Archive for the ‘buying a home’ Category
4 Tips for Getting Multiple Bids and Offers on Your Home
1. Pristine and staged. The homes that I’ve seen get multiple offers in my own market recently are immaculately clean — not a whiff of anything within noseshot, so to speak — and dressed to the nines. Their photos look like something out of a home decor catalog or design magazine — like no one lives there, even if someone does. Their owners have often spent months in advance cleaning, decluttering, organizing, primping and otherwise sprucing their homes for sale with the intention of blowing the competition out of the water.
I won’t purport to capture the art of staging in a sentence, but prepacking is a good visual to hold in mind as you prepare your home. (And anecdotally, I will say that it strikes me that a large proportion of multiple-offer homes have actually been professionally staged. I’d urge a seller who wants multiple offers to explore whether there’s some level of staging service or even staging advice that is worth the investment, before dismissing it as too expensive out of hand.)
2. Low prices. The homes that get multiple offers are not priced at the top of their markets. In fact, I know that many of their listing agents and owners specifically aimed to list these homes slightly below what they believed to be the true fair market value of the property at the time they listed it. Why? What seems like it might be risky is actually a time-proven strategy for cranking up the number of buyers who come view the property.
When buyers see a beautiful home listing online for less than they’d expect for the area, they show up in droves, eager to get a great home for a great value. And the math from there is simple — it takes more showings to drive more offers.
Once these value hunters are at the place and fall in love with it, they often become willing to offer more than the asking price if they need to, to secure it in the face of competing offers, knowing that it was priced well to start with.
3. Ample exposure to the market. Part of the effect of a low list price is that it creates an auction atmosphere, the environment that churns up bidding wars. The other half of the auction equation is ensuring that the home has ample exposure to the market, both in terms of time for buyers to come see and fall in love with the place and in terms of marketing the property aggressively to reach as many prospective buyer/bidders as possible.
Ample exposure can be achieved in several ways. Professional photography. An aggressive online marketing campaign — most experienced local listing agents will happily brief prospective seller clients on what they do in this vein. One ample exposure method I’ve seen become a standard practice in my area is to create and publish an offer timeline. In my town, it’s now almost universal for listing agents to list the home a day or two prior to the broker’s open house, hold it open for brokers once, hold two general Sunday open houses and then take offers the Tuesday following the second Sunday open house.
By publishing this timeline as part of the listing, buyers are assured that they will have time to see the place and get their ducks in a row in order to compete for it. And sellers are assured that they will not forgo the great offer that might come tomorrow by virtue of taking a good one that comes in the day after they put the home on the market.
Now, sometimes, aggressive buyers force a seller’s hand, making an offer immediately upon seeing the property, despite a preset offer timeline. In those cases, the listing agent can call up all the other agents who have expressed an interest in the place and offer them the opportunity to get in the game. For this reason, and for any other important updates or changes that might come along, it’s essential that buyers and their brokers let the listing agent know if they plan to make an offer, even early in the published offer timeline.
4. Showable on demand. Hard-to-show homes just don’t sell, when there’s lots of competition. When buyers’ brokers put their home tours together, if a particular listing requires too much notice (i.e., 48 hours) or too many calls and callbacks for appointment-setting, they’re very likely just to turn to one of the other dozens of homes that’s easy to show. Anything that diminishes the chances your home will be shown diminishes the chances your home will receive multiple offers.
To get multiple offers on today’s market, in fact, a seller’s home must be showable on demand. If you require an appointment, you should keep advance notice requirements as low as possible — an hour or less is ideal. Even better is to be accommodating and let brokers show your home at their leisure — ideally, stepping out or running to the market when they come by. Allowing your broker to put a lockbox on the place and let it be shown at all times while you’re at work or out and about on the weekends will require that you keep the place in tiptop shape, 24/7, but it will also be well worth it.
Tara-Nicholle Nelson is author of “The Savvy Woman’s Homebuying Handbook” and “Trillion Dollar Women: Use Your Power to Make Buying and Remodeling Decisions.” Tara is also the Consumer Ambassador and Educator for real estate listings search site Trulia.com. Ask her a real estate question online or visit her website, www.rethinkrealestate.com.
HomeBuyers Dislike Wall to Wall Carpeting
Today’s homebuyers are not at all impressed by wall-to-wall carpeting. In fact, homebuyers list it among their top list of things they hate when looking at pre-owned homes. (Most hated item…Popcorn ceilings. Click to read about getting rid of popcorn or covering it up.)
Today’s Buyers expect hardwood floors, even in starter homes. If your home has hardwood under the carpet, immediately remove it, even if your floors aren’t in great shape. If you don’t have hardwood, consider installing it in the main living area of the home, especially if the room is visable from the entry.
If you don’t have hardwood floors or you can not remove the carpeting, at least make sure it is squeeky clean and smells great. At a minimum, hire a professional carpet cleaner and ask that they pay close attention to the traffic patterns. If the carpet can not be cleaned, satisfactorily, or if it is worn, torn, faded a bad color or it smells….don’t attempt to clean it….REPLACE IT.
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How to do a Home Walk Through Before Closing
Homebuyers are always so excited about the day of closing and the move into their new home, but one important step should be taken before the closing. Buyers should walk thru the home and give it a careful inspection before heading down to the closing office.
- Schedule a walk through two or three hours before closing,…but, 24 hours before the closing is ideal to allow time to fix anything that the seller missed. Do not walk thru more than 48 hours before closing. Ideally, the buyer needs to see the house empty and ready to move into.
- If the home needed a lot of repairs, it may be a good idea to take your home inspector back for the walk thru.
- Be prepared for your walk through. Bring along the original inspection report and the seller’s property condition disclosure. Verify that all repairs have been made as promised.
- Turn everything off and on. Check that all applicances, heating, air, pool equipment, lights, etc. are operating as they should be.
- Check to make sure all electrical outlets are working properly.
- After the buyer signs the closing papers, the seller has no further obligation to fix anything else.
A walk through before closing is a crucial step for home buyers and it protects sellers, too. Although, you don’t want to lose a great home over a missing $1.00 plug cover, you don’t want to buy a problem that was supposed to be fixed, either. Check everything on your list and if you do uncover something expensive that isn’t fixed…call your settlement attorney. They can escrow the money for the incompleted repair and closing can take place as scheduled.
Thank you for visiting Why6Percent.com. Did you know that you can list your property on the MLS and act as your own selling agent? You can. Visit our website for home selling solutions that you might not know about.
Smoke Detector Installed? Don’t forget your walk through 
How to Get a Home Loan After Short Sale
Short sales are not uncommon in today’s real estate market. Currently, they make up more than 10 percent of home sales and that number is rising.
If you have been forced to sell your previous home short, there is a way to get another mortgage. Banks are starting to lend money to people who have worked hard to scrub up their tarnished credit history and other financing options are available.
- If you kept your mortgage paid until the closing of your short sale…you may qualify for an FHA loan right now. If you were in loan default, you will have to wait 3 years to apply…however, if you had extenuating circumstances that led to your default, the 3 year waiting period may be waived.
- If you qualify for a VA loan (veterans) you can apply for a loan within 2 years after a short sale.
- If you are applying for a Fannie Mae loan you will have a 2 year wait with a 20% down payment….10% if you have qualifiying extenuating circumstances. Otherwise, Fannie requires a 4 year waiting period for down payments between 10%-20%…and, a 7 year waiting period if your down payment is less than 10%.
- Freddie Mac requires a 4 year wait, or two years if you can prove extenuating circumstances.
- Banks and credit unions may give you a loan within 2 years with a 30% down payment. If you have extenuating circumstances, they may waive the waiting period entirely.
- Two other options to consider are seller financing or a lease-purchase. You may have to settle for less than your dream home since sellers who agree to these type of arrangements often have less desireable property that they haven’t been able to unload using normal methods.
Everyone deserves a second chance. If you have been forced to sell a home short, if you have worked hard to rebuild your credit and if you have steady employment, selling your home short won’t keep you from owning your own home, again very soon.
Thank you for visiting Why6Percent.com. Our network of brokers can list your property on the MLS and all the major real estate websites for one, low flat fee…and let you sell your home yourself. Save time and money, yet reach all the buyers in the marketplace. It’s a win – win!! Call us today at 1-800-381-9496 or visit our Why6Percent.com for details.
8 Signs that the Housing Market is Improving
We finally have a reason to celebrate!! There is an avalanche of positive news regarding an upturn in the real estate and housing market in 2012.
- Foreclosure activity in 2011 is down more than 50% lower in several states, including New Jersey, Maryland and Florida. Realty Trac
- The much feared “shadow inventory” of foreclosures declined dramatically in 2011. In December 2012, 2.2 million properties were in some stage of foreclosure. In September 2011, that number dropped to 1.5 million units…or a whopping 32% in nine months. Realtytrac
- Realtors in some hard hit area’s, such as Michigan and southern California, are reporting a shortage of housing inventory and a return to bidding wars in tight markets.
- Wall Street thinks the worst is over. Stocks of the nation’s five largest, publicly traded, home builders are at 52 week highs, signaling an upswing in home construction in 2012. In addition, the home builders have been snapping up deals on land and abandoned subdivisions, in anticipation of increased buyer demand. CNBC
- Home sellers, Realtors and home builders are getting help from rising rents, as Americans realize that owning a home is often less expensive than renting one. And, while future rent increases have no ceiling on how high they can go, ownership locks in housing expenses and equity is created as the loan balance decreases each month.
- Legal issues, property maintenance and other issues complicating the foreclosure process will push banks and lenders to approve more short sales in 2012, further reducing housing inventory.
- Interest rates will remain at historical lows in 2012, which allows more people to qualify for a home and cheap money buys more house for the same monthly payment.
- Overall, foreclosure activity was dropped more than 30 percent in 2011. Fewer than 2 million properties foreclosure notices were filed in 2011, down from 2.9 million property filings in 2010. Realty Trac
If you need to sell your home, things haven’t looked this favorable in years. 
Arm yourself with an MLS listing and exposure on Realtor.com and all the major search engines for real estate. Millions of home buyers search these websites, daily. If your home isn’t there, they will buy the one that is.
Thank you for visiting Why6Percent.com. We have helped thousands of home sellers and we can help you, too.
National Home Improvement Stores Outsource American Jobs to China
FOR IMMEDIATE RELEASE
National Home Improvement Stores Outsource American Jobs to China Home Depot, Lowe’s vendor ignores U.S. patents, outsources popular INFOBOX®
ASHEVILLE, North Carolina (May 10, 2011)—Recently, Hillman Group, vendor to national DIY home-improvement retail giants Lowe’s, Home Depot, and Menards, replaced the store’s popular American-made INFOTUBE® and INFOBOX® products with Chinese factory replicas.
INFOTUBE® literature boxes were invented 23 years ago in a garage in Dallas, TX, to provide Realtors®, builders and homeowners with an affordable way to sell their homes. Today, millions of these patented real-estate literature boxes are being used in neighborhoods across America.
In March, Hillman informed Crow Erickson it was replacing INFOTUBE® and INFOBOX® products effective immediately, leaving thousands of boxes stranded on the docks and effectively closing the doors of the Asheville, NC-based manufacturer and inventor. Caplugs® factory jobs in Erie, PA and Buffalo, NY will also be affected, two areas already hard hit in this economy.
Crow Erickson’s patent attorney has inspected the Chinese product, currently available on Home Depot’s website, and it does appear to be copy of the INFOBOX® design, something Hillman insiders have conceded. The Chinese knockoff provides no cost savings to the consumer.
This is not the first time Hillman has ignored U.S. patents and put American jobs in jeopardy, including the hundreds of disabled and handicapped American workers that Crow Erickson has employed at competitive wages in partnership with vocational rehabilitation centers.
In the 1990s, Hillman tried to outsource INFOTUBE® products, a patent violation against which Crow Erickson took legal action. The settlement required Hillman to renew its contract for INFOTUBE® and agree not to compete in its product niche.
Apparently Hillman is banking on the rising cost of lawsuits to deter the small, woman-owned business from pursuing legal remedy this time around.
Crow Erickson has made numerous direct appeals to the Hillman Group and senior management at Lowe’s and Home Depot, citing its 20+ year successful partnership, patent concerns, and a desire to work with all parties for a mutually beneficial and cost-competitive resolution.
To date, Crow Erickson has not been able to engage Hillman, Lowe’s or Home Depot in any meaningful discussion and has been left with no recourse other than pursue costly legal action or close its doors and watch another American-made product fall victim to Chinese factories.
Crow Erickson is currently launching a public media campaign to save American jobs. More information can be found on www.infotube.net and the company’s blog. INFOTUBE® is also sponsoring an online petition to save American jobs from export to China which can be viewed and signed on The Petition Site at Help-Save-American-Jobs.
Contact:
Tommi Crow
President, Crow Erickson, Inc.
800-858-6000 (o) 828-230-2260 (cel)
No First Time Buyers Hurt Housing Market
The lack of first-time buyers is hurting the housing market and their absense is hampering the recovery.
In normal markets, first time buyers make up 40%-45% of all home purchasers. Since January of 2011, purchases made by first time buyers averages only 32%
Why is this important for existing home sales?
First time buyers are crucial to the market because they buy starter homes so those owners can step up to a more expensive property. Despite low mortgage rates and deeply discounted prices, they are remaining on the sidelines…at least for now.
What may be keeping first time buyers out of the housing market?
Some experts point to a hangover from the Expired Tax Credit of 2009 and 201o, which may have lured buyers into a home sooner than later. Some point to tighter lending standards and increased down payment requirements. The best loan terms now kick in with a down payment of 20% or more, which may be very difficult for a first time homeowner.
The Silver Lining — The National Association of Realtors reported that a record 33% of all existing home sales in Febuary were to Cash Buyers. In some parts of the country, cash buyers accounted for more than half of all the existing homes sold.
Thank you for visiting Why6Percent.com. We have helped thousands of home sellers and builders market their homes and save money. We can help you, too! Visit our website for facts and details.
Home Sellers should check out InfoTube.NET a FREE homes for sale and rent website. Visit the site to place a free ad on your property, view listings or to purchase a Made in America InfoTube or InfoBoxe to help you market your home on the street.
We can also arrange for your property to be shown on your local MLS and/or Realtor.com and all major real estate websites. CLICK HERE for details.
Foreign Buyer’s Snapping Up US Property.
Attention Why6Percent Realtor.com customers: Due to growing foreign demand for American real estate…Realtor.com plans to offer a language translation service to reach non-english speaking homebuyers.
Foreign buyers are turning to the U.S. to buy “trophy properties,” according to a recent Wall Street Journal blog which added that demand is so strong, leading real estate website Realtor.com plans to add features, including a translation service, to help the influx of international buyers find real estate.
“They’re feeling that investing in U.S. real estate right now may be a more stable option than investing in their home countries,” Julie Reynolds, a Realtor.com spokesperson said.
Reynolds cited a National Association of Realtors survey that showed that 55% of foreign buyers paid cash in 2009, compared with about 8% of overall respondents.
In her WSJ blog, S. Mitra Kalita concluded that, “Given the shaky state of some markets and a still-tight lending environment, real-estate agents say the rush to market to foreign buyers only makes good business sense.”
And the National Association of Realtors findings back her up: It reported that between April 2009 and March 31, 2010, $66 billion of residential property — 7 percent of the total U.S. residential market — was sold to foreign nationals, recent immigrants and temporary visa holders.
“We have definitely seen an increase in international clients this year,” said Miami realtor, Ines Hegedus-Garcia. “What’s exciting is the fact that they are not interested in just single residential properties, but multiple properties as well as commercial and industrial. They are savvy cash buyers who do their homework and pull the trigger fast once the numbers make sense.”
On Realtor.com, traffic from countries in Western Europe, the Middle East, South America, and Asia has increased by more than 50% over the past two years with the foreigners targeting properties in Florida, California, Arizona, Texas, Georgia, New York, and Nevada.
At a local level, Realtors have also noticed the surge of interest from abroad: Last year 28% of them reported working with at least one international client in the previous year (2009 – 2010), up from 23% in 2008.
Here’s how the foreign interest in U.S. property breaks down: Canadians have make up the bulk of international buyers during the past 3 years; Mexicans the fastest growing; and buyers from the UK, stung by their own housing market collapse, have posted the steepest decline.
About 50 percent of international homebuyers said they wanted to move here and make the homes their primary residences; 25 percent bought vacation homes for their own use; 14% were bought residential rentals for investment; and another 14% said they wanted their purchases to double as their own vacation home and a rental.
Thank you for visiting Why6Percent.com. Our customers receive all the benefits of advertising on the MLS and Realtor.com for a fraction of the money. Visit our website for details and FAQ’s. If you have a home to sell, it is time to Spring into action!!!
Who is Buying a Home This Year? The Baby Boomers, Baby!
If you have a condo, ranch, one level bungalow or a home with the master on the main level that you need to sell, this may be your lucky year. The baby boomers (those 77 million people that were born between 1945 and 1964) are back in the housing market in a big way..and they often pay cash.
The aging boomers have finally worked up the courage to sell the family house, depreciated as it is, and roll the home equity into their last ever home purchase. Ironically, the catalyst for this trend has nothing to do with real estate. The motivation is age, quality of life and the stock market. The stock market is back, bringing with it the net worth of the boomer generation, who controls 80 percent of the financial assets in the United States.
If you own a one level, low maintenance home…you are already sitting in tall cotton…but you can do some simple things to sweeten the pot even more…if you know what to emphasize and what needs to be done.
Capitalize on the needs of the 65+ year olds, who are looking for place that they can grow old in. They are naturally drawn to homes that are easy and safe to live in, even if managing stairs and home maintenance is hard to do.
- Replace door knobs with levered handles.
- Replace knob-type plumbing fixtures and cabinet pulls with levers or open handles.
- Today’s house only needs one bathtub. Offer at least one, barrier free shower on the main floor, even if means taking out a bathtub.
- Put a laundry room on the main floor, even if you have to eliminate a closet or half-bath to do so.
- Consider making entryway staircases longer and more gentle. Create an option to add a wheelchair ramp to one side, if needed.
- Consider adding grab bars in glass enclosures or if your bathroom has wide open space.
- Replace carpeting with tile, hardwoods or laminate flooring for easier maintenance, durability and a smoother surface.
- Provide ample indoor lighting and don’t forget the outdoor security lights.
- Provide outdoor handrails on stairs, inclines or wherever necessary
Marketing Insight: Most home improvements, suggested above, offer easy living appeal for all ages. Just because your house is senior friendly doesn’t lessen the appeal to everyone else, but always be tactful. Design two InfoSheets for Buyers. Offer one in a standard format and create another that highlights senior-ready amenities.
Why 6 Perent has been helping home sellers’ reach home buyers while saving thousands of dollars in commissions and fee’s. If you have the ability to show your own home to buyers’, then you should seriously consider a low flat fee MLS listing or an ad on Realtor.com. Our specialized program reachs 10 million home shoppers each month for pennies a day.
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Truth about Winter Home Sales
Seller’s often wonder if they should take their home off the market during winter. My answer is usually “NO”. Seller’s expend a lot of money and effort to get a home ready for sale and it does no good if the property isn’t on the market. And, while there are fewer buyer’s during winter, there are also fewer homes for sale.
But, if you’re still debating…consider the following:
- Winter, spring, summer or fall…if you’re priced above the rest of the market, your home will help sell the well priced listings, but not yours.
- There is less competition from competing homes during winter and less inventory benefits sellers’.
- Buyer’s who are househunting during winter are serious and truly motivated.
- Interest rates trend lower during winter months, when loan demand is low.
- Gardens and landscape don’t look as appealing in winter. If your home won’t exactly win ”yard of the month” during summer…a snowy winter may actually level the playing field for you.
- Don’t believe that if you pull your home off the market during winter, you can bring it back in the spring as a new listing. No one is fooled by this trick. Your listing will still appear as canceled and relisted in the MLS.
- If it’s not on the market, the right buyer may come and go.
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