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Geralyn Brock Site http://geralynbrock.com/ en Copyright 2008 Mon, 05 May 2008 13:31:48 -0500 http://www.sixapart.com/movabletype/ http://www.rssboard.org/rss-specification 7 Selling Mistakes Mistake #1 -- Pricing Your Property Too High

Every seller obviously wants to get the most money for his or her
product. Ironically, the best way to do this is NOT to list your
product at an excessively high price! A high listing price will cause
some prospective buyers to lose interest before even seeing your
property. Also, it may lead other buyers to expect more than what you
have to offer. As a result, overpriced properties tend to take an
unusually long time to sell, and they end up being sold at a lower
price.

Mistake #2 -- Mistaking Re-finance Appraisals for the Market Value

Unfortunately, a re-finance appraisal may have been stated at an
untruthfully high price. Often, lenders estimate the value of your
property to be higher than it actually is in order to encourage
re-financing. The market value of your home could actually be lower.
Your best bet is to ask your REALTOR® for the most recent information
regarding property sales in your community. This will give you an
up-to-date and factually accurate estimate of your property value.

Mistake #3 -- Forgetting to "Showcase Your Home"

In spite of how frequently this mistake is addressed and how simple it
is to avoid, its prevalence is still widespread. When attempting to
sell your home to prospective buyers, do not forget to make your home
look as pleasant as possible. Make necessary repairs. Clean. Make sure
everything functions and looks presentable. A poorly kept home in need
of repairs will surely lower the selling price of your property and
will even turn away some buyers.

Mistake #4 -- Trying to "Hard Sell" While Showing

Buying a house is always an emotional and difficult decision. As a
result, you should try to allow prospective buyers to comfortably
examine your property. Don't try haggling or forcefully selling.
Instead, be friendly and hospitable. A good idea would be to point out
any subtle amenities and be receptive to questions.

Mistake #5 -- Trying to Sell to "Looky-Loos"

A prospective buyer who shows interest because of a "for sale" sign he
saw may not really be interested in your property. Often buyers who do
not come through a REALTOR® are a good 6-9 months away from buying, and
they are more interested in seeing what is out there than in actually
making a purchase. They may still have to sell their house, or may
not be able to afford a house yet. They may still even be unsure as
to whether or not they want to relocate.

Your REALTOR® should be able to distinguish realistic potential buyers
from mere lookers. REALTOR®s should usually find out a prospective
buyer's savings, credit rating, and purchasing power in general. If
your REALTOR® fails to find out this pertinent information, you should
do some investigating and questioning on your own. This will help you
avoid wasting valuable time marketing towards the wrong people. If
you have to do this work yourself, consider finding a new REALTOR®.

Mistake #6 -- Not Knowing Your Rights & Responsibilities

It is extremely important that you are well-informed of the details
in your real estate contract. Real estate contracts are legally
binding documents, and they can often be complex and confusing.
Not being aware of the terms in your contract could cost you thousands
for repairs and inspections. Know what you are responsible for before
signing the contract. Can the property be sold "as is"? How will deed
restrictions and local zoning laws affect your transaction? Not
knowing the answers to these kinds of questions could end up costing
you a considerable amount of money.

Mistake #7 -- Limiting the Marketing and Advertising of the Property

Your REALTOR® should employ a wide variety of marketing techniques.
Your REALTOR® should also be committed to selling your property; he or
she should be available for every phone call from a prospective buyer.
Most calls are received, and open houses are scheduled, during
business hours, so make sure that your REALTOR® is working on selling
your home during these hours. Chances are that you have a job, too,
so you may not be able to get in touch with many potential buyers.

]]> http://geralynbrock.com/2008/05/7_sellinn_mistakes.php http://geralynbrock.com/2008/05/7_sellinn_mistakes.php Helpful Guides: Selling a Home Mon, 05 May 2008 13:31:48 -0500 What to Remember for Showing Appointments 1.   Increase your chances!
The more people who see your home, the more likely you are to sell it quickly. Yes, it's inconvenient to show your home at dinnertime, but if the people buy your home, isn't it worth it?

2.   There shouldn't be any major housecleaning at this point.
The kinds of tasks you ought to be concerned with now are simple ones: making the beds, stuffing last night's dirty pans in the dishwasher, picking up loose newspapers, etc. Even young children can participate by "cleaning" their rooms.

3.    Open the windows.
If the season is appropriate, open the windows in each room and let in some fresh air. Stale air isn't appealing, particularly in a home with smokers or pets.

4.    Let them be comfortable.
Keep your thermostat at a comfortable setting.

5.    Lights.
Turn on all the lights for every showing before prospective buyers arrive. This also gives you an opportunity to select the lighting effects you want for each room. No area of your home should be dark.

6.    No TV.
Turn off the television and turn on light, background music.

7.   Arrange for pets to be at a neighbor.
Pets can distract buyers from their purpose. Keep pets away from buyers.

8.   "Depersonalize" the house as much as possible.
Take down any extra family pictures that are hanging on the walls or displayed on the shelves. They will often distract the buyer's attention from what is most important...the house!

9.   Most importantly, please leave the house during all showings.
It is uncomfortable and difficult for buyers to view the home when owners are present. Oftentimes, they will rush through the home and not give it the proper attention your home deserves. It is also hard for the buyers to "picture themselves" living in the home when the sellers are present.

Please Keep in Mind:
Buyers want to obtain the lowest price and best terms for themselves.

We recommend that you DO NOT DISCUSS the following types of information with ANYONE, regardless of who they represent, other than your listing agent:

Your reason for selling
Motivation / Urgency to sell
Willingness to consider an offer less than the listing price.
Terms under which you would sell.
Relocation, timing, benefits of policies, etc. if applicable
Items of personal property that you "might" be willing to include in a sale.
Any confidential information that would serve to disclose your negotiating strategy.

]]> http://geralynbrock.com/2008/05/what_to_remember_for_showing_a.php http://geralynbrock.com/2008/05/what_to_remember_for_showing_a.php Helpful Guides: For Sale By Owner Helpful Guides: Selling a Home Mon, 05 May 2008 13:29:14 -0500 Emergency Preparedness Guide

Download this pdf!

This guide has been prepared by the Homeownership Alliance in partnership with the US Department of Homeland Security. Be informed. Be alert. Be prepared.

Emergency Supplies - Emergency Planning - Specific Terrorist Threats

Download the full guide

]]> http://geralynbrock.com/2008/05/emergency_preparedness_guide.php http://geralynbrock.com/2008/05/emergency_preparedness_guide.php News Mon, 05 May 2008 13:10:57 -0500 A Comprehensive Guide to Buying Your Home You've made the decision to make one of the largest investments you'll ever make in your life--buying your first home! You're excited, but at the same time anxious. Some of the questions you may be asking are:
Will I be able to afford the home of my dreams?
Do I have enough money for a down payment?
Can I get a home inspected before I make an offer?

Rest assured, you are not alone. The home-buying process can be overwhelming, but if you go into it prepared, your first purchase can be a good experience. Here are some things to consider before making the plunge.

Start Now. Don't Wait!
Take these steps now to get into a home. In most markets, the longer you wait, the higher the home prices will be and harder it may be to get financed. Interest rates are on the rise. Get Going!

What Should You Buy?
There are a number of things to consider when you're buying a home. First, where do you want to live? If you have a growing family, maybe you want to live in the suburbs? This can obviously affect your commute. Is this a neighborhood where you want to live? Also consider the investment value of where you want to live. Make sure the area has seen consistent price appreciation.

Then, there's the question of what type of home you want to buy. This will also depend on your lifestyle, but make sure you are buying the right type of home, in the right area, based on investment value. After all, buying a home should be an investment. This guide discusses the potential benefits and drawbacks of each particular type of home.

An old home versus a new home. It may appear that newer homes are better investments. After all, they're brand new...everything is sparkling. The layouts are consistent with today's styles. And the neighborhood amenities (for example, pool, recreation centers and shopping) make the neighborhood very convenient. Furthermore, you've probably heard that most new homes appreciate from the minute you buy the lot.

This is not always the case! From an investment standpoint, older resale homes can offer just as much, or even more, opportunity for price appreciation. First, older homes are usually closer to the city, so they are often in convenient areas. Secondly, many older homes actually have better quality construction than today's newer homes. On older homes you're likely to find slate roofs, copper gutters, chimney flashing and hardwood floors. Finally, older neighborhoods are established, which means, "what you see is what you get." You usually won't find a lot of new construction in your neighborhood that could affect the value of your home.

On the down side, older homes may not have the coolest floor plans. The kitchens and bathrooms may be outdated in these homes. Finally, unlike newer homes that are usually maintenance-free, you may incur repair bills after buying older homes. Again, the newer homes have downsides too, including possible poor workmanship, poor location on the fringes of suburbia, unsettled neighborhoods and cookie-cutter appearances (lack of charm). Your real estate professional will help you make the best decision. Both older and newer homes have advantages and disadvantages, but both can be excellent investments.

Single Family Home vs. Condo.
The answer to this question depends greatly on your lifestyle, but each type of home has different investment potential. If you have a growing family, you will avoid a condo. Likewise, if your family is small, you have few or no children, or your children are grown, you may not need the space. A condo may offer you more convenience.

An important consideration is that the largest percentage of buyers end up buying single-family homes. Most families have children and a lot of "stuff" to store, so they want single-family homes. Therefore, these types of homes are often easiest to resell and have higher price appreciation potential. Town homes and condominiums also can be excellent investments. Just make sure you buy one in an area that is likely to see price appreciation.

Download the full guide

]]> http://geralynbrock.com/2008/05/a_comprehensive_guide_to_buyin.php http://geralynbrock.com/2008/05/a_comprehensive_guide_to_buyin.php Helpful Guides: Buying a Home Mon, 05 May 2008 13:07:19 -0500 Short Sales ]]> http://geralynbrock.com/2008/04/short_sales.php http://geralynbrock.com/2008/04/short_sales.php Blog Thu, 24 Apr 2008 03:04:44 -0500 10 Tips for First Time Home Buyers 1. Get help.
Develop a relationship with a Realtor as your buyer's representative. Unlike a listing agent, whose first duty is to the seller, a buyer's representative is working only for you. Buyer's reps are paid out of the seller's commission payment.

2. Be picky.
But don't be unrealistic. There is no perfect home.

3. Do your homework before you start looking.
Decide specifically what features you want in a home and which are most important to you.

4. Get your finances in order.
Review your credit report and be sure you have enough money to cover your down payment and closing costs. Your Realtor can show you how.

5. Don't wait to get a loan.
Talk to a lender and get preapproved for a mortgage before you start looking. Your Realtor can recommend the right lender for you.

6. Don't ask too many people for opinions.
It will drive you crazy. Select one or two people to turn to if you feel you need a second opinion.

7. Decide when you could move.
When is your lease up? When are the kids out of school?

8. Think long-term.
Are you looking for a starter house with the idea of moving up in a few years, or do you hope to stay in this home longer? This decision may dictate what type of home you'll buy as well as the type of mortgage terms that suit you best.

9. Don't let yourself be house poor.
If you max yourself out to buy the biggest home you can afford, you'll have no money left for maintenance or decoration or to save money for other goals.

10. Don't be naïve.
Insist on a home inspection and if possible get a warranty from the seller to cover defects within one year. Your Realtor can negotiate this into your offer to purchase.

Download the full guide

]]> http://geralynbrock.com/2008/04/10_tips_for_first_time_home_bu.php http://geralynbrock.com/2008/04/10_tips_for_first_time_home_bu.php Helpful Guides: Buying a Home Wed, 02 Apr 2008 21:57:57 -0500 Home Buying Don'ts
1. Don't Make a Major Purchase
•   You've just found out your credit is A+. That's great news, because a new car would look fantastic in the driveway of your new home. But hang on--if you are depending on a mortgage to move in, you'd best wait until after closing to buy the car.
•   An increase in your debt to income ratio reduces the amount of monthly income available for your mortgage payment.
•   If you tack on a higher car payment, the bank might decide you cannot afford the home.
•   Using cash to purchase the car could also create a problem, since banks consider cash reserves when approving your mortgage. If you must make a major purchase before closing, talk to your loan officer before you do it.

2. Don't Change Jobs Unless It's Necessary
Lenders like to see a consistent job history. They aren't usually as nervous if you change jobs within the same field, but it's better to stay put until the keys to the house are in your hand.

3. Don't Give an Earnest Money Deposit Directly to a For Sale By Owner Seller
•   Your good faith deposit should go into a trust account. Some for sale by owner sellers don't understand that funds are to be applied to your expenses at closing.
•   I've heard many stories about sellers who spent the deposit money prior to closing. When the transactions didn't take place for valid reasons--such as financing or repair issues, the buyers had to fight for a refund.
•   Find an attorney or other neutral party who will hold the deposit for you until closing day and make sure your contract dictates what happens to the funds if the transaction doesn't close.

4. Don't Let Your Emotions Take Over
•   Keep a cool head during the entire home buying process, especially during and after an inspection. Be realistic. No home is perfect, especially older homes. It's not unusual for new owners to take care of some repairs themselves. Don't let the seller's refusal to do a small repair kill the deal on a home you truly love.
•   On the other hand, don't fall so much in love with the house that you'll buy it no matter what needs to be done--unless you're absolutely sure you can handle it emotionally and financially. Decide what type of repairs you can realistically tackle, then stick with the decision.

5. Don't Forget to Switch Utilities
•    That sounds simple, but you'd be surprised how many people forget to apply for utility service at their new home. Call the utility companies as soon as you have a contract. Find out how many days lead time they need to switch the service, then get back with them when you have a firm closing date.
•    Don't forget to discontinue services at your old home.

6. Line Up Your Hazard Insurance
A no-brainer, right? But it's another often-forgotten task that buyers scramble to take care of at the last minute. Before closing, your lender will want to see an insurance binder showing you have coverage for the new home. Get it as early as possible so that closing isn't delayed.
In some locations, additional types of insurance coverage might be necessary. Talk to your lender about insurance requirements well before the closing date.

7. Don't Become Best Friends with the Seller
•    I'll get some flack on this one. It's great to be friendly, but don't get into too many long discussions with the sellers, because personality conflicts often cloud judgments.
•    Remember, this is their home. You're no doubt excited about moving in, and if you didn't like the house you wouldn't have offered to buy it. But you'll make changes--everyone does. A casual statement about "ripping up that ugly carpet" might be hurtful enough to keep the seller from negotiating with you about repairs or other issues that crop up.

8. Don't Panic if the Appraisal Comes in Low
At least not at first. There are some things you (and your agent) can do to correct the problem.

9. Don't Go It Alone
If you're working with an agent, it's the agent's duty to track many of the day to day details that involve the lender, the seller, or the seller's agent.

10. Don't Ignore Lender Requirements
Know what is expected of you and take care of it. For instance, a Certificate of Eligibility is required to move forward on a VA loan. That's something you must handle yourself. Answer lender questions and provide required paperwork as quickly as possible--your closing depends on it. ]]> http://geralynbrock.com/2008/04/home_buying_donts.php http://geralynbrock.com/2008/04/home_buying_donts.php Helpful Guides: Buying a Home Wed, 02 Apr 2008 21:53:23 -0500 Definition: Escrow The escrow holder is an independent neutral third party; works for both the buyer and the seller, and is authorized to follow the specific written instructions provided by both parties.

Escrow functions:
•   Receives and deposits (into escrow's account) buyer's initial deposit and prepares escrow package. Requests "demands" (pay-off statements) from existing lenders and/or lien holders. Obtains seller's notarized signature on grant deed. Safeguards grant deed until all terms and conditions are met and buyer's remaining certified funds are on deposit. Orders title search and receives and distributes preliminary title report. Calculates prorations pertaining to property taxes, rents, insurance, interest, and other expenses as required.

•   Coordinates with buyer's lender throughout the escrow process. Orders and processes buyer's loan documents. Coordinates buyer's signing of loan documents and their return to buyer's lender. Receives buyer's final down payment funds and coordinates funding with buyer's lender.

•   Orders recordation of grant deed conveying title to buyer and distributes all funds: pays-off existing loans; pays other required costs, such as termite completion, home protection policy; etc. Releases net proceeds to seller.
Simultaneously, the buyer and the buyer's lender are engaged with the loan approval process.

Lender duties:
•   Orders a credit report and other credit documentation as required (mortgage ratings, landlord ratings). Reviews the buyer's credit and when necessary obtains satisfactory explanations from the buyer regarding any negative credit history. Verifies the buyer's sources of income. Verifies that the buyer has adequate liquid funds for down payment, closing costs, and reserves. Requests an appraisal of the property, and verifies that the property's value is equal to the contract sales price.

•   Submits the loan to underwriters for final approval.
•   Coordinates delivery of the buyer's loan documents to the escrow officer.

And in the meantime... While the escrow officer, lender, and buyer are diligently working, the seller also has responsibilities.
•   The seller and the listing agent must now prepare detailed disclosures that are required by law (smoke detector, lead based paint, earthquake, environmental hazards, zone disclosures, water heater, transfer disclosure, etc.)

•   Provide escrow officer information on existing loans to check against title search findings.

•   With their Realtor, make the home available for physical inspection and other trades people as required by the purchase contract, such as licensed Termite Company and lender's appraiser.

•   Make any repairs agreed upon in purchase contract.
In order for your escrow to proceed smoothly, your Realtor's job is to coordinate and oversee the above chain of events. Similar to dominos - each event must occur in a timely fashion; delays in any event may result in the postponement of escrow's scheduled closing date.
]]> http://geralynbrock.com/2008/04/what_is_escrow.php http://geralynbrock.com/2008/04/what_is_escrow.php Helpful Guides: Buying a Home Helpful Guides: Selling a Home Wed, 02 Apr 2008 21:52:29 -0500 Why Titles Should Be Insured
2. A deed or a mortgage in the chain of title may be a forgery.

3. A deed or a mortgage may have been signed by a person under age.

4. A deed or a mortgage may have been made by an insane person or one otherwise not competent.

5. A deed or a mortgage may have been made under a power of attorney after the death of the principal and would, therefore, be void.

6. A deed or a mortgage may have been made by a person other than the owner but with the same name as the owner.

7. The testator of a will might have had a child born after the execution of a will, a fact that would entitle the child to claim his or her share of the property.

8. A will may have been revoked by the testator after its execution.

9. A conveyance by heirs-at-law of a person supposed to have died without a valid will may be defeated by subsequent discovery and probate of a will.

10. An heir or other person presumed dead may appear and recover the property or an interest therein.

11. A judgment or levy upon which the title is dependent may be void or voidable or account of some defect in the proceeding.

12. Unless you have the title insured, you cannot be sure you will never suffer loss through title disputes after buying or lending on real estate.

13. Title insurance helps speed negotiations when you are ready to sell.

14. By insuring the title you can eliminate delays and technicalities when passing your title on to someone else.

15. If your title is ever defeated, title insurance reimburses you for the amount of your loss.

16. We assume the risk and worries, make all your troubles ours, with the issuance of title insurance.

17. Each title insurance policy we write is paid up, in full, by the first premium.

18. Our insurance of a title means that you will have free defense in court, in addition to the payment of any loss you may sustain.

19. Claims constantly arise due to marital status and validity of divorces. Only title insurance protects against these claims of supposedly non-existent or divorced "wives" or "husbands".

20. Many lawyers, in giving an option on a title, protect their client as well as themselves by procuring title insurance.
]]> http://geralynbrock.com/2008/04/20_reasons_why_all_titles_shou.php http://geralynbrock.com/2008/04/20_reasons_why_all_titles_shou.php Helpful Guides: Buying a Home Helpful Guides: Selling a Home Wed, 02 Apr 2008 21:51:43 -0500 After The Contract Is Signed
First, get the home inspected. Arrange a time to return to the property for the inspection, typically a few days after the contract has been signed. A professionally licensed inspector will accompany you through the home and point out repairs or discrepancies if they exist. The seller will then be notified of these problems and will usually agree to take on the repairs.
Set up an appointment with your mortgage consultant and be prepared with the following financial statements: W-2 forms or signed tax forms for the past two years, copies of your most recent bank statements (current and consecutive for at least two months), copies of your most current pay stubs or proof of income if self-employed. Be prepared to pay an appraisal fee at this time if you have not already done so.

Work with your real estate agent to choose a title or settlement company for you and provide them with the necessary paperwork. The settlement company has the responsibility of making your transaction legal. They will do the title work, examine the survey, prepare mortgage documents and all the necessary closing paperwork. After the settlement, they will prepare packages for your mortgage lenders, accounting and title insurance, life documents with the county, and release escrow.

You will need to provide proof of homeowner's insurance at this time. You have the right to choose your own insurance company. If you have not selected one, work with your real estate agent for a referral to a reputable company.

Obtain certified funds for the settlement. The title company will be able to tell you a few days in advance the exact fees that will be due.

Conduct a final walk through of the home. Be sure to note any discrepancies from the home
inspection that has already been completed. By taking the time to go through this process in a detailed and timely manner, your transition into your new home will be easy and stress-free! Now is also the time to transfer all the utilities into your name.

Choose your agent wisely. Working with a full-time real estate agent is a must. Ask questions of your agent. Find out how knowledgeable he or she is about houses currently for sale in your price range and also of houses that have recently sold. Can your agent recommend a good lender that has the reputation of excellent customer service and low rates? Does your agent ask questions of you to have a full understanding of what you are looking for to help you get the most home for the money?

]]> http://geralynbrock.com/2008/04/after_the_contract_is_signed_t.php http://geralynbrock.com/2008/04/after_the_contract_is_signed_t.php Helpful Guides: Buying a Home Wed, 02 Apr 2008 21:50:43 -0500 Ready to Move Up? Avoid These Common Mistakes
Not only is there the issue of financing to consider, but you also have to sell your present home at exactly the right time in order to avoid either the financial burden of owning two homes or, just as bad, the dilemma of having no place to live during the gap between closings.

The strategies: I've outline the most common mistakes homeowners make when moving to a larger home. Knowledge of these mistakes, and the strategies to overcome them, will help you make informed choices before you put your existing home on the market. Learn from the mistakes of others!

1. Rose-colored glasses
Most of us dream of improving our lifestyle and moving to a larger home. The problem is that there's sometimes a discrepancy between our hearts and our bank accounts. You drive by a home that you fall in love with only to find that it's more than what you are willing to pay. Most homeowners get caught in this hit and miss strategy of house hunting when there's a much easier way of going about the process. For example, find out if your agent offers a Buyer Profile System or "House Hunting Service," which takes the guesswork away and helps put you in a home of your dreams. This type of program will cross-match your criteria with ALL available homes on the market and supply you with printed or e-mailed information on an on-going basis. A program like this helps homeowners take off the rose-colored glasses and, affordably, move into the home of their dreams.

2. Failing to make the necessary improvements
If you want to get the best price for the home you're selling, there will certainly be things you can do to enhance it in a prospective buyer's eyes. These fix-ups don't necessarily have to be expensive. But even if you do have to make a minor investment, it will often come back to you ten-fold in the price you are able to get when you sell. It's very important that these improvements be made before you put your home on the market. If cash is tight, investigate an equity loan that you can repay on closing.

3. Not selling first
Plan to sell before you buy. This way you will not find yourself at a disadvantage at the negotiating table, feeling pressured to accept an offer that is below market value because you have to meet a purchase deadline. If you've already sold your home, you can buy your next one with no strings attached. If you do get a tempting offer on your home but haven't made significant headway on finding your next home, you might want to put in a contingency clause in the sales contract which gives you a reasonable time to find a home to buy. If the market is slow and you find your home is not selling quickly as you anticipated, another option could be renting your home and putting it up on the market later - particularly if you are selling a smaller, starter home. You'll have to investigate the tax rules if you choose the later option.

4. Failing to get a pre-approved mortgage
Pre-approval is a very simple process that many homeowners fail to take advantage of. While it doesn't cost or obligate you to anything, pre-approval gives you a significant advantage when you put an offer on the home you want to purchase because you know exactly how much house you can afford, and you already have the green light from your lending institution. With a pre-approved mortgage, your offer will be viewed far more favorably by the seller, sometimes even if it's a little lower than another offer that's contingent on financing. Don't fail to take this important step.

5. Failing to coordinate closings
With two major transactions to coordinate together with all the people involved such as mortgage experts, appraisers, lawyers, loan officers, title company representatives, home inspectors or pest inspectors the chances of mix-ups and miscommunication go up dramatically. To avoid a logistical nightmare ensure you work closely with your agent.

6. Waiting too Long - "I'll wait until next year."
The same property is unlikely to be available next year, and if it is available, it will usually cost more. Look at the projected price and availability a year from now and see if it makes economic sense to wait.

7. "Our friends want .../Uncle Joe thinks... /my Aunt Mary said ..."
The market may have changes since the friends made their purchase, and the best value may be in another area. Friends and family members are not always informed or objective about the market.

8. Not planning for the unexpected.
Changes in financial status, health, or family needs can occur and require a sale sooner than expected. Resale value will always count at some point, so consider that possibility when buying.

9. "We don't want to spend more than..."
Price is a factor, no matter what the budget, but it shouldn't be the only factor. With interest rates extremely low, buyers can get more home than they expected. Most lenders will be glad to pre-qualify buyers and outline a variety of choices.

10. Not Looking Beyond The Ugly Carpet.
Look beyond paint, wallpaper, and furniture, and see room size, layout, windows, and view. Nearly every new home model is gorgeous, but that doesn't mean it will work for every buyer. Some properties need a facelift, but that shouldn't get in the way of a good value if the layout and location work well.

11. Amenities are nice, but ...
"This community has a restaurant and clubhouse, golf, tennis, shuffleboard, an Olympic-sized pool, a fitness center, paddleboats, and..." Those are all nice amenities if they match the buyer's interests. Not only is the cost of the amenities built into the price of the home and the association fees, but buyers who don't use the amenities may not have anything in common with their neighbors.

12. Not considering deed restrictions.
Many communities have deed restrictions of some kind. They can be as varied as the number and size of pets allowed, to the ability to park a truck in the driveway. The rules are always spelled out in writing in the form of association documents or zoning ordinances. It pays to find out in advance what they are.

13. "We want to look at everything before we make a decision."
In any given month, there are usually thousands of resale homes on the market. In addition, there are almost as many new homes being constructed. It isn't possible to become an expert on everything in the area in a short period of time. So ask. Talk to friends, the person walking his dog, a mortgage broker, or a Realtor.

A real estate agent can help by identifying the buyers' needs and wants and narrowing down the search to only those properties and communities that meet those requirements and reflect current market trends. However, buyers who are willing and able to do their own research can find the same properties and make a buying decision that is both a good investment and a home they will enjoy.

]]> http://geralynbrock.com/2008/04/ready_to_move_up_heres_how_to.php http://geralynbrock.com/2008/04/ready_to_move_up_heres_how_to.php Helpful Guides: Buying a Home Wed, 02 Apr 2008 21:47:59 -0500 Beat the Stress of Buying a Home ˜DEATH, DIVORCE & MOVING are the three most stressful experiences in life. There are two very different kinds of needs that people have while moving. First there are the transactional needs, like finding the home that is just right for you, finding a seller who is
realistic, negotiating the price, filling out the paperwork, handling the escrow, and arranging for the move. But there are also emotional needs that are involved when moving, and this is where the biggest stress comes in. Any competent agent will handle the transactional needs for you, but if your emotional needs are unfulfilled, you'll be frustrated and may not act in your own best interests. The ideal real estate agent is one who is competent with paperwork and numbers, but can also guide, direct, and counsel you through the emotional ups and downs of moving. Here are the six best ways we've found to beat the stress.

1. Begin with the end in mind.
Have an ultimate scenario of where you're trying to be. What will life be like when you get there? How will it be better than where you are now? Dwell on that picture and write it out, fill up at least a page about how it feels in the new place. This is imperative. Having the goal in front of you at all times energizes you to achieve it, in spite of setbacks and frustrations. Emotions will run high and you need an anchor. In childbirth, the Lamaze method teaches you to focus on one spot when enduring labor pains. In the same way, you too must focus on that future goal when anxiety threatens to get the better of you.

2. Be flexible.
In your monetary calculations, overestimate by a thousand dollars. In this market, anything can happen between contract acceptance and closing. It could be the inspections reveal areas of concern that the seller is unwilling to fix or the repair costs are higher than the amount limited in the contract. Or the interest rate changes which affects the necessary down payment and closing costs you
will need to come up with. As your real estate team, we will strive to
tie up loose ends as quickly as possible, but remember there is no
perfect world. Most buyers feel a bit overwhelmed when taking on a
new mortgage and the responsibilities of a new home and we've seen
many buyers get angry when it seems like the cost just keeps going up.
Anger is caused when reality doesn't match up with the expectations
you had in your mind. So if you anticipate this happening in advance,
you won't get angry. In fact, it'll probably go better than you
expected.

3. Trust in the process.
There's just so much to do, it's easy to panic. You wonder if it will ever work out. In fact, when we bought our house, we couldn't eat for a day, we felt sick to our stomachs! You think you're taking a big chance, but the truth is you're giving yourself a big chance. Even though you can't see every step of the way, as you move towards your goals, the way opens up. We know that you haven't moved in a long time and it's a major upheaval in your life. But we've been there many times before, and we'll be looking out for you. Trust that we know the way to get you there.

4. Get knowledge.
One thing you'll probably feel during this transition time is being out of control. It feels like everyone else has taken over your life. The seller, your lender, the appraiser, the inspectors, they all have the power to say yes or no to your moving plans. We'll try our best to let you know ahead of time what your expenses will be, and what the unknowns are. We'll tie down the loose ends as soon as possible. We'll try to get your loan approved within a reasonable time frame. We'll educate you as best we can and let you in "behind the scenes" so you won't ever feel stupid or out of control.

5. What is your option?
When things don't go as smoothly as you had hoped, don't let emotions take over. Always ask yourself "What is my option?" because there are always options. Let's pretend the lender takes longer than agreed upon to get your loan. He keeps asking you for more and more documentation until if feels like he also needs to know how many gold fillings you have in your mouth! You'll feel upset because you wanted to feel certain about the move and now you still have to live with the uncertainty. You want to say "Forget it, I'm fed up with this!" But what is your option? Find a new lender and start the process over again? That may take weeks, plus you will have to provide all the paperwork over again. If the lender is trying his best, it may be better to give him a few more days. Each case is unique, but when setbacks occur we've found that asking yourself this question helps to defuse the situation and restore clear headed thinking.

6. Seek entertainment.
When there's nothing you can do about the situation, take your mind off of it altogether. Maybe you expected loan approval on Friday, but now it won't come until Monday. You hate being in limbo and feeling powerless. So do something else entirely, maybe something where you aren't powerless. Take a hike, play tennis, get out of town for the day. Watch a movie or pour yourself into your work. Whatever diversion works best for you, now would be a good time to engage in it. Just forget the situation and refuse to listen to those irritating thoughts when they come into your head. Think about something else instead and just take it one day at a time.

To keep stress to a minimum, here's how I'll serve you when you work with me in buying your new home: Give my best-reasoned expert counsel and advice with your best interests in mind. Clarify your goals and motivation, and decide if moving is the wisest choice at this time. Provide recommendations and information to help your kids through all the changes. Negotiate effectively for you to get the lowest possible price for your new home. Treat your money like it was my own, saving every expense possible. Protect your interests during escrow, keeping a detailed record of the transaction. Be your levelheaded sounding board or relief valve when the stress is overwhelming. Counsel you through the feelings of "buyer's remorse". Alert you ahead of time to every possibility so you feel more in control. Contact you daily during the last 10 days of the transaction to serve your needs. Provide guidance and help with movers, change of address, utilities shut off, cleaning, etc. Deliver your closing paperwork. Continue to give you information of value after the transaction... for life.

]]> http://geralynbrock.com/2008/04/six_ways_to_beat_the_stress_of.php http://geralynbrock.com/2008/04/six_ways_to_beat_the_stress_of.php Helpful Guides: Buying a Home Wed, 02 Apr 2008 21:46:18 -0500 Searching For a Home? Find Hidden Bargains! By Jim Messenger
Get your offer in before others arrive. The old adage that the "early bird gets the worm" applies here. Your agent is in constant contact with other agents who just got a listing, but haven't put the home in the MLS yet. Talk to your agent. Most know of one or two under priced properties at any given time. Otherwise, if you wait for the property to come onto the MLS before you submit your offer, other investors will be ready with their offers as well.

Consider "as is" homes. Occasionally in a hot market you can get a good deal out of sellers who have a problem property. Because the sellers don't want to fix the problems, they have to lower their prices. Often, these homes sell for substantially less than the neighboring property, providing you with a rear opportunity to get in lower. Sometimes, they don't want to bother because they are elderly. Or they are forced into a quick sale - corporate relocation, divorce, need cash, etc.

Most buyers won't touch as is homes. They won't see beyond clutter or dirty carpets. Many times, there is nothing wrong with the property. The buyers just don't see beyond the cosmetics. Use this to your advantage - look beyond cosmetic flaws and imagine the property after you clean it up.

Look For Fixer-Uppers
Usually, they are trashed and run down. A typical fixer upper may have heavily soiled and worn carpeting, broken windows, dirty walls, and broken appliances. They may have cracked slab foundation, weathered and worn window frames, or some simply have poor paint.

See beyond the home's bedraggled appearance. Use some vision. Many of these fixer uppers can be made appealing with a minimal amount of cosmetic work. Others may require minimal structural repairs.
When you by a fixer upper, always calculate exactly how much it will cost to put the property back into shape.
Also, always low-ball fixer uppers. Sometimes you can get the property at discounts as much as 30% or more, depending on the owner's circumstances.
Where do you find them? Your agent knows.

Look at "out of favor" homes
Sometimes, houses are out of favor because of a particular style. For example, a bungalow in a neighborhood of colonials may sit. Nothing wrong with it. You can get these properties at a discount, and they will continue to appreciate in price with the rest of the neighborhood.

FSBOs
When the market is sizzling hot, there tends to be more FSBOs. However, many buyers do not like to deal with FSBOs. As a buyer, when you're dealing directly with the owner of the property, there are problems from the outset. First, FSBOs hover over prospective buyers. Secondly, buyers don't want to confide in FSBOs. Thirdly, FSBOs get defensive quickly, because they are emotionally tied to the house. All of these factors make buyers steer clear of FSBOs. As a result, FSBOs tend to languish on the market, and eventually hire an agent. Then the property sells within days.
Use this to your advantage. Step in and buy the FSBO before it is listed with an agent. Low-ball.

Find Sellers who are highly motivated
Your agent is in constant contact with other agents, and knows the circumstances and motivations of a lot of sellers. They can find out if there are any owners who are under strong pressure to sell quickly. Use your agent's "inside" knowledge to your advantage. This is how you can find very good deals.

Look for REOs and foreclosures
People are always losing their properties to foreclosures. Sometimes it's because of a job loss, divorce, etc. These are most plentiful when the market is bad. Your agent can help navigate the risks and rewards of buying foreclosures. You can get foreclosures at greatly reduced prices to help sellers get out of the property and preserve their credit.

REOs are bank-owned properties. They are not easy to find, since most lending institutions do not want to advertise the fact that they had to take properties back. Your agent is often aware of these, and can help you locate them. You can find very good deals.

]]> http://geralynbrock.com/2008/04/searching_for_a_home_to_buy_ho.php http://geralynbrock.com/2008/04/searching_for_a_home_to_buy_ho.php Helpful Guides: Buying a Home News Wed, 02 Apr 2008 21:43:54 -0500 Definition: Buyer's Agent
There are many benefits to using a buyer's agent. These agents will:
1. Evaluate the specific needs and wants of a homebuyer and locate properties that fit those specifications.
2. Assist the buyer in viewing properties and either accompany the client on the showings or preview the properties on behalf of the client to insure that the identified specifications are met.
3. Research the selected properties to identify any problems or issues to help the consumer in making an informed decision prior to making an appropriate offer on the property.
4. Present the offer to the seller's agent on behalf of the client.
5. Negotiate on behalf of the buyer to help obtain the property at the best possible price.
6. Review and explain all legal documents to their clients.
7. Recommend and assist in securing adequate financing.
8. Provide a list of potential qualified vendors such as movers, attorneys, home inspectors, etc.

Most importantly, when working with a buyer's agent, the homebuyer will know and trust that they are fully represented throughout the entire transaction process.

Choose your agent wisely. Working with a full-time professional real estate agent is a must. Ask questions of your agent. Find out how knowledgeable he or she is about houses currently for sale in your price range and also of houses that have recently sold. Can your agent recommend a good lender that has the reputation of excellent customer service and low rates? Does your agent ask questions of you to have a full understanding of what you are looking for to help you get the most home for the money?

]]> http://geralynbrock.com/2008/04/want_to_know_what_a_buyers_age.php http://geralynbrock.com/2008/04/want_to_know_what_a_buyers_age.php Helpful Guides: Buying a Home Wed, 02 Apr 2008 21:42:47 -0500 Why Use a REALTOR®?
Real estate transactions involve one of the biggest financial investments most people experience in their lifetime. Transactions today usually exceed $100,000. If you had a $100,000 income tax problem, would you attempt to deal with it without the help of a CPA? If you had a $100,000 legal question, would you deal with it without the help of an attorney? Considering the small upside cost and the large downside risk, it would be foolish to consider a deal in real estate without the professional assistance of a REALTOR®.

But if you're still not convinced of the value of a REALTOR®, here are a few more sons to use one:

1. Your REALTOR® can help you determine how much you can afford -- that is, your financial reserves plus your borrowing capacity. If you give a REALTOR® some basic information about your available savings, income and current debt, he or she can refer you to lenders best qualified to help you. Most lenders -- banks and mortgage companies -- offer limited choices.

2. Your REALTOR® has many resources to assist you in your home search. Sometimes the property you are seeking is available but not actively advertised in the market, and it will take some investigation by your agent to find all available properties.

3. Your REALTOR® can assist you in the selection process by providing objective information about each property. Agents who are REALTORS® have access to a variety of informational resources. REALTORS® can provide local community information on utilities, zoning. schools, etc. There are two things you'll want to know. First, will the property provide the environment I want for a home or investment? Second, will the property have resale value when I am ready to sell?

4. Your REALTOR® can help you negotiate. There are myriad negotiating factors, including but not limited to price, financing, terms, date of possession and often the inclusion or exclusion of repairs and furnishings or equipment. The purchase agreement should provide a period of time for you to complete appropriate inspections and investigations of the property before you are bound to complete the purchase. Your agent can advise you as to which investigations and inspections are recommended or required.

5. Your REALTOR® provides due diligence during the evaluation of the property. Depending on the area and property, this could include inspections for termites, dry rot, asbestos, faulty structure, roof condition, septic tank and well tests, just to name a few. Your REALTOR® can assist you in finding qualified responsible professionals to do most of these investigations and provide you with written reports. You will also want to see a preliminary report on the title of the property. Title indicates ownership of property and can be mired in confusing status of past owners or rights of access. The title to most properties will have some limitations; for example, easements (access rights) for utilities. Your REALTOR®, title company or attorney can help you resolve issues that might cause problems at a later date.

6. Your REALTOR® can help you in understanding different financing options and in identifying qualified lenders.

7. Your REALTOR® can guide you through the closing process and make sure everything flows together smoothly.
]]> http://geralynbrock.com/2008/04/attention_buyers_why_use_a_rea.php http://geralynbrock.com/2008/04/attention_buyers_why_use_a_rea.php Helpful Guides: Buying a Home Wed, 02 Apr 2008 21:39:11 -0500