Real Estate and Reston, VA: September 2007

I just returned from spending the weekend with my parents who had just moved out of the home that they had lived in for 37 years.  To complicate matters, they were moving in to my deceased grandmother's home.  This resulted in the need to combine two full households worth of "stuff."

This is a hard scenario for anyone, but there are a couple of things to ask yourself as you go through the moving process--this type, or any other.

1. Do you have this item because you CHOOSE to have it, or because you have always had it?
2. Would you buy this item?
3.  Does it have some special sentimental meaning (keeping in mind that there are plenty of things that we inherit because other people didn't want them)?
4. Could someone else benefit from this item if you are planning to store it?
5. Does this item suit the type of lifestyle you envision?  If you see yourself in a sleek, contemporary waterfront, you might want to consider some of the collections you have...they may not suit the style.  On the other hand, if they mean a lot to you and they still don't suit the style of your new home, could you see dedicating one room to this "errant" decorating style?
6. Before you put things in storage (AND THIS IS A BIG ONE), do you ever see yourself retrieving them?  If not, what is the best way to deal with this? Donations? Yard Sales? Craig's List? Free Cycle?  Storage rental fees for the rest of your life?
7. Do you want someone else to make decisions about your stuff?  If you do not, go through it while you can be objective...once it is in the house, you will go back to not noticing it again.
8. If you plan to leave a certain item to someone, do you want to go ahead and do it?  Are you sure they want the item in question?

Remember, as you sort through your belongings, only to donate things that are clean and operational.  Other people do not want your trash.

Don't hesitate to call someone in to help.  I was able to help my mom re-think ways of setting up rooms that she would not have considered. We were able to talk through some of the items they gave away and recognize that they really had no use for them--or particular attachment to them!

One final note, as you unpack boxes, group "like" items together (vases, pictures/paintings, lamps, etc.).  This will be a huge help when you get past unpacking and move in to the decorating phase of moving.  You can go "shop" for the right lamp or painting for a room, without looking all over the house.

Finally, remember that a home is a work-in-progress. If you surround yourself with things that you love, in moderation, you will be happy with your new home.  If you "manage to fit" everything in, you may end up feeling like you are living in a junk shop.  Ask yourself the tough questions as you pack, and again as you unpack.  It will be worth it in the long run!

It is a fact of life that those of us who own pets consider them to be family members.  You see evidence of this daily with dogs accompanying owners on trips around town. Cat owners are just as enthusiastic about their friends; they just have a harder time getting them on a leash!

When you go to sell your house, however, you must stop thinking of your pet like a member of the family and start thinking about your pet as a possible impediment to a quick sale.

When it comes to dogs I often suggest that pets be crated during the day when a house is on lock-box.  Many pet owners balk at this suggestion.

As an alternative, I would like to suggest using a baby gate or pet fence to sequester your dog in a small room (such as a mudroom or study) where potential buyers can see the animal, but feel protected from it's enthusiasm.  Post a sign with the dog's name and provide a dish with dog treats (if appropriate). I do not recommend putting the animal behind a closed door.  Even if this information is posted outside of the room, it may keep a buyer from opening the door to the room--this will leave them with a feeling that they did not see your whole house, and they will likely scratch it off the list.  I once sold my house to a woman who was EXTREMELY scared of dogs.  We gated our 75 pound dog in the mudroom, where she could see her, but not feel threatened (this dog wouldn't hurt a fly).  She has since told me that if the dog had been loose in the house, she would not have gone in and would not have bought our house.

Cats are a different story.  I have had buyer clients who would not buy a house where they could see evidence of cats. It does not matter how well behaved your cat is, many people don't want a home where a cat lived.  If you can see your way to have your cat "stay with a friend" you are going to feel the least amount of repercussions from this.  People who don't like cats feel very strongly about this dislike.  Hide your litter box and remove other evidence. If you are a cat owner, you are likely feeling offended by this.  I apologize, but I see this over and over again when I work with buyers.  Don't shoot the messenger...

Finally, other less common pets can also present problems; hamsters, ferrets, snakes and other animals that some people love and others hate.  If you have these animals, consider having them go stay with a friend during the marketing of your home. Or, if it is a possibility given your home and the weather, keep them in the garage.

Welcome to Northern Virginia!  We are all excited that you have chosen our area for your new headquarters.  I think you will find an area rich with educational, cultural and job opportunities (for your spouses, of course!).  There are many different areas, each with its own unique character.  From Reston to Herndon, Ashburn to South Riding, Great Falls to Oakton or Landsdowne to Leesburg, I think you will be able to choose from special communities that will welcome the additional business and resources that your company brings to our area.  If you want Horseback riding, ice hockey, swimming,soccer or lacrosse (or virtually any sport) there is is no shortage of places that you, or your children, can watch or participate in these activities

We are all anticpating your arrival and welcome you with open arms! If there is anything that I, or any of my colleagues, can do to assist you with your pending arrival, please do not hesitate to contact us.  We would be honored to work with you to make the transition to our area a smooth one.

I know, your eyes just glazed over.  This is really a pretty simple concept that has been made complicated by the fact that all REALTORs are liable for situations where the clients do not understand their position in a transaction. This has resulted in long (and often excruciating) explanations about different types of agency that the general public often does not understand. Let me explain in a way that hopefully makes it easier to grasp.

In the "olden days" all agents represented the seller.  This is the way that many of us "grew up" in real estate.  It did not make much sense, since there was often an agent on the buyers side who acted like they were representing the buyer, but at the end of the day their loyalties were to the seller.  As you can imagine, there were many buyers who did not understand this and some who did not receive the best representation. Many buyers agents,however, behaved as if they represented the buyer in all respects, despite their obligation to the seller.

Fast forward to our current way of doing business, which is that, in most cases, each party to a transaction (buyer and seller) have their own agent who is working ONLY on their behalf.  These agents are generally called the Buyer Agent (or Selling Agent)  and the Listing Agent. Each of these agents works for a Broker. In every transaction, it is the Broker--not the agent--who is actually paid in (and responsible for)  the transaction. The Broker then pays the agent.

Buyer Agency representation is explicitly defined in a contract between the buyer and the Broker/agent.  This contract says that the Buyer Agent Broker will be paid and that the buyer agrees to pay the Buyer Agent  Broker if compensation for their work is not part of the offer of compensation in the listing.  In return, the Buyer Agent will fully represent the buyer and not the interests of the seller. Most listings will offer compensation to the Buyer Agent  Broker for bringing a willing and able client to purchase and go to closing on a seller's home.

The Listing Agreement is a contract that explicitly states that the Listing Agent will represent the seller's best interests. In return for doing this, and producing a buyer for the property, the  seller will pay the Listing Broker a commission. The Listing Broker agrees to pay a portion of this commission to a Buyer Agent Broker who brings a qualified client who purchases the seller's home.

Where this gets tricky is when 2 additional terms are introduced: Dual Agency and Designated Agency.

In Dual Agency, both parties agree to be represented by the same broker/agent.  Each party gives up their right to full representation for the advantage of having one broker/agent who is motivated to get the deal done. The main advantage to this is that the agent might be able to further reduce the sales commission if they do not have to pay another broker. The main disadvantage is that the broker/agent cannot advise either party how to structure the contract or whether to accept an offer  If both parties are willing to give up this assistance to go to closing, it can be a win-win situation.  It is not however without problems.  The agent must be careful not to disclose any information to either party that could jeopardize that parties negotiation position; agents are often privy to this information.  They are also unable to advise either party how to handle tricky situations that arise during home inspections, termite, appraisal, etc. They become, in effect, an administrative party to the transaction. This is not an ideal situation for an inexperienced client or a close friend or relative. A Dual Agency situation must be disclosed to all parties and each party has the right to refuse this type of representation.

As a Designated Agent, the buyer's agent works for the same Broker that the listing agent works for but they are not the same person.  This situation is not uncommon with large Brokerage firms.  Many of these agents, while working for the same Broker, do not even know each other.  There is  always risk that the agents might inadvertently share information about one or both of these clients. A Designated Agency situation must be disclosed to all parties and each party has the right to refuse this type of representation.

Finally, there are contracts where only one party has representation. An example of this is if a Listing Agent receives a call from a potential buyer who does not have (or want) an agent.  Without becoming either a dual agent or  a designated agent, the Listing Agent can write up the contract as a "ministerial act." They can provide NO advice on how to structure the contract/deal, simply document the offer that the potential buyer is proposing.  I have done several of these types of contracts in the past year.  The buyer often thinks they will get a better deal by asking the Listing Agent to cut his or her commission. Keep in mind, however, that the payment of the commission is established in  a contract between the Listing Agent and the Seller and any agreement to modify this contract is between those 2 parties.  I have found, at least with the potential buyers that I worked with, the offers they propose are not always fully understood, and neither case did these potential purchasers made it to settlement. One contract was rejected outright as being too risky for the seller and one contract was accepted but then "kicked out" by a more solid offer. Without someone advising these parties, each offer was strongly weighted toward the purchaser. Obviously, someone representing themselves will look out for their own interests and will have limited or no insight (and possibly limited objectivity) into how an Listing Agent will review the contract with a seller. This is a situation that can work if the party without an agent is well informed about the process and puts together a solid offer. If not, be careful here if the house under consideration is one that you really want!

Agency laws vary from State to State and common practices vary from region to region.  If you are trying to make a decision about representation and agency, I recommend that you speak with someone in your regional area who can explain how buyers and sellers handle agency representation in your area. REALTORs and Real Estate Attorneys should be a good source of information to assist you in your decision. 

As my own disclaimer, this is intended to be a simplistic explanation and will not cover every circumstance. I apologize in advance if I left anything out or if my wording was confusing.  I am not an attorney but just a practicing REALTOR out in the trenches trying to make this concept a little easier to understand!