Tag: buyer

Emotionally Detaching From Your Home to Sell

According to the National Association of Realtors, the average number of years people stay in their homes is anywhere from 10-20 years. Owners and their families end up having great and often life-changing events and memories that happen under their roof. Their home is the biggest investment made and they become attached emotionally.

Having buyers come in and walk through their home, opening closets, cabinets, and drawers, walking through the bedrooms, looking behind furniture, and then criticizing (!!!) their beloved home can be soul-crushing.

Thus, the first hurdle to overcome after having made the decision to sell is to let go emotionally. Time to start looking at it as a positive financial opportunity and become distant from all the aspects of the property where memories were created. It’s hard pulling hearts away from recalling the moments; the paint colors, the perfect carpeting picked, a child’s first bedroom, or a dining room that held so many family dinners. The secret is to acknowledge that selling the home is going to be stressful and emotional upfront and hopefully that will enable good decisions going forward.

Once personal items like pictures, knick-knacks, etc. are removed to begin staging which it won’t feel as much like “home”. A good Realtor will give great recommendations to help make the home more neutral – maybe painting or pulling carpet – all of which will make the home seem more like a product that needs to sell and help to remove emotion.

It’s common for a seller to overprice their home when they are emotionally attached. The price of the home should be based on the market and the comparable properties, not the value the owner, someone with memories, puts on the home. An experienced Realtor will establish the price.

If a low offer should come in, it’s best to look at it as good news! Someone loves the home enough to even make an offer. The Realtor will negotiate and learn what the seller likes and dislikes keeping the owner out of that process while simultaneously keeping emotions out of the equation.

The Bottom Line: Make sure you are truly ready to sell your home. Make a list of the pros and cons of why you want to move and evaluate. Have an experienced Realtor help you once you have made the decision and realize that sentimental value does not translate to monetary value so you will need help pricing your home accordingly. Keep your emotions in check, make a clean break, and put your energy and time into making your new house the home of your dreams!

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How To Stage Your Home for Sale

A well-staged home can make people feel comfortable and at home, which is likely to increase the sale price.

Staging your home well allows buyers to see themselves in that space, which can help them become attached to it. This makes it harder to walk away without feeling a loss. The more attached to the space they feel, the more likely they are to make an offer.

Clean and Open Up the Space

Before showing off your space, take time to clean and declutter. This includes putting away unnecessary furniture, throw blankets and pillows. If you have too much stuff, put some of it in storage. Make the space minimal, and then add a few touches to make it feel like someone’s home. The space should look livable, but not lived-in.

Don’t Make It Too Personal

When inviting people into your home, it can be tempting to show off your style. This is your space, and chances are you have worked hard to make it comfortable and appealing to you and your friends and loved ones.

Remember, you want to appeal to as many buyers as possible. More interest from buyers means more bidding, and that usually means a higher sale price.

If you want to appeal to more potential buyers, it’s better to play it safe with décor. Consider putting away personal and unnecessary knick-knacks. Think clean lines and safe colors. If you decorate with books or art, try to keep the selections relatively neutral.

Consider Hiring a Professional

While staging on your own can keep costs down in the short term, hiring a professional may be worth the cost when the home sells. We tend to become attached to our spaces and design choices. An outside party who has worked with a wide variety of audiences as a professional will have an eye trained for mass appeal. Hiring a designer may even pay for itself if it increases the sale price.

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Most House Fires Are Preventable

There have been many home fires on the news lately where entire families are hurt or killed. The tragedy is most fires are preventable. Actually, 95% of home fires are preventable and almost always caused by user error.

One of the first steps to fire prevention is ensuring that you have the correct number of smoke alarms in your home. You should have a smoke alarm on every level of your home and in every living space, basement included. Your smoke alarms should then be checked monthly and batteries replaced two times a year. Additionally, fire extinguishers should be located on every floor of the home, in a place that is readily accessible in the event of a fire.

A home fire escape plan is essential because when a fire breaks out, every second counts. A fire can turn life-threatening in 30 seconds. And the majority of fires break out late at night or early in the morning when everyone is asleep, so your family needs to know what to do before an emergency happens. Create multiple escape plans and practice them. Your plans should include escape routes from different areas of the house, tools for exiting the building (escape ladders, items to open, break out windows), and a designated meeting place. It’s very important to practice fire safety with your kids, so be sure to familiarize your children with the sounds of the alarms.

Faulty electrical outlets and outdated appliances cause most electrical fires. If your electrical outlets are old, have them replaced by a master electrician. Tips to help identify issues:

  1. Warmth or Heat. Use your hands to feel the outlet. If you detect any warmth or notice signs of scorching or melting on the plastic, replace it immediately.
  2. Smoke. Smoke from any electrical outlet is an indicator it’s a significant fire danger.
  3. Loose Connections. If any outlets are loose in the wall or they no longer hold a plug tightly (the plug falls out when plugged in), replace the outlet.
  4. Sounds. If you hear buzzing or popping sounds coming from an electrical outlet, turn off the power to that part of your home and immediately call a licensed electrician.
  5. Frayed Wires. Take off your electrical outlets’ plastic covers and examine the wiring. Wires can crack or fray from age, heat, or bending. Nails or screws can also pinch them. If you see any damage to the outlet’s wires, call an electrician.

Gas appliances should be maintained. Check your water heater, gas stove, furnace and dryer once a year to make sure all the appliances’ connections to gas lines are in working order, and that the gas lines themselves are in good condition. Many homes use natural gas for cooking, heating water, and powering the furnace. A leak in the natural gas lines or fittings could result in an explosion. Natural gas has no odor of its own, so they add an odorant that smells of rotten eggs for safety.

If you smell natural gas, get your family out of your home immediately and call 911. Never call for help while still inside the home. The sparks generated from the phone could cause an explosion.

2,900 home clothes dryer fires are reported each year and cause an estimated 5 deaths, 100 injuries, and $35 million in property loss. Dryer lint that accumulates in your dryer’s removable filter is flammable. If the lint isn’t removed on a regular basis, it can cause a fire. Also, check for and remove lint buildup around the dryer’s exhaust hose at least once a year.

Cooking fires are a huge cause of home fires as well as home fire injuries. The majority of cooking equipment fires start with the ignition of common household items (i.e., wall coverings, paper or plastic bags, curtains, etc.).

  1. Stay in the kitchen while you’re frying, grilling, boiling, or broiling food. If you have to leave the room—even for just a moment—turn off the stove.
  2. Keep anything that can catch fire, such as food packaging, oven mitts and towels, away from your stovetop.
  3. Make sure you have the correct type of extinguisher and know how to properly use it.
  4. Crumbs in a toaster, built-up grease on the stovetop, and excess dust behind your appliances are fire hazards.
  5. Let grease cool before disposing of it in the garbage. Never pour grease or oil down the drain

Each year, candle fires account for hundreds of thousands of dollars in property damage and hundreds of unnecessary injuries and deaths.

  1. Never leave candles unattended.
  2. Don’t use candles in the bedroom, or anywhere else where you may fall asleep.
  3. Don’t use candles when there are small children or pets around.
  4. Keep candle wicks trimmed to about a quarter of an inch.
  5. Use sturdy candle holders that won’t tip over, and don’t let the candle burn right to the end.
  6. Be very careful if carrying a burning candle. Hold it away from your clothes or anything else flammable.
  7. Make sure the candle is not too close to a window, where curtains can blow near the flame.
  8. Use battery operated tea lights. They look just as good, but aren’t dangerous.

Fires are fast! Protect your house and your family from a fire at all costs. Implementing these fire safety practices around the house is just a start, but protecting your home doesn’t stop here.  Learn how to avoid fires and conduct preventive maintenance the proper way. The first and most important thing you can do is make sure everyone in the household is educated on fire safety measures, including children.

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The Partnership of a Realtor and a Title Agency

Title First Agency works hard to ensure a seamless experience for Realtors and their clients. From contract to closing, Title First handles all the details to help your transactions run smoothly and close on time.

ACCESS TO PROPERTY INFORMATION:

Title First Agency can help Realtors by getting the names, addresses, and phone numbers for properties that their clients are interested in buying. Maybe the buyer wants to find a home of a certain age or in a particular area – whatever it may be, a Title First Agent has the ability to access a lot of data and can find the information needed. Buyers often drive around neighborhoods that they want to live in and see the perfect home for their family. A Title First Agent can look up the information of who owns the home and how long they have been there at the exact address. This will enable the Realtor and the buyer to put together a homebuyer’s letter to the owner.

ADVERTISING AND MARKETING:

Title First can assist Realtors in promoting their business with our full line of marketing solutions. For your next listing, make a good first impression on potential clients and prospective buyers with a bound presentation of property information. We have the ability to help you design, print, and mail your full-color glossy, postcards. Use our Net-to-Seller tool that will help estimate a client’s profit and present it in a professional format to be shared. Or, give our Title First Agent App a try to provide a higher level of service to your clients. This app will enable you to give quick and easy estimates to any real estate financial question. The app features net sheets, quick estimates, closing, costs, prorated taxes, and much more. Finally, email us your MLS link, logo, and personal photo, and let us create a professional full-color info sheet for your listing.

Title First Agency has experienced real estate lawyers who have worked many years through settlements and closings. It’s an invaluable asset to always have legal experts on hand with a good title company. The buyer, seller, and you, the Realtor, can have peace of mind that purchases and end-to-end processes of closing on a property are performed seamlessly and on time.

The Bottom Line: At Title First Agency, we measure our success by your success. That’s why we offer a variety of services to help you grow your real estate business. Beyond the listed services, the issuing of insurance, and performing title searches, we can manage the escrow account for the home sale. We safeguard all money and documents related to the transaction for the parties involved, such as the deed to the home, closing costs, earnest money deposit, and the down payment.

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MYTH: You Don’t Need Title Insurance and Other Fables

MYTH: Nobody needs title insurance

Everyone needs title insurance. You may think you know the entire history of the house you’re purchasing, but it’s impossible to know everything. Title insurance protects your right to the property in the event that a previously unknown heir claims ownership of the property if it is later revealed that the “sellers” were not the rightful owners, or if liens against the property resurface. If you have an owner’s title insurance policy, you will not be responsible for paying any of the fees associated with protecting your right to the property, should these types of issues arise.

MYTH: New construction homes don’t need title insurance

Your home could be brand new, but the land on which the house is built isn’t. Chances are, the land had several previous owners before construction began. Buying property on such land opens you up to certain risks tied to ownership issues from previous owners.

Disputed wills, easements, and property liens are just a few of the issues common to land ownership. You could get caught in between the mess and end up losing your resources or, worse still, your new property as well. Title insurance is crucial even for a new home and should be among your list of priorities during the closing process.

MYTH: If no one challenges ownership, then the title policy is a waste

At the closing, when you purchase a title insurance policy, the closing company does the bulk of the work behind the scenes. The title company goes through many steps to make sure that everything is in place by that time, including conducting a comprehensive title search and identifying any potential issues. The team investigates the entire history of the property to ensure that you, the buyer, will be aware of any problems that will need to be addressed before closing. By the time the closing comes around, the title company has completed a great deal of research and legwork for you.

MYTH: Title insurance offers only minimal protection

When you purchase a home, you receive the “title” to the property. This title is your legal right to own it. Early in the home buying process, a title search is conducted to review the history of the property and uncover any issues that could limit your right to ownership. Even after the most meticulous search of public records, there can be hidden title defects, such as tax liens, forged signatures, claims by ex-spouses, and recording errors. These title defects can remain undiscovered for months or even years after you purchase the home.

MYTH: Title insurance is the same thing as homeowner’s insurance

Homeowners insurance protects you so you have the resources to pay for any damage that might occur to your property. Title insurance protects you from anyone else claiming your home is theirs or for some prior owner’s back taxes or encumbrances or any other real property dispute

Title First Agency: Dedicated to innovation and passionate about service, Title First Agency is your comprehensive, nationwide resource for title and real estate settlement services. Headquartered in Columbus, Ohio, Title First has branch offices throughout the Midwest and a robust virtual partner network throughout the country. Title First got its start in 1956 as an affiliate of a local law firm and has since emerged as one of the largest independent title agencies in the nation. Proudly servicing Realtors, lenders, builders, developers, law firms, buyers and sellers, Title First is equipped to serve your residential and commercial title and settlement needs.

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The Messy Next Door Neighbor

You’re about to put your house on the market and it’s in tip-top shape. You’ve done everything you can to make your home shine. You’ve hired the best Realtor, it’s been professionally staged and your home is priced right. But, there is just one problem. The messy neighbors next door could potentially scare away buyers. What is your game plan? Here are some peaceful ideas.

The first step of dealing with difficult neighbors should be to approach them in an open and non-confrontational manner. In a respectful and diplomatic way, let them know you are preparing to sell your home and would love their help, but without insulting their home. Let them know you would appreciate anything they can do to showcase the neighborhood well.

There may be reasons the outside of the home looks unkempt. The owner could be sick, or there is a new baby, to name just a couple of reasons. If they complain that it would be too difficult for them to do, offer to help clean up the mess, or hire professionals to get the job done. While it will be money out of your pocket, you won’t be forced to lower your asking price and in the end, you will be able to recoup that when you sell your home. A professional yard clean-up typically costs approximately $500 per quarter acre of land, so to put this cost into perspective, $500 is only 0.2% of a $250,000 home. Even if the clean-up only increases your property value by 2%, you’ll recoup ten times your investment.

The next step if your efforts are futile would be to try city hall. Explore how they can help you. Many cities and counties have ordinances that prohibit things such as a vehicle on jacks, old tires, or an inoperable trailer/truck parked on a lawn. Beyond being an eyesore, it could be dangerous to a child who might wander onto the property, thus the police should be contacted. The fire department and health officials might be concerned about any tall, dead grass that could be a fire hazard and an attraction to rats or other animals.

The problem may not be the fault of the homeowner if they rent out their home and their tenants aren’t taking care of it or behaving in a way that impacts the neighborhood. If after you have had a kind conversation with them and things still aren’t getting better, you should find the owner. Your Realtor will be able to assist you in tracking him down and help in encouraging cooperation from him.

The Bottom Line: The effects of a messy neighbor can be major. The entire neighborhood can be beautiful, but if there is just one home that has overgrowth, messy gardens, waste, or junk spread about it can bring down the value of all the homes in the area. While you might be the only one putting your home on the market at the moment, you can probably get the other neighbors to help the situation. A clean yard benefits all.

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Selling a Home During the Holidays

Putting your home on the market to sell during the holiday | Winter season is not the most optimal but if you hire a Realtor that knows your market well, you still can sell your home at a competitive price. If you are living in the Northeast, Midwest, or other cold areas, the following are some ways that can help to sell your home faster and at a fair price during the busy month of December and then through the darker months of January and February.

There are fewer homes being sold now, and winter in general, which makes people nervous about putting their homes on the market. More home buyers are house-hunting in the Spring months when the weather is warmer, and the days are longer. But, you might be surprised to find out that Winter could actually be a great time to put your home on the market. The new year is a time when most people are back at work after the holidays and will often search the web for their next big move. If you are serious about selling your home, it should be online and marketed early to ensure they don’t miss this audience.

Because it isn’t a high-selling time, you will need a very experienced Realtor to help price your home as it can be complex. You don’t want to scare off buyers by pricing too high or even too low, causing buyers to wonder what’s wrong with your house. When your home is put on the market in the winter, buyers often assume you are desperate to sell your home and may lowball you thinking you’ll sell for any price. Buyers that are house hunting during this traditional off-season time, usually mean they are eager to buy and more willing to negotiate the price.

One of the beauties of the holiday months is that many people adorn their homes with festive lights and decorations. People purchasing a home during that time may see the neighborhood in a different light—more festive and cheerful—and may be more willing to consider an area that they may have been on the fence about.

Stirring up some interest during cold January is to price your home slightly under comparable homes in order to draw in multiple offers. More offers tend to drive up the value of your home prompting more competitive bids from buyers who often will end up paying more than the initial asking price.

The real challenge might be to help dress up your home after the holidays in dreary January and February weather. To help make your home feel more welcoming, shovel the walks, add outdoor illumination along paths, light candles indoors, add cozy throw blankets, have holiday-type smells such as cinnamon or cookies.

Furthermore, during the cold, any problems you may have in your home can become more prominent including drafts and leaks. To help lessen these potential problems, crank up the heat so buyers feel toasty warm and will be less likely to notice any issues.

While it may be difficult to sell your home during the holidays and January and February, it’s not impossible especially if you hire an experienced Realtor who knows your neighborhood well and can guide you to list your home at the best possible price. Sometimes, waiting to list your home during the beautiful Spring months when the sun is out and the trees are blooming and flowering can mean that you could miss out on potential buyers. Many Realtors will tell you, some of their best sales happened in the new year.

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The First Offer Is Usually The Best

Often, when a seller has taken the time to properly prepare their home for sale, and they’ve hired the best Realtor who takes pride in presenting and marketing that home well a seller will receive offers right away.

The time a home is on the market to sell decreases its value. The longer it is listed the less interested buyers and Realtors are in the property. People will begin to wonder what is wrong with the property. Sellers are in the best position to get a good price for their home when it is new to the market. If the home does not sell buyers become suspect.

So that first early offer? Sellers tend to reject it because they felt it happened too quickly and they want to hold out. Days, weeks even months later, they find themselves settling for less. That first offer should always be taken seriously and it’s probably the best opportunity you’ll have to control your price and terms. It might not be what the seller was hoping for, a good Realtor will walk the seller through a counteroffer, and even the ability to negotiate for other details can work for the seller.

With a “for sale” sign in any yard too long, no matter the reason, it makes it more difficult to stir up interest. As the days go on, the home becomes less desirable. The market could change and take a downturn leaving the home that is priced on the comps when it was listed, now priced too high. An identical home could enter the market at a lower price. 

The Bottom Line: The first three weeks are usually the most active that a property will have. If an offer is made during that time it’s worth working with that offer unless it’s ridiculously low.

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Rights of a Property Owner

The ownership of private property is one of our most cherished freedoms. Property divides power between the government and the individual and allows citizens to be rewarded for their own industry. But to fully enjoy the benefits of property ownership, knowledge and vigilance in defending and protecting those rights when they are being threatened.

In instances where either private or public actors are seeking to challenge your property rights, be prepared to defend yourself by knowing, in advance, what your rights are or by consulting an experienced real estate or eminent domain lawyer.

Following these tips will also help you better protect your interests as a property owner.

Know Your Rights

When you own real property, you have a bundle of legal rights that go along with the ownership, including:

  • The right of possession
  • The right of control
  • The right of exclusion
  • The right to derive income
  • The right of disposition

Property rights can also extend to:

  • surface rights: the right to use the surface of the land
  • riparian rights: the right to any water on your property
  • subsurface rights: the right to use what is below the surface such as oil, gas and minerals
  • air rights: the right to the area immediately above your property

Of course, these rights have exceptions and limitations and may also come with legal obligations (e.g, taxes). They may also be lost, voluntarily transferred or even regained after a period of time such as when you rent a portion of your property and the lease terminates.

Property rights may also vary from state to state and from community to community. They may be subject to local, state, and federal laws. Knowing your rights as a property owner makes you more aware of what you can and cannot do with your property, and how to protect it from intrusions or encroachments.

Familiarize Yourself with core title documents

There are many documents that contain vital information about a landowner’s property and the extent of their ownership rights. Among these documents, some of the most important typical ones are the following:

  • The Deed and other documents of title and exceptions to the title, sucah as easment
  • The Deed of Turst or other documents showing that the property has been mortgaged or collateralized for payment of a debt
  • Survey and boundary documents
  • Zoning maps and master plans\

Go Through the deed to the property

Property deeds are signed legal documents that transfer the ownership of the real property from one person to another. For the deed to be legally operative, it must identify both the grantor/seller and the grantee/buyer and contain an adequate description of the property, among other elements.

There are different types of deeds, each type providing different levels of protection to the grantee, as well as the obligation of the grantor. Deeds also typically include deed restrictions, which are important in understanding the extent of the owner’s use and enjoyment of the property.

Understand the Title Documents

Title documents prove the ownership of control and possession of a person over specific property or parcel of land.

Aside from establishing ownership, however, title documents also disclose liens, defects, deed restrictions, and exceptions to title that affect the property. Reading and understanding these documents will give you an insight into the limitations and exceptions that apply to your ownership of property.

Consult with a real property or eminent domain attorney

Anytime you encounter issues concerning your property rights, whether it’s a defect in title or a potential taking due to an act of eminent domain, seek the professional advice of a real estate or eminent domain attorney before taking any further steps.

Regardless of the type of property you own or property-related issues you’re faced with, these professionals can help shed light on the situation and steer you towards a more favorable outcome.

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A $5 Million Home for Zero Money Down?

At the start of 2020, the Bluewater Navy Bill, which was signed on June 25, 2019, by President Trump, became law, bringing some significant changes to the VA Home Loan program. The most significant change was the removal of loan limits, which in 2019 had previously been at $484,350.

This removal of loan limits freed up qualified lenders to start loaning out a lot more than what was previously possible. As a result, VA lenders set their loan limits, with lenders like VA Home Loan Centers setting their loan limit at $5 million. This no loan limit rule, combined with the fact that VA home loans do not require a down payment, makes it possible to take out a $5 million home loan for zero down.

Regardless of loan limit, lenders are still required to make sure that the applicant can afford to make their monthly payments on time.

The 28/36 rule means that an individual’s mortgage should not exceed 28% of their gross monthly income, and their debt-to-income ratio should not exceed 36% of the total revenue. Therefore, when purchasing a home, an individual should ensure that their monthly household expenses do not exceed 28% of their monthly income. While at the same time, their household debt should not exceed 36% of their monthly income.

This rule is not absolute, however. Some borrowers may exceed a 50% debt to income ratio with underwriter approval and what is known as compensating factors. A compensating factor can be certain liquid assets, significant employment stability, and related indicators of financial stability.

VA Home Loans Information
Created in 1944 by an Act of Congress, VA Home Loans has since helped more than 22 million veterans achieve the dream of homeownership. Today, VA loans remain one of the most significant benefits of being a member of the military.

VA loans offer several incentives like zero down payments, low monthly costs, low-interest rates, no mortgage insurance premiums, and no prepayment penalties. In addition to this, the loan also offers 15 to 30-year fixed mortgages.


VA Eligibility Requirements
When it comes to eligibility, VA loans are exclusive to Veterans, Active-Duty Service Members, and the surviving spouses of veterans who passed away due to their service. In addition to being a military member, there are also several military services, income, and credit requirements.

Military service requirements to be eligible for the VA home loan vary depending on what kind of service the applicant participated in while in the military. Active-duty applicants must have served for at least 90 consecutive days while in wartime and 181 during peacetime. Reservists and members of the National Guard must have served for at least six years.

The applicant must have a stable income to qualify for a VA home loan. Qualifying incomes include social security, VA disability, and full-time jobs. Moreover, many more revenues must have existed for at least two years, like part-time Jobs, self-employment income, 1099 income, and seasonal income.

However, some incomes do not qualify for the VA loan. These include Worker’s Compensation unless it can continue for three years, the GI Bill, and cash payments.

When it comes to credit requirements, VA currently does not have specific needs, and most VA lenders have a minimum credit score requirement ranging from 580 to 640.

Conclusion
It is possible to get a VA home loan of $5 million; however, lenders must ensure borrowers can afford their monthly payments. Still, VA loans offer some great deals for those who are lucky enough to qualify for them.

Phil Georgiades is the CLS for VA Home Loan Centers, a government-sponsored lender specializing in VA loans. He has over 22 years of real estate experience. We would be happy to help you learn more about our programs or apply for a VA loan if you click here.

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