The Worst is Over says David Lereah

Three-quarters of the nation's housing markets will start to improve next year, while the remainder continue to feel the remnants of this year's contraction. In his monthly commentary at the Real Estate Insights web site, NAR Chief Economist David Lereah says "waiting-on-the-sidelines" buyers should take heart because affordability conditions are improving - from the National Association of Realtors

Real Estate Slump

Well it seems that the real estate slump is continueing - things are still selling, but not like we are used to ...... in st. louis we have over 45 listings and about 6 of them are in some kind of contract status.

It does seem like things picked up a little bit right before thanksgiving - seems like everyone is still looking toward spring for sales to surge.

More and more people are selling for sale by owner too --- check out our FLAT FEE mls listing from $195 -- retain the right to sell you house yourself AND have it on the mls too!

Which Home Improvements Add Value?

While some home improvements can add significant dollars to the resale value of a residence, others are barely worth the investment. So how can homeowners decide which improvements will add significant value and which won't?

Here's a few tips on cost-effective improvement; upgrades that can make the difference in the sale price and add value to your property.

As a rule, kitchens and baths are the two areas that most often make the difference in a sale. They make the most impact on buyers, and definitely impact what buyers perceive the property is worth. But, kitchens and baths are not inexpensive to upgrade.The national average for remodeling an entire kitchen is more than $20,000 with some running upwards of $30,000. Complete remodeling can include cabinets, floors, counters, sinks, appliances, lighting fixtures and new windows.

Make sure any improvements are appropriate to the character of the property. Try to avoid replacing old features - such as stained glass, picture rails and original skirting boards with modern ones.

An extra bathroom should keep its value, as long as it is not built at the expense of a bedroom. If the property is fairly large and has upwards of five bedrooms with one bathroom - converting a bedroom into a bathroom may have certain appeal and homeowners may possibly break even on their investment.

Laundry rooms on the main floor or upstairs in the bedroom area seem to pay for themselves.

There's a way to put a new look on this important area without spending significant money. For a relatively low cost, homeowners can make spot improvements. For example, for as low as $1,000 the existing countertop can be replaced with a Formica top. For $2,500 to $3,000, the existing cabinet faces can be replaced with solid oak faces. Homeowners can buy a new sink at a home furnishing store and have a contractor install it for approximately $300 - $400. The end result is improved appearance-and usually a higher selling price for relatively minimal expenditure.

Other areas that influence price: Central air conditioning is an important feature for which buyers will usually pay extra.

Room additions, on the other hand, may add value, but may not end up paying for themselves.

Upgraded carpeting, top-of-the-line windows and vaulted ceilings can command higher resale prices, but it is unlikely that the seller will be able to recoup their original investment.

Existing features that have diminished with age can usually be repaired without a lot of added expense. Hardwood floors, for instance, cost $1.50 - $2.00 per square foot to refurbish, but it is a good investment because buyers are willing to pay more for the refinished appearance.

A swimming pool may be the height of luxury, but potential buyers may be concerned about security risks for small children and expensive running costs. A pool may recoup as little as 10 percent of the initial cost and so should not be considered to be a good house improvement

Garages are sought after features and will almost certainly recoup an investment.

For older homes, people are more energy conscious, so improvements in the insulation of windows, doors and storm doors are smart investments.In general, neutral, light and bright are the best rules to follow-a neutral decor, freshly painted walls and clean carpeting also help to sell a home faster.

Selling your home in a buyer's market can be very frustrating - You may have to slash your price, or allow your home to sit on the market until it becomes stale. What are some steps you can take to improve your odds?

1. Videotape your house, inside and out. View the tape as if you were the buyer. Be objective about what you see and change the problems.

2. Get feedback from buyers and other agents who have shown your home. Ask them to be direct and to not sugar coat the comments. Listen and try to correct the problem areas.

3. Promote your home internet listing. - post FREE on lauralei.net, craigslist, postahouse.com and numerous other free sites.

5. Try to leave buyers to browse if your home is being shown . If your home is listed with an agent, this is easier to do. Simply, put the kids and the pets in the car and drive away. . The owners presence during a showing makes it uncomfortable and difficult for buyers to talk, look in closets, etc. which they must do before they will buy.

6. Neutralize your colors. Most buyers prefer pale, light, neutral, calming color schemes. White exteriors outsell all other colors; interior preferences are light.

7. Make sure your home is priced to sell - price and location are the two most important factors for a speedy sale.

8.If you've tried all the tricks of the trade and your price is in the market, wait for a better season of the year or more aggressive market to sell your home, if possible.

Real Estate Statistics

REALTOR® Statistics
Hours worked by all REALTORS® (nationwide): 46 per week
Gross personal income by hours worked: $62,300 (median for 40 hrs.) Percent of business generated by REALTOR® personal web site (all REALTORS®): Zero - 28%; over 25%- 12%
Real estate experience of all REALTORS® (median): 9 years
REALTORS® by gender: Male 46%; Female 54%
Formal education of REALTORS®: Some college/associate degree: 45%; Bachelor's degree: 26%; High school graduate: 9%; Graduate degree and above: 11%; Graduate study: 9%
Affiliate membership of REALTORS ®: RLI: less than 1%; WCR: 4%; CRE: 1%; REBAC: 9%; CRS: 11%; CCIM: 2%Source: 2005 National Association of REALTORS® Member Profile

Giving sellers options

Our main goal is to give the customer options. Most people are familiar with the full service listing. We are working at getting the information about the alternatives and what they provide. The flat fee listing can benefit the client in several ways, including paying no on listing commission and retaining the right to sell by owner with no commissions at all if the homeowner finds the buyer. The MLS listing looks like all the rest and goes on Realtor.com and numerous other internet sites.

Frequently Asked Questions

Is this the same MLS that all of the Realtors in my area use?
Yes, your home will be listed by a licensed Realtor and your home's MLS listing will appear in the proper MLS for your area.
How do you provide your services at such a low price?
Most of our services are provided electronically. Since we don't maintain a large office and we do most of our busines via phone, fax, email, and the Internet, we have very low overhead and can easily pass our savings on to our clients.
Is it true that Realtors using the Multiple Listing Service (MLS) sell most houses and that they usually sell for a higher price than homes that aren't listed on the MLS?
Yes, it's true on both accounts. According to the National Association of Realtors, approximately 80% of all U.S. homes are sold through Realtors using the MLS and homes listed on the MLS average net proceeds of 7% higher than homes sold for sale by owner.

When will my house be listed on the MLS?
Your home will be listed on the MLS within 24 hours.
How long will my home be listed on the MLS?
Your home will be listed on the MLS for a maximum of 4 months.

Will my listing look the same as those who have agreed to pay a full listing commission to a traditional agent?
Yes. Your listing will look like all of the other listings on your local MLS.

How will I know my property is listed with all of the correct information?
You will receive a copy of your MLS listing and you may make any changes you like, provided the changes are acceptable to the rules and regulations of your local MLS and Board of Realtors.

Do I have control over all listing information?
No. The MLS arranges required information according to multiple choice templates. We cannot customize the MLS data listed. Further, most fields are not transferred to public sites, only the most basic information will be displayed.

What if I sell my house on my own?
This is yet another benefit that sets us apart from your typical Realtor. When you list your home through Lauralei Properties you pay a flat fee of just * (depending on the location and price of your home), but you still maintain the right to sell your home on your own. If you find your own buyer, you will not be obligated to pay a commission on the sale.

If my listing Realtor brings me a buyer and sells my home, will I owe a commission?
Yes. If any of our affiliated Realtors present a qualified buyer to you and that buyer purchases your home, whoever brings you the buyer will be entitled to the buyers' agent's commission you agree to pay (generally 2.7%) for selling your home as the buyers' agent.

Can I use a lockbox?
Yes. We have combination lock boxes you use for the 4 months for $25.
Will you conduct open houses?
You may hold an open house of your own, if you so desire. We will conduct open houses for a fee. The fact of the matter is that open houses are primarily prospecting tools for real estate agents. Open houses are really a way for agents to get their names out there to prospective buyers who are early on in their quest to buy a home. Furthermore, very few homes are sold as a result of an open house because many of the visitors are tire-kickers, bargain hunters, nosey neighbors and people looking for something to do on the weekends.
Will my property be listed on the Internet?
Yes. Your property will be listed on www.realtor.com, www.lauralei.net and other real estate websites. These internet listings will give you national exposure to out-of-state homebuyers. Since many of your potential buyers will be from outside your local area, this exposure can be a vital component in selling your home quickly and for the best price. The independent websites, realtor.com and homes.com, will obtain your listing directly from the MLS. Keep in mind that they pick up whatever they wish from your MLS listing to publish on their websites. Thus, we have no control over these independent websites and we cannot change or edit their content.
Who will do all of the paperwork involved in the sale of my home?
If an agent submits an offer it will come to Lauralei Properties and I will assist you. If you get a for sale by owner client you get forms directly from the buyer. If you do not feel comfortable with doing the paperwork involved and feel you need assistance, we will do the forms for a small fee.

Do you accept credit cards?
yes, we accept credit cards via Paypal, and we also accept personal checks.

Flat Fee listings and how they work

Flat fee mls works because there are two real estate agents involved in the sale of almost every house: the "listing agent" who works with the Seller, and the "buyer's agent" who works with the Buyer.

1. Listing Agent tasks include putting home in MLS, a sign, help with contracts....

Buyer's agent searches MLS for homes that match Buyer's wishes, takes Buyers to see homes and prepare offer and assist with negotiations

On a $200,000 house, the Seller typically pays 6% commission ($15,000) which is split evenly, with the "listing agent" getting $7500 and the "buyer's agent" getting the remaining $7500

A flat fee listing eliminates the $7500 that goes to the "Listing Agent" and replaces it with a "flat" fee of $195 - $495

This is a SAVINGS of thou$and$ of dollars

PLUS you can still sell your house yourself if you find the buyer and pay NO commission!!

check out my website


lauralei.net.....

Laura Ludwig
Lauralei Properties
314-503-1186

Welcome to Lauralei Properties

Welcome to Lauralei Properties and the chance to sell your home your way! We are really interested in getting your input - questions and concerns - about the home selling process.... add your entry today - and check back often as the blog will be updated regularly.