Short Sales - Buyers want bargains AND knowledgable professionals
My husband and I both take the time and made the effort to service short sale clients. We know that not all short sale transactions close and we make sure our seller clients are aware of it, too. We spend a considerable amount of time helping our clients sort out their options and help them make good decisions. We extend the same expertise and knowledge to our buyer clients and we make sure they completely understand the nature of short sales before we search the MLS for short sale bargains.
Here are a few pointers buyers should consider when thinking about shopping for short sales:
1. There are NO seller concessions. The seller is insolvent and will take a hit to his/her credit, the lender is losing money on the transaction. There are NO seller concessions.
2. Every short sale is "AS-IS", there will be no repairs to be paid for by the seller or the lender. The seller is insolvent and will take a hit on his/her credit, the lender is losing money on the transaction. NO repairs will be paid for by the seller or the lender.
3. Your offer needs a "Short Sale Addendum". There are certain provisions such as "Approval of the Lender", "Time Periods" that needed to be made part of the regular Contract for Sale and Purchase (which should be an AS-IS contract or have an AS-IS addendum). This is a good example of why it is beneficial to work with a real estate professional able to navigate a short sale. Your short sale expert will know which addendums to use and why.
4. You need at letter of pre-approval from your lender of other sufficient proof of funds. The seller's lender wants evidence that your are financially able to purchase.
5. Sit back and relax. No kidding! The seller's lender is going to need more time to accept your offer than a seller would. If you are on a time frame, short sales might not be for you.
Copyright Andrea Mills, 2008 "Short Sales - Buyers want bargains AND knowledgable professionals" www.millsrealestate.net
Recently, we started working with a buyer who seemed puzzled when we told her that we can show her ALL listings in our MLS, not just our office listings. It made us wonder how many buyers are under the same impression and therefore end up working with several agents.
Why do we show you listings by other offices? Our job is to find you a home that fits your Needs and suits your Wants. Chances are, we do not have a listing that fits your criteria, but another office does. Again, our job is to find you a home that fits your Needs and suits your Wants - that's all there is to it. For example, if you are looking for a 3 bedroom, 2 bathroom for under $100,000 (and there are plenty of them available), you will be able to pick from EVERY home that fits your criteria, no matter who has the listing.
Isn't it better to work with several agents at the same time? No! Definetely not! Imagine how much time you will spend calling up several agents, and make appointments with them to see their listings. Each of them will ask your criteria and do a MLS search for you. Sally Selleragent will come up with the same 3 bedroom homes as Bob Buyeragent - after all there's only one MLS and the listprice of any particular home is the same no matter who is doing the search for you. If you feel comfortable with the agent you are working with, stay with that agent!
What is a Buyer's Agreement and why would I sign one? Real Estate agents have to put food on the table just like you do and they do not get paid for any of their services unless they sell a home. We believe that if we make a commitment to you and take the time and financial resources to find your dreamhome, we can ask you to make a commitment to us. Unlike some other offices, we do not charge you a transaction fee, our services to you are completely free. By signing a Buyer's Agreement you make a commitment to work with us exclusively. Again, there is no fee, no financial commitment. In return, you will receive dedicated service from a trusted friend in real estate.
Andrea Mills - "Buying a home: You can show us all the listings? Really? " Copyright 2008 *All Rights Reserved www.millsrealestate.net
A Limited Service Agreement (in the state of Florida) is basically a flat fee MLS listing. The seller gives the broker the exclusive right to sell the property while still being able to sell on his own. The advantage to the seller is that he saves the listing agent's fee but benefits from access to professional real estate tools. Also, if the seller finds a buyer on his own, he saves the commission for the buyer agent as well.
In case that a buyer agent brings a buyer, the seller will pay the buyer agent a commission as specified in the Limited Service Agreement. This can either be a percentage of the final sale price or a fixed amount. Still, the seller will have saved half the commission.
If you are trying to sell on your own and would like a little professional help without having to fully commit, we are in the process of implementing a Flat Fee Program to offer to For Sale By Owners. Simply drop us a line or give us a call!
Andrea Mills - "$ave the commission - what is a limited service agreement" Copyright 2008 *All Rights Reserved
I advertise my listings on Craig's List. I get great responses from true buyers. Unfortunately, I also get plenty of emails from companies trying to sell me their re-negotiating packages. The emails read something like this:
I recently saw that you had posted an ad on Craigslist selling your home. With today's economy, many people are trying to sell their home because they're behind on their payment or because their ARM has gone up. I represent a company that can help you keep your home! We can help you:
* Re-negotiate your current loan * Get a payment you can afford
Trust me when I tell you, you are NOT alone. We hear from many people everyday that are simply hitting on hard times but do not wish to lose their largest asset. Over 2 million families will lose their homes this year alone. Don't become just another statistic. Have a look to see how we can help you today!
PLEASE, Stay clear of Foreclosure Rescue Scams! Your mortgage lender or any legitimate financial counselor can help you explore your options in order to avoid foreclosure WITHOUT YOU HAVING TO PAY A FEE FOR THEIR ADVICE!
The Department of Housing and Urban Development (HUD) sponsors housing counseling agencies throughout the country to provide free or low cost advice. Find a counselor near you at their website: http://www.hud.gov/offices/hsg/sfh/hcc/hccprof14.cfm
Highlands County Market Update for November 2008 Single Family Homes, Mobiles on owned/rented land, Townhouses/Villas, Duplexes, Condos
HIGHLANDS COUNTY
Days on the Market: 143 Number of Sales: 80 Average List Price: $158,158 Average Sale Price: $147,044 Sold to Original Ratio: 79.77% Sold to List Ratio: 92.97% Absorption Rate: 25.95 Amount of Sales* by Price Range: Under $100,000: 37 $100,000-$150,000: 22 $150,000-$200,000: 11 $200,000-$250,000 6 $250,000-$300,000 1 $300,000 and up 0
AVON PARK
Days on the Market: 146 Number of Sales: 8 Average List Price: $88,606 Average Sale Price: $78,203 Sold to Original Ratio: 75.87% Sold to List Ratio: 88.26% Absorption Rate: 26.57 Amount of Sales* by Price Range: Under $100,000: 7 $100,000-$150,000: - $150,000-$200,000: - $200,000-$250,000 - $250,000-$300,000 - $300,000 and up 1
SEBRING
Days on the Market: 113 Number of Sales: 46 Average List Price: $135,560 Average Sale Price: $126,106 Sold to Original Ratio: 81.51% Sold to List Ratio: 93.02% Absorption Rate: 26.18 Amount of Sales* by Price Range: Under $100,000: 22 $100,000-$150,000: 15 $150,000-$200,000: 9 $200,000-$250,000 3 $250,000-$300,000 - $300,000 and up 1
LAKE PLACID
Days on the Market: 184 Number of Sales: 20 Average List Price: $238,863 Average Sale Price: $224,240 Sold to Original Ratio: 78.62% Sold to List Ratio: 93.88% Absorption Rate: 32.23 Amount of Sales* by Price Range: Under $100,000: 8 $100,000-$150,000: 12 $150,000-$200,000: 2 $200,000-$250,000 3 $250,000-$300,000 1 $300,000 and up 3
Nov 1 Terror Trail - Humane Society Nov 1 Sebring Recreation Club Nov 1 Harvest Home Festival-Handmade Crafts & Bake Goods Nov 1 CCC Festival Highlands Hammock State Park Nov 2, 8, 9, 14, 15, 16, 21, 22, 23 Beauty and the Beast at Highlands Little Theatre Nov 3, 10, 17, 24 Horse & Pony Rides Nov 4 General Election Nov 4, 11, 18, 25 Bingo - Sebring Lions Club Nov 4, 6 Heartland Idol on the Circle in Sebring Nov 5 - Nov 8 13th Annual Fall Fuel Up Nov 5 Comedy Night Nov 6 Rotary Apple Sale Nov 7 Highlands Art League - Sunset in the Villages Nov 7 1 YEAR CELEBRATION $1 Move In Nov 7 Beauty and the Beast at Highlands Little Theatre Nov 8 13th Annual Fall Fuel Up Nov 8 Miss Lake Place Pageant Nov 8 Harvest Moon Sidewalk Sale & Farmers Market Nov 8 Saturday Night Cruise Car Show Nov 10 Womens Club Arts luncheon Nov 11 VETERANS DAY CEREMONIES IN SEBRING Nov 11 Home Buyer's Seminar Nov 12 Ladies Lunch Club Wednesday Nov 13 Music with the Masters Nov 14 Sebring Chamber of Commerce Results Seminar Nov 14 Balloon Festival Nov 14 HIGHLANDS COUNTY BOYS & GIRLS CLUB FALL BALLOON FESTIVAL Nov 14 Gallery/Downtown Walk Nov 15 Boys & Girls Club 3rd Annual Balloon Festival Nov 15 Harvest Moon Sidewalk and Farmers Market Nov 15 HFRWN Annual Fashion Show Nov 16 BBQ Dinner Nov 18 Sebring Chamber of Commerce Membership Breakfast Nov 20 Sebring Chamber of Commerce After Hours Mixer Nov 22 Golf Tournament - Florida Nursery Growers & Landscape Association Nov 22 1st Annual Golf Tournament for Humane Society Nov 24 - Nov 28 Horsmeanship Day Camp
I'm in a small rural market. We have somewhere around 2249 active residential (including mobiles on rented land) listings today. Despite all the products available these day, most residential listings are still without Virtual Tour. In fact, there are only 509 listings with a Virtual Tour of some kind. WHY???
Of course, it makes it so much easier for us to fetch those expired listings if they didn't have a Virtual Tour provided by their previous agent. Buyers will spend more time looking at a listing if it has a Virtual Tour. Buyers might not even click on a listing that doesn't have one. It's easy for us to make the case as to why we are the agents to work with.
Yes, there are listings where a Virtual Tour can backfire. We have one of those: overgrown courtyard, interior needs serious cosmetic work. We're not able to get a hold of the seller to get written confirmation to hire someone to fix up the place. Soooo, we do not have a Virtual Tour on that property. Other than that, all our listings have a tour. It's standard these days, or is it?
Why do we include FREE Home Warranties with our listings? Pretty simple: everyone benefits!
Especially when it comes to resales, a home warranty makes almost any listing more attractive and adds value as well.
I remember when we moved into our home, the first thing to break was the water pump, then we needed a new pool pump, then the dishwasher stopped working.
We did not have a home warranty and we weren't too happy to have to replace those appliances shortly after we purchased our first home. Especially for First Time Home Buyers there are plenty of expenses they might not have budgeted for: pool maintenance, larger utility bills, lawn mower etc. Giving them a home warranty gives peace of mind. They will not have to worry about paying for costly appliance repairs or even replacements.
The seller benefits because his home comes with a warranty! It builds rapport with the buyer and because the warranty "can be" upgraded, it can be used as a negotiating tool as well.
Yes, we pay for the home warranty! Depending on what company you are working with, the cost will probably range between $300 and $400. We don't believe the home warranty actually sells the home, but it provides for additional advertising avenues, it's a FREE bonus to buyers and sellers as well. Our clients love them and we're more than happy to provide them.
Days on the Market: 134 Number of Sales: 13 Average List Price: $114,473 Average Sale Price: $108,763 Sold to Original Ratio: 86.85% Sold to List Ratio: 90.01% Absorption Rate: 26.50
Amount of Sales* by Price Range:
Under $100,000: 8 $100,000-$150,000: 4 $150,000-$200,000: - $200,000-$250,000 - $250,000-$300,000 - $300,000 and up 1
Days on the Market: 148 Number of Sales: 49 Average List Price: $132,060 Average Sale Price: $119,854 Sold to Original Ratio: 82.70% Sold to List Ratio: 90.76% Absorption Rate: 25.99
Amount of Sales* by Price Range:
Under $100,000: 20 $100,000-$150,000: 8 $150,000-$200,000: 6 $200,000-$250,000 3 $250,000-$300,000 1 $300,000 and up 1
Days on the Market: 182 Number of Sales: 14 Average List Price: $229,100 Average Sale Price: $207,640 Sold to Original Ratio: 84.81% Sold to List Ratio: 90.63% Absorption Rate: 31.63
Amount of Sales* by Price Range:
Under $100,000: 4 $100,000-$150,000: 5 $150,000-$200,000: 3 $200,000-$250,000 2 $250,000-$300,000 - $300,000 and up -
Days on the Market: 168 Number of Sales: 66 Average List Price: $134,937 Average Sale Price: $122,418 Sold to Original Ratio: 81.89% Sold to List Ratio: 90.72% Absorption Rate: 27.86
Amount of Sales* by Price Range:
Under $100,000: 27 $100,000-$150,000: 16 $150,000-$200,000: 11 $200,000-$250,000 5 $250,000-$300,000 1 $300,000 and up 2
The absorption rate for all three cities as well as county wide has gone up for the first time since January 2008. While the number of For Sale By Owner's has gone down dramatically since last year, we find there are more and more sellers willing to list their homes at fair market value.
The bulk of sales still happens in the "Bargain Area", around $100K.
Andrea Mills YourHighlandsCountyRealtor — Meet Your Highlands County Agents:
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