Not everyone can afford to list a property with an agent and make concessions for first time home buyers.  If you’re in this situation then you should know that you have options but it will take some work on your part to make it a success.

If you’ve inherited the home, acquired it through a divorce, or if you’re tired of being a landlord then you might want to consider working with a local real estate investor.  They provide a simple answer to your real estate problems.

Listing agents generally charge a commission of six percent of your home’s final sales price. That’s a lot of money taken from your profits when your home does sell. The real estate market is hot today, with sales on the rise across the country. It’s not quite as difficult today to jump into the For Sale by Owner market.

This doesn’t mean, though, that you don’t have to take certain steps to succeed when selling your house privately without a Realtor. But there is a formula for successfully selling your home by owner. If you follow the rules below, you’ll increase your odds of selling your home for a solid price.

Prepare your home

Before you even put your home on the market, make sure it is ready to impress potential buyers. Remember, buyers, make quick first impressions. They’ll be turned off if they see an overgrown front lawn, cracked driveway, torn carpets, and peeling paint. Before you list your home, you’ll need to spruce it up.  If you’re tight on cash or don’t have the time to make improvements then you should consider an “AS IS” home sale.

Start by fixing broken appliances, adding fresh paint to interior walls, replacing worn carpeting, mowing your lawn, pulling weeds and boosting your home’s landscaping. Next, remove extra furniture. This will make your home’s rooms look larger. When showings are scheduled, make sure your floors are swept, rugs vacuumed, dishes put away, beds made and kids’ toys picked up. You want your home to look clean, bright and inviting.

Find the right price

Nothing keeps buyers away like a home that’s priced too high for the market. Home values have dropped since the height of the housing boom in 2005 and 2006. Buyers don’t care what you paid for your home or what you owe on your mortgage. They only care about what the current market says your home is worth.

Study recent home sales and compare asking prices in your neighborhood on Realtor.com or Zillow to get an idea of what your home might sell for. You can even ask Realtors to tour your home and provide you with a recommended price. They’ll perform this service for free in the hopes that if you can’t sell your home by owner, you’ll call them to list it.

List it

You need to let buyers know that your home is on the market. Putting a For Sale by Owner sign in your front lawn isn’t good enough today. You’ll also need to list your home on sites such as Realtor.com and Zillow if you want people to find it. To do this, you’ll need to pay a listing service that deals with For Sale by Owner homes. There are plenty that offer this service; just search for them online. You will have to pay, though: Expect to spend $200, $400 or more, depending on where you want your home listed.

Don’t let these steps dissuade you from selling your home privately. This can be done, and the For Sale by Owner route can save you thousands of dollars. If you need more advice on selling your home without a Realtor, call us. We can guide you through the process.

If you can’t make it to our office for a face to face conversation then we’ll come to you.  We buy houses in the Austin, Texas metro and surrounding areas; Austin, Buda, Cedar Park, Kyle, and Manor.

I always find it to be difficult to find the correct information when it comes to landlord/tenant laws in Texas.  So, I put together a summary of laws and resources that will point you in the right direction for finding the answers you seek.

Please note – I am not an attorney and this is meant to be a guide and not fact.  Please do your own research and come to your own conclusion.

If you have legal questions or concerns then work with the state bar association to find an attorney.

 

Rules and Regulations For Landlord/Tenants

1- Landlord and Tenant General Provisions – Title 8, Chapter 91

2- Landlord and Tenant – Residential Tenancies – Title 8, Chapter 92

3- Landlord and Tenant – Commercial Tenancies – Title 8, Chapter 93

4- Uniform Condominium Act – Title 7, Chapter 82

5- Texas Fair Housing Act – Title 15, Chapter 301

6- Texas Civil Rights Division – Fair Housing Fact Sheet

Rules Surrounding The Security Deposit

– Security deposit maximum: No statute exists

– Security deposit interest: No statute exists

– Separate security deposit bank account: No statute exists

– Pet deposits and additional fees: No statute exists

– Deadline for returning security deposit: 30 days

– Require written description and an itemized list of damages: Yes

– Record of deposit withholdings: No statute exists

Questions About The Lease, Rent Or Fees

– Do you have to provide a rent increase notice? No Statute exists

– Can the landlord charge late fees? Reasonable amount allowed

– Can I charge a fee for a returned check? No statute exists

– Is the tenant allowed to withhold rent when the landlord fails to provide essential services? No Statute exists

– Can the tenant deduct repairs from the rent? Yes, but not more than 1 month’s rent or $500. Tenant must give prior notice to Landlord.

– Is the landlord allowed to recover court and attorney’s fees? Yes

– Can the tenant terminate due to public indecency? Immediate

– Can the tenant sublet if they choose? Prohibited without prior consent

– Does the landlord have to attempt to rerent if the tenant vacates? Yes, reasonable efforts

Different Types Of Notices

– Notice to terminate – annual lease: at least 1 month

– Notice to terminate – month to month lease: at least 1 month but tenant and landlord can make agreements in writing that differ from this.

– Notice of date/time of move out inspection: No statute exists

– Eviction notice for nonpayment: 3 days to pay or move-out – Landlord can file for eviction 3 days after the notice is received.

– Eviction notice for lease violation: No Statute exists

– Required notice before entry: No Statute exists

– Entry allowed with notice for non-emergency maintenance and repairs: No Statute exists

– Entry allowed during tenant’s extended absence: No Statute exists

– Emergency entry allowed without notice: No Statute exists

To Disclose Or Not To Disclose

Does the landlord have to identify the property owner or owners?  Yes, the landlord must identify, in writing, the name and address of the property owner.

Does the landlord have to identify the property manager?  Yes, the landlord must identify, in writing, the name and address of the property manager.

Can the landlord remove personal property after 30 days from sending a postmarked certified letter?  Yes, the landlord can remove personal property which has been abandoned 30 days after sending postmarked certified notice, and if no one has claimed the items.

Are there special circumstances where the tenant can break the lease?  Yes, if a special circumstance exists (sexual assault, sexual abuse, domestic violence) then the landlord must inform the tenant, in writing, that they may break the lease.

Can the landlord demand proof of domestic violence before the tenant can break the lease?  Yes, landlords can require tenants to provide proof of domestic violence before releasing them from the lease.

The landlord must inform the Tenant, in writing, that they have the right to “Repair and deduct or the option to terminate the lease”, if the Landlord fails to make repairs that directly affect the health or safety of an ordinary tenant.

Small Claims Court

– Small claims are limited to $10,000

– The following types of businesses are not allowed in small claims; collection agencies, money brokers, and money lenders.

Is A Business License Required?

There is no statewide statute but your local city or county might have different requirements.  You should check with your local authority to see what is applicable.

Great Resources And Links

• Texas Courts Online
• Texas Constitution
• Texas Guide to Home Owners Insurance
• Attorney General Office – Texas
• State Bar of Texas
• U.S. Department of Housing and Urban Development
• Texas Real Estate Commission
• Texas Association of REALTORS

It’s very common for people to ask how an all-cash purchase works and why homeowners would want to work with an investor that buys houses.  For the most part, the traditional way to sell a home works but there are instances where it just isn’t a good fit.  That’s where Jerred Buys Austin Houses fills the gap.  Take a look at what we did for Annette.

I received a phone call in January 2014 and a nice lady name Annette wanted to talk about selling her home.  At the end of the call, she mentioned that she wasn’t quite ready to sell but she would get back with me when the time was right.

Homeowner: Annette

Location: Capistrano Trail Austin, Texas

Home Description: 4 bedroom and 2 baths with a 2 car garage.  It was a one-story traditional all brick ranch.  The yard was impeccable and it was sitting on a ½ acre corner lot across the street from a park.  It did need a new AC but cosmetically it was in great condition.

Our Unique Offer

We gave Annette a closing date window of 120 days.  If that wasn’t enough time then we’d extend for another 120 days.  We never contacted her to ask when she would be ready.  We wanted to ensure that she had enough time to handle her family belongings and not feel rushed.  Once she notified us that she was ready to close we pulled together an all-cash purchase and let our professional title company handle the paperwork.

How Quickly Did We Close

We offered Annette 120 day window to close because we didn’t want to rush her.  2 family members had died in the past couple of years and she had quite a few family treasures that she wanted to go through on her own time.  She didn’t want to be pushed out of her house or rushed.  She wanted to take her time to go through the items and have loved ones come by and pick from the family heirlooms.  She also wanted to have a garage sale because she was moving to an assisted living community and just didn’t have the space to keep everything.  She also wanted to spend more time at the church and with friends.

Why Did She Work With Us

She didn’t want to be kicked out of her home.  First time home buyers can be difficult and they want to move in quickly.  This would have put a lot of stress on her because she had the personal items from her family members and wouldn’t have had time for the garage sale and church donation.  Plus, showing the home meant that she had to leave her home and let strangers walk through it.

I bet you can’t guess what Annette’s job was before she retired.  Times up, real estate agent for Re-Max.  It just goes to show you that a traditional home sale doesn’t work for everybody.