Archive for the ‘Real Estate’ Category

7 Habits of Highly Effective Home Buyers

Tuesday, January 3rd, 2012

Having astutely described the 7 Habits of Highly Effective Home Sellers in an earlier blog post, Realtor Jay Thompson of Phoenix returns with the 7 Habits of Highly Effective Home Buyers.

If you are thinking about buying a home this year, read this before you launch the first internet search!

  1. Get pre-qualified (or pre-approved) for a loan
  2. Define your must haves, like to haves, and can not haves

  3. Be realistic

  4. Be flexible

  5. Understand the home buying process

  6. Be responsible

  7. Have fun!

Read Jay’s post in its entirety, here

Imagine the Possibilities

Friday, December 2nd, 2011

When it comes to buying a home, a good imagination is as important as a down payment.

Unfortunately, most of us have difficulty imagining the potential in a quirky, dated, or just plain awful house.

That’s where the advice of an experienced architect such as my friend Sharon Pigott (a/k/a the house doctor)  is invaluable. She can help you see the beyond the flaws to create a truly custom home. 

I asked Sharon to tell us about one of her recent home “cases.” 

Homes, like people, experience physical ailments. Many older homes in Nashville suffer from closed- in spaces, lack of flow, small rooms, inadequate storage space, dysfunctional kitchens, and tiny bathrooms.

 Few things satisfy me more than healing such a house. Some call me the house doctor, and unlike most doctors, I make house calls!

DIAGNOSIS

 This home suffered from several painful symptoms:

  • Underused tiny, dark entry
  • Unappealing flat-roofed wings
  • Closed- in kitchen
  • Small bedrooms 
  • No covered parking

 

TREATMENT

 A new entry wing closer to the guest parking area creates flow to both the living room and the dining room and allows for a new staircase to the second floor.

At the top of the stairs is a common area used for TV watching. A gabled roof over the left side wing creates a spacious child’s bedroom. The existing dormers are widened, and exterior now has a French flair.

RECOVERY

Here is the end result of the corrective surgery.

 

 Home buyers, have you seen a house that you think has potential, but you’re not sure? Call Sharon and let her help you imagine the possibilities. 615.297.0123

Sharon

Surprised By The Small Print

Tuesday, November 29th, 2011

You hate the small print; so do I.  I studiously avoid tiny type whenever possible, especially the directions for a new gadget or the cell phone contract.

But in a real estate transaction, you need to read the small print. Because almost everything you need to know about your deal is in the TAR contract. Read it. Or at the very least, ask your agent about the key points. (NOTE: I am referring to the standard TN Association of Realtors Purchase and Sale Agreement which is used by most, but not all, agents in Middle TN.)

I see you yawning already! I know, I know, but you will thank me for this information when you go to buy or sell a house. 

The Stuff

Whether you are the buyer or seller, the section about the stuff—the refrigerator, the chandelier, or the basketball goal is important, and often overlooked.  (more…)

More Savvy Staging Room-By-Room

Tuesday, November 22nd, 2011

Whether you are staging to sell or just “styling,” your home for the holidays,  I have some easy suggestions that will instantly spruce up the bedroom, bathroom, home office, and exterior of your home. 

Bedrooms

How cute is the red & white theme in this bedroom? From Rue magazine

  • Invest in new bedding.  
  • Take the phone, clock, books, and anything else off the bedside table. Store these items under the bed.
  • In the master bedroom, the closet must look large. This means some of your clothes, shoes, purses, and hats must go. For those items that remain, arrange by type of clothing. For example, place all shirts together, all skirts etc.
  • Remove family photos.   

(more…)

7 Habits of Highly Effective Home Sellers

Friday, November 11th, 2011

From my colleague Realtor Jay Thompson of Phoenix, AZ,  7 habits to help you through the selling process. Start implementing these habits now;  you will be less stressed and so will your agent! 

  1. Be realistic
  2. Be open to suggestions
  3. Be available
  4. Be smart
  5. Balance emotion with logic
  6. Be reasonable
  7. Don’t be afraid to ask questions

Read Jay’s post in its entirety here.

 

How To Fix A Lousy Credit Score

Tuesday, November 8th, 2011

Recently I asked my mortgage loan expert Nancy about the importance of credit scores. Her reply—very important. (Read the rest of my interview with Nancy here.)

SO WHAT IF YOUR SCORE IS LOUSY?

Your credit score is based on five factors. Here are a few strategies for improvement in each of these areas. However, don’t expect your score to bounce back overnight. Like that few extra pounds, it took time to put ‘em on, and it takes time to get ‘em off!

1) PAY IN FULL AND ON TIME

The simplest way to improve your score is to pay your bill in full and on time. It only takes a few missed payments or submitting the minimum due each month to sink your score. Consider automatic bill paying if you have a history of late payments. Payment history accounts for about 35% of your score. (more…)

Borrowing Basics

Wednesday, October 19th, 2011

Financing a home is a complicated process in which the rules constantly change, obscure acronyms confound, and paperwork proliferates.

This is why it is important to have an experienced, honest, and flexible mortgage professional on your side–someone like my friend Nancy Dugger of SunTrust, for example!

I asked Nancy to respond to two questions that I often hear from my buyers regarding financing a home purchase.

ECW-DO I NEED A DOWN PAYMENT TO QUALIFY FOR A LOAN?

ND-A few loans are available without a down payment.  The TN Housing Development Agency (THDA), Rural Development Home Loans, and some specialty programs, such as the Doctors Loan Program, offer 100% financing.

(more…)

How to Price a Home to SELL

Friday, October 14th, 2011

"Autumn Air" by Gay Petach (York & Friends Fine Art)

Are you considering selling your home, but discouraged by the difficulty of pricing it to actually sell in this challenging market?

Absorption rate pricing is rapidly replacing CMAs (Comparable or Competitive Market Analysis) as a more accurate measurement of market value, especially in a declining or flat market. If your Realtor hasn’t discussed this measurement with you, be sure and ask him/her about it.

Absorption rate is the rate at which the market is selling properties. How long would it take to sell the current inventory if no other homes came on the market? A balanced market is 5-6 months’ supply. Here’s what’s happening in 37215.

Absorption Rate 37215

Homes Sold Last 10 months/204

Average # Of Houses Sold Per Month/20.4

(Monthly Absorption Rate) 

Currently Active In The MLS/217

Month’s Supply Of Houses/10.6

(At current sales rate, this is the time required to sell all of the current properties) 

Is this a buyer’s market or a seller’s market?

A buyer’s market. More than six months supply means that there are not enough buyers to purchase the supply.

If you are a seller, what do these stats tell us about the odds of selling your house?

To sell your house within 30 days, your house must be positioned in the top 20 homes for sale out of 217. Does your house make the cut? Top 20 for condition, top 20 for location, top 20 in price. (To sell within 60 days, top 40.)

Now look at the CMA and re-evaluate your listing price.

Days On Market Can Be Misleading

Saturday, October 1st, 2011

Days on market (DOM) is the number of days from the date on which a home is first listed for sale to the pending (no contingencies) date. In August of 2006, the days on market in Davidson County was 53;  in August of 2011, 87.

No big surprise here. The go-go years vs the slow-go years.

But DOM can be misleading. The days on market is probably much higher than stated in the MLS. This is because under certain circumstances the clock is wiped clean. For example, if the seller changes agents, the clock starts anew. Or if the agent takes the house off the market for a week or so,  when it is reentered, the clock starts anew.

Smart buyers and their agents don’t read too much into DOM, rather they dig a bit deeper into the property’s listing history.  Stats are a useful measurement tool, but don’t always tell the whole story.  

 

It’s Not an Insult-How to Respond to a Low Ball Offer

Sunday, September 25th, 2011

It’s an opening bid, not an insult.

It’s what the buyer can afford, not an insult.

It’s what the buyer thinks the house is worth, not an insult.

It’s based on the buyer’s prior home buying experience, not an insult.

It’s because the buyer is planning extensive renovations, not an insult.

It’s because the buyer is from out of town and unfamiliar with our market, not an insult.

It’s based on the buyer’s fear about the economy and their own job prospects, not an insult.

It’s based on a cursory review of the market comparables or incomplete comps (ie Zillow), not an insult.

It’s an offer!

Respond already! Make a reasonable counter offer supported by an accurate market analysis. You might also include an explanation of the improvements to the home, and specific information regarding the neighborhood amenities.

 If the buyer is from out of town, talk about the stats for the area; point out the average closing price to listing price ratios.

Dear sellers, if you don’t take it personally, this could be your best shot at getting your house sold. Don’t blow it because of your ego.