{"id":1109,"date":"2020-11-30T06:00:28","date_gmt":"2020-11-30T11:00:28","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=1109"},"modified":"2024-04-25T23:20:27","modified_gmt":"2024-04-26T03:20:27","slug":"concierge-services-for-home-sellers","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/concierge-services-for-home-sellers\/","title":{"rendered":"Concierge Services for Home Sellers"},"content":{"rendered":"\n

Today\u2019s Real Estate Pros Let You Renovate Now and Pay Later <\/strong><\/em><\/p>\n\n\n\n

\"Image<\/figure><\/div>\n\n\n\n

Concierge services are making a big splash in the real\nestate world. Chances are, you\u2019ve received postcards from local agents showing\nbefore-and-after images of recently spruced-up homes. Text on the postcards\nexplains how a local agent just sold a comparable home to yours at a truly\nimpressive price \u2014 and can win similar success for yours. What\u2019s more, you\ndon\u2019t even need to be in the position to afford renovations. You can optimize\nthe appeal of your home now, and pay later, after your home sells or the\nlisting ends. <\/p>\n\n\n\n

In a sense, the concierge concept competes with the\ncontinuing advancement of property\ntechnology<\/a>. While tech streamlines the experience of home selling,\nconcierge services add elements of support that go above and beyond the norm. Often\nwithout adding fees, agents can anticipate the services sellers need most, and\nthat local buyers are willing to reward.<\/p>\n\n\n\n

Of course, real estate brokers and agents have recommended\nor provided home improvement services for years. But today\u2019s innovation-focused\nreal estate companies are bringing the idea into the mainstream and creating\nnew financing options. <\/p>\n\n\n\n\n\n\n\n

How It\u2019s Done<\/h2>\n\n\n\n

Compass rolled out Concierge in late 2018<\/a>, after raising about $400 million from an international cast of investors. The company sought talented agents to go forth and market the service, then confer with homeowners to establish renovation budgets comprising up to a certain percentage of the home\u2019s price.<\/p>\n\n\n\n

A vast range of options can be covered: house cleaning, architectural\nexpertise, floor repair, painting, HVAC and roof replacements. The home could\nneed plumbing, sewer or electrical work. (Compass expects sellers to get the licensed\nand insured contractors with the necessary permits.) <\/p>\n\n\n\n

Maybe the home would benefit from new closets, new kitchen appliances,\nor bathroom renovations. Interior staging, landscaping, moving and storage \u2014\nthese, too, are popular with sellers. <\/p>\n\n\n\n

Compass can assist with financing, too, through the company\u2019s bridge loans<\/a>. In collaboration with their preferred lenders or the customer\u2019s own lender, Compass may advance qualified sellers six months of loan payments based the seller\u2019s current home equity. The bridge loan can enable sellers to buy their next homes before their current homes sell. <\/p>\n\n\n\n

Compass Concierge<\/a> requires a one-year exclusive contract. Compass agents work with houses or condos \u2014 there is no minimum home sale price. When the sale goes through, the seller taps the sale proceeds to repay the advance.<\/p>\n\n\n\n

Competition and Alternatives<\/h2>\n\n\n\n

Major real estate groups have launched similar services.\nHere a few of the well-known names:<\/p>\n\n\n\n

Coldwell Banker Residential Brokerage<\/h3>\n\n\n\n

Realogy-owned Coldwell Banker has introduced the RealVitalize\u2120 concept, in which listing agents bring\nin HomeAdvisor\u00ae consultants to suggest vetted local contractors who perform estimates\nand upgrades. Denver-based HomeAdvisor is part of ANGI Homeservices, Inc.<\/p>\n\n\n\n

Owners of homes of any price can make non-structural upgrades using the HomeAdvisor\u00ae platform to view and approve estimates, and schedule the work. HomeAdvisor manages the materials selections and the work, taking these burdens off the agent and homeowner. Payment does not need to come out of the seller\u2019s pocket until the listing expires or the house sells. Coldwell Banker says<\/a> the test run of the service proved lucrative for agents and sellers alike.<\/p>\n\n\n\n

Keller Williams Realty\u00ae, another real estate group owned by Realogy, shows before-and-after samples in this video explainer for KW Concierge<\/a>.<\/p>\n\n\n\n

Golden Gate Sotheby\u2019s International Realty\u00ae<\/h3>\n\n\n\n

Sotheby\u2019s came out with Next Level Concierge<\/a> in San Francisco. It includes a wide range of upgrades. Covered upgrades include everything from staging to interior improvements to structural renovations. Sotheby\u2019s also finds the appropriate licensed and insured contractors, so the homeowner or real estate agent need not handle that task. <\/p>\n\n\n\n

Redfin<\/h3>\n\n\n\n

Redfin can \u201crefresh\u201d your home<\/a> for a 2% listing fee that covers the assistance of both an agent and a concierge. The concierge does the research and taps local connections to find the contractors. Redfin, an early concierge trendsetter, promises to give its listings digital marketing attention with an international reach. Interested sellers should check for availability and the minimum listing price in their locations.<\/p>\n\n\n\n

Curbio\u2120  <\/h3>\n\n\n\n
\"Image<\/figure><\/div>\n\n\n\n

Located in the D.C. suburb of Potomac, Maryland, Curbio handles contract work for renovate-now-pay-later<\/a> agreements with home sellers. Curbio defines itself as \u201cthe only renovation company that specializes in ROI, speed to market and on-site, stress-free project management.\u201d<\/p>\n\n\n\n

Real estate agents can work with Curbio on projects \u2014\nkitchen or bath updates and mold remediation are top choices \u2014 starting at $15,000.\nThe company uses 3D videography tools to assess the home and draft a proposal and\ncontract. An onsite project manager handles permits, orders materials, and hires\nthe subcontractors.<\/p>\n\n\n\n

Curbio won\u2019t expect payment until settlement, and charges zero interest, and zero fees. Yet sellers must agree to reduce their listing price by 2%<\/a> after 30 days on the market, and 2% more monthly after that, until settlement.<\/p>\n\n\n\n

Drawbacks and Pitfalls <\/h2>\n\n\n\n

A cost advance offers obvious benefits to the homeowner who\nwants to sell, but lacks the funds to renovate. Those sellers who do not need a\ncash advance, or who already have relationships with local contractors, might\nprefer to source their own bids and oversee their own renovations.<\/p>\n\n\n\n

Perhaps the real estate agent who doubles as a concierge\nfaces the biggest risks. In addition to the normal duties of an agent, the\nconcierge role can sometimes involve soliciting bids, coordinating architects\nand designers, renovators, painters, cleaners, delivery drivers and movers.<\/p>\n\n\n\n

Real estate agents may be affiliated with major brokerages,\nyet still be classified as independent contractors, not employees. Some may\nfind themselves holding the bag if they\u2019ve personally fronted costs for sellers\nwho pull out of agreements. Yet the concierge trend is a game changer, and agents\nmay decide it\u2019s worthwhile to outsource these services, as the Curbio model\nsuggests. In any case, the seller\u2019s situation needs to be vetted and understood\nin advance. Sellers in these arrangements must be \u201chouse-rich\u201d \u2014 they need to have\nenough equity to repay the advanced costs as well as other debts secured by the\nhome. <\/p>\n\n\n\n

Should You Sell With a Concierge Service?<\/h2>\n\n\n\n

Home renovations help the seller, the buyer, and their\nagents. Attractive homes in good condition tend to sell quickly for the best\nprices. Renovations help the parties avoid last-minute negotiations or\nroadblocks involving repairs. <\/p>\n\n\n\n

But renovation is expensive. Some homeowners, daunted by the\ncost of getting a home in shape to sell, delay selling or try to market a home\nin suboptimal condition. A solution is the concierge concept. Through this\narrangement, the real estate broker funds key upgrades, and awaits repayment at\nsettlement.  <\/p>\n\n\n\n

Thanks to concierge services, sellers have new ways to be\ninspired and even incentivized to make the upgrades that will pay off best in\nthe best possible deal. Of course, it\u2019s essential to study reviews of the agents,\nand to speak with people who have used their services. Sellers are best helped\nby experienced, motivated agents who have sold local homes. It\u2019s generally best\nto interview more than one local agent before signing an agreement.<\/p>\n\n\n\n

If you know what to expect from your local agent, and if\nyour home equity allows you to take care of the repayment, the concierge\napproach is an attractive option. It also allows you to market a home that\u2019s\nmove-in ready. One that looks attractive in person, on real estate webpages \u2014 and\neven on those head-turning postcards.<\/p>\n\n\n\n

Resources<\/strong><\/p>\n\n\n\n

Lew Sichelman, Some Agents Will Front Repair Costs<\/a>, Hartford Courant<\/em> (Sep. 24, 2020).<\/p>\n\n\n\n

Realogy: Realogy Partners With HomeAdvisor To Launch Home Improvement Program<\/a> (Sep. 18, 2019). <\/p>\n\n\n\n

Photo credit: Naomi H\u00e9bert<\/a> and Natural Goods Berlin<\/a>, via Unsplash. <\/p>\n\n\n\n

Disclaimer:<\/em><\/strong> Photos do not depict the services of companies described in this article, nor does Deeds.com<\/em> make any endorsements or recommendations of any of the services or companies described. This article is intended for informational purposes only, and we cannot promise that any company will be able to assist in a given situation or in a specific manner. Companies may make changes to their services and pricing at any time. <\/p>\n","protected":false},"excerpt":{"rendered":"

Today\u2019s Real Estate Pros Let You Renovate Now and Pay Later Concierge services are making a big splash in the real estate world. Chances are, you\u2019ve received postcards from local agents showing before-and-after images of recently spruced-up homes. Text on the postcards explains how a local agent just sold a comparable home to yours at […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[71],"tags":[],"class_list":["post-1109","post","type-post","status-publish","format-standard","hentry","category-general"],"yoast_head":"\nConcierge Services for Home Sellers - Deeds.com<\/title>\n<meta name=\"description\" content=\"You don\u2019t even need to be in the position to afford renovations. 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