drapery and while you're at it, air out your house. Very few buyers who come into a house have made the comment to me, "I wish the house was darker".

If you aren’t buying your new home with cash, make sure that you

have been pre-approved before you start shopping for your home.

You need to know how much you can afford. Do you want to find

your dream home, only to find it is out of your price range? By

contrast, you may be able to afford more than you think you can, and

it may mean you can buy just the home you’ve been dreaming about

but never thought you would be able to buy. Also, if you’re not

pre-approved, you may lose out to a buyer who already is while you

take the time to get ready.

The right lender will discuss your options, different types of loans,

total costs out of pocket and the difference between what you can

be approved for and what you are comfortable spending.

As with many things, the lowest interest rate is not always the “best

deal”. Make sure that your lender takes the time to understand

what is important to you, is knowledgeable about both the loan and

buying process and can close in a timely manner.

Why Do You Need to Be Pre-Approved Before You Shop?

Fast and For The Most $$$

5 Tips to Sell Your Home Fast

7

Now you know the process,

and you know pricing is important...

but WHY do buyers buy?

There are so many things that affect each buyer’s

decision making process that it would be difficult to

address them all here. With so many choices on the

market, buyers often realize what their priorities are only

after they start to see potential homes in person.

8

Your home is unique in many different

ways. It is those factors that will have

both a positive and negative affect on

your house’s value. As your Real Estate

Broker, it is our job to help you identify

these issues, and then help to minimize

what is working against you while

finding ways to maximize the factors that

will add value in this market.

Obviously, there are those issues that

cannot be changed - such as location,

the age of the home, and even external

factors. External factors range widely

from lots of cars being parked on your

street, to the current interest rates

being relatively high or low, or even a

neighbor’s dog that barks loudly every

time your home is shown.

The great news is that there are a lot of

reasons that buyers will be attracted to

your home. These will probably be many

of the same reasons that you were

originally attracted to the house. Perhaps

it’s the long driveway, the flowing layout,

or privacy of the backyard.

When you list your home with us, we

want to know everything that you love

about the house, or at least that you

found useful for your lifestyle. These

will be the focus of our marketing

because buyers don't buy a long

driveway, they buy a driveway that

their kids can ride their bikes up and

down without having to play in the

street.

Additionally, there are many factors

that might be a hindrance to getting the

best offers for your home. Recent lower

priced sales in the neighborhood tend

to skew a buyer’s expectations, and if

we can show how your home is

different and better than those sales,

we may be able to overcome that

concern.

Many buyers’ concerns are similarly

unfounded, or caused by a lack of

understanding or knowledge about

the neighborhood or local real estate

market. An experienced broker will be

able to easily communicate the actual

value of your home to buyers and even

other agents who might be unfamiliar

with our area.

Remember not to let this

myriad of issues wear you down

or frustrate you. Every home seller

navigates the waters of a

constantly changing real estate

market. This is why choosing great

representation makes all the

difference to you as the seller.

9

Christine Donovan is a real estate and mortgage consultant with DonovanBlatt Realty; she founded the company in 1999, after a successful career as a corporate attorney. The family of this lifetime coastal Orange County resident has been here since the 1950s.

Christine’s family opened its first real estate company in Los Angeles in the 1930s. Her mother opened her first mortgage company in 1976, and Christine spent many years assisting her and learning the business. The knowledge gained from her family and the expertise learned during her years in the business are invaluable to her in assisting our clients with all of their real estate needs.

Christine and The DonovanBlatt Team specialize in real estate sales and purchases in Orange County and also in financing properties throughout the State of California.

We assist our clients in realizing their dreams by helping them build equity, buy their dream home, reduce their debt loads, and invest in their future.

We do this by learning about what is important to our clients so we can use our skills and knowledge to give our clients the best possible outcome.

Both while in school and during the initial phase of her legal career, friends came to Christine, asking for advice on home purchases, sales and loans. She gave them what advice she could, cautioning them that they should speak to a real estate agent or mortgage broker as she was not licensed at that time. Over the years, she realized how much she enjoyed the aspects of real estate which allowed her to help people realize their dreams.

Real estate is complicated, and a trusted consultant is an extremely valuable asset. If coastal Orange County harbors your dreams, no one is better prepared than we are to help make them come true.

Our business operates largely by referral, which means that unlike many real estate agents, we spend the majority of our time working for our clients rather than looking for new ones.

“I use my exclusive

‘Five Star’

background and

experience to help

homeowners with

every conceivable

real estate decision

or situation…

including questions

they don’t even

know they need to

ask.”

#1: Christine is a FOURTH

GENERATION REALTOR® who

shares her knowledge through

public speaking and has been

featured or quoted on Nightline,

Fox News, OC Register, Wall

Street Journal, LA Times and

Yahoo Finance.

#2: Christine has extensive

experience in MORTGAGE

options, thus guiding you through

creative financing solutions to fit

your specific needs.

#3: Christine uses her

unparalleled level of CREATIVITY

to assess and proactively present

questions you may not have even

considered and solutions you may

not expect.

#4: Christine is also an

ATTORNEY who is qualified to

help you understand and navigate

the lega l gu ide l ines and

complexities of the real estate

process with confidence.

#5: Christine is an active

member of the Orange County

COMMUNITY through her own

events and philanthropic efforts.

“Christine Donovan is exceptionally knowledgeable in all aspects of

real estate. She was very patient and always kept us informed with our

listing. I would highly recommend her services to all our family and

friends.” — Clarissa Silva

“Christine did a great job helping us sell our old house and buy our new

home. She was very responsive and had always made herself available.

She understood our needs.” G Ezd

“I am glad that she was our agent.” - CC Joy

“Excellent service, fast, efficient and I especially loved how Christine

took the time and care to keep us informed of the progress every step

of the way so we had no worries or concerns - She does her job very

well!” Sandi and Clayton H

“ABSOLUTELY THE BEST!! I have never worked with anyone else equal to

Christine Donovan's caliber. Efficient, and on top of everything as we

progressed through the searching/buying process. If you are looking for

THE TOP NOTCH real estate agent, look no further!!” Rebecca Nicole

“From start to finish, a true professional.” Bill Borthwick

“Christine Donovan is exactly the kind of person you want in your corner

when staring down the minefield that is real estate in Southern

California. Not only does she have the patience of a saint and the

irrepressible ebullience of the best cheerleader ever, she's smart as a

whip and is a lawyer to boot. She can guide you through the most

complicated transactions and decode the most puzzling twists and

turns anyone could possibly encounter. The best!!” - Nadine T.

“She is the one you can trust as your family agent for any issue or

questions on real estate.”—Daphne C

“When I wanted to sell my house, I called someone else, and that was a

big mistake. I called Christine, and she fixed it. So, if you’re wise, which I

know you will be, you’ll hire Christine Donovan.” - Shanty

“We are two people who wanted to move to another slice of heaven

like we used to have, and we were happy and lucky enough to find

Christine Donovan of DonovanBlatt Realty who was able to find our

dream home.” - Linda and Bill

Christine made it extremely smooth for us. the transition. It was honestly

seamless. She did a great job preparing us for what to expect.” - Jaime

11

See “LIVE” stories at

www.EcstaticClients.com

Christine is the real estate broker who

is known as the FIVE STAR AGENT

because of all of her accomplishments.

One of the least understood phrases in real estate is “We’re opening escrow!” The reason for this is that escrow covers

various aspects of the sale or purchase of a home. The escrow company works on behalf of the buyer and seller to

facilitate a smooth transaction by receiving the funds and paperwork involved. Your broker will be working diligently in

the background to coordinate all of these functions and ensure that an efficient timeline is kept by each party as well.

12

The Internet - About 90% of buyers look for homes online,

and 76% of buyers either drove by or walked through a home

they found on their phone or tablet. So, the house needs to

be online, in lots of places. An agent who is not internet-savvy

and does not do much marketing towards mobile platforms is

not helping you to sell your house.

Web Exposure - Includes agent websites, single property

websites, eflyers, videos, virtual tours, listings on many real

estate portals including Zillow, Realtor.com, Craigslist and

many more. (Having numerous photos online is necessary as it

exposes your house to more buyers and encourages them to

see your house in the real world. Bad photos or, worse yet,

no photos causes buyers to ignore a home).

Print Advertising - There is debate about how successful it

is, but lots of agents sell homes this way. I will show you

samples of print advertising I do such as flyers, "just listed"

postcards, and more.

Networking - An agent can do this within their buyer pool

and with other agents (locally, regionally, nationally or

internationally depending on the listing), as well as by enlisting

your neighbors, your friends and associates.

Reverse Prospecting – An agent can and should make use

of the ability to notify all agents in the MLS whose clients are

seeking a home that matches the criteria of your house.

After making certain that you have priced your house

correctly and that it’s in good condition, exposure is key to

selling it for the most money as quickly as possible.

Make sure the person you hire is a

professional who can tell you exactly what they

are going to do, when, and why. A mediocre,

unorganized attempt at exposing your house to

buyers will have that same result - mediocre.

Make it easy to sell by making certain that it is

properly exposed to the market.

Selling in a buyers’ or sellers’ market is only successful

when the house has been properly marketed. Proper

marketing doesn't just mean getting the listing on the

various websites, but presenting it in the right place and at

the right time to appeal to the buyer that will pay the most

for your home.

Most of the exposure is your agent’s responsibility, and

this makes it critical that you choose a professional who

understands what needs to be done, who can

demonstrate a marketing plan that will provide the most

exposure for your house.

However, all the exposure in the world and the best

marketing available will not sell an over-priced home.

Exposing an over-priced home to the market only makes

your competition look like a better value. Guess which

home the buyers will buy? Which would you buy?

Things that must happen to expose

your home to the market:

Yard Sign - For Drive-bys - This is not a competitive

advantage as everyone does it, though it needs to be

done. It should be eye catching and easy to read, and your

agent should be easy to reach or return calls promptly. If I

cannot answer the phone immediately, my team or I

return calls regarding showings within the hour.

We prefer texting and technology for connecting with

buyers with brochures and find that many potential buyers

prefer them as well.

Broker Open House/Preview - This exposes your

house to the agents who are actively selling and who work

in the area so they will be excited about showing your

home to their buyers as well.

Public Open Houses - Buyers love them! Though

homes don't typically sell at an open house, it does

happen about 5% of the time. You don't want to miss an

opportunity. The timing of open houses and how many will

be a topic of discussion with me when we meet. It is based

on your schedule and other factors.

Are you ready to find out how to make your house easy to sell? It’s not that

difficult to do, and it doesn’t matter if you’re in a buyers’ or sellers’ market.

Just think about what would make you feel welcome in someone’s home.

Clearly, price is a huge part of the appeal of your house. It will sell quickly if it is properly

priced. It might not be the price you hoped for, though soon after listing your property, the market

will tell us if your pricing is out of line with what buyers want. To be clear, if your home is priced too

high above the market limits, the rest of this article is not going to help you overcome that.

You have seen it on the real estate shows on TV and heard or read elsewhere that the

condition of your home is critical when you are selling. There should be no clutter, family photos

should be minimal, repairs completed, odors abated when possible, and curb appeal should be

maximized.

However, there is another issue that needs more discussion, especially in a competitive market

where there might be dozens of houses like your; similarly priced; that potential buyers will

compare to yours.

IS YOUR HOME REALLY AVAILABLE TO THE BUYER?

The main components to availability are exposure to the target market, and the often

overlooked and very important availability for showings.

Exposure is something that your Real Estate Broker is responsible for—making sure that your

house is exposed to the right buyers in as many ways as possible because it is hard to know which

modality will work best. Just having a property in the MLS and putting a sign in the yard does not

cut the mustard these days. Be sure to have a discussion with your Broker about how buyers find

homes and what they can do to facilitate this. But, for now, let’s talk about your job as the seller

and what you can do to make your house available for showings.

HOW CAN YOU HELP?

Be flexible with regards to the showing schedule—If you limit the hours to show your house,

you are limiting the numbers of buyers who will see it.

Allow as much time as possible for showings - all days, evenings and weekends too.

Be willing to show your home with little notice—sometimes buyers decide on the fly which

streets they want to purchase homes on or which homes they want to see.

Remove pets if at all possible.

Turn on the lights and open the curtains to allow as much light as possible. If this shows some of the house’s defects, this is a good time to realize this and fix them before the buyer calculates the cost using their “buyer’s discount formula”.

Have the house in show ready condition at all times, just in case.

Have a lockbox installed to maximize showing access and to help your broker track and

communicate with every agent who shows your house.

Make sure that the front door locks and unlocks easily. It’s also a great idea to oil the hinges

so that the haunted house creak or a squeal is not the first impression of the house.

Be welcoming when you get a call about showing—those agents know that it might be

an inconvenience for you, but they have the same goal in mind...to sell your house!

How Welcoming

14

How Welcoming

Some Things That Don’t Help!

Running the dishwasher (or the laundry) when a showing is about to happen. It’s often noisy

and can be distracting to the peaceful ambience buyers want.

Putting the dog in the backyard—people can’t experience and enjoy your wonderful backyard

if your dog is in it. And, though nobody wants to talk about it . . . PLEASE make sure the yard is

cleared of doggy waste as often as possible.

Staying in the house when buyers come through. Buyers need to take some time, open doors,

discuss the features frankly, and find a connection to your house. If you are there, it will inhibit their

ability to do this, and they are much more likely to leave sooner than they want to do so.

Using too much deodorizer or air freshener—(people are sensitive to odors, and there is

nothing better than some open windows and fresh air blowing through the home). Lots of people

have allergies, and a home that smells like a perfume shop is just too much for many folks. They are

not going to buy your home because it smells of lilacs or a pine forest, so take it easy on these

products.

Requiring the buyer’s agent to only show your home when you or I are there. While we

know the security of your home is paramount, the secure lockboxes we provide for each listing are

helpful in this regard. Only registered MLS participants are able to obtain keys to these boxes, and

when they do, the timestamp of their visit is logged in along with their office, phone number and

email address and sent to our office. We often know within minutes that the lockbox has been

opened. The added benefit is that giving as much flexibility as possible to the showing agent greatly

improves the likelihood that your house will be shown.

Don’t leave the beds unmade! Just like you were reminded when you were a kid, your beds

should be made each morning. Not anything excessive, just put the pillows back on and set the

sheets smoothly. A ‘just slept in’ look makes people feel that they are walking in to your private life!

Buyers need to see the bedrooms, and a bed that is made melts in to the background and allows

them to see the room not the sheets.

Every Little Bit Helps!

These tips come from showing thousands of homes to prospective buyers. It’s often difficult to

show all the homes our buyers want to see and very disappointing when they finally see one and

then hearing that all they remember about a house are some minor issues that could have been

addressed easily. Too often, buyers have a hard time looking past the misplaced pile of laundry.

Sinks full of dishes are seared into their memory instead of how the kitchen window had a beautiful

view of the flowers and trees in the backyard.

We are truly excited about the opportunity to work with you to sell your house.

Both of us have some work to do to make the most of it, and the end result should

be to get the highest possible price for your home from the most qualified buyer

we can find!

Is Your House?

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

• Prepare listing presentation package with above materials and

MLS information

• Perform exterior “Curb Appeal Assessment” of subject property

• Compile and assemble formal file on property

• Review listing appointment checklist

• Ensure all checklist steps and actions have been completed

• Listing Appointment Presentation

• Tour property with seller to review interior and exterior conditions, obtain information about selling points of property, past repairs and defects if any

• Give seller an overview of current market conditions

• Present CMA results to seller, including comparables—solds,

current listings, in escrow

• Offer pricing strategy based upon professional judgment and

interpretation of current market conditions

• Discuss goals with seller to help market effectively

• Explain benefits of Multiple Listing Service

• Explain exposure resulting from Zillow.com and other websites

• Explain the work that brokerage and agents do “behind the

scenes” and agent’s availability evenings and weekends.

• Explain agent’s role in pre-screening buyers and protecting seller

from wasted time due to “looky-loos”

• Present and discuss strategic master marketing plan

• Explain different agency relationships

• Review and explain all clauses in Residential Listing Agreement

and answer any questions. Obtain seller’s signature and provide a

signed copy to seller

• Discuss the added value of using a Realtor®, commission structure

and answer any additional questions

Once Listing Agreement is Signed

• Review current title information

• Determine square footage

• Obtain house plans if available

• Review house plans and make copy

• Prepare showing instructions for buyers’ agents and discuss with

seller showing times and any other requirements seller may have

for showings

• Obtain current mortgage loan statements for payoff purposes

• Verify current loan amounts

• Discuss possible financing alternatives such as seller carryback

with seller

• Review most recent appraisal

What’s all this? Surveys show that both homeowners and home buyers

do not know the true value they obtain from a Realtor®

during a real estate transaction. Realtor®s usually

assume that their hard work and expertise is seen,

understood and appreciated by their clients. This

disconnect happens because so much of what happens

during a real estate transaction is never seen by the

clients as a Realtor® goes about making the transaction

as seamless as possible. With this magazine, we seek to

bridge the gap that frequently occurs here. So we have

listed some of the typical items that a Realtor®

completes and/or oversees during a real estate

transaction.

Though this list is not complete as different transactions

require different services and tasks, it is provided to give

you an idea of the behind the scenes items in addition to

the ones that most clients would typically see. Some of

these items may take only a few minutes to complete

while others may take days to be completed properly.

Pre-Listing Activities

• Make appointment with seller for listing presentation

• Send seller a written or e-mail confirmation of listing

appointment and call to confirm.

• Review pre-appointment questions

• Provide Pre-Listing information package to seller

• Research all comparables of currently listed properties

• Research sales activity for the past 6 months from MLS and

public records databases.

• Research “Average Days on Market” for similar properties

• Download and review property tax roll information

• Prepare Competitive Market Analysis (CMA) to establish fair

market value.

• Research property’s ownership and deed type

• Research property’s public record information for lot size

• Research property’s current use and zoning.

16

• Prepare property marketing brochure for sellers’ review (for open

houses and showings)

• Mail out “just listed” notice to all neighborhood residents; invite

neighbors to open house via “gossip” cards

• Provide marketing data to buyers coming from referral network

• Submit ads to internet real estate websites

• Convey pricing changes promptly to all websites and MLS

• Reprint brochures as needed and re-supply

• Obtain feedback from buyers’ agents

• Discuss feedback from showing agents to determine if changes will accelerate

sale

• Place weekly calls or emails to seller to discuss marketing, pricing, feedback and

changes in the market

The Offer and Contract

• Receive and review all offers to purchase contracts submitted by buyer or buyers’ agents

and ensure all information is included such as pre-approval letter and proof of funds.

• Present all offers to seller, preferably face-to-face.

• Counsel seller on all offers and answer all questions, including strength of offer and

contingencies.

• Contact buyer’s agent and buyer’s lender to discuss buyer’s qualifications and offer.

• Request copy of pre-approval and proof of funds if they are not provided with offer.

• Generate mail-merge letters to contact list

• Negotiate all offers on sellers’ behalf, including price, contingencies and close of escrow.

• Prepare and send any counter offers or acceptance to buyer’s agent.

• Once an offer is signed and accepted by buyer and seller, send copy to escrow.

• Determine if property will still be shown now that it is “in escrow” and make necessary changes in MLS.

• Confirm that earnest money is deposited into escrow.

• Cancel any scheduled open houses, if necessary.

• Deliver copies of fully executed purchase agreement to seller.

• Advise seller how to handle any additional offers that come in after purchase agreement is fully signed.

• Change MLS status to pending or backup.

• During Loan Processing

• Contact buyers’ lender to ensure that all necessary information has been provided.

• Follow loan processing throughout escrow to be kept up to date and be certain that timeline is followed.

• Contact lender weekly to see if loan is progressing.

• Keep seller informed of loan process and if there are any issues or delays.

• Relay final approval to seller once received.

Home Inspections

• Coordinate buyer’s third party inspection of property

• Coordinate pest inspection if required by contract

• Review home inspector’s report and discuss with seller

• Review request for repairs and discuss and advise seller

• Negotiate request for repairs with buyer’s agent

• Determine if buyer is moving ahead with purchase after inspection and repairs

• Ensure seller’s compliance with home repair requirements

• Recommend or assist seller in finding trustworthy contractors to complete repairs

• Negotiate payment and oversee repairs on seller’s behalf.

• Obtain homeowner association (HOA) management contact information if

applicable

• Verify HOA fees

• Request copy of HOA bylaws if applicable

• Verify security system (if any) as well as current term of service and wheth-

er equipment was leased or purchased

• Ascertain need for lead-paint disclosures

• Prepare detailed list for property’s amenities and assess market impact

• Prepare detailed list of property’s exclusions and inclusions for attachments

to property

• Compile list of completed repairs and maintenance items

• Explain benefits of homeowner warranty to seller

• Have extra keys made for lockbox

• Verify if property has rental units included

• Determine leasing periods if applicable

• Obtain copies of all leases

• Verify all rents and deposits held by seller

• Inform tenants of listing and discuss showing instructions.

• Arrange for installation of yard sign

• Install lockbox

Entering Property in to Multiple Listing Service

• Prepare MLS Property Profile Sheet taking care for accuracy

• Enter data from Property Profile Sheet in to MLS

• Proofread MLS listing for accuracy

• Add property to company website

• Provide seller with signed copy of Listing Agreement and a printout of MLS

YES, THERE’S STILL MORE!

www.donovanblatt.com/your-realtors-critical-role

Andrew McGrath Broker Associate 714-514-1025

Christine Donovan

Broker/Attorney

714-319-9751

Steve Blatt Real Estate Agent 949-838-7066 Mary Lou Finney Finney Brokerage Lending 949-400-1017

Get to know our team!

When you list your Orange County

home for sale with us, we’ll bring

What is a fixture? Think about a giant flipping your

house upside down. Whatever falls will likely go with you;

whatever stays in place is likely to be attached to the

property and therefore a fixture. If you have questions,

just ask.

Items like the flat screen are not attached, though the

mount is considered a fixture. Refrigerators and stoves

are often up for discussion though typically a washer and

dryer go with the seller.

4. Don’t Remove Your Pets (Especially Dogs)

from the House During Buyer Showings

Not all buyers want to be greeted by Fido when they

walk into a home. Some buyers are even terrified of a dog

and won’t be able to see your house because of the dog’s

presence. So, this is a perfect way to make your house feel

hazardous.

Don’t think that putting Fido in the backyard, garage or

a cage is the solution either. Most buyers want to see the

backyard and the garage, and some will be dissuaded from

doing so by the dog. A cage may turn your gentle giant

into a barking, snarling Cujo for the potential buyer.

Although you can’t control the real estate market or

the location of your house, there are many things you

can do to cause a serious real estate emergency! If you

do the following 7 things, there are bound to be red

lights flashing and sirens blaring!

1. Don’t Price the House at Market Price.

It is no longer 2009, and thankfully home prices have

rebounded well. However, a house that is going to sell

should be priced to sell—not give away. Today’s buyers

are extremely educated about neighborhood values.

They are also well aware of what is selling and what

isn't.

2. Leave Town without Advising Your

Realtor® or Giving Someone a POA.

If your Realtor® can’t reach you, the deadlines on

offers to purchase your home may expire, and

opportunities may be missed. Also, if there is no

power of attorney and you are out of town, you may

miss timelines for getting papers signed. Of course, if

you really want to demolish your home sale, this is a

great way to do it.

3. Remove Fixtures from the House that

Were Included in the Sale

Items that are attached to a home are generally

included in the sale of a home, and belong to the buyer.

This could be a light fixture or a built in microwave. If

you want to take Grandma’s chandelier with you, be

sure to talk with your Realtor® about it when you sign

the listing agreement. Otherwise, you may find that you

and the buyer are on opposite sides of a battle you are

likely to lose.

7 Mistakes That Cause Real Estate Emergencies

18

How do Realtor s

and Brokers

get paid?

We work for professional fees and are not paid a salary.

Realtors® are generally independent contractors and are

only compensated when a transaction closes and title has

transferred. When a brokerage fee is earned, it is divided

between the seller’s brokerage and the buyer’s brokerage.

To run a business, there are many costs including

insurance, phones, printing, signage, business cards,

advertising, marketing, administrative costs and more.

Like all U.S. citizens, we pay taxes including federal and

state, plus FICA taxes and other obligations of

self-employed individuals. Thus, from the original

professional fee, we receive only a portion of it in

actuality.

When we are working for you, we invest our time to

help you sell or acquire a property. In some cases, this

amounts to many hours. Time, experience and knowledge

are what we offer to our clients, and time is the most

limited. Therefore, we greatly appreciate your loyalty to

us.

A completed transaction is mutually beneficial to both

of us. You are able to move into a new home and sell a

previous one, and we have the satisfaction of knowing we

have helped you in the most important transactions of

your life. Your satisfaction with our help is evidenced by

referrals of your friends, family and associates as this is

the ultimate compliment and sign of gratitude which we

receive from our clients.

5. Be Offended by a Buyer’s Offer

It is your home, and you don’t have to give it away, so

when a low ball offer comes in, why bother to respond to

it? The buyer with the low ball offer may be willing to

come up to a price that is acceptable to you, but why give

them the opportunity to do so? Isn’t it better to just

refuse to respond? But wait, don’t you always offer to

pay full price, or do you sometimes ask for a discount?

6. Don’t Disclose Defects or Previous Repairs

Done on the House

Why should you have to fill out all of those

disclosures? They’re so much work! Why bother? Of

course, the buyers may decide they want to know about

the home they are buying, and they could potentially sue

when the neighbor tells them about the flood from a

couple of years ago that you failed to mention.

7. Don’t Complete the Repairs You Agree to Do

Prior to Close

So, you agreed to complete the repairs before close,

but why should you? The house is no longer your

problem. If the repairs aren’t done, the buyer may refuse

to sign their loan documents or transfer the necessary

cash to close. When we’re in the final stages of the sales

process this is a surefire way to cause a hazard in your

house sale!

This is not an exhaustive list of the types of

emergencies that we’d like to help you avoid. If you have

questions about selling your house, please contact

Christine Donovan at 714.319.9751.

®

should anticipate multiple buyers offering for the same

house.

Once you understand both the potential competition and

values of similar homes, it is time to make your decision. If

this is truly the home for you, decide how you will feel if

you lose the home over a few thousand dollars. If the an-

swer is your are okay with losing it, then you might choose

to bid less aggressively. However, if this is your dream

home, the one you want to spend the rest of your life in

making memories, think carefully before you underbid.

The final decision of how much you should offer to pay

for a home is up to you as the buyer. However, your

real estate professional should provide you with

comparables, homes that are most similar to the one

you want that are for sale or have sold recently. This will

help you to understand the current values and decide

how much you are willing to pay. You should

additionally talk with your real estate agent about how

long the home has been for sale and whether the cur-

rent market is a buyers’ or a sellers’ market, and if you

21

v v v v

21

Once the contract is signed, the timing of the

contingency removals begin.

Here are the most common contingencies used in

California and when they are typically due to be

removed by the buyer.

7 days for seller to provide disclosures

17 days for buyer to do inspections

17 days to get appraisal completed

21 days for buyer’s loan contingency

Another very important contingency is one that can be

used to protect the buyer and the seller as well. It’s the

contingency for sale. This means that the seller may

need to buy a replacement home in order to close the

sale of their current home or that the buyer may need

to sell their current home before they can close the sale

on their new home.

If contingencies and their timeframes are not observed,

retained and removed properly, they can have financial

consequences upon both buyers and sellers. This makes

it important that both the buyer and seller have

representation from a knowledgeable real estate

professional.

• Do not close any credit cards

• Do not apply for any credit cards

• Do not change jobs

• Do not pay off credit cards unless instructed to do so

• Do make all payments timel

Contingencies are conditions that both buyer and

seller are contractually obligated to and that must

be met or satisfied before a real estate transaction

can move forward. Most real estate contracts

contain contingencies of one kind or another

because few people can afford to or want to take the

risk of entering into a real estate purchase without

them.

California standard Realtor forms require that a

party complete a contingency removal form in order

to lift the contingency restraints so that the sale can

move forward and close. This is an important

advantage to the person in whose favor the

contingency stands as rather having it automatically

removed solely by the passage of time.

There are several contingencies that can be included

in the contract and nearly all of them are used to

protect the buyer’s interests until they are fully

ready to complete the sale.

When you apply for your loan, it is imperative that you

freeze your financial picture right then and there.

What does that mean?

If your lender could walk along beside you all day, s/he

might tell you the following:

• Do not make any big purchases (ie. car, furniture,

appliances)

Clearing Contingencies to Get to Closing

We love to make real estate transactions less stressful by making it more fun to successfully buy and sell homes while fostering a business

culture that supports both our clients and team members.

For you, for us. This is what we do.

call