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Posts Tagged ‘homes for sale in davis ca’

first-time-homebuyer-advice-276x300Selling a home during the holiday season can be a nerve wrecking venture for a home owner. The stress of the season and the added importance of keeping a home ready to show on the spur of the moment is one of the reasons sellers take their property off the market until the new year. What about those families that have no choice but to sell. A job transfer or a vacant investment property can’t wait for next year. The features that sell a property any other time of the year is just intensified during the holiday season.

Price it to sell it: Properties naturally stay on the market longer at the end of the year because fewer buyers are looking. Sellers have to take that into consideration and price their home accordingly. The value you could get in spring and summer are no longer relevant. In a prior blog, I pulled up stats that back that up. Over the last three 60 day cycles, prices have dropped by 10% in Davis from the peak. The comparable sales you use to price your property should be the last 60 days, going back further than that has less relevance.

Condition is vital: All through 2014, properties sold in Davis that received the best value were those homes that were in pristine condition. The end of the year sale is even more important because of the shrinking demand. To expect peak value for a home that needs multiple improvements at any time is difficult, in the holiday season it’s virtually impossible. If your home has flaws a price adjustment is a must, especially when the buyer pool has been depleted. If you can’t lower the price, it might be wise to remove your home from the market and put it back on in February or March.

Make your home accessible: With the number of buyers dwindling In November and December it’s important to allow viewings and open houses. Make concessions when a family wants to view your home. You can’t make false judgements and assume this family isn’t serious and can wait until you feel like having your home shown. Find something to do on weekends and allow your agent to hold the property open. There’s no sure-fire guarantees that every home will sell at the end of the year, but you can certainly increase your chances by following these golden rules. Please visit my website http://www.JohnnyBrooksHomes.com for helpful tips on selling or buying a home or to view all local area homes for sale in Davis, California and the surrounding communities.

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Answer BalanceIn the topsy-turvy world of purchasing a home today, buyers should put forth a strategy that makes their offer appealing enough to a seller to at least be considered. A number of properties are selling with more than one competing bid. Communities like Davis have many properties with competing offers. When a home hits the market, priced correctly, it’s sold within a few days if not hours. Here are some helpful tips to digest.

Get Pre Approved For A Mortgage: You must have an iron clad pre approval and all of your ducks in a row to even be considered. It’s highly likely you will be competing against cash buyers or buyers with significant down payments. You must be ready to compete with a strong pre approval with an offer presented by a local, well-respected and knowledgeable agent to increase your chances to win.

Prepare To Pay Over Asking Price: Very often homes with multiple offers will sell above asking price. Prepare yourself emotionally and mentally for that possibility. The contract protects you with over paying because each property applying for a loan has to have an appraisal and if that home does not appraise at value, you can cancel the contract and get your deposit back.

Emotional Appeal To The Seller: Sellers want to know you truly want their home and what better way than through emotionally charged letter written directly to the seller. It’s much more difficult to say no to an offer from a real person versus other offers that are just names on a page.

Choose Your Agent Wisely: I have beaten out higher and stronger offers a number of times, simply with how I presented my buyer and the offer we wrote. I’ve gotten my offer accepted because the agent that represented the seller preferred to work with me because they knew I would perform in a timely manner. I’ve gotten my offer accepted because I’ve been doing this for a long time and have built up good relationships with other local realtors.

This is not the type of market where you can afford to have a friend or family member represent you. If you are serious about buying a home in this ultra competitive market, it’s imperative you have a local, full-time respected realtor on your side. It could be the difference between winning or losing. Please visit my website http://www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home and easy access to view local area homes for sale in Davis, Ca. and the surrounding communities.

 

 

 

 

 

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Living-KitchenThe question “Should I add to my existing home or buy a replacement home”. comes up often in conversations with home owners. The answer is different for each family and their current situation. With property values sky rocketing, many owners have decided it’s more cost-effective to add the square footage needed than to spend the money on a down payment and higher mortgage.Often, you can decide between upgrading your home or buying a new house simply by considering what you want to change. For example, putting in a new floor in the living room is quite a small project, but adding a new wing to the house would take considerable cash. If you need more space, it might make more sense to buy rather than to take out a home improvement loan, but small changes shouldn’t warrant a move.

How do you feel about the area in which you live?

You can add a second story or retile the kitchen or build an outdoor shed, but you can’t change the community surrounding your home. Whether you should upgrade your home or buy a new house might depend on your feelings about the surrounding area. If crime is up and the school systems are poor, you might want to move and start over in a better community. If you’re comfortable and happy, however, it might pay to stay.

Will zoning ordinances prevent you from building

Extensive renovations to an existing home can be more trouble than they’re worth. You’ll have to get approval from your homeowners’ association, and you’ll have to acquire building permits for any new structures, as well as plumbing and electrical service. You can upgrade your home on the inside without having to worry about this, but if you’re worried about going through the proper channels to build, you might want to just buy a new house.

What does the housing market look like?

Unfortunately, it isn’t always possible to sell a house right away. If you need to sell your current home in order to buy a new house, it might be better to simply upgrade and stay where you are. The real estate market can change overnight, however, so you could be ready to move in just a couple of months. It all depends on your financial situation and how long you’re willing to wait for the house of your dreams.

Do you have the cash to upgrade?

When you buy a new house, you use the proceeds from the sale of your current home to make the down payment, but this isn’t the case when you decide to upgrade. If you don’t have the cash necessary on hand, you can take out a home improvement loan or line of credit, which will act as a second mortgage on your house. This can be financially draining if you’re concerned about job security or other expenses, so make sure to consider your budget before making a decision. Please visit my website http://www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home and easy access to view local area homes for sale in Davis, California and the surrounding neighborhoods.

 

 

 

 

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second-time-buyerIt’s very common for homeowners with no kids at home, now downsizing to a more manageable lifestyle, including taking on less home. These empty-nesters no longer need that four bedroom home with a large backyard. More families that were looking to keep up with the Joneses are now realizing the benefits of downsizing. Let’s face it, the more space you have, the more area you feel like you need to fill every square corner with! One of the beauties of downsizing your home is the ability to stop wasting money on furniture, electronics, appliances and home items that are used to fill space rather than to fulfill a function. Downsizing into a smaller home will help you prioritize your life and only bring what is necessary in your home. There are other benefits that come for those thinking of downsizing.

Lowering the Cost of Utilities
The cost of utilities is another big bill that’s easy to downsize if you move to a smaller place. If you’ve got less space to heat or cool, you should end up with more money in your pocket at the end of the month.

Cutting the Maintenance
Over the long-term, less space to maintain translates into less money spent. If you move to a smaller place, you can cancel the landscaping service and the pool boy, paint fewer rooms and resurface a smaller driveway. When things get old, dirty or need to be redone or replaced, you’ll save money by fixing the smaller roof, buying one furnace instead of two and laying 1,000 square feet of carpet instead of 3,000 square feet.

Downsizing Presents Opportunities
When you move to smaller place, reducing your expenses is just one of the opportunities that will become available to you. The other part depends on what you do with the money that you save. Just saving $500 per month for the next 10 years turns in to $6,000 per year. That’s $60,000 over the course of a decade, even if you just tuck the money under your pillow.

Tax Consequences                                                                                                                                                                                                    The other factor to consider is the tax savings that normally comes with a downsize. Moving into a smaller home can also bring a lower tax rate, depending on how long you were in the larger home.  Every owner has their own reasons for making a move to a more manageable smaller home. Please visit my website www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home and easy access to view local area homes for sale in Davis, California and the surrounding communities.                                                                                                                                                                                                                                                                                                                                                                                                             

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Top_Reasons_to_Buy_a_Home_at_the_Start_of_the_YearProperly priced, any property will sell in any market. But how can home sellers figure out what the proper price for a property is? The answer is both science and art. The science is about the prices of comparable properties, or comps that were recently sold or are currently on the market. The art is about the strategy that’s used to try to get the highest possible price for the seller. That doesn’t necessarily mean slapping the highest price you can on the home when it’s listed. The better solution, pricing as close to the perceived current value to encourage multiple buyers to step up with offers.

You never get a second change to make a first impression. A too high price can be risky. Make that mistake, and the home could be overlooked by buyers, resulting in fewer showings and fewer offers, only one offer or, in the worst case, no offers at all. That negative first impression means the house might be on the market longer than it would have been if it had been priced realistically.

Another risk of over-pricing is that even if a willing and able buyer can be found, the sale might get snarled up by the appraisal if the buyer needs bank financing to close. Rising home values have reduced the incidence of problematic appraisals, yet the issue hasn’t gone away. It’s always wise to meet the appraiser at the property with a list of justifiable comps that can back up the purchase price.

The proverbial jury might never deliver a verdict as to whether a realtor should accept a listing the seller wants to over price. Sellers are in charge and will make the final decision on where to price their property. In the zany market earlier this year, sellers were getting the crazy high price they wanted. A middle ground is to pre-negotiate a specific price adjustment that will take effect at a pre-set time if the home doesn’t sell at the price the seller wants.

Some sellers openly declare their desire for a bidding war and will deliberately under price their home, either at their own fruition or at the suggestion of their realtor. There are risk with this approach. It can generate resentment as multiple buyers and the agents who submitted offers are naturally disappointed. The housing market is fluid and every precaution should be taken to price your home a fair market value. Please visit my website www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home, scan my informative blogs and easy access to view local area homes for sale in Davis, California and the surrounding communities.

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I recently had a buyer ask me, “should the seller be responsible for that repair” regarding a big-ticket item found during inspections. What repairs are a homeowner responsible for? That’s a question that can have several different answers, depending on who you ask. The buyers point of view would be purchasing a home free of any defects and the sellers normally have a different way of thinking. Bank owned properties and short sales are always sold in its current condition. Buyers can accept those conditions with the understanding those homes are commonly under priced.

When a home buyer negotiates exclusively with a seller, they can add specific repair request in the contract. The seller can agree or disagree, based on the terms and price of the offer. That’s the main reason my Coldwell Banker office strongly suggest a seller perform various inspections before offers start rolling in. A seller can have a firm grasp on even the least significant defects and prepare themselves accordingly. With a loss of home equity for most owners over the last half a dozen years, makes it unlikely they will be too excited with a laundry list of repairs on top of the huge equity deficit.

If an owner accepts an FHA or VA buyer, they have to assume the stringent repair guidelines required with these government loans. Most any blemish can be called out by the appraiser and will have to be repaired before consummating the deal. Attempting an “as is” sale with these type of loans is dubious at best, unless the property is in pristine condition from the out set. Unless it’s a brand new home, no property will be completely free of imperfections. If during the buyers home inspection a major flaw is found, they can request the seller either repair the problem or ask for a credit to fix after closing.

The seller can comply or reject the proposal. At that point, the buyer has two options. Either continue knowing the problem falls on their shoulders or cancel the agreement. If both buyer and seller are reasonable and the seller has the financial ability, a compromise can be made with each party participating in the repair. The older established homes that many buyers prefer will have some deficiencies. Most owners mindset living in those properties are, “we’ve lived in our home with those existing problems, you can also buyer”. Each situation is different and there’s never a clear-cut answer to what repairs an owner might be responsible for. Please visit my website www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home and easy access to view local area homes for sale including pre-foreclosures.

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Selling a home today for the traditional homeowner has been a long and winding road, mainly due to the competition from bank-owned properties and the cut-priced short sales that are dominating the market. What’s so appealing for homeowners now are the multitude of buyers that are flocking to the market. The motivation for the seller will depend on the financial situation and more importantly when they purchased their property. The time of purchase will dictate the ability or willingness to negotiate price and terms. Here’s a look at three types of sellers.

Motivated Seller: This group has owned their home for a while and need to move for health reasons, job transfer,an investment turnover or a move closer to loved ones. They have aggressively priced their home and understand the competition is fierce with the foreclosures and short sales being an attractive option for the buyer. These sellers are easy to work with and are the most market conscience.

Refinanced Too Much: These owners bought before the housing crisis and would be in good shape to negotiate the asking price, except they used their home as an ATM machine with refinancing for vacations and other unnecessary amenities. Many homeowners fall into this category and have little wiggle room for negotiations.

Sellers Living In The Past: These sellers purchased years ago and lived through the run up in prices and the market decline, but still have plenty of equity. These sellers can’t get out of their mind, what his home was worth “at the peak”. His neighbor sold for $500,000 three years ago and therefore feels their home is worth that value. These sellers are testing the market.

Home buyers are now comfortable enough with the housing decline and the lowest interest rates in history to venture into the market. Buyers from all kinds of backgrounds make up the majority of home purchases. Here’s a brief look at the buyers that now make the market tick.

First-Time Buyer: These buyers have determined that this is the right time to buy a home and are looking for guidance and conformation that their decision is correct. These buyers are a pleasure to work with and understand the benefits of buying now.

Long-Term Investors: This buyer has been sitting on the sidelines for the last few years, but know the opportunities are unlimited and want to take advantage before the market turns and the eventual increase in interest rates. They are in it for the long haul.

Speculators/Flippers: These buyers buy a home with the intentions of fixing it up and making a quick profit. They are looking for a rehab property that is or can be bought at below fair market value.

Repeat Buyers: These buyers are considering a replacement home for the purpose of downsizing or the need for more space. They know the nuances of buying and selling a home and are very educated in the home buying process. I have had the distinct pleasure of working with each of these list of diverse buyers and sellers. Each group has their own unique qualities and differences. Please visit my website at www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home, scan my other informative blogs and easy access to view local area homes for sale.

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