Sunday, February 19, 2012
Tuesday, February 7, 2012
Problems with the home your selling-disclose
Sometimes sellers believe if they just put on a good face, no will know what's going on behind the scenes. These days, it's a crime to lie about things that are wrong with your home. While the buyer still has to prove you knew or should have known about these items, the damages (not to mention the defense) can be costly.
In the paperwork you receive from your realtor when you list your home, you are asked to fill out a seller's disclosure. This is a form which asks about the current condition, past problems, repairs and improvements that have been made to the home over time. Your are asked to check yes, no or unknown. Sometimes your response requires and explanation and if you don't know the answer (what year was the roof replaced) unknown is a perfectly acceptable response. This form should be filled out as completely and honestly as you are able. It will be signed by the seller and the buyer and is a part of the real estate contract. This disclosure relieves the seller of responsibility if a problem arises and it is addressed in the disclosure. If the buyer has knowledge of a problem and purchases the home anyone he is accepting the conditon of the home.
If you're honest and upfront about past problems and steps you've taken to correct them, your seller disclosures will be a whole lot easier. If the house has current issues, tell the broker and the buyer what you're doing to correct them. Or, make it clear that the purchase price reflects these problems. Either way, honesty pays.
In the paperwork you receive from your realtor when you list your home, you are asked to fill out a seller's disclosure. This is a form which asks about the current condition, past problems, repairs and improvements that have been made to the home over time. Your are asked to check yes, no or unknown. Sometimes your response requires and explanation and if you don't know the answer (what year was the roof replaced) unknown is a perfectly acceptable response. This form should be filled out as completely and honestly as you are able. It will be signed by the seller and the buyer and is a part of the real estate contract. This disclosure relieves the seller of responsibility if a problem arises and it is addressed in the disclosure. If the buyer has knowledge of a problem and purchases the home anyone he is accepting the conditon of the home.
If you're honest and upfront about past problems and steps you've taken to correct them, your seller disclosures will be a whole lot easier. If the house has current issues, tell the broker and the buyer what you're doing to correct them. Or, make it clear that the purchase price reflects these problems. Either way, honesty pays.
Monday, February 6, 2012
Making an Offer
When you make an "offer" or "bid", the seller of the home can accept or reject it, make a counter-offer or not respond.
If the seller rejects your offer, makes a counteroffer or doesn't respond, your options remain open. You can accept the counteroffer, make another offer or reject it and keep looking.
It's important that you think through your decision before you make an offer. You won't be able to think it over more you have come to a meeting of the minds.
Once both parties have signed the offer the contract is sent to both attorneys for review. The attorney review period is approximately 3 days or, until both attorneys are satisfied with the wording of the contract. During the attorney review period either party can cancel the contract for no particular reason. Once the attorney review period of over the contract is binding. At this time you will be given a time frame in which inspections must be done and deposit money delivered to your attorney. The contract will also contain a mortgage commitment date which is when you must have confirmation from your lender that you are indeed qualified for the mortgage you applied for and the lender is committed to lending you that money.
If the seller rejects your offer, makes a counteroffer or doesn't respond, your options remain open. You can accept the counteroffer, make another offer or reject it and keep looking.
It's important that you think through your decision before you make an offer. You won't be able to think it over more you have come to a meeting of the minds.
Once both parties have signed the offer the contract is sent to both attorneys for review. The attorney review period is approximately 3 days or, until both attorneys are satisfied with the wording of the contract. During the attorney review period either party can cancel the contract for no particular reason. Once the attorney review period of over the contract is binding. At this time you will be given a time frame in which inspections must be done and deposit money delivered to your attorney. The contract will also contain a mortgage commitment date which is when you must have confirmation from your lender that you are indeed qualified for the mortgage you applied for and the lender is committed to lending you that money.
Friday, February 3, 2012
What is a good offer
Once you've found the right home , you'll need to know the real value of the house so that you can make an educated offer.
A home's value is determined by the following:
If there are multiple offers on the house be careful of the "I want to win" mentality, I've seen buyers overpay because they get caught up in the heat of the bidding war.
The final price, regardless of what other homes have sold for, is what a ready, willing and able buyer is willing to pay for a property, so, the buyer is really the one who sets the value of the home.
A home's value is determined by the following:
- Sale Price History: Pay attention to trends in appreciation or depreciation on the home.
- Home Characteristics: The number of bedrooms and bathrooms, square footage and other characteristics of the home.
- Similar Home Prices: Prices of comparable homes in the neighborhood.
If there are multiple offers on the house be careful of the "I want to win" mentality, I've seen buyers overpay because they get caught up in the heat of the bidding war.
The final price, regardless of what other homes have sold for, is what a ready, willing and able buyer is willing to pay for a property, so, the buyer is really the one who sets the value of the home.
Thursday, February 2, 2012
Home Buyers Need to Take Notes
House hunting can become slightly overwhelming.
You might forget one house from the next. You may get frustrated that you haven't found your dream home or get so excited you forget to focus on your wants and needs.
Its a good idea to write down simple description of the homes you see. I usually give my buyers a copy of the MLS sheet so they can write on the back. After you see a few homes they all start to look the same and frequently you start remembering the good points of a few homes as features of the same home. Some buyers are very disappointed when they go back to the home they think they want to make an offer on only to find they had blended a few homes together in their mind.
The key to keeping the facts straight when viewing a number of homes is to write down the pros and cons of each home next to the address. If the seller will allow it, pictures help.
You might forget one house from the next. You may get frustrated that you haven't found your dream home or get so excited you forget to focus on your wants and needs.
Its a good idea to write down simple description of the homes you see. I usually give my buyers a copy of the MLS sheet so they can write on the back. After you see a few homes they all start to look the same and frequently you start remembering the good points of a few homes as features of the same home. Some buyers are very disappointed when they go back to the home they think they want to make an offer on only to find they had blended a few homes together in their mind.
The key to keeping the facts straight when viewing a number of homes is to write down the pros and cons of each home next to the address. If the seller will allow it, pictures help.
Friday, January 27, 2012
Real Estate Companys - Independent, Unknown National or Well Established Name?
At first glance the answer to which type of company should I choose is obvious. Having worked for all of the above I'm here to tell you that the choice is not all that clear. Over time, the benefits of each type of company have worked for different types of agents, buyers and sellers.
When I first was licensed in New Jersey to sell real estate I placed my license with an established national company. This allowed me excellent training which is what all of my future success was built upon. Being a small fish in a big pond however, did not give me the personal guidance someone with no clue about the actual customer service needed in the real estate world.
I moved to a local independent office where I received daily guidance and my hand was held through every aspect of my first deals. An independent office allowed me to learn at my own pace with very little in the way of restrictions on my movement. The drawbacks to this type of office became evident as I became more knowledgeable in the business and technology started to become a necessary tool in buying and selling homes. An independent office does not usually have the funds required to establish a web-presence. As the years went by this became a huge drawback when the person wanting to list their home started to search for the office. Unless the owner of the independent company is very web savvy and is willing to invest in technology the independent office is not the best place for the business of real estate.
After 5 years I was once again on the move.
I moved to a larger, statewide, Internet based office. The draw for this type of office was limited in office time was required, with the magic of the Internet most of our business could be preformed from home or on the road as long as there was Internet access. This type of office worked very well for me as long as the market was booming. As soon as things started to slow down the into the office mind set was important to keep my head in the game. When there is alot of business you don't need to go to an office, you are out with buyer's and meeting with seller's, when business slows down if you don't have a business environment to go to life in general takes over and home chores become a focus and your business goes out with the trash.
4 years I was moving on out
The next 3 years found me back at an independent office, but with a twist. We handled much of the foreclosure market. I became very efficient at the distressed home sale but my heart was not in it, I do not enjoy profiting from others problems. I don't think that agents who handle distressed property are wrong, they actually preform a necessary function and without them the people who have fallen on hard times would be in worse shape, this is just not the business for me.
So I moved yet again, hopefully for the last time!
I am now at a huge ,international, very well established company. Ironically the same company I started with. I feel they still have the best training. Each office is independently owned giving it the small independent feel. It is a huge company which affords an Internet presence that is unbelievable!
With the advent of Internet in Real Estate I have the choice of offices to work out of, so, of course, I've chosen one of the top 10% offices in the entire company even though there are offices closer to my home. I am lucky enough to have an office full of successful agents behind me. My new move, my last move looks to be my best move yet.
Century 21 Cedarcrest Realty in Caldwell NJ has welcomed me with open arms, and I thank them for that. If buying or selling a home is in your future and you are located in northern NJ give me a call, I'd be happy to help!
When I first was licensed in New Jersey to sell real estate I placed my license with an established national company. This allowed me excellent training which is what all of my future success was built upon. Being a small fish in a big pond however, did not give me the personal guidance someone with no clue about the actual customer service needed in the real estate world.
I moved to a local independent office where I received daily guidance and my hand was held through every aspect of my first deals. An independent office allowed me to learn at my own pace with very little in the way of restrictions on my movement. The drawbacks to this type of office became evident as I became more knowledgeable in the business and technology started to become a necessary tool in buying and selling homes. An independent office does not usually have the funds required to establish a web-presence. As the years went by this became a huge drawback when the person wanting to list their home started to search for the office. Unless the owner of the independent company is very web savvy and is willing to invest in technology the independent office is not the best place for the business of real estate.
After 5 years I was once again on the move.
I moved to a larger, statewide, Internet based office. The draw for this type of office was limited in office time was required, with the magic of the Internet most of our business could be preformed from home or on the road as long as there was Internet access. This type of office worked very well for me as long as the market was booming. As soon as things started to slow down the into the office mind set was important to keep my head in the game. When there is alot of business you don't need to go to an office, you are out with buyer's and meeting with seller's, when business slows down if you don't have a business environment to go to life in general takes over and home chores become a focus and your business goes out with the trash.
4 years I was moving on out
The next 3 years found me back at an independent office, but with a twist. We handled much of the foreclosure market. I became very efficient at the distressed home sale but my heart was not in it, I do not enjoy profiting from others problems. I don't think that agents who handle distressed property are wrong, they actually preform a necessary function and without them the people who have fallen on hard times would be in worse shape, this is just not the business for me.
So I moved yet again, hopefully for the last time!
I am now at a huge ,international, very well established company. Ironically the same company I started with. I feel they still have the best training. Each office is independently owned giving it the small independent feel. It is a huge company which affords an Internet presence that is unbelievable!
With the advent of Internet in Real Estate I have the choice of offices to work out of, so, of course, I've chosen one of the top 10% offices in the entire company even though there are offices closer to my home. I am lucky enough to have an office full of successful agents behind me. My new move, my last move looks to be my best move yet.
Century 21 Cedarcrest Realty in Caldwell NJ has welcomed me with open arms, and I thank them for that. If buying or selling a home is in your future and you are located in northern NJ give me a call, I'd be happy to help!
Wednesday, January 18, 2012
GETTING YOUR HOME READY TO SELL
Deciding to sell your home is only the beginning of the process, you have alot of work ahead of you. Before you list your home you need to make you home desirable to the public, this means you really have to remove you personality from the house and allow potential buyers to place themselves in the rooms.
I recommend that seller's follow the three C's of home sales.
1. CLUTTER - Remove any clutter around the home. This does not only mean get rid of the trash but remove you personal items from counters and walls. Basically, start packing, anything that is important to you pack away. Pictures, books, small statues, childrens hand made gifts are what make your house your home. Buyers need to see a house as their home and that is difficult when they are looking at pictures of your children. The things you keep on your kitchen and bathroom counters may make your life more convient, but they reduce the visable counter space which is very important to a buyer. Putting these things away not only makes the rooms seem larger it also reduces the possabiltiy of items important in your life being broken or lose.
2. CLEAN - I know your house is clean, you wash the floors, dust the furniture and vacuum the rugs. When I say clean, I mean deep, hands and knees, scrub brush cleaning. When you take your personal pictures off the walls there may be light marks on the walls. Paint is cheap and a quick coat of neutral color paint makes a room seem bigger and brighter. Clean the windows and it dosen't take much to change the mini blinds on all your windows. Make sure all your light fixtures have new bright bulbs. Removing one piece of furniture from a room can make the room much bigger. Check the pathways around your house. Three recliners lined up in the family room may make for easy football watching but re-positioning those chairs may free up room for more open floor space.
3. CURB APPEAL - The first impression of your home is not from the inside, as soon as a buyer drives up to the front of your house decision making begins. Make sure your front entry way is inviting, if its February remove the Christmas decorations. Check the window treatments on your front windows. Red livingroom curtains and purple dining room curtains may go with the interior decor of the rooms but they are not very appealing from the exterior. Rake your leaves, shovel your snow or mow you lawn, whatever the season calls for. You don't want to remind the buyer of all the outside work homeownership requires, they already know, but if it isn't done they start to think it is an overwhelming task.
Remember, you don't want a buyer to think that an unpainted wall or and unraked yard is a good reason to make a low offer. A home presented in it's best possible light will sell for the best possible price.
I recommend that seller's follow the three C's of home sales.
1. CLUTTER - Remove any clutter around the home. This does not only mean get rid of the trash but remove you personal items from counters and walls. Basically, start packing, anything that is important to you pack away. Pictures, books, small statues, childrens hand made gifts are what make your house your home. Buyers need to see a house as their home and that is difficult when they are looking at pictures of your children. The things you keep on your kitchen and bathroom counters may make your life more convient, but they reduce the visable counter space which is very important to a buyer. Putting these things away not only makes the rooms seem larger it also reduces the possabiltiy of items important in your life being broken or lose.
2. CLEAN - I know your house is clean, you wash the floors, dust the furniture and vacuum the rugs. When I say clean, I mean deep, hands and knees, scrub brush cleaning. When you take your personal pictures off the walls there may be light marks on the walls. Paint is cheap and a quick coat of neutral color paint makes a room seem bigger and brighter. Clean the windows and it dosen't take much to change the mini blinds on all your windows. Make sure all your light fixtures have new bright bulbs. Removing one piece of furniture from a room can make the room much bigger. Check the pathways around your house. Three recliners lined up in the family room may make for easy football watching but re-positioning those chairs may free up room for more open floor space.
3. CURB APPEAL - The first impression of your home is not from the inside, as soon as a buyer drives up to the front of your house decision making begins. Make sure your front entry way is inviting, if its February remove the Christmas decorations. Check the window treatments on your front windows. Red livingroom curtains and purple dining room curtains may go with the interior decor of the rooms but they are not very appealing from the exterior. Rake your leaves, shovel your snow or mow you lawn, whatever the season calls for. You don't want to remind the buyer of all the outside work homeownership requires, they already know, but if it isn't done they start to think it is an overwhelming task.
Remember, you don't want a buyer to think that an unpainted wall or and unraked yard is a good reason to make a low offer. A home presented in it's best possible light will sell for the best possible price.
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