INSIDE ADVICE

Yard sign an important part of overall marketing effort

Published on: 08/03/08

I said several weeks ago that lack of marketing is one of the key reasons that any house won't sell. That's just common sense. If you have a great house for sale at a giveaway price, but no one knows your home is for sale, it might take decades before someone would ask you out of the blue if you wanted to sell.

So let's define marketing, in its most basic form, as the process of making the home-buying public aware that your home is available and that you are actually seeking a buyer. And the time-honored way of doing that is to put a "for sale" sign in the front yard.

Amazingly, that works well on a number of fronts:

Prospective buyers are already trained to look for signs in their target neighborhoods. The sign alerts them that you are open to offers for purchase. It's not unusual for buyers to drive through areas where they think they might like to live, literally looking for new signs. This function of the sign gets you in touch directly with the buyer, who typically calls you and asks for additional information.

Additionally, your "for sale" sign alerts neighbors that your home is available. People tend to like where they live, and your home may have the features or amenities their current residence lacks. Current neighbors are also good salespeople for your home. It is only natural for them to tell their friends, relatives and co-workers about homes for sale in your community. Your neighbors are already "on your team," so to speak.

Finally, the sign serves an important purpose of alerting the professional real estate community that your home is available. If your ultimate goal is to sell your house, then you will want to use every method possible to bring a buyer to the table. And the fact is that a large segment of your buying population is already committed to working with a real estate agent in their home search.

In the Atlanta metro area, there are a relatively large number of individuals relocating here for employment reasons. Some brokers suggest that 40 percent of the home-buying market in Atlanta is relocation related. And it's not unusual for corporations to buy their employee's house when they are transferred, thus making them cash buyers in the Atlanta market. Furthermore, the company wants to see the employee get settled as quickly as possible, adding more fuel to the buying fire.

The bottom line is that corporate relocation buyers are probably the hottest and best qualified buyers you can attract, and they are almost all working with agents. Failing to make it easy for them to buy your home is a serious mistake.

If you have decided to list your home with a traditional real estate agent, it is likely that your agent is a member of either FMLS or Georgia MLS, or both. These two organizations provide their member companies with Internet listing services that allow thousands of agents to find specific listings in a hurry.

But if you have decided to sell your home without professional assistance, there is still a way you can market your home to more buyers — and that's by adding two simple words to your for sale sign. Those two words are "Agents Welcome."

Agents who work in your neighborhood will see the sign and know that you are wiling to allow them to show your home, and that you are willing to talk with them about payment of a finders fee or sales commission of some amount. I might suggest that in a buyer's market such as we have today, an offer of 3 percent of the purchase price would seem reasonable. When you consider the cost of allowing your home to sit on the market another month without a sale, and the resulting expense in interest, taxes, insurance and the accompanying waste of your personal time, I believe that some sort of finder's fee is not only appropriate, but smart.

Whatever you do, know that your yard sign is an important part of your overall marketing effort. Another phrase I recommend you add that will work to your advantage and help maintain your privacy is "Shown By Appointment Only."

NEXT WEEK: Using the Internet to help sell your house

Find previous articles by John Adams and more home buying advice on the ajchomefinder mortgage center.

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