UNDERSTANDING THE TERMS OF THE LISTING CONTRACT IS AN IMPORTANT STEP IN SELLING YOUR HOME

We have to write our column early to keep our editor happy. So as we are writing we are watching the snow fall. And we are repeating our mantra "please let the warm weather arrive soon." For those of you who plan to list your home for sale this spring, you are probably wishing for the same thing. This week we sought the advice of Sid Heilbraun, Managing Broker at Town and Mountain Realty to help you understand what is involved in listing your home.

First comes the paperwork. You will sign a legally binding agreement to allow your chosen Realtor's firm to market your property. You will agree upon a price for your home. Your Realtor, based on a thorough inspection of your home, and research on comparable sales and current listings will recommend a listing price to you. You, the seller, make the final decision. Remember, however, that an overpriced listing may help to sell someone else's house '' since theirs may look like a bargain compared to yours.

You will agree on a commission which will be paid to the firm upon the successful sale of your home. Although it seems as though there are industry standards, the commission is totally negotiable between the seller and the listing firm. Although remember our favorite phrase "you get what you pay for". Most of the time, the commission pays both the listing agency and the agency that brings you the qualified buyer.

You will also determine the specific length of time that the agency has an exclusive right to market your home. Once again, that is negotiable.

There are many alternatives that an agency may use to market your home including some or all of the following: entering the home into the MLS (multiple listing service); magazine and newspaper advertising; broker and public open houses; and web site listings that may include a virtual tour of your property. All the marketing activities will be specified at the time the listing contract is signed.

You will be asked to specify in the listing agreement what fixtures and personal property will or will not convey at time of closing. So if you don't plan to leave your mother's Waterford crystal chandelier, remove it and replace it with one that will convey prior to your home being shown. Eliminate any confusion.

Speaking of showings, you the owner can specify how and when your home can be shown. The easiest way is for the listing agent to log your home with CSS (centralized showing service). This means that a Board of Realtor's member can show your home. CSS will call you and leave a message notifying you that a showing has been scheduled. You can specify to CSS through your listing agent what days and hours the home may be shown. You can also stipulate that you must be contacted and agree to a showing before it happens and if you have a wild animal at home, you may specify that you need to be present when the home is shown. The more opportunities that you provide for your home to be shown, the more likely it will sell in a timely fashion.

In addition to signing the listing contract you will also be asked to fill out a lead based paint disclosure for homes built prior to 1978. You will also need to complete a North Carolina residential property disclosure to indicate your awareness of any malfunctions or defects. You can indicate yes and explain, no, or no representation.

As a seller you should also ask to see a blank Offer to Purchase and Contract. Try to get familiar with it. Ask your agent questions about the contract prior to receiving an offer on your home.

Prior to listing your home you might want to consider some of the following improvements: landscaping will help improve the curb appeal; fresh paint inside or out makes a difference; kitchen renovations always appeal to buyers; and the one that costs nothing '' clear out the clutter.

Happy spring and happy selling!