As one of South Pasadena’s top realtors, I’m often called upon by sellers to help maximize the value of a property for sale. Sometimes I suggest painting the interior or exterior – which is a low cost way of presenting the property in its best light. Other suggestions may be the timing of the sale or the listing price that will generate the maximum amount of interest.
One challenge for any listing agent is when the property is in rather rough condition. In the case of 1555 Diamond Avenue in South Pasadena – the owner had begun remodeling the kitchen and bathrooms and then had a change of plan. Further, the landscaping of the back yard hadn’t been touched in decades. This left the property in a “half-constructed” state. You can see a video of the property as sold here: https://youtu.be/oGiW5BSb9hU.
A property that needs significant repairs is referred to as a “fixer upper”. 1555 Diamond Avenue was a true fixer upper. In fact – since the heating and cooling was removed as part of the remodel it did not qualify for any type of conforming loan. That meant the property would need to be sold for all cash – which limits the number of possible buyers.
To overcome these obstacles to a maximized sale price I undertook the steps below to unlock the highest possible value for the property.
1. Ensure that the listing price presented a good value to the buyer. 1555 Diamond was a difficult property to value. It was in a great location, plus had an enormous lot with tons of potential. However the house itself was relatively small and needed extensive repair work. After thoroughly evaluating all the options together with the seller – we opted to list the property at the value of the land only. We knew that the property was worth more than the value of the land – but we didn’t know how much more. So we opted to let the market decide. That placed our listing value at: $949,000. This was an attractive price for any house in South Pasadena – even one that needed work.
2. Clean, clean, clean! Even though the house was literally a construction zone – I hired a professional cleaning crew to come in and get the property looking its best. That meant thoroughly vacuuming up all the sawdust, dirt and debris in the entire house. We also cleaned the windowsills and walls. I even washed all the windows to let future buyers see the glorious views of the backyard and the neighborhood. We also had the yard and grounds cleaned and groomed.
3. Take professional photographs. The first impression that buyers get when searching for a new home and set by the photos of the property. I spare no expense in securing the best photographer in the business to generate a realistic and descriptive photos that really highlight the properties best features. I also paid for drone shots to show the proximity to South Pasadena High School and to give a sense of the awesome neighborhood and location.
4. Package up all the photos into a well tested property brochure. Having a nice take away for visitors (potential buyers) is key. Long after the walkthrough of the property, the home brochure can reinforce the strong emotions that a buyer has for the property. The brochure format that I used has been tested and evolved to solicit the highest possible interest and offers.
5. Strategically place the property on the MLS. The combination of truly outstanding photos plus a professionally written description that evokes a deep knowledge of South Pasadena helps homes sell for more. Utilizing the realtor’s database (MLS) makes sure that all of the major home sites feature the property. These would be Zillow, Refin and Realtor.com. I also keep careful statistics of exactly how many views and likes the property receives relative to other properties on the market. For example – here are the Zillow stats for 1555 Diamond after one week on the market:
| Address | Days | Views | Saves | Views/Day |
| 1555 Diamond Ave | 7 | 6,361 | 434 | 909 |
Through expert knowledge and a history of seeing these stats for every home that gets sold in South Pasadena – I can tell at a glance how popular the property is. Popularity leads to more offers and a higher sales price.
6. Homepage placement on SouthPasadenaHomes.com. My website is a magnet for buyers and sellers of property in South Pasadena and it is exclusively reserved for my clients. The website buyers are specifically looking for homes in 91030. The website caters to these buyers by presenting even more detail than the MLS for properties including additional photos, plus photos of the surrounding area, and a much richer description than is possible on the MLS. The homepage of SouthPasadenaHomes.com generated thousands of additional views for the property.
7. Create targeted and memorable ads for the local online newspaper. Another exclusive promotional vehicle I use is my longstanding relationship with the SouthPasadenan.com. It is news and events specifically in South Pasadena. I have a special ad buy with placements on every page of the website. It draws significant interest and traffic to view the property page. For 1555 Diamond Avenue I focused on developers – as these buyers represented exactly the demographic which could pay the highest price in cash and also unlock the most value for the property. Of course I also reach out to my considerable list of local potential buyers that I know personally and invite them to see the property.
8. Develop YouTube videos to further generate buyer excitement. I’m known for my YouTube videos. The video for 1555 Diamond was a detailed walkthrough explaining the value of the home and showing off the enormous lot. You can see the original YouTube video tour of 1555 Diamond Avenue here: https://youtu.be/oGiW5BSb9hU.
9. Hold 2 weekends of Open Houses. I like to offer homes for sale with a specific date on which the sellers will review offers. Typically that means putting the property on the market on a Wednesday and then holding the first Open House on the following weekend. Then another Open House one week later. Offers get reviewed on the following Monday. So that gives buyers about 10 days to see the house and submit offers. Everyone’s offers are reviewed at the same time – which I think is fair. During the Open Houses I make a strong effort to answer every single question that potential buyers have. If there is a follow up required – then I do so.
10. Create an anonymous spreadsheet with all offers compared on all relevant criteria. Once the offers are received, I create a spreadsheet for the sellers to review. There are no buyer’s names on the spreadsheet. I list them as “Buyer 1”, “Buyer 2” and so on. I include their offer price and all the proposed associated terms of the transaction. These may include items such as: the offering price, if the offer is all cash or includes a loan, if an appraisal is required, and other terms such as the escrow length.
As a result of all this effort, the property at 1555 Diamond Avenue had the following results:
17 Offers – ALL CASH (Nearly all offers were above the asking price.)
Several offers with NO CONTINGENCIES at all – just pay the money and get the property.
We counter offered to all 17 potential buyers.
We arrived at an amazing deal for my seller = NO CONTINGUENCIES and a sales price of $1,305,000. (The original listing price was $949,000.)
That is 37.5% ABOVE the asking price for the property.
We also secured a great (all cash) backup offer in the unlikely event that the top offer failed to close escrow.
Congratulations to my seller – who did everything right in this sale. She came out with a great result financially and both the buyer and the seller walked away very happy.
If you would like to discuss selling your property in a similar fashion – reach out anytime to discuss.
Derek
