Why Was This List Prepared?

 Surveys show that many homeowners and homebuyers are not aware of the true value a REALTOR® provides during the course of a real estate transaction.

At the same time, regrettably, REALTOR® have generally assumed that the expertise, professional knowledge, and just plain hard work that go into bringing about a successful transaction were understood and appreciated.

Many of the most important services and steps are performed behind the scenes by either the Realtor® or the brokerage staff and traditionally have been viewed simply as part of their professional responsibilities to the client. But, without them, the transaction could be placed in jeopardy.

This publication seeks to close that gap.

Listed on the following pages are nearly 200 typical actions, research steps, processes, and review stages necessary for a successful residential real estate transaction and normally provided by a full service real estate brokerage and for which they are entitled to fair compensation.

Comprehensiveness

The list is by no means an attempt to set forth a complete list of services as these may vary within each brokerage and each market. Many REALTORS® routinely provide a wide variety of additional services that are as varied as the nature of each transaction.

By the same token, some transactions may not require some of these steps to be equally successful. However, most would agree that given the unexpected complications that can arise, it's far better to know about a step and make an intelligent, informed decision to skip it, than to not know the possibility even existed.

The REALTOR® Commitment

Through it all, the personal and professional commitment of the REALTOR® is to ensure that a seller and buyer are brought together in an agreement that provides each with a "win" that is fair and equitable.

The motivation is easy to understand. For most full-service brokerages, they receive no compensation unless and until the sale closes.

By contrast, there are firms that offer "limited services" in exchange for an up-front flat fee, or perhaps offer a menu of pay-as-you-go or "a la' carte" options. Some even offer a sliding scale ranging from limited to full service. In these cases, the compensation of the REALTORr® is based on these reduced service levels with the seller bearing full responsibility for all the other steps and procedures in the selling process. In short, the marketplace truism is that "you get what you pay for."

A Variety of Choices

The variety of brokerage business models in today's real estate industry affords the homeowner a greater range of options than ever before.

But no matter which option is chosen, before signing a Listing Agreement or otherwise engaging the services of a REALTOR® and agreeing to compensate them, homeowners should understand exactly what services will, or will not, be provided.

Why Use A REALTOR®?

Not every real estate agent or broker is a REALTOR®. That term and the familiar Block "R" logo are trademarked by the National Association of REALTOR® and can only be used by those are REALTOR® members through their local association of REALTORS®.

While all REALTORS® are state-issued licensees as agents or brokers, the major difference between a "real estate licensee" and a REALTOR® is that REALTORS® have taken an oath to subscribe to a stringent, enforceable Code of Ethics with Standards of Practice that promote the fair, ethical and honest treatment of all parties in a transaction. Non-member licensees have taken no such oath and are not morally bound to the ethical practices and principles set for in the REALTOR® Code.

For that extra measure of peace of mind, ensure the individual seeking to represent you is both a real estate licensee and a REALTOR®. Visit the Orlando Regional REALTOR® Association's website, orlrealtor.com, for a searchable list of our REALTOR® members.

The Critical Role of the REALTOR®

Listed here are nearly 200 typical actions, research steps, procedures, processes and review stages in a successful residential real estate transaction that are normally provided by full service real estate brokerages in return for their sales commission. Depending on the transaction, some may take minutes, hours, or even days to complete, while some may not be needed.

More importantly, they reflect the level of skill, knowledge and attention to detail required in today's real estate transaction, underscoring the importance of having help and guidance from someone who fully understands the process – a REALTOR®.

And never forget that REALTORS® are pledged to uphold the stringent, enforceable tenets of the REALTOR® Code of Ethics in their professional dealings with the public. Not every real estate licensee holds REALTOR® membership. Make sure yours does!

Pre-Listing Activities

  1. Make appointment with seller for listing presentation
  2. Send seller a written or e-mail confirmation of listing appointment and call to confirm
  3. Review pre-appointment questions
  4. Research all comparable currently listed properties
  5. Research sales activity for past 18 months from MLS and public records databases
  6. Research "Average Days on Market" for this property of this type, price range and location
  7. Download and review property tax roll information
  8. Prepare "Comparable Market Analysis" (CMA) to establish fair market value
  9. Obtain copy of subdivision plat/complex lay-out
  10. Research property's ownership & deed type
  11. Research property's public record information for lot size & dimensions
  12. Research and verify legal description
  13. Research property's land use coding and deed restrictions
  14. Research property's current use and zoning
  15. Verify legal names of owner(s) in county's public property records
  16. Prepare listing presentation package with above materials
  17. Perform exterior "Curb Appeal Assessment" of subject property
  18. Compile and assemble formal file on property
  19. Confirm current public schools and explain impact of schools on market value
  20. Review listing appointment checklist to ensure all steps and actions have been completed

    Listing Appointment Presentation
  21. Give seller an overview of current market conditions and projections
  22. Review agent's and company's credentials and accomplishments in the market
  23. Present company's profile and position or "niche" in the marketplace
  24. Present CMA Results To Seller, including Comparables, Solds, Current Listings & Expireds
  25. Offer pricing strategy based on professional judgment and interpretation of current market conditions
  26. Discuss Goals With Seller To Market Effectively
  27. Explain market power and benefits of Multiple Listing Service
  28. Explain market power of web marketing, IDX and REALTOR.com
  29. Explain the work the brokerage and agent do "behind the scenes" and agent's availability on weekends
  30. Explain agent's role in taking calls to screen for qualified buyers and protect seller from curiosity seekers
  31. Present and discuss strategic master marketing plan
  32. Explain different agency relationships and determine seller's preference
  33. Review and explain all clauses in Listing Contract & Addendum and obtain seller's signature

    Once Property is Under Listing Agreement
  34. Review current title information
  35. Measure overall and heated square footage
  36. Measure interior room sizes
  37. Confirm lot size via owner's copy of certified survey, if available
  38. Note any and all unrecorded property lines, agreements, easements
  39. Obtain house plans, if applicable and available
  40. Review house plans and make copy
  41. Order plat map for retention in property's listing file
  42. Prepare showing instructions for buyers' agents and agree on showing time window with seller
  43. Obtain current mortgage loan(s) information: companies and & loan account numbers
  44. Verify current loan information with lender(s)
  45. Check assumability of loan(s) and any special requirements
  46. Discuss possible buyer financing alternatives and options with seller
  47. Review current appraisal if available
  48. Identify Home Owner Association manager if applicable
  49. Verify Home Owner Association Fees with manager - mandatory or optional and current annual fee
  50. Order copy of Homeowner Association bylaws, if applicable
  51. Research electricity availability and supplier's name and phone number
  52. Calculate average utility usage from last 12 months of bills
  53. Research and verify city sewer/septic tank system
  54. Water System: Calculate average water fees or rates from last 12 months of bills )
  55. Well Water: Confirm well status, depth and output from Well Report
  56. Natural Gas: Research/verify availability and supplier's name and phone number
  57. Verify security system, current term of service and whether owned or leased
  58. Verify if seller has transferable Termite Bond
  59. Ascertain need for lead-based paint disclosure
  60. Prepare detailed list of property amenities and assess market impact
  61. Prepare detailed list of property's "Inclusions & Conveyances with Sale"
  62. Compile list of completed repairs and maintenance items
  63. Send "Vacancy Checklist" to seller if property is vacant
  64. Explain benefits of Home Owner Warranty to seller
  65. Assist sellers with completion and submission of Home Owner Warranty Application
  66. When received, place Home Owner Warranty in property file for conveyance at time of sale
  67. Have extra key made for lockbox
  68. Verify if property has rental units involved. And if so:
    1. Make copies of all leases for retention in listing file
    2. Verify all rents & deposits
    3. Inform tenants of listing and discuss how showings will be handled
  69. Arrange for installation of yard sign
  70. Assist seller with completion of Seller's Disclosure form
  71. "New Listing Checklist" Completed
  72. Review results of Curb Appeal Assessment with seller and provide suggestions to improve salability
  73. Review results of Interior Décor Assessment and suggest changes to shorten time on market
  74. Load listing into transaction management software program

    Entering Property in Multiple Listing Service Database
  75. Prepare MLS Profile Sheet -- Agents is responsible for "quality control" and accuracy of listing data
  76. Enter property data from Profile Sheet into MLS Listing Database
  77. Proofread MLS database listing for accuracy - including proper placement in mapping function
  78. Add property to company's Active Listings list
  79. Provide seller with signed copies of Listing Agreement and MLS Profile Sheet Data Form within 48 hours
  80. Take additional photos for upload into MLS and use in flyers. Discuss efficacy of panoramic photography

    Marketing The Listing
  81. Create print and Internet ads with seller's input
  82. Coordinate showings with owners, tenants, and other Realtors®. Return all calls - weekends included
  83. Install electronic lock box if authorized by owner. Program with agreed-upon showing time windows
  84. Prepare mailing and contact list
  85. Generate mail-merge letters to contact list
  86. Order "Just Listed" labels & reports
  87. Prepare flyers & feedback faxes
  88. Review comparable MLS listings regularly to ensure property remains competitive in price, terms, conditions and availability
  89. Prepare property marketing brochure for seller's review
  90. Arrange for printing or copying of supply of marketing brochures or fliers
  91. Place marketing brochures in all company agent mail boxes
  92. Upload listing to company and agent Internet site, if applicable
  93. Mail Out "Just Listed" notice to all neighborhood residents
  94. Advise Network Referral Program of listing
  95. Provide marketing data to buyers coming through international relocation networks
  96. Provide marketing data to buyers coming from referral network
  97. Provide "Special Feature" cards for marketing, if applicable
  98. Submit ads to company's participating Internet real estate sites
  99. Price changes conveyed promptly to all Internet groups
  100. Reprint/supply brochures promptly as needed
  101. Loan information reviewed and updated in MLS as required
  102. Feedback e-mails/faxes sent to buyers' agents after showings
  103. Review weekly Market Study
  104. Discuss feedback from showing agents with seller to determine if changes will accelerate the sale
  105. Place regular weekly update calls to seller to discuss marketing & pricing
  106. Promptly enter price changes in MLS listing database

    The Offer and Contract
  107. Receive and review all Offer to Purchase contracts submitted by buyers or buyers' agents.
  108. Evaluate offer(s) and prepare a "net sheet" on each for the owner for comparison purposes
  109. Counsel seller on offers. Explain merits and weakness of each component of each offer
  110. Contact buyers' agents to review buyer's qualifications and discuss offer
  111. Fax/deliver Seller's Disclosure to buyer's agent or buyer upon request and prior to offer if possible
  112. Confirm buyer is pre-qualified by calling Loan Officer
  113. Obtain pre-qualification letter on buyer from Loan Officer
  114. Negotiate all offers on seller's behalf, setting time limit for loan approval and closing date
  115. Prepare and convey any counteroffers, acceptance or amendments to buyer's agent
  116. Fax copies of contract and all addendums to closing attorney or title company
  117. When Offer to Purchase Contract is accepted and signed by seller, deliver to buyer's agent
  118. Record and promptly deposit buyer's earnest money in escrow account.
  119. Disseminate "Under-Contract Showing Restrictions" as seller requests
  120. Deliver copies of fully signed Offer to Purchase contract to seller
  121. Fax/deliver copies of Offer to Purchase contract to Selling Agent
  122. Fax copies of Offer to Purchase contract to lender
  123. Provide copies of signed Offer to Purchase contract for office file
  124. Advise seller in handling additional offers to purchase submitted between contract and closing
  125. Change status in MLS to "Sale Pending"
  126. Update transaction management program to show "Sale Pending"
  127. Review buyer's credit report results -- Advise seller of worst and best case scenarios
  128. Provide credit report information to seller if property will be seller-financed
  129. Assist buyer with obtaining financing, if applicable and follow-up as necessary
  130. Coordinate with lender on Discount Points being locked in with dates
  131. Deliver unrecorded property information to buyer
  132. Order septic system inspection, if applicable
  133. Receive and review septic system report and assess any possible impact on sale
  134. Deliver copy of septic system inspection report lender & buyer
  135. Deliver Well Flow Test Report copies to lender & buyer and property listing file
  136. Verify termite inspection ordered
  137. Verify mold inspection ordered, if required

    Tracking the Loan Process
  138. Confirm Verifications Of Deposit & Buyer's Employment Have Been Returned
  139. Follow Loan Processing Through To The Underwriter Add lender and other vendors to transaction management program so agents, buyer and seller can track progress of sale
  140. Contact lender weekly to ensure processing is on track
  141. Relay final approval of buyer's loan application to seller

    Home Inspection
  142. Coordinate buyer's professional home inspection with seller
  143. Review home inspector's report
  144. Enter completion into transaction management tracking software program
  145. Explain seller's responsibilities with respect to loan limits and interpret any clauses in the contract
  146. Ensure seller's compliance with Home Inspection Clause requirements
  147. Recommend or assist seller with identifying and negotiating with trustworthy contractors to perform any required repairs
  148. Negotiate payment and oversee completion of all required repairs on seller's behalf, if needed

    The Appraisal
  149. Schedule Appraisal
  150. Provide comparable sales used in market pricing to Appraiser
  151. Follow-Up On Appraisal
  152. Enter completion into transaction management program
  153. Assist seller in questioning appraisal report if it seems too low

    Closing Preparations and Duties
  154. Contract Is Signed By All Parties
  155. Coordinate closing process with buyer's agent and lender
  156. Update closing forms & files
  157. Ensure all parties have all forms and information needed to close the sale
  158. Select location where closing will be held
  159. Confirm closing date and time and notify all parties
  160. Assist in solving any title problems (boundary disputes, easements, etc) or in obtaining Death Certificates
  161. Work with buyer's agent in scheduling and conducting buyer's Final Walk-Thru prior to closing
  162. Research all tax, HOA, utility and other applicable prorations
  163. Request final closing figures from closing agent (attorney or title company)
  164. Receive & carefully review closing figures to ensure accuracy of preparation
  165. Forward verified closing figures to buyer's agent
  166. Request copy of closing documents from closing agent
  167. Confirm buyer and buyer's agent have received title insurance commitment
  168. Provide "Home Owners Warranty" for availability at closing
  169. Review all closing documents carefully for errors
  170. Forward closing documents to absentee seller as requested
  171. Review documents with closing agent (attorney)
  172. Provide earnest money deposit check from escrow account to closing agent
  173. Coordinate this closing with seller's next purchase and resolve any timing problems
  174. Have a "no surprises" closing so that seller receives a net proceeds check at closing
  175. Refer sellers to one of the best agents at their destination, if applicable
  176. Change MLS status to Sold. Enter sale date, price, selling broker and agent's ID numbers, etc.
  177. Close out listing in transaction management program

    Follow Up After Closing
  178. Answer questions about filing claims with Home Owner Warranty company if requested
  179. Attempt to clarify and resolve any conflicts about repairs if buyer is not satisfied
  180. Respond to any follow-on calls and provide any additional information required from office files.