Buy Mortgage

What do you need to know to talk to a mortgage buyer?

kclancy — Tue, 19 Jul 2011 02:16:28 +0000

Has the time come to sell the payments you are receiving from a mortgage to buy a mountain cabin, pay tuition, pay bills, or eliminate the worry of record keeping, default or potential foreclosure? Is it time to call a mortgage buyer?

Before you call, be sure to have a copy of your promissory note, mortgage and closing statement from your property sale. If you can’t find copies of these documents, call the attorney or title company, which handled the property sale and ask for copies. These documents will enable you to answer the questions of the note buyer.

For illustration purposes, let’s assume that you hold a first mortgage on your payer’s home. The sales price was $80,000 with a down payment of $20,000. You took back a first mortgage of $60,000, paid off over 20 years, at 10% interest and a monthly payment of $579. The note is four years old; 48 payments have been made. These payments totaled $27,792. The balance on the note is $55,361.

You send us copies of your documents. After careful study, we offer to buy the contract for $50,101 or 90.5 cents on the dollar. (The mortgage, which you actually own, may be worth more or less than this example). But you may be thinking:

Why is the offer less than the balance?

Mortgage buyers measure many investment criteria. They understand that investing in a mortgage, is not like investing in a CD or government bond with guaranteed interest and payments, paid on time. The note buyer considers risks such as: will the monthly payments be paid on time? Will the payers maintain employment so that they can make the payments? Will they maintain the property? Will they keep up the fire insurance and the property taxes? Will they be able to avoid divorce with its devastating financial consequences? Will the real estate hold its value?

Unfortunately, there is always the risk of default.

No one can predict the future. And, a mortgage that goes into default is a major problem for the note buyer. Not to mention, that a foreclosure can take years and cost plenty of money to resolve. The note buyer has to be compensated for this risk.

And, the sales price of your mortgage is affected by the purchasing value of money. A mortgage represents a cash flow, with the same monthly payment, spread out over several years. It does not grow in value like gold, rare coins, or fine art. If the cost of goods and services goes up and the value of a dollar goes down, there is a real problem since the payment amount won’t stay even with inflation.

Think back for a moment. What were the taxes On this property ten years ago?

Compare those taxes to today. What did it cost to go to a ball game or a show ten years ago? How does that compare to today’s cost? Wouldn’t it be nice to buy a new car for the cost of one ten years ago? How about today’s cost of medical care compared to ten years ago? Every day our dollars buy less. The note buyer’s real concern is that the mortgage payments will purchase less goods and services as time goes on.

OK, you now understand this, but you may be wondering, how can I do better in this transaction?

First, let’s review our example. You received $20,000 as a down payment plus $27,792 (in payments over four years) and you just received a cash offer of $50,101. You will have received $97,893 or about $18,000 more than the sales price over four years.

While that’s not too bad, you may do even better. Talk with us to explore all options. Tell us the reasons why you want to sell your note so we can design a mortgage purchase plan tailored specifically to meet your needs.

You see there are many ways to structure the sale of your mortgage so that you receive more money.

For example, it may be better for you to sell only a portion of your mortgage. Let’s assume that you would like $30,000 to buy a mountain cabin. After discussion, we offer to buy the next 84 payments of your contract for $30,022. You would assign the next 84 payments to us and you would get the note back when it had 108 payments left. When you receive the note back, assuming all payments had been made on time, the note would have a balance of $41,126. Your total received at that point would be $118,942 counting the down payment, 48 prior payments, the cash offer and the value of the mortgage when you get it back.

If your mortgage has a balloon, you could sell all of the mortgage, or only the payments, keeping the balloon for yourself. As you can see there many purchase options that can benefit you, just make sure that you work with a mortgage buyer who will explore each option, including rewriting the mortgage, to eliminate the balloon.

It’s extremely important that you be comfortable in the process of selling your mortgage.

Be careful of dealing with anyone who casually makes you a purchase offer over the phone. There are many factors to analyze, and we are talking about YOUR money, so only deal with a buyer who makes you an offer after a thorough analysis and review of the paperwork.

Be sure to work with a buyer who can overcome obstacles.

A number of problems can occur. Problems occur if the documents were prepared in error, the original note was lost, the property has declined in value, the payers have stopped making payments, or they haven’t paid property taxes, federal income taxes or hazard insurance. Some notes can’t be sold as written but can be sold with modifications. It is crucial that you work with a buyer who completely understands the process and has the resources, drive, persistence, and ability to overcome obstacles to complete the sale of your mortgage in a timely way. Work with someone whom you can trust and who will work FOR YOU in your best interest.

If you would like to find out what your mortgage is worth, please complete the Mortgage Worksheet found under the Mortgage tab. Or if you’d like to speak with a mortgage buyer or ask any questions, please feel free to call us at 772–232–2383. And, we will help you in any way that we can.

Or if you have comments on the above information, please feel free to leave your comments in the comment box. We’d love to hear from you.

Avoid Foreclosure Through a Professionally Negotiated Short Sale

kclancy — Mon, 11 Jul 2011 03:58:41 +0000

Help for desperate homeowners may be getting easier to find. Many of the Nation’s largest lenders are streamlining their process to help homeowners avoid foreclosure. In many cases, a homeowner can get out from under their mortgage, minimize the damage to their credit and walk away with no deficiency balance. All at no out of pocket cost to them when they use the right Real Estate Agent. The alternative is a short sale, and in almost all cases, the lender pays all costs and fees including the sales commission.

Experts estimate that as many as four out of ten homeowners owe more on their mortgage than their home is worth. Some of these homeowners can hold on and hope for home values to recover. But many will be unable to wait out their current financial situation and may face the very real possibility of foreclosure.

In many cases, however, there is a better solution than foreclosure. A professionally negotiated short sale may be the answer. In a short sale, the lender agrees to accept an amount less than the balance owed. It may also be possible to get the lender to agree not to pursue any deficiency balance. In other words–when the sale is done, it’s done. The homeowner moves on free and clear. This process can also be significantly less damaging to one’s credit rating than a foreclosure. In many cases, the homeowner may be able to purchase a home again in as little as three years.

If the homeowner lists their home with a Certified Distressed Property Expert (CDPE), they will not have to pay anything for the negotiation. A CDPE has the credentials and training the lenders are looking for, and the expertise to get the transaction negotiated and closed. The process does not cost the homeowner anything but time, paperwork and effort. The lender pays all commissions and fees associated with the sale.

Homeowners must be able to show legitimate financial distress to qualify. The CDPE Real Estate Professional can help them with the paperwork needed to submit to the lender for qualification.

All of the major mortgage lenders in the country have systems and policies set up for processing short sales. They prefer to work with Real Estate Agents, and in most cases will not allow a short sale unless an agent is involved. The number one preferred designation is the CDPE–the Certified Distressed Property Expert. This designation means the Real Estate Professional has been through extensive training and has the systems and expertise to handle the sale.

Sandee Baker, Designated Broker, CDPE
RE/Max Keystone Realty

Article Source: http://EzineArticles.com/6384126

All About a Structured Settlement

kclancy — Mon, 11 Jul 2011 03:48:18 +0000

If you have been hurt in an accident, chances are you have hired an attorney to pursue your claim for compensation for your injuries, pain and suffering. This is a fairly common occurrence for those who have been put through the harrowing ordeal of having to endure an accident for which they were not at fault. For many years when a settlement was awarded to the victim, the amount of money that was awarded would go to the victim in the form of a lump sum. However, this is generally not the case anymore. Nowadays the more common manner of paying money to the injured party is in the form of a structured settlement.

What is a Structured Settlement?

In the simplest of terms, a structured settlement is a payment to the injured party made in regular installments over a period of time. This is different than getting a cash award in a lump sum up front. For example, if a person was in an accident and it was ruled that the other party was at fault, the other party may have to pay damages. If the amount was one million dollars, instead of a check being cut for one million dollars, it would be paid out in monthly installments over a period of a few years. For instance, a one million dollar settlement paid out monthly over ten years would mean a check paid to the inured party in an amount a little over eight thousand dollars per month. A structured settlement can vary as to how it is paid out. Some forms of structured settlement are paid out monthly and others annually.

Structured settlements first started to gain popularity in 1982 when Congress passed the Periodic Payment Settlement Act. This was introduced to allow settlements to be paid out over time in order to benefit both the party paying the claim as well as the victim. Those people who have had a personal injury due to an accident or who have had a worker’s compensation claim can benefit greatly by having the money from the settlement arrive in regularly scheduled amounts across a long period of time. A structured settlement is a good idea in most cases.

Benefits of a Structured Settlement

There are many long term benefits to having a structured settlement. First, the person who was injured and awarded the settlement is likely suffering from a debilitating injury that will forever affect their life and livelihood. This could be anything from a condition that makes life uncomfortable to a serious crippling injury that forever changes the person. Regardless of the severity of the injury the victim has to become used to living their life in a different manner. Adding to this the stress of dealing with a large sum of money they are not used to can make the transition even more difficult.

A structured settlement, though, can help alleviate some of the stress. It is especially difficult to manage a large sum of money if you will no longer be able to earn a living for the remainder of your life. Whatever sum of money you were awarded must be invested and used wisely in order to last throughout your lifetime. This is not always an easy feat. Often people have to hire financial advisors and investment advisors to keep track of and administer the money so it does not run out. With a structured settlement, though, this process becomes much more manageable.

Without a structured settlement, many victims had to rely on a third party. In a lot of cases, the money ran out quickly. This is for several reasons. The victim may have had poor spending habits. Faced with a large sum of money, they were not thinking about the future but instead were thinking of fun ways to spend a lot of money they never had before. Not long after that, they find the money is gone and they still have to live their life.

Another reason is because professionals were hired to advise and administer the money appropriately. Without some knowledge of financial endeavors, the victim may have hired someone incompetent or unreliable. The money would not be invested wisely and gone before they knew it. Another common reason is the victim relies on assistance from family members thinking they would have his best interests at heart. Unfortunately, this is often not the case and greed gets the better of the family member. A structured settlement reduces the risk of these issues substantially.

When is a Structured Settlement Best?

A structured settlement is not the answer for everyone. Some victims will prefer and benefit from a lump sum payment. However, there are very specific cases where a structured settlement is ideal for the victim. This generally occurs when the victim is in need of long term or permanent care. When an accident occurs that leaves a person unable to work and earn money for themselves over a long period of time, they will need the funds to care for themselves and whatever medical care is necessary. Whether it is an injury that will take a very long time from which to recover or a permanent disability that will prevent the victim from working for the duration of his life, a structured settlement is ideal in these situations.

For anyone who has any type of guardianship, a structured settlement is also a perfect solution. For example, if someone dies as a result of an accident through no fault of his own, a settlement may be awarded. However, the settlement is going to the victim’s family as opposed to the victim. The money may be used for funeral expenses and for the care of the surviving family, especially if the victim was the provider of the family’s income. Spouses and children are generally the beneficiaries of a structured settlement. Minor children can especially take advantage of the benefits of a structured settlement. Their housing, food and other every day expenses will be ensured. Plus, very often their education and college expenses will also be taken care of so they can lead a productive life even without the assistance of their loved one.

Kathleen Dougherty

Article Source: http://EzineArticles.com/1484126

Short Sales… Cutting Through the Myths

kclancy — Mon, 11 Jul 2011 03:35:46 +0000

Introduction:

There are many myths and rumors, as well as much valuable information available about one of the hottest topics in real estate – Short Sales. It is the intention of this article to cut through the myths and rumors and provide the homeowner with the information they need to understand a Short Sale and the process.

I have written this article with the specific goal of answering important questions about Short Sales while helping the homeowner avoid common and potentially costly pitfalls. It is comprised of excerpts from my comprehensive report “Insider Short Sale Secrets”.

If you are currently behind on your mortgage payments, if you are borrowing from Peter to pay Paul, if the stress of keeping your home afloat is killing you, then please read this information immediately. Whether you hire someone, or try to do it yourself, take action now! Time is not your friend, but there is light at the end of the tunnel!

Maurice Thomas

Our Disclaimer:

The information in this work is believed reliable but is not warranted or guaranteed, and before any reliance or use, should be independently verified. Suggestions, advice, strategies and all other like information are general in nature, are not based on knowledge of your specific circumstances, and should be used only after your own independent verification of reliability, application of independent business judgment and due consultation with your tax, technical, legal, real estate, investment, accounting and/or other professional advisors.

What is a Short Sale?

Everybody’s talking about Short Sales as a way to prevent foreclosure, but not everybody understands exactly what a Short Sale is. You’ve may have heard about them, and may be looking for a definition. Simply put, a real estate Short Sale is when a homeowner sells their property for less than is owed on the existing mortgage balance. To accomplish this, the homeowner or a third party negotiates a discount on the payoff amount due to the bank or mortgage company.

When a homeowner owes more on their mortgage balance than the current value of the property they have negative equity, commonly referred to as being “underwater” or “upside down.” In order to sell a property that is “upside down”, the bank must agree to accept less than what is currently owed. Mortgage companies take big losses when they foreclose on a home and will many times try hard to avoid it. A Short Sale is a viable alternative to taking the house back in a foreclosure. The lender agrees that selling the property at a moderate loss is better than pressing the current debtor. Both parties consent to the Short Sale process, because it allows them to avoid foreclosure, which involves hefty fees for the bank and poorer credit report outcomes for the borrower.

Is a Sort Sale a questionable practice?
The Short Sale of real estate is not a questionable practice in today’s softening real estate market it may in fact be a necessity. The Short Sale transaction is a legal and a much more beneficial alternative to foreclosure or even bankruptcy and is often the most economical solution to a problem. The short sale of your home can result in the best solution for all parties involved. A few of the benefits of a Short Sale are:

Homeowner: The Short Sale helps you get out of a financial predicament and regain peace of mind. Your family is relieved of the constant pressure and stress of being pursued by creditors. Your property is saved from foreclosure, which can help save your credit rating. Allowing your home to proceed into foreclosure may adversely affect your credit for up to 7 years. (How will a Short Sale impact my credit below:)

Lender: The lender avoids timely and costly foreclosure proceedings which could lead to an even more costly expense of ownership of the real estate by the by the bank.
Buyer: The buyer of your property gets a solid property at a good market value.

How do I know if I might qualify for a Short Sale?
If the market value of your home is less than what you owe on your current mortgage, you may qualify for a legal, lender approved Short Sale.

What are my chances of getting a short sale approved?
Your chances of getting your short sale approved will vary greatly depending on:
- Your individual circumstances and how they are presented
- The quality and completeness of the package put together,
- The ability and experience of the negotiator handling your package,
- Whether or not you have a contract from a qualified buyer for the property and if there are contingencies in the contact
- Whether the buyer for your property is paying cash with proof of funds or needs to qualify for a loan
Understanding the process, making sure your package is complete, having a qualified buyer with a contract and minimal contingencies, are critical in presenting a Short Sale offer that will be considered and approved by your lender.

Do I have to be behind in my payments?
The answer to this is; it depends.
Lenders often have loss mitigation departments that evaluate potential short sale transactions. The majority have a pre-determined criteria for such transactions, but they may be open to offers, and their willingness varies greatly.

A Short Sale can be used as an exit strategy for a homeowner who is not delinquent but rather just staying afloat and anticipating a delinquency. It can be more difficult when a homeowner is not behind in their payments, but recently banks are taking the potential for default into consideration.

Given the unprecedented and overwhelming number of losses that mortgage lenders have suffered currently, they are now more willing to accept short sales than ever before. This presents an opportunity for “upside down” borrowers who owe more on their mortgage than their property is worth and are having trouble selling to avoid foreclosure.

How will a Short Sale impact my credit? This is one of the most asked questions about a Short Sale. Unfortunately the answer is, yes. Lenders and servicers have different methods of reporting short payoffs. Short Sales are a type of settlement, and they adversely affect a person’s credit report.

The general consensus is that a Short Sale will show up on your credit report as a “settlement”, “settlement for less than owed” or a “pre-foreclosure in redemption”. While these are not good things on a credit report, it is usually possible to get them off of your report within a few years or less. the negative impact is most often significantly less than that of foreclosure or bankruptcy. A short sale can drop your credit score. by 80 – 100 points. A foreclosure on your credit report can take 7 years to remove and can cost your credit rating up to 200 – 280 points, a very big hit.

Philosophical input:
If you are borrowing from your 401K, IRA, friends and family, just to keep making your payments trying to keep your “upside down” property afloat, or if you are behind in your payments and facing foreclosure, you should pursue a Short Sale aggressively. Burning through your liquid assets and doing nothing is not a good plan.

Can I still owe the bank for money forgiven?

STOP! This is a very important question!

The answer is yes, if you are not careful. PLEASE READ THE FOLLOWING

In a Short Sale a home is sold for less than the actual mortgage balance owed. The lender’s loss or “deficiency” is the difference between what the lender nets from the sale and the actual balance owed. According to the terms of most mortgages you are liable for that deficiency!

There are two ways a bank can attempt to recoup this loss, one is by a promissory note, and the other is by a deficiency judgment.

A promissory note has to be agreed upon by the lender and the borrower (homeowner). It will usually consist of the amount of the deficiency (which can include attorney’s fees and other costs) or a reduced amount agreed to by the parties. The borrower agrees to pay the note according to the agreed upon schedule. If the no agreement for a promissory note is reached in advance, the lender in most states has the option of seeking a judgment for the loss called a deficiency judgment. They can then come after the former homeowner for their loss.

To add insult to injury historically any amount of a mortgage that was forgiven by a lender was considered income, and taxes had to be paid on that amount!

Are there ways to avoid owing additional money after the sale?

The good news is: YES! – if you are careful and plan ahead. This will be easier to negotiate if the borrower has ongoing financial hardship and harder to negotiate if the borrower has assets. Negotiate with the lender in advance to eliminate either the lender requiring a promissory note or coming after the borrower with a deficiency judgment. This is essential! Philosophical input: You can negotiate these elements yourself but it is often difficult when you have no experience and are thrust into an adversarial relationship with your lender. We recommend using an experience professional.

Is there a way to avoid owing the IRS taxes on the forgiven amount? Yes! Good news! Under a temporary measure passed in 2007, the Mortgage Forgiveness Debt Relief Act and Debt Cancellation Act, homeowners can exclude debt forgiveness on their federal tax returns from income for loans discharged in calendar years 2007 through 2012. This special exemption only applies to personal residences and there are some limitations. For more information, talk to your tax professional.

Will I receive any proceeds from the sale of my house? The short answer to this is: No. Since the lender is taking a large loss from the sale of the property, they do not allow the homeowner to leave the closing with any proceeds. The sales price will go first to cover any expenses of sale, than the balance will go to a “short” payoff of your mortgage.

Does the sales price of my home matter? Yes and No. The sales price will definitely influence your ability to move the property quickly, and to hopefully find a cash buyer with the ability to close. Unlike a normal sale, you are not looking to get the highest sales price possible. Since you are receiving no sales proceeds, and if good negotiations have removed the threat of a deficiency judgment, you will actually be interested in the lowest sales price possible. The lower the sales price the quicker you can achieve a sale to a cash or highly qualified buyer.

Of course the lender will want to minimize their loss and is therefore interested in the highest sales price possible, so a reasonable compromise will need to be reached

I hope you found my article helpful.

If you would like my comprehensive report “Insider Short Sale Secrets” which has a great deal of information about the nuts and bolts of how to do a short sale, simply visit my website [http://www.eRealtyPro.com] and you can download it for free!

Maurice Thomas

eRealty Pro

Palm Creek Realty, LLC

Article Source: http://EzineArticles.com/3296212

How to Find Real Estate Buyers in a Tough Market

Joe Shaw — Thu, 23 Jun 2011 17:19:37 +0000

Today’s real estate market is quite different than those that came before. In the past, you were pretty much guaranteed that you would buy a home, live in it for a couple of years and be able to sell it at a profit. In fact, in the early 2000′s, people were making tons of money in a very short amount of time because the real estate market was skyrocketing. But then, it burst wide open. Home prices began to plummet. Here we are, a few months afterwards and people who bought when the prices were high are finding that their homes just aren’t worth nearly what they paid for them.

For first-time home sellers, the sales process can be especially daunting. You want to sell your home but don’t know what to expect. Here are a few tips that should help ease the stress and worry of selling your first home.

Hire an Expert – Selling your home by yourself can be extremely difficult. You should really consider hiring an experienced real estate professional. Their knowledge and resources can help make navigating the real estate waters much easier. Interview several until you find someone that fits. Research their background and credentials. Ask neighbors, friends, family members and co-workers who they have worked with in the past. It may take a little while to find the perfect “fit” for you, but it will be well worth it.

Price it Right to Start With – Use comps in the area to help determine what a realistic sales price is. If you set your price too high, your home could sit on the market for too long. A home will have its best response within the first 2 to 3 weeks. That’s why you want to be competitive to start with. If a REALTOR® won’t pull comps, you don’t want to work with them. While they’re not everything, comps are a good point of reference to know where your local market is at.

Don’t Worry About Profit Margins – Unfortunately, the reality is that you may not be able to sell your home for what you want. If you want to sell your home now, you can’t put your asking price at what you owe, what you’ve put into the home or even what the tax assessor says it’s worth. Your home is only worth what someone else is willing to pay for it. That means that you may take a slight loss. Not all homes are that way. But, it’s important to keep that in mind so you’re not surprised if it happens. Your real estate agent can explain this to you as well.

Set Your Sights on the Prize – Know your target demographic. Most first time sellers have bought a starter home. This is perfect for another couple or family just starting out. But, it may also be great for an older couple looking to downsize after their family has grown up and moved out. Once you have determined who your target audience is, you can shape your marketing campaign accordingly. Your real estate professional should be able to help you with that as well.

The Internet is Your Friend – More and more home buyers are turning to the internet to begin their home searches. That’s why you need a REALTOR® who will market your home on the internet as well. Make sure to take plenty of high quality, well lit photos of your home, since this will be how people first see your property. Keep it clean, clear and clutter-free.

Today’s real estate market is much different than the markets of the past. It takes knowledge and experience to sell a home nowadays. With the right help, your home sale can happen quickly and smoothly. You just need to get the right people on your side.

Stephanie Hansson, ABR, CRS
Bryan-College Station Real Estate
(979) 574-6281 * http://livinginbryancollegestation.com

Article Source: http://EzineArticles.com/6351734

Selling A Home – Does House Staging Make a Difference?

Joe Shaw — Thu, 23 Jun 2011 17:18:26 +0000

There are a couple of old “rules” in real estate.

1) Your first offer is always your best offer AND

2) The home has to be in “saleable” condition. Yes, “staging” makes a huge difference. Do we have to hire a professional stager? No, not necessarily. There is a time and place for their expertise, but generally there are a number of things we can do to make the home more appealing to buyers. As a Realtor, I discuss with my clients in detail what can be done. We have to remember that a home can’t be marketed the same way it is lived in. How many times in normal everyday life is our home “party ready”? I will speak for myself…with 2 boys and 3 dogs…RARELY. It would take tremendous effort for me to get my home ready for market, but here are a few items I would focus on first.

First and foremost… clean.

Clean from top to bottom as if preparing for a party. If your house isn’t clean, it sends negative thoughts that the home is not well maintained. Fresh flowers are a nice touch. Remove any silk flowers.

A property that appears “spic and span” goes a long way in combating buyer fears.

Take the extra steps to make a “used” house look new again. Stage the home removing personal pictures and clean surfaces of any clutter. Get rid of the cobwebs in the corners of the front porch. Remove furniture if necessary to show more floor space. Give up on lighting the candles. We use to like the nice scent, but not anymore. Buyers don’t want the odors masked…they want them GONE. Baking chocolate chip cookies or an apple pie prior to a showing is still nice. It provides a feeling of comfort. If you plan on dinner in the Crockpot leave out the curry, onions or garlic.

Here are a few staging tips.

1. Decorate for the buyer, not your family…simple and clean. Allow the buyer to be able to mentally place their items.

2. Freshen landscape and mulch. Trim plants for a tidy look. Place colorful flowers at the front entrance.

3. De-clutter every room to make it look larger. Go ahead and start packing family photos and small items placed on surfaces for your enjoyment. Make certain there is nothing on the floor in closets and all clothing is neatly hung. Remember to make the beds.

4. Make sure all window coverings are pulled back and blinds are tilted slightly up to bounce light off the ceiling. Replace all burned out light bulbs. The idea is for the home to be light and bright.

5. Decorate the room to its primary purpose, ie: a formal dining room as a dining room, not an office and a bedroom as a bedroom, not a gym or craft room.

6. Re-Caulk around wet areas and crown moulding if necessary.

7. Create an outdoor room, if possible, and leave some lemonade and “to go” cups for your guests enjoyment. We want the buyer to remember this house.

8. Pets inside? Remove food bowls and litter boxes to the utility room or garage if possible. Deodorize. Know that there are some buyers that won’t even go look at a home if there are pets living inside. Take your pets with you when the home is being shown. This will give the potential buyer full reign of the house.

9. Remember, you are selling your home. View it as a buyer would. The buyer, most likely, doesn’t want to deal with ANY problems. Eliminate those that you are aware. Any home that is “move in ready” (spotless with no immediate standard homeowner upkeep required) will sell for more money.

10. Ask a friend or your Realtor to view the property prior to the first showing.

Now you are buyer ready! Best Wishes.

Kim Rutledge

479-841-7302 – Anytime number

Fax: 479-444-7546

Article Source: http://EzineArticles.com/?expert=Kim_Rutledge

Need to Sell Your Home Fast, Then Make It Look Its Best

Joe Shaw — Thu, 23 Jun 2011 17:15:31 +0000

These fixes do not have to break the bank but you will want to be sure they are performed correctly and do not cost you or the new owner more because of the work that is done.

Pressure washing or power washing, as it is sometimes called, can do wonders to improve your homes curb appeal. And even though words like pressure and power are in the names, not all exterior cleaning needs much of either to do the job well or correctly.

Take a look at your home from the street with a fresh eye. Is the landscape clean and neat, meaning bushes trimmed, grass cut and flower beds colorful? Are the walk ways and driveway clean and bright, meaning free of oil spots, mold and mildew? Are the roof shingles the color they were when they were installed, meaning can you see ugly black mold or algea streaks running down them or worse, have moss growing on them, over flowing clogged gutters or stopped up drains?

All of these things can cause a would be buyer to not even stop or step out of their car when they pull up or drive by to look at your home. Or worse yet, have offers come in under your asking price just due to the outward appearance of your home. You could be losing thousands of dollars.

So let’s look at what a pressure washing contractor and a few hundred dollars can do for you.

First you have to find a company to work with and you want to be sure the company you hire is insured and has a good reputation. Ask for referrals from friends, neighbors that have property you admire (they probably do not keep it that way themselves) or by checking with web sites that deal with qualified or sometimes even pre-screened business. Try sites like your free local BBB, you can find yours at bbb.org, paid services like Angies List at angieslist.com, or other free services like Service Magic at servicemagic.com, or groups within the pressure washing business community like the thepwna.org, pressurewashcompany.com, and pressurenet.net. New sites with local home town company interest are also available such as MerchantCircle at merchantcircle.com or Kudzu at Kudzu.com.

Now that you have a contractor what type of work can you expect to be done?

First many types of cleaning can be performed with just hot water or high pressure alone like for hard concrete surfaces, but the bests results usually come from a combination of chemicals, heat and pressure and can also be the safest for you and your property. Heat will reduce the amount of chemicals and time it will take to remove dirt and stains. But in some areas like a roof, low pressure with just tepid tap water is all that is needed. The asphalt shingle manufacture association has put out a technical bulletin that states that they recommend a mixture of professional bleach with a little surfactant to remove the black algea staining from the surface of shingles. In fact many manufactures will void your warranty if they find improper cleaning methods have been used and have degraded the surface of the shingle. To protect yourself and be sure of the method your contractor plans to use when roof cleaning.

With house washing high pressure is also not recommended especially with textured surfaces like stucco or with vinyl siding, since high pressure can damage the surface or force water under siding strips and cause unwanted moisture and possible future mold growth or other damage that can not be seen. If you have a lot of wood or decking you might also consider restaining if cleaning alone dose not bring back the color of the wood. This too should not be a high pressure job since strong tight streams of water can erode wood and cause firing of the wood fibers leaving a rough uneven texture of the wood surface. Chemicals not pressure should be used to clean the wood surface. For long neglected wood, a new stain and sealing coat should be considered after a proper cleaning. Outdoor livable areas can add twice or more to the value to the home that it cost to build them, but only if they look like new.

Make sure the chemicals and stains your contractor will use will be safe for you, your plants and your pets. Even strong chemicals can be use safely if proper measures are taken, like flushing extra water on and around plants, using plastic or fabric coverings, or using the proper neutralizers after certain chemicals have been applied. Just be sure to inform your contractor of any thing they should look out for, like a Kio pond, pet water and food bowls, etc.

Pressure washing can add value back into your property that it may have lost over the years, right when you need it the most and want to get the best return on your investment. Be sure you find that extra money by showing off your homes exterior beauty with proper cleaning.

Article provided by Soap Warehouse distributor of high quality, highly concentrated products for the professional contractor. Visit www.soapwarehouse.biz for a complete catalog listing of over 90 items in 7 different cleaning categories or call 1-800-762-7911.

Linda Chambers, Brand and Sales Manager, Soap Warehouse, 1-800-762-7911, http://www.soapwarehouse.biz

Article Source: http://EzineArticles.com/?expert=Linda_Chambers

Real Estate Training – Short Sale Lead Generation Tips

Joe Shaw — Thu, 23 Jun 2011 17:12:41 +0000

In providing real estate training, I’ve been asked many times by agents, “How do I get short sale listings?” Well, there’s more than one way to get them. Right now, I’m only going to focus on, perhaps, the easiest way there is to get short sale listings.

The answer is working your database of people you know for distressed home owner referrals. Since you have a relationship with your database it’s much easier for those in your database to trust you enough to refer distressed homeowners to you. The people in your database already have relationships with those they know that are struggling with their mortgages. They’ve done that work for you already. Doing this is more effective than other methods of getting short sale leads because you end up contacting fewer people before you get a short sale listing.

So, why is that? When you contact a distressed homeowner directly, they automatically have a thick wall around them that you have to break down before they will even start to listen to your message, no matter how great your message actually is for them.

So, here’s what you’re going to do to actually carry this out. First, seek distressed homeowner referrals from your past short sale clients, even if you haven’t contacted them in a while. Second, since there are so many distressed homeowners, make sure a good portion of the content you’re sending to your database is related to struggling homeowners. This can be information on foreclosure prevention seminars, tax and legal ramifications of foreclosure and short sales, bits and pieces of the foreclosure and/or short sale process, and what ever else you can think of.

Make sure you keep the info you send short and focused on one thing at a time. This way you’ll always have useful content to send your database over time. Don’t forget to always direct the person to share the info with someone they know who can benefit from it. Your goal is to relate that you are the source of relief for distressed homeowners. Convey that you know the answers and you know how to get answers. Also, make sure to share with them if you’re pre-foreclosure or short sale certified. This can be in an email or phone conversation by saying, “Did you know I have a Pre-foreclosure Specialist Certification? The reason I’m telling you is so you know who to refer your friends and family to if they’re struggling to pay their mortgage. I counsel homeowners with accurate information so they can make the best choice.”

You see, your approach is not to tell someone to sell their house right off the bat. Most distressed homeowners don’t want to sell their home as a solution to their problem and if you want people to refer others to you they also need to know that you’re not going to tell others, right off the bat, to sell their home. If you’ve given good info, the distressed homeowner will usually make the decision to sell their home on their own without persuasion from you.

You want to convey to your database that you’re a knowledgeable distressed homeowner consultant. Doing these things will educate and prepare your database to give you referrals of distressed homeowners. You’ll have more appointments, get more listings, and help more people. I’ll have more real estate training for the appointment with a distressed homeowner in another article.

Mike Pollak is a real estate agent trainer who has taught many agents successful business principles. He regularly contributes articles designed for real estate agent’s success. Discover more great tips on how to get consistent results in your business every month and how to continually improve. Check out this free Real Estate Training.

Article Source: http://EzineArticles.com/?expert=Mike_Pollak

How Affordable Is Housing in Canada Anyway?

Joe Shaw — Wed, 22 Jun 2011 20:34:44 +0000

With the pricing for basic necessities like gas and food on the rise, it is no surprise that people are more conscious of how they spend their money. As a result, the average person is even more hesitant with regard to housing and the plausibility of making a purchase that requires such a sizable investment. Staying abreast of mortgage news is one way to gain confidence regarding these financial decisions.

Is the concern over rising Canadian housing prices warranted?

One way to look at if Canadian housing is affordable is to compare it with other similar countries or economies and see how we fair. The American recession has been blamed in large part on an overindulgent housing market that required people to rely too heavily on borrowed money, to accommodate housing prices that were too far out of their reach. As a result when people were no longer able to afford their houses the banks took significant losses far beyond what the financial infrastructure was able to manage. Of course housing is not the only factor that negatively affected the US economy, but it was a significant contributing factor. To help to remedy this situation the industry experienced a massive nationwide market correction causing it to have the lowest averages in housing affordability when compared to similar economies.

How does the housing market in Canada compare?

Demographia publishes an annual comparison of housing affordability for metropolitan markets in Australia, Canada, Ireland, New Zealand, the UK and the US. Demographia measures affordability through a ratio of median house price to median household income. The median was determined for each metropolitan market (with a population of 1000000), and then taken for the remaining non-metropolitan areas (with populations of less than 10000000). Scores below 3.0 were determined to be affordable, between 3.1 and 4.0 considered moderately unaffordable, and between 4.1 and 5.0 seriously unaffordable.

The results are clear if we look at Canada vs. the US in terms of National averages in major metropolitan areas Canada has a 4.6 average where as the US has a 3.3 average and when non metropolitan markets are considered Canada’s average is 3.4 while the US has an average of 3.0. Thus, Canada ranks second with numbers just above the US as well as a displaying a significant disparity between it and the other countries compared in the major metropolitan markets. When the sample is expanded to non metropolitan markets, it is even more solidly in second.

Country National Average (major markets) National Average (all markets)

Australia 7.1 (5) 6.1 (32)
Canada 4.6 (6) 3.4 (35)
Ireland 4.8 (1) 4.0 (5)
New Zealand 6.4 (1) 5.3 (8)
UK 5.1 (16) 5.2 (33)
US 3.3 (52) 3.0 (211)

*Number of markets in parentheses

In a similar report done by the IMF, One section of the report compared housing prices in advanced economies, actual housing prices were compared with estimated prices based on an economic model over a 10 year period from 1997 – 2007. The report found that several economies were overvalued, such as Ireland, where about 30% of the increase in Irish housing prices over the period 1997-2007 were unexplained by economic fundamentals. Thus, Ireland’s housing market could be considered overvalued by about 30%. On the other hand, the increases in Canada’s housing prices over the same period were actually about 3% lower than the economic fundamentals would have predicted!

Overvalued by about… Countries
30% Ireland, the Netherlands and the UK
20-25% Australia, France and Norway
15-20% Denmark, Belgium, Sweden and Spain
10% Italy, Japan and the US (with housing prices adjusted)
0-5% Finland and Germany
-5% Canada and Austria

Finally let’s look at The Economist data on housing affordability in a numbers of Countries. Look at the graph and you will clearly see that Canada’s housing prices have increased the most gradually between 2000-2010 as well as stayed the most consistent, especially as compared to the US.

All and all there is a lot of information out there that suggests that even in this challenging economy Canadian mortgages and housing is affordable and in line with average salaries and costs of living. So although Canadians can be encouraged to clip coupons and to cut back on road trips because of raising grocery and gas prices, avoiding the purchase of a home is not warranted after all, but instead is likely to be one of the best returns on investment made in today’s financial climate.

Please visit us at http://www.canadianmortgagesinc.ca, also join us on facebook at: http://www.facebook.com/pages/Canadian-Mortgages-Inc/87780268966

Article Source: http://EzineArticles.com/?expert=John_Ifejika

10 Deal-Breakers for Property Buyers

Joe Shaw — Wed, 22 Jun 2011 20:33:16 +0000

A recent study found that two-thirds of people currently not on the property ladder do not expect to ever be in a position to buy their first property. That means it’s more difficult than ever for property developers to achieve quick sales on their new builds.

If you’re a property developer looking to build and then sell homes, it may be beneficial to know some of these decision-making factors buyers consider before making their purchase.

Safe neighbourhood – Ultimately, people want to be safe, so will exclusively look in areas they know are as close to being crime-free as possible. If you’re looking for a quick sale on the homes you’re building, going for a nice neighbourhood will be important.
Up and coming neighbourhood – As with any investment of this size, people are looking for good value and the potential for return. An up and coming neighbourhood could therefore offer greater value and potential for price increases than somewhere well-established.
Near schools – Parents or would-be parents will look for properties that are located near good quality schools, where their children can get a top-notch education.
Good commuter links – Another factor you may wish to use when choosing the location for your development is its proximity to helpful commuter links. Buyers will be looking for homes near train stations, bus routes or tram links.
Spacious living – Nobody wants to live in a rabbit warren (except rabbits, presumably); instead, they want space to enjoy their home. While there may be more value for you in cramming as many homes into a single space as possible, many buyers will be on the look out for a larger space to live in.
Nice garden – For many buyers, having a nice garden where they can entertain their friends and family, relax and let their children play will be a major deal-breaker. While not possible for flats, if you’re planning the development of houses, it could be advisable to leave plenty of space for a garden.
Central heating – Anyone who has ever used heating devices that are not controlled by a central boiler will know the cost of keeping their homes warm. Central heating will therefore often be a significant factor in their decision-making.
Double glazing – It’s also important that any new property’s you build have good quality windows to help them retain the heat providing by their central heating system.
Sound insulation – If you’re building homes that are close to other properties, providing adequate levels of sound insulation will be crucial to allowing buyers to live somewhere that offers them privacy, as well as peace and quiet. If the quality is not high enough, expect buyers to look elsewhere for their new home.
Parking – The number one gripe amongst neighbours is in relation to parking. It’s therefore no surprise that many buyers will only look at properties where they know there is plenty of parking space for them. Overlooking this in your developments could therefore have a damaging impact on the quick sale you’re looking for.

If you’re developing new property, sound insulation and other forms of sound control could be extremely beneficial for securing buyers.

Article Source: http://EzineArticles.com/?expert=Tina_A_Green