208 Steps: The Transaction Checklist
Why Use a REALTOR®
REALTORS® are your local community experts. Below is a list of over 200 possible steps, procedures, and review stages that your REALTOR® may provide during a successful transaction.
REALTORS® are members of the National Association of REALTORS® and pledge to uphold the stringent, enforceable tenets of the REALTOR® Code of Ethics in their professional dealings with the public.
PRE-LISTING ACTIVITIES
1. Contact property owner(s) and make the appointment with the seller(s) for a listing presentation
2. Send seller(s) confirmation of listing appointment and call to confirm
3. Review pre-appointment questions
4. Research sampling of currently listed comparable properties. They may use the term Competitive Market Analysis (CMA)
5. Research trends and sales activity from the Multiple Listing Service (MLS) and public record databases
6. Research “comparable days on the market”
7. Review property tax history
8. Research property’s’ public record information for ownership and deed type
9. Research property’s public record information for lot size and dimensions
10. Research and verify legal description
11. Research property’s land use coding and deed restrictions
12. Research property’s current use and zoning
13. Ascertain need for lead-based paint disclosure
14. Prepare market analysis to establish a broker opinion of value
15. Prepare listing presentation package
16. Perform exterior “curb appeal assessment” of the subject property
17. Verify public school zoning and discuss with the seller(s) the impact of school districts on market value determination
18. Review the listing appointment checklist to verify that all steps and actions have been complete
LISTING-APPOINTMENT PRESENTATION ACTIVITIES
19. Review broker’s and company’s credentials and accomplishments in the market with the seller(s)
20. Present the company’s profile and position of “niche” in the marketplace
21. Explain different agency relationships and determine seller’s preference
22. Give the seller(s) an overview and projections of current market conditions
23. Present market analysis results to the seller(s), including sold comparable, current listings, and expired listings
24. Offer pricing strategy based on professional judgment and interpretation of current market conditions
25. Discuss goals with the seller(s) to market effectively
26. Explain marketing power and benefits of the MLS
27. Explain the different marketing options and their effectiveness
28. Explain what the brokerage does “behind the scenes” and the broker’s availability on weekends
29. Explain brokerages role in taking calls to screen for qualified buyers and to protect the seller(s) from curiosity seekers
30. Present and discuss the strategic master marketing plan
31. Review results of curb-appeal assessment with the seller(s) and provide suggestions to improve sale-ability
32. Research and verify city sewer/septic tank systems. Verify when the property’s septic system was last pumped or inspected
33. Well water: Confirm well status, depth, and output from the third-party well report
34. Natural gas: Research/verify the availability of natural gas and the supplier’s name and phone number
35. Verify security system, the current term of service, and determine if it’s owned or leased
36. Verify if the seller(s) has transferable termite bond – obtain a copy of the terms and conditions of bond that may be available to buyer(s)
37. Discuss home-warranty program with the homeowner
38. Verify if the property has rental units involved
39. Make copies of all leases for retention in listing file
40. Verify all rents and all deposits
41. Assess interior décor and suggest staging changes
42. Prepare net sheet for the seller(s)
43. Review the accuracy of current title information with sellers. If possible, obtain copies of seller(s)’ deed, owner’s title insurance policy, and most-recent survey
44. Verify the names of owner(s) as they appear in county’s public property records
45. Verify with the seller(s) if there are any outstanding or expired construction permits or if any changes have been made to the property since the seller(s) purchased the property
46. Obtain a copy of current Title Insurance Policy
47. Complete listing contract and addenda using names of the seller(s) as they appear on the deed or title policy. Obtain seller(s)’ signature(s) on the listing agreement and return a signed copy of the listing contract to the seller(s)
48. Review with the seller(s) the standard closing costs and pro-rations typical to the HUD statements
49. Obtain seller(s)’ permission to use a lockbox
50. Measure interior room sizes
51. Confirm lot size via the owner’s copy of the certified survey
52. Note any unrecorded property lines, agreements, and easements that are known to the seller if they are not otherwise noted
53. Obtain house plans
54. Review house plans and make a copy
POST-LISTING ACTIVITIES
55. Compile and assemble a formal file on the property
56. Obtain a copy of the subdivision plat/complex layout
57. Verify with the seller(s) if there are any outstanding or expired construction permits or if any changes have been made to the property since the seller(s) purchased the property
58. Obtain a copy of the current title insurance policy
59. Provide seller(s) with a copy of a blank sales contract to review in preparation of their receipt of an offer
60. Inform tenants of listing and discuss how showings will be handled
61. Arrange for installation of a yard sign
62. Have the seller(s) complete the seller(s)’ disclosure form
LISTING ACTIVITIES
63. Order plat map for retention in property’s listing file
64. Prepare showing instructions for the buyer(s)’ broker and agree on the showing-time window with the seller(s)
65. Install electronic lock box and program the lockbox with agreed-upon showing-time windows
66. Obtain current mortgage loan(s) information: companies and loan account numbers
67. Verify current loan information with the lender(s)
68. Check assumability of loan(s) and any special requirements
69. Discuss possible buyer financing alternatives and options with seller
70. Review current appraisal
71. Identify the homeowner association manager
72. Verify homeowner association fees and pending or unpaid assessments with homeowner association manager
73. Order copy of Homeowner Association bylaws
74. Research electricity availability and supplier’s name and phone number
75. Calculate average utility usage from the last 12 months of bills
76. Research and verify city sewer/septic tank system
77. Calculate average water system fees or rates from the last 12 months of bills
78. Prepare a detailed list of property amenities and assess market impact
79. Prepare a comprehensive list of property’s “inclusions and conveyances with the sale”
80. Compile a list of completed repairs and maintenance items
81. Explain the benefits of homeowner warranty to the seller(s)
82. Assist sellers with completion and submission of homeowner-warranty application
83. Place homeowner warranty in property file for conveyance at the time of sale
84. Make an extra key for the lockbox
85. Place a copy of the seller(s)’ completed disclosure form in the property file
86. Arrange for interior and exterior photos to be taken for MLS listing
87. Arrange for the creation of a virtual tour if one will be used in marketing the property
88. Complete a new-listing checklist
89. Enter listing into office records and/or create the listing file
MLS-RELATED ACTIVITIES
90. Prepare MLS profile sheet
91. Enter property data from profile sheet into the MLS listing database
92. Proofread MLS database listing for accuracy, including proper placement in mapping function
93. Take additional photos of the property to upload into MLS and for use in flyers
94. Provide seller(s) with a copy of the listing agreement and MLS profile sheet data form
95. Syndicate the property information to other active listing site
MARKETING AND SHOWING ACTIVITIES
96. Create print and Internet ads with the seller(s)’ input and approval
97. Provide “special feature” cards for marketing
98. Submit ads to company’s participating Internet real estate sites
99. Order brochures and flyers as needed
100. Create QR codes
101. Prepare mailing and contact list
102. Generate mail-merge letters to contact list
103. Order “just listed” labels and reports
104. Prepare flyers
105. Prepare property marketing brochure for the seller(s)’ review
106. E-mail marketing material to brokers and agents with marketing material
107. Mail out “just listed” notice to all neighborhood residents
108. Inform Network Referral Program of listing
109. Coordinate showings with owners, tenants, and other REALTORS®. Return all calls promptly (weekends included)
110. Provide showing time comments and feedback to the seller(s) and recommend changes according to potential buyer comments
111. Review comparable MLS listings and new trends regularly to verify property remains competitive in price, terms, conditions, and availability
112. Provide marketing data to buyers coming through international relocation networks.
113. Provide marketing data to buyers coming from a referral network
114. Convey price changes promptly to all Internet groups
115. Request feedback from buyers’ brokers after showings
116. Review weekly market study reports
117. Discuss feedback from showing sales associates with the seller(s) to determine if changes will accelerate the sale
118. Call seller(s) weekly to discuss marketing and pricing
119. Promptly enter price changes in MLS listing database
OFFER AND CONTRACT ACTIVITIES
120. Verify proper licensure of buyer’s broker and salesperson
121. Obtain a signed and dated verification of the escrow deposit delivery
122. Submit offer to purchase signed by buyer(s) to seller(s)’ broker
123. Provide buyer(s) a copy of all forms used in making the offer
124. Evaluate offer(s) and prepare a “net sheet” on each offer, for the seller(s) to make comparisons
125. Review offers, contract forms, addenda’s, and miscellaneous forms and explain the merits or weaknesses of each one
126. Contact buyers’ broker to review buyer(s)’ qualifications and discuss their offer
127. Obtain a “good faith estimate” from the buyer(s)’ lender for the target purchase price and review with the buyer(s)
128. Obtain a copy of the buyer(s)’ pre-approval letter from a lender
129. Provide credit report information to the seller(s) if the property will be seller-financed
130. Provide seller(s)’ disclosure form to the buyer(s)’ broker or buyer upon request
131. Negotiate all offers and counteroffers
132. Prepare and convey any counteroffers, acceptance, or amendments
133. Complete offer to purchase and all addenda
134. Deliver the contract to selling/buyer(s)’ broker or if none, to the buyer(s)
135. Verify all parties have signed the final offer and that all necessary documents available
136. Provide copies of the contract and all addenda to closing attorneys, title companies, lenders and all parties involved
137. Record and promptly deposit the earnest money with an escrow agent or deliver to closing agent and obtain a receipt
138. Disseminate “under-contract showing restrictions” as seller(s) requests
139. Inform seller(s) and buyer(s) how to handle additional offers to purchase submitted between the effective date of contract and closing
140. Place copies of the signed contract in office file
141. Change status in MLS to “sale pending”
142. Update listing file to show “sale pending”
LOAN-PROCESS ACTIVITIES
143. Contact buyer(s)’ lender weekly to verify processing is on track
144. Follow buyer(s)’ loan processing through to the underwriter
145. Relay final approval of buyer(s)’ loan application to the seller(s)
146. Coordinate with lender on discount points being locked in with dates
147. Confirm verifications of deposit and buyer(s)’ employment
148. Add lender and other vendors to transaction management program
HOME-INSPECTION ACTIVITIES
149. Provide buyer(s) with home inspection company options
150. Coordinate buyer(s)’ professional home and termite inspections with the seller(s)
151. Send vacancy checklist to the seller if the property is vacant
152. If the property is vacant, arrange for power and water to be turned on
153. Review the home inspector’s report and discuss any issues if needed
154. Enter the home inspection report into listing file
155. Order septic system, well, or mold inspections
156. Review the septic system, well, or mold reports and note any possible impact on the sale
157. Provide a copy of the septic system, well and mold inspection reports to lender and seller(s)
158. Verify seller(s)’ compliance with a home inspection report and repair requirements
159. Recommend or assist seller(s) with identifying trustworthy contractors to perform repairs
160. Obtain copies of repair bills showing seller(s) has made required repairs
161. Coordinate entry into the property and buyer’s review of completed repairs
APPRAISAL ACTIVITIES
162. Schedule the appraiser to enter the property
163. Provide comparable sales used in market pricing to the appraiser
164. Follow-up on the appraisal
165. Discuss the appraisal report and suggest options if the report is different than the contract/purchase price
166. Enter appraisal completion into the listing file
CLOSING-PREPARATION ACTIVITIES
167. Distribute signed contracts to all parties involved (buyer, seller(s), title company, lender, broker(s), closing agent)
168. Coordinate closing process with brokers, lenders, and closing agents
169. Update closing forms and files
170. Confirm with a closing agent that all title problems have been resolved
171. Confirm that the seller has the proper “Power of Attorney” or trust documents
172. Work with brokers in scheduling and conducting buyer(s)’ final walk-through
173. Confirm with a closing agent that all tax, HOA, utility, and other applicable pro-rations have been resolved
174. Request final closing figures from the closing agent
175. Review closing figures on HUD statement to verify the accuracy of preparation
176. Forward verified closing figures and confirm brokers has received and reviewed them
177. Confirm brokers has received title insurance commitment
178. Provide homeowners warranty for availability at closing
179. Recommend courtesy closing agent for the absentee seller(s)
180. Forward closing documents to the absentee buyer(s)
181. Review closing documents with the seller(s) and closing agent (attorney)
182. Provide earnest money deposit check from escrow account to closing agent. If the closing agent is holding escrow funds, make sure it appears on the final HUD
183. Coordinate this closing with the seller(s)’ next purchase and resolve any timing problems
184. Confirm seller(s)’ net proceeds check at closing
185. Confirm collected funds from the buyer(s) are available for closing
186. Verify all parties have all forms and information needed to close the sale
187. Confirm location, date, and time where closing will be held and notify all parties
188. Explain filing for homestead exemption
189. Verify transfer of all keys (house, mailbox, and HOA/community, etc.)
190. Closeout listing
AFTER-CLOSING ACTIVITIES
191. Provide REALTOR® referral information for the seller(s)’ relocation destination
192. Assist with filing claims with homeowner’s warranty company
193. Change MLS status to “sold.” Enter sale date, price, selling broker, and listing broker’s ID numbers, etc. into the MLS
194. Closeout listing in company files
195. Respond to any follow-up calls and provide additional information required from office files
196. Attempt to clarify and resolve any repair conflicts if buyer is dissatisfied
BUYER(S)-PRESENTATION ACTIVITIES
197. Respond to prospective buyer(s) inquiries
198. Interview the buyer(s) prospect and obtain a buyer(s) personal information and explain the home buying process
199. Determine if REALTOR® has a conflicting brokerage relationship or another conflict of interest with the buyer(s)
200. Discuss the pre-approval financial process with the buyer(s)
201. Review buyer’s credit report results – advise of possible scenarios
202. Assist buyer with obtaining financing and following up as necessary
203. Suggest at least three mortgage lenders to assist buyer(s) in becoming pre-approved
204. Determine through a discovery of the buyer(s)’ preferences in a home as well as the location, price, size, type of home, special needs, and ADA accommodations, etc.
PRE-CONTRACT ACTIVITIES
205. Obtain and review pre-approval letter from a lender
206. Search the MLS for properties that meet the buyer(s)’ criteria
207. Make appointments with the seller(s) or seller(s)’ listing broker to show the properties selected by the buyer(s)
208. Show the buyer(s) their selected properties