Month: July 2019

Anyone in the real estate business knows that potential buyers usually ask a lot of questions. A real estate agent will tell you that you’re going to be asked questions about your home and the shape that it’s in for starters. But there are other questions buyers want to know that for sale by the owner party will need to answer. One of the first questions asked is usually about the neighborhood. Buyers want to know about what kind of neighbors you have and whether it’s a quiet neighborhood. This is a sign that they’re looking for something peaceful as well as safe. 

Potential buyers ask about the safety of the neighborhood and that’s understandable. But the problem is that every neighborhood can have issues. If a kid in the neighborhood throws a rock and accidentally breaks a window, that’s not the kind of information they’re looking for. 

They want to know if the sidewalks are safe, if the streets are safe and if there’s a problem such as criminal activity in the neighborhood. You can set their minds at ease by getting a copy of the crime statistics for your area. These are data tools that are free online at various websites. You just have to input your city and zip code. You can also get a copy of the crime statistics from the police department. They can usually tell you if a neighborhood is in what’s called a hot zone or not – which means that they’ve had to handle calls in that neighborhood repeatedly. It also means that there is a higher rate of crime in a hot zone. But by having the statistics, you can simply give a copy to the potential buyer. If the buyer has children, you can give them statistics to show that there are no sexual offenders living nearby. 

Buyers want to know about the quality of the school district. If you’ve had children in the local school, you can give them that information. But there are also online tools that you can use to give them information about schools based on the school’s performance and test results. This way, buyers can compare the success rate of the schools. People may also want to know what kind of entertainment is available nearby. It can be helpful for you to have this information already gathered. You can get a list from your city’s official website of activities, holiday events, festivals and things offered all year long. Have this to give buyers and make sure you include free events as well as ones where costs may be involved. 

Have a list of all the nearby shopping places as well as restaurants. Include quickest routes to these establishments. Being prepared to answer these questions helps to not only sell your home, but it can also help to sell a buyer in the area as well.

You’ve outgrown the house you’re in and find out you qualify for a mortgage that will let you upsize. Or, your kids have flown the nest and you’re ready to sell the family home and downsize – or, you may be a first-time home-buyer and need help deciding what you want. Whatever the reason for purchasing a home, it’s important that you get a feel for what you want so you don’t spin your wheels and waste time – or end up with something you didn’t really want.

Open houses provide a taste of what your lifestyle would be if you decide to buy something similar. Unless the seller still lives in the house the realtor will often stage the homes with furniture and design touches to help you visualize living there.

Attending open houses provide information that will be useful to you when you make a final decision. You’ll get to explore other neighborhoods, check out schools or amenities you’re interested in, and explore the various floor plans available.

If you’re in the market for a fixer-upper, you’ll want to visit foreclosed or short-sale home listings. Be aware that these homes usually need investments of remodeling, fixing existing problems, or replacing appliances. If you have the time, energy, and money to invest in a fixer-upper, it can be a great investment.

The purpose of an open house is to let people see what’s available in a particular neighborhood and entertain the idea of purchasing. But, even though you may not be looking for a home at this particular time, agents welcome those who are just looking.

Always remain loyal to your own agent. When you attend an open house and sign in, indicate that you already have an agent you’re working with. The agent at the open house will appreciate knowing that information and won’t attempt to solicit you to become his or her client.

You should know the etiquette of attending open houses before you begin your search. For example, you should always sign in and indicate whether you’re already working with a realtor or not. When arriving at the open house, feel free to enter without ringing the doorbell or knocking, but always try to meet the agent. Some will take you through the house and show you special features while others will simply let you pick up a flyer and let you see the home on a self-guided tour.

If someone is still living in the home, respect their belongings. It’s not okay to open medicine cabinets and closets and rifle through their things. Always ask the agent if it’s alright to look inside a closed door.

Everyone knows that you should never sign on the dotted line without reading the contract.  This same term applies to loans.  Signing a loan without knowing the terms and what everything means can be detrimental to your finances, credit and future investments.  Before you sign on the dotted line, make sure that you know these terms and how they will apply to you.  

1. Interest rate- The interest rate is the percentage of your loan that is added on every month.  The percentage will vary according to the economy and will make a difference in your payments. 
2. Fixed Rate- A fixed rate will be an interest rate that stays at the same percentage throughout the entire period of your loan.
3. Variable Rate-  A variable rate will change according to the economy and the charts that are stating what the rates should be for interest.  A variable rate usually changes every year and adjusts according to a specific given range of percentages.
4. Principal- The principal is what you will be paying on your actual house.  Whatever you pay on your principal is what you will see in the end as your investment.
5. Escrow- This is similar to a savings account of your loan.  Whatever you put in escrow will accumulate without paying directly into the loan.  At the end of the term you can use it to finish paying off the loan or to invest in another loan.
6. Title- A title will be what you get to your home after it is officially yours, stating that the property belongs to you.
7. Deed- A deed will most often be used as a title for a commercial area.  Instead of giving ownership it shows that the property is leased to the one who is using it as a business.
8. Home Equity- This is a loan or line of credit that you can get for your home.  It will finance up to eight percent of your other loan and get paid back later.  This helps if you want to consolidate loans or invest more into the property.
9. Appraisal- After an inspection of the home is made, an appraisal will be made.  This will be an estimated value of what the home is worth.
10. Equity- This will be the actual amount of the property that you own.  Most likely, it is what is being paid off of your principal amount.

Once you know some of these basic terms, you will be able to expand on your knowledge and find the exact loan that will fit your needs.  These basic definitions will help you in making the right decision for the type of loan that you want.