Real Estate Sales Process | Process Street Real Estate Sales Process – Process Street

Introduction

89% of home sellers use real estate agents when selling their home. A solid number in theory. However, when you also consider that a massive 33% of those sellers would not use the same agent again you start to see a problem. The real estate sales process can be long, frustrating and precarious, and if not done correctly you stand a very good chance of alienating future custom.

However, here at Process Street, we've been working hard to write a collection of process documents which will help ease the pain.

By running through this checklist every time you start the sales process, you can be sure that no key details or opportunities are missed whilst getting the deal running smoothly.

In this checklist, there are links to separate workflows you can use to have more control over your working life, like home staging, home cleaning, and other parts of the real estate sales process that are vital and bound to help you move your inventory.

We also have articles on the best real estate apps and several other free real estate checklists for you to check out.

Ready to process a sale? Let's get started.

Listing Preparation:

Record the basic details

We're kicking off the real estate sales process with a nice and easy step; you need to start by recording the details of the property and its sale. Do so by filling out the form fields below.

Stage the property

Before you do anything else you need to make sure that the property is staged correctly. Record the status of this step using the form field below.

This should be discussed with the seller, as they will have to do it themselves, and if they are reluctant, be sure to bring up the potentially significant boost to the property's retail price.

Handily, here at Process Street we have compiled an easy-to-follow Home Staging Guide which you can forward to the seller without hassle.

Clean the property

The next step in the real estate sales process is to ensure that the property is thoroughly cleaned and ready to be presented both online and in person. As with the staging, record the status of the property cleaning in the form field below.

This should once again be discussed with the seller, as it will be their responsibility. Remind them that a thorough cleaning can boost property prices by a surprising amount, which is desirable for both you as the agent and the seller.

We also have a Pre-Listing House Cleaning Checklist which can be run by the seller to make sure that all bases are covered, and the property is set and ready to sell.

Sales Listing:

List the property for sale

Now you need to list the property for sale. This includes evaluating and setting a price for the property, along with submitting it to online databases in order to stir interest.

Record the details of the listing using the form fields below.

Whilst Zillow is a popular place to do it, it is highly recommended that you take a look at our Real Estate Listing checklist in order to avoid missing any important steps.

Viewings:

Host open house or private viewings

Now is the time to get fully interactive with potential buyers by hosting viewings and marketing the property. Once again, this can be easily achieved by taking a look at our House Viewing Checklist.

Negotiating the Sale:

Make purchase agreements

Whilst it may seem over the top, a purchase agreement needs to be made for every offer and signed by the potential buyer. Save copies of the purchase agreement as necessary using the form fields below for safe keeping.

Remember that this document needs to include the following sub-checklist items:

  • 1
    The offered purchase price
  • 2
    The initial cash down payment
  • 3
    The length of the payment term
  • 4
    Any other terms of sale

Examples of purchase agreements are available online, such as the file below, which originates from Central Michigan University's website. This is a vital step in the real estate sales process and cannot be overlooked!

Confer with the seller

As stated in the House Viewing Checklist, all offers should have been related back to the seller and documented in writing; the next step is to confer with the seller on their stance to said offers. 

Consider how long the property has been on the market and any potential recent (and similar) sales to judge the worth of the offer.

Discuss offers with the seller to help them through the process, much in the same manner as when you advised the seller on the initial property price. Do not stop marketing or showing potential buyers around the property; whether this offer is the one which will be taken or not, do not rely on it going through.

Negotiate as required

Once you have discussed the offer with the seller, it is your responsibility to contact the buyer and either relay their acceptance or provide a counter-offer. Once again, record the offer in writing.

If this counter-offer is further negotiated upon, keep relaying offers to both parties and answering any questions either may have. Bear in mind that negotiations may not be entirely based on price; aspects such as concessions, financing and timing can all be altered to suit both parties.

Do this until negotiations end and a final offer is accepted and confirmed by both sides. Record both a copy and base details of the accepted offer using the form fields below.

Offer Agreed:

Organize remaining dates

The sales process is almost at an end; time to arrange dates and times for the last few important steps to take place. Obviously, these times should be agreed upon by both the buyer and seller, and need to include the following form entries.

Doodle is a fantastic dedicated way of managing your meetings. For more information and alternatives, check out How to Manage Small Business Calendars in the Cloud.

Conduct any post-inspection negotiations

Self-explanatory to the utmost, you need to conduct any necessary negotiations after the property inspection on the buyer's behalf.

This step may not always be necessary, largely being dependent on your initial property assessment and the information given during the sale. If you have already disclosed any problems with the site or building then there will usually not be any points on which the buyer can further negotiate.

If, however, negotiations are required then you must relay offers between the buyer and seller until a satisfactory conclusion is made.

Oversee the exchange of contracts

Although this task can also be carried out by a legal representative or consultant on the seller's behalf, it is possible that you, as the agent, will have to exchange contracts (purchase agreements) between the buyer and seller.

Not only does both party need to sign the contract of sale, but a copy of the signed document needs to be given to both sides within 24 hours of signing. Ensure that the buyer pays the required deposit on the property.

Whilst much of the closing procedure is handled by the buyer and seller's legal representatives, the closing documents on the seller's side include:

  • The HUD-1 settlement statement
  • A certification of title
  • The deed
  • Loan payoff
  • Mechanic’s liens

  • A bill of sale
  • A statement of closing costs
  • A statement of sale

For more information on any of these documents, Zillow provides a succinct explanation for all.

Remember that, although the buyer generally has a 5 working day settlement period to think over their choice and back out with no repercussions, the seller does not have this grace.

Remove the property from marketing

Only once contracts have been exchanged, the settlement period is over and the property is technically sold should you remove it from marketing campaigns. Ensure the buyer is given any keys to the property and the remaining funds are transferred to the seller.

Congratulations to both you and the seller - this Real Estate Sales Process checklist is complete and you've successfully sold you property! Now get ready to start the process all over again!

Sources:

Relevant Checklists: