Tips for Negotiating the Best Price

by admin on February 26, 2012

Tips for Negotiating the Best PriceIt is a buyer’s market, and there are plenty of opportunities out there to score a great deal on a new house. Even with the market on your side, it still helps to have some negotiating tricks up your sleeve.

Truly, the bottom line does matter, especially when it is financed over ten, twenty, or thirty years. During my years as a real estate agent, I have picked up some strategies that have helped me to convince sellers to lower their price substantially in order to get the sale. Here are some of the best:

  • Do your homework.

I have seen market trends come and go, but the one thing that stays the same is human nature. Sellers always think that their house is special and that it is worth more than it actually is.  Buyers tend to think that sellers are more desperate than they actually are, especially in a market like today’s. You may think that I am stereotyping, but actually the patterns and trends are spot-on. The bottom line is–smart buyers know how much they can afford before they even start to look at houses, and they limit their search to houses they can afford.

  • Check comparable sales

The best indicator of what a house is worth is what other similar houses in the same neighborhood are currently selling for. I generally advise buyers to make an offer $10,000 – $15,000 under what the last similar house sold for. This leaves the buyer with room to negotiate, without insulting them. Offering the seller a lowball price can backfire, even in a slow economy. Your seller’s home is an emotional–as well as a financial–investment; so don’t insult them.

  • Motivation

If possible, find out about the seller’s motivation for selling. A seller who is going through a divorce will probably be more motivated than a seller who just wants to move up to a bigger house if the price is right. The more motivated the seller, the more likely you are to get a great price.

  • Seller’s current mortgage

Multiple Listing Services (MLS) properties usually state what the seller owes. Of course, a seller who owes a lot, or is underwater, is probably going to be more motivated than one who has a lot of equity built up in the house.

  • Length of time on market

How long has the house been on the market? Generally, sellers get tired of keeping their home in tip-top shape after forty-five to sixty days, and they are just ready to move one.

  • Closing costs

Many sellers are willing to add the closing costs to the price of the home. In the long run, you’re better off putting twenty percent down and including closing costs in the price than putting fifteen percent down and paying closing costs up front.

  • Ask for new appliances.

I have rarely seen sellers be offended by a buyer asking them to pay for new appliances, especially if the appliances in the home are outdated. Most sellers will readily agree to such terms, especially in a tight market; so this is an easy way to save some money.

  • Don’t make requests that require quality workmanship.

I don’t recommend asking the current owners to make any updates that require quality workmanship, like painting or installing new floors. Chances are they will not end up looking the way you want them to look, and unless the seller is a professional, they will not be the best possible quality. You’re better off asking for a credit towards new floors, or any other cosmetic changes you will want to make to the house yourself.

One Last Tip:  Look at the Big Picture

Buying a house is more than just finding a place to live. It is an investment. If you are planning to stay for at least five years, don’t get caught up in saving just $2000 or so.

This guest blog was provided by Linda Wise a Merritt Island FL real estate agent who also specializes in Grant homes for sale and Cape Canaveral FL real estate.

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7 Ways to Make Your House Green

by admin on February 17, 2012

7 Ways to Make Your House GreenAs the world becomes more “green-friendly” it is important that as individuals we do so as well. While you may or may not agree with the whole “green-friendly” philosophy, when it comes time to sell your home it will be to your advantage if you have embraced the concept.

The trend is on the rise, and the more that you can adapt to the trends, the better resale value you will have. Today, there are a lot of ways you can make your house greener and environmentally friendly. You may not even realize some of the effects your “non-green” home have on you until you make some changes.

7 Ways to Make Your House Green

Below are a few helpful pointers to making your home more earth conscious and environmentally focused–leaving your home feeling fresh and renewed.

  • Select No-VOC Paint

Many paints today contain chemicals that leave the room with volatile organic compound (VOC) levels well above normal. These chemicals create a major hazard not only for the earth but for your health as well. Thus, when selecting colors to paint your house, choose paint colors that do not contain chemicals that would increase the level of volatile organic compounds found within the home environment.

  • Choose Green Cleaning Versus Toxic Cleaners

This is a simple step you can take when trying to make your home more eco-friendly. Many homeowners do not recognize the harm in toxic cleaning agents. Thus, they continue to use cleaning supplies that are harmful for themselves as well as the earth. In order to create a more environmentally friendly space, select non-toxic and natural cleaning supplies. Another option is to create your own cleaning agents out of natural materials.

  •  Update Old Appliances

One of the greatest ways to go green in the home is to update your old appliances. As a general rule, if your appliances are older than ten years, you should get them replaced. In particular, you should replace the old appliances with energy-efficient models. This will not only save you money in electrical bills, but it will also save the earth’s air and water.

  •  Pick a Temperature

One of the biggest ways to conserve energy in the home is to set your thermostat at a consistent temperature during the winter and summer months. Typically, if you keep the thermostat at 68 degrees Fahrenheit or below in the winter and 78 degrees Fahrenheit or above in the summer, you will save a great deal of energy due to heating and cooling.

  •  Save Water

Another great way to make your home more eco-friendly is to conserve more water. How can you do this? Some individuals have installed an aerator on their faucet. Another great choice is to replace your toilet with one that uses less water when flushing. Both of these options prevent you from using as much water as you would typically use with typical water fixtures.

  • Choose Your Light Bulb Wisely

Typical incandescent fluorescent light bulbs use up a great deal of energy. By switching to a compact fluorescent light bulb, you could make your lighting much more environmentally friends.

  • Select Bamboo Floors

Many individuals love the look of a brand new hardwood floor. In fact, it is one of the most popular current trends in comparison to carpet options. However, selecting bamboo flooring may actually be more environmentally friendly. Why? Bamboo shoots grow much faster in comparison to trees. Thus, they are able to replace themselves much more quickly than trees are able to. When thinking about flooring, choose flooring that will able to be replaced more quickly within the environment; bamboo.

Are You Green?

There are many ways to make your home more environmentally and “you” friendly. When creating changes within your house think of how they are affecting not only the earth, but your health as well. Making small changes within your home such as the light bulbs you use or the temperature on the thermostat will make a major impact on the environment. What will you do to “go green?”

Guest blog provided by Kimberley Kelly a Palm Springs Realtor. You can learn more about Kim and going Green on her website where you can search all Palm Springs CA real estate, La Quinta CA real estate, and Palm Desert CA real estate.

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3 Interesting Ghosts Towns on the West Coast

by admin on February 17, 2012

3 Interesting Ghosts Towns on the West CoastDo you believe in ghosts? Not everyone does. But, just about everyone likes hearing good ghost stories. The old mining towns of the West Coast have some of the most interesting ghost stories.

The Old West was filled with men who were so greedy for the gold rush and silver mines that violence was inevitable. So, if you happen to be in the American West during Halloween, these are three interesting ghost towns you just may want to visit:

1) Goldfield, Nevada

There was a point in time when Goldfield was the most lucrative and populated gold miners town in the state of Nevada. It was one of the swankiest areas, where the wealthy elite came to vacation at the 4-star Goldfield Hotel. Eventually, the gold rush declined, turning it into a gold bust area. As its population continued to decline, rumors began to start about the now empty town.

According to the “psychic world”, paranormal activity now haunts the once prominent Goldfield Hotel. There are supposedly multiple ghosts who haunt it daily. The most popular is the ghost of a pregnant prostitute who allegedly died while she was chained up to a radiator. According to the legendary story, her infant child was thrown into an abandoned gold mine beneath the Goldfield. Ghosts hunters have noted that it’s only one of seven portal entrances to the “other side.”

2) Skidoo, California

This desolate patch land located in the Death Valley desert is the home of one of the strangest deaths in the history of the Old West. In 1908, a saloon manager named Joe “Hooch” Simpson murdered the town’s banker. In retaliation for the murder, he was hung in a lynching by a mob. They buried him, but exhumed his body to pose it for pictures when a L.A. Times reported came some days later. The locals hung him back up as they had hung him the first time for the photos.

Then, the unthinkable happened. A local Skidoo doctor made the strange decision to test Hooch for syphilis. Instead of taking some blood, he decided to cut off Hooch’s entire head and test it. Now, according to legendary reports, a headless Hooch continuously haunts this small town located in the center of Death Valley. Skidoo is currently filled with litter, broken glass and abandoned gold mines.

3) Historic Vulture Mine City, Arizona

An old mining town with Phoenix about 75 miles east, Vulture Mine City is another legendary town with a violent history. The focal point of the violence is an ironwood tree, which served as the towns “hanging tree” during the 1800′s. During the 1870′s, 18 miners were hung to death from it. Most of them were accused of stealing top-quality minerals.

Now, the question remains. Are the ghosts of these 18 dead minors haunting the Vulture Mine? Believe it or not, one citizen ran the only store in the town for 32 years. According to her, she and her late husband used to see ghosts around the town. They would also hear some knocking that could never be explained. She no longer lives in the abandoned ghost town.

This article was provided by Vickie Nagy who sells homes for sale in San Ramon. You can check out Vickie’s website where you can search all homes for sale in Danville and homes for sale in Dublin.

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3 Tips for First Time Property Investors

by admin on February 13, 2012

3 Tips for First Time Property InvestorsA good investment is one that continues to produce profitable income year after year. As the housing market continues to recover, many are finding property investment to be a very captivating option for establishing financial security.

Beginners in property investment have a hard time looking past single-family residential properties. They believe this is the only choice they have. Well, I’m here to tell you that even entry-level investors have options. With the help of financing, you too can invest in apartment complexes, office buildings, even land that can be used for developing.

1.      Property Investors Begin with one Single Property

One of the great mistakes by many first time investors is trying to start off investing in more than one property in the beginning. This is never wise because no one can master the skills of property investing without practice. Isn’t is better to master one thing well instead of failing at trying too many things at once. Start off with one single property, even if it’s an apartment building. Learn from that particular project. Keep track of your trial and error process. Then, and only then, should you move on to the next investment.

2.      Secrets of Choosing Profitable Investment Property

As a novice property investor, you need to learn how experts choose their investments. Always remember that you are seeking the greatest return on your investment as possible.

If your goal is to purchase rental property, you need to check out the local leasing rates to ensure that you’ll have sufficient monthly cash flow to maintain the property, as well as make a profit. Once you research this information, you will be more prepared to find the right neighborhood to get the most of your rental property investment. Here’s an example of what I mean:

  • You find an single-family investment property that is $250,000 to purchase.
  • After consulting with your real estate agent and lender, it’s estimated that your monthly mortgage payment will be about $2,000.
  • The average comparable rent in the local market where the house is located is only about $1,500 per month.
  • This investment is going to cost you about $500 per month, not including upkeep and maintenance emergencies.
  • This is not a profitable investment. Aren’t you glad you did the numbers first?

3.      Property Investments Provide Long-Term Financial Stability

  • Deciding to get into the business of property investing is a great step towards providing long-term financial stability for you and your family. It can be very exciting and extremely rewarding if done right. You just have to remain focused and keep your eye on the prize. What’s the prize? …the long-term rental income or profitable proceeds from the eventual sell of your investment property.
  • Mastering your skills as a property investor provides financial security for your heirs, as well. You can see these financial benefits shine in two ways:
    1. Of course your investment properties will belong to your estate. That means that when your time comes, your heirs will inherit your lucrative investments, continuing to reap from their profitable rental incomes.
    2. Once you become an expert at investment properties, you have a valuable skill to pass on to your offspring. Make sure to teach your children and grandchildren the in’s and out’s of the business that will be used to support them not only through childhood, but through college.

Investing in real estate is not as safe as it once was so due your diligence before making a decision. It’s also recommended to find someone who you can trust to give you solid advice. Whether that be a Realtor or a financial consultant, a third party will help ensure you’re on the right track and not making emotional decisions. Good luck!

This articl was provided by Allison Klein a Fort Collins Realtor. You can learn more about Allison by visiting her website where you can search all Old Town Fort Collins real estate and Observatory Village homes for sale.

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Architectural Styles of Homes….Explained

by admin on February 7, 2012

Architectural Styles of Homes….ExplainedThere are so many descriptions used when describing Arlington VA homes for sale or when reading about the style of a neighborhood.  In most cities, neighborhoods vary is style and age as well as the size of homes.  This creates quite a quandary when reading about or even driving through neighborhoods.

To familiarize you with these descriptions, below are the 10 most popular styles of homes seen in most cities.  Some styles date back to the pre-civil war era while others are newer and more modern.  Some builders even incorporate architecture styles for the 18th and 19th centuries into today’s newly built homes.

Colonial/Colonial Revivals:  The word “colonial” is a very broad term that encompasses several different styles of homes including French colonial, American colonial, Spanish, German, and the list goes on.  But, when referring to an architectural style as colonial, several common factors apply.

The facade of colonial homes is symmetrical meaning that it is balanced with the door in the middle of the front of the house and the same number of windows on each side.  These homes are usually two to three stories with bedrooms on the upper floors.  When you think of colonial homes, classic and understated are two words that perfectly describe the style.  Colonial homes do not stick out in a neighborhood.  In fact, typically, when driving through a neighborhood, the colonial styled homes are the ones that people tend to stop and admire.

American Craftsman:  With this style of home, “arts and crafts” is what comes to mind in terms of its design.  When these homes first made their debut, they got the name because of their kinship to arts and crafts by mixing natural elements such as wood, stone and stucco in the building of the homes.  Craftsman homes are wide and deep homes with thick columns that anchor front porches.

It is common to have exposed roof rafters as part of the porch covering as well as lots of windows and low-pitched roofs.  Inside, the key element to a craftsman home is the open floor plan that goes from room to room without hallways and wasted space.  Although a craftsman home uses simple materials, there are lots of details to the design.   Craftsman styled homes are more popular today as they have a relaxed and cozy feel to them.

Bungalow:  Bungalow styled homes are often confused with Craftsman homes as they are similar in their look.  The difference is that bungalows are smaller and much more basic.  They are usually one to one and a half stories and are rectangular in shape.

When they came on the scene many years ago, they were so popular that you could order a “bungalow kit” from Sears and Roebuck and build your house.  These homes are relaxed and cozy as well as quaint in their look and feel.

Cape Cod:  This style home sometimes falls under the “colonial” umbrella but is technically its own style of architecture.  Cape Cod homes are single story homes usually shingle-sided with a steep pitched roof.

Cape Cods built in the 18th and 19th centuries had no dormers or detail for that matter, but as time marched on, dormers were added to the roofs in an effort to give the house a little more flair.  Additionally, builders began using brick for siding to offer variety, hence the “colonial” element to the style of home.

Cluster Homes:  These homes are seen more and more in urban neighborhoods that are developed as cities expand.  Cluster homes are detached single family homes built on small lots.  These homes are long and deep and are built closely together with other homes.

The advantages of cluster homes are that they share amenities and services with each other.  Because of this reason, some cities will zone lots in these types of neighborhoods as “condominium lots.”

Contemporary:  Using the word “contemporary” refers to a look or feel of home rather than an architectural style of home.  When describing a home as contemporary, the design is odd-sized with sharp lines and a lack of ornamentation.

Traditional:  This is another look or feel of a home rather than an actual style of architecture.  Traditional homes are understated and pleasing on the eyes.  It is common to see shutters on the front of windows and simple front porches or stoops at the front door.  Other common elements of traditional homes are dormers and picture windows.  Traditional homes are elegant in their presentation to the public.

Ranch:  This architectural style reflects long one-story homes that are wide across lots.  They usually have built in garages, big picture windows and sliding glass doors.  With ranch style homes, the looks can be contemporary or traditional.

Victorian Homes:  These homes are larger and grander in their appearance and are characterized by extravagant ornamentation such as patterned shingles, spindles and turrets.  Builders use characteristics of Victorian homes in their designs today to give a more impressive feel to a home.

Cottages:  This style home is frequently used interchangeably with bungalows.  But, in reality, cottages are much plainer in their looks and much more practical.  There is smaller ornamentation such as simple window boxes and less detailed trim.  When thinking of a cottage, think of Hansel and Gretel’s home or a gingerbread house.

Whether you are a first time buyer or a seasoned veteran of the real estate world, hopefully, this gives you a better idea of what you see and what you like.  Having a general grasp on the style of architecture gives you a leg up in knowing what you want.  However, if a home in your favorite neighborhood is not a style that draws you in, go ahead and check it out.  You never know what you think until you see it for yourself.

This article was written by Aaron Seekford who specializes in Arlington VA real estate. You can check out the may types of architectural styles Arlington has to offer by visiting Aaron’s Arlington VA Neighborhoods page.

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Is This a Reasonable Offer?

by admin on February 4, 2012

Is This a Reasonable OfferFirst, you made the decision to buy a home.  Next, you went to a lender and got pre-approved for the amount you can afford to borrow.  Then, because you are very smart and wanted expert advice, you decided to work with a real estate agent (after all, the agent commission is typically paid by the seller).  Finally, your agent showed you a lot of houses.

Is This a Reasonable Offer?

You found a home in your favorite neighborhood.  But where do you go from here? You can easily afford the list price but want to make sure you are making a reasonable offer.  How do you know what to offer?

Other than showing you homes that fit what you want, this is where the real work for your agent begins.  There are several important facts to consider so that you are confident about your offer.   Following these steps will lead you to the right amount to offer and hopefully to your new home.

What Do The Comparable Properties Say?

First of all, you need to look at “comps” or comparable properties.  These are properties in the same general neighborhood that are similar in size, style, and have similar features.  It is important to look at the most recently sold homes so that you can have the most current comps available.   Your goal is to have three or four homes so that you have a strong estimation as to what other buyers are paying for similar homes.

If comps in a neighborhood are too old, it is common to look for some in the general area but outside a neighborhood.  When looking at these comps, you need to consider the location in addition to the other factors that are used with comps.   Your home may be very similar to other homes used as comparisons but be in a better location which is going to increase the list price.

Is The Home Updated? Does It Need Work?

Is The Home UpdatedNext, take into consideration the amenities and updates that the current owners have put into the home you want to buy.  Updates like a remodeled kitchen or new addition onto a home justifies a higher list price as opposed to painting the interior or installing new carpet which, more often than not, do not.

Some home buyers take into account their desire for a home…how badly they want a specific home or to be in a specific location or neighborhood.  For some, this has a huge emphasis in the decision making process and allows for buyers to pay a little extra to be where they want to be.

The Appraisal Has The Final Say

From there, it is a good idea to have the home appraised by a certified real estate appraiser to see the true value of the home.    In addition to ensuring the true value, your lender is going to need the appraisal to confirm that home is worth what you are willing to pay.   Note that it is good to use an appraiser with whom the lender is familiar in an effort to use the appraisal as the official one for the lender.

Lastly, listen to your agent as she is very well educated on the local real estate market and can provide insight as to what you should offer or whether your offer is reasonable.  At that point, make the offer and wait to see what happens.  It is one of three responses: 1) no; 2) yes; or 3) a counter offer.

The home buying process is nerve-wrecking and not for the timid or shy.  If you do your due diligence and homework, you will end up with a home that is exactly what you want.    Through the midst of the process, buying a home is exciting and fun.  Try to enjoy it!!  Good luck!!

About the Author: Paula Henry is a Fishers Real Estate agent who represents buyers and sellers of condos and homes in Fishers Indiana.

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