Prior arriving at a listing appointment, a quick excursion of the surrounding neighborhood can be quite insightful. On this occasion turning off the main road on to a side street proved enlightening. One block towards the appointment were two homes that could fit into a Jeff Foxworthy joke book. A good thing about Arizona is that tumbleweed usually can not hide a pick-up truck buried in the front yard. These two homes were acting like a neon sign “NO HOA IN THIS NEIGHBORHOOD!” Parking the car across the street from the listing appointment helped conceal a home that rejected its owners many months before this visit. That empty vacant look of a home with no family put sorrow in the hearts of all that passed by.

Crossing the street and meeting the cheerful owner dispelled the negative emotions. A pleasant smile and warn but not too firm handshake began the mood change which continued to accelerate passing the sound of an artificial waterfall. Once in the door meeting the wife and seeing two teenagers sitting on the couch gave the comfort of a nice warm family home. People who had hopes and dreams that were being hindered by lack of information.

Now comes the getting acquainted and what the family wishes to do with their home.

Owner - “We were working with another agent. He has helped us to find another house we want to buy but we need $170k from this home and he says he can only get $161k.”

Why? Owner – “This other home is a bargain! It is 5500 sq ft. It has been listed for months. It is surrounded by mobile homes. But we want this to be our dream home where we can live for years.”

Owner – “My credit score is 617 and I need to get $170 for this house or I can’t get the other one.” Owner – “I only have 2 credit cards with a maximum of $800, no car payment or other credit other than the house..”

Suggestion 1 – The market is the market. Even if a buyer would agree to purchase this home, it will only appraise for about $155k. So a bank will only loan up to appraised value. The buyer will have to come out of pocket for the difference. Don’t expect the majority of buyers to be able to do that.. Since the average price for homes has increased for the last three months, you might consider waiting until the market will pay you the price you must have to move.

Suggestion 2 – Improve your credit score! The home of your dreams is over $300,000 ½ point interest is almost $100 per month in payment and an extra $35,000 in interest. Go to a credit union or bank get a larger limit credit card and a line of credit. Keep all balances under 50% of credit limit at all times. Home seller started the plan looking forward with more home that before the meeting.