Winter has arrived in the Middle Atlantic much earlier than we
wanted it, and the slick sidewalks and front steps that remain in
evidence more than reasonable time after the last snowfall have
reminded me that colder weather puts an added burden on the listing
agent.
After all, even as the market slows for the holidays, real estate
agents remain busy, because there are serious buyers to be dealt
with. But the cold weather brings with it the added responsibility
of making sure that extra steps are taken to ensure that the houses
left in their charge don't hold any surprises.
For example, a few years ago, a friend of mine relocated to the
West Coast before he was able to sell his house. When January rolled
around, the house had been empty for a couple of months and wasn't
being shown often.
In mid-January, shortly after a spell of very cold weather and a
heavy snow, the real estate agent brought a prospective buyer to see
the house. Somewhere along the way, the furnace had developed a
problem and stopped working. Opening the door, the agent and the
prospect were greeted by a pond in the middle of the living room
where water from one of several burst pipes had settled.
There was six inches of water and mud in the basement, and wet
floors and walls everywhere. The buyer was unwilling to go any
further, and the agent had the task of telling my friend that his
house, already a tough sell in a slow market, needed nearly $10,000
in repairs.
Insurance paid for some of the work, but my friend ended up
swallowing a considerable part of the expense. In addition, although
the insurance carrier met its mandated obligation, it declined to
renew the policy for what was unoccupied property. Frankly, when you
considered what had transpired, it was hard to justify a renewal.
What went wrong? The agent should have at least checked up on
things periodically, no less than once a week, especially in the
winter. Or the broker should have hired someone, or at least
contracted with someone, to check this and other unoccupied
properties periodically, just to be sure that the problems didn't go
unsolved for weeks at a time.
The issue could be as simple as shoveling snow or as complex as
ice dams developing on a roof in the aftermath of a heavy snow. In
many municipalities, homeowners are responsible for clearing the
public sidewalks in front of their houses within a reasonable time
after a snowfall. Fines often accompany noncompliance, and if
someone falls on the sidewalk because it wasn't cleaned, there are
insurance issues as well.
This should be basic stuff that agents and brokers should know
but often don't wish to acknowledge. If a house is going to be empty
for long periods when it is on the market, the brokers and agents
need to develop a routine to ensure that the property is maintained
and secure. If the recommendation is that the furnace be set at 55
degrees so that pipes in the walls don't freeze, then that
recommendation should be followed.
If the owner has moved, then the listing agent should be
responsible that the sidewalks and steps are cleared and the house
is secure as long as it remains on the market. From a marketing
point of view, I think that this makes sense because empty houses
tend to be more difficult to sell than occupied ones, and making
sure the house looks well-maintained obviously helps mitigate that
feeling of emptiness.
The security issue is obvious. Even if the seller has vacated and
removed everything he or she has owned from the house, there are
still things that remain attractive to thieves, especially copper
pipes and fixtures. If the entrance to the house remains unshoveled,
burglars know the place is an easy target, and usually can get
around most alarm systems -- especially those that aren't tied into
a central monitoring system. It would be wise for the agent or
broker to let the police know that the house is empty so that they
can check on it periodically or at least investigate when lights are
on or there appears to be some questionable activity at the house.
The agents I know are divided on whether empty houses take longer
to sell because they are empty. Some even recommend that the client
agree to pay for renting a few pieces of furniture just to give
prospective buyers an idea what the place might look like when there
are people living there.
It all comes down to service. That's what agents and brokers are
selling. And that's what sellers and buyers expect.
Published: December 15, 2005
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