Most people selling their home in Florida work with a licensed real estate broker or agent. A good real estate agent will help you with the following:
- pricing your house, based on comparative market analysis (or comps similar to an appraisal), that helps set the current values of similar homes in your area;
- market your house to prospective buyers; and
- handle other tasks, such as reviewing house purchase documents and negotiating with buyers.
One of the first documents that is signed by the real estate agent is the Listing Agreement, which covers the following items:
- The type of listing. Most agents will want an exclusive right to sell listing, which obligates you to pay a commission to the agent regardless of who brings in the buyer.
- Duration of listing. In all cases, the listing agreement will cover a set amount of time. (typically at least six months to effectively market the property depending on price i.e. higher priced homes take longer to sell than moderately priced homes)
- Listing Price. In determining a reasonable listing price, a real estate agent look at comparable sales and the length of time on the market to meet the seller’s goals. For example, a seller might need to sell faster then the comparables and the listing should be priced accordingly.
- Items included or not included in the sale. The seller will list what is going to stay or go as part of the listing. For example, a seller may plan to leave behind a built-in dishwasher (which is therefore part of the property that the agent is contracted to sell), but exclude a refrigerator that the seller plans to move to your new home.
- The real estate agent commission that a seller will pay (it should be noted that this is one of the highest cost that the seller will incure). This typically ranges from 5-6% of the house sales price, and is split between your listing agent and the buyer’s agent.
Seller’s Property Disclosure
State law in Florida (Johnson v. Davis, 480 So.2d 625 (Fla. 1985)) requires sellers to disclose any facts or conditions about their property that they know about and have a substantial impact on the value of the property and that others cannot easily observe. Some of these items can include the following:
- defects in the electrical and other house systems,
- conditions such as termites or asbestos, and
- homeowners’ association fees (typically an addendum to the contract), deed restrictions, and other specified details of the property.
In addition, if your house was built before 1978, you must comply with federal Title X disclosures regarding lead-based paint and hazards, which is typically an addendum to the contract.
In the Real Estate Market?
You should consider using a realtor. I could save you money especially with new home builders and it does not cost you anything. So why not? Let me save you money!!! If you are interested in buying real estate (new home, existing home, or commercial property), please contact me (Alan Lane with Signature Realty Associates at 2234 Lithia Center Lane, Valrico, Florida). As a life long resident of Central Florida, I can help you find the right property for you whether it is in Orlando or as far south as Sarasota. My email address is firstname.lastname@example.org, or call me at 813.205.9280. If you are just starting your search, you can search the MLS for real estate opportunities on my website at this link