Most reports indicate that the real estate industry will continue to face challenges this year. At the same time there will always be a need to buy and sell homes because of the various changes in our lives.
Here are some tips that I feel will help buyers and sellers to make better real estate decisions in 2008.
Buyers
- The credit squeeze is not likely to ease anytime soon, so if buying a home is in your future make sure to first check out your credit. Here is a great series by George Souto on credit scores. If your credit is not good the reality is, YOU WILL NOT GET A MORTGAGE. Don't despair in most cases this can be fixed.
- Your real estate agent can help you find a good mortgage company to work with and after 2007 we all know how important it is to do so. The mortgage professional can show you what you need to do to repair your credit. He or she will also review available programs that might benefit you.
- Make sure you are saving to purchase the home of your dream, it will be almost impossible to get 100 percent financing.
- The agent you are working with should represent you. That means you want a Buyer's Agent Representation.
- Make sure that your agent educates you about the entire process; therefore a consultation in the agent's office is a must. Do not try to start the process by first requesting a showing appointment.
- It is best to set specific times for viewing properties. Remember your agent works with other clients and will be better prepared to serve you if there is advance notice.
- Inventory is high, a big plus for any buyer. At the same time be considerate of sellers. Be respectful of property.
- Be proactive, look at properties online, checkout virtual tours, send your agents properties you see that might be of interest, he or she can then provide you with additional information.
- Once you have narrowed the list, it might be a good idea to drive by each property to see if the area meets your needs, this can avoid making appointments and viewing properties you won't even consider.
- If you make an offer and it is accepted. Do Not Forego The Inspection. This could save you thousands of dollars.
SELLERS
- Sellers with high inventory, competition is stiff so leave the pricing of your home to your agent who has the latest listing and sold data. Yes because of the quick changes in the market the comparative market analysis now covers a short time span.
- It is important to prepare the house for sale. Make the repairs; get rid of clutter, landscape. Your agent will provide you with a list of items to fix as well as other suggestions to make the property more appealing.
- It really doesn't matter what price you want to get for the house the more important question is, will it appraise? Keep in mind mortgage companies are going to be a lot more conservative this year. Getting an appraisal prior to listing makes sense.
- It might also be a good idea to get a pre-inspection, this will point out items your agent wouldn't be able to show you. The pre-inspection can also be a great selling tool when you can show the buyer that the items have been fixed.
- Another great selling tool is a home warranty. The buyer will feel more secure that if certain items break after closing it would be covered.
- Professional staging is also worth considering. It has been proven that staged houses sell faster and for more money.
- It would be unwise to get everything ready but limit access. A key to selling is accessibility.
- Depending on your circumstances you might want to consider other financial options, such as holding a part of the mortgage, rent with the option to buy.
- Lets face it foreclosure is going to be a popular word this year. If your reason for selling is because you can no longer afford your mortgage, please be proactive and speak with the Loss Mitigation department of your mortgage company. Time is of the essence and with the high inventory level other measures might have to be employed.
- Sellers don't get offended by a low ball offer, face it you are going to get these just be willing to negotiate and you might successful sell your home in 2008.
For your 2008 real estate needs contact:
Jennifer Fivelsdal,ABR,GRI,RECS,SRES
Associate Broker
Customer Satisfaction All The Way!
Keller Williams Realty
Direct 845-758-6842, Fax 845-758-6842
jfivelsdal@hvc.rr.com
www.jfivehomes.com
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