Archive for the ‘The Art of the Transaction’ Category
Houston Home Sellers take note…. Five COSTLY Mistakes You Need to Avoid!
May 25th, 2008 categories: The Art of the Transaction
Today’s real estate market doesn’t mean it’s impossible to sell your home. Sellers just need to be savvy and not fall prey to common mistakes. The tips below were intended for a national audience but they are applicable, in many instances, right here in the Houston area as well. Here are five missteps Houston home sellers should avoid:
1. Asking Too Much
The single biggest mistake folks make is setting their asking price too high. In today’s down market homeowners need to price conservatively or they risk turning off potential buyers, says Michael Corbett, author of “Ready, Set, Sold.”
Figuring out how to set the price is tricky. Gone are the days when you can expect to sell your home for as much as your neighbor did just six months ago. Existing home prices have fallen 7.7% over the past year, according to the National Association of Realtors. So rather than looking at how much homes in your area sold for six to 12 months ago, compare prices for similar properties currently on the market. If you see a listing for a house that’s sitting unsold for a few months, chances are the owners are asking too much and you’ll want to set your price lower, says Corbett.
Read the rest of this entry »
| Discussion: No Comments »
Have a Home For Sale in Houston? Use This Spring Cleaning Checklist To Polish Your Listing To Perfection.
March 26th, 2008 categories: The Art of the Transaction
The Houston real estate market is holding up very well… you can keep it going strong by following these useful tips:
- Let the sun in. Spring is here! The weather is beautiful outside. Make any room look brighter with clean blinds and windows. Mix a solution of one part white vinegar to eight parts water, plus a drop or two of liquid dishwashing liquid, for a green window cleaner. Spray on and wipe with newspaper to avoid streaks. Washing on a cloudy day also reduces streaking.
- Sniff out smells. Check the drip tray underneath your refrigerator and wash out any standing water from defrosting. Remove inside odors by washing the inside of the fridge with a baking soda and water solution. Boil lemon juice in your microwave and add it to your dishwasher to eliminate bad smells. Also, put the lemon rinds down the disposal. Add activated charcoal in the fridge to keep odors at bay.
- Make your bed better. Vacuum mattresses and box springs, and then rotate and flip over. Do the same for removable furniture cushions. This is also a great time to wash or dry-clean the dust ruffle and mattress pad.
- Clean those coils. Improve energy efficiency by vacuuming grates, coils, and condensers in your furnace, stove, and refrigerator (either underneath or in back). If a vacuum won’t reach, try a rag tied to a yardstick.
- Wash the walls. Grease, smoke, and dust can adhere to walls and make even the best decorating look dingy. Wash walls using a general-purpose cleaner with hot water. Start at the top of the wall to avoid drips and in a corner so that you wash one wall at a time. Rinse the mop head frequently in clean water. And don’t press too hard, because flat latex paint won’t absorb much water.
Remember, buyers want homes to be “move-in-ready” so, the closer you can get to that… the quicker the home will sell. If you have a home for sale in the Houston area (or anywhere for that matter!), focus on cleanliness, staging and pricing and you will move your “product”!
Article source Realtor Magazine.
| Discussion: 2 Comments »
How Houston Home Buyers can keep payments down.
March 12th, 2008 categories: Real Estate News, The Art of the Transaction
A mortgage officer from Wells Fargo tells me the following: “Fannie Mae announced that all loans purchased after June 1, 2008, will be priced higher due to increased risk in the market place. “Borrowers with credit scores less than 720″ can expect to pay more for their mortgages due to this increased risk pricing. The lower the credit score and the higher the LTV, the more that the prospective borrower can expect to pay for a mortgage. You can view these pricing changes here:
Since the effect of this new rule will be increased mortgage costs for borrowers on conforming loans, this will make FHA loans a more reasonable option for borrowers purchasing at $271, 050 or less and with scores in the mid sixes range. If you have any borrowers sitting on the fence at this moment, now is the time to get them off their sofas and into a new home before these increases take effect. I have enclosed the new FHA limit below to remind you of the temporary increase in the FHA limits in Harris and Montgomery counties.
FHA has raised the limits effective March 7th, 2008 to $271,050. Credit policy parameters remain the same, LTV’s, debt-to-income ratios, credit requirements, remain the same, just as they are today.”
Remember,
· FHA loans are fully assumable
· FHA loans allow gift funds
· FHA loans allow non-occupant co-borrowers
So, if you want to buy a home in Houston and you have a credit score that’s a little iffy… going the FHA route is really something you should consider. Also, the fact that the loans are assumable is a pretty cool benefit that you might really be happy about when it comes time to sell your home. Why? Well… think about it, the buyer doesn’t have to qualify for a traditional mortgage & all it’s costs, he can just take over yours and start making payments.
| Discussion: No Comments »
Houston Real Estate Insider Info: The one thing to be wary of once you’ve signed a contract.
February 23rd, 2008 categories: Houston Mortage Advice, The Art of the Transaction
Phew, you’ve signed the contract to buy your first home in Houston, the inspections have passed without a hitch and the “pending” period has passed so you’re finally on track to closing on your new home in about two weeks time. Time to celebrate and head out to buy some furniture? “Hey, we can’t sit around on the floor!” you say. 
Not so fast my friend… don’t do it.
If you do you might completely blow your transaction to pieces and you could be faced with extending your lease on that tiny little 700 square foot condo apartment that you’ve been living in for the last five years while you were saving for the down-payment on this home!
This is the deal… most likely you will not be paying cash for that new furniture and the new flat-screen television. Right? Right.
You’ll have to buy it on credit. This means credit checks. That means credit score gets affected. That means that if you are a border-line financing case you cannot afford to be messing around with your credit in the last few weeks before you’re about to close on one of the biggest deals of your life. Even though you were originally “pre-approved”, the underwriters can kick your deal out of their office if they discover that your debt load has climbed dramatically since they first looked at you.
So… wait. Close on your deal and then, that same night, go and buy that new furniture - if you can afford it!
Do you have any last-minute closing horror stories? Let’s hear about them.
| Discussion: 2 Comments »
Houston Real Estate Insider Info: Leaving the washer & dryer? Use this cool negotiating technique.
February 17th, 2008 categories: Houston Real Estate, The Art of the Transaction
You’re selling your first home in Houston and you’re moving to a bigger family home in River Oaks. The new one has all the bells & whistles already installed. So, you don’t really need the washer & dryer in the home you’re selling. Or the refrigerator (an item usually not left behind).
So, you’re thinking… okay, I’ll just leave it for the buyer to make the deal more attractive to them.
Okay, here’s where you can get a little more creative than that. Don’t just throw away these excellent bargaining chips. You can still give them to the buyer, just not so easy! “Okay mister, so, how do we do it?” you ask.
| Discussion: No Comments »
