Better Homes and Gardens Real Estate Life

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  • Listing Your Home for Sale

    Once you have made the decision to sell your home, you must prepare to list it on the market for sale.
    Listing your home for sale involves a number of steps, but before you even begin the process of cleaning and repairing your home to sell, you should develop a detailed home selling plan. Think about the reasons why you are selling your home. Consider when and why you will need to sell your home because these factors play a role in determining your listing price. Also, the market has a significant impact on both the length of time it takes to sell a home as well as the selling price, so it is a good idea to plan ahead when listing your home. Even though a seller cannot control the market, there are other facets of the selling process that can be controlled.

    Other than those who are highly experienced with the process of listing real estate, most home owners turn to a listing agent to sell their homes as quickly as possible. This is because qualified real estate agents are well-practiced in employing strong marketing tactics for their clients. One of the most important influential factors for selling a home is the listing’s level of exposure. It should be well-advertised and visible to potential buyers. Better Homes and Gardens® Real Estate agents specialize in listing homes for sale and are able to streamline the entire process while increasing your chances of closing a deal on your home.

    Simply put, the more exposure a property listing has, the higher the chances of attracting willing and able buyers. For this reason, utilizing the right resources can help you go a long way. A Multiple Listing Service (MLS), for instance, provides a comprehensive record of properties that are currently listed on the market for sale. Better Homes and Gardens Real Estate agents use MLS to help sell your home. A Multiple Listing Service is essentially a database that listing agents use to effectively gather information regarding homes for sale. As soon as your home is entered into the MLS system, thousands of potential buyers’ agents will immediately have access to the listing, which will include important data regarding your home. Without access to the MLS system, a seller must rely on advertising tactics such as yard signs or advertisements in local newspapers, neither of which will provide the amount of exposure that the MLS system does.

    Most of the avenues for advertising your home (e.g. newspaper ads, home listing magazines, etc.) offer a limited amount of space within which you can describe your home. The MLS system, on the other hand, can provide everything a potential buyer may want to know. The listing price, age of the home, square footage of each room, school system, and much more can all be ascertained from a MLS listing. When listing your home for sale with Better Homes and Gardens Real Estate, your real estate agent will utilize a Multiple Listing Service in addition to a variety of other advertising mediums such as home listing magazines, internet listings websites and local newspaper advertisements.

    Trying to sell a home without access to the MLS system is like trying to sell your vehicle with only a “For Sale” sign on the rear window. Few people will see the sign and even fewer will take the time to write down the number. Using a Better Homes and Gardens Real Estate agent who have access to a MLS system will give your home the best chance of selling in a reasonable time frame and at a price that you will be satisfied with.

  • What do in a real estate bidding war

    Bidding wars are common occurrences in the real estate market, especially when it comes to high-end properties in desirable locations. However, regardless of the property or the amount of money involved, it is always a good idea to be prepared for a bidding war.

    Make your offer more appealing
    Generally speaking, you should consider yourself in a real estate bidding war if one or more competitor puts in an offer for a home against yours. There are a number of ways to better your odds in this situation. While focusing your strategy on the price of the home is one method, another approach is to adjust the terms of the agreement. In other words, simplifying the terms of your offer can appeal to a seller if your competition has put in a bid at the same price. In such a case, the seller is likely to choose the buyer with the most agreeable terms, which are also usually the most simplified terms. This could, for instance, include adjustments like limiting the terms that require the seller to cover costs associated with the real estate transaction (e.g. costs of inspections and home improvements).

    Have proof of financing at your disposal
    One of the strongest bargaining chips that you can use to win over your seller is proof of financing. Home sellers would much rather enter into a sales agreement with a buyer who has the funds to make the purchase immediately. Regardless of how much you offer to pay for the home, the seller is more likely to choose a buyer who is actually ready to make the purchase. Unless you’re making an all-cash offer, you should think about shopping for a mortgage months ahead of time. Getting pre-approved for a mortgage is a must if you want to have a chance at a bidding war.

    Contact your seller personally with a letter
    Another tactic when making a bid on a house is to contact the seller personally. This is typically done by writing a letter to the seller with the purpose of convincing them that you should be the new owner of the house as opposed to the other buyers who are involved in the bidding war. This letter is typically delivered by the real estate agent you are working with for the transaction. They will provide a delivery service of sorts to the seller, which is often the best option considering most sellers prefer reading the letters in private.
    Hire a real estate agent who knows how to negotiate

    Lastly, a skilled real estate agent can be an invaluable resource when you find yourself in the midst of a bidding war. They will provide you with their negotiation skills as well as expert advice on how to edge out other prospective buyers. A real estate agent among other industry professionals can provide you with all the necessary tips to not only win a bidding war, but to do so in the most advantageous way. In case you do not win the bidding war, they will be able to provide you with the best actions moving forward. You will have a distinct advantage over other buyers when making a bid on a house by working with an agent you can trust.

    Enter into the market prepared for any situation, including a bidding war. Overall, buying a home can be an exciting experience as long as you are well equipped.

  • Moving out-of-state? Relocation Tips to Help Your Move

    Moving out of state can be a monumental effort given the logistics involved in moving all the contents of your home. Despite the obvious stress involved in moving out-of-state, this can be an exciting experience as it is the beginning of a new chapter in your life. Think of it as an adventure. Of course, even the best adventure requires some preparation, as does a move. To ensure that you have a smooth out of state move, consider the following tips:

    Moving Company – When it comes to moving your belongings, there is more than one option. You can choose a full service moving company, you can choose a hybrid moving company where you select the level of service you need, you can do it yourself. Regardless of which option you choose, be sure to do your research on the moving company thoroughly in advance. Some companies have an established, national reputation; however, they are likely to be the more expensive option. Other moving companies may do just as good a job at lower rates. Your budget should definitely be factored in when making your final decision, but it is also important to work with someone who is both experienced and reliable. Check with the Better Business Bureau and/or the Federal Motor Carrier Safety Administration to make sure the moving company is licensed, insured, and accredited.

    Protecting Valuables – Although many moving companies offer guarantees and “in-house” insurance coverage, there are other ways in which you can protect your valuables as well. One way is to simply purchase a separate moving insurance policy. Your homeowner’s or renter’s protection policy may not offer moving protection or offer you the option to add moving insurance, so it is a good idea to check and see what coverage you have – you might need to purchase additional insurance for your move. Regardless of what type of insurance protection you choose, you should also take a few additional steps. Start by making a thorough list of your belongings that notes the item, the approximate value, and which room it belongs in. You can even go one step further by taking photographs of all rooms and close-ups of particularly valuable items.

    Transporting Vehicles – Again, you have more than one option. Driving the vehicle yourself is, of course, an option; however, not a very attractive one if you are moving across the country. If you chose to go the “do-it-yourself” route, then you can also rent a trailer to haul your vehicle along with your household belongings. This can add to the expense of the move and will not be practical if you own more than one vehicle. The easiest, though typically the more expensive option, is to use an auto transport company. The more flexible you can be with time, the lower your price will likely be. While schedules and procedures vary among companies, plan on at least 5-7 days for your vehicle to make it to your new location. As with moving companies, be sure to check the licensing and accreditation of a potential auto transport company.

    Relocation Services – if you simply do not have the time, or the inclination, to coordinate and oversee your interstate move, a relocation service may be your best bet. Relocation services essentially do everything for you from helping you find housing to arranging a mover. Often, large companies offer relocation services to employees who have been transferred to a new office. There are also numerous private relocation services that will handle all the details of your move for you for a fee.
    These tips should help you limit the stress involved in your out-of-state move so that you can focus more on the adventure of moving to a new place!

  • Which Type of Moving Service is Right for Your Move?

    If you are planning a move in the near future, one of the first decisions you must make is which type of moving service you plan to use. Moving companies come in three basic varieties – full service, “do-it-yourself”, and hybrid “partial” service movers. Along with the three basic options, there are also specialized moving companies that offer services for unique or difficult moving scenarios. Understanding your options will help you decide which type of service best suites your needs.

    Full Service Moving Companies

    As the name implies, a full service moving company handles your move from start to finish. They will typically pack your belongings at your current home, load them onto the truck, transport them to your new location, unload them, and unpack them. In addition, they may inventory and insure your belongings against damage, theft, or other unforeseen losses. Not surprisingly, this option is also likely to be the most expensive but also the least stressful and usually the most secure method for moving your belongings. Because these movers are professionals, there is less chance that something will be damaged. In addition, you can usually count on your belongings being at your new home on the date promised.

    “Do-It-Yourself” Moving Companies

    At the other end of the spectrum is the “do-it-yourself” option. With this option, you rent a truck and handle all of the details yourself. You will need to pack, load, transport, unload, and unpack your belongings. Although the rental company may offer insurance, you should check into purchasing a separate policy as it may be less expensive and offer better coverage. Although you will have the additional expense of purchasing gas and insurance, this option is usually significantly less expensive than a full service moving company. The downside of not working with professionals though is that there is a higher likelihood of damage to belongings and an increased chance of a delay that causes your belongings to be late arriving at your new home.

    Hybrid Moving Companies

    In between the two extremes are a number of “partial” services moving companies that are gaining in popularity. Typically, with this option you will handle the packing and unpacking of your belongings. You may also be required to load and unload the truck or container. Frequently, the moving company is only responsible for the actual transport of your belongings. A popular twist on this option involves the moving company dropping a container at your home which allows you all the time you need to fill it before it is picked up for storage or transport. The cost of this option is usually less than a full-service moving company but more than a “do-it-yourself” option.

    For more unique moving needs, you can even find a moving company that will move your entire home – literally. Structural moving companies will pick up your home and move it to a new location. You may also need to look into air transport or freight trains if you need to move an unusual or unique item. For an international move, you will likely need to check into shipping your belongings via ship which often requires you to pay hefty import taxes and tariffs in the new country.

    Finally, if you have the option to rely on a relocation service through your employer, consider doing so. Relocation services handle all of the details of your move for you from finding you new housing to moving your belongings from point A to Point B. If your employer does not offer relocation services, there are private companies that will perform the service for you for a fee.

  • Ask a Pro Q&A: Saving a Waterlogged Lawn

    Welcome to another installment of Ask a Pro! Today we are talking to Dream Team member and outdoor design expert Carson Arthur! Let’s see what he has to say about saving a waterlogged lawn!

    Waterlogged_Lawn

    Q: I have a large back yard. Most of the time it is waterlogged and mosquito infested, making it very difficult to maintain (hence the overgrowth and weeds). Now there is a very stinky type of mushroom taking over. How can I make my yard more hospitable and owner friendly?

    -Sandra C.

    A: Soil 911! Sandra, you officially have drainage issues!  Surprise!  I know that this isn’t a shock to you after what you’ve described, however it is significantly worse than you probably think. “Oh NO!” The hard facts; that putrid smell and the fact that you are now growing mushrooms means that your soil is starting to rot.  If you don’t get in some proper drainage solutions, then you will eventually end up with a real swamp…and yes, I really mean a true swamp (minus the gators). The inability to dry out your soil is leading to decomposition causing the smell, the fungus and soon probably mosquitoes and frogs.  Unfortunately, its time to get professional help for this. You’re going to have to invest in your yard to fix the problem. There are several options to having it fixed which means you can get a few different quotes, but don’t delay. This problem may temporarily go away if we get a dry summer, but it will keep coming back…and the smell just gets worse

    -Carson A.

    Do you have a question that you would like to ask one of our pros? Simply submit your question by using the “Ask a Pro” form on this page! We will get back to you with an answer as soon as possible!

  • Closing on a Home in New York

    If you have finally found your dream home in New York and have successfully negotiated the purchase contract, you are just one step away from home ownership. The final step for a buyer or seller in a real estate transaction is the closing. Although the closing process is similar in all states, there are some differences as well. Understanding what to expect from your New York real estate closing can help you better prepare for the big day.

    A New York real estate closing can be quite a production. Much of this reflects the fact that New York homes for sale are often some of the most expensive real estate in the country. Consequently, the amount of money changing hands at a closing in New York is often significant, even for a relatively modest home. As a result, closing costs in New York are among the highest in the country. For example, average closing costs on a $200,000 loan in New York for 2012 run $5,435. Exactly who pays these costs will depend on the terms of the contract you negotiated for the purchase of the home. The lender fee, attorney fees, and title search and insurance fees are among the more expensive costs incurred when closing on a home in New York. One thing that drives up the closing costs in New York is the number of attorneys typically present at a closing. Although anyone involved in a closing has a right to bring an attorney with them in any state, it is more common in New York than in other states. Both the buyer and the seller, as well as the lender, usually have legal counsel present at the closing.
    At a New York closing, the buyer is usually required to be present to sign all the necessary loan documents; however, a seller may elect to sign all of his or her required paperwork ahead of time and allow an attorney to represent them at the closing. In rare circumstances, a buyer may be represented by someone else pursuant to a Power of Attorney.

    While each closing is unique, there are some common forms and documents that will be used at a closing in New York, including the following:

    • Truth in Lending Statement—a form required by the federal government that shows you what the true cost of financing your home
    • HUD Statement—a form required by the Department of Housing and Urban Development if the buyer is using a conventional mortgage which lists the amounts paid and received by the buyer and seller
    • Closing Statement—a statement that shows exactly how the money was applied at the closing
    • Mortgage Note—the document the buyer signs representing the promise to repay a loan if financing the home

    As a general rule, the documents needed for closing on New York homes for sale will be prepared by the appropriate attorney. Whether you are the buyer or the seller, you will have the opportunity to review these forms prior to the day of closing. Along with the documents you have reviewed, you may also be required to bring other documents or forms to the closing. Most importantly, you will likely need to bring certified or cashier checks that represent your share of the closing costs. Again, you should know ahead of time exactly how much the checks should be written for and to whom they should be made out to.

    Taking the time to understand the New York closing process and preparing appropriately should make the entire process run much smoother when the day arrives.

  • Moving to a New Home in the Summer!

    The summer season is often when people’s thoughts turn to moving. For families with kids, the summer is a great time to transition into a new home, especially if you’re relocating to a new school district.  If you are planning a summer move, here are some tips specific for the season.

    Beat the Heat and Start the Day Early  

    When moving to a new home in the summer, the earlier you can start, the easier it will be for your helpers. Because it is difficult to work under the heat of the sun, you want to complete as much of the move as possible in the morning. While there are many factors that will dictate how early you can start, the earlier the better because the day will get progressively hotter as you go.

    Set up Your Utilities Before the Move

    It’s always a good idea to set up your utilities before moving into a new home, but in the summer, this is even more important. You and your moving crew will appreciate the comforts of your air conditioner when it comes time to unload all your boxes and large furniture pieces. If you plan on arriving at your new home later in the afternoon, consider heading to your new home early to set  the air conditioner so that it can be can be nice and cool when you arrive. In addition, for those who are moving to a single family house, you want to make sure to start your water service before your move in date. Not only will you will need to keep everyone hydrated, you will also want running water if anyone needs to use the restroom during the move. What’s more, imagine not being able to take a cool shower after a long, sweaty day of moving!

    Keep Your Help Hydrated

    If the temperatures are very high on your moving day, consider preparing a box of bottled water and some ice to keep your movers hydrated. Even if you have the air conditioning blasting in your new home, it will still be warm outside, and moving is by no means an easy task. Your movers will be doing manual labor, so you want to give them something to drink to keep everyone healthy and in good physical shape.

    Plan for the Kids

    If you have kids, you will need to make plans for them during the move. Since it’s summer break, you won’t be able to send them to school, so you’ll need a babysitter for kids who are too young to provide any real help during the move. To avoid an expense (and to have the comfort of knowing that your kids will be with someone you trust), consider reaching out to your close friends or family who are parents themselves. You can even set up a play date with your children’s friends and their parents so that they can have some fun, and you can have peace of mind.

    If you have no option for outside childcare, set up a room in your home to serve as the playroom on moving day. Keep the kids in one room and provide a small TV with some new DVDs or some toys that you can unpack first. This is not the ideal situation, but it may help prevent having kids underfoot and in danger. Here are some more tips for moving with young children.

    Keep Your Pets Cool

    Like your kids, your pets are going to be need some special attention on the move in day, especially during the summer. On a hot summer day you probably don’t want to leave them in the yard all day, plus one of your helpers might leave the gate open while moving in your furniture. Since your pet will not recognize your new house as its home, this is a recipe for a runaway. Most veterinary clinics offer temporary kenneling you can use for your pet for the day. A doggy daycare is another excellent option to consider.

    Moving in the summer can be convenient, but it requires a little bit of extra planning. Keep these moving tips and advice in mind if you are moving to a new home this summer.

     

  • Making an Offer on a Home Purchase

    One of the most exciting parts of purchasing a new home is finally making an offer on a home that you have picked out. Making an offer should only be done after careful consideration of all the factors that go into making a home purchase and with the help of your Better Homes and Gardens ® Real Estate agent.

    Deciding what to offer on your home purchase is an art form. Many factors go into what a home is worth and therefore what you should offer for the home. The market itself will play a significant role when it comes time to making an offer. In a seller’s market, for example, you may need to start with an offer that is at or above the asking price. Buying a home is a lesson in basic supply and demand. When there is very little supply, and considerable demand, the seller knows that he or she can likely get full price–or more– for the home.

    On the other end of the spectrum, when supply is high, and demand is low, a buyer’s market is created. In this case, you may be able to start well below the asking price and wait to see if the seller counters your offer.  If the home has been on the market for a considerable amount of time, or the seller is otherwise motivated to sell , the seller may very well accept a relatively low offer without a counter offer .

    When the market is not clearly tilted to one end of the spectrum, you may decide to go in at the asking price if you feel there will be some competition for the home purchase. Making an offer at full price may give you a better chance of getting the home of your dreams without paying too much.

    Along with the asking price, there are other terms of an offer that are negotiable, such as who will pay the closing costs, whether or not a home warranty is provided and the targeted date for closing on the property. Sometimes, you may decide to offer more but ask the seller to pay closing costs. If you are not in a hurry to take possession of the property, you may negotiate a later closing date and offer less for the home. All of these are negotiable and should be discussed at length with your Better Homes and Gardens Real Estate agent prior to putting an offer in writing to make sure that you fully understand each aspect of the offer.

    Once you have submitted the offer, be prepared to wait and to negotiate. Even 24 hours can seem like forever when you are waiting for a response. Don’t be alarmed if your first offer is not accepted as is — most sellers want to negotiate. With the help of your real estate agent, your dream of owning a home will soon come true!

     

  • Congratulations! You Just Opened Escrow. Now what?

    After years of working hard, saving your earnings and building your credit history, it is finally time to purchase your dream home, and the very last steps lie in the escrow process. However, if you’ve never used an escrow before, it can seem quite confusing.  Understanding the purpose of an escrow and how the escrow works will help make the process of buying a first home seem less intimidating.

    Basically, an escrow is used for the protection of all the parties involved in the real estate transaction.  For most, the purchase of a home will be the single biggest purchase of their lifetime. Large sums of money will change hands when you buy real estate, which is why an escrow company is hired to implement the transaction according to the terms of the sales agreement.  Purchasing a home also involves a significant amount of paperwork. Important legal documents that must be signed and filed in a timely manner to ensure that the sale goes through without a hitch. The escrow officer also takes possession of all the documents involved in the sale to ensure that the necessary paperwork will be completed and filed at the right time and in the right place.

    If you’ve just opened escrow, and are now wondering what will happen next, here is an introduction to the escrow process timeline. Although not all home purchases follow the exact same escrow process timeline, the following is a common step-by-step glimpse into the process:

    1. Appraisal. The lender will do their own appraisal to ensure that the agreed upon purchase price is not higher than the home value.
    2. Financing. You may already be pre-approved or pre-qualified for a loan; however, once you have decided on a specific property the lender will prepare a “good faith estimate” that details the loan amount, monthly payments, interest rate, and closing costs.
    3. Disclosures. The seller must provide you with a written list of any known problems with the home.
    4. Inspections. You will need to have a certified home inspection as well as other inspections that are required by the lender such as a pest inspection or a flood inspection.
    5. Insurance. Your lender will require you to provide proof of homeowners insurance. You may also need additional insurance, such as flood, earthquake, or hurricane insurance depending on where the home is located.
    6. Title report/insurance. The seller must have a clear and unencumbered title to the home in order to sell it to you. A title report looks for things such as liens that would prevent a clear title. You may also need to purchase a title insurance. Title insurance protects you if something is overlooked during the title search.
    7. Final walk through. This is done to make sure nothing has changed since you made the purchase offer and that items such as appliances or window treatments are left behind if they are part of the purchase agreement.
    8. HUD forms. This will arrive just before the closing and is the final statement of loan terms, fees, and closing costs. Review it for mistakes.
    9. Close escrow. This is when you close on the home. You will sign lots of documents and will likely need to pay costs related to the sale other than the purchase price. The lender will transfer the remaining purchase money and your escrow funds will be released by the escrow agent and applied to the purchase price.

    Working with an experienced real estate professional is highly advisable when buying a first home to ensure that the escrow process timeline proceeds in a smooth manner. For more information about how to navigate the escrow process, contact one of our Better Homes and Gardens Real Estate professional today!

  • What a New Home Buyer Should Consider When Making an Offer

    Home buying, for anyone, is usually a complex and lengthy process. If you are a new home buyer, meaning you have never been through the process of purchasing a home before, it can be a bit intimidating – particularly when it comes time to make an actual offer on a home. Although each home search is as unique as the buyer who is home buying, there are some factors that are frequently considered by both a veteran and a new home buyer when drafting an offer to purchase.

      • Fair Market Value – The fair market value, or FMV, of a home is an estimate of the home’s value based on what a knowledgeable, willing, and unpressured buyer could/would pay in the current market. Various factors will go into determining the FMV such as what similar homes in the area have recently been sold for or are currently listed at.
      • Comparative Market Analysis – This is usually done by a real estate agent for a seller before the home is listed for sale. A Comparative Market Analysis examines real estate that are all comparable in their lay out, size, and condition. Depending on how long the home has been on the market, the CMA may not reflect the current fair market value (FMV) of the home. Moreover, because a comparative market analysis will likely be done by the seller’s agent, it may reflect a “top of the market” price, not the price that a buyer should use to begin negotiations.
      • Terms of Your Offer – Before you sign on the dotted line, make sure you understand everything that is stated within the offer to purchase. This is of particular importance if you are a new home buyer. Once the seller accepts your offer, you should probably expect to close on the purchase agreement and seal the deal.  To avoid entering into a binding agreement that you will regret, you want to consider working with a real estate agent when drafting your offer.  Also, note that most offers include several contingency clauses (contingency clauses require that certain conditions must be met in order for the transaction to become final). Common contingency clauses include: financing, inspection, clear title, and appraisal contingencies.
      • Inspection – In order to protect yourself from buying a property with major structural or functional issues, you want to have the home inspected. Many buyers include an inspection contingency clause in an offer to purchase and have the inspections after the home seller accepts the offer. This allows the buyer to be released from any legal obligation to purchase the home if an inspection shows significant problems with the property.
      • Financing – Before submitting an offer to purchase, a buyer should consult with a lender to be certain that he or she will qualify for the financing necessary to complete the purchase.
      • Possession – Not only must you decide when you need to take possession of the property, but also when the seller can actually give you possession. Sometimes, for instance, a buyer needs to get into a home on a date prior to when the seller is able to vacate the home, which may require the buyer to make temporary housing arrangements or require some flexibility on the part of the seller.
      • Flexibility of the Seller – Determining how much flexibility a seller has prior to making an offer can maximize your chances of closing the deal. For example, is the seller being relocated by his or her employer and, therefore, in a situation where he or she must sell the home immediately? Are you operating in a buyer’s market, meaning that the seller likely knows that he or she needs to be flexible when reviewing and negotiating an offer?

       
      By taking the time to contemplate each of the above-referenced factors prior to making an offer to purchase, your home buying experience should be smoother and, ultimately, more beneficial both financially and personally.