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GUARANTEED HIGHEST PRICE 

 

"Everybody's talking about this exciting new concept!"

 

The newspapers, the mortgage companies, the financial analysts, are all saying that we are experiencing record slow-down in property sales.  The Florida Association of Realtors is telling us that there is a surplus of supply (homes listed for sale) and an shortage of buyers. Many of the new agents that jumped into the real estate business during 2004 and 2005 have already packed their bags and gone back to their old jobs.  The experience and skills that many of the new agents lacked has made the successful marketing, sale, and closing of a property almost impossible for them.

 

This along with a crisis in the mortgage industry making it extremely difficult if not impossible for borrowers with marginal credit to obtain a mortgage loan.

 

 

Does this mean that that your property can not be sold?  Absolutely not, but it IS a buyer’s market and there is a lot of inventory to pick from.

Does this mean you can do a great job for yourself?  Absolutely not.  A few years ago when the market was hot and the supply of available homes was very limited, some sellers were able to secure their own buyers.  About 10% on a national average, but historically, and verified by recorded sales statistics, most of them gained no financial advantage from doing all of the work themselves.  Today, the number of Sellers trying to “do it themselves” has tripled!  But the number of available properties is 12 times higher!  The number of buyers is 3 times smaller and due to the fear that buyers have in today’s market, virtually all of them want the security and protection afforded by working with a licensed agent and company.

 

CLICK HERE FOR LATEST SHORT SALE INFORMATION

 

 

 

 

Basic Economics 101, tells us that the best way to get the highest price for a commodity is to expose it to as many potential buyers as possible, so that the "free market system" that we enjoy in the U.S. can work to your best advantage.  To get the highest price you want lots of buyers bidding, not just a few.

 

Ø   FACT  Less than 11 % of homes in the past were sold without a real estate professional. EVEN FEWER TODAY!

Ø   FACT  A FSBO (for sale by owner) has thus eliminated 9 out of 10 possible buyers.

Ø   FACT  A FSBO averages almost 10% lower net proceeds than homes sold by professionals.

Ø   FACT  Discount minimum service brokers, that are even still in business, and FSBOs can't and won't spend the time, effort, and money necessary to give your home the world wide exposure it needs to GUARANTEE you the HIGHEST PRICE.

Ø   FACT  An agent that comes to solicit a listing and tells you that they already have several potential buyers, already has an "Agent/Client" relationship with those buyers, and therefore can NOT get you the highest price, because they are already obligated under Florida law to get "their Buyer" the LOWEST PRICE.

Ø   FACT  A home that is not priced correctly and presents itself well, will not sell.

Ø   FACT  Many Sellers in today’s market are offering huge bonuses to selling agents and huge incentives to the buyers.  Perhaps you’ve seen the ads on TV where one builder will deliver each home with a Mini Cooper automobile in the garage as part of the deal.  NOTE: Someone had to pay for the car.  The car dealer did not give them to the builder free.  The price of the home was increased to cover the car, so in effect, that home buyer just took out a 30 year car loan, on the part of the price that paid for the car.  Not the most brilliant way to buy a new car, in my opinion.

Ø   FACT  Everyone wins when the price is reduced instead of building extra things into the price.  The Seller’s commission is lower.  The transfer taxes to the County are lower.  The title insurance premium is lower, and next year the assessed value for tax purposes will be lower. Which makes it a more attractive property for a smart Buyer.

 

Going back to Economics 101 for a moment, think back to the last time you went to a garage or yard sale.  Do you recall seeing any items that were "brand new" still in the box.  The reason they were being sold is not important.  What's important is that the item might still have a $25 price sticker from the store, but is tagged at the yard sale for only $10.  Why?

 

They may only get 50 or 100 people to come to the sale.  And there may be only 1 or 2 that are even interested in that item.  Simply said, they are not exposing their product to the maximum number of potential qualified, interested, buyers during the limited time of the sale.  One might also ask themselves why the first people to arrive at these sales, at the crack of dawn, are often professional antique dealers or professional collectors.

 

Why can the department store get $25 for the same item?  They made the commitment to advertise and promote in the Sunday paper with a picture of the item, and paid the newspaper a small fortune to deliver their ad to half a million possible buyers, that's why.  They put the item in their online website store too.

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Let's move on to Economics 201 for a moment.  Let's say we are in the golf ball business, and golf balls cost us $10 a dozen.  We can put a little sign in our front yard offering the limited number of people that drive by the opportunity to buy the golf balls for $12 per dozen and make a 20% profit.

OR

We could make a deal with the professional golf shop and let them sell the golf balls for $15 per dozen.  They charge a 10% commission of $1.50 and we end up with a net profit of $3.50 per dozen or 35% profit.  And, they did all the work!

 

Yet there will always be a few that would rather not pay the professional the commission and be happy with just their 20% profit because that gave the Buyer a better deal.

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Back to Real Estate.............

There will always be a few people who want to "do it themselves" or use a minimal service "help you do it yourself" broker.  The professionals will never get 100% of the Sellers.  Some Sellers will give up 10% of their profit in order to save 6% to 7% in professional fees.  But they will sleep better at night knowing that they made a better deal for the Buyer than they made for themselves. Do the math.

 

The late night TV "real estate seminar gurus" that sell video courses from $300 to $3000 to folks that want to get rich quick by investing in real estate all have "ONE COMMON PIECE OF ADVICE" in their courses. "target sellers that are not represented by professionals!"  Sort of like the way burglars target homes that don’t have security systems. These get rich quick gurus know that most of the tricks and strategies that they teach will not make it past the watchful eye of a trained and experienced broker, who is representing you.  In other words, it’s much easier to take unfair advantage of a FSBO or an “almost FSBO”.

 

 

THE GUARANTEED HIGHEST PRICE – PLAN OUTLINE

 

Ø      DETERMINE A TARGET PRICE –Supported by VERIFIED Data

Ø      FULL MLS COVERAGE – within 24 hours to over 11,000 Agents

Ø      FULL COOPERATION WITH ALL AGENTS

Ø      GENEROUS COMMISSION TO ALL OTHER AGENTS

Ø      EASY ACCESS FOR SHOWING TO ALL OTHER AGENTS

Ø      FULL MEDIA BLITZ –within 72 hours

Ø      FULL INTERNET SHOWCASE WEBSITE – within 48 hours – dedicated to only your home

Ø      CUSTOM MADE YARD SIGN – with your website address 24 to 72 hours depending on sign co.

Ø      SPECIAL CONTRACTS AND ADDENDUMS –for your protection

Ø      REVIEW OF ALL CONTRACTS BEFORE ACCEPTANCE by the broker / instructor that taught the Division of Real Estate approved 2 day “Contracts Course” .

Ø      COMPLETE REVIEW WITH YOU OF OUR CONFIDENTIAL GUARANTEED HIGHEST PRICE MARKETING STRATEGY

 

There is certainly more to a real estate transaction than a powerful marketing strategy and well prepared contracts.  While over 30 years of personal experience is certainly important to the success of your transaction, precise skills in contract preparation and negotiation is what will give you that added extra when you receive your check at closing.  Other areas where FSBOs and non-participating discount brokers cause losses in bottom line cash are in their lack of knowledge or failure to inform in topics such as Federal and State Fair Housing laws and violations, Lead Based Paint Disclosures, Mold Disclosures and Waivers, Condo and Homeowners Association documents and disclosures, Community Development District special assessments, fees, and disclosures. (We know of a transaction from June of last year where the Seller had a $9800.00 expense they didn’t expect because their inexperienced agent didn’t read the contract, and missed an important provision.)  Every year the legislature passes dozens of new laws effecting real estate transactions, real estate loans, and real estate closings.  Have you been keeping track of them?  We have.

 

In fact, a new law passed in 2004, requires a very simple one page disclosure for almost all homes built in the last 20 years and several that were built prior to that.  If this one little form is missing from your transaction, the Buyer can walk away from the transaction at any time, even at the closing table, and is entitled to a FULL refund of all earnest money paid.  Imagine being put in that position.  You are there at the closing and the buyer decides to play the “I’m not going to close” strategy.  Your furniture is already on the truck (Thousands of dollars), your utilities are already turned off, your mail forwarded, a lease signed on a new place, or a closing scheduled for later the same day for a purchase of a replacement home.

 

There’s a reason people don’t do their own dental work, set their own broken bones, or defend themselves in court, in this day and age.  Your real estate transaction is far too important and the dollar amounts at stake are far too great to trust the process to amateurs or inexperienced people.

In a typical transaction the Realtor performs over 200 separate tasks, a few of which we have mentioned here.  A full list is available on our website:  http://www.jscottjones.com

 

Call us today for a no obligation consultation.

 

J Scott Jones   GRI  reMBA  CREX                           J SCOTT JONES REALTORS – estab. 1982

REALTOR – Broker – Instructor                                 407-629-1707

 

 

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