Vanessa Barnes

1. Analyze why you are selling.If you know exactly why you are selling, then it will be easier for you to set the right plan of action. Do you need to sell quickly? Discuss your limitations and bottom line with your REALTOR® so they can help you set realistic goals. Are you behind on your mortgage? If so, a short sale may be an option – call for details.

   UNDERSTAND FIRPTA: FIRPTA stands for Foreign Investment in Real Property Tax Act. If you are a non-resident of the US and you are selling property in the US, you need to be aware of possible tax consequences. If a Seller is a "foreign person" as defined by FIRPTA, Section 1445 of the Internal Revenue Code requires a buyer of real property to withhold 10% of the amount realized by the Seller on the transfer and remit the withheld amount to the Internal Revenue Service (IRS) unless an exemption applies.

   1. Seller provides Buyer with an affidavit that Seller is not a "foreign person",
   2. Seller provides Buyer with a Withholding Certificate providing for reduced or eliminated withholding, or
   3. the gross sales price is $300,000 or less, Buyer is an individual who purchases the Property to use as a residence, and Buyer or a member of Buyer's family has definite plans to reside at the Property for at least 50% of the number of days the Property is in use during each of the first two 12 month periods after transfer.

   For more information on this and other useful tax information you can click on this link below, or check with your accountant and/or attorney: www.irs.gov

2. Prepare you home.You know what they say: "you never have a second chance to make a first impression.” From the moment a potential buyer drives up and enters the home, they should see a manicured lawn; a clean garage; organized closets and rooms; and it should be cleaned from top to bottom.
3. Find representation.Your REALTOR® should understand your goals, be assertive, and honest. Here are some of the many benefits of using a REALTOR®:
   • Preparation of a Comparative Market Analysis which will show homes currently for sale, recently sold, and sales histories, which can assist you in setting the home's selling price.
   • Marketing/Advertising Plan to ensure the house is given maximum exposure to potential buyers.
   • Listing homes on the Multiple Listing Service, which attracts the attention of other local agents.
   • Saves you time. The REALTOR® can show your home, and answer questions about the property to other buyers or real estate agents.
   • Broker’s open so other agents can familiarize themselves with the property.
   • Assistance with the entire home-selling process.
4. Listing Contracts.The listing contract gives a licensed real estate professional authorization to act on your behalf in the sale of your home. Listing contracts must be in writing, and will have a termination date and compensation structure.
5. Disclosures.Be honest when filling out your disclosures. Insist the Buyers get a home inspection.
6. Negotiate the best price and terms.Read offers thoroughly, and evaluate the price and terms being offered. Some things to consider are:
   • Is the Buyer willing to pay for most or all of the closing costs?
   • Who is responsible for repairs? What is the dollar amount the Buyer is asking for in repairs?
   • When is the closing date?
   • Are there any financing contingencies, or is it a cash offer?
7. ClosingCollect net proceeds after mortgage payoff (if applicable) and/or bring money to the table if needed.

FIRPTA stands for Foreign Investment in Real Property Tax Act

If you are a non-resident of the US and you are selling property in the US, you need to be aware of possible tax consequences.

For more information on this and other useful tax information you can click on this link below, or check with your accountant and/or attorney: IRS.gov

FIRPTA stands for: Foreign Investment in Real Estate Property Tax Act.

If a Seller is a "foreign person" as defined by FIRPTA, Section 1445 of the Internal Revenue Code requires a buyer of real property to withhold 10% of the amount realized by the Seller on the transfer and remit the withheld amount to the Internal Revenue Service (IRS) unless an exemption applies.

The primary exemptions are:

• Seller provides Buyer with an affidavit that Seller is not a "foreign person",
• Seller provides Buyer with a Withholding Certificate providing for reduced or eliminated withholding, or
• the gross sales price is $300,000 or less, Buyer is an individual who purchases the Property to use as a residence, and Buyer or a member of Buyer's family has definite plans to reside at the Property for at least 50% of the number of days the Property is in use during each of the first two 12 month periods after transfer.

Buyer and Seller agree to execute and deliver as directed any instrument, affidavit, or statement reasonably necessary to comply with the requirements of FIRPTA, including delivery of their respective federal taxpayer identification numbers ("TIN") or Social Security Numbers to the Closing Agent. If Seller applies for a withholding certificate but the application is still pending as of the Closing, Buyer agrees to place the 10% tax in escrow at Seller's expense to be disbursed in accordance with the final determination of the IRS, provided Seller so requests and gives Buyer notice of the pending application in accordance with Section 1445 and implementing regulations. In the event Buyer does not pay sufficient cash at Closing to meet the withholding requirement, Seller shall deliver to Buyer at Closing the additional cash necessary to satisfy the requirement. Buyer shall timely disburse the funds to the IRS, and provide Seller with copies of the tax forms and receipts.

This is for informational purposes only. On how FIRPTA may or may not affect you, please be sure to check with your own accoutant for more details.

One of the most important attributes of a REALTOR® is that he/she is well connected to the real estate industry. As a REALTOR®, I have knowledge of the local market and market conditions, have access to information on past sales and current listings, and have contacts with local agents.

What are the benefits to Sellers who choose to use a REALTOR®?

• Preparation of a comparative market analysis, which assists the seller in setting the home's selling price.
• Understanding the area, including knowledge of homes currently for sale as well as local sales histories.
• Marketing/Advertising Plan to ensure the house is given maximum exposure to potential buyers.
• Listing homes on the Multiple Listing Service - which attracts the attention of other local agents.
• Saves the seller time. The REALTOR® can show the home, and answer questions about the property to other buyers or real estate agents.
• Arrange a brokers' tour or a brokers' open so other agents in the area can familiarize themselves with the property
• Assistance with the entire home-selling process