The Cold, Hard Truth

You’ve all seen it.

American Idol auditions gone bad.

They are cringe-worth at best. I find myself squirming in my seat, its perplexing, strangely fascinating and downright sad.

The worst part is when the families greet the crestfallen contestant with soothing words of comfort. “Oh, sweetie, those judges don’t know a thing. You are the best singer in the world!”

This is the part that drives me insane

Why lie to these poor people? They are terrible singers and NEVER should have auditioned for the show.

Telling someone the cold, hard truth is sometimes very hard. You don’t want to hurt their feelings, crush their dreams or seem insensitive.

But your honesty is sometimes the most important thing they need to hear.

A couple of years ago I met with a very nice family who wanted to sell their home and move out of state. The winters were getting tough for them and they were having some health issues.

Selling was a must.

I met them at their house and noticed right away this was going to be a tough property. There was stuff everywhere, inside and out. The house was dirty, dark, and falling apart.

They gave me the grand tour and we sat down to talk. I asked them about their goals and timeline for selling their home. They needed to be out of here by September which only gave us 3 months to sell. They were short on time, money and resources to get their home ready for market.

They looked at me with hope in their eyes and asked what was next.

This was the moment for the cold hard truth.

When I first started in real estate I probably would have tried to gloss things over and ease the blow. “No, its not that bad, buyers can look past your stuff.”

Now I know better.

People hire me for my professional and honest advice. This family had a tight timeframe and a pressing need to leave the area.

So I told them the truth.

That no one would buy their home in its current condition. And because we were dealing with a very tight timeframe they were going to need to price their home much below market value to get it sold quickly.

I said all of these things with tenderness and grace, because I very much care about how my words make people feel.

At the end of our meeting they thanked me for my encouraging words.

What?

I didn’t think I sounded encouraging at all, but then I recognized it was the honesty and a thoughtful game plan that gave them feelings of encouragement.

Sometimes the truth hurts, but I believe if you really care for someone you owe them the truth and nothing but.

Does This Sound Like You?

You bought your first home! You were feeling like you were on Cloud 9.

You had so many great ideas on your Pinterest board to make this place your own. From the cubbies for coats and boots to the chalkboard walls in the kids rooms.

But now several years have gone by and nothing has changed.

Your space is feeling cramped and tight and you are dreaming of a new home.

But how could you swing it?

Everyone knows this market is nuts.

Your current home would be sold in a heartbeat and finding a replacement would be impossible

Prices have gone up so much, it wouldn’t make sense to buy a new home.

Does this sound like you? If so, we need to talk.

I’ve got systems and strategies for helping sellers become buyers, even in a market as crazy as this one. Just like playing chess, each move is calculated and planned Check mate!

6 Big No-No's When Buying a House

OOPS!! 6 big no-no’s when buying a house

1.) Not getting pre-approved. In this market sellers won’t even consider your offer without a lender letter

2.) Maxing out your budget. If things in your life go sideways you need to be able to handle unexpected expenses and maxing out your mortgage is a no-no

3.) Skipping the fine print. Do you have a prepayment penalty or an variable rate on your mortgage? Its important to know before hand the terms and conditions of your loan

4.) Making decisions from the heart instead of the head. This one is soooo hard. But try and take the emotion out of the equation.

5.) Not factoring in other expenses.

6.) Not protecting your credit score before closing. This is not the time to take out a loan for a new car or furniture for your new home.

When In Doubt, DISCLOSE!

The sellers property disclosure, your friendly form.

Did you know the number one complaint with the division of real estate is non-disclosure by sellers?

What does this mean in plain English? “We bought a house from Mr and Mrs Seller and they never told us about the roof leak, the cracked foundation, the flood in the basement, fill in the blank.”

So how do sellers avoid this unpleasant situation?

There is this handy form we use in real estate called the Sellers Property Disclosure. This form is your opportunity to air all your home’s dirty laundry.

Sometimes I have sellers balk at this form, they feel reluctant to fill it out.

But think of this form as your get out of jail free card.

The save your bacon form.

The keep you out of hot water form.

You can’t hide things from the new buyer.

Just picture this. New buyer moves in and who should saunter over, but Karen from across the street.

“Oh welcome to the neighborhood! I was just saying to my husband that I didn’t think anyone would buy this home with the moldy attic and all.”

Your neighbors know everything; and if something is wrong with your house the buyers are going to find out eventually.

It’s best to be as thorough and accurate as possible with the disclosure. It will protect you in the long run and keep you out of trouble.

Yes, you might have to make some repairs, but I can promise you it will be a lot cheaper than a lawsuit and attorney fees.

When in doubt, DISCLOSE!

Team Work Makes the Dream Work

Team work makes the dream work.

In order to have a great experience when buying a home you need to have a team of superheroes on your side.

Real estate agent. Someone you trust, who has your back and understands the market and area.

A rock star lender who understands mountain properties, is easy to communicate with and delivers on time.

An experienced home inspector who is knowledgeable and takes the time to explain the findings in your inspection report.

A title company who is responsive, accommodating and precise.

You don’t have to do this alone.

Serenity Now

Serenity Now

Let’s face it, buying a home can be stressful. There’s a lot going on in a short amount of time and big decisions are being made.

But here’s one decision that should be easy - getting a professional home inspection.

Buyers ask me all the time if they should get an inspection and I always answer with a resounding “YES!”

However, I know that some buyers are capable of doing their own inspections and some want to save a little money and not hire the professional.

I can understand both of these sentiments.

However, if you think of a home inspection like to do insurance, you will see the value. If you could insure a $300,000 house for $600 would you do it? Of course!

A home inspection is your “try before you buy” insurance.

Bring some peace to your home buying experience and go with the professional home inspection.

"But if I Sell My Home Now I Will be Homeless!"

“But if I sell my home now I will be homeless!”

I’m hearing this sentiment a lot these days. Everyone knows the market is bananas and many sellers are putting off selling because they worry about finding a replacement property.

But what if I told you I’ve got a couple tricks up my sleeve to ease the transition and stress involved with selling and buying in this HOT market?

1.) Seller Contingency - Once your home goes under contract you have a specific time period to find another home. If you can’t find another house to buy you can get out of your contract.

2.) Rent Back - After closing you can rent the home back from the buyers. This is typically calculated to cover their new monthly mortgage payment and can last up to 60 days.

3.) Extra Long Closing - Contracts are taking longer than normal anyway because we are experiencing an appraisal backlog but it’s not uncommon for parties to agree to a 90 day extended closing.

All three of these strategies give some much need and valuable time to find your next home so you don’t end up homeless.

Have questions? Leave them in the comments.

Readying Your Home For Sale

Just because we have a lack of inventory doesn’t mean you get to skip the key components for readying your home for sale.

Putting your best foot forward still matters and will be a direct result of a quick sale.

Take time to declutter. You are moving anyway so take this time to pack up the items you will not be using or needing in the next couple of months. Clear and clean surfaces matter to buyers.

Deep cleaning. No one likes to clean baseboards but now is the time. An unclean house is distracting to buyers and they notice everything.

Touch up painting or repainting. Getting rid of scuff marks and dirty walls is a quick and easy way to give your home a nice clean look.

Repairs. You know the ones you said you would do when you moved in The loose railing, the missing screen, the broken window pane, now is the time to get those small but important repairs done.

3 Tips on Pricing Your Home

The market is BANANAS And sellers are not sure where to price their home. Here’s a little insight.

You have three choices when pricing your home:

1.) Test the market.

This strategy works in a rapidly rising market because you are pricing ahead of the market with the hopes that the market will meet or surpass your list price

2.) Price it right.

This falls right into the range of what market comparables tell us the home is worth. Not too high, not too low. Is this sounding a little like Goldilocks and the Three Bears?

3.) Strategically aggressive price.

This is the price range that attracts multiple offers and offers over asking price.

There is no right or wrong answer. But your pricing should reflect your timing goals. Please leave any questions in the comments.

Hunting for Unicorns

Hunting for unicorns.

I’m having lots of conversations with both buyers and sellers about pricing these days.

The market is bananas and I think the level of activity has some of my clients feeling a little off kilter.

But there is no reason for confusion.

Even in a crazy market like this there’s still the “magic number”.

What’s the magic number you might ask? Its the price that yields a number at or above market value in the shortest amount of time.

Sometimes sellers will tell me that they want to price higher because someone out there might “just have to own their home” and will pay over market value.

Buyers will tell me that just maybe there’s a seller out there who would be willing to take a 50% discount off their asking price.

Sounds like hunting for unicorns if you ask me!

Here’s the truth.

The MARKET will determine the value and homes that are priced right will sell very quickly to buyers who are thrilled to be purchasing.

Sounds like a win-win for everyone.

All the "I don't Knows" About Buying a House

All the “I don’t knows” about buying a house.

When I meet with buyers and sellers I get lots of questions.

How will you show my house?

How much money do I need down?

Who orders the appraisal?

Do I have to have a home inspection?

These are just some of the things people wonder about when buying and selling real estate.

There are so many questions; and you might even feel like you don’t even know what to ask. When you have a trusted and experienced agent to assist you they will be able to anticipate your needs before you even know you have them.

Go in eyes wide open and remember no question is a dumb question!

Lender Required Repairs

Whaaaaa!!!

LENDER REQUIRED REPAIRS

These three words are NOT what you want to hear when you are buying or selling a home.

So what does this mean you might ask?

Lender required repairs are repairs that must be completed in order for the buyer to get approval for their loan.

It doesn’t matter if the buyer (or seller) care about or want these repairs, they are imposed by the lender.

Common lender required repairs are; peeling paint, broken windows, missing hand rails or anything that falls under health and safety.

As a homeowner what can you do to avoid this situation?

Ask your agent for a do-it-yourself checklist for home inspection preparation. While this is for preparing for a home inspection, it will cover most anything that a lender would be concerned about as well.

5 Things to Always Check Out When Buying a Home

Things to always check out when buying a home

1.) The roof.

Two things here. What’s the condition of the roof and how many layers of shingles If there are already two layers of shingles you will have to tear off all layers and re-roof. If there is just one layer you can re-roof over it.

2.) The septic system or sewer line

It is possible to have a septic issue and not know it, especially if you are buying a home that has been used as a second home.

3.) Latent moisture.

Looks like an old leak, and it might be. But there still could be mold behind the wall

4.) Water quality and quantity

Will you have enough water and is your water drinkable Not as much of an issue when you have city water but if you are on a well its important to understand quality and quantity.

5.) Radon levels

Radon is an invisible gas that EPA studies shows can cause cancer. Its has been around since the beginning of time. Some homes have very high radon levels and while it might not be a concern to you, you will have to address it when you go to sell your home. Best to know before you buy.

First Time Home Buyer Credits

First time buyer credits are a thing of the past. Sadly, your lender doesn’t care if you are a first time buyer or buying your 10th home.

But its not all bad news

If you are a teacher or first responder there are some special loan programs available to you.

Also if you a Veteran of the US Military, you likely qualify for a VA loan.

And many buyers qualify for down payment assistance and down payment grants.

A great lender will be able to figure out what programs are best for you. Please for the love of all that is good in the world, DO NOT, call one of the lenders with the fancy commercials.

You know who I am talking about. They work on volume not on repeat business. They spend millions of dollars on advertising to sell you one loan.

A local lender, recommended by your real estate agent, cares about your experience because they hope you might recommend your friends and neighbors down the road.

Three Options When Pricing Your Home

You have three choices when pricing your home:

Test the market. This strategy works in a rapidly rising market because you are pricing ahead of the market with the hopes that the market will meet or surpass your list price

Price it right. This falls right into the range of what market comparables tell us the home is worth. Not too high, not too low.

Is this sounding a little like Goldilocks and the Three

Strategically aggressive price. This is the price range that attracts multiple offers and offers over asking price.

There is no right or wrong answer. But your pricing should reflect your timing goals. Please leave any questions below.

Just because you can, doesn't mean you should

Just because you can doesn’t mean you should.

Just because you are approved for a loan for $500,000 doesn’t mean that you should spend that much.

Let’s walk through this together.

You’ve finally got the home of your dreams, but you had to max out your budget to get it. What might you have to give up to have that home

vacations

savings

college funds

retirement

fun family experiences

These all might be on the chopping block... and before you know it you might find yourself in financial bondage.

This house, the one you are in, or the one you are buying is likely NOT your forever home.

Homeownership is a process of stepping stones, each time you get more of what you desire. So hold off on maxing out your home budget and remember all the other financial goals you have.

Sellers Property Disclosure

Selling your home doesn’t have to be a gamble. And the sellers property disclosure can keep you out of hot water.

Did you know the number complaint with the division of real estate is non-disclosure by sellers

What does this mean in plain English. “We bought a house from Mr and Mrs Seller and they never told us about the roof leak, the cracked foundation, the flood in the basement, fill in the blank.”

So how do sellers avoid this unpleasant situation?

There is this handy form we use in real estate called the Sellers Property Disclosure. This form is your opportunity to air all your homes dirty laundry.

Sometimes I have sellers balk at this form, they feel reluctant to fill it out.

But think of this form as your get out of jail free card.

The save your bacon form.

The keep you out of hot water form.

You can’t hide things from the new buyer

Just picture this. New buyer moves in and who should saunter over, but Karen from across the street.

“Oh welcome to the neighborhood! I was just saying to my husband that I didn’t think anyone would buy this home with the moldy attic and all.”

Your neighbors know everythingAnd if something is wrong with your house the buyers are going to find out eventually.

It’s best to be as thorough and accurate as possible with the disclosure. It will protect you in the long run and keep you out of trouble.

Yes, you might have to make some repairs, but I can promise you it will be a lot cheaper than a lawsuit and attorney fees.

When in doubt, DISCLOSE!