The more you know about the property selling process, the better experience you will have. Below are some of the key terms and most frequently asked seller questions.
Frequently asked selling questions.
If I list my property for sale, do I have to sell it?
Of course not! If you list your property and you don’t receive an offer that you are happy with (even if it’s more than you asked for) you don’t have to sell. Having said that, there is a lot of work that goes into listing a property for sale buy the listing Realtor, the buying Realtor and any potential buyers. If you just want to see what you can get for your property and aren’t serious about listing, we don’t suggest that you do.
What is MLS and do I have to list my property on it?
MLS stands for Multiple Listing Service and it is a central database for all Realtors to list their client’s properties for sale and for potential buyers to find them. You don’t have to list your property there but it is the most effective place to find the most number of buyers possible. Listing your property on MLS ensures that it will be seen on Realtor.ca as well as by other Realtor’s active buyer clients. However, MLS isn’t the only place your Realtor should showcase your property. Google, Facebook and other online channels can reach thousands of buyers and should always be used together with MLS to advertise your property for sale.
Important selling terms.
Appraisal
The professional valuation of an asset or property.
Bridge Financing
A temporary loan that “bridges” the break between the sale price of a new home and a home buyer’s new mortgage, in the event the buyer’s home has not yet sold.
Chattels
Tangible and movable personal property in a home (example: furniture, window coverings).
Closing Date
The date on which parties consummate the purchase contract and the property’s ownership is transferred to the buyer.
Close
The final procedure in a home sale in which documents are signed and recorded. This is the time when the ownership of the property is transferred.
Closing Statement
A document commonly used in real estate transactions, detailing the fees, commissions, insurance, etc. that must be transacted for a successful transfer of ownership to take place. This document is prepared by a closing agent and is also known as a “settlement sheet”.
Commission
The fee charged by a broker or agent for his/her service in facilitating a real estate transaction.
Conditional Offer
An offer to purchase that is subject to conditions, which may include financing, sale of the buyer’s property, etc.
Conditions/Clauses
A section or arrangement within a contract that addresses some specific aspect of the overall agreement between the buyer and seller.
Deed
Transfers ownership from the previous homeowner to the new owner (the buyer), and can include various warranties
Deposit
An amount paid to the seller toward the mortgage given in advance to secure the property.
Real Estate Sales Representative
A person with a provincial license to represent a buyer or a seller in a real-estate transaction in exchange for commission. Most Sales Representatives work for a real estate brokerage or agent.
Right of First Refusal
A contractual right granted by an owner of property. The owner gives the holder of the right an opportunity to enter into a transaction with the owner according to specified terms, before the owner may enter into that transaction with a third party.
Selling Agent
A sales agent who exclusively represents the seller of a property in a real estate transaction.
Sign Back/Counter Offer
An offer that is made in response to a previous offer by the other party. Making a counter offer automatically rejects the first offer, and requires an acceptance under the terms of the counter offer in order to finalize the contract.
Zoning
Government (usually municipal) laws that control the use of land within a jurisdiction.