Time Is Of The Essence – More Than You Think

In real estate the phrase, “time is of the essence” means that the need for timely completion is required.  If a specific task, such as arranging for a home inspection, is set for X number of days, arranging for the inspection within that time frame is required or the buyer may find themselves in default and risk losing their earnest money.

White clock with words Time to Act, representing either the desire to perform in acting or the need to jump into action and perform a task working toward a goal

It is also designed to make sure that all parties concerned keep on track to get to the closing table.  Not having the clause “..time is of the essence..”  results in parties dragging their feet on many of the tasks.

But time is of the essence in another factor, also.  REALTORS® will stress the importance of presenting your home for sale in a neat, orderly and uncluttered manner.  Beds should be made, dishes from breakfast put away and toys picked up and for good reason.  When potential buyers enter a house, they can determine that they do not want to buy that particular house in as little as EIGHT SECONDS!

If you are thinking of buying or selling, talk to a real estate professional – talk to a REALTOR® – who can give you the information you need to make an informed decision.

As always, if I can help with any of your real estate needs, please feel free to text or call me at 301-712-8808 or email me at RolandLow1@gmail.com.

Roland

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Heartbreak in Real Estate

I have mentioned this more times than I care to remember; If you are looking to buy or sell real estate,  it is critically important to have a REALTOR® who is working on your behalf.

All too often, I am contacted by someone who is looking to buy or rent a property and they are searching on any website that seems to have listings.  BEWARE.  Often times the business model for these websites is not connected with real estate – their business model is to sell advertising.

I just got off the phone with someone who found what they thought was going to be their dream rental property.  They just found it on a rental property website and it appears to be everything they would want and it was only $850 a month.  To make matters worse, they need to move ASAP!

Unfortunately the website that they found it on sells advertising – not real estate, and the property they were looking at to rent had been rented months ago.

Whether you are looking to buy or rent a property, use a website that is sure to give you timely, valid information that you can trust. Turn to http://www.REALTOR®.com.  If you are looking to rent a property, my advice is to call the Coldwell Banker office in the vicinity you are looking to rent and ask for an agent that specializes in rental properties.

If you are thinking of buying or selling, talk to a real estate professional – talk to a REALTOR® – who can give you the information you need to make an informed decision.

As always, if I can help with any of your real estate needs, please feel free to text or email me at 301-712-8808 or email me at RolandLow1@gmail.com.

Roland

 

Real Estate Market Conditions for Maryland, July 2018

The real estate market has continued its’ upward trend with sales in the state of Maryland increasing 5.2% in July 2018 over last year.  The average price of homes sold in Maryland during July, 2018 increased by 2.3%; however, it should be noted that the median price of homes dropped by 1.4% indicating that lower priced homes are driving the market in real estate.

As you may recall from earlier postings, Months of Inventory is what indicates whether it is a buyers’ market, a sellers’ market or neutral.  Maryland had dropped into the sellers’ market for several months beginning in early spring, but in July it inched up to 2.8 Months of Inventory – 3.0 Months of Inventory would indicate a neutral market.  Four counties in Maryland have reverted to a buyers’ market as of July 2018.

If you would like information specific for the county in Maryland that you live in, please feel free to let me know and I would be happy to share that data.

If you are thinking of buying or selling, talk to a real estate professional – talk to a REALTOR® who can give you the information you need to make an informed decision.

As always, if I can help with any of your real estate needs, please feel free to contact me.

Roland

Fun Facts and Inspiration for July 17

Fun Facts and Inspiration for July 17

 I apologize for the long gap in posting the Fun Facts and Inspiration, but the real estate market has been extremely busy!

Inspiration…

“We are what we repeatedly do.  Excellence therefore , is not an act, but a habit.”  Aristotle

 Did you know that…

Archaeological evidence shows that it dated back to 6,000 years BC.  In the Middle Ages it was referred too as “sop” and consisted of roast drippings poured over bread.  Today we know it as soup.

 In the United States, every year, 20% of Americans change their place of residence.

 InancientGreecewritinghadnospacebetweenwords.

Here’s a failure for you –In 1968 Dr. Spencer Silver was working to develop a super-strong adhesive. His creation was a dismal failure because it was a low-tack adhesive that barely stuck at all.  A co-worker decided that the low-tack adhesive would work great to help keep his bookmarker in his hymnal.  After realizing that there may be some merit to this creation, the two went and got some scrap paper to see how it stuck with the paper.  The scrap paper they got was yellow.  Today we know it is Post-It Notes.

Neither kangaroos or emus can walk backwards.  For this reason they are both depicted on the Australian coat of arms representing “forward”.

In college he had the knick-name of P-Willy.  We know him as Prince William, heir to the throne of Great Britain.

In real estate it is important to understand the pros and cons of preparing to list your house for sale. Yes, a home that has recently be remodeled will most likely sell faster and for more money that it would had it not been remodeled.  However, when remodeling a home it is important to understand that you will not get a ROI dollar for dollar.

For example: A minor kitchen remodel in a mid-ranged priced home will cost approximately $20,000. The resale value of that remodeling will yield you $16,470.  An average bathroom remodel on a mid-ranged priced home can cost $17,704 and yield a return of $13,000.  Its important to keep this in mind when listing your home.  If you home is in need of updating, it might be wise to simply figure out the cost of the projects and reduce the price of your home accordingly.  There is one exception to this that I will stress.  There are some projects that need to be done, such as a roof that leaks.

If you are thinking of buying or selling, talk to a real estate professional – talk to a REALTOR® who can give you the information you need to make an informed decision.

As always, if I can help with any of your real estate needs, please feel free to text or call me at 301-712-8808 or email me at RolandLow1@gmail.com.

Roland

 

 

 

The Stumbling Block to Home Ownership

The Stumbling Block to Home Ownership

 Home ownership is a critical part of life.  It is not only because of the tax advantages, and the accumulation of wealth with equity in your home, but also feeling part of a community.  It allows you to have roots.

Its’ not only important to individuals, but also to the community.  People who own their home, whether is a single family home or a townhouse or condo, have more pride in the property and invest in their community. For all these reasons, this is why home ownership is so important.

But all too often I see first time homebuyers struggling to take that first step.  As a REALTOR® I often times get calls from a first time home buyer about a property and then never hear from them again.  At some point they wanted to buy a home but then the urged died and went away.

I have come to realize that home buyers’, especially first time home buyers’ are simply overwhelmed by the process of buying a home.  It is a difficult, complicated process especially if you have never gone through the process before.  But let me reassure the first time home buyers’ out there.  Millions of people have bought homes, and millions more will buy homes.

If you are a first time home buyer, or you haven’t bought or sold a home in many years, sit down with a REALTOR® who can walk with you every step of the way to make this task easier. From helping you find a mortgage company, to a home inspector working with a REALTOR® from the beginning can make this endeavor a more organized process.

If you are thinking of buying or selling talk to a real estate professional – talk to a REALTOR® – who can give you the information you need to make an informed decision.

As always, if I can help with any of your real estate needs, please feel free to text or call me at 301-712-8808 or email me at RolandLow1@gmail.com.

Roland

 

Months of Inventory

Months of Inventory

 One of the critical numbers that REALTORS® keep a close eye on is the ‘months of inventory.’ Basically months of inventory indicates the number of months it would take to sell all of the inventory currently on the market.

Generally speaking, if there are six or more months of inventory, it is considered a buyers’ market; three to six months of inventory is a neutral market; and three months or less is considered a sellers’ market.

As of the end of March, 2018, the United States had 2.1 months of inventory which indicates it is a sellers’ market.

Maryland is also a sellers’ market with 2.9 months of inventory.

This information is critically important for both buyers and sellers for opposite reasons, but once again affirms the importance of having a REALTOR® who understands the market and how best to promote your best interests.

If you are thinking of buying or selling, talk to a real estate professional – talk to a REALTOR® who can give you the information you need to make an informed decision.

As always, if I can help with any of your real estate needs, please feel free to text or call me at 301-712-8808 or email me at RolandLow1@gmail.com.

Roland

 

PMI Insurance Deductions – Now You See It, Now You Don’t, Now You See It!

PMI Insurance Deductions – Now You See It, Now You Don’t, Now You See It!

 PMI insurance is one of the most hated aspects of the real estate industry – at least in my honest opinion.  Basically, if you do not put at least 20% down on the purchase of your home, you will be required to pay PMI insurance.  The payment will be factored into your monthly payments.  What makes the PMI payments almost tolerable is that the PMI insurance that you pay is – was – and is again, tax deductible.

Let me throw in a comment about the world of real estate.  Yes, we hear a lot of complaining about the PMI insurance, or the origination fee if you are doing a VA mortgage.  But the truth of the matter is that the mortgage / real estate industry in the United States is the envy of the world.  In many countries homebuyers  would love to be able to buy a home with only 20% down.

The PMI fee was made palatable by having the fee deductible on your Federal taxes – until last year.  At the end of 2017, Congress passed a budget bill that eliminated the Federal deductions for PMI insurance for 2017.  Because it was the end of the year, tax professionals were scrambling to amend documents to change the deductions.  Then, in the first of February, Congress passed a bill that retroactively reinstated the deductions for PMI insurance for 2017.  That’s a good thing, unless of course, you finished your 2017 taxes about the time the new bill passed into law.

Don’t fret – you can file an amendment to your taxes and  enjoy the benefit of deducting PMI insurance once again.

Of course, if you have any questions of your tax liability, talk to a tax professional who can give you the information you need.  Don’t listen to a thing I say about taxes – only real estate!

If you are thinking of buying or selling real estate, talk to a real estate professional – talk to a REALTOR® – who can give you the information you need to make an informed decision.

As always, if I can help with any of your real estate needs, please feel free to text or call me at 301-712-8808 or email me at RolandLow1@gmail.com.

Roland