John's Blog

Good Tips for Great Real Estate Photography

Providence Real Estate — Fri, 22 Feb 2008 15:34:50 -0600

In today's market, home sellers need to bring out as much ammunition as possible in order to attract buyers. One of the first steps in drawing interest to your home is to create a clear, enticing and positive online listing of your home. As much as words can be used effectively to describe selling features, nothing can compare to the impact of quality photographic images. Digital cameras and photo software like photoshop, make it easy for homeowners to take their own listing photos. If want to present a successful image gallery for your home, here are some important tips to keep in mind:

Take more than one!

Your listing should contain more than one photograph. Ideally, there should be several photographs, all of superior color and in the correct format. Posting only one image, or only outdoor/only indoor images can easily come across as if you are hiding something distasteful. Prospective buyers want to have a clear visual picture of your property and are more likely to book a viewing if they've seen a good visual representation of your entire home through an internet listing. Make sure to include whatever rooms inside your home offer distinctive features or appeal. Your agent will probably have a limit on how many photos you can submit, so maximize potential by using your full limit and include only the best photos of the best rooms, views, and outdoor spaces as well. Take note that you'll want a great photo of the front exterior of your home, as this may be the image that is used repeatedly as a sort of cover shot. This will be the image that initially draws people to look further into your listing.

Set them up!

You will need to do a little home staging to prep your rooms before taking the photos. Remove everything from the room that distracts from your purpose of making the home look attractive. Avoid including things like door frames and chair backs in images. Remove extra furniture and add only striking decorative items that accentuate the selling features of your home. Keep an eye out for things that can be removed to improve the photo. Clean lines and an uncluttered room will make for an appealing photos. A strong photograph will focus on the building's/room's architecture, design and space.

Don't aim too high!

Don't aim your camera too high when taking photos. Viewers are not going to be interested in shots of the ceiling. If you have a ceiling/wall feature that you want to capture such as a high, coved or vaulted feature, you may need to use a camera with a wide lens. Aim to include a suggestion or taste of that feature, while still including the scope of the room at roughly eye level. Remember, it's important to capture the entire room. Viewers want to be able to perceive rooms as if they were just walking through your house. Clear, accurate visual information is what you want to offer in your photographs.

Color your world!

Once you've taken a whack of photos, you can then look at them on your computer and use a photo editing software package to adjust the color on your images. Play around, with different levels of color and contrast. Light and bright, is what you're aiming for.

Make them fit!

Keep in mind that most websites are designed to work best with horizontal (landscape mode) images. A mixture of horizontal and vertical formatted images can be distracting and confusing.

John Mejia is a top producing REALTOR ® who specializes in the Birmingham real estate market. For Mountain Brook AL real estate listings or information on other great areas in Birmingham, contact John with Providence Real Estate.

Attractive Fences Make Good Neighbors

Providence Real Estate — Mon, 18 Feb 2008 13:40:01 -0600

If you're looking to create a privacy screen through outdoor landscaping, consider the value of building a "living wall". A "living wall", in other words, is a fence made of plants and trees, as opposed to the traditional hardscape fence. Although a hardscape fence may be what you want and need, it can't hurt to take note of the advantages a "living" fence alternative has to offer.

Creating privacy with trees and shrubs and other softscape elements can be a less expensive option, as compared to hardscape fencing. Also, softscape elements tend to be easier to move and to change. If your landscaping plans are not set-in-stone and you want some flexibility to adapt, then a softscape approach to privacy may be just what you're looking for. Working with plants, trees and shrubs offers visual beauty in color, form and texture. You'll also have the visual element of seasonal variation in color. With living fences there can be flexible shaping possibilities as well.

When designing your softscape privacy plan consider investing in some trees and plants that are more mature, and can offer some height right off the top. These can be used in keys places that require the most screening. You can then layer in other levels and colors with the addition of shrubs and plants surrounding them.

Berms are another option. These are mounds of dirt that can help build up some height. Once you've set your desired height and width, you can then plant pockets of shrubs, plants and trees on top of your berms.

A chain of trees can also be a great way to build in screening potential. Bamboo is great choice if you're looking for a quick fix. Take note, that you want to use a clumping variety over a running variety. A good species of clumping bamboo is Bambusa Multiplex.

Hedges are another screening idea. With densely packed rows of bushes and shrubs you can effectively create as much privacy as a fence. Take note, that hedges do require some regular maintenance and shearing.

Another simple approach for creating privacy is by the thoughtful placement of larger decorative planters. You can purchase beautiful planter pots in a wide variety of shapes and sizes, and include plants of different colors and sizes in your arrangements. These pots can be great to create a screen on a deck or balcony, or in the front of your home.

Tall growing grassy plants are an inexpensive means to achieve your landscaping goals. This is also a great choice if you are looking for a temporary or more flexible solution. Many of these grasses grow 5 to 6 feet tall in a matter of weeks.

If you'd rather a less austere look than that of the uniform hedge, consider building a "loose border". For maximum results when building a loose border, you'll want to appropriately layer your plants. Tallest plant selections should generally be in the back row, shorter shrubs and tall perennials in the middle row, and your shortest plants in the front. Use repetition to tie in areas of the border. Set plants of the same type in odd-numbered groups to help keep the loose border look from becoming too symmetrical.

Lastly, combining some elements of hardscape and softscape together can be both effective in terms of creating privacy and attractive as well. Arbors, pagodas or fences with lattice work are all great structures for climbing plants, such as roses or wisteria to weave around.

John Mejia is a top producing REALTOR ® who specializes in the Birmingham real estate market. For Gardendale AL real estate listings or information on other great areas in Birmingham, contact John with Providence Real Estate.

Canadians: How to Finance a US Real Estate Purchase

Providence Real Estate — Thu, 14 Feb 2008 13:24:37 -0600

These days there's a large influx of Canadians interested in buying real estate in the U.S. Of course this draw is due to the effects of the subprime mortgage crisis which has led to a saturated market of foreclosure properties selling at much less than market value. Also, Canadians are running to the US to put the strong value of their robust loonie to good use. Likewise, in Canada house prices are continually on the rise, with Canadian vacation properties at a premium. These factors are making the US market all the more attractive to Canadians. So, if you're a Canadian looking to invest in the US housing market here are some details on financing options.

Take note that the terms of the loan will be more favorable if you're seeking a second, or vacation home in the US. This category of home, is defined by the purchase of a home that you intend to use for recreational purposes for a portion of the year. The property is not be your main place of residence and under these terms you are not to derive any monetary benefits from this secondary property. In other words, you can't rent it out.

With such a loan you'll need a minimum down payment of 30% and additionally will have to demonstrate 3-6 months of liquid reserves. You can calculate this by multiplying your monthly payment by 3-6. Not all lenders require these reserves at present, but given that US credit markets are in such a state of flux, and loan programs are always changing, it's best to be able to cover this possibility.

Part of the approval process requires that you show 2-3 months of bank statements to demonstrate that the funds for the down payment and reserves are indeed available. Take note that the lender will be suspicious if there are large deposits, beyond your regular income in your account. Be prepared to explain any such deposits. The mortgage lender will request verification directly from your bank and take note, that your assets must be with an approved Canadian financial institution

In terms of identification you may need to supply both your passport and and a driver's license. While some lenders may be fine with one or the other, it's best to be prepared to present both.

More stringent regulation comes into play if your planning to purchase an investment property. Such a property is one that is not occupied by the owner, and is usually purchased specifically to generate profit through rental income and/or capital gains. In this case the down payment required will be more than 30% and will be determined on a case to case basis. You'll also have to demonstrate more reserves; possibly up to 12 months worth.

If you can fulfill the above conditions, then the first step you'd take is to find a reputable lender and fill out a mortgage application. Along with the application you'll be asked all the usuals: what is you source of employment, monthly income, available liquid assets etc. Next you'll be required to present a letter of employment, relevant bank statements and a copy of personal identification.

As already mentioned credit markets in the US are in a state of flux, so while these features are available today, they may not be tomorrow. Keep up to date with changes in the market and best of luck finding good financing for your American real estate investment.

John Mejia is a top producing REALTOR ® who specializes in the Birmingham real estate market. For Helena real estate listings or information on other great areas in Birmingham AL, contact John with Providence Real Estate.

Healthier Floors

Providence Real Estate — Wed, 06 Feb 2008 15:07:32 -0600

Have you ever been in a home with brand new carpets? Did you know that the "new carpet" odor is actually the carpet (and the adhesive used to install it) off-gassing? The chemicals used during the manufacturing and treatment process are being released into the air. These toxins include things like formaldehyde and 4-phenylcyclohexene (4-PCH) that can be harmful to your family's health, particularly if someone in the household is sensitive to odors or has breathing problems.

If you've already installed a carpet and are experiencing problems with the smell, you won't be able to cover the smell, but you may be able to speed the gas dissipation. Try using a water extraction cleaning method – it may help. Always open your windows and use an extraction fan, and try alternating periods of high heat with open windows to speed up the process. Add houseplants to the room – according to a NASA study; plants will increase your indoor air quality by filtering harmful pollutants. Try gerbera daisies, bamboo palms or spider plants.

If you are looking at having new carpet put in, ask the distributor to air out your carpet before it's installed. Use felt padding instead of traditional carpet pad, or better yet, reuse your current padding if it can be salvaged. If the carpet will be glued down, ask for a low-VOC, non-solvent or water-based glue.

When choosing carpet, look for natural fibers such as wool, cotton, camel's hair, hemp, sea grass, jute or sisal. Ask what they have been treated with, because even natural fibers can be treated with harmful chemicals. Natural fibers should be biodegradable, and are usually produced from renewable sources, which is an added bonus. Remember to clean them regularly with non-toxic, natural cleaning products for optimal indoor health. Natural carpets may have a higher allergen/dust potential, which can make them unsuitable if someone in the house is sensitive.

If you do have sensitivities in the household, it may be best to avoid carpet altogether because it's easy for small particles to get trapped in. Some kinds of cork, rapidly renewable bamboo or natural linoleum are better options. In addition to being hypo-allergenic and resilient, cork is a sound-dampener, warm on the feet, and fire, bug and water resistant. Cork is also sound-absorbing, warm and anti-allergenic. You can find similar properties in natural or environmentally preferred linoleum, with no harmful off-gassing.

Healthier building materials are becoming more common as the demand for these kinds of products grows. With a little research you will find the perfect floor for the whole family to enjoy. Remember, the new floor is more than an investment in your health – it will also increase the value in your home.

This article was written on behalf of John Mejia, your online source for Birmingham real estate. To search the Birmingham Alabama MLS, or for more information on the neighborhoods in the area, visit John online at TheMejiaGroup.com.

Renew Your Roof

Providence Real Estate — Fri, 19 Oct 2007 16:03:33 -0500

If rainy days find you singing the leaky roof blues, it's time to consider recovering your home's cap. A new roof is a big investment – it can run you as much as an older car. Styles and materials vary, but remember – your new roof will not only keep you dry, it can be a selling point when you choose to put your home on the market. For that reason, regardless of what material you go with, be sure to choose a shingle that is complementary to your home's exterior paint color.

Almost 90 per cent of today's homes are covered in composite or asphalt shingles. These are popular because they are cheap, easy to install and come in a variety of colors. They can last 20 years but most are fairly nondescript. The higher grade architectural-quality come in a variety of styles that mimic wood or ceramic tile. It's thicker and should last longer and offers more color choices.

Other, more expensive materials include sheet metal, wood shingles or shakes, slate, ceramic tiles, cement tiles. Asphalt shingles run from $80 to $200 (or more) per 100 square feet – this includes removing the original roofing material. Compare that to metal or concrete ($130 - $650) ceramic tiles ($330 to $550) and slate (up to $1000): you can see why asphalt is so commonly used. While wood has been a traditionally popular choice, the cost of the material has increased. Safety is another concern with wooden shingles, especially for homeowners in areas where wildfires may be an issue. In fact, many building codes require fireproof construction materials, which is something to consider before you get your heart set on a particular style. Also, today's wood shingle is not necessarily as durable as it once was. Using newer wood instead of old growth means the shingle may dry faster. This is better for our forests, but not necessarily your pocket book.

For a greener option there are shingles made from recycled plastics, tire, and natural fibers, which mimic the look of silver cedar for a price comparable to steel roofing and require no maintenance once installed. These environmentally-friendlier materials come with warranties often guaranteeing the product for up to 50 years, which can be transferred to the next homeowner – definitely a bonus when it comes to sell.

By far the most unique option is the green or live roof. Still a virtual stranger in North America, green roofs are a multimillion dollar industry in parts of Europe. Not only do these living structures generally last a long time, they save on heating and cooling costs and minimize sound, making them ideal for noisy cities. Green roofs also improve air quality and can produce food (an added bonus for those with limited garden space). However, living roofs require some serious research before you attempt to install one.They are often quite heavy and require a water and root proof membrane. If this type of roof appeals to you, check with local governments and utility companies – there may be subsidies available for greening your home.

John Mejia is a top producing Birmingham Real Estate Agent who can help you find or sell your property. To browse properties in Birmingham or to find real estate in Alabaster Alabama and other local areas, visit John's website at www.themejiagroup.com

Renos That Pay: Redo Your Kitchen and Enjoy the Returns

Providence Real Estate — Fri, 19 Oct 2007 16:03:09 -0500

If you are thinking of redoing your kitchen you'll be happy to know that it is a sound investment. A good kitchen reno can add up to ten per cent to the total value of your home, and if the renovation is done well you should recover the costs when it comes time to sell. Not only that – you can expect your home to sell faster with a new look.

That said, you don't want to undertake this job haphazardly: the key to a successful renovation is in the planning. Do your research before you begin – this will save you a lot of inconvenience in the long run. Start by making a budget. Be realistic in what you can afford and expect to run over at least a little.

There are several elements to consider when redoing your kitchen. You may not need to do all of them – sometimes a few smaller changes will give your room a facelift without the excessive costs of complete reno. If you're on a budget consider inexpensive ways to update your kitchen. Sometimes a fresh coat of paint can do wonders, and online design tools will allow you to experiment with color combinations before you commit yourself.

New cabinets can be an expensive but beautiful addition to your cooking space (costing several thousand dollars, especially for custom woodwork). If finances are tight, a DIY paint job can add new life to cabinetry. It may be possible to resurface the existing cabinets. Have glass panels inserted in the doors for a change, or remove some doors altogether (this works especially well when paired with interesting dishes or various grains and legumes displayed in glass jars). Update the lighting fixtures. Other easy ways to freshen a room on the cheap include changing the cabinetry hardware or the kitchen facet. But again – consider your budget. Don't break the bank on pricey fixtures, especially if it means cutting in areas that may make a bigger difference to the overall appearance of the room.

There are so many options for countertops – for budget jobs, you may be limited to laminate, but today's laminate can be very attractive. Another DIY option is to tile over the existing counter tops. You can find instructions for this project on the internet or in home-improvement manuals. If you are not a handy person, you may need to hire a professional tile-setter. If you have more to spend there are endless choices including steel or concrete (for a super modern look), stone, granite and wood. These all have different selling features and drawbacks based on a number of variables including resistance to stain, heat and odor, as well as price and maintenance requirements.

The biggest costs, which may well be out of reach for those on a budget, are new appliances and structural changes. When choosing new appliances remember the additional cost of operating them – you can save in the long run by opting for energy efficient models.

If you are planning structural changes you will probably want to enlist the services of a professional unless you are really handy. For bigger jobs you should get at least three different quotes and always ask for references. Check the references before hiring anyone and lay out the terms of the job in writing before beginning the work. With any major reno you can expect to be without a working kitchen for a week or two to month or more. Planning for this can make the transition smoother – choose to do renos in the summer time when you can take a vacation, go camping, or BBQ outside.

Renovating can be a lot of work, but when it's all over and you are enjoying your new space you'll be glad you did it. And when it comes time to sell, you'll enjoy the financial benefits.

Flush Out the Old: Give Your Bathroom a Facelift

Providence Real Estate — Mon, 01 Oct 2007 15:53:54 -0500

The bathroom is one of the most important rooms in the house, yet in terms of decor, it often gets neglected. This is a shame, as a well-organized and nicely decorated bathroom can provide a much-needed sanctuary from the hustle and bustle of the rest of the house. In fact for many mothers, the only alone time they get is when they go into the loo. While this time is also often interrupted, every moment of peaceful solitude is golden.

To make the most of your bathroom, there are some simple things that you can do that don't require starting from scratch.

First, take a look at the room as a whole. What works, what doesn't, which elements are unchangeable, and keep your budget in mind. If you hate your olive green bathtub and matching sink, get them replaced if your budget allows. Remember that down the road when you want to sell your home, outdated fixtures will decrease the value of your home, and can deter buyers from making an offer. So if you hate it and the style isn't making a comeback any time soon, rip it out and get something more modern and practical.

If replacing large features is not within your means, your best bet is to work around the offending items. Decrease their impact on the room by sprucing up the rest of the decor.

Replace faucets and the shower head, particularly if they look worn.

Toilets, unless they work improperly, don't usually need to be replaced. Buying a new toilet seat instead is an affordable way to give the commode a little oomph.

Mirrors and lighting are also often overlooked details that can really affect the look and feel of a room. Be sure to consider function when selecting mirrors and lighting; you want to be able to apply makeup without having to worry about looking like a clown when you enter natural light.

Paint provides the biggest makeover bang for your buck. If there is only one change you can afford to make in your bathroom, paint should be it. Nothing refreshes a tired room like a fresh coat of paint, even if you decide not to change the actual color of the wall. If you do want a new shade, look at the elements that you will not be changing, such as the bathtub, sink, and floor. Let those colors and textures guide you in your selection.

If you decide to use wallpaper in your bathroom, use restraint. Heavily patterned wallpaper can shrink a room, and make it feel claustrophobic. Use something simply designed, or only apply it to one wall in order to avoid overkill.

To add the feeling of luxury to the bathroom, invest in good quality linens. Fluffy white towels are classic because they go with everything, and feel like heaven after a hot bath.

New accessories like soap dishes and towel racks can also spice things up in the powder room. Keep your things organized, and try to keep most of your toiletries tucked away in cupboards and drawers. The more clutter you see, the more tense you get. Remember that you want the bathroom to be a place for relaxation and refreshment.

John Mejia is a hard working and successful Birmingham AL REALTOR® who is happy to answer any of your questions about the Birmingham real estate market.

First Time Buyer? Remember These Things

Providence Real Estate — Mon, 27 Aug 2007 13:36:01 -0500

There are a huge number of concerns when you buy a home. If it is the first time you have purchased a property, much of the process will be pretty confusing. In fact, the process does not really get any less confusing with the ever-changing nature of the real estate industry. This is one of the reasons that it is essential to work with a realtor who stays on top of what is happening in this dynamic industry. Only realtors are constantly educating themselves on the evolving realities of the current real estate market. Sellers and buyers only have so much access to information regarding market trends and changes and indeed this info usually comes from a real estate professional.

One thing that most first time buyers are unsure of is the necessary amount for a down payment. Now, depending on the financing options you are considering down payments can be as little as nothing at all or as high as the entire purchase price of the home. However, the latter is hardly ever the case in a world where homes cost a fair bit. Nothing down! Careful, home financing plans where no down payment is required can be chancy. It's better to to go down with between 5 and 10% of the purchase price. Some lender will accept 3% as well. Remember that the lower your down payment amount, the higher your monthly payments are likely to be.

Credit scores are also an important part of this process as your score will dictate the financing options available to you. It is possible to purchase a home with damaged credit. If this applies to you then you may want to consider seeking out a lender that will help you repair your credit before you arrange the actual financing of the home. As stated before, the higher your score, the better the loan programs that will be available to you. Make sure that you take note of every aspect of your home loan. Be sure that you know every clause and aspect of your loan before you sign it, it is your responsibility to be "in the know" about your home loan.

John Mejia is a real estate agent specializing in Birmingham real estate. If you are looking for a new home in Alabama, contact John today or visit the Mejia Group online at www.themejiagroup.com

Value From Your Home

Providence Real Estate — Mon, 27 Aug 2007 13:35:20 -0500

Many home owners are interested in learning how to increase the value of their homes when considering selling them. True to form there are as many different ways to do this as there are people who have asked the question. One fantastic way to do this, however; is to install an income suite or in-law suite in the home. This bring a lot of choice to the table for a new home owner as they can get some help with the bills by renting the suite out or having family live there. Also this move makes a home very attractive to real estate investors who are always looking for dual income properties.

If you have a decent portion of unused space in your home such as an unfinished basement or even a finished one that does not get used much anymore then you have the ideal space for an income suite. Start by making some plans for what you would like tom incorporate into the suite. How many bedrooms will there be? Where will tenants access the suite from and where should the kitchen be located. Unless your home is massive then you will likely be looking at the typical 1 or 2 bedroom plus den & kitchen suite. Also think about whether or not you are going to give tenants access to the laundry facilities and if so then how will they access them? You must also find a solid estimate of the costs involved and how that will affect your asking price for the home. If the costs outweigh the benefits then it may not be a feasible idea. Also, think about how much the new owner will be able to ask for the suite. This will be an important number to an investor.

If you choose to go ahead with the suite then make sure that you are able to make the addition without breaking any permits or regulation from the area in which your live. Also be sure that you have enough money banked to take care of the renovations and still keep yourself afloat while they are completed and while the home is listed. Income suites are one thing that many of the top real estate investors spend a lot of time looking for when searching out new properties in which to invest. Installing a suite is a great way to open your home up to buyers who would normally overlook it.

John Mejia is a real estate agent specializing in Birmingham real estate. If you are looking for a new home in Alabama, contact John today or visit the Mejia Group online at www.themejiagroup.com

Inspection Issues: New Homes

Providence Real Estate — Mon, 23 Jul 2007 16:16:46 -0500

There are all kinds of different things that need to be inspected upon the purchase of a home, new or otherwise. Some thing that simply because their home is newly constructed that an inspection is unnecessary and this is hardly the case. New homes require an inspection just as much as any older home and they have a special set of considerations that need to be looked at. Home inspectors are part of the buying and selling process for the protection of the buyer and it is the buyer that is responsible for arranging their own inspection. If sellers are hesitant to have their home inspected or try to convince you to skip the inspection then you could have a serious concern on your hands. What are they trying to hide? Never buy a home without having a full inspection performed.

Home inspectors are trained to find this that could be huge issues to the home buyer. Typically they are concerned with the vital systems that are essential to the proper operation of the home. Systems like plumbing pipes and fixtures, the electrical system , septic system if there is one are all checked for wear & tear and quality. Also the foundation will be examined for cracks and stress fractures. This kind of imperfection in the home's structure can be quite dangerous and expensive to repair. However if left unattended to it can cause huge problems later on in the home's life.

Mold is another issue altogether and most home inspectors are not correctly educated in the identification and dealing with the various kinds of mold that are found in homes. In fact, the best method of finding out about mold in the home is to hire a professional mold specialist. These professionals are trained in the identification of various forms of mold and can better inform you on what kinds of mold are harmful to your health as well as the correct ways to remove mold so that it does not take hold in your home again. Always be sure to have any home that you are considering purchasing inspected. It is the only way to ensure that your investment is a wise one and that your family is safe and protected.

John Mejia is a real estate agent specializing in Birmingham real estate. If you are looking for a new home in Alabama, contact John today or visit the Mejia Group online at www.themejiagroup.com

Home Fixes That Buyers LOVE

Providence Real Estate — Mon, 23 Jul 2007 16:15:34 -0500

If you are selling your home then here are a few things that you are likely planning on doing to improve your home's appeal and selling value. Well, one thing that you should keep in mind is that not all fixes will improve the asking price that you can request. What you should be thinking about is the kind of improvements that will really mean something to the average buyer. For instance not all buyers will be impressed by the addition of a covered carport or your painting of the walls. Things like the walls will be expected. But what if you could figure out some things that would make people sit up and take notice of the home and actually appreciate the changes you have made?

Some of the biggest concerns that people have when purchasing a home are those of safety. They worry about the critical systems of the home and whether or not they are working properly, especially in older homes. If your home has been around for a while then why not consider upgrading the home's essential systems like plumbing or electrical? Electrical consumption has risen drastically over the last 10 years and many older home's electrical systems don't cope well with today's energy draining appliances and technology. Years ago most homes had 1 TV, maybe 2 and the kitchen and laundry appliances. Today's average family has 2 or 3 TV's and at least one computer plus larger capacity washer/dryers and a host of other electrical appliances. Many older home's systems have difficulty coping with this increased drain on power. This can cause power systems to short and electrical fires can happen. Upgrading this vital system is a great selling point.

The same holds true for the plumbing system but for a different reason. The stress on this system should be relatively the same that it has always been. However, the years of moisture and use can cause pipes to degrade and when this happens, so do leaks. Leaky pipes can cause any number of problems in the home including water damage and mold. Along these same lines, a new roof is a huge selling point. If you install a new roof with a warranty then that is a fix that you should be able to bank some extra profit on. Keep in mind the safety concerns of the average buyer, in fact these are the same concerns that you should have yourself when buying your new home.

John Mejia is a real estate agent specializing in Birmingham real estate. If you are looking for a new home in Alabama, contact John today or visit the Mejia Group online at www.themejiagroup.com

What to Know Before You Close.

Providence Real Estate — Thu, 28 Jun 2007 12:46:31 -0500

You've done your shopping, found a beautiful, functional home close to everything you need, and your offer has just been accepted. Before you close the deal, here are a few things to consider.

Unlike renting in which you pay in advance for the upcoming month, a mortgage is paid "in arrears". This means you are paying back the past month's worth of your loan after the month has passed and the interest accrued during that month is included in the payment. Say, for example, you close a sale on June 29th. Your first mortgage payment will be due on August 1st. If, however, your close occurred in the middle of June, that half a month's worth of loan interest will be due at the time of close. Because of this, it can be advantageous to close a sale at the end of a month rather than the beginning. By closing later, you save yourself needing to have that extra money on hand right at closing. You don't really save money in the long run, but considering all the expenses involved in buying a home and moving, not having to pay half months worth of interest right then and there can really help.

There's another reason why closing later is a good idea. Let's take our example again, and the closing date has been set for June 15th. Knowing the sale is imminent, and that a payment isn't technically late until after the 15th of the month, the current owners of the home you are purchasing may decide not to make their June 1st mortgage payment. If this happens, you will have to pay not only for that half of June, but also May's mortgage payment as well, all at the time of close. While we hope that a seller wouldn't do this, it has been known to happen, and setting close date at the end of the month is a good way to prevent this.

Another thing to make sure of is that you don't take out another loan right before closing. Most lending institutions will do a second credit check right before finishing the closing paperwork, and another loan may jeopordize your mortgage loan. So as much as it might seem like a good idea to get a new car or TV to go along with that new house, resist the temptation, even if you think you can afford it. Waiting until after your real estate purchase is complete assures that the process will go smoothly and reduce the stress of the buying process.

Speaking of stress, it is common for buyers to get second thoughts or feel worried about the purchase they are about to make. To prevent this, a final walk through of the home is recommended. Check everything you may have overlooked in your initial excitment, such as electrical outlets and any appliances that will be included in the sale. Examine the foundation and the roof, turn on faucets and flush toilets. In short, make sure that everything is in complete working order, that no changes have been made to the home since your initial decision to buy it, and that any promised renovations or clean-up has in fact occured. Also, make sure you know what to expect in regard to any maintenance fees that may be included in the home, such as water, garbage collection or landscaping. If the home you are buying is being constructed, make sure the builder signs a contract that includes exactly what you expect to be built and when it will be completed by. In this way, you will know exactly what you're getting, and save yourself from any surprises at the time of moving in.

Another way to reduce the stress of the overall move is to assure that all your personal service providers have been notified of your move. Don't forget that all your mail will need to be redirected, and the utilities put into your name. If a house has been empty for a time, electricity, water and cable may need to be hooked up. And don't forget to hire movers and get an estimate on the cost so you know what your total moving expenses will be in advance. Arranging these things early on makes everything easier when you move.

Finally, make sure the money you will need for the closing process is deposited before coming to close. Your payment should be in the form of a direct transfer, money order or a certified check, not a personal check.

Hopefully, with carefull planning, the process of buying will be fun!

Buying A Home: Some Financial Points

Providence Real Estate — Thu, 28 Jun 2007 12:44:53 -0500

Taking the time to consider all the financial arranging that must be done in the process of buying a home is well worth the effort . This is a huge purchase and it will definitely affect your financial future like nothing else. Many home buyers rush into situations that end up being financially damaging and that can be a heartbreaking situation. The excitement of buying a home can be overwhelming to a point where commonsense things seem to pass right by and sometimes bad choices are made. So what can you do to ensure that you don't make those choices and that everything is going how it should? Well let's start by looking at the financial preparations that one should make when buying a home.

One of the biggest mistakes that people make is starting to shop for home before finding out how much they can get in a mortgage loan. This can lead to big disappointment when they discover that what they are actually eligible for does not meet the amount they need for the home they have already found. To this end, any buyer should get fully pre-approved for a mortgage before the home shopping starts in earnest. Once this is done then you will know exactly what you can afford in a home and there won't be any disappointments.

Another thing that many people do not take into account when buying a home is the large number of additional costs that are involved with the purchase. There are many costs associated with closing on a home that will have to be provisioned for as well. One thing that you should always figure into the cost of the home is the closing costs. Make sure that you get a good faith estimate of these costs from your lender so that you can build them into the budget when the time comes. Also, don't forget the inspections that will need to be done in order for the home to clear closing. This is a standard subject on real estate transactions that no buyer should pass over. Inspections will tell you if there are any structural concerns that could be detrimental to the sale or to you as the buyer. Also, try to factor any immediate improvements into your budget so that the money is there if you choose to do them right off the bat.