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The RIGHT Way To Do Your Internet Home Search

September 5, 2017 By Deborah Ward

Most people start their home search online. Makes sense because most people start their search for anything online. With all the sites out there, is there a right way to do an internet home search? Yes, and here is how to do it.

Start with the right site

Use Realtor.com for your search. Realtor.com is the most up to date site since it is integrated with the MLS system. That means that it has real time data that is always up to date.

Other sites don’t have this and you could find that the homes you like are already off the market because the site isn’t real time.

Make a list of must haves

Before searching come up with a list of things that you must have and would like to have. Be specific about musts versus likes. “Musts” are deal breakers if they aren’t there, “likes” are extras that would be nice, but can be added later and won’t kill the deal. It will also help you narrow your search.

You should also know your price range

It should be based on your budget. You can start with Zillow Zestimates, but use that as a starting place, not the final word on whether you can afford a home or not.

Don’t rely on the selling agent for how much home you can afford. they represent the seller and not only has their interests in mind, but their commission as well.

You should apply for and become pre-approved for your mortgage. Your mortgage company will be able to tell you how much home you can really afford.

Now you’re ready to start your search

You know your price range and your must haves. Stick to that range. Remember that a seller won’t discount their home by a large sum just because you looked outside your range and fell in love with their home.

Be smart, search the right way and your new home will be yours soon enough!

3 Ways To Totally Mess Up Your Real Estate Closing!

August 29, 2017 By Deborah Ward

The offer was made, accepted and your dream home is now under contract. All that’s left is closing. Nothing can go wrong, right? Wrong! There are a few ways that you can totally mess up your real estate closing. Here are the biggies.

NO BIG PURCHASES!

First, and most important, NO BIG PURCHASES! Your lender will be double checking your accounts, finances, and so on up until the day of settlement. If you do something to drastically change your credit score or debt to income ratio, bank balances and so on, they will revoke their loan approval.

So no furniture purchases. No new credit cards. No new cars. Nothing that will upset that mortgage financing. That includes trying to hide money gifts to help with that purchase.

You must disclose any gifts of money to your lender early in the process because they need to review due to legal regulations evaluating gifts.

Don’t procrastinate with paperwork

When your lender, the closing company or attorney or Realtor ask for paperwork, get it to them on time. Not providing needed paperwork to your lender may mean they revoke approval of the loan. They will need tax records, pay stubs and other documentation proving your ability to repay their loan. The closing company will need inspection reports and so on. Not sending them will delay the closing. Don’t procrastinate.

Don’t change jobs

Another no-no is changing jobs mid process. Having a stable employment history is something that lenders want to see. If you are having trouble holding a job, you are a risk to them. That also includes switching positions from a salaried to a commission/bonus position with your current employer. Lenders look for a two year history in a current position and if the method of payment, I.e. from W-2 to 1099 you no longer have any income history in that position.

There are others, but these three will be a definite problem and will probably derail, and definitely delay your closing. Be smart and that new home will be yours…on time!

5 Things To Know About Who Might Buy Your Home

August 22, 2017 By Deborah Ward

Did you know that knowing information about who your prospective buyers are can help you sell your home? It’s called knowing the demographics and with that knowledge you can be sure to market and price your home correctly to appeal to them.

NAR white paper

The NATIONAL ASSOCIATION OF REALTORS® 2016 white paper entitled “Profile of Home Buyers and Sellers” spells out the characteristics of home buyers from June 2015 through June 2016. For instance, 35% of all home buyers are first time buyers and the typical buyer was 44 years old.

Here are more stats

The typical buyer had a median household income of $8,500.00. 66% of buyers were married couples, 17% were single women, 7% single men and 8% were unmarried couples. 11% of buyers bought a multigenerational home so they could care for aging parents, returning adult children or extended family. 18% were veterans and 2% were active duty military.

So what does this, and other stats in the report show?

Well, life events and changes at different ages can and do spur home buying. Marriage can be a catalyst for buying that first starter home. Having children can spur looking for a bigger home in a good school district. Children growing up and leaving home can spur downsizing. Taking care of parents can mean looking for a different type of home. Life changes can mean buying a home, but the desire for a home of their own is still a part of the decision process.

How does this help you?

If you live in a great school district, you know you can target young families. If you live in an area where multi-generational families tend to live, target them. Make that extra space an in-law suite. Talk with your Realtor about the demographics in your area.

How Does It Work When You Have To Buy and Sell Your Home At The Same Time

August 15, 2017 By Deborah Ward

For whatever reason, job transfer, family size change or whatever, you need to sell your current home and buy a new one. The problem is that you have no idea how it will work. There are a few scenarios, but for a seamless move here is how it can and should work.

1. If you sell first then buy here’s what should happen

First you list your home. Once you get an offer and go to settlement you start your hunt for the new place. What that does is give you money to put down, a paid off mortgage and firmer standing with prospective sellers.

Even though this is the safest plan to use, it does have drawbacks. First, you are basically homeless for a few weeks while you house hunt and wait for settlement.

You have to put all your stuff in storage and rent somewhere, crash with family or friends or do a rent back deal with your buyers, if they can do that.

2. Another plan

Another plan could be you buy your next home, then sell your current home. This will mean you can move into your new home, prepare your current one for sale and not be homeless. This plan is great if you can afford the financial stress of two mortgages for some time and paying utilities and maintenance for two homes. This tends to be the plan for an out of state move.

3. Probably the best plan

The last plan is probably the best, but the hardest one to pull off. It is selling and buying simultaneously.

You put your home on the market and start your search. It takes good organization, timing and planning, as well as money available for preparing your current home for sale and money to put as a deposit.

Your Realtor can be a huge help. There are ways to be sure you can afford this option. Planning settlement on both properties on the same day can keep the financial burden at bay. Plan your sale first, then your purchase. It also means working with your mortgage company for the new place so they know you won’t be stuck with two mortgages.

Plan your sale and purchase.

Why Overpricing Your Home At The Start Hurts So Much

August 8, 2017 By Deborah Ward

In many areas, including yours, the real estate market has become a seller’s market. So does that mean you have carte blanche to price your home where you want to price it?

As always, the answer is no. Overpricing your home from the start is never a good idea and will hurt your chances of selling. Here’s why.

Range of prices

First and foremost, overpricing your home will keep your home from being seen by people who can afford and will want to buy your home.

Most people start their home search online. When they search they set a range of prices that ends with the top of their budget.

If your home is out of that range, they will never see it. So, you think, people who do see it can afford it, right? Wrong. Those who could afford it will be looking for a higher end home than yours. That will make your home look bad in comparison.

Let’s take a peek at Realtor.com where many buyers start their search!

As you can see here, the price breaks suggested by Realtor.com are at $120K, $180K, etc. If you try to “push it” and get $125K for your home, many of the buyers who are looking for affordable housing will not even see your listing.

Another thing to consider is that Realtors tend to search in bands like $250K-$300K. If you “pushed it” and did a listing for $306K you would be seriously shooting yourself in the foot!

Appraisal

So let’s say that someone in that lower range actually stumbles on your listing and falls in love with your home. Great, so you get an offer and jump at it. Problem will be that your home won’t appraise for the amount you asked and they offered. Sale falls through and you’re back to square one.

Days on market

So, you’re thinking, I’ll just lower my price if it doesn’t get any nibbles after a month or two or that sale falls through. Not a good idea either. That means that your home has been on the market for at least 60 days. That tells prospective buyers that because it’s been on the market so long and the price is lowered, there must be something wrong with your home. They see days on the market as an indication of how nice your home is, and you lose in the assumption.

Your Realtor

Work with your Realtor to find the best price for your home. Use their expertise and experience to make sure you set the best price.

Want To Sell Fast For The Most Money? Don’t Make These Classic Seller Mistakes

August 1, 2017 By Deborah Ward

It’s time to sell your home! You have a contract on a new home and need to sell fast. If you want to sell for the most money, don’t make these classic seller mistakes.

First classic seller mistake is overpricing your home

Your home is valuable to you, of course, but thinking that someone will pay more than what the market value happens to be is one quick way to watch it sit on the market. Instead, ask your Realtor to help you set the best asking price for a fast sale.

That doesn’t mean you will have to bargain basement it. Quite the opposite. However, setting the price high thinking you can lower it later will backfire in a big way.

Next classic seller mistake is leaving all your clutter around

There are two schools of thought on personal items: leave a few personal items out or completely depersonalize the home. No matter which your Realtor advises, leaving a bunch of clutter around will kill interest in your home very quickly. Clutter makes your rooms appear smaller and, to be honest, less clean. Pack it up, move it out and make your move later even quicker.

Lockboxes

Ok, so your home is priced right and decluttered, so the next classic seller mistake is not using a lockbox. Realtors use lockboxes to leave a key handy for other Realtors to show your home. The access to the box is controlled, but it makes showings easier. Use one.

Being at home

A classic seller mistake that is, well, awkward is being at home when your home is being shown. Being there will make prospective buyers hesitant to really look at your home. It’s expected that they look in closets and cabinets to see how big they are, but you being there will make them feel weird about doing so. They won’t be as apt to ask the important questions about your home because they might feel you will be offended. Go find yourself somewhere to be for about a half an hour to an hour.

Declining offers

Lastly, don’t make the mistake of declining offers just because of a couple hundred dollars. If an offer is for a bit less than expected, talk with your Realtor to see if there are other things that might make it the best offer to take.