TIPS FOR BUYERS AND SELLERS

TIPS FOR THE HOME BUYER

Don't Be Discouraged With Home Financing
In most cases, I can recommend flexible lenders who are "portfolio lenders." With a good income and good credit it is possible for borrowers, whose mortage payments will run over 28 percent of their gross income, to get home loans approved.

Two Types of Homes to Purchase
One type is the home in perfect condition. This appeals to most buyers, as they can move in and start living without any type of interruption. This type of home also sells for top dollar.

The second type of home is the "fixer-upper." This type of home is often offered at less than full market value and can sometimes be a real bargain at 20 to 30 percent below market value. If the buyer has the expertise, time and patience to put the home in perfect condition after moving in, this type of home can become an excellent investment.

Community Concerns
The ideal home for a family should be located within a top quality school district. In most states, without too much effort, it is easy to obtain comparative school district quality statistics. An important consideration in purchasing a home may be the travel distance to and from work; if one is interested in a home, it may be wise to make a test drive during peak traffice hours in order to gauge the trip. Other aspects of a community to consider may be such things as activity centers, recreational facilities, shopping centers, theaters and restaurants. There are just a few examples of what to consider about the community when interested in purchasing a home.

Don't Insist on Perfection
It is possible to find a nice home on the used house market; however, no used home is without some type of flaw. An extremely demanding buyer may lose a purchase to a buyer who realized that no house is perfect. The best way to solve this problem is to make the purchase offer contingent on a professional physical inspection. In some states, homeowner's warranty insurance policies are available and cover specific items in the home for a period of one year. A buyer may want to consider looking at homes where a seller is willing to purchase such a policy.

Get to Know Your Realtor/broker
The Realtor/broker can be the best friend the buyer of a home can have during the entire transaction; one should not be afraid to ask questions which are directly connected to the sale, purchase, mortgage, or other related matters prior to the closing. The Realtor/broker is a true professional and an expert in real estate transactions. One of the best ways to help repay the Realtor/broker for his or her attention and service is to pass his or her name on to a friend who may be selling or buying a home.

TIPS WHEN SELLING A HOME

CHOOSE an experienced real estate sales professional who knows your neighborhood. The real estate person you choose is critical in establishing market value, showing the house frequently, handling complicated financial details, creating effective advertising, and guiding the sale through the maze of title and escrow problems. The right real estate professional will mean a faster sale at a better price, with less worries.
DO NOT TRY to save moeny by attempting "for sale by owner." Buyers simply discount their offers when dealing directly with an owner, frequently by as much as 10 percent. You are probably selling the most valuable asset you own. Use a professional to get the most from your investment.
PRICE competitively. Do not set the price based on what you heard a neighbor got for his or her home. Make a study of recent sales of homes that are comparable to yours. Evaluate the worth of the home based on such things as square footage, age and condition, location, school district, and extras such as a pool or spa. Remember, most home sellers overestimate the true market value of their homes. This mistake can cost both time and money.
KNOW how much financing you can afford to "carry back." Buyers frequently want the seller to help finance the sale. Analyze your financial situation and be prepared to take back paper if the sale price is right. A Realtor/broker can explain this procedure and its benefits and drawbacks.
COSMETICS are crucial. Spruce up the property. Add color to the garden. Paint if necessary with neutral colors. Use air fresheners, and be sure that everything is neat and tidy.
PROVIDE a home warranty. Buyers are much more comfortable with a house that includes a one year warranty. THe warranty can be promoted in the advertising as a drawing feature of the home.
USE a "For Sale' yard sign. You may attach the "rider" promoting the one year warranty. Many homes are sold because the buyer noticed the yard sign.
DO NOT HESITATE to lower the asking price if you are not getting ay "action." In today's market, there are many buyers for homes that are priced competitively. A lack of interest usually indicates poor pricing.
DISAPPEAR when the home is being shown. The presence of sellers makes most prospective buyers ill at ease. Take the kids and dog for a ride in the car or to see a movie.
DON'T HIDE the problems. Tell your real estate sales professional all about the home, good and bad. Let your professional decide how to best handle any negatives and feature that which is positive.