How to Work With a Realtor When Issues Come Up

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People hire Realtors for convenience, knowledge, industry connections and overall expertise. But what should you do when things aren’t going as planned?

While you can legally fire a Realtor in some instances, the most common issues are things that you can try to navigate on your own first. Use this blog as a guide to see how to work with a Realtor when problems come up.

“They’re not communicating as much as I’d like.”

Ideally you figure out your communication style before choosing a Realtor and look for one who can meet your needs. But if that ship has sailed, here are a few things to try.

  1. Decide on frequency. How often (or when) do you want to hear from your Realtor? 
  2. Decide on method. Do you prefer texts, calls, Google messaging or emails?
  3. Figure out why it’s important. Why do you need more communication and what do you need it for?

Once you’ve answered those questions, it’s time to talk to your Realtor. Let them know where you’re at and bring it up in a respectful manner. Consider opening with something that you appreciate about them. Ironically, yelling at a Realtor about needing more communication is not going to get you far.

“My house isn’t selling.”

There could be any number of reasons why your house isn’t selling and a Realtor isn’t the automatic root of the problem. Here are some instances of when it’s the Realtor and when it’s not.

House-related selling issuesRealtor-related selling issues
– Most expensive property in the area (and by a wide margin)
– Super custom, in a way that turns off the average buyer
– Undesirable location (ex. right next to a freeway)
– Property needs a ton of work		– Doing little to no marketing past listing in the MLS
– Not recommending (or providing) professional photography*
– Not helping with staging*
– Lack of transparency or communication

*Not required for Realtors but a service that many offer.

Hopefully your Realtor is transparent with you about what’s going on. Talk to them if that’s not the case. It’s almost a guarantee that you signed a contract with your Realtor, so you’ll have to wait for that to expire before switching to a new agent.

However, if you don’t remember signing anything that listed how long you’re in contract (or you just want to review the documents), ask your Realtor for a copy. If they don’t give it to you, call their broker and if that doesn’t work, the local Board of Realtors next.

One important detail: if a person looks at your house while you’re still under contract with your Realtor, then puts an offer in after the contract ends, you’ll still owe the Realtor commission.

“I don’t think they’re being honest with me.”

There are, sadly, a number of scenarios where Realtors put the blinders on their clients. Be on the lookout for the following and report it to the broker as a contract violation.

  • Only showing properties that can get the Realtor a higher commission. 
  • Preferentially showing their company’s listings.
  • Not telling sellers of every offer that comes in.
  • Working outside of the area that they’re licensed in.
  • Knowing about issues with a house but not telling the buyer.

“They make me uncomfortable.”

A racist joke is racist and unacceptable, period. Inappropriate comments are inappropriate. It does not matter if your Realtor was “joking,” the impact of their behavior matters more than their intent. 

For certain things that seem harmless, it’s probably in your best interest to talk to the Realtor first. If they don’t handle it well or don’t stop their behavior, talk to their broker. However, there are some situations that are flat-out unethical and violate your contract, let alone the Realtor’s license.

  • Discrimination: If a Realtor shows any hint of discrimination towards you or another group of people, talk to their brokerage immediately. There is a horrific history of racism in real estate, any Realtor continuing in this vein does not deserve their job.
  • Sexual assault: Verbal harrassment, inappropriate touching or anything of the like is intolerable and should be reported ASAP.

Make things easier with RealtyHive.

Whether you’re buying or selling, our tried and true, time-limited event process helps everyone who comes to the table. You can select a real estate agent to help you buy a home through Cashifyd (and get cashback at closing), sellers don’t pay for marketing unless their property sells — the list of benefits goes on. Avoid uncomfortable Realtor situations and work with RealtyHive instead.

Real Estate Expectations vs. Reality

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Oh, to be a starry-eyed newcomer to the real estate game. Where you think you’ve found the perfect house, only to learn about some skeletons in its closet (sometimes literally). Where you put in an offer, convinced that this house is the one, only to have your offer rejected. Where you were sure your house would sell in two weeks and now you’re past the two-month mark.

No one likes going into a situation unprepared, so we’ve compiled some essential real estate tips for those times when expectations don’t line up with reality.

Misleading Description

“Charming cabin in the woods” sounds great, until you show up to the property and it looks like the most recent “Saw” film was shot here. 

Just like a salesperson, homeowners trying to sell will do what they can to amp up their property. Descriptions are made to captivate buyers so it’s up to the buyers to see through the charades. A few examples:

  • “Quaint” — might be too small
  • “Old Victorian home with lots of history” — might need lots of repairs, require more upkeep
  • “Off the grid” or “secluded” — probably lacking access to anything from nearby restaurants and stores to decent internet service
  • “Lots of potential” — it’s a fixer upper
  • “Close to the action” — might be near a busy road, noisy

Misleading Photos

If you’ve ever eaten a microwave dinner, you know a thing or two about misleading photos. Photos won’t show the pet hair that’s embedded into the carpet or the leak in the ceiling that appears after a torrential thunderstorm.

While it’s true that staging photos are often trying to highlight the good and push the bad to the back of the closet, there are also times where you, the buyer, have to look with a critical eye. For example, photos of a private driveway in fall with the leaves changing are beautiful, but these photos don’t show the nightmare of plowing in winter. 

Another thing to keep in mind: some photos are fake. Graphic design and digital renderings have become life-like. If you’re just going by photos alone you might find that the house you’re looking at doesn’t even exist yet.

Timeline

It’s a huge jump to go from renting to being ready to buy. In that excitement, it’s easy to forget that buying a house isn’t like buying a car — the latter can happen in a matter of hours and the former can take months. The same is true with selling a house — it won’t happen as quickly as putting your bike up for sale on Craigslist.

In both instances, patience and strategy are key. First-time buyers might benefit from working with a real estate agent (sellers could too). Sellers need to have proper marketing and a good platform to list on. Buyers need to keep in mind that their offer might not get accepted, especially in a competitive market. Both parties need to recognize that real estate very rarely works on a perfect timeline.

Closing

FSBO sellers usually don’t realize the amount of deadlines and contract obligations they’ll need to deal with. You might think saving money from selling FSBO is worth it, but a lot of people don’t realize how involved the closing process is.

The same goes for buyers. The last thing you want is to show up to a closing without a lawyer or real estate agent present. Houses are massive investments and not having someone to walk you through the paperwork and process could hurt you in the end.

Costs

First-time buyers often have the expectation that the listing price is what they’re going to pay. There are a lot of unexpected closing fees that end up surprising buyers. Expect to pay anywhere between 2 and 5% of the listing price for closing — and plan on paying in full.

Killer Deals

A “killer deal” house is often not what it seems. True, there are times when you can absolutely snag a deal, but it’s extremely rare to come across a low-priced home that needs no additional work. 

Here are a few things to do before jumping on that killer deal:

  • Walk through the house. Take pictures, ask questions, even bring a tennis ball to lay on the ground — if it consistently rolls in one direction, this could indicate an uneven foundation.
    Some property investors are all about the deals and purchase things site-unseen. This is extremely risky for first-time buyers or for people wanting to live in the home they purchase right away.
  • Get a home inspection. This is also something that property investors sometimes pass on but skipping an inspection is not a good real estate tip for beginners.
    Additionally, make sure you include contingencies regarding this inspection in your offer.
  • Do the math. Calculate all the estimated repair costs and weigh out if this house is still a “killer deal.”

If all this info has led to beads of sweat dripping down your face, don’t worry (and don’t feel bad). Real estate is a complex, highly nuanced industry and even the experts still have things to learn. 

The way you can make this easier is by listing with an all-inclusive platform like RealtyHive. We have a network of agents from you to choose from (and with Cashifyd, you can even get cashback at closing) and countless properties available, all over the world. For sellers, our time-limited events and marketing tactics are designed to shorten your time on the market. Buy or list with RealtyHive today!

Seller FAQs: Rentbacks, Exclusive Listing Contracts & More

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You’ve got questions about selling your house, we’ve got answers. Sift through some commonly asked seller questions (and feel free to comment with any additional questions you might have!).

How do I sell my home?

To sell your home, first decide if you want a real estate agent or to sell on your own (FSBO). A real estate agent takes care of practically everything for you but costs money, FSBO could save you some money (not a guarantee) but it’s more work.

If you opt for FSBO and decide not to find an agent, you’ll need to research selling prices in your area, find paperwork that’s specific to your state, stage your home, take photos and find a listing platform. Don’t let this one-sentence blurb fool you — it’s a lot of work.

What are the benefits of working with a real estate agent?

Agents can get your property into the local MLS and have a lot of connections. They know of people who are looking to buy, they work with other agents — their network alone can make a massive difference.

Agents are also good at setting your listing price by pulling comps to see recent, local selling prices. They’ll help you with closing paperwork, which is notoriously complicated. In a lot of ways, the right agent could actually get you more money for your property through their industry knowledge and connections — you could get a better deal than if you were to sell on your own.

What if the contract with my agent expires before my house sells?

You can look into renewing your contract, but there’s a good chance you’ll want to let it run its course if your house didn’t sell while working with them.

One thing to keep in mind: there’s a good chance you might still owe them commission even after their contract expires. Every contract has a commission protection period, so if a person looked at your house, then waited until the contract expired to put in an offer, they (as the buyer) would be a named exception. In this instance, the agent would still get commission.

If someone completely new and different comes in to look after the agent contract expires, the agent won’t get commission.

Can I hire more than one real estate agent?

Unless the real estate agents are working as a team, you usually can’t hire more than one. However, this depends on where your property is that you’re selling:

  • Exclusive listing contracts: In the US, only one agent can present the property for sale.
  • Non-exclusive listing contracts: Found around the world but pretty typical in the Caribbean and Central America. Many agents present your international property for sale, the only agent or person who gets paid is the one who brings the buyer.
    This is also sometimes called a non-exclusive listing agreement.

How do I make sure my house sells?

Other than making your home look desirable, every seller needs to provide the proper real estate marketing to amp up exposure. DIY marketing is a lot to take on, but it can work for some sellers. 

If you want to save yourself the hassle (or if your home isn’t selling), work with a company that lists your property AND provides marketing. RealtyHive offers both and when you list with us, you won’t pay for marketing until your house sells.

How do I set the right selling price for my house?

An agent will help you find out how much your house is worth, but if you’re selling your house on your own then here are some things you’ll need to consider:

  • Comparable sales (comps)
  • Home appraisal
  • Property renovations, upgrades, or unique/valuable characteristics
  • Tax appraisals

If you’re not sure about finding an agent, list with RealtyHive. We offer equity checks to get the right property price for your home before putting it in a time-limited event.

When is a bad time to sell my property?

A common real estate myth is that it’s a bad idea to list your property in the fall or winter, but there’s really not a bad season. In fact, selling in the “off season” can actually narrow down the competition.

One thing to pay attention to is market rates. If you don’t have to sell your property (ex. you aren’t moving) you should keep an eye on the current housing rate. Biting the bullet and listing when mortgage interest rates are low can work in your favor; selling when a city is on the verge of booming can become a regret.

What happens if my property sells before I’m ready?

Try to coordinate your buying and selling. If you sell first and don’t have a new house bought yet, you’ll want to look into renting and putting stuff into storage until you close on a new place. If you bought a house but your current one isn’t selling, keep in mind that you’ll have to manage two mortgage payments until your current place sells.

The other option is a rent-back, which we’ll get into just below.

What is a rent-back?

Rent-backs allow you to stay in your home even after it sells, until a specific date, on the condition that you pay rent to the new home owners. It’s basically like renting the home you had previously owned. 

In order to make this happen, you need to see if the new owners are open to it (they might say no because they might be in the same predicament of needing a place to live). If they agree, a security deposit will be set up and you’ll essentially lease your place from the new owners.

Hopefully we were able to answer some pertinent seller questions, but if you’re still looking for some, sift through our blog for further resources or ask us in the comments!

5 Things to Know About REITs

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Think back to the last time you played Monopoly. You probably bought a bunch of different properties, made some money anytime someone landed on your space and hopefully only got into a brief shouting match with your sibling.

Real estate investment trusts or REITs are somewhat similar (without the shouting). They’re different from real estate trusts because they’re actually a form of investing, similar to stocks. Take a look at the top 5 things to know about this type of trust (and how you could even turn a profit from it).

#1 Virtually anyone can invest in REITs.

A REIT is “a company that owns, operates or finances income-producing real estate,” according to Nareit. Just like you would invest in another industry or purchase stocks through a mutual fund or ETF, you can do the same with a REIT. Many people use their 401k to invest in this type of stock.

#2 REIT investing is pretty solid in the long run…

While any investment comes with risks, REITs are pretty solid. Investopedia describes them as “one of the best-performing asset classes… Between 1990 and 2010, the index’s average annual return was 9.9%, second only to mid-cap stocks.”

#3 …but it’s anything but steady.

Bonds, CDs, a regular old FDIC-backed savings account — REITs are nothing like these. Expect drastic rises and falls and it’s not something you want to “get rich quick” from. REIT investing is often recommended to diversify your portfolio.

#4 There are 5 types of REITs you can invest in.

You have five options with where to invest your money. 

Residential: These REITs cover apartment complexes and manufactured houses, most often found in big cities where renting is common.

Retail: This goes towards malls or other shopping centers. This specific type of REIT generates income from renting out spaces to retailers. 

Office: Just as it sounds, this type of REIT deals with commercial office spaces.

Healthcare: Hospitals, nursing facilities, retirement homes, clinics, or other medical centers.

Mortgage: Freddie Mac and Fannie Mae are two of the most well-known mortgages that this type of REIT goes towards.

Just like you weigh out your options in Monopoly for the best property to buy, you want to do the same for REIT investing. For example, retail and office investing might not be the safest choice in the middle of a recession and subsequent high unemployment. However, you can also buy a mutual fund or ETF that does all the research and investing for you.

#5 You can invest both individually and internationally.

As globalization continues, international REITs continue to grow in popularity (though it’s good to note that this is more recent, so we don’t have much data for long-term success). You can also invest through a mutual fund, like a stock. Vanguard actually offers an index fund.

One thing to keep in mind: non-traded REITs have a lower return than publicly traded ones. Again, it pays to do your research (or find a professional who can). 

It’s not Monopoly, but it could make a real-life difference in your finances. REIT investing, like owning rental properties, commercial properties or vacation rentals, is another way to continue growing your portfolio.

What Is a Real Estate Trust?

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Trust issues — we’ve all got ‘em. But hopefully not when it comes to real estate trusts, because that would create a massive problem with your property and potentially, even where you live.

A real estate trust establishes who gets your property and how they get it. This blog will hopefully clear up at least some of the trust issues you’re facing (real estate, that is). For the other trust issues, well, reading a few Brené Brown books is probably a good start.

Who sets up a real estate trust?

Anyone can set up a real estate trust, but most people do this when they’re older. Homeowners with a high net worth also tend to set up a trust, regardless of age.

Trusts are not the same as wills, but they do function in the same sense. Real estate trusts, like wills, determine who gets your property. This can either happen after you die, or a living trust that gives ownership to someone of your choosing while you’re alive. 

A good example of this is if a homeowner is diagnosed with Alzheimer’s and has a house in their name. By setting up a living trust for their partner or other loved one, they give control over to that person who can make decisions when they (the homeowner) no longer can.

What’s the difference between a real estate trust and a will?

Many people think that if they have a will set up, they’re set and don’t need an additional trust. This isn’t always the case. Here are some of the crucial differences between the two:

WillTrust
– Usually for smaller assets, like your parents’ wedding china
– Asset distribution goes through the court system
– Available for anyone to view		– Usually for costlier assets, like a house or rental property
– Asset distribution is already lined out (no court time needed)
– Private

Real estate trusts make it easier to deal with high-end assets.

Houses, vacation homes, rental properties — a trust makes it easier to deal with costlier assets. If you just leave your home in a will, whomever inherits the home will have to go to probate court in order to sell.

Probate court is not only a massive hassle, it’s expensive. It can take months or even years to settle an estate through probate court; trusts cut that time down to just a few weeks. Trusts settle the issue beforehand, making it much easier (and less costly) for the benefactor(s).

Real estate trusts are also cherished for their privacy. Everyone has heard will horror stories — feelings of resentment and jealousy are all too common. Trusts only tell those who are receiving something what they’re receiving; other information is kept private.

Real estate trusts make it easier to split things up.

If there are ever stipulations in how you want to split up assets then a trust is a good way to go. Here are some examples:

I’ll give to…

  • My alma mater, as long as they remain an HBC (Historically Black College).
  • My children once they reach the age of 40.
  • My kids, but not their father.

These are qualifiers that you can’t set up in a will alone; you need a trust.

Is there any instance where I should just stick to a will?

If you don’t have any massive assets or have a straightforward plan worked out with your family regarding your property after you die, a will is just fine. Just keep in mind that if there’s even the slightest chance they want to sell the house they inherited, it will become much more difficult if you only have a will and not a trust.

What is a revocable trust?

There are two types of real estate trusts: revocable and irrevocable.

A revocable trust ensures that, while living, you keep your property and can make changes. It’s still in your name and you’re still responsible for estate taxes. 

With an irrevocable trust, nothing can change once it’s set (unless the named inheritor chooses to do so). Similar to the living trust example, a homeowner might set up an irrevocable trust if they have a worsening health condition. The homeowner who set this up will no longer own the house, but won’t have to pay taxes on it, either.

As another example, a person looking to reduce estate taxes or simply donate some of their estate might set up an irrevocable trust as well.

How do you set up a real estate trust?

  1. Figure out what you want to go into the trust, who gets it, and when (while you’re alive? or after your death?).
  2. Determine the amount of time you want this to last (some states have rules for how long trusts can exist).
  3. Choose a trustee — in a revocable living trust, you can be your own trustee. Otherwise you’ll choose someone you trust, who has solid financial management and decision-making skills.
  4. Find a financial planner or estate lawyer to carry this out.

I’ve inherited a property through a real estate trust. Can I sell it?

As long as there are no stipulations prohibiting you from selling, the answer is yes. Feel free to read up on the RealtyHive selling process to see if listing in a time-limited event is a good option for you.

Places to List Your Rental Property (Other Than Airbnb)

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Like Kleenex and Bandaid, “Airbnb” is so popular that the site has turned into a noun. It’s great to have Airbnb as an option for listing your vacation rental property — it’s even better when you have multiple sites and platforms to choose from.

There’s nothing wrong with using Airbnb, but variety is the spice of life. Check out these rental property platforms and see what else is out there — you might just find a better way to maximize your revenue.

HomeAway

HomeAway was actually created 3 years before Airbnb. It was bought by the Expedia group in 2015 whereas Airbnb has continually maintained its independent status.

HomeAway might be a better place to list your vacation rental property due to their hosting fees. Airbnb takes 3% commission out of every reservation — for a one-night $150 listing, their commission is $4.50. HomeAway has two payment options:

  1. Hosts pay an annual $499 subscription
  2. HomeAway takes 8% commission for any reservation made

If you had a $150/night vacation rental that was occupied even for 150 days per year (less than half the year) and opted for Airbnb’s pay structure, you’d pay $675 in commission/fees. With the annual subscription from HomeAway, you’d save $176 with the same setup.

At a certain point, HomeAway’s pay structure becomes more lucrative than Airbnb. That Airbn-being said (I had to), HomeAway is far less known and popular. Even if the pay structure seems better, you won’t save money if your rental property is ultimately ignored.

VRBO

VRBO is probably just below Airbnb in terms of popularity. There’s a chance it might even surpass Airbnb at some point, largely because of the difference in guest service fees.

Anyone who’s booked with Airbnb has felt the initial glee of finding such a cheap vacation rental, only to see that number exponentially increase by the time of checkout. Service fees for Airbnb are sometimes as high as 20% — not counting taxes. Conversely, VRBO is usually between 6-12%. Something that’s more affordable for guests has a lot more potential for finding people to rent out your property.

VRBO was also acquired by Expedia and has the same two payment options as HomeAway.

Home2Go

Home2Go is basically a compilation of the major rental property listing sites. It’s beneficial for people looking to book a rental property because it pulls from Airbnb and VRBO simultaneously, among others. While you can list with Home2Go specifically, you can save yourself the extra step by listing with one of the bigger platforms — it will still likely show up on Home2Go. 

Booking.com

We’ll be upfront: Booking.com is one of the most expensive options for property owners. You’ll have to pay 15% in fees. We bring it up because from a guest standpoint, Booking.com is the least expensive option.

Booking.com has a staggering $0 guest service fee. While still not nearly as known as Airbnb, this could change — especially as more guests tire of paying exorbitant surcharges through Airbnb. Booking.com is a platform to keep in mind. Even if your prices are higher, it might, at some point, not make a difference if more users switch to their platform.

Vacasa

Vacasa has been around since 2009 and serves as a vacation property management company. They cover bookings, housekeeping — a very helpful service in the rental industry — and customer service. These extras make Vacasa one of the more expensive sites in terms of commissions (usually charging between 20 and 40%).

Some things to note: Vacasa was subject to a $3 million lawsuit several years ago from a property owner who felt she was charged fees never stated in her rental agreement. With the pandemic-based halt on travel, Vacasa also recently received over $100 million from a tech investor who similarly bailed out Airbnb.

Other information on Vacasa is somewhat hard to find, especially compared to other platforms mentioned in this article. Reviews from property owners seem to be mixed.

Evolve

Evolve is the middleman between rental property owners and vacation platforms. They market your property for you, offering lucrative services like free professional photography and listing optimization. They take 10% of booking fees (though it’s unclear from their site as to whether this includes fees from Airbnb and the like).

It’s fantastic to research and dream about how you can best generate revenue from a vacation rental property. But the first step to making that happen isn’t signing up with Airbnb, VRBO, HomeAway or the like — it’s to buy a property from RealtyHive! Find the perfect cabin, waterfront villa or beachside condo by searching through our listings.

Agent Disclosure: What Buyers Need to Know

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If chefs make their own Denver omelettes at home on a Sunday and professional musicians sing in the shower for their own fun, can real estate agents sell their own property?

Through agent disclosure, the answer is yes, they can. However, buyers should be on the lookout — some agents try to not disclose this information to their own advantage.

What is an agent disclosure?

Agents are allowed to sell their own property, but licensed real estate agents are required to let the buyers know. They must disclose this in writing to the purchaser of the property. Even if their license is no longer valid and/or expired, they are “strongly encouraged” to reveal this to potential buyers.

Referral fees (and how they’re tricky)

As we’ve mentioned in another blog, agents get referral fees when they refer another agent to complete a transaction — basically like a finder’s fee. They receive 30% commission from the agent’s commission of whom they referred the client to.

In regards to selling their own homes, agents will sometimes use this referral procedure to their advantage. Here’s how this often plays out:

  • Margaret is a real estate agent who’s selling her house.
  • Instead of providing agent disclosure, she gets her friend and Realtor Micah to be the agent.
  • Micah does all the work to get Margaret’s property to sell.
  • Margaret, having never disclosed but simply referred, gets a percentage of Micah’s commission because of referral fees.

The takeaway here is that even if a seller doesn’t disclose that they’re a real estate agent, they might still be one. And they might have added incentives that give them more of a cut.

How can I find out about agent disclosure?

Do not call the listing agent.

When you see a property you’re interested in, work with your own agent. Never call the number that’s listed on the “For Sale” sign.

Ask the real estate agent.

If they don’t disclose their connection to the property over the course of a house tour and meeting with you, make sure you ask them. 

Do some research.

If for some reason you have a weird feeling, aren’t convinced, or just genuinely want to make sure you’re in the know, do a quick Google search of real estate agents in your area. 

What if the seller doesn’t tell me they’re a real estate agent?

Report them to the state real estate board. They’ve broken a code of ethics and could face loss of commission, or even having their license revoked.

For the record, not every real estate agent does this. There are plenty of agents who are always putting the client’s best interests first. If you truly want to play it as safe as possible, use Cashifyd to find a trusted agent in your area. Not only does Cashifyd connect you with a real estate agent, you’ll even get cashback at closing for using it! Take charge and get your own referral fees with Cashifyd — and stay on the lookout for agent and other seller disclosures.

Things to Know When Selling a Condo

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A lot of people have hesitations on buying a condo, and many of these reasons stem from not knowing how to sell one. They worry that they’ll struggle to find buyers, or that the nuances between selling a condo and a house are too complicated or too much of a hassle.

Rest assured: buying a condo is still a lucrative real estate investment, and selling it isn’t as bad as you might think. As long as you know these essential selling tips, you’ll be in good shape.

Check with the board or HOA.

While not always the case, it’s common for some entity (such as an HOA or board) to manage the overall building in which your condo is located. They’ll provide you with any details or processes that are specific to the property, as well as necessary paperwork. This could include (but isn’t limited to):

  • Past board meeting minutes
  • Financial reports for the condo association
  • Planned assessments or improvements
  • HOA disclosure or financial documents (if any)

These documents must be disclosed to the buyer, so it’s good to go through them now. It’s also good to talk to the association because they might have some insightful selling tips — or even a potential buyer. Desirable properties may have a waiting list of people looking to move in.

Do some research.

The two main things to research before putting your condo on the market: price and timing.

Price

What have similar condos sold for in your area? Is anyone else in your building currently selling (or recently sold)? A real estate agent can pull comps to find more selling details, but with condos there are some seemingly small factors that can actually make a substantial price difference:

  • Noise level: Condos on the end or penthouses share fewer walls. This means less noise, which makes your property worth more.
  • Views: Often found in downtown areas with access to stunning skylines, better views fetch a better listing price.
  • Location: A third-story condo in a building with no elevator will likely cost less than one on the floors below.
  • Indoor parking: Condos with an included garage space are worth more than condos with outdoor or street parking.
  • Other amenities: Pools, gyms, event spaces and any other amenities add value.

Some of these factors might seem obvious, but think about how different it is than selling a house. Two 3-bed, 2-bath houses a block apart from each other will likely have a similar listing price; the same isn’t a guarantee with two separate condos.

Timing

So much of the timing for when to list your condo depends on where you live. If you own a condo in a quaint and popular ski town, selling in the fall is probably your best bet. A condo in a beautiful island destination might have the most success when listed in the winter. 

It pays to do your research on selling times for condos in your area. Talking with a real estate agent can also make a huge difference, but above all, it pays to have common sense.

Kick staging up a notch.

Staging a condo requires a bit more finesse than staging a house because there’s less space to work with. When working on a micro level, the details stand out more than ever. 

  • Prioritize space: No buyer is interested in a place that feels cramped. Get rid of or store away anything that’s not essential, organize closets and declutter relentlessly.
  • Add some elbow grease: Clean and polish surfaces as if you were about to move out of a rental and didn’t want to incur a cleaning fee.
  • Highlight the highlights: Open the blinds and clean the windows to show off those breathtaking penthouse views. Clear and organize your deck. Organize your extra storage. Whatever your condo perks may be, shine the spotlight on them.

In addition to staging your particular unit, think about the highlights of the building or condo association as a whole. Be ready to show the pool or parking garage, or even just highlight security measures when bringing guests up.

Selling a condo overseas? Look out for some restrictions.

RealtyHive has condos available in Panama, Belize, Aruba and more, as well as commercial and residential properties all over the world. As such, we have a lot of knowledge on international real estate. Many people don’t realize that some countries have restrictions on who you can sell your condo to (in addition to other laws).

In some instances, it’s illegal to sell to foreigners (unless you’re also a foreigner). Check with a local agent or lawyer for more information.

When to NOT sell your condo

If you’re in the financial spot to do so AND you don’t have HOA or board restrictions, you might be better off renting out your condo. You’d have to consider the possibility of managing two mortgages at once (in the times when you don’t have renters) but this could open up a new channel of investment and passive income.

However, you should check with your condo association before getting your hopes up. It’s likely that if you have a condo association to begin with, you won’t be able to rent it out (but it doesn’t hurt to ask).

These are the main things to note when selling a condo — other pointers like real estate marketing and closing aren’t all that different from selling a house. If you want an extra boost in exposure and results when selling, list with RealtyHive! Our time-limited events can give your condo the exposure it needs.

How to Buy a Foreclosure & Other FAQs

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Most of us are familiar with the term “foreclosure” but unless you’ve bought (or dealt) with a foreclosed home, you probably have a lot of questions. RealtyHive has the answers you need to become well-versed in home foreclosure.

What is a foreclosure?

Foreclosures happen when homeowners can’t keep up with their monthly mortgage payment.

With the average house costing just over $226,000 in the US, it would take most people a decade or longer to afford a house outright. However, people need places to live. Homeowners take a loan or mortgage out from a bank in order to pay their home off over time.

If homeowners aren’t able to pay back this monthly mortgage, they’ll default on the loan. Homeowners in this situation will lose their house — it becomes a foreclosure.

What causes a home foreclosure?

There are any number of reasons why a homeowner might miss their mortgage payments. Illness and unemployment are two of the biggest reasons.

The specific foreclosure process depends on the lender and the state, but homeowners will get a notice after 3 to 6 months of missed mortgage payments. This notice lets homeowners know they’re at risk of losing their property.

At this point, homeowners enter pre-foreclosure. Depending on the state, they have anywhere between 30 to 120 days to figure out a solution before going to auction. The homeowners might pay what they owe or work with a lender for a short sale. If they don’t pay what they owe, the auction is the next step.

How does an auction work?

In most states, the government acts as a middleman and auctions the property before foreclosure. The property goes to the highest bidder, who is usually (but not always) the bank.

If the bank doesn’t win, the money from the highest bidder still goes to them and clears the debt. Otherwise, the bank gets the house if they win and they try to sell it.

These auctions go by a number of names: sheriff sales, federal sales, trustee sales — the list goes on.

How do you find a foreclosed home?

By law, foreclosures have to be made available to the public. You can Google your county and “sheriff sale” and you can access a list. Certain real estate agents specialize in foreclosures; contact them to see what’s happening in your area.

Some interested buyers like to drive around and look for homes that seem unoccupied, then research whether or not it’s a foreclosure. In some states, foreclosure notices must be posted on the front door. 

Even if that’s not your strategy, it’s a really good idea to at least drive by the property you’re considering bidding on. Just make sure you stay off the property and respect from a distance. Especially if the homeowners are there, you don’t want your presence to make them feel worse. Foreclosures are a living nightmare for homeowners.

How do you buy a foreclosed home?

The actual buying takes place in most instances, you’ll still need pre-approval from a bank first and foremost. Some auctions (like sheriff’s sales) require you to have the money ready to go in days. With that example, you’ll need cash or another type of loan that’s ready to go.

In a RealtyHive time-limited event, the seller (in this instance, the seller is a bank) chooses how they want to accept payment. Some banks might accept traditional mortgages, but a cash offer is still more of a guarantee, and more likely to win the bid.

Do your research before getting too invested. The last thing anyone would want is to place the winning bid, only to learn they have to pay in cash.

Is it a good idea to purchase a foreclosed home?

It definitely can work out, but much of it depends on what you want out of this property. If the only reason you’re leaning towards a foreclosure is because you think it’s a surefire deal, be prepared to invest much more than the opening bid.

Foreclosures oftentimes aren’t in great condition — if the homeowners struggled to pay their mortgage, there’s a good chance they struggled to pay for maintenance and general upkeep as well. 

You can still put in an offer or bid with a contingency regarding home inspection, but banks (or owners) often try to sell these homes as-is. Some sales require selling as-is. With that in mind, you have to be ready to fix things up. While some people love the idea of a fixer upper or flipping a property, those who want a low-hassle home will likely take more comfort in the traditional buying route.

Are foreclosures the only way you can buy in an auction?

Nope! It’s a common misconception, but many people put their home up for sale in a time-limited event with RealtyHive, regardless of financial circumstances. You can even put in an offer before the event and take a walk-through. Look through our listings to find your next home or investment property!

What Should You Do With Your Spare Room?

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Ever since Mr. Tumnus asked Lucy about the magical land of Spare Oom, we’ve all secretly hoped that our own spare rooms contained some magic. Granted, it’s hard to come by a wardrobe that leads you to Narnia in these economic times, but we at RealtyHive are here to tell you that your spare room still holds value.

We’ve covered backyards, security systems, and basement finishing across several “Is It Worth It” blogs. This post on spare rooms is slightly different but still under the same umbrella. What should you do with your spare room, and how can you maximize its value?

Spare Room Ideas

Filling up your spare room with boxes of stuff or general clutter isn’t only disorganized, it’s not granting you the space you deserve. There are countless purposes that your spare room could fill that also improve your ROI. A messy room filled with stuff will turn future buyers away; an intentional space will pique their interest (and potentially get you a better offer).

Home Office

More and more people are working remotely than ever before. If you’re tired of hunching over your laptop on the couch or taking Zoom calls in the kitchen during lunchtime, a home office is a great use of a spare room.

But home office benefits aren’t just for your work performance and productivity. Adding an office has anywhere from 60 to 72% ROI and increases your home’s value.

Guest Bedroom

Even if you don’t have frequent guests, a guest bedroom is still a good use of the space. Most people turn their spare rooms into guest rooms because it’s an easy way to repurpose the space. It’s also convenient for the times when someone does end up rolling through town or needing a place to crash.

Guest rooms are also handy when life likes to surprise us. If your parents or in-laws suddenly need additional support, they’ll have somewhere to stay. If you end up expecting another child or your 14-year-old is desperate for their own space, it’s an easy fix.

Home Gym

Driving to the gym is a chore, it’s somewhat inflexible (if you like to workout late or want to workout on a holiday), and it might not offer you the privacy you’re looking for. Turning your spare room into a gym has a pretty hefty upfront cost (just in terms of buying equipment) but could be a great investment for your health. 

Depending on how often you use your home gym and the type of equipment you get, this spare room idea might pay for itself. People spend close to $700 a year on their gym membership, not including gas money. In just a few years, your home gym could make up for the costs that would otherwise be spent at a public gym.

Playroom

When the mountain of toys from Aunt Jessica continues to grow (despite you telling her they have enough, but that’s another story), it’s a huge relief to have a designated area for the kids’ stuff to go. Playrooms offer a bit more safety and structure as well — you won’t have to worry about your 3-year-old bonking their head on the fireplace in the living room.

Anything Else

A space for you to make candles? A room full of beanbag chairs for ultimate naps? A comfy movie room with a projector? There’s no limit to unique spare room ideas. You can even tear down the wall and add space to an existing room if you like.

Spare Room Things to Keep in Mind

There are a few questions to ask yourself when considering different spare room ideas:

  • What are my main priorities?
    One spare room can’t do it all. If you’re desperate for a home office but worry about where to put guests, you’ll have to figure out which need is more important. But good news: you can always combine an office and guest room.
  • What are the neighbors doing?
    If you’re the only 2-bedroom house in a neighborhood of 4-beds, this will hurt you when it’s time to sell. At the same time, if everyone else has 3-beds and you have 5, you should probably convert one of those rooms into something else. Following neighborhood norms helps when it’s time to sell.
  • Are there any legal requirements?
    We doubt you want to turn your spare room into an upstairs kitchen, but if so there are lots of permit laws and codes that require researching. A common example: bedrooms must have an egress window (and in some states, a closet as well) in order to be legal.
  • Are there any tax incentives?
    If you’re a full-time, remote, self-employed worker, turning a room into a designated office can mean a tax break. In some states, acting as a caregiver can do the same (or provide other financial reimbursement).

A spare room with intentional purpose and design can add tremendous value to your home. It can keep you on par with the neighbors, provide extra space for your family, and even increase your potential for higher offers when you’re ready to sell.

If you’re reading this wistfully, wishing you had a spare room to play around with, don’t be discouraged. You can look through the RealtyHive listings to see which houses are for sale. Place your offer and list your existing home with RH for great results (and spare room success).