What Do You Need to Know When Selling Your Silicon Valley Home?

Interested in selling your Silicon Valley home? The home selling process has changed dramatically in recent months due to the novel coronavirus pandemic and Shelter in Place orders (which have been lightened a little, but not fully, and with cases rising may roll back to stricter terms again).

We need to start by understanding what can and cannot be done and to factor in what will improve the odds of your successfully selling your Silicon Valley home for top dollar under the current, strange market conditions.

Selling your Silicon Valley home during Covid-19 restrictions

Since mid-March 2020, we had a prohibition on the showing of occupied homes. As of May 4th, occupied homes were able to be shown as long as the seller is not present (from mid March until May 3rd, only vacant properties could be shown).

This has made it far easier on home sellers, who were sometimes moving out just so that their homes could be seen by buyers and their real estate agent.  (That still may not be a bad idea to move out to sell, but at least you will soon have the practical option to continue living at home while selling.) The market began heating up in May and became hot in June and July. Homes in Santa Clara County are selling about as fast as they are coming on the market – as long as there is space. It’s harder for condos, and harder still for very small condos with no outside space.

There are other, additional restrictions which will stay in place for showings, but I do not think that they will really hurt sellers. For instance:

Only two home buyers (or one buyer plus a friend or family member) may see the property with one agent.

Whatever can be done to help make the home better known from video, photos, and floor plans will be a huge help to unsure home buyers, or their close relatives, who may be weighing in on the decision to buy or skip a given home.

Open houses and broker opens are not allowed in the traditional way.

Prior to visiting the home, everyone going inside must sign a PEAD-V form, which the buyers’ agent must email to the listing agent.

Some listing agents of occupied homes are restricting showings further, requiring a pre-approval letter for buyers who will get a loan, or even requiring proof of funds for cash buyers. (I don’t recommend the latter and have had my own buyers refuse to see homes when their bank statements were demanded just to look at the property.)

In terms of the family and friends, who often help to confirm the home selection, having a video walk through, a floor plan, and extra photos (even of things not normally shown) can be a huge help.

In lieu of open houses, some agents are now doing virtual, live tours for both the Realtor and home buying community. That entails the listing agent being at the property and doing a walk through as others ask to see particular features. For instance, a buyer might ask if the kitchen cabinet corners are dead space or if they have lazy Susans in them. The listing agent can walk over and check it out live.

1. Paperwork:  Naturally, there is additional paperwork to sign. For home sellers, there’s an addendum to the listing paperwork (LISTING AGREEMENT CORONAVIRUS ADDENDUM OR AMENDMENT ) which gives permission for your home to be shown. There’s also a document (the PEAD form, CORONAVIRUS PROPERTY ENTRY ADVISORY AND DECLARATION )  for buyers,  home inspectors, photographers, or other visitors to sign before visiting any properties for sale which underscores for them that they are increasing their risk by entering homes during the pandemic. Additionally, there’s an addendum to the purchase contract for unforeseen delays due to the pandemic (NOTICE OF UNFORESEEN CORONAVIRUS CIRCUMSTANCES). These are all documents to review with your real estate agent.
2. Stay away as much as possible: If you plan to be selling your Silicon Valley home during this pandemic, for your safety you’ll want to stay away from the house or condo as much as possible.You may want to consider moving out if possible since having the home buying public visit your home will increase the risk of transmission. If it is not possible, it would be wise to not just leave during showings, but stay out awhile longer. Better still, take a 1 week vacation when the property comes on the market so most of the showings will happen when you are gone.
3. Extra everything: Home buyers are supposed to see homes in person as kind of a last resort. The more that they can view and investigate the property upfront, the better. Sellers are already in the habit of providing upfront inspections and disclosures, and the agents usually provide professional photography. But more is better now –  additional images (even of things not normally shown, like the side yards), videos, floor plans, and documentation. A thorough battery of inspections is even more important than usual.
4. Fix what may need fixing: buyers are wary of having repair people working on the home after they move in. If something needs fixing, discuss with your listing agent the pros and cons of doing it upfront. In my experience, whatever makes buyers more confident is key right now.
5. Disinfect: the buyer’s agents are supposed to disinfect, but don’t count on it. For your own health and safety, please disinfect doorknobs, surfaces, and commonly touched items to protect yourself.

Lighten up your dark home and sell for more!

Would you like to see homes for sale in your area of Santa Clara County? This provides more detailed info on Silicon Valley properties, including lots and lands, commercial real estate, residential real estate, some rentals, and more:

View Silicon Valley homes for sale by map (no registration).