Making an offer on a home for sale is an exciting time for prospective buyers, but it can also be stressful. Any number of challenges or obstacles can arise in the home purchase process that may delay or impede a closing altogether. One issue that might concern a buyer is having a home appraisal come in lower than the price that he or she has offered on a home.

What happens then? Should (and can) a buyer simply walk away? Are there options available to rectify the situation? Why does it matter that the buyer’s offer is higher than the appraisal value of the home? By the end of this post, you’ll know the answers to all of these questions.

When issuing mortgage loans, lenders pay attention to appraisals

A bank or lending institution always wants to protect its investments. With regard to home-sale transactions, lenders want to make sure that a borrower is not overpaying on a house. Optimally, a lender wants a home to be appraised at a greater value than the amount of the loan being issued so that losses may be recovered if the borrower defaults on the loan.

A buyer is not obligated to go through with a purchase if appraisal is low

If a prospective buyer has offered an amount for a home that exceeds the appraised value of the home, he or she may decide to remove the offer from the table. In other words, if you’re the buyer in the situation, you are free to walk away from the deal. If you really love the home in question and still want to purchase it, however, you may have several other options available, which are highlighted in the next section.

Use a low appraisal as a bargaining tool

The seller wants to sell the home. The buyer wants to buy it. A low appraisal is keeping both parties from accomplishing their goals. If both sides are determined to strike a deal, then a low appraisal situation can be seen as an opportunity to renegotiate the offer. A seller might be willing to accept a lower offer when there is documentation stating that the list price is greater than the worth of the home in the current real estate market.

If a buyer has cash on hand to add to the deal, he or she may be able to convince a lender to go ahead with the mortgage loan, making up the balance with out-of-pocket money.  A buyer may also challenge the appraisal, especially if he or she has comparable sales information to defend the idea that the home is worth more than the appraiser says that it is. Finally, a buyer may request a second appraisal with a different company or may consider trying to find a new lender.

A low appraisal doesn’t automatically mean a no-go on a home sale

Receiving an appraisal that is lower than the offer that has been submitted on a home for sale is disappointing to both the seller and buyer. However, it doesn’t necessarily have to be the end of the line. There are often numerous options available to help resolve such issues, and when sellers and buyers are working alongside experienced real estate agents,they can receive guidance and recommendations that help everyone involved accomplish their real estate goals.

College isn’t for everyone. In fact, more and more people are realizing the value of trade schools and entrepreneurial work as a means of building a successful career. Not going to college doesn’t mean that a person doesn’t enjoy learning or is not capable of academic success. If you’re trying to discern a career path and are fairly certain that going to a 4-year school is not what you have in mind, you might want to consider the numerous opportunities available for a career in the real estate industry.

There are many benefits to working in real estate, one of which is that there is ample opportunity to continue your education and to increase your skills and add to your resume by acquiring additional education in various aspects of the industry. In this post, we’re going to feature five basic career choices you can fulfill in real estate.

Become a licensed real estate agent

When most people think of a career in real estate, they automatically think of “sales.” Buying and selling property is definitely one of the most common means of earning income in the real estate industry. If were you to enroll in real estate school today, you could obtain your license and start selling homes or commercial properties before this year comes to a close.

If you enjoy meeting new people, are good at problem-solving and like the idea of being in control of your daily work schedule, real estate sales might be a good fit for you. You also have to be self-motivated and hard-working to excel at this type of career. One of the greatest benefits of obtaining a real estate license is that there’s no cap on potential income. It’s also a career that is easily adaptable to your personal schedule, which makes it a great choice for those who have family obligations.

Property management is another real estate career

Maybe ‘sales’ is not your thing, but you like the idea of working in the real estate industry.  Perhaps you have a natural aptitude for management. Instead of taking classes to earn a license to sell real estate in South Carolina, you might want to obtain your license as a property manager.

Property management involves many types of daily tasks, including filling vacancies, handling financial accounts, and overseeing maintenance and other issues for property owners. In South Carolina, you must have a high school diploma or GED and be age 18 or older to obtain a property management license.

3 more careers you can pursue in the real estate industry

If neither of the careers mentioned so far in this post have appealed to you, you might consider one of the real estate careers included in the following list:

• Home inspector
• Home appraiser
• Broker or Broker-in-Charge

As a broker or Broker-in-Charge, you’d be involved in real estate sales; however, it might be a good career choice for you, even if you don’t want to be active in the field as a real estate agent. Real estate agents work under brokerages. As a broker, you would be licensed to own your own real estate firm, which would facilitate the sales transactions of the agents listed under your brokerage.

As a Broker-in-Charge, you would be the primary broker designated to oversee a brokerage firm. In many states, a Broker-in-Charge license is considered the highest level of real estate licensure available. If you’re more geared to working behind-the-scenes as opposed to playing a primary role in property sales transactions, you might want to think about building a career as a home inspector or home appraiser.

Taking the steps to accomplish your career goals

It’s a good idea to research each facet of the real estate industry to determine which type of work best fits your career goals. Regardless of which career choice you make, achieving your goals doesn’t happen overnight. It takes time and effort, and you must complete the required number of hours of pre-license

Earning a license to sell real estate in South Carolina is an admirable achievement. If you’re part way through the process at this time, you no doubt understand that accomplishing this goal is by no means an easy undertaking. It takes commitment, dedication and lots of hard work. A key factor to becoming a licensed real estate agent is passing your license exam.

The saying “You get out of it what you put into it” definitely applies to taking a final real estate exam. You can’t expect to do well if you haven’t thoroughly studied and prepared for the test. There are several study tools that can help you be as well-prepared as possible for your exam.

Flashcards are valuable study tools

Terminology is a big part of mastering the necessary concepts to earn your real estate license. There are bound to be many real estate vocabulary terms on your final exam, including words such as “contingency,” “due diligence,” or “escrow.” Flashcards are a great way to practice linking relevant pieces of information together.

This is an especially helpful study tool for vocabulary words. You can label one side of a card with a vocab word and the other side with the definition. Ask another person to quiz you both ways. In your first round, ask you helper to provide the definitions for you while you answer with the correct term for each.

Next, study the other way around, with your helper giving you words and you supplying the definitions. You can also use flashcards on your own by looking at one side and giving the answer that is hidden on the other.

Take practice tests several times before sitting for the final exam

Have you ever had an experience where you felt that you were prepared to do something, but then failed miserably when you tried to do it because you hadn’t actually practiced doing it ahead of time? Taking a final exam is a lot different than attending classes and studying. In fact, some people have test anxiety. They might know 100% of the information but suddenly draw a blank in their mind when they sit down to take the test.

Taking practice tests ahead of your final real estate exam can help reduce test-taking anxiety. It also gives you an idea of what types of questions and format you can expect when the time comes to take your license exam. If you find yourself struggling on a particular aspect of a practice test, you can address the issue by changing your form of study, asking a tutor for help or simply going over the material again until you feel more comfortable answering questions about the topic.

A study group is a beneficial test prep tool

Gathering with a group of people who have similar goals provides a sense of community and inspiration as you prepare for your real estate exam. Discussing topics with other students also brings fresh perspectives and ideas that might help you be better prepared for your test.

If there’s a certain person in the group who excels on a topic that you struggle with or vice versa, you can help each other. It’s also a great idea, if possible, to ask someone who has already passed the final real estate exam to be a guest member in your study group. They might have recommendations and helpful tips for you because they have first-hand experience with the same type of test you’ll be taking.

Stay properly hydrated, eat healthy food and get plenty of sleep

You might not consider these things to be study tools. However, physical health has a significant impact on academic performance. If you’re dehydrated, eating a bunch of junk food and not getting quality sleep, chances of doing well on your final exam are little to none.

On the contrary, drinking water, avoiding processed foods and sugar, and getting adequate sleep in the nights leading up to your real estate exam enable you to lay a groundwork for success!

The saying “You didn’t come this far to only come this far,” is applicable to a newly license real estate agent. After completing your pre-license education, passing the South Carolina real estate exam and obtaining your license, all the work, time and effort you put in to getting to that point wasn’t just to get you to that point. In fact, earning your license is only the beginning of your real estate career.

One of the benefits of starting a career in real estate is the ability to work independently and control your own schedule. That doesn’t mean, however, that you can achieve success on your own. In fact, building a strong network from the start is one of the key factors that helps you attain your full potential as a profitable real estate agent.

Network within the real estate industry

You’ll have competitors in your sales region throughout your career in real estate. However, you can also interact with other agents, brokers, mortgage loan officers and other people who work in the industry. These connections will prove invaluable time and again as you try to generate leads, gain referrals and turn a profit.

Be an active member of your community

Another way to build your network is to attend local events and participate in community service activities in your area. Especially if a local event includes a job fair or similar venue, you can set up a table and share information about your real estate business, answer questions and, perhaps, gain a new client or two in the process.

Being an active member of your community also helps establish your brand. When people see that you take an active interest in the community where you live and sell real estate, it builds trust.

Casual conversations are part of the networking process, too

If you’re parent, you might coach your child’s sports team or attend games or events at school. You probably get invited to social gatherings, such as weddings or graduation parties. You also travel about in your town on errands or performing everyday tasks such as grocery shopping.

On the surface, none of these things seem to have anything to do with real estate. However, one of the best ways to build your network is through your everyday activities and interactions with other people. Whether you’re chatting with another parent in the after-school line while waiting for your child or speaking to someone in the checkout line at a local store, you never know when a casual conversation might present an opportunity to help you build your business.

Networking is the thread that stitches the fabric of your real estate career together. Always be thinking of ways to network.

As a licensed real estate agent, your entire community and events that transpire in your daily life are part of your potential network. For instance, you might be sitting in the bleachers at your child’s baseball game and wind up leaving the field with a new lead because of a conversation you had with the parent who sat next to you in the stands. You’re also likely to encounter people who make remarks about FSBO, otherwise known as “for sale by owner” real estate transactions.

Many people are misguided in thinking that FSBO is a better way to go than hiring a listing agent to sell a home. By the end of this post, you’ll have several reasons in your arsenal that you can mention when trying to convince someone that there are benefits to hiring a real estate agent over trying to sell a home without one.

FSBO limits access to listings

One of the greatest benefits to hiring a real estate agent rather than going the FSBO route is that agents have access to Multiple Listing Services (MLS). If someone asks you why they should hire you as opposed to selling a home without an agent, this is one of the first topics you should mention. With full access to MLS, you (as a licensed real estate agent) can see many off-market listings that a FSBO seller would be unaware of due to limited access to listings, which can have an impact on list price.

MLS access is an important part of the home-selling process, particularly with regard to Comparative Market Analysis (CMA). You can explain to a person who thinks FSBO is just as effective as hiring an agent that CMA enables you to determine a competitive and fair list price by reviewing all recent home sales in the area, including the off-marketing listings you can access through MLS.

Finalizing a home sale is less stressful with an agent at the table

As a licensed South Carolina real estate agent, you can look back on your days of pre-license education and recall time spent learning about the closing process. Even in a most basic transaction, there’s a ton of paperwork and legal issues to address. A seller in a FSBO transaction may be surprised at how complex and stressful the closing process can be.

Another benefit to hiring an agent is that he or she represents the seller at the closing table. While a seller would want to be informed and knowledgeable about the details contained in each closing document, having an agent on hand to handle the leg work and to address any complications that may arise makes closing on a home sale a lot less stressful.

When people think about careers in the real estate industry, they automatically almost always think about buying and selling homes. It’s true that real estate sales are a staple of the industry. However, there are numerous other types of jobs you can do in real estate without being an agent.

Becoming a home appraiser, for instance, is a career that is available in the real estate industry. In South Carolina, you must obtain an appraiser’s license. Making a decision to go to school to obtain a license in a specialized field is no small matter. Such a decision will require a financial investment as well as a lot of time and effort, which is why it’s a good idea to try to determine ahead of time if you’d be a good fit for the field.

Common attributes of successful home appraisers

A home appraisal is a professional opinion of the value of a home. The following list includes characteristics that increase your chances of being successful in the appraisal industry and also the likelihood that you would enjoy this type of work:

• Ability to offer an unbiased opinion
• Good at managing time
• Organizational skills
• Self-motivated and able to work independently
• Keen eye for detail
• Natural sense of curiosity
• Flexibility

If you tend to rush through a project or cut corners, becoming a licensed appraiser might not be the best career choice for you. However, if you like to take your time and pay attention to detail in your work, then appraisals might come natural to you!

What is the purpose of a home appraisal?

The home serves as collateral when lenders agree to loan money to a home buyer. Lenders want to make sure that the loan amount a buyer is requesting aligns with the market value of the home. You might also be asked to conduct an appraisal for someone who wants to refinance a home mortgage.

That’s where you’d come in as an appraiser. You might determine that a home is worth exactly what a seller is asking for it. Then again, your professional opinion might be that a home is worth substantially less than a seller has listed it for on the market. As a licensed appraiser, your opinion helps the bank protect itself from loaning out more money than a home might be worth. It also helps a buyer avoid overpaying on a house.

How long does it take to earn an appraisal license?

In South Carolina, you’re required to fulfill an apprenticeship before becoming a licensed home appraiser. To obtain a license, you’ll also need to complete a total of 150 hours of pre-license education. Many people go on to upgrade their appraisal license to Certified Residential, which requires additional learning time, as well as an associate’s degree.

Home appraisals will always be needed as long as homes are being bought and sold. If you think you’d enjoy this type of work, it’s a good idea to do some research and, if possible, to speak appraisers in your area for recommendations that might help you get started in a new career.

When you enrolled in real estate school, you may have felt excited and nervous at the same time. As with most things in life, a goal worth setting takes hard work. You might be one of many students in South Carolina who are balancing a daily work schedule with real estate school classes. You might even have family obligations thrown into the mix. Whew! It can make you tired just thinking about everything you have to do on a weekly basis.

That doesn’t mean it’s not worth it. Perhaps you’ve chosen a new career in real estate because you want to have more control over your schedule and more independence in your work day. It will be a wonderful feeling to accomplish your goals. To get there, however, there’s work to be done, and that work is undoubtedly going to involve a lot of long hours for work and study. There are several natural ways to boost energy and improve focus, including using essential oils.

Many people use essential oils because they are a natural remedy

Essential oils are oils that have been extracted from flowers, herbs and plants. There are several oils that are said to help improve mental focus and boost energy. Two of the most common ways to use oils are aromatically and topically. The following list includes various oils that people use for focus and energy:

• Peppermint and spearmint
• Wild or sweet orange
• Lemon
• Grapefruit
• Lemongrass
• Sage

Many people use a combination of essential oils to create blends. If you’re using them aromatically, you would place a few drops of each oil of choice into a diffuser, which then sends a mist into the air. If you’re applying oils topically, you can rub them onto your wrists, under your feet or behind your neck. It’s recommended to use a “carrier” oil, such as fractionated coconut or jojoba to help the oil spread and absorb into your skin.

Always research ahead of time for safety

Certain people may be sensitive to specific oils, which could cause an allergic-like reaction in the body. It’s always best to conduct thorough research before applying essential oils to your skin. Use of such oils has a long history in natural medicine. Aromatherapy, for instance, has been used for thousands of years.

Additional ways to use essential oils to boost energy and focus

If you’re not keen on the idea of using essential oils topically and you don’t own a diffuser, there are other ways to use them to boost your mood and to help you feel energetic (which comes in handy when you’ve worked all day and have to study for a real estate test at night!). Here’s a list of ways to use essential oils when you don’t want to rub them into your skin:

• Sprinkle a few drops onto a cotton ball or tissue to inhale.
• Let about an inch of water pool up in the shower and add a few drops of oil so that the aroma rises with the steam.
• Place several drops into a small spray bottle, fill with water, then spritz into the air around you.

Many people use essential oils on a daily basis to help boost their energy, improve their focus and strengthen their immune systems. You might want to give it a try while you’re working your way toward earning a real estate license while juggling a work schedule and family obligations at the same time. Always do your own research before using natural health supplements.

When you’re working as a listing agent, you have your client’s best interests in mind. Successful agents understand the importance of providing valuable information and recommendations to homeowners to help accomplish a primary goal—selling their homes. Not everyone will take your advice, in which case, there’s no choice but to let the chips fall where they may.

A seller who wants to get the best deal possible in the least amount of time will appreciate a profitable agent’s guidance. So, what if a house you’re trying to sell isn’t moving off the market? There are several issues that might be causing an obstacle.

Is the list price based on an objective review of the property and comp sales?

At the top of most lists for reasons why a house won’t sell is a list price that is too high. Some sellers choose price from a sentimental perspective, which doesn’t sell houses. It’s your job to explain that a fair list price will reflect a current assessment of the home along with comparable sales prices from similar homes in the area.

The seller refuses to negotiate if an offer is under the list price

Another reason a house will stuck on the market is refusal to negotiate. A seller might be getting offers just under the list price. Instead of entering negotiations, they’ll simply disregard the offer, stating that they are holding out for the price they’re asking on the home.

It’s important for sellers to understand that there are ways to get a fair deal, even if an offer isn’t exactly what they were hoping for. For instance, a seller might be able to get a buyer to agree to pay for any repairs that need to be made following a home inspection. It’s understandable that a seller wants to make as much profit on the deal as possible. However, every seller should understand that buyers are trying just as hard to get the most for their money as well.

It might be a staging problem

If a house is getting a lot of showings but no offers, it’s time to take a look around. Making sure the house is properly staged before showing is often the key to success. If a house is cluttered-looking or there are too many personal items on display, it might turn buyers away. Provide your seller with resources to learn more about how to stage a home indoors and out before scheduling showings.

Is the house outdated?

Some people love a retro look for certain things, like fashion or to have a cool collection to show friends and family. Most people who are in the market for a new home, however, are not going to want to buy a house the is worn, faded and outdated, even if it’s clean and tidy. It’s helpful to update cabinets, bathroom fixtures, lighting and other features, especially the walls. A fresh coat of neutral-colored paint on the walls can make a home look brand new.

When you’re ready to start selling homes, keep these four issues in mind, and you’ll reduce the chances of a client’s house getting stuck on the market. These tips can come in handy as a buyer’s agent too. If you have a client who wants to buy a house but one of these issues is causing hesitation to make an offer, you can use it as a bargaining tool to get a lower price or to add a contingency to the deal.

A profitable South Carolina real estate agent understands the importance of staying updated on current buyer trends. When you’re selling homes, a lot of your time is spent researching and exploring available homes for sale in your area as well data regarding the real estate market throughout the country. You can use information about patterns and trends to your advantage when you’re trying to generate leads and score sales.

Each buyer is likely to have unique needs and goals regarding what they’re looking for in a house, in a location or in other details of the home-purchase process, such as price. At the same time, if you closely monitor the market, you’ll notice that trends develop. For instance, in recent years the kitchen has become “the new family room,” which makes things like a center island with seating a popular home feature.

Buyers want to do laundry on the main floor

Gone are the days when people think nothing of hauling overflowing hampers down a flight of stairs to a dark and dusty basement to do laundry. Nowadays, most buyers say they’re interested in homes that have separate laundry rooms on the main living floor.

If you’re representing a seller whose home has a laundry room, you can help your client increase the chances for getting an offer by recommending that he or she “spruce up” the area. For instance, today’s buyers love to see ironing boards that are built-in to the wall. Stackable appliances are also trending as well as having a long table nearby for folding clothes.

A single porch light no longer suffices

The term “lightscaping” refers to exterior lighting that is used to accent a landscape. An outdoor light arrangement is another popular buyer trend in real estate nowadays. Curb appeal is everything. In fact, most buyers begin their search for a home online, so a few quality photographs taken at night to show a beautiful lightscape can be a good idea.

Ceiling fans are a trending home feature

In the overall scheme of things, installing ceiling fans is a relatively inexpensive way to upgrade a home before listing it on the market. The presence or absence of ceiling fans isn’t going to affect an appraisal, but it will definitely catch a buyer’s eye, which makes it a valuable feature when the goal is to get offers.

Not only are buyers more attracted to homes with ceiling fans indoors, having a fan on a front porch or covered deck is also a popular buyers’ trend. South Carolina’s climate is perfect for year-round outdoor living, and any home feature that enhances the outdoor living space will no doubt be a popular selling point.

Porches have made a comeback

A lot of people are working from home now. They’re also entertaining at home. People want to have space for guests to mingle, indoors and out. Today’s buyers are looking for homes with spacious front porches. In fact, if you talk to home builders in your area, you’ll probably hear that a front porch is a frequently requested exterior amenity in new-home construction.

When you’re a listing agent, your goal is to help your client get the best offer possible in the least amount of time. As a buyer’s agent, you help people find a home that fits their budget, needs and lifestyle. Either way, it’s a good idea to stay updated on popular home feature trends in your area.

Nearly every day you will be interacting with people when you’re earning a living as a South Carolina real estate agent. You will hopefully generate lots of leads and wind up with a large client base. Between fielding phone calls, answering emails and attending in-person appointments, you might see numerous different people in a day. Learning to remember names is a helpful skill when you’re selling homes.

Learning to remember names demonstrates to clients that you are listening to them and care about them on a personal level. A name is a very personal thing to people, and when someone remembers your name, don’t you feel glad about it? Your clients will feel the same way.

Arbitrary information is difficult to remember

While the average person doesn’t consider his or her own name “arbitrary,” names in general are, in fact, arbitrary information, which is why they’re so challenging to remember. Humans are geared for survival, so the brain filters information and determines what is most important and necessary. That’s the information it remembers.

Repetition if a helpful way to remember names

One of the easiest ways for you to improve your name-remembering skills is to use a person’s name in conversation when you want to remember it. Let’s say you have just been introduced to a new client. Start re-using his or her name right away by saying, “It’s nice to meet you, (insert name). As the conversation progresses, you might ask the person a question.

Initiate the question by addressing the person’s name first. “So-and-so, would you like to...?” While you don’t want to repeat a name ad nauseam, you do want to use it enough times to make it easy to remember.

Use word associations to improve name-remembering skills

If you want to remember someone’s name, think of a word association for it the first time you hear it. For instance, a person named “Tom” might be easier to remember if you associate his name with a word that rhymes, such as “bomb.” Think, “Tom the bomb” a few times over and you’ll likely remember that the next time your paths cross.

Nobody’s perfect, so you might forget a name here and there

As a South Carolina real estate agent, you’ll want your clients to feel as though their home selling or home buying needs are a priority to you. If you never remember a client’s name, he or she might doubt your credibility. Then again, you’re only human, and the average client would agree that forgetting a name isn’t the worst mistake you could make.

If you practice ways to remember names in your free time, you’re more likely going to have success as you interact with real estate clients. If you forget a person’s name, politely ask them to remind you and apologize that you have forgotten. That’s far better than repeatedly calling someone by the wrong name.