tips: Taxable Profits
- 04/11/07 04:22 PM
If you are thinking of selling your home and your house has risen in value since you purchased it, or you have accumulated a lot of deferred profit from previous sales, the Taxpayer Relief Act passed in 1997 could be of tremendous value.Prior to this law, when a homeowner moved to a smaller home, relocated to a less costly area, or made a decision to rent, they were left with unfavorable tax consequences. The old tax law allowed people who sold their homes to defer tax on any profit by buying a replacement home of at least equal value within two … (0 comments)
tips: Time To Move
- 04/11/07 04:20 PM
As your life circumstance changes, your housing sometimes must accommodate that change. When your children leave for college or move out on their own, it may be time to re-evaluate your housing arrangements. It is useful to consult with a real estate agent who can help you decide whether it is time to move. When it is time to sell your home or to purchase a new one, the first step is to contact a professional real estate agent to discuss your situation. What is your home worth? Would it be better to sell it now or to keep the house … (0 comments)
tips: Buying New or Buying Old
- 04/11/07 04:18 PM
New homes typically have a higher sales price than comparable existing homes, and buyers are usually willing to spend more on a new home because of lower maintenance costs. Builders' warranties on new homes, when combined with a new roof, appliances, and major systems, usually make major repairs unnecessary and help to counter a slower initial rate of appreciation.Census Bureau Housing Surveys suggests that operating costs are lowest for brand new homes and slightly higher for relatively new existing homes. Operating costs per square foot of living space are consistently higher for progressively older existing homes. Utility costs represent the largest … (0 comments)
tips: A Well Schooled Decision
- 04/11/07 04:16 PM
The quality of a school district is an important determinant of the market value of a house. For homebuyers with children, the quality and reputation of the local school system may be as critical to their decision as the appeal of the home. The desire to give their children a quality education usually causes parents who are in the market for a home to ask questions about the local school district. What is the annual expenditure per pupil and the average class size? How do the district's standardized test scores compare with the national mean? Are special education programs available? What … (1 comments)
tips: If You Are Self Employed
- 04/11/07 04:15 PM
There's no question that it could be more difficult for you to get a mortgage loan if you are a free lance viola player than if you are a government accountant. Traditionally, lenders have been more cautious when evaluating loan applications of buyers who are self-employed than people who work for a regular salary.However, if you are self-employed, there is no reason for you to shy away from applying for a home mortgage loan, especially if your earnings have been in the same field for at least two years. It is a good idea to meet with one or more loan … (0 comments)
tips: Serious Inspections
- 04/11/07 04:13 PM
When you are involved in the process of buying a home, it is safe to assume that you will probably find one that you like, make an offer, and purchase it. There are many steps along the way, and more and more buyers in the market today want guarantees. Inspections by structural engineers and environmental specialists often turn up something wrong with the property you want to buy. Many sales have been halted or delayed because asbestos, lead, or radon was found on the property.If a problem has been found with the property you want to buy, ask yourself two questions:1) … (0 comments)
tips: The Perfect House
- 04/11/07 04:11 PM
Home buyers must often deal with deferred maintenance or repairs. For example, you may have found a terrific house and like many competent home buyers, you included a structural inspection contingency in your purchase agreement. What happens when you find out that your "perfect" house needs some work? Do you ask the sellers to pay for the repairs? Before you answer "yes", there are some important considerations. Some contracts require that all of the home's systems, such as plumbing, heating, electrical and central air conditioning, be in working order. In this case, the sellers may be obligated to repair any problems … (0 comments)
tips: If It Is Broken Fix It
- 04/11/07 04:09 PM
Most houses have a few "little" problems, like leaking faucets, a stove burner that won't light, or electrical outlets with too much "spark". These defects may not seem very important--unless your house is about to go on the market.We rarely have difficulty getting sellers to agree to paint, replace worn carpets or plant a few flowers in the front yard. These kinds of repairs obviously increase the overall appeal of the property. However, if any of the major systems in your home need maintenance, it is also prudent to have the necessary repairs made. Have your furnace, central air-conditioning system, plumbing … (0 comments)
tips: Closing Your House
- 04/04/07 03:54 PM
If you are selling your house, you may have to jump through a few hoops between the time you and the buyer reach an agreement and the time the money and deed change hands. The structural inspector usually finds a few things that need to be repaired or replaced, and the termite inspection may reveal the presence of unwanted pests. Most buyers will also have a list of items that they want the seller to fix.The ideal is to have your home as perfect condition as possible in time for the walk-through inspection prior to closing. If you have agreed to … (0 comments)
tips: A Full Service Professional
- 04/04/07 03:52 PM
Home sellers may be lured by the promises of agents that offer to list and sell your home for a discount commission. But consider the advantages of using a full service broker who will represent your best interests in the transaction without cutting corners.A full service real estate broker will be informed about the current trends in your local market. He or she will share valuable information about the selling price of comparable properties, to help you determine a realistic price for your home. If your home needs repair prior to listing, a reputable local contractor will be recommended. Buyers will … (0 comments)
tips: Lender Appraisal
- 04/04/07 03:50 PM
Many sellers think that the price of their home is determined solely by what they are willing to accept and what the buyer is willing to pay. However, there is one more variable that can affect the sale of a home assuming that a bank loan is involved -- the lender's appraisal. To protect the interest of their investors, the buyer's mortgage lender hires a licensed appraiser to give an independent, objective opinion of what the property is worth. The appraiser compares the house with similar homes in the neighborhood that have recently sold. Square footage, amenities and the condition of … (0 comments)
tips: Fair Market Value
- 04/04/07 03:48 PM
What is the best price for a piece of real estate? Mortgage lenders, appraisers, and real estate brokers use what is called the "fair market value" (FMV). FMV has been defined as "the price that a buyer is willing to pay and the seller is willing to accept, when both parties are knowledgeable about the property and neither is under any time pressure to buy or sell". Sounds great, but how is this price determined? The starting point for determining a fair price may be an opinion of the value or "comparative market analysis". Such an analysis uses information on similar … (0 comments)
tips: Best Interests of the Buyer
- 04/04/07 03:47 PM
Who represents the homebuyer in the transaction? The most common scenario is for homebuyers to purchase a home with the help of the seller's listing agent. In this case, known as "dual agent representation," the real estate agent assists both the sellers and the buyers. However, it is also possible for the buyers to ask another realtor to represent their interests exclusively, acting as the "buyer's agent," a service which is available at no additional cost to the homebuyer.Any licensed real estate agent can act as your buyer's agent, helping you to locate and look at properties in your price range. … (0 comments)
tips: Strategic Pricing
- 04/04/07 03:43 PM
When you decide to sell your home, your next decision is key to the sale--"How much should I ask?" If you ask too little for your home, you could potentially lose money. Asking too much for your home could cause it to sit on the market for a long time.Your real estate agent wants to sell your home as soon as possible, for the best price. The agent will use a Competitive Market Analysis to determine the price for your home. The sales professional may advise you to reduce the asking price if buyers fail to surface after a certain period … (0 comments)
tips: Marketing Techniques
- 04/04/07 03:42 PM
When a seller lists a home with a real estate agent, a lot of brainstorming follows. Who are the potential buyers, where do they live and work? How can they be reached effectively with information that will attract them to this particular property?In addition to advertising each home on the widely used Multiple Listing Service, professional real estate agents employ marketing techniques tailored to the individual home they are selling. An agent will review various buyer lists to find potential purchasers. They will use telephone and direct mail marketing, produce property flyers and advertise on the Internet, in the newspaper, in … (1 comments)
tips: Comparables
- 04/04/07 03:40 PM
To take much of the guesswork out of your consideration about whether a particular property is a good investment, you can check on the actual selling price of similar homes in the neighborhood.Some sales information, such as the selling price, the financing terms, and the transaction dates, is public information. Your real estate agent will have record of all recent sales. You can find out how properties have been appreciating, based on actual sales, rather than from the neighbors (they could be wrong!). Driving by comparable homes can give you an idea about how they compare with the property you are … (0 comments)
tips: Selling For Top Dollar
- 04/04/07 03:38 PM
When you get serious about selling your home, the chances of your selling it quickly for top dollar will improve considerably if you list it with a real estate sales professional. If you doubt this, consider the fact that eight out of ten homes sold today--more in some markets--are listed with a professional real estate agent.Listing your home places it on the local Multiple Listing Service that is subscribed to by a majority of real estate sales professionals. Through the MLS listing, your home is assured of getting the widest possible exposure to the market place.Some buyers shop the home market … (0 comments)
tips: Price and Condition
- 04/04/07 03:37 PM
Pricing a house is one of the most important parts of the marketing process. You want to get as much for the property as you can, but if you set the price too high, you can turn away qualified buyers. Your real estate agent can tell you the selling price of homes comparable to yours. Pricing strategy depends on market conditions, and it is different in a buyers' market than it is in a sellers' market.If your home is overpriced, the marketplace will reflect that to you. When a property fails to sell in a reasonable period of time, you and … (0 comments)
tips: Overpriced
- 04/04/07 03:35 PM
In the real estate world, a large group of people are looking to buy homes at any given time. These are the seller's best prospects. This ready group of buyers is wasted, however, if your house is overpriced.People who have been shopping around and are accustomed to comparing properties will probably refuse to look at your home with an unrealistic price tag. You and your real estate agent may know that you would sell for $10,000 less, but the buyers do not know this. As a result, your overpriced property receives little attention.Don't be fooled into thinking that your house is … (1 comments)
tips: VALUE ADDED FEATURES
- 04/04/07 03:33 PM
A recent study conducted by the National Center for Real Estate Research evaluated the features of a home based on what each contributes to the selling price. According to the study, the feature that can most dramatically increase the value of a home is an additional full bathroom, upping the selling price by a remarkable 24 percent. Installing an extra half-bath can add 15 percent to the selling price. A garage, a fireplace and a central air conditioning unit each add a little more than 12 percent to the home's market value. A laundry room located on the main floor of … (0 comments)
If you are thinking of selling your home and your house has risen in value since you purchased it, or you have accumulated a lot of deferred profit from previous sales, the Taxpayer Relief Act passed in 1997 could be of tremendous value.Prior to this law, when a homeowner moved to a smaller home, relocated to a less costly area, or made a decision to rent, they were left with unfavorable tax consequences. The old tax law allowed people who sold their homes to defer tax on any profit by buying a replacement home of at least equal value within two … (0 comments)
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