A senior who hasn’t sold a house in several decades might consider using a relocation service instead of hiring a traditional real estate agent. The relocation service will hire an agent for you and follow up on all the details of the sale.
And while relocation services designed just for seniors are hard to come by, they are worth investigating if one is available in your area.
“We help sell the senior’s home at the best price with the least inconvenience,” said Renee Funk, president of The Relocation Co., Chicago, one of the few local relocation services to specialize in helping elders.
Generally, relocation services work with transferees being moved to a new city by their employer. Relocation services differ from real estate agents in that the relocation service hires the real estate agent to sell the old house. The relocation service hires an agent to find a house for the transferee in the new location too. The service also oversees many of the details of a long-distance move.
Funk’s company handles corporate relocations, but 50 percent of its customers are seniors selling their homes.
“Seniors have been a growing part of our business for the past 5 or 6 years,” she said.
Helping find a good real estate agent is probably the best service provided by Funk’s company. Funk has a list of criteria that agents must meet, including being active in the neighborhood where the house is located. She usually selects two agents to conduct what’s called a market analysis, which compares the house to similar properties that have sold recently.
“Our goal is to price the house accurately — not too high, but not too low,” said Fun/k.
Funk reviews the agents’ market analyses, which include a suggested price.
“You want to avoid an agent doing a quick sale with a low price,” said Funk. “But you also don’t want an agent who’s trying to buy a listing with a high price.”
The homeowner and Funk settle on a price range together.
“We act as the homeowner’s professional guide,” Funk said.
Funk says one of the biggest problems is that the homeowner often likes both agents and can’t decide which one to pick. But having the choice of two professional agents is a far better situation than the way many elders approach the selection process.
Too often, Funk says, elderly homeowners call a friend who is an agent. Or the homeowner might hire a relative who is starting out in the real estate business.
“You can’t hold friends and relatives accountable,” said Funk. Seniors should treat the sale as a business transaction, recognizing that a house is probably the biggest asset they own.
The homeowner signs a listing agreement with the real estate agent. However, the homeowner signs no agreement with Funk’s company. She is paid by the listing agent, a sort of referral fee. This fee is a percentage of the commission generated by the sale of the house.
Even so, Funk recommends homeowners sign a listing agreement that lasts no more than 90 days.
If the agent insists on a six-month listing agreement, the contract should include a clause to cancel the agreement for any reason after 90 days.
After the agent has been selected, Funk supervises the marketing of the property. The agent reports to Funk on a bi-weekly basis. A special open house might be held for brokers or a direct mail campaign might be conducted.
“We consult the homeowner throughout the entire process and we help keep the real estate agent focused on the home,” said Funk. “Agents have a lot of business and we make sure the property stays in a priority position.”
Funk’s company can also help a senior find a new home or condominium. She won’t select a nurs/
ing home or assisted living facility. Seniors who need those services are referred to a social service agency.
But seniors looking for conventional housing can use the relocation service to find a buyer’s agent.
The process works about the same as finding a seller’s agent. Funk’s company conducts a needs assessment to determine where the person would like to live — near grandchildren, a job or whatever. She then recommends agents which are interviewed by the home buyer.
Home buyers may or may not sign an agreement with a buyer’s agent, but home buyers should not agree to pay any commissions, warns Funk. The buyer agent’s fee should come from the proceeds of the home sale.
Relocation specialists for seniors are hard to find, but there are real estate agents who have been trained to work with older home buyers and sellers. These agents are called senior real estate specialists. They must have completed a 12-hour training course in order to hold the designation.
Currently, there are about 3,000 senior real estate specialists in the country.
Senior specialists are taught how to counsel older people during the entire selling and buuying process, according to Californian Tim Corliss, who trains senior specialists.
“Specialists know what to look out for with the senior which helps the senior develop a real comfort zone,” he said.
Resources
– The Relocation Co. offers seniors a packet of free information detailing its services, along with helpful hints about getting a house ready for sale. For a copy call 312-587-9700.
– Senior Real Estate Specialists are listed by state on the Internet at www.seniorsrealestate.com. Or call 1-888-880-2322 for the name of a senior specialist near you.
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Jane Adler is a Chicago-area freelance writer. If you have questions or information to share regarding housing for senior citizens, write to Senior Housing c/o Chicago Tribune Real Estate Section, 435 N. Michigan Ave., Chicago, Ill., 60611. Or e-mail adler@megsinet.net
