Ways to Get the Home You Want

All of like to win, whether we are talking about sports of getting the home you want. Here are 12 workable ways to get your home offers accepted. They are as follows:

1. Make your offer as “clean” as possible. Don’t ask the seller to pay for your home warranty, and the homeowner’s association’s transfer fees, and your lender’s fees, etc.
2. Don’t ask the seller for any personal property they have not disclosed is being sold (refrigerator, washer, dryer, etc.)
3. A typical earnest deposit is 1% of the purchase price. Give the seller more than this to show you’re financially strong and serious about buying the home.
4. If you can afford to do this, offer to pay cash and provide proof of the funds you’ll use.
5. If you feel confident in the price you’re offering, waive the appraisal contingency. This will mean, if the home appraises for less than the purchase price, you’ll make up the difference in cash.
6. Add an “escalation clause” to your offer that outbids any other offer up to a given price. For example, “Buyer will pay $500.00 over any offer up to $200,000.” Your agent should check with his/her broker for a recommendation on the specific language to use before doing this and then require a copy of the next highest offer the seller received.
7. Offer to forfeit your earnest money to the seller if you cancel the purchase contract after the inspection period.
8. Make a larger down payment than what is required for your loan program. For example, put 5% down on your FHA loan, rather than the minimum requirement of 3.5%. Again, this shows the seller that you are financially strong, but more importantly, by making a larger down payment, you’ll finance less, and save more money over the long term.
9. Offer to buy the home in as-is condition. Signing an As Is Addendum doesn’t mean you can’t have the home inspected.
10. Agree to get pre-qualified with the listing agent’s preferred lender. This doesn’t mean you have to finance the home with the listing agent’s preferred lender. It will just reassure the sellers that you really are qualified to purchase their home.
11. If your bid on the home isn’t accepted, have your agent ask the listing agent if the seller wants to hold your offer as a back-up offer.
12. Make sure you’ve provided all of the required documents with your initial offer. If a seller receives multiple offers, one of the first things he/she often does is throw out the sloppy and incomplete offers.

Thanks so much. Good luck in your search.- Randy Wall, Lora Lee Properties

HOME SHOPPING 101

Are you in the market for a new home? Perhaps you are down-sizing since the kids are grown or you are up-sizing because your kids have come. Perhaps you are moving to a new area because of a job change or retirement. Today, I want to share a few things for you to keep in mind as you shop for a home. They are as follows:
BUY NOW- Since prices are down from a few years, we will get more home for your money today. Do not delay if you have been thinking of buying a new home. Shop and buy now.
FINANCE NOW- Now is also a great time to finance a home since mortgage rates are at record lows. Though lending requirements might be more stringent than a few years ago, you can generally expect to finance more house and get a lower monthly mortgage payment.
GET PRE-QUALIFIED- Unless you are planning to pay cash for your home purchase, work with a lender to get pre-qualified before shopping for a home. A good mortgage lender will be able to tell you how much home you can reasonably afford. Many realtors and/or homeowners will not even consider an offer to purchase unless you are pre-qualified. It is better to know whether you can get a loan before home shopping than after.
SETTING YOUR HOME PRIORITIES- Before you start looking for a home, it is important to make a list of features for the home you would like to purchase. Do you want to be near schools, shopping, or your church? Do you want to be in a subdivision or out in the country? How many bedrooms, baths, or square feet to you want? How big a yard do you want? Once you have made these decisions, prioritize the features in their importance. Is location of the home more important than the size of the yard? Would you rather have 4 bedrooms or be in a subdivision? Set these priorities and let them guide you and the real estate professional you are working with. Good luck in your search.- Randy Wall, Lora Lee Properties

WHO IS ON YOUR TEAM

You will see here a picture of a basketball team. It seems fitting as the NCAA basketball tournament begins this week. Someone once told me that there is no "I" in the word team. Every person is important on a team whether they throw the ball inbound or lead in rebounds.


I am also told there is an African saying that "It takes a village to raise a child." Parents need all sorts of help raising their children-- mentors, teachers, doctors, etc.
Just as it takes a village to raise a child, it takes a village to be successful in real estate whether you are buying your first home... are a real estate investor... or you are a realtor. You cannot do well in real estate all alone. You are going to need some help. Today I want to share with you some of the persons you need on your team:



ATTORNEY- In my native N.C., you need an attorney to close on the sale or purchase of real estate. You also need an attorney for the advice and counsel. Look carefully for an attorney who has experience in real estate. Ask felow investors, realtors, and friends who have bought and sold property for their ideas.




REALTORS- In these days of lagging sales of houses, many people are trying to make profit in selling their property by selling it themself. Though I would not say this is a totally bad idea, this can be a demanding chore unless you are experienced in real estate. Talk to a realtor and solicit their help. Maybe you can work together. More than likely, they will worth their commission and then some. Look for persons who have experience in the kind of real estate you want to buy or sell (investment properties, single family homes, commercial properties, etc.).




CONTRACTOR- If you are buying a property that needs repairs or the house you are selling needs a face-lift, find a contractor to work with. Ask friends who have had remodelling done, or consult a realtor. Don't be afraid to ask for references, and to get more than one bid for work.
They are some others you need on your team but time does not allow me to speak of home inspectors, appraisers, etc. Feel free to interview them and check them out through licensing boards, better business bureau, etc. Good luck in your search.- Randy Wall, Lora Lee Properties

SHOW ME THE MONEY?

Today, I want to speak about where to find the money for buying real estate and/or fixing up your property getting ready to sell. Though I do hear tales of people buying a home for just a few thousand dollars, those deals are the exception rather than the rule in the Metro Charlotte area. Here are a few strategies to consider to find money for real estate ventures:

TAX REFUND- This time of year, many people are filing their taxes. Your tax refund might be enough monies for you to make a down payment or give earnest money on a deal.

SAVINGS- Consider using your savings for your real estate deals. Since everyone needs savings for unexpected needs, I would caution you to only use this stategy if you are going to use the money for short term deals.

CREDIT CARDS.- You might have a sufficient credit card limit to use cash from credit cards to fund a real estate deal. Again, I caution using this strategy only if you are doing to use the money for the short term.

OPM (OTHER PEOPLE'S MONEY)- Whether it be family or friend, everyone knows someone who has talked about investing in real estate but is not sure how. If you have the know-how on how to buy real estate, consider partnering with someone else who has the money. I would encourage to draw up a agreement on how this would work (e.g. will they share in the profit, will you buy them interest, etc.)

LIFE INSURANCE - If you have life insurance, you could borrow on the cash value of the policy. Check with your life insurance agent for more details about this.

PENSION/ RETIREMENT MONIES- There are some pension and retirement monies you can borrow from to purchase homes. If you have a self directed IRA, you can also use those monies to purchase real estate. Check with your pension or IRA administrator for more information.

HOME EQUITY LINE OF CREDIT- If you own your home, you might use a home equity line to fund your real estate deals. Check with a local banker for more information.

THE SELLER- In these days when property is selling quickly, a motivated seller might even be willing to do owner financing with no money down.

These are a few ideas on where to get money for your real estate deals. Good luck in your search whether you be a buyer or seller- Randy L. Wall, Lora Lee Properties