Cash Offer
Cash offer 101:
The cash offer is the simplest and most straight forward method of transacting. I will personally come to your property and based on the condition, occupancy status (including any rental income), and potential that it has, I will derive a fair cash offer directly with me and my team. If the offer makes sense for you, I can close as quickly as 10-14 days if that is attractive to you. Conversely, if you need time, I can delay closing as long as you need in order to give you enough time to coordinate a move, find a new residence, or wait for next year for tax purposes. I put down a deposit and facilitate the transaction thru one of my trusted local title companies. Via this option, the seller benefits not only from the ease of transaction, but also from the simplicity of the financial implications of the sale. You as the seller pay no additional closing costs, commissions, or fees (other than NJ State transfer tax and any open liens/judgements/bills on the property). Remember, I will make you an offer on ANY home in ANY condition. When it comes to the most jaw-dropping flips, sometimes the worse the condition, the more fun and profitable the project can be. Bottom line, this is simple, fair, and super easy, which can have significant benefits to anyone with time constraints, financial pressure, or just a desire to avoid the unnecessary hubbub of a retail sale.
Highlighted Benefits
- Full flexibility of closing (within 2 weeks is applicable)
- 100% as-is (take what you want and leave what you don't)
- No additional closing costs
- Guaranteed fair offer no matter the condition
On Market Retail
On Market Retail 101:
An on-market retail sale is the type of real estate transaction that most people already have an understanding of. In this option, you would hire me to list and sell your home using my custom marketing, the various MLS systems that I am a member of, and all other professional recourses that I have to offer. My main differentiating factors that establish me as a leader in the field are my utilization of my personal and brokerage resources, as well as my ability to see a transaction thru all the way from start to finish (and beyond). Every Realtor has their own marketing plan when it comes to selling listings. Personally, I lean heavily on the Coldwell Banker resources that it is able to offer. As a corporate company, Coldwell banker spares no expense in casting both the widest net possible, and the most client-specific targeted marketing as well. Coldwell Banker is partnered with all of the major and niche syndication websites in order to make sure that your home is highlighted everywhere buyers are likely to look. To complement this, Coldwell Banker has proprietary technology that allows us to identify the most likely demographic of person who will make an offer on your home (using geographic location, income, age, occupation, etc.). This dual-pronged approach is guaranteed to elicit the most consistent and financially beneficial results.
In addition to this custom marketing, it is my personal negotiating skills and transactional experience that gives you a huge advantage in your retail sale. Some people think that running open houses or negotiating offers is the hard part of a real estate transaction, when in reality, once under contract, its managing all the sale variables that can cause a deal to fail under a less experienced agent. Having successfully closed over 250 real estate transactions, I make sure to personally oversee and get in front of any potential issues with inspections, appraisals, certificate of occupancy, mortgage, etc. It is the overall combination of my personal experience and corporate backing that leads to my sellers obtaining the most amount of money in their pocket as possible.
Highlighted Benefits
- Working directly with me rather than being passed off to a less experienced team member
- Fully customized marketing package backed by the corporate resources of Coldwell Banker Realty
- Minimal closing costs (NJ law states that all commissions are negotiable) that come solely from the proceeds of the sale (click the link below to learn about the new rules/regulations about agency and commission)
- Highest net dollar amount in your pocket compared to any other option
- Closing usually within 60 days
Novation/Partnership
Novation/partnership 101:
Depending on the motivation and seller situation, I have an option that allows you as the homeowner to capitalize on the equity built up in the home, as well as the potential the home has. In this option, I will first determine the current investor value of the home. Next, I will assess any deferred maintenance or renovations that can be done in the home that would maximize return on investment (ROI). My team of contractors and I will then spend our own money doing any of the capital improvements we feel is most financially beneficial. Finally, I will list the home on the market and sell it for full retail value. In this option, you are guaranteed the current cash value of the home, PLUS a percentage of the net profit accrued from the ROI of the renovation and subsequent sale. For example, let's say a client has lived in their home for 25 years and hasn't completed any updates during that time. I will come in and determine the value to be $500,000 as-is but also offer to complete the necessary renovations in order to generate a higher sales price and thus net to seller. In this example, let's say I spend $50,000 on a new roof, new kitchen countertops, bathroom vanities, a fresh coat of paint, and a deep cleaning. From this, I would expect the retail sales price to be $650,000. Once listed and sold, this example will have generated around $80,000 in net profit and thus the seller would walk away with $540,000 instead of the original $500,000. For my efforts, I get a good return on the cash I invested, and we both walk away feeling good about the transaction. One of the benefits to this option is the flexibility that I have with the terms. If the renovations would require the seller to move out, I can front some of your equity to be used towards moving expenses and carrying costs. I can pay for any inspection issues and township required certificates as part of the sale. As your partner, I would want both of us to make as much money and possible from the sale and thus work as hard as I can to achieve that. Finally, understand that I can handle any kind of renovation, from minor cosmetic touch-ups to for add-a-level additions, I have the team to get it done to maximize ROI.
Highlighted Benefits
- Zero out-of-pocket expenses to seller
- Professional contractors and site managers working directly with me to ensure high quality and timely improvements
- I handle the entire process from renovation to retail sale
- All closing costs are built into the net proceeds calculator so net really means net
- We can do anything from minor cosmetic updates to full gut renovations and additions
Creative Financing
Creative Financing 101:
Creative financing is exactly as it sounds: creative. The goal of a creative finance is always to find mutually beneficial contract terms. The ultimate outcome of a deal like this is to upgrade the seller from owner to banker. I will take ownership of the property and you as the seller will retain 0% liability of the property itself. The goal is for me to rent out the property/properties for as much as possible and split the rental proceeds evenly so you can get a positive return on the property without liability, and I can have a positively cash-flowing asset. The important transaction variables are purchase price, down payment, monthly payment, interest, and length of term. The beauty of this type of transaction is that I have the ability to be super aggressive with some terms as long as the others are adjusted to compensate. In addition to the ability to inflate the purchase price, add significant interest, and set the length of term out as far as needed, I also want to highlight the positive tax implications to the seller. Many sellers who have owned their property/properties for a long period of time understand that capital gains tax will offset much of their potential profits. In the creative financing option, the seller avoids all capital gains tax because the property is being transferred in exchange to a first position lien rather than cash. Therefore, the seller is only taxes annually on any INTEREST that is brought in rather than the regular principal payments. Lastly, if you as the seller already have a remaining mortgage on the property, we can still make a creative financing deal work. I just have to make sure that the monthly payment amount I give to you is more than enough to cover any underlying mortgage and leave a significant monthly payment to you. Bottom line, in this option, all you do as the seller is sit back, relax, and collect a monthly check guaranteed!
Highlighted Benefits
- Seller upgraded from owner to banker
- Fully customizable sliding scale for the important transaction variables (purchase price, down payment, monthly payment, interest, length of term)
- Avoid capital gains tax
- 0% seller liability for renovations, management, property deficiencies, etc. (just sit back and collect your monthly check)
- Guaranteed passive income