A real estate marketing veteran wants his siblings to reap the best price for their parent’s home, but they don’t want to spend money — now what?
Q: When I was selling the Marin County home my now ex-wife and I designed and built, we agreed that I should handle the sale because I have spent decades working in residential real estate marketing. The multiple-level house built on a slope has a detached garage at the street level. The bevy of local agents we knew personally or professionally all felt the home was “too custom” and would never command a premium price. That’s when I remembered a Silicon Valley broker I met through a firm I represented. I used to tell myself, “If I ever sell my house, that’s the broker I want.” Luckily, he agreed to represent us and pointed out how and where to invest in the presale preparations. The local agents did indeed balk at the list price of $1,850,000 during the weekly PRE-COVID-19 broker tour of the newly listed homes. The $10,000 in presale inspection, repairs, improvements and his beyond-reproach negotiating landed us a sale $215,000 over list price.
Fast forward, my widower Dad passed away due to COVID-19, and we are in the process of selling the family home bought in 1960. My siblings looked after my parents since they resided in the same Southern California city. Thoroughly exhausted, they asked me to take control of emptying our parent’s house and getting it ready for sale. While down for the funeral, we hired one of the three real estate agents recommended by my Silicon Valley broker. Now, our seller’s agent is receiving instructions from my siblings not to arrange the agreedupon roof and chimney inspections, fence repairs, window washing, and house cleaning. What do adult siblings do to stick to the plan in these situations?
A: Outnumbered and out of town, an adult sibling still has options. You know your $10,000 helped secure a $215,000 “upcharge.” My guess is your siblings heard that story and did not see the correlation. Today’s Southern California home sale is a 1980s-style Bay Area transaction, which means little or no seller or seller’s agent proactive steps to ensure a faster, more robust sale that stays sold. Like I always say, “Frugality is expensive.” You can pay for the inspections and improvements out of pocket, stressing no need to be reimbursed. The savvy adult sibling’s non-negotiable option insists that all buyers complete the California Association of Realtors Receipt For Reports form (C.A.R. Form R.F.R., Revised 6/19) before presenting a purchase offer. After acknowledging that they have read and received any presale seller reports and disclosures, low-ball prices and post-litigation become unlikely when those homebuyers proceed to submit purchase offers. Additionally, insist that the eventual homebuyer is allowed an inspection contingency period. These are your longdistance workarounds to your siblings’ shortsightedness and frugality, which result in unnecessarily reducing homebuyer consumer protection and home sellers’ risk management. Do what your parents would want, maintain the peace and keep your siblings out of court.
Questions? Realtor Pat Kapowich is a career-long consumer protection advocate and Certified Real Estate Brokerage Manager. 408-245-7700, Pat@silicon Valleybroker.com DRE# 00979413 Siliconvalleybroker. com Youtube.com/patkapowich