Tips for Buyers
When Home Buyers Should Get A Survey
Tuesday, November 15, 2011
Most lenders do not require homebuyers to have a new survey done in preparation for closing. But, as you know, lenders do have the buyers buy lender-coverage, title insurance protection for survey problems at time of closing. (Keep in mind that lenders do not require buyers to get owner’s title insurance, but they do require lender’s title insurance to protect the lender!)
Most buyers have learned that it is a good idea to get owner’s title insurance, and there are many situations where it is also smart to get a new survey done.
What properties should definitely have a new survey?
1. New construction - The builder may have a survey in connection with the construction loan, but make sure that the survey includes driveways, walkways, boundary fences and walls, parking pads, patios, and sundecks.
2. Properties that have been rebuilt or remodeled – Many builders are squeezing large houses onto small lots, and only a survey will show if any building lines and setbacks have been violated.
3. Older properties with small frontage or narrow width – Many of these houses have been enlarged over time, plus there are often encroachments of driveways and fences.
4. Properties with long legal descriptions (metes and bounds) rather than short legal descriptions (lot number, plat book and page) - It is very helpful if the long legal description refers to the previous survey that was used to write the long legal; in this case a copy of the previous survey may suffice.
5. Any properties that are made up of more than one “tract” or “parcel”, usually because the parcels were acquired at different times or because neighbors have “swapped” some property to accommodate a driveway encroachment or fence encroachment.
- Scott Askew
Posted in: Tips for Buyers
What Is A Good Offer Price?
Monday, June 27, 2011
Listening to, and reading, the News, you would think every property that is ‘For Sale’ can be bought for 75% of its current asking price. And while this may be true in ISOLATED CASES, a majority of the attached and detached homes being sold today in metro Atlanta are selling for approximately 93.5% of their current asking price.
You notice I said current asking price in the previous paragraph. That is because REALTORS® are smart. They know when an owner has overly-ambitious-aspirations… (they’re over-priced). Yes, there are many property owners who disregard the advice of knowledgeable REALTORS® and list their property with the ‘highest-bidding-agent’, only to have to start a reducing campaign to find that market value was indeed what the good, knowledgeable agent recommended previously.
According to FMLS data, many homeowners will reduce their asking price a whopping 12-15 percent from their initial asking price before going Under Contract.
So what is a good Offer Price? Hire a knowledgeable REALTOR® to work as your agent. They will do an analysis and help you determine what is a good value and what is wishful thinking.
Finally – Make sure you are working with a REALTOR®. Many licensed agents are not REALTORS® and therefore do not have a Code of Ethics to which they must abide.
- Scott Askew
Posted in: Tips for Buyers
Nine_Rules_To_Follow_When_Buying_A_Home
Wednesday, March 02, 2011
Okay, so you want to buy a home. Where do you start? What should you do to insure as smooth of a transaction as possible?
Here are 9 get ‘rules’ to follow when you decide it is time to buy:
1) Commit yourself to live in your new home for 4 or more years.
2) Build a nest-egg. You need to have down payment money, money available for closing costs (yes the Seller may pay for some or all…but it is best to be prepared to pay these costs yourself), and some reserves.
3) Clear up your credit. Get a copy of your credit report from the top 3 credit bureaus (experian, equifax, and transunion) and if you find errors, take steps to correct the errors now, before you get started on the home buying experience.
4) Get pre-approved for a mortgage. I am not talking about calling a lender and giving them ‘numbers’; go in a actually start a loan application so that the lender will pull your credit and then is capable of giving you factual information of the best mortgage options, and actual loan amount, for you.
5) Determine a location that works for you. Pick a spot on the map that you want to be able to commute to within “x” minutes each day (your workplace, school(s), church, family/friends). The commute time to that place of interest will dictate where your home would ideally be located. However, be prepared to expand that driving-time-parameter!
6) Create a list of ‘must-haves’ and ‘want-to-haves’. And be mnidful of resale values. (Working with a knowlegable REALTOR is paramount!)
7) Research online at 14west.com for homes in your desired area and with your desired characteristics. (But know not every available home can be found online. Consult with a knowledgeable REALTOR!)
8) Secure the help of a knowledgeable REALTOR. Once you have found the professional you think is best capable of assisting you, sign a Buyer Agency Agreement so they are then permitted (by Georgia Law) to give you their opinion/guidance and worthwhile assistance. Then, give them your lender’s contact information and what you have learned online about your desired location, and let your advocate (REALTOR), research and preview properties so that no stone is left un-turned.
9) Set time aside to look at prospective homes and, once you’ve found the one that fits your wish list best, allow your REALTOR to assist you in writing and negotiating an offer.
- Scott Askew
Posted in: Tips for Buyers
Is This Investor Heaven?
Thursday, April 29, 2010
It’s real close.
Today’s real estate market is about as close as many investors will get to ‘heaven’ until that moment when we stand in front of the Pearly Gates and Saint Peter reviews our earthly activities.
Prices are at the lowest levels since 2005, interest rates are low, and the number of potential renters in the marketplace is at an all-time high!
Let me put into perspective what you may be missing -
through March 31, 2010, our office at 1411 North Highland Avenue closed 400% MORE sales than we did during the same three month period in 2009 and UP 158% when compared to 2008 sales. BUT - our dollar volume of sales closed during the first three months in 2010 was DOWN 1% when compared to dollar volume during the same period of time in 2009.
ARE YOU PAYING ATTENTION? We closed on four times the number of sales in the first quarter of 2010…but our dollar volume was still down 1%. That has got to get your attention!
Investors are coming out of the woodwork and are buying homes that were selling for far more a few years ago and then fixing them up and re-selling some and keeping a number of them in their investment portfolio. (Don’t forget - you can put investment real estate into your IRA! See our blog posted on March 1, 2010.)
Questions? We have the answers!
- Scott Askew
Posted in: Intown Atlanta Real Estate News