Thanks for the question. The short answer is....it all depends.

It depends on market demand, the current condition of the home, its location, the sales price desired and its comparison to other comparable homes on the market.

In a slow market, you might need to do a little more to make your home stand out above others for sale in your area.  If your home is considered to be in better condition than others on the market, you will not need to do as much – sometimes simple staging is all you need. If the house does not compare as well, then you need to consider how buyers will compare your house to the others they are going to be seeing. That can help focus on items you need to address. As an agent, you see a lot of homes on a regular basis – inside and out – and that helps you determine what should be done to give a home an advantage over others on the market. When there are a lot of similar homes, in a similar price range and in a similar setting, then it becomes more important to do more to set your home apart. After all, most buyers want to get a new home that requires little or no work to move right in. If it appears work is required to get the home in good shape, buyers either move on to another home or make a low offer to compensate for the work they feel is required. That is why I mentioned price plays a big role. If you can accept a low sales price, then you can get by doing less to the home. If you expect top dollar, the house had better be in top condition and should show better than others those buyers are most likely comparing it to.

In many cases, homes that have sat on the market only sold after work was done to make them show properly. A good real estate professional should give you tips that will help your home sell faster. Sometimes I have clients paint rooms which have unusual colors that turn off most people. Sometimes we change landscaping to give the home more curb appeal. Sometimes I advise clients to add architectural details such as trim work and other accents to help the home feel warmer and more appealing to more buyers. People love nice trim and it can dress up an otherwise boring room and for very little cost. Sometimes we change out old light fixtures to make the home brighter and crisper looking. Sometimes we change furniture around so rooms feel “right.”

You also need to understand what you get your money back on and what you don’t – there has been a lot of research done on the subject.  This again varies with the type of home you are selling and its price range compared to other homes on the market.  If you are in an upscale community with other newer homes, you might look at things a little differently than if all the homes are older.

The amount you will need to spend is going to vary based on many factors, some of which I have mentioned above; only an assessment of your home is going to help determine what you should and should not focus on. Let me know if I can help. Good luck! -Nick

You have to ask yourself if you are really going to "save" anything or might actually lose something after considering the following:

1.       Experienced agents handle the sales and marketing process on a daily basis and the good ones have learned lots of techniques and tricks to help their clients obtain the best deal possible considering current market conditions. A lot of marketing goes into properly selling a home and showing the unique value of each piece of property. I would not want a first time surgeon using me as their first patient but if this is your first home sale then you are experimenting with what might be the largest investment you own.  

2.       Many buyers will be represented by either a Realtor or attorney and they will be looking out for their client’s best interests. If you do not have representation on your side then you are standing alone against other professionals with a desire and duty to get the buyer an advantage over you as the seller. Wouldn’t you want those types of professionals on your side as well? When issues come up during the sales process, is there an expert on your side helping to address those items – termite issues, financing hang ups, insurance problems, settlement assistance and others come up all the time and experienced Realtors know how to handle those problems so the sale can continue.  It can be compared to playing the opposing football team all by yourself.  Do you want to try to cover the entire field alone?

3.       Unless you have extensive experience in real estate, you might be short changing yourself.  I have seen numerous properties sold by owners (FSBO) without representation and when I find out what they sold for I knew I could have gotten substantially more if I represented the seller. In many cases, homes sold by owner are either priced too high or too low so they either sit too long or sell for less than the market would allow - either is a bad thing for the seller. As an experienced Realtor I can show added value in properties that is often overlooked, this justifies a higher price than someone who does not understand or properly market that value. I have had sellers try to sell a property unsuccessfully for extended periods and then after they hired me to handle the sale, I was able to obtain significantly more for the property and sold it quickly – both put the seller in a much better position.

4.       If you value your time and have other things to do in life than focus on the sale of your home every day then you start to better understand the value of a good, experienced Realtor. We spend long hours screening unqualified buyers who love to look at houses and are not prepared financially or otherwise to actually purchase. For every qualified buyer that purchases a home, Realtors have spent considerable time filtering out the unqualified “lookers.” Many clients of mine hired me after they tried selling on their own only to become frustrated and tired of dealing with those who simply want to look at properties during their free time, sometimes during odd hours. There can also be safety risks handling strangers alone in your home.  Would you like your wife or child showing the house when you cannot be there in person? Realtors add another good guy on your side which also helps place you in a better negotiating position throughout the sales process.   

5.       When you also consider the exposure that experienced Realtors can give your property, then the added value should be more apparent. The more exposure you obtain, the more likely your home will sell faster and for more than if it had not been exposed to a large market. We use proven tools such as MLS, Internet Web Sites, targeted email lists, networking functions and a long list of other tools to get more potential buyers to see your property; a sign in the yard simply does not cut it. Advertising is expensive and good Realtors know what works. If you tried to advertise as much as I do in targeted publications, you could spend almost as much as the commission itself. After factoring in the time savings, added value proper marketing gets you and the advantage of having an experienced Realtor on your side during negotiations, then the commission can be seen as a savings to you as the seller, not a cost.

I would ask any Realtor to show you what they would do to market your home properly. If they cannot convince you of the extra value they would add to the sales process then that is the wrong agent to use. Give me a call today and I will be happy to show you how to properly market your home to maximize its value and to get more than your money’s worth out of the commission.

Absolutely, many people purchase properties and use the equity from other properties to do so. This is one way to build a portfolio of properties and increase your net worth. You need to make sure you are ready to be in the rental business if you plan to rent out your current home and either be ready to handle tenant issues or hire an experienced management agent to handle the rental for you - find and screen tenants, handle service calls and so on. 

Before you do anything, you should sit down with a lender or two and see what options are available to you in your current situation. I can go over some options with you and help you obtain financing when you are ready to make the move.

It is an excellent time to buy with rates at a 50 year low! And since your other property is near GSU, it is a great time to get tenants lined up for next year. The market in Statesboro has been seeing a lot of activity over the past couple of months and I suggest that this is a perfect time to expand your real estate holdings. There are great deals to be had as a qualified buyer. 

Thanks for the question.

You want to be ready when you find the right home so you need to do a few things before you go out shopping. 

We can discuss price ranges, general loan terms and amenities you desire in a neighborhood and home to narrow down neighborhoods that meet your needs. Then we can meet with local lenders who will explain what you qualify for and provide loan specifics. This is important since it will let you know what price range you can comfortably afford and it gives you an excellent negotiating advantage since a seller will see that you are a qualified buyer ready to purchase; many others are not. This step also prevents disappointing moments after you find the right home since you will know you can comfortably afford it and are ready when you find the right home. I have seen buyers upset after leaving a property they thought was perfect only to find out that based on their income/debt ratio they could not qualify for the mortgage. You want to know that you can qualify for a house in a certain range and you want to make sure you are comfortable with the mortgage obligation before you go down that road.

If you cannot qualify for a mortgage to cover the home you want to purchase we can discuss other options such as purchasing a smaller home, looking in less expensive neighborhoods, increasing down payment, additional lending sources, owner financing, etc. Since middle to late 2008 financing has been much harder to come by and qualifying factors have been tightened substantially. Having relationships with lenders makes a difference and part of my service is helping clients obtain favorable financing. There may also be some things you can do to improve your credit score and change your debt ratio so that lenders will increase what they will offer you.

A final thought, never go shopping for large purchases just before you want to buy a home. Some people make the mistake of shopping for a new car or boat and start applying for financing of those items. That will affect your credit score and can make it harder to obtain a desired mortgage and better rates. With few exceptions, hold off on looking for a new car or boat until after you discuss your financial situation with lenders and your trusted financial advisors. 

Nick has been representing commercial and residential clients for over 15 years. He is an expert in his field and has worked with numerous Fortune 500 companies and local owners and investors. For additional information, Nick may be contacted at (912) 764-4000.

FOR RETAIL - I cannot understate the importance of the proper location. Locations must be looked at from a value standpoint, not just cost. In many cases, the most expensive location is the best for a retail use. I have seen too many businesses take a cheaper location only to find later why it was "cheap." That can easily lead to financial disaster. A good location for the right retail use will be more than worth a higher rent over a cheap location that does not have the exposure and traffic counts needed for most retail. Careful study of traffic counts and flow, tenant mix, parking and a long list of other pieces must fit together properly to make a location the BEST location. The fixed costs involved in setting up a business do not change much between two "comparable locations." If site A has 15,000 vehicles a day and site B has 5,000, then site A has a lot more value and that must be taken into consideration when deciding which location to choose.

When a business calls me and just wants to know the rent of location A and then hangs up, I know they have little experience understanding how to consider retail sites. Many start up businesses do not understand the pass-thru charges over and above the rent. In most retail leases, there is a base rent and then there are pass-thru's also called CAM Fees, percentage rents and so on. These can greatly affect the overall cost of a location so if you just compare base rents, you are only looking at part of the picture. The rent might be $16 a foot and the CAM might be another $5-7 dollars a foot; that is an extra 30-44% in monthly cost that needs to be budgeted. If one site has a higher rent but a lower CAM, then it could actually be less expensive than a lower rent site with a higher CAM.

Lease terms also play an enormous role in choosing a location. Lease terms can dramatically change the cost and value of a location and will impact the bottom line. Many leases restrict items a retailer may sell, operating hours, store design, signage, etc. Other locations might be more flexible. What about options to renew? Cancellation provisions? Sublease rights? Landlord approval of items? The list is long and only an experienced commercial real estate broker can properly guide a client to the right location.  A lease is a long term investment with serious financial repercussions and taking shortcuts when you sign a lease can cut into your profits for 5, 10 or more years down the road.

FOR WAREHOUSE - Warehouse users have different needs. Depending on the use of the warehouse, ceiling heights, floor loads, utilities, column spacing and other design specs can be critical to choosing the right building and site. Truck courts play a critical role for warehouse users with significant truck activity. A lot of money is saved in efficiency if trucks can load and unload easily without delays. I always dig into the details of a clients logistical operations before we start looking into sites. If a client gets a lot of shipments via 53 foot tractor trailers then you had better make sure there is adequate clearance for those loads to get in and out easily. It is hard to get a 53 footer into a 53 foot space without a helicopter! If items are stacked or cubed, clear heights become very important. If a manufacture uses a lot of water, you had better know the service lines running into the property. What about rail siding? Electricity is also a critical item. If the site does not have enough electrical capacity, it can be cost prohibitive to upgrade the service. Where are shipments coming from and going to? How does each site option affect cost per mile in shipping costs?

Each business has unique needs that must be studied and understood before considering sites. I would be happy to discuss your specifics. 

Nick has represented all types of business clients over the years and is available to discuss commercial sites for sale and lease in and around Statesboro Georgia by calling 912-764-4000.