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Posts Tagged ‘homebuyer’

Home buying can be a long and tiring process.

It can be stressful physically, mentally and emotionally.  But once you step into a house that is ALL yours, you realize that it was definitely WORTH the strain.  Here are 10 things that you can keep in mind to help make sure you have all your hair by the end of the process.

1. Get your finances in order
“The seller wants to know that if they do accept the offer, that barring catastrophic title issues or inspection issues, the deal is going to go through,” said Gary Dwyer, broker-owner of Buyer Agents of Boston. Another expert recommends having a full pre-approval within the past 30 days: “Six months is no good anymore, because the rules keep changing.”

2. Know your timeframe
“As a shorter-term buyer, you might consider whether the place is a good investment, and if it’s the kind of property that’s going to be attractive for the next buyer…A house near train tracks, for instance, is probably not what most people are looking for. But for someone who’s planning to stay longer, a good school system or larger lot size might make up for the trains thundering past.”

3. Investigate market conditions
One of the benefits of working with a REALTOR® is that they will have an idea of this, and if not they have the tools to do the research.  Your REALTOR® will investigate what comparable properties have sold for over the past three to six months.

4. Search and buy within your means
“If the housing crisis has taught us anything, it’s that buying with the expectation that prices will continuously go up — and that if you can eke out the payments each month, you’ll be in a good spot in the long run — isn’t such a good idea.”

5. If you’re waiting for prices to go lower, think again
Real estate is continually changing.  There are many people waiting for prices to continue to drop, but they may be missing out on their dream home.

6. Don’t get too sucked in by appearances
Buyers should keep in mind that many sellers will try to present their homes in the best possible light. Don’t count on items that are in the house when shown to be there after you have purchased the home.  Many times a REALTOR® will have the home staged.  In that case, the “stuff” will be taken out when the sellers leave.

7. Have questions prepared
Be ready to answer questions regarding age of the roof, heating system, hot water heater, windows, etc.  Also be prepared to answer, if the basement has taken water in the time the seller has been there, if there’s a sump pump; and what utilities and homeowner insurance generally cost. If there’s been recent renovation work, buyers should find out if all building permits have been signed off, and if all of the contractors and sub-contractors have been paid in full. If there’s a pool, buyers should ask when the last inspection was done to check the back flow preventer.

8. If you’re thinking of buying a brand new house…
If buying a new house, take into consideration that no one has lived in the home to “test it out”.  If someone has lived in the house, they have been there to know if there is water that comes in the basement when it rains or if there are drafts in the house.

9. If you’re buying a condo, know the rules
Lenders have become more strict in this market.  Some would-be buyers have been turned away from getting financing.  Many lenders want buildings to be at least 50% owner-occupied.

10. Think about a home’s intrinsic value
Is this is an investment decision, consumption decision or both?  Think to yourself “Is this a house where I can see myself raising a family” or “Is this location good for me and my interests”.

To talk with a Prudential Vision Properties agent today, call 573.449.6200 or email info@PrudentialVision.com.

REAL ESTATE!

Single Women Focusing On Real Estate

July 15, 2011 — Realty Times Feature Article by Phoebe Chongchua

In 2010, unmarried women made up 20 percent of all home buyers, according to the National Association of Realtors. That figure is higher than the 12 percent of single men who purchased homes during the same year.

It’s unclear exactly why the discrepancy between single men and women. However, some experts contend that a home of their own and a sense of belonging are two important factors that cause single women to focus and buy real estate.

And those experts are right. The Joint Center for Housing Studies reports that the three main reasons that are driving single women to buy homes now are: relocation for job or family; a larger space; and to have a home of their own (nesting).

The new trend of female buyers is causing builders to add some extra features geared toward attracting single women. New home construction is featuring gourmet kitchens, more security features, and yards that require little or no maintenance.

Of course, the other compelling reason for anyone, including single women, to buy a home, is the historically low interest rates.

Experts understand that buyers are more educated than ever before. They’ve studied the market and generally have a good idea of the type of home and neighborhood they want.

So, what are single women buyers looking for? It’s not solely location that seduces them. Single women buyers want a great location, good price, a property that’s in good condition, and a home that is rentable. It doesn’t have to be new, but it needs to have been given some TLC by the owner.

They want a good price. They’re looking for a price that won’t stop them from enjoying their single lifestyle. Experts recommend that a monthly mortgage should not exceed 28 percent of a borrower’s pre-tax monthly income.

Another interesting point, is that single women buyers are from all different age groups and phases of life. Some are just out of college and pre-marriage, others are divorced, widowed, or never married, and still others have grown kids who’ve left the home (thus a downsize).

That causes this group of homebuyers to pay careful attention to things like rental properties in the neighborhood, proximity to retail and entertainment, and, the all-important concern, would the mortgage payment equal the monthly rent that could be collected on the home?

Single women buyers know that their circumstances may change so they want to be prepared. Making sure that the home can be rented out is often a key interest to this group.

Finally, even though single women are buying homes on their own doesn’t mean that they’ll shop alone. They may visit the property with friends, family members, colleagues, and of course, their agent. It’s likely they’re very savvy, so they’ll be stopping by the home, not once, but probably several times and at different times of the day to get a feel for the home’s exposure to the sun.

As single women focus on real estate, it’s likely we’ll see more builders and sellers catering to the needs of this buying group–and this group is all about getting exactly what they want.

By: Norma Kinder

When it comes to preparing your home for sale in an environmentally friendly way, Kermit the Frog had it wrong. It is easy being green.

With so many home-buyers seeking green features in the homes they consider, sellers should create an eco-friendly atmosphere for the buyer, and that doesn’t always mean costly fixes.

It’s always nice for a home-buyer who’s been touring houses all day to find water or a snack waiting for them in your kitchen. Instead of leaving the customary bottled water, go the eco-friendly route and have a pitcher of filtered tap water at the ready. Add some organic fruits and vegetables and keep trash minimized. Also, use glassware and plates instead of plastic cups and paper plates. This practice is not only green, it shows class.

Talk with your agent about using recycled paper for all your brochures and advertisements around the neighborhood. Someone who is environmentally conscious will appreciate the effort.

Another way to act “green” is during your de-cluttering stage, where you remove furniture and other items from your home prior to the home’s listing. Instead of simply throwing out all those things you no longer want or need, you can recycle, resell at a garage sale, donate to a charity, or give away the items at the popular website Freecycle.com.

Big fixes around the home can go a long way, too. In this age of global warming and high-energy costs, more buyers are looking for houses that embrace energy conservation. The simplest upgrade is to replace all the light bulbs in the home with CFLs (compact fluorescents), which use a quarter of the electricity as regular bulbs.

To help with heating, make sure cracks are tightly caulked and leaks are sealed. Doing so can reduce your annual heating bill by $100, according to Department of Energy figures.

Justin Barnes, a policy analyst for the Database of State Incentives for Renewables & Efficiency, funded by the U.S. Department of Energy, said some of the easiest green fixes deal with appliance replacement. Most of today’s appliances are highly efficient and will reduce your energy bills. They’re also more attractive than their worn-out predecessors.

Barnes also suggests replacing doors and windows if the budget allows, and looking for better ways to insulate the home.

Also consider tankless water heaters, which are energy efficient and ultimately use less water during the heating process.

Don’t be afraid to boast about your green home and any recent enhancements. Working with your agent to highlight your eco-friendly features may just be what makes the difference in completing the sale.

Norma Kinder can be reached at 573.819.9912. Prudential Vision Properties is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.

By: Monique de la Torre

Tight lending guidelines have weighed on the U.S. housing market during its ongoing recovery. Most lending institutions during the past two years raised their credit score requirements to as high as 650, making in nearly impossible for many people to obtain a loan.

Wells Fargo made it a little easier for homebuyers this past year, when the lender lowered its credit score requirements on FHA mortgages.

“Under its new policy, Wells Fargo will accept borrowers with credit scores of 500 to 579 if those borrowers can make a down payment of at least 10%,” said Robert Lentini, a mortgage expert who blogs for the website thetruthaboutmortgage.com. “For borrowers with credit scores of 580 to 599, borrowers must put down 5%. Borrowers with credit scores of 600 or higher can make a 3.5% down payment.”

Quicken Loans, Inc. adapted similar policies— dropping to a minimum 580 FICO score. “There are folks who have steady incomes, and a solid payment history but were temporarily affected by the economy or a life event in some way.

“These challenges can lower their credit score significantly,” said Quicken Loans Inc.’s Chief Economist Bob Walters in a company statement. “We believe that a credit score, on its own, is not the sole arbiter of a person’s credit worthiness. This change will open up credit to a significant group of people and allow them to again have access to purchase or refinance a home.”

Such developments have been welcome news to FHA Commissioner David Stevens, who earlier this year urged lenders to lower their minimum credit score requirements to help the real estate industry as a whole. Stevens said that stringent requirements have constrained home sales by as much as 20% over the past year.

Monique de la Torre can be reached at 573.825.2843. Prudential Vision Properties is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.

By: Kim Coleman

Back in the days before anyone knew better—we’re talking pre-1980—much of the paint used in homes contained lead. Over time, the paint would chip or crumble and the resulting dust caused serious health issues, especially for children and pregnant women.

Lead-based paint was used both inside and outside of homes, most notably on windows, baseboards, trim and doors. Many layers of lead-based paint have been disturbed through the years during remodeling or home repair and it’s necessary for anyone selling a home to be aware of this.

The Environmental Protection Agency (EPA) issued a report revealing that lead can affect children’s brains and developing nervous systems, resulting in reduced intelligence, learning disabilities and behavioral problems.

In a study released by the Department of Health, the agency reported that about 75% of all homes built before 1978 contain some lead-based paint. Furthermore, it’s estimated that more than 38 million homes in the U.S. still contain lead paint.

So, a chief concern of anyone buying or selling a house should be to address the possibility of any lead paint in the home and it’s vital that anyone dealing with paint in older homes treat it as if it is hazardous material.

Real estate agents and their sellers are required to disclose any presence of known lead paint and lead hazards during the sale or rental of housing. The same holds true for renovation and remodeling contractors, who are required to warn customers of the hazards of lead paint.

Last year, the first federal regulation on the remodeling industry was enacted concerning this important hazard.

To ensure that all lead paint is removed safely and effectively, the U.S. Environmental Protection Agency’s “Lead: Renovation, Repair and Painting” rule governing the work of professional remodelers in homes where there is lead-based paint was published in the Federal Register on Earth Day, April 22, 2010.

The law requires that anyone who is paid to renovate a home that was built before 1978 be trained and/or certified to follow lead paint safety practices. The new rule lists prohibited work practices, including open-torch burning and using high-heat guns and high-speed equipment such as grinders and sanders unless equipped with a HEPA filter. It also requires a cleaning inspection after the work is completed.

For homeowners who are unsure about their homes, sometimes it’s easier to replace windows, doors, or woodwork than it is to remove the lead-based paint. This way, all traces of any paint will have been removed from the home.

Agents know that there’s no question that a home is worth more if they can say for certain that it contains no lead paint, so for the peace of mind of everyone involved, deal with all lead paint issues as soon as possible.

Kim Coleman can be reached at 573.864.1905. Prudential Vision Properties is an independently owned and operated member of Prudential Real Estate Affiliates, Inc., a Prudential company. Equal Housing Opportunity.