Selling Your Home: Easy Things You Can Do To Help It Sell Quicker

Once you’ve decided that you want to sell your home, you want to make sure that it does not sit on the market for too long.  Getting a good agent will definitely help you with that, but before you talk to an agent, here are a few pointers regarding things YOU can do that will help you sell your home quickly and efficiently. 

The squeaky back door.  Fix it! While you may find the squeaky door reminds you of holidays past and family gatherings, potential buyers see that as one more thing that “needs work.”  Take a slow, long, deliberate look at every room in your house and address all small repairs that need to be done.  We’re not saying reface the kitchen, we’re saying fix squeaky doors and screens, maybe touch up the paint where it’s been scratched, fix the “little” things that may send a signal to a buyer that maintenance may be an issue.

Your grandpa’s stuffed deer head.  Pack it! Family heirlooms and knick knacks and things that cause clutter must be eliminated.  You’re trying to sell your house to move, so start packing early.  Get rid of things that fill up the living space in the house.  You want to make your potential buyers feel like they are in a big, open, airy home; not YOUR home.  Make it easy for buyer to walk around and see all the beautiful parts of your home.  They don’t need to see your silver Tiffany spoon collection in its display case.  Besides, always hide valuables before an open house!

Along with Grandpa’s deer should go the life-size family portrait from the reunion at Disneyworld!  Everyone has a family, and we’re sure yours is beautiful; but your open house is NOT the place to show off your extended family photos.  When Buyers are viewing your home, they are trying to picture their OWN family photos and artwork on your walls.  Help them see their belongings in your home, by giving them more to work with.  Limit your decorations to isolated and bold objects and let your buyer’s imagination do the rest.

Bust out the gloves and cleaning supplies.  Now that you have taken down some of the art and cleared away the knick knacks, you’ve revealed a lot more of your home’s inner beauty.  And some of it, has been hidden for a while, so it may be dusty! We suggest you get your home as close to immaculately clean as possible.  The cleaner and more fresh-smelling your home, the more pleasant emotions you evoke in your potential buyers.  No buyer wants to buy the “doggy breath” house.  Make sure to pay extra attention to pet-worn areas. Your buyer may not have the same love of canines as you, and that’s ok! So make your home shine!

Don’t forget to look down!  Flooring is one of the first things a potential buyer will notice about your home.  Don’t spend lots of money installing new flooring, but make the best of what you’ve got.  Pack up area rugs and mats, and make sure the floor is definitely clean. 

All the world’s a stage, and your home is NO exception!  Staging has become a key factor in home sales.  Staging allows the best features of each room in your house to stand out.  You can get help from a decorator or try to do it yourself.  Maximize views and play up focal points in each room.

Roll out the red carpet. Your home is going to be listed on a listing service (if your agent is any good) but the first thing potential buyers will see is a picture of your home, from the outside.  So, we suggest you roll out the red carpet, and pay some attention to your landscaping and the exterior appearance of your home.  This is what is going to make a young couple on a weekend house hunt yell “STOP!” to their agent when they drive by; and it’s also what is going to get a person searching the internet and seeing the picture want to make an appointment for a showing.

With this advice, and the help of a good agent, you will surely be able to sell your home faster and easier than you ever thought possible.

 

 

 

Mitra Karimi-Paydar

Crestico Realty

(310) 362 - 0828 (TEL)

(877) 881-2929 (FAX)

mitra.karimi@crestico.com

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Loan Modifications: What Are They and How They Work

What is a Loan Modification?

Loan Modifications are something you have been hearing much about lately.  Often, the people advertising these modifications do not explain the process clearly before they gather your information.  Here is an easy to understand explanation of what a Loan Modification is.  

Basically, a Loan Modification (called Loan Mod, for short) is a process that an attorney or other real estate professional will use to “modify” the terms and conditions of an existing loan.  Currently, most of these modifications are being applied to mortgages, but could potentially be applied to any type of loan.  This modification in terms generally only takes place AFTER the issuer of the loan (the lender) has granted approval to do so.  Approvals are generally based on comprehensive review and consideration of all material factors.

A common reason for the request and subsequent approval of a modification arises from some sort of financial hardship that affects the borrower’s ability to repay the loan.  In the current economy, where layoffs are becoming more prevalent and more and more borrowers are entering the many stages of foreclosure, many borrowers are facing very real and legitimate hardships that severely impact their ability to repay their loan obligations. 

When lenders are considering granting modification approvals, they will often consider the borrower’s payment history and standing with respect to the subject loan.  Most borrowers are diligent and make the appropriate payments in an appropriate manner.  This will often help the lender to choose to allow a modification rather than institute a foreclosure.  The foreclosure process is a timely and expensive method for recovering the property.  Also, it should be considered that in the current market, lenders have many properties that are non-performing, which is to say that they have been foreclosed or abandoned, and modification may be the lender’s only option to keep a borrower paying.

Another factor lenders consider in granting approvals is, should such approval be granted, will the borrower be able to begin and continue making payments in a timely fashion under the new terms.  Generally, to secure a modification, a borrower must be able to demonstrate some ability to overcome the current financial hardship and ensure that he/she will be able to pay back the loan in an acceptable manner.

Modifications may take shape in different forms.  Once a lender has decided to grant approval, this approval may be either to lower the monthly payment amount, thereby making it easier for the borrower to stay current.  In this case, the difference in the amount of the payments will be added to the “back end” of the loan, thereby extending the term of the loan.  Also, a lender may decide to lower the interest rate on the loan, thereby reducing the payment with no addition to the total loan amount, lowering only the amount of interest paid. 

 

 

 

 

Mitra Karimi-Paydar

Crestico Realty

(310) 362 - 0828 (TEL)

(877) 881-2929 (FAX)

mitra.karimi@crestico.com

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Realtor vs. Real Estate Agent: What's the difference and How to Choose one?

Before someone can hold him or herself out as a “Real Estate Agent,” he/she must be licensed by the state in which he/she plans to work, either as an agent/salesperson or as a broker. Before a license is issued, minimum standards for education, examinations and experience, which are determined on a state by state basis, must be met. After receiving a real estate license, most agents go on to join their local board or association of REALTORS® and the NATIONAL ASSOCIATION OF REALTORS®, the world's largest professional trade association. They can then call themselves REALTORS®.  An agent may still practice Real Estate without being a REALTOR®, however this means that the agent has not completed the steps in becoming a REALTOR®.

As a consumer, you are not bound to choosing only REALTORS® or Agents, you may work with either.  There are many excellent agents that are not REALTORS®, however read on to discover some strategies in choosing the best REALTOR® or Agent for you.  Real Estate Agents, whether REALTORS® or not, are bound by certain legal obligations. Traditionally, Agents must consider and weigh your interests ahead of anyone else's; maintain the confidentiality of your information; obey your lawful instructions; be responsible for reporting anything that may be useful or of consequence to you; and account for any money involved in your transaction.

A REALTOR® is held to an even higher standard of conduct under the NAR’s Code of Ethics. In recent years, state laws have been passed setting up various duties for different types of agents. As you start working with a REALTOR®, ask for a clear explanation of your state's current regulations, so that you will know where you stand on these important matters.  The term "REALTOR®" is a registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics (which in many cases goes beyond state law). In most areas, it is the REALTOR® who shares information on the homes he or she is marketing, through a Multiple Listing Service (MLS). Working with a REALTOR® who belongs to an MLS will give you access to the greatest number of homes.

 

 

 

Mitra Karimi-Paydar

Crestico Realty

(310) 362 - 0828 (TEL)

(877) 881-2929 (FAX)

mitra.karimi@crestico.com

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What Is The Difference Between a Real Estate Agent and a Realtor and Which is Right For You?

In making your decision to work with an agent, there are certain questions you should ask when evaluating a potential agent.
First, you should find out (by asking him/her) whether he/she is a REALTOR®. The term "REALTOR®" is a registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics (which in many cases goes beyond state law). In most areas, it is the REALTOR® who shares information on the homes he or she is marketing, through a Multiple Listing Service (MLS).
Next, get to know a little about your potential agent's license. In California, you can go to www.dre.ca.gov and do a "license check." This means you can see whether this person (a) has a license, (b) has a license in Good Standing and (c) who is the Broker that your agent is affiliated with. All of this information can be quite useful. Odds are that you do NOT want to work with someone who has a questionable past or too many open complaints or inquiries. In this day and age of rampant fraud and dishonesty, and with the mortgage crisis we are currently in, it would certainly be in your BEST interest to make sure your agent's license is CLEAN!
Next, find out about your agent's access to the Multiple Listing Service (MLS). If he/she is a Realtor® most likely, he/she has access to the MLS in your desired area. If not, you may want to ask him/her to get than access before you agree to use him/her as your agent. A good agent will go to any length to secure your satisfaction. The MLS can be quite useful in helping you to locate your dream home.
Now that you know about his/her license and all that he/she has access to, it is time to find out a little about your actual agent. Remember, this is a person you are going to be working quite closely with for an extended period of time. Many escrows are generally 30 days, and some, especially those for REOs are even longer. Remember, you do not enter escrow until after you have found a home, and sometimes it can take weeks to find the right home, so you want to make sure you are working with an agent that you are pleased with. In order to get to know your agent better, you want to ask him/her if real estate is his/her full time career. An agent who is not fully committed to his/her career, probably cannot be fully committed to your house hunt, either.
Additionally, you will want to find out if this person whom you may be considering as a potential agent, is in fact the seller's agent, as well. What does that mean? Let's say you go to an open house and there is a nice agent there who is extremely helpful and friendly. Now let's say this friendly agent asks you if you have an agent and you say "no." This person will want to be your agent. However, keep in mind, this agent is the Seller's agent, which means that he/she is the Agent who is trying to sell the home you are viewing. You will want to be careful about what kinds of confidential information you give this agent, because he/she has a fiduciary duty to his/her client (the homeowner.) So, it may be in your best interest, to find your own agent so that you can have someone purely interested in YOUR best interest, ONLY.
Finally, before making a final decision regarding an agent, you should ask the prospective agent HOW he/she plans to help you find your dream home. Ask him/her about his plans, you are entitled to know how your agent wants to go about making sure your future home has all of the things you do want and none of the things you do not want.

Realtor(R) vs. Real Estate Agent: What's the difference and What does it mean to you?

Realtor vs. Real Estate Agent: What's the difference and How to Choose one?

Before someone can hold him or herself out as a "Real Estate Agent," he/she must be licensed by the state in which he/she plans to work, either as an agent/salesperson or as a broker. Before a license is issued, minimum standards for education, examinations and experience, which are determined on a state by state basis, must be met. After receiving a real estate license, most agents go on to join their local board or association of REALTORS® and the NATIONAL ASSOCIATION OF REALTORS®, the world's largest professional trade association. They can then call themselves REALTORS®.  An agent may still practice Real Estate without being a REALTOR®, however this means that the agent has not completed the steps in becoming a REALTOR®.

A REALTOR® is held to an even higher standard of conduct under the NAR's Code of Ethics. In recent years, state laws have been passed setting up various duties for different types of agents. As you start working with a REALTOR®, ask for a clear explanation of your state's current regulations, so that you will know where you stand on these important matters.  The term "REALTOR®" is a registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics (which in many cases goes beyond state law). In most areas, it is the REALTOR® who shares information on the homes he or she is marketing, through a Multiple Listing Service (MLS). Working with a REALTOR® who belongs to an MLS will give you access to the greatest number of homes.

As a consumer, you are not bound to choosing only REALTORS® or Agents, you may work with either.  There are many excellent agents that are not REALTORS®, however read on to discover some strategies in choosing the best REALTOR® or Agent for you.  Real Estate Agents, whether REALTORS® or not, are bound by certain legal obligations. Traditionally, Agents must consider and weigh your interests ahead of anyone else's; maintain the confidentiality of your information; obey your lawful instructions; be responsible for reporting anything that may be useful or of consequence to you; and account for any money involved in your transaction

How To Choose The Best Real Estate Agent For You

How To Choose The Best Real Estate Agent for You

The real estate industry can be a very tricky one to navigate, especially if you are a newcomer or a first time buyer. As with any other major life decision, it always helps to have guidance and expert advice. However, finding the RIGHT person to provide this for you can seem tricky. Read on for tips on how to choose the right agent and determine if he or she is the best for you.

Finding an agent is not a difficult task, however finding a GOOD agent amongst the many agents you hear about can be a little trickier. A good place to start is with your immediate social circle. Begin by asking for recommendations from people who recently sold and/or bought a home in your area or call a realty office and the manager to recommend an agent who specializes in your type of property and community.

Once you have an agent, get to know him or her a little better, establish a trusting and honest relationship with this person, since you will be counting on him or her a lot during this process. Next, put together some information about your property, highlighting the features and best qualities, especially those that may not be obvious at first glance. Doing this with your agent will help him or her to write the best listing for your home. If you are buying, work with your agent to establish a list of qualities and features you will be seeking in a home. This way, your agent can select the most appropriate listings for you to view.

When talking to your agent, ask him or her how he/she would establish a price and what his/her plan would be for marketing your home. Ask about his/her strategies and networks and contacts. For Buyers, ask about the agent's past experiences in the area or with the type of home you are seeking. All of this information will help you to determine whether your agent will be able to provide you the level of service and customer care that you will need.

If you are unsatisfied with the agent's plan or personality, thank the agent for taking the time to meet with you, and repeat the process with another agent. Do not "settle" for an agent. Seek out the BEST agent for you. Your agent should be pleased to work with and for you and you should not feel like you are imposing on him/her. Remember, your agent will need you to be a satisfied customer because in our industry, business grows the best through word of mouth. So make sure you have an agent that will leave a lasting and positive impression on you and anyone you may refer him/her to!

Once you are pleased with your agent and have made a final selection, make a commitment. Commit yourself to this agent and that agent will commit to you. Relationships are the most valuable commodity in this industry and sometimes they take work. Your agent is a person just like you and will do his/her best to make you happy as long as you communicate your needs to him/her clearly.

Foreclosure Moratorium: Good or Bad?

Foreclosure Moratorium: Good Thing or Bad Thing?

Today, the news reported that foreclosure figures were down for the month of January. The Riverside and San Bernardino areas of California have been some of the hardest hit areas when it comes to struggling homeowners and foreclosures. Record numbers of defaults and foreclosures have been reported. Press Enterprise reported that there were 17,629 foreclosure-related actions in Riverside and San Bernardino counties in January, according to a report released by RealtyTrac, an Irvine-based firm that markets properties online. That is 8 percent less than December in the two Inland counties but about 40 percent more than January 2008. Recently, mortgage giants, Freddie Mac and Fannie Mae imposed a moratorium on foreclosures, effectively barring lenders from foreclosing on any properties.

Although this may sound like a good thing, it may not be. Stopping foreclosures with a moratorium, may not be the answer to our mortgage crisis. Even though the numbers of foreclosures have been reduced, this reduction may not necessarily lead to the solution of the crisis because moratoriums often add costs to the foreclosure process and leave servicers and borrowers with effectively "bigger" bills to pay. Additionally, moratoriums result in impediments on statutorily required actions like sending breach letters, notices of default, and debt accelerations.

Not allowing foreclosures to take place does not save homes where the property has been abandoned, converted and is not profitable, damaged, subject to code violations, and where borrowers may have sufficient income to pay their loans but choose not to because of the moratorium. Delaying foreclosure in these aforementioned cases will not only result in higher costs for servicers and borrowers but will also lead to the deterioration of the properties.

Furthermore, one definite side effect of moratoriums is an increase in the number of delinquencies and defaults. A moratorium essentially motivates the faltering borrower to stop making payments. Borrowers who were once stretching, working more hours, adjusting their lifestyles and even liquidating assets to make their mortgage payments to avoid foreclosure now have no motivation to pay their mortgages. Also, these borrowers will then face an increased risk of never being able to recover from their situations. As more penalties and fees are incurred and increased motivation is provided to stay delinquent, the chances for recovery become increasingly reduced.

Another unintended side effect is the undue pressure that will be put on the servicing companies of these loans. The cost to continue to advance principal, interest, tax and insurances payments during the time that borrowers are not paying will cause severe financial hardships for these companies, especially since they do not own the loans, but merely service them.

Ultimately, while the words sound like they hold the answer to the current crisis we are facing, one must look deeper into the proposed "solution" and truly reveal the impact that this "solution" will have on our society and economy. To further distress already distressed parties, in my opinion, would not present a solution to our crisis. While a moratorium is a good first step, it is only beneficial if we use the time to seek and find other answers to our problems that would result in actual positive results.

How Does Your Real Estate Agent Get Paid Commission?

Real Estate is an industry thought by many to be highly lucrative and high-paying.  But have you ever wondered HOW exactly your agent will be paid? You are often approached by agents trying to convince you to list your home with them, or allow them to show you some nice homes to buy.  Read more to find out how your agent will be compensated and from where.   As a prospective homebuyer, it would be in your best interest to understand this compensation process.

The standard compensation structure for Real Estate Agents is that he/she will be paid commission, based on the selling price of the property you are interested in.  While commission rates are not standardized, the process in which they are disbursed is consistent.  When a seller signs a listing agreement, that contract is with a brokerage firm. All fees must pass through that brokerage firm. Typically, the seller's and the buyer's agent will be paid by the listing broker after the transaction closes.  When a property is listed for sale, the seller's contract spells out the commission rate that will be awarded to a buyer's agent.

Often, many people often try to avoid using real estate professionals so that they may avoid paying commission fees.  However, I would warn against this because of some of the potential pitfalls.  Unrepresented sellers (for-sale-by-owner properties) often do not have enough information about how to price the home, and sometimes try to raise the price instead of paying a real estate commission.  Also, as an unrepresented buyer, it will be much more challenging and difficult for you to determine if the asking price is reasonable and whether or not you are overpaying. Real estate agents have developed insights that go well beyond simply evaluating data through the Multiple Listing Service (MLS). And if you are overpaying, it will create further complications in securing financing, because of potential lender requirements.

Real estate professionals play a vital role in helping you achieve the dream of owning your own home.  Beginning with helping you tour and select properties and then guiding you during the negotiation phase and finally seeing it through inspections, financing and closing, the services your Agent will provide you are priceless. This is especially true in today's market, where alternative buying opportunities, including short sales and REOs make it even more difficult to navigate the choppy waters of the home buying market alone.

Contingencies: Why Are They Important When Making An Offer To Purchase Property?

 

You've started the process.  You made the decision to purchase a home, perhaps even your first one!  Now that you have found the one you want, what's next?  Your agent will help you,  read more for some tips and insight as to how the process works.  First, you  need to make an Offer.  What that is, is basically an expression of your desire to purchase the property and at what price you are willing to do so.  Your offer will be the first step in the negotiation process.  Just like any other offer you make, it would be highly helpful to take the other party (in this case, the seller) and his/her expectations into consideration when making your offer.  The seller has set an asking price for the property, but remember this is not set in stone! Often, you as a buyer, can save lots of money just by starting with the right offer price. 

Often, when writing an offer, there will be lots of contingencies involved. Contingencies are basically built-in protections to make sure that your risks are being limited and you are being afforded the most protection possible.  Your offer will include information such as: the price you are willing to pay as well as other details that are involved in the negotiation process such as down payment and financing information, inspection information and timetables on the method and manner that you will be receiving legal and physical ownership of the property.  Other information included will be whether personal property is included in the purchase, terms of cancellation, any repairs you want performed, which professional services will be used, and how to settle disputes should they occur.  Here, we will focus on the topic of Contingencies to give you a better idea of what they are and how they work.

Although in most transactions there may be slight challenges, most will go quite smoothly. However, we want you to  be prepared and anticipate potential problems so that if something does go wrong, you will be in a position to cancel the contract without incurring any penalties.  These protections are called "contingencies" and should be included when you offer to buy a home.

Often, a buyer will not be making a full cash offer on a property, that is, offering one lump sum as payment in full.  As a result, that buyer will seek and need financing to complete the purchase.  Obtaining suitable financing can be made a contingency as well.  Buyers often do this to protect themselves, should they be unable to secure financing.  Another contingency that buyers should consider is that the property should appraise for at least what the buyer agreed to pay for it. Inspections will be performed and reports will be provided before such contingencies are lifted.

Sometimes, a buyer will agree to purchase a home while in the process of selling the home he/she is currently living in.  Often, even though an offer has been accepted on the buyer's current home, the buyer and his/her potential buyer may still be involved in escrow, making that transaction a "pending" sale that has not "closed" yet.  As such, a buyer would want to make that closing a "contingency" on the offer he/she is making; so that should something go wrong and that sale not close, the buyer would not be forced into a situation where he/she would be responsible for two mortgage payments each month.

Ultimately, contingencies protect buyers just in case they find themselves in positions where they become unable to perform or choose not to perform on a promise to buy a home. Without contingencies, a buyer may find himself/herself forfeiting his/her earnest money deposit.

Things that Affect Offer Price

 

Buyers often have a difficult time determining how to arrive at a price to make an offer. Often, avoiding an offer at full asking price, can save the buyer money. Other times, full asking price is the only price at which a seller would be willing to let go of a property. Read further to learn about some of the things that affect the price at which a buyer is willing to make an offer.

Condition. A property's condition certainly plays a factor in determining the price a buyer wants to offer. A smart buyer will have a good idea of how the condition of the desired property compares to the general neighborhood; namely whether it fits in or stands out. Condition takes many things into account. For example, structural condition is probably the most important to consider. Walls, ceilings, floors, doors and windows and the paint, carpets, and floor coverings will provide indications as to the condition of the property. Whether they are new, slightly worn, very worn, or in utter disrepair will affect the price a smart buyer is willing to offer. Often, bathrooms and bedrooms will need to be checked and seen whether the plumbing and electricity work efficiently. An intelligent buyer will also pay attention to fixtures, such as light switches, doorknobs, and drawer handles. Your agent will be able to complement the information you gather, by providing you with information regarding the other neighborhood properties.

Improvements. Smart buyers will note whether previous owners have made any improvements on the property. However, only take into consideration improvements such as room additions, because superficial or cosmetic improvements should not result in an increase of the price the buyer is willing to pay. However, be careful when considering things like expensive floor tile or swimming pools. A pool that costs $20,000 to install does not normally add $20,000 in value to the home. Ask your agent to give you guidance in this area

The Market. A hot market is often called a "seller's market." During a seller's market, properties can sell within a few days of being listed and there are often multiple offers. Today, however, we are living in a largely "buyer's market," which means properties are staying on the market for extended periods of time and there are fewer offers being made. As such, a buyer has flexibility and should offer a lower price for the home.

Finally, comparable sales information is some of the best information to help a buyer determine a base price range for a particular home. Taking into consideration various factors like property condition, improvements, and market conditions help determine whether a "fair" price would be at the upper limit of that range or the lower limit. The "fair" price should be approximately what you are willing to pay at the end of negotiations with the seller. Although your agent may provide advice and guidance, you are the one who makes the decision. The price you put in the offer is totally up to you.

How to Get The Best Deal on a Home

Get The Best Deal on A Home

While buying a home can be a stressful process, it can also provide you great sense of achievement and satisfaction. Here is some helpful advice for you to consider when trying to get the best deal.

Vacant Properties are a great way to get good deals. Properties that are vacant do not have anyone living in them and are not making any money for the seller. Often, sellers are very willing to enter negotiations to get these properties off their books. This can be a great negotiation point for you, the buyer.

Do not underestimate the value of a fixer upper! While it may not be the most attractive house on the block today, it very well may be tomorrow. New carpets, a coat of paint and landscaping can turn a seemingly dilapidated old shack into a sparkling new home. Try not to get distracted by things that are easily fixed. If the home has no structural issues and matches your needs, consider the potential when making your decision. Often, homes that are not initially aesthetically pleasing, will turn out to be the customized home of your dreams!

Get an accurate idea of how many homes in the area you are considering, truly match your needs. Having a solid idea of this number will help you determine your negotiating power. The more homes there are that match your needs, the greater your ability to negotiate. Your agent can help you find this information.

Survey the area's schools. Just because you do not have children now does not mean that you will not in the future or that you should not consider the schools. Schools can be a great negotiating tool, as well. Good schools are an indication of property value that is underlying and potentially long-lasting. Not-so-good schools in the area can give you another bargaining chip when entering negotiations with the seller.

Have a flexible touring schedule. Often, and especially in this market, sellers rent their properties while they are trying to sell them. This means that there may be tenants living in the property, or perhaps there is no lockbox and tours may be on an appointment basis only. While this may seem burdensome, consider this. A home that is not often viewed, is not often made an offer on. As a result, your offer may be taken more seriously. Minimally shown homes do not pull in offers the way open houses do, so the seller may be more willing to entertain and negotiate your terms.

A common point of contention between buyers and sellers is the closing date. Buyers are often eager and want to close as soon as possible to meet their own personal deadlines, be it the opening of school or beginning of summer or recently after a wedding. Sellers are often eager for many of the same reasons as well. However, it would be beneficial to the Buyer to determine the Seller's deadline when making the offer. This way, the seller may be more likely to accept the offer.

Using this advice and help from the right agent, you're sure to get the best deal possible!

Is Refinancing Your Home Right for You?

Economic times seem troubling. But they don't have to be, not for everyone! Mortgage rates are low and can be translated into super savings for borrowers who qualify. But there are some things you must know before you decide whether or not to refinance in the current market!

Before you even consider refinancing, you have to think about what you are refinancing. Many Americans have lost all of their equity, Zillow estimates that 1 in 7 American homeowners have negative equity in their homes. Generally, you will need at least 3 percent equity in your home to refinance. If you do not have three percent, refinancing may not be an option for you.

It's not as easy as you think. Most people's applications will not be approved. The economy is in a state of turmoil and this trickles down and affects everyone. Many lenders are not making it easy to refinance.

Another consideration is your FICO score. You will most likely need a score of 740 and above to be able to secure some the best rates of the market. It may not be worth financing, even if you get approved and your FICO is less than 740 because you may be paying a higher rate.

Next, even though it seems that the rates are unbeatable, you will have to carefully think about your finances when you are considering refinancing. First, I suggest you take a look at your current rate. What is it? If your rate is about 6%, perhaps it may be a good time to refinance, since your rate is more than one whole point above the market's current rates. Also, keep in mind rates for loans above the current FHA limit ($729,000) will have much higher rates than those within the FHA limit. Another thing you must consider are fees. The more you pay in fees, the less you are saving, even at a lower rate. Calculate how much you will be saving with the lower rate and if you can recover what you pay in fees in three years or less, then refinancing may be right for you.

The fees that you will have to pay vary, however you have options when it comes to paying these fees. You may want to pay cash for these fees, take a higher interest rate for lower fees, or simply add the fees into your mortgage. You will need to talk to your mortgage specialist and he/she will provide you with the best advice for your situation.

Shopping. The best way to get the best rate and the best deal is to go shopping. If one lender says "No" that does not mean that no lender will refinance you. The era of the mortgage lender who hunts you down is over. It is now time for you, the consumer, to seek out the best lender for you with the best deal for your situation.

You're not alone. The economy may be slow, but the industry is not. Mortgage lenders are swamped! They are inundated with work and faced with downsizing and lay-offs, they often struggle. Keep that in mind when you submit your application. Be patient and realize that it may take upwards of 30 days to hear back from a lender.

Feel free to contact me with any questions you may have, we, at Crestico Realty are here to help!