Real estate investor needs to do some research

Q: I am in the process of buying a foreclosed property but still have to sell my house. How can I sell my house without going through a broker? Can I use a multiple listing service? Are there any websites where I can list the property? How long should you market your home? I think advertising would be too expensive. Can you give me any ideas or suggestions? — J. K.

A: It was thoughtful of you to enclose a return envelope, but I’m afraid I can’t tell you how to sell real estate in a single letter. Here are a few excerpts from a book that I wrote on this subject:

“You can eliminate the broker, but you cannot eliminate the expenses incurred and the work performed by the broker … plan on working extra closely with your lawyer.”

You’ll need time for studying, exploring the market and showing the house. It’s important to have a wide exposure to the market, access to a credit bureau, knowledge of housing laws, good negotiation skills and patience.

“Many people think the job of selling consists of finding someone who wants to buy the house, but that is just the tip of the iceberg … Those who succeed are often somewhat sophisticated in business and financial matters.”

You usually must be a member to access your local Multiple Listing Service.

There are many websites to facilitate an FSBO, for sale by owner. Search online.

In terms of marketing: Understand that you’ll receive the highest offer when your property has been widely exposed on the market. The more buyers hear about your property, the higher offers you’ll receive. There’s no point in selling in one day if you’ll short-change yourself. A house is not supposed to sell in one day. A lawn sign is a good place to start, but decide if you want to spend money on other advertising.

As a beginning real estate investor, I hope you’ve lined up a lawyer and accountant. The next step is to go to the library and ask a research librarian to recommend books. You need to do some studying. In my state, for example, real estate salespeople have to complete a 75-hour course and pass a state exam before they’re licensed. Even then, they’re under the close supervision of an experienced broker. Taking a real estate license course would help you build your background.

Envelopes and water heaters

Q: I have two comments. First of all, you wrote about a self-addressed stamped envelope. But an envelope cannot address itself, it must be pre-addressed by a person or a machine of some sort.

Also — this does not necessarily pertain to you, but to many real estate columns I have read — water heaters heat cold water, not hot water. They’re not hot water heaters. All you need to do is read the box it came in. Thank you for your time. — B. K.

A: You’re right about the envelope. It cannot address itself. I did enjoy publishing the term “SASE” though, since most older people know what it stands for and the kids don’t have a clue.

But I am ready to argue about the water heater. Yes, it heats cold water, but I’ll bet it spends most of its time keeping hot water hot.

To change the subject: I usually delete the kind words and thank-you’s in my readers’ letters to use the space for the topic at hand. But I couldn’t resist this next compliment.

Which Agent to Use

Q: I read your column regularly. It’s more important to me than the comics.

I am preparing to list my townhouse. Two other townhouses in our building are currently for sale. They’re using the same realty company. Both are two-bedroom units like ours; one is a middle unit with a walkout, and the other is a bit upscale. Ours is an end unit and is less pricy.

I think it might be advantageous to use a different realty company. What do you suggest? I would like to expedite the sale — to sell for a fair price and not be greedy or the process time consuming. — S. M., www.askedith.com

A: It won’t make much difference whether you use the same realty company or find a different one. There’s something to be said either way. The important thing is to list with an agent you feel comfortable with.

Assuming both firms belong to your local MLS, buyers who want to live in your development will probably be shown all three properties anyhow. But yours will stand out if the price is attractive, so it sounds like you’re on the right track to make a prompt sale.

Edith Lank will respond personally to any question sent to www.askedith.com or 240 Hemingway Drive, Rochester NY 14620.