SOLD APRIL 2024 - REPRESENTED SELLER

Many think this game is easy after we post the success of a closed listing. Over asking, multiple offers, seems simple right?  

It can seem that way if you prepare properly, devise a great initial strategy, and see it play out to perfection.
We agents just throw listings on the MLS and it sells itself.. so most people think.
What you don't see is that in the next 6 months there is a ballpark amount of assessment coming on to the entire building of this huge high rise. New pipes for each unit in the entire complex, AND new elevators, etc.
Costs are ballparked around $60,000 or less, but they're not 100% certain , they haven't selected their contractors. We are so early in this process, however we need to prepare both sides. The buyer needs to be aware of what is upcoming, and the seller needs to be protected against any future liabilities. Its a lot to consider...    
How do you manage that unknown?
How do you set your clients up for success?
How do you maximize the proceeds of someone who is trusting you with one of their most important assets?

Do you:

A) Price high and use that room to negotiate the assessments?
B) Price a little above and give a little?
C) Price super low and hope it gets driven up?
What do you do?  

They could work, but each option has their own inherent risks. All different forms of risk, none that great and not the best option.

What I did:

I priced it in the top range of where I thought I could get multiple offers (I know the building well), but you have to be close to that valuation with your analysis.

This could get them top value, drive further upward, and now we have competition.  With the stage set and pricing worked out,  my next goal was negotiating the $60,000 in potential assessments out of the deal, off the table, and NOT from my clients bottom line.

Result:
5 offers
$31k over ask
$60k Assessment off the table
Bonus:
I negotiated a leaseback $1 for 29 days for my clients so they can comfortably transition to their next chapter.

This deal could have gone all sorts of ways if done differently.  The potential swing of equity for my clients could have been as high as six figures.

There are many agents who could have navigated this, but there are plenty more who could have trashed this transaction.  

So when you think about who you want going into battle for you, and you consider settling for Donny the Discount Agent,  that 1-2% you think you MIGHT be saving on the front end, could come back and bite you in the ass.

For me, these are great clients, and it's why I do what I do.  To fight for them and fight for the best possible outcome, so they can move onwards and upwards!