Steps to selling
with TK

Hopefully, you give me an opportunity to come in your front door and discuss how I can add infinite value to the process. At our initial meeting, I generally like to get a feel for who you are and how we would work together. When I started in the business in 2004, I was a 26-year-old kid that would take any/all listings that came my way. Over the years, I now have the luxury to pick and choose my situations. Most sellers think they are simply interviewing me during the initial consultation, while I am definitely interviewing them as well. In this day and age, working with unrealistic sellers is simply a waste of everyone’s time, effort, and money.

During this sit down, both myself and the seller(s) chat and get to know each other. I have so much information that I can bring to the table, but I feel like some people just want the “just tell me what to do so I can sell quickly” version. I want to inform and educate but also do so in a manner that isn’t too intimidating. Don’t get me wrong, the process has many obstacles of course. My job is to simplify it as much as possible. Let me know if you want the “detail package” or the “cliffs-note package” so we can move on from who I to to to what you have to do to get maximum return on your investment.

Many sellers also like detailed reports/numbers to see when they first meet me. It is understandable, but not very necessary. The time frame from initial consultation, until you hit the market, can be weeks or even months, so there is no need for exact figures at this time. I feel like crunching the numbers isn’t mandatory until everyone is “ready” to hit the market. A listing price comes just before going to market, so we will have time to address that down the road. First, we need to establish trust back and forth. It’s impossible for a seller to rely on numbers from someone they don’t even know. Trust me, I have done this before.

So we had our initial consultation and we have decided to work together on the sale of your property. Excellent!!!!

I will come back to meet you at the property and go over a few different things we need to discuss:

Listing Agreement: It is pretty simple and direct. We will go over all the details to make sure both of you understand everything.

Disclosures: There are several disclosures that the state mandates be reviewed and filled out prior to coming on the market.

Staging Consultation: Now that you hired me, I can give you all the knowledge I have on the topic. At my cost, I also have a professional stager I can bring in for a consultation.

Photography: You will work diligently to make sure the home is in “Showing Condition” prior to pictures. At my cost, I bring in a professional photographer that also does floorplans.

Pricing: Obviously once we are ready to hit the market, I will do a CMA (Comparative Market Analysis) and we will discuss our pricing strategy.

Showings: You and I will need to discuss how showings are handled from gaining access to the property to timing.

Those are the basic ideas we will cover during this consultation. We simply want to be on the same page about how everything will work. Once we are ready, we will hit the market and the showings will begin!!! 🙂

We are ready to go with the listing, so we “hit the market”! Here we go…

The first thing you have to realize is that showing requests will be at any time of day. Depending on buyers’ schedules, we could get a request at 8 am or 8 pm. Unfortunately, when you are on the market, you need to prepare to be inconvenienced. I generally ask people to give us at least 24-hour notice and of course, if there are specific days/times that can’t work for you, we will make it known initially as well. Other than that, I never like to turn down a showing, so you and I will need to do whatever we can to accommodate the showing request.

Other than being open to showings, I sincerely need you to be diligent about keeping the home pristine. The first impression, as you know, is the most important. We need to be sure to have everything ready to go during that first showing and beyond. I know it isn’t easy, especially with kids or a messy spouse, but if the place isn’t going to be able to be kept pristine it is going to be a waste of our time. We need to put our best foot forward immediately. There is limited inventory out there, so make sure you shine to be the best!

After a showing, a buyer is interested in your home and decides to write an offer on your property. Once received, we will discuss it and you can do one of 3 things:

1. You can ‘Accept’ it with all of your conditions (happens 20% of the time)

2. You can ‘Counter’ it and make changes that work for you (happens 75% of the time)

3. You can ‘Reject’ it (which happens 5% of the time)

Those %’s are my estimates and not fact, but most sellers will counter the offer. You may like the closing date and the down payment information but don’t like the price they offered and would like to bring the washer/dryer with you when you move. This ‘Counteroffer’ is a NEW offer to the buyers and now they are in the driver’s seat on how to go forward.

A few years back, I received my CNE (Certified Negotiation Specialist) so I have a wide array of approaches depending on the situation. You and I will discuss everything and move forward strategically. Some negotiations include multiple counteroffers, so it’s ok to counter again. Most of the time, Price is the biggest factor as you may have guessed. Let’s say you counter again and the buyers accept your offer. Now what?

Well, an offer does not legally become a ‘contract’ until both parties have initialed/signed off on the changes to the original offer AND the buyers have the final contract in their hands. It is integral to get signatures/initials immediately to not allow other issues to sneak in.

Congratulations, we have successfully negotiated the terms and price of your home with the buyer and signed a contract! This means we are halfway through the selling process, but there are a few more things to take care of.

To begin with, we need to obtain the Initial Earnest Money from the buyer. This is a small amount of money, usually around $1000, that demonstrates the buyer's seriousness and commitment to purchasing your home. As your real estate agent, I will act as an "escrowee" and hold the money throughout the process. The property will be marked as "contingent" on the MLS to let other potential buyers know that the property is under contract.

Next, it's important to hire an attorney who will represent you throughout the selling process. The cost of an attorney is usually between $500-$700, and they will ensure that the contract is in your best interest and that you are fully protected. If you don't have an attorney, don't worry, I have great connections with several real estate lawyers.

After the attorney is hired, the buyer will conduct an inspection of your property. Although inspections are not mandatory in Illinois, they are highly recommended, especially for first-time homebuyers. Prior to the inspection, make sure the property is ready and presentable. During the inspection, I will be present, and afterward, I will provide you with an update on how it went. If any issues arise during the inspection, the buyer may request that you fix them or credit them. However, this is negotiable, and we will work together to come to a resolution.

Assuming the inspection goes well, the buyer will move forward with the transaction, and you will receive the Balance of Earnest Money, which is a much larger amount than the Initial Earnest Money. The total amount of Earnest Money can vary depending on the size of the deal, but it typically ranges from 3-5k for smaller deals to 15-20% of the purchase price for larger ones. Once we receive the Balance of Earnest Money, the property will be marked as "Pending" on the MLS.

From here on out, the buyer will be working with their mortgage professional to ensure the loan is progressing correctly. As your real estate agent, I will keep in touch with the buyer's realtor or mortgage professional to ensure everything is going smoothly.

Now that you are “Pending”, the buyer will go off and work with his mortgage professional to obtain the mortgage. During this time, you have two things on your plate: The Appraisal and the move.

I will get a call at some point from the bank’s appraiser. The bank just needs to confirm that the property is worth (at least) what the buyers are paying for it. Do not be nervous, but treat this like any other showing. Make sure the place looks pristine, and we will be fine. I will pull up comps and show the appraiser that the contract price is legit. It generally takes 15-20 minutes.

Moving out is always a pain and never fun for anyone involved. As we approach the closing, you must get ready to move! Depending on your housing situation after this home, we will decide on your best course of action with regard to when/how to move. Some people load up the moving trucks the night before closing; some move over the course of a few weeks. The only stipulation here is that ALL moves have to be completed before we go to the closing table.

Congratulations, you're almost at the finish line! Once the buyers have submitted all the necessary paperwork and the file has been sent for underwriting approval, we eagerly await the best news in the entire transaction: "CTC" (Clear-To-Close). This means that the bank has approved the buyer's loan and given them the green light to purchase your property. Your attorney will then set up a closing date, and the buyers will request a final walkthrough just before closing.

During the final walkthrough, the buyers will inspect the property to ensure it's in the same condition they anticipated. Any issues will be resolved at the closing table, but usually everything is fine. If there are no issues, we proceed to closing.

As a seller, you will only need to sign 1/10th of the paperwork a buyer will have to sign. If you prefer, you can even sign your documents before the closing and not attend the closing at all. You can sign with your attorney the day before or even the week before if that's more convenient for you.

Finally, the closing is a huge relief after a long process. Once the closing is complete, the title company will wire you the proceeds from the sale, and you're done! Of course, there are other things that can happen during the process, but rest assured that as a seasoned professional with years of experience in the industry, I'm well-equipped to handle any curveballs that come our way. Congratulations on your closing!