Tag Archives: home buyers

Fun Facts and Inspiration for May 30


Fun Facts and Inspiration for May 30

 Inspiration…

“The significance of a man is not in what he attains but in what he longs to attain.”

                                                                                                Kahil Gibran

Did you know that…

After the “Popeye” comic strip was launched in 1931, spinach consumption went up by 33% in the United States.

Elephants communicate in sound waves below the frequency that humans can hear.

The bands on hats traces back to the custom when knights wore their lady-loves scarves around their helmets.

To ensure continuity of government, Prince Charles and Prince William never travel on the same airplane as a precaution.

During World War II sugar was in in short supply making it difficult for theatres to obtain candy.  As a result, they turned to popcorn which is not the best-selling snack at movie theatres.

Men can read smaller print than women can; however, women can hear better.

The Pacific entrance of the Panama Canal is farther East than the Atlantic entrance.

In real estate, signing with a real estate agent as a buyers’ agent is the only way a buyer has true representation.  Until that contract is signed, the agent is most likely working for the seller, even if they are not the listing agent.  I have said this many, many times, if you are in the market to buy a home, always, always, always sign a contract with an agent so you have representation.

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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Five Mistakes Buyers’ of Real Estate Should Avoid


Five Mistakes Buyers’ of Real Estate Should Avoid

 Buying or selling real estate is a complicated transaction that needs the guidance of a REALTOR®.  Add in the personalities of buyers’ and sellers’ and you have all the makings of a sitcom or worse.

I have said it several times in this blog, wither you are buying or selling it is imperative that you have the advice of a real estate professional – a REALTOR® – to walk with you every step of the way.

Here are five areas that buyers often make when buying a home:

  1. DELAYING – There is a saying in real estate: “The house you looked at today and want to think about until tomorrow, may be the house someone looked at yesterday, and wants to think about until today.”  Buyers’ need to be mindful that sellers are anxious to sell their home and they want to work with a buyer that is ready, willing and able.  If a buyer wants to buy a particular house, I stronger encourage them to be prepared and be ready to make an offer that will convince the seller they are serious buyers.
  2. SUBMITTING A LOWBALL OFFER – Submitting a lowball offer can many times backfire for the buyer. I recently had a client who insisted on submitting a lowball offer.  It made the seller so mad they not only would not counter offer, they would not accept any other offers we were willing to make.  Even if they would accept another offer, or counter an offer, it is possible that while these counters were taking place, another buyer could make an offer that was acceptable to the seller.
  3.   MAKING AN OFFER FOR THE PREAPPROVED AMOUNT – Almost all transactions involve some back and forth negotiating. One mistake buyers do not want to do is make their offer the maximum amount that the mortgage company will loan them.  It gives the buyers nothing to negotiate with.  On the other hand, I had a client a few years ago who was selling his house.  A buyer contacted me and wanted to make an offer.  Apparently, he wanted to impress the sellers and provided me with a preapproval letter for more than they were asking for the house.  Needless to say, the sellers did not come down on the price of their house.
  4. WAIVING INSPECTION CONTINGENCIES – I have said it many times, and advise every buyer I deal with, “You absolutely must have the house inspected by a licensed inspector.” If it is a tight market and you want to have it inspected, but do not want to include a contingency in the offer, you run the risk of losing your earnest money if you decide to back out of the contract. Even new construction should be inspected.  I will say it again, “You absolutely must have the house inspected by a licensed inspector.”
  5. NOT PRESENTING YOUR OFFER IN A FAVORABLE LIGHT – Sellers are looking for buyers who are serious and excited about buying their house.  If the sellers make a counter offer and the buyers do not respond in a reasonable period of time, it gives the sellers the impression that they are not serious about buying their home, especially in a seller’s market.  If there are multi offers on a house, sellers will often accept the offer of the person(s) that they feel they can work with the easiest, that includes the buyers and their agent.

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

FREE Home Warranty


 

FREE Home Warranty
by Roland Low, Coldwell Banker Innovations

House with Umbrella for web (1)

If you, or anyone you know, is even thinking of buying or selling, I have a deal for you.  I am offering a FREE home warranty for buyer’s and seller’s that sign a representative contract with me and close by July 31, 2016.

This is NOT a skimmed down version of a warranty. It is issued by Coldwell Banker and administered by American Home Shield. The plan is the Shield Plus and will cover such items as air conditioning, heating, ductwork, plumbing, electrical, water heaters, washer, dryer, refrigerator, built-in microwave,dishwasher and more.

Buyer’s will have the comfort of knowing that they have coverage for unexpected home repairs that can happen at any time. Seller’s have the benefit of marketing their home with a home warranty. It’s a win-win.

Of course there are some limitations and exclusions so call me today for details. This offer may be cancelled at any time.

Roland

Tips for First Time Home Buyers


Tips for First Time Home Buyers

Of all the clients I work with, undoubtedly, first time home buyers are the greatest joy.  Their excitement for their first home is beyond comparison.  Let me give you some tips to keep in mind if you are looking to buy a home, whether it is your first or your twenty-first.

  1. Always, always, always, sign with an agent to represent you.  If you have the sellers’ agent represent you, more than likely they will do a good job and will be fair in their dealings.  But to me it is not worth the risk.  Remember, the agent representing the seller is hired to represent the seller’s interests – not yours.
  2. Don’t sign with the first agent you bump into.  Talk to agents and find one that you are comfortable with and that will help you understand the process.
  3. Once you have an agent that is representing you it is not necessary to have the agent with you at every open house you visit, but it is important that when you go in that you identify that you have an agent representing you and give them your agent’s name.  If you are interested in a follow up visit, have your agent set up the showing, not the sellers agent.
  4. Your agent can also help you find a mortgage person if you have not already done so.  Be sure to do this early on in the search.  Any real estate agent can provide you with a pre-qualifying figure, but it is only a mortgage person who can preapprove you for a mortgage.  Getting a preapproval for a mortgage is critically important.
  5. Once you have preapproval for the mortgage, do not do anything to substantially change your finances with talking to your agent or mortgage broker.  Those changes can affect your ability to buy the property.
  6. Once you find a home that you would like to put in an offer, your agent will most likely do a CMA, or comparative market analysis to determine if the asking price is a fair price.  Your agent will then write up the offer and submit it to the selling agent.  Your agent will also include any contingencies that need to be included.  My advice is that unless you are paying cash for the property always include a contingency based on loan approval.  You may not expect it, but if you lose your job before the closing and the financing is not approved, you could risk your earnest money by not being able to go through with the deal.
  7. I always advise buyer to have a home inspection done by a reputable home inspection company.  This also includes new homes – you would be amazed at what errors can be found in new construction.  There should also be a contingency for the acceptance of the home inspection.
  8. Remember, the rule of thumb is that if it isn’t illegal, immoral, or unethical, it is negotiable!!
  9. When your agent submits an offer, the sellers can accept, reject or counter-offer.  If they accept the offer it goes through as is.  If they reject the offer it is dead in the water.  If they counter the  offer, which is what happens most of the time, the buyers then have the option to accept, reject or counter that offer.  This process will continue until the offer is rejected or accepted.  Do not be discouraged by counter offers as this process may take a while.  A good agent will always keep a door open to some negotiation if possible.
  10. Once a final negotiation is reached your agent will follow up to ensure that all documents are completed and signed as needed.  The closing table is no place to find out that something was missed.  HUD requires that all  paperwork be completed 24 hours before a scheduled closing.  Your agent should advise the closing company that he or she wants to see the paperwork then to make sure there are no glitches.
  11. A final walk through should be done before the closing to make sure that any last minute issues have been resolved.
  12. Title insurance is one area that many people overlook.  If you look at the HUD statement or other closing documents you will always notice “title insurance” listed.  That title insurance is insurance for the mortgage company not the buyers.  I always suggest the buyers take out the title insurance for themselves.  You never know what clouds or liens may appear on the title.  It is also cheaper to buy the buyers title insurance at the same time for the mortgage companies insurance because they only have to do one search.
  13. The last thing I want to mention take be back to item number one and that is having an agent represent you.  When you walk into the room for the closing, your agent will most likely sit next to you to answer any questions you may have.  If you used the sellers agent to handle both sides of the transaction, that agent will undoubtedly be sitting next to the sellers, not you.  Always have your own agent represent you.

If you are thinking of buying or selling, talk to a real estate professional who can get you the answers you need to make an informed decision.

As always, if I can help with any of your real estate needs, anywhere in the country, please feel free to text or call me at 615 417-8182 or email me at RolandLow1@gmail.

Roland

 

 

Home Buyers and Sellers Quiz


Home Buyers and Sellers Quiz

1.   The best loan product for first-time buyers with little or no money to put down is often:

⃝           An adjustable rate mortgage

⃝           A 30 year fixed rate loan

⃝           An FHA insured loan

⃝           A jumbo mortgage

2.   A typical home owners’ insurance policy doesn’t protect against:

⃝           Floods

⃝           Injuries to those making deliveries to the property

⃝           Damage to buildings not attached to the house

⃝           The theft of a computer

3.   Which of the following is not an option if an appraisal is too low? 

      ⃝     Resolving the problem with the appraiser

⃝     Lowering the price of the home

⃝     Buying an insurance policy to cover the difference

⃝    Having the buyers come up with a bigger down payment

4.   To help ensure a good credit rating when applying for a loan, borrowers should:

⃝    Pay all credit card bills on time

⃝    Not make any large purchases on credit before closing

⃝    Pay off credit card balances if possible

⃝    All of the above

5.   If you are suffering from “buyer’s remorse”  the best thing  a real estate agent can do is:

⃝    Tell them that the sellers will sue them

⃝    Go over contract terms again and offer reassurance

⃝    Urge the sellers to immediately offer a lower price

⃝    Ignore their concerns; after all, you have a contract

6.   A good first step to eliminating basement dampness is to:

⃝           Re-grade the lot so that the ground slopes away from the house

⃝           Repair gutters to channel water away from the house

⃝          Remove porous material from the foundation

⃝          All of the above

7.   Which of the following will make a move easier?

⃝           Holding a garage sale to weed out unwanted items

⃝          Checking home owners’ insurance to make sure that household goods are covered     during a move

⃝          Arranging for telephone service, Internet service, and utilities for the new home

⃝           All of the above

8.   Which of the following closing costs is not typically paid by the buyers?

⃝           Private mortgage insurance

⃝           Title search

⃝           Property inspection

⃝           Real estate property tax proration

Answers

1.       The best loan product for first-time buyers with little or no money to put down is often:

ANSWER:  An FHA-insured loan:   FHA-insured loans require down payments as low as 3 percent and are targeted to first-time buyers.

2.       A typical home owners’ insurance policy doesn’t protect against:

ANSWER: Floods
Most policies do not cover floods or water damage resulting from floods or sewer backups. It’s common for lenders to require additional coverage for flood damage if the property is located in a flood plain.

3.       Which of the following is not an option if an appraisal is too low?:

ANSWER: Buying an insurance policy to cover the difference.  No insurance product is available for this type of situation.

4.    To help ensure a good credit rating when applying for a loan, borrowers should:

ANSWER: All of the above
To boost their credit scores, buyers should pay credit card bills on time, avoid large credit purchases before the closing, and pay down their credit card bills as much as possible. Encourage consumers to review their credit report at least once a year. Inaccuracies aren’t uncommon, and it takes time to set the record straight.

5.    If the buyers try to cancel the contract because of buyers’ remorse, the best thing your agent can do is:

ANSWER: Go over contract terms again and offer reassurance
Often fear is the motivator for buyers’ remorse and a little reassurance is all that is needed to keep the deal on track. Agents should never ignore a buyers remorse.

6.    A good first step to eliminating basement dampness is to:

ANSWER: All of the above
Re-grading the lot, repairing the gutters, and removing porous materials from the foundation all may help to eliminate basement dampness. However, if buyers are concerned about the possibility of mold, you should advise them to hire an expert to evaluate the property.

7.    Which of the following will make a move easier?

ANSWER: All of the above
Holding a garage sale to sell unwanted items, checking your home owners’ insurance policy for household goods coverage, and arranging for telephone service and other utilities at the new home all will contribute to an easier move.

8.    Which of the following closing costs is not typically paid by the buyers?

ANSWER: Real estate property tax proration
Because property taxes are paid in arrears, sellers generally pay a prorated share of the taxes for the current year that will be paid in the succeeding year. However, any closing cost can usually be paid by either party, depending on local custom and the terms of the contract.