One of my favorite sayings for real estate professionals, and a saying (and mindset) that eludes far too many sellers, is this: "I'm contracted to SELL your home, not LIST it". While this may seem like an obvious tenet, what it lacks in complexity it makes up in its lack of broad understanding. If you are serious about selling your home there are a few details to keep at the forefront of your mind. Today I'd like to peel back the curtain a bit and talk about what the true professionals focus on when it comes to listing (and selling!) a property.

One of the primary considerations to understand about the sellers is motivation. Of course there are countless reasons one could have for selling a home. Sometimes there is a new addition to the family. It could be a job or school change that prompts the sale. Or even a simple health reason could be the catalyst for the move. It is very important for the agent (and the seller) to be crystal clear on the impetus behind the sale.

Part of that is simply ensuring that the seller is serious. We are all busy and it is no secret that real estate professionals work almost exclusively on commissions. If the seller is simply curious about what they "might" get for their home but has no real intention of selling, the agent can stop wasting their time immediately. There are plenty of websites that can give you a (wildly inaccurate) estimate of your home's worth. And there's also a really good chance that there are a number of inexperienced agents that would be happy to spend time with this sort of seller, forgetting to ask this one crucial question.

The next important piece of information is the desired timeline for moving. Knowing the timeline helps the agent better understand the motivation (from above) and can zero-in on some of the more important dates. Having that goal of a date in mind allows the sellers and the agent to track backwards from the actual closing table and more accurately set milestones along the way. With this information the seller's team can ensure things are moving along as anticipated. It is important to note that this information would also be very useful to the prospective buyers. A real estate professional under contract with the sellers will certainly keep this information private.

The "listing price" is the next item that needs to be nailed down. While sellers may have a number in mind, and it is certainly important information for the real estate agent to be aware of, the real number is going to be derived from objective research. As you can imagine, everyone (present company included!) thinks their house is the bestest! We all tend to overestimate the value of our homes based on subjective data such as how we stack up to our neighbor's, how much nicer our lawn is, the newness of the paint on our fence, etc. In reality, it takes a decent amount of objective research to come up with an appropriate number that will get this home sold, not just listed.

One of the primary factors in pricing a home for sale is the current, local market. We have mentioned it before, but it bears repeating. Listening to or reading information about the state of real estate not directly tied to your very own zip code, and applying what you learn to your own home, is simply foolhardy and a complete waste of time. The beauty of local, professional research is it will be directly applicable to your home, the current state of the local market and the surrounding "comparable" homes in your neighborhood. This is truly the only way to accurately evaluate the "market value" of your home and derive a suitable listing price; The price at which your home should sell in the given market.

"Some of the factors that go into establishing a listing price include the days on the market for comparable homes that sold, the number of similar homes "for sale" currently and the delta between the listing price and the actual sale price of those homes that sold," notes Badger Peabody & Smith Realty (formerly Badger Realty) agent, Ralph Cronin. "It is also important to look at some of the intrinsic differences between those comparable homes and the home in question. Additions, remodel projects, general upkeep and upgrades all contribute to the final price," he continued.

My primary objective with today's rambling is to encourage sellers to be more realistic and pragmatic when selling their home. Take a little time to understand your motivations and take even more time to do a little homework and objectively evaluate the value of your home, especially as it compares to others in the immediate area. This will make the selling process a little less stressful and will help you better understand the agent's suggested listing price. Happy Selling!