Off and Running Real Estate

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Click here for market stats for Lane County, April 2009

If you want to own your own home (or some rental property for extra income), and have a great work ethic but not a whole lot of cash, a fixer-upper can be your best bet. It’s important to make sure you get the right fixer-upper, though, and not something that needs a little more fixing or investment than you’ll be able to handle.

Several local experts recently shared their advice about what other factors to consider when buying a fixer, which facelift renovations are easiest and least expensive to complete, what inspections are absolutely essential, and how much return on investment is likely with a home needing renovation.

See the rest of the story at

http://www.registerguard.com/csp/cms/sites/web/news/sevendays/10560462-35/story.csp

Home sales jump in February
Home sales remain lower than a year ago, and prices have not rebounded, but a 54 percent increase from January sparks optimism among agents
By Diane Dietz at the Register Guard
Click here for the full story.

Buying a Home

Buying a home or investing in real estate can be one of the most exciting experiences in a person’s life. Finding the perfect home or opportunity is just the beginning of making it yours and enjoying all it has to offer. Be sure to have the support and expertise of the right real estate broker throughout the buying process.

* We know the Eugene real estate market. Our market is truly one-of-a-kind. We stay up to the minute on Eugene real estate by constantly previewing properties, continuing education on real estate topics and being involved in several community organizations. For us, this is a full time job and a we commit to it completely on a daily basis.
* What’s next? The hunt begins. Work with your broker to define what you are seeking in your purchase. Be open minded as you scour through the listings; homeseekers sometimes have difficulty knowing what they want until they have seen what options are available. Communicate with your broker if you need to reshape your goals.
* Even the simplest real estate transactions are complex. Our experience with contracts, documents and best practices, coupled with our collaborative relationships with local service professionals pave the way. From there, we assemble an offer, guide negotiations, manage the related details, contacts and timeframes to get you to closing, making your buying experience clean and efficient.
* Let us do the heavy lifting. Buying a home can be an emotional experience. Let us act as an emotional firewall between you and the seller, find the answers to difficult questions, manage the mountain of paperwork and do the (metaphorical) heavy lifting. You will have plenty to do with choosing how you want to arrange your new home and making plans for life after the sale. By the way, if you need help with the actual heavy lifting, let us know…we know people.

Where do you go from here?
1. Choose a Mortgage Broker/Lender

If you don’t know where to start, I can introduce you to excellent Eugene brokers. A lender will ask for income, tax, credit and debt information. Instead of rate shopping (rates may change by the time you find the right home), establish relationships in the lending industry and understand your financial position.

* What price range can you afford?
* How much will you need to put down?
* What will your monthly payments be?
* Do you need to sell current property, liquidate assets, ask family for gift money or improve your credit? (If so, get these tasks started now.)
* Do you like and trust your lender?
* Most importantly: Will you be comfortable with the mortgage? A responsible lender will not let you sacrifice quality of life to purchase more then you can afford.

Request a “pre-qualification” letter to share with your real estate agent. Even better is a “pre-approval” letter which requires more documentation. This process arms you competitively for house shopping. If needed, you can always switch lenders or shop rates later on. See mtgprofessor.com for loan overview and mortgage calculators.
2. If you haven’t already done so, choose your real estate agent

Notice that you are putting your team in place before looking at houses. This is more important strategically then most buyers realize. Not all real estate agents are created equal!

* Do you like and trust your agent?
* Is your agent responsive and helpful?
* Is your agent knowledgeable in your neighborhood and price range?
* Is your agent experienced and well connected in the industry?
* How does your agent work? Will she or he be available to show you properties at mutually convenient times?
* Share what expectations you have for your agent. Ask in turn what they will expect from you.

Agents are typically compensated by the seller, but legally and ethically allegiant to you. As required by law, your agent will explain “agency” to you prior to writing your first offer.

Buyer’s Tip: Signing an “Exclusive Right to Represent” agreement, also known as a “Buyer/Broker” agreement, strengthens your working relationship and outlines compensation. This is something you may wish to request from your agent, as not all agents will automatically offer a written employment contract to buyers. While it is gaining in popularity with both buyers and agents, it is not required by law and you are eligible for fiduciary representation with or without it.
3. Consultation

You have selected your agent. We will now meet to discuss your needs, wants, price range, home ownership history, future plans and dreams. I want to know your likes and dislikes.

* House, condominium, land?
* How many bedrooms? Bathrooms?
* Location? Proximity to work or schools?
* Yard? Pool? Views? Medical and access needs?
* New construction? Fixer-upper? Architectural style and layout?
* Pets? Athletics and Hobbies? Entertaining?

All financially and emotionally invested parties should be present at this meeting and at all subsequent showings. It’s especially important to bring your spouse or partner. Review the purchase contract together and ask questions regarding the real estate process.
4. Identify & Tour Properties

Together we will look at properties that best meet the established criteria. After each property tour we evaluate what worked and didn’t work. Don’t be surprised if your criteria changes during the search process. If you want to see an open house, for sale by owner, online or newspaper listing, new construction or yard sign; let me know. I can help you with all properties. Bring your camera and a notebook.
5. Write Purchase Offer

You have identified the property you want, so time is of the essence. I will compile recent comparable property data and do the research necessary to determine seller’s motivation. Together we will write an offer that includes price, down payment, deposit, time frames, conditions and protective contingencies. I will advise you on local regulations and customary practices. Bring your check book, or make provisions for a wire transfer, should the offer be accepted.
6. Offer Presentation

I will meet with the seller and listing agent to strategically present your offer, provide support for your offer price and highlight your strengths as a buyer. While a faxed offer may be requested by the seller, I believe that a personal presentation is paramount to the establishment of a successful transaction and will go above and beyond to make that professional contact.
7. Seller’s Response

The seller has three options: they can accept the offer, reject the offer or counter the offer. If they counter, you will have three choices: accept, reject or counter. This exchange will continue until agreement is reached, one party (or time) terminates the offer, or the property sells to another buyer. My experience, industry knowledge and negotiating skills will obtain the best possible response. This process may be repeated with different properties and sellers until an offer is accepted.
8. Open Escrow

Congratulations! Your offer has been accepted! The purchase agreement, any counter agreements and deposit money is submitted to a neutral third party, the escrow company, who will hold all monies in trust. The escrow company monitors each parties performance until all obligations have been met and all contingencies released. You will receive a lot of paperwork to review which I will guide you through. One important document will be the “seller’s disclosure statement” which reports the seller’s knowledge of their property.
9. Buyer’s Due Diligence

Per the terms of the agreement, you will have the opportunity to inspect the property independently and review all associated documents. This will include a general physical inspection (for which you should be present), termite report, title search, restrictions and insurability (both for the property and for yourself). Additional inspections may be recommended. I will help you with the coordination of timelines, inspections and paperwork. During this time you will also work with your lender to secure your loan.
10. Escrow Maintenance

Every property and every escrow may present an unexpected or unplanned discovery. It is my role to help negotiate these obstacles as they arise. This may mean going back to the seller to submit a request for repairs, ask for a timeline extension, change of loan terms, or adjustment of purchase price. Anytime a change to the original agreement is presented, the seller can accept, reject or counter. Likewise, they may approach us with a special request that you can accept, reject or counter.
11. Final Walk Through

The final walk through is done just a few days before the close of escrow, preferably when the property has been vacated. By this time inspections are complete and you have removed most or all contingencies. The final walk-thru is to confirm the property is in the same condition and all agreements have been honored.
12. Close Escrow

All conditions of the purchase agreement have been met. All parties come together to sign final papers, fund the down payment and the loan amount. (Attendance and ceremony varies by local custom.) The deed is then recorded and you receive the keys!

Getting from For Sale to Sold is more complicated than simply putting the sign in the yard. Working with an experienced professional will provide you with the resources to price your home right and present it to the buying public efficiently and effectively. We only offer full service marketing of your home through traditional and cutting edge marketing strategies for maximum exposure of you home.

* We know the Eugene real estate market. Our market is truly one-of-a-kind. We stay up to the minute on Eugene real estate by constantly previewing properties, continuing education on real estate topics and being involved in several community organizations. For us, this is a full time job and we commit to it completely on a daily basis.
* What’s next? Price and preparation. The next steps are the most important in defining our course of action. We can help you to price your home for the maximum proceeds and minimum market time and prepare your home to show better than the competition and entice a buyer. From there, we can coordinate escrows, locate and purchase your next property and manage the related details, contacts and timeframes.
* Even the simplest real estate transactions are complex. Our experience with contracts, documents and best practices, coupled with our collaborative relationships with local service professionals, help to make your selling experience clean and efficient.
* Let us do the heavy lifting. Selling a home is an emotional experience. Let us act as an emotional firewall between you and the buyer, find the answers to difficult questions, manage the mountain of paperwork and do the (metaphorical) heavy lifting. You will have plenty to do with packing, sorting and making plans for life after the sale. By the way, if you need help with the actual heavy lifting, let us know…we know people.

Tips for Sellers

Making your house the one that sells requires a combination of pricing, presence and presentation. We do the research to help you arrive at price and make sure that your home is present and easy to find on the MLS, in print and on an ever-increasing number of the most popular websites devoted to real estate. Presenting your home to buyers in a way that makes it attractive and puts it on their list for consideration involves some staging and forethought. Please consider the following:

You Never Get a Second Chance to Make a First Impression

From the curb or driveway to the front door, the potential buyer will begin evaluating your home. Make it easy for them to like what they see.

* Stow away trash cans and recycling bins
* Keep the walk, porch and doorway and window ledges clear of cobwebs, dust and clutter
* Keep front lawn trimmed and watered
* Freshen up flower beds and keep shrubs in check with pruning and watering
* Be sure that locks, door knockers and address numbers are clean and in good repair
* Consider a fresh coat of paint on the front door

Light and Bright

Don’t let the buyer think that you live in the dark. Before showings, open the drapes, curtains and blinds. If the view out a particular window is less than perfect, consider a window covering that lets the light in, but obscures the view of your neighbor’s utility shed.

Turn on the lights, all of the lights. Also be sure that each fixture is fitted with the correct maximum wattage light bulbs.

Shoe Shuffle

If your home is to be a ‘no shoes during showings’ listing, let’s make it easy for buyers and brokers by providing a basket of ‘booties’ and a bench or a couple of chairs.

Keep it Comfortable

Many homes today have programmable thermostats to turn down the heating or cooling while you are away. Make it comfortable during showing by maintaining your home’s temperature as you would if you were home. The money you spend on utilities is a small price to pay to help a buyer fully appreciate your home.

The Nose Knows

Strong smells of any kind can lead a buyer to cross your home off their list. Odors that you may be accustomed to could be offensive to buyers. You would be wise to do the following:

* Let the house breath – open windows and air out unused rooms
* Limit the use of strong scented candles, cleaners and air fresheners
* Avoid strong smelling meals (garlic, fish, strong herbs and spices)
* Remove cat litter boxes
* Do not allow smoking in the home

A drop of vanilla on a burner, freshly baked cookies or mild (very mild) air fresheners, candles (unlit) or scent diffusers can make the home feel warm and inviting.

If there is a genuine offensive odor issue, do not mask it. You are wise to make the necessary repairs now and disclose it on the Sellers Disclosure Form.

Your Adorable Pet

Although you adore your furry friend or friends, prospective buyers and their agents may not. Pets on the loose can intimidate and interfere with a thorough showing of your home. You would not want someone to miss the spectacular deck or water feature out back because they are not a dog person and having rooms off limits to showing so that the cat won’t escape, leaves buyers in the dark. We’ll plan together how to make your home as accessible as possible while caring for your pets.

* Be upfront about the pet in the MLS showing instructions
* Post notes about pets at doors and gates as necessary
* Whenever possible, remove pets from the property prior to showing.
* Contain the pet, if possible, in a laundry room, a crate, or garage
* Please have you pet properly tagged in the event of and escape

Fix It List-Just Do It

Small details about your home, that you have learned to live with, can turn a buyer off and have them looking elsewhere. Take the time to take care of the squeaky doors, sticky drawers and other routine maintenance items. In short, if is tricky to operate, broken, missing, worn-out or otherwise defective, remedy the problem now. Many of these items are do-it-yourself projects, but if you need a handyman or a professional, let us know.

Less is More

Less stuff on the counters, walls and book cases makes the home more appealing. Fewer of your photos, knick-knacks and collectibles make it more likely that the buyer can imagine themselves living there. Less stuff in the attic, garage, cupboards, cabinets and closets make the storage space seem larger and the home more move-in ready.

This can be a lengthy process. Pre-listing is the perfect time to purge some of your unnecessary belongings. Give aways and garage sales are a start. What you cannot part with and don’t need daily should be packed into tubs or boxes and neatly stacked in the garage or a storage unit. Less personal and less stuff = more space and a more appealing home to someone who is trying it on for size.

Stow the Valuables

Your home will be visited by the public during open houses and showings by your listing agent of a buyer’s agent. Both will be careful to supervise the visitors while they are in your home, but during a busy open house or a crowded tour, it would be best if you have take the precaution of removing or locking up the following items:

* Jewelry and heirlooms
* Fragile items
* Prescription drugs and medications
* Guns and weapons
* Small, expensive electronics (cell phones, laptop computers, video games, gps units, etc.)

Take it or Leave it

Review the term ‘fixture’ with your listing broker. If you plan on taking a special light fixture or shrub with you when you move, consider removing it now and exchanging it with a suitable replacement. What a buyer sees when they visit you home, they may ask for in the offer. You may exclude items from the sale and should make those decisions beforehand.

Lean and Clean

Now that the home is tidy and depersonalized, it’s time for a final sweep, mop and wipe.

Kitchens and bathroom should be free of dirty dishes, towels and clutter of daily life. Consider freshening them up with new shower curtains, bath mats and hand towels.

Bedrooms should have beds made, laundry put away, and a tidy appearance.

Run the vacuum, mop, dust and wipe down surfaces as needed while on the market.

Showing Etiquette

The optimal showing for a potential buyer is one where they feel at ease in the home with their agent, who knows them best, or with your listing agent. Whenever possible, the seller should vacate the home to allow the buyer to explore and ask questions without fear of offending the seller. They need to take their time and move at a pace that is comfortable.

If you do meet a potential buyer before, after or during a showing, exchange pleasantries then give them space and let the agent guide the showing as needed and answer questions.

Follow Up

Believe it or not, sometimes a home does not sell in the first week or month. Your agent should follow up with you about showings, open houses, market activity and your home’s competition. Listen to that advice and keep the lines of communication open. Getting your house sold requires that you and your agent work together.