Why You Need a Realtor: The Importance of Prelisting and Research

Selling your home is one of the biggest financial decisions you’ll ever make. While some homeowners may consider selling their property themselves in an effort to save on commission fees, the reality is that trying to sell a home on your own can be incredibly time-consuming and risky. The truth is that working with a professional realtor offers immense value — especially in the crucial initial prelisting and research stage.

In this first installment of our four-part series, we’ll walk you through the critical tasks that real estate agents handle during the prelisting phase. From comprehensive market research to legal documentation, an agent’s expertise ensures your home is accurately priced, thoroughly prepared, and ready to hit the market. Let’s explore how these steps help sellers avoid costly mistakes and set the stage for a successful sale.

The Realtor’s Initial Prelisting and Research Process

When you work with a realtor, they take on the responsibility of handling a myriad of details that are essential for preparing your home for sale. Here’s a breakdown of the important tasks agents complete during the prelisting phase:

Research and Market Preparation

1. Ownership and Legal Information: Realtors begin by confirming the ownership of the property and researching its legal description to ensure everything is in order. This includes verifying legal names on title and completing title research to ensure a smooth transaction.
2. Comparable Properties: They conduct a thorough analysis of comparable homes (comps) currently listed or recently sold in your area, helping to determine the optimal list price for your home. This includes studying expired listings, solds, and current listings to ensure a competitive price.
3. Property Profile and Tax Information: Realtors order and review your property profile, tax information, and relevant documents. This ensures that all tax prorations are researched and noted, and that any property inclusions are clearly identified.
4. Property Disclosures and HOA Details: Agents ensure that all necessary property disclosures are provided to buyers, including information about homeowners associations (HOA) and any associated fees. This involves obtaining HOA by-laws, confirming HOA fees, and ensuring the homeowner association services are provided.
5. Plat Maps and Zoning Information: To avoid potential issues, a realtor orders plat maps to confirm the lot size and verify zoning requirements. They also research land use to avoid surprises for buyers considering future development or construction.

Marketing and Administrative Tasks

6. Creating a Market Study: A comprehensive comparative market analysis (CMA) is prepared to assess your home’s position in the current market. This includes comparing your property with other active listings, recent sales, and expired listings. Realtors also prepare personal listing information to ensure everything is accurate and thorough.
7. Property Documentation: Realtors collect and review essential documents such as your property disclosure, current appraisal (if available), property inclusions, and property data sheet for the office.
8. Professional Marketing Materials: Realtors create marketing materials, including flyers, brochures, and digital photos to showcase your home in the best light possible. They also order Just Listed labels and ensure they are sent to top 10% agents in the area for maximum exposure.
9. MLS Listing: Your home is entered into the Multiple Listing Service (MLS), a tool that allows your property to be seen by thousands of agents and buyers. The property is also added to the Active Listed and Current Lists, maximizing visibility.

Property Condition and Logistical Preparation

10. Measuring and Verifying Home Details: Realtors make sure the heated square footage is measured accurately and the interior room sizes are confirmed. They also ensure that lot size is verified, especially for properties with irregular shapes.
11. Homeowner Plans and Home Details: If applicable, owners’ house plans are received and reviewed to ensure the listing represents the property accurately. If the home is part of a larger development, homeowner association information, complex layout, and even by-laws are obtained.
12. Securing the Property: The agent will have an extra key for the lockbox made, and the lockbox is installed to allow for easy showings. A sign is installed at the property to attract buyers driving by.
13. Utility and Water Information: Agents research the average utility costs and verify water availability and sewer/septic system details. They also check well status and confirm well production, ensuring the property is ready for inspections.

Legal, Title, and Financing Considerations

14. Loan and Title Information: Realtors review all loan documents, including any current loan assumptions and verify loan information with lenders. They research second loans and ensure that any loan assumptions or second loan conditions are addressed early on.
15. Title Review: The agent will also review current title information to ensure the title is clear and there are no issues. This includes researching unrecorded property lines or agreements and ensuring all prorations are handled correctly.
16. Property Inclusions and Amenities: Agents ensure that all property inclusions are properly noted, including appliances, fixtures, and any special amenities, ensuring there are no misunderstandings with the buyer.

Selling your home is a complicated process, and the initial prelisting and research stages are crucial to ensure a smooth transaction. From market analysis to legal paperwork, a realtor’s expertise in these early stages helps set your home up for success and ensures you're positioned to get the best possible outcome.

This is just the first part of the extensive services that a realtor provides throughout the home-selling process. Stay tuned for the next blog in our series, where we’ll dive into the listing and marketing phase, and explain how agents help maximize your home’s exposure and attract qualified buyers. In the meantime, if you’re considering selling your home, don’t hesitate to reach out to a professional realtor to guide you through every step of the way.