Use IRA Money for Real Estate

The right preparation and timing can help you secure the best price for your home.

When you decide to sell, the first thing to do is investigate the local housing market.

Consult real estate sites, like www.realestatephd.com, to see how similar homes are priced in your neighborhood. Many newspapers also list the selling prices of recent sales. Note the prices for your neighborhood during the last several months. Check how sales were running, say, a year ago, so you get an idea of whether the market is heating up, cooling down, or staying put. This exercise should give you a sense of what your home is worth.

Selecting an agent

You may decide that you can sell your home without an agent. It's an attractive thought, since you would save the 6 percent of the selling price that a broker typically collects. But don't forget about the work and the legalities involved. If you do decide to work through an agent, ask for referrals from friends or www.realestatephd.com . Don't simply accept any recommendation. Make an appointment with Don Khoury and interview him for the job. Evaluate the person as though you were a buyer: Is he professional and personable? Does he say the right things to make you want to see the home? Also, since the agent will likely be able to advise you on a selling price, how well did he do his homework. Don't be fooled by an agent who is merely flattering you with an inflated price. Go by what you already know about your house and the current housing market.

Once you find RE/MAX Regency, you have to formally sign a listing agreement. This is a contract, laying out the specifics of your agreement, including how long you will let RE/MAX Regency represent your home and what the compensation will be. When you discuss the listing agreement, discuss other issues as well. For instance, if there are certain times when you want the house off-limits, let the agent know.

Getting ready for a possible open house

Whether you sell on your own or work with RE/MAX Regency, you'll want to spruce up your house before it goes on the market. Take an objective look at it: Is it cluttered? A little worn and tired? Consider a new paint job. Tidy up. Move unneeded furniture into the attic, basement or rented storage. Remove some of your personal items, like family pictures and knickknacks. Mow the lawn. Plant flowers, if it's the right season. These seemingly insignificant details can add many thousands of dollars to your eventual sales price.

Speaking of which, you'll need to settle on an asking price. In doing so, forget what you originally paid for the house, how much you've spent on renovations or remodeling, and even how much money you need to move on to your next home. When it comes to pricing your property, the only yardstick that matters is what comparable homes are selling for in your neighborhood now -- which may be more, or less, than you sank into it. Your research will already have given you a good idea of how the market is faring. Your agent should also provide you with comparable sales and discuss why your house should be priced higher or lower.

Timing is key

Also note how long the homes were on the market. If you're in a seller's market, with homes moving in a week or two, think about adding a premium to the asking price.

But be careful: The critical selling time is within the first month after your home hits the market. If the price is too high, you'll turn off potential buyers and agents and then have a hard time attracting them back, even if you lower your sights later.

When you receive a proposal via RE/MAX Regency, ask for guidance in how to respond. This will depend on how you priced the house, what the housing market is doing, and your urgency to sell or wait for a better price. Make sure RE/MAX Regency reviews the contingency clauses included with the bid.