Tuesday, August 29, 2017

This Might Work ~ But, Doubtful....Unless You Use The Last Suggestion.

How to win during a multiple offer situation....against an all CASH buyer?

That's hard. It's really, really hard.

From a listing agent standpoint, cash is king...if it's a reasonable offer. No waiting for an appraisal, no waiting for loan approval. No waiting for much of anything past the inspection. Just less hands in the cookie jar as mums used to say.

Read an article this morning that suggested these 5 things to beat out a cash buyer....only the last one will truly work though.....IMHO. Let me know your thoughts!

1. Work closely with your lender:
I mean very closely – to the point of having their cell phone number memorized. Your lender is a vital piece of this puzzle – make sure you know exactly what you need to have to make a complete bid.
2. Get fully approved for a loan:
Being pre-qualified is not enough in a competitive market, where waiting several days – or even hours, in some cases – to get fully approved for a loan can cost you the home of your dreams. So before you bid, get your loan approved contingent on appraisal of the home value. Taking this one extra step will put you on the same footing as cash bidders in the eyes of the seller’s agent, who will see your approval ‘as good as cash.’
3. Have your lender call the seller’s agent to give them peace of mind about your bid:
A phone call immediately after bid submission from your lender can go a long way in reassuring the seller that your loan-backed bid really is as good as cash, especially if it is coming from a trusted, certified third party.
4. Write a personalized letter to the seller expressing your interest in the home:
When you have a seller who is attached to their property and interested in seeing it go to the right buyer, a personalized letter could be the strategic advantage that gets you a winning bid. In many cases, cash offers are made by investors looking to either flip the home or convert it to a rental property. If you are a couple looking to raise a family in that home, stating that intention in the letter could appeal to the seller’s emotional side and close the deal in your favor.
5. Submit a complete, clean contract:
The less work you make for the seller’s agent, the better, so please, send a contract with legible writing, complete responses and all the necessary information. If you can resist, don’t ask for closing costs or home warranties, and don’t leave anything unanswered – if an agent is confused or delayed by your contract, they’ll simply move on to the next in the pile.
6. Give a higher offer than the listing price – and cash bid.
If you can afford it, offering between $5,000 to $20,000 on top of the asking price may be the most surefire way to close the deal against a cash bidder. In the end, money talks – no matter what form it’s coming in.

Tuesday, August 22, 2017

I'm Always Bothered When I Have To Disappoint Another Agent.....

Every once in a while I have to disappoint another agent, usually when I am representing the Seller....and, then of course, they are representing the buyer.

But, I've always got to do what's best for my client....no matter what!

Story of the week.....

Buyers are out of town, so their agent comes to view property on their behalf. I've done it. Actually have a buyer in escrow right now that I had viewed property on their behalf. That's another story though!

So, their agent says it's the perfect home for them. Says he's done several transactions with them and he knows they will love it in person. They are contingent upon the sale of their home but it's in escrow. They live out of the area, so does their agent, and the lender is also the Realtor. I'm still AOK with this scenario. Reviewed all documents, MLS, his licensing too.

The photos on this particular property really are beautiful. But, this home is even more lovely viewed in real life. There's a first for everything, right!?!?!?

Continue story here.....so buyers sign an offer the moment they are back in town and set up an appointment to view home a few days later.

We submit a counter offer, teeny-weeny....minuscule...no change in price, just 3 clean-up items. That goes out on a Friday. On Saturday we get an offer from another buyer. Good offer, non-contingent, clean, local agent, local lender. First buyers are due to view Sunday at 9 am.

My Seller says he feels it's best to wait til the original offer people view the home and let them know they have to sign that counter offer immediately or we are going to look at the other offer more seriously. I was in total agreement, felt it was fair.

I let the 2nd buyers agent know, and she says....her buyers are willing to go to full price if sellers accept before the other ones come to view.

Remember, these buyers are non-contingent.....and they bumped up to full price....and they are local, live in the area, agent and lender are in the area too. All of those add up to a problem for the first buyers.

Because they did not quickly sign off on our teeny-weeny counter offer. Because they couldn't get to the home in a short amount of time. Because, because, because.

I hated making the call to the first agent, his buyers were very disappointed. I reminded him he would have done the same if he were in my shoes.

My job is to get my Sellers the most amount of money, in the shortest amount of time, with the least amount of stress possible.

With the 2nd buyers, that's much more likely to happen.

So, welcome buyer one...to disappointment. But, remember this...'what's meant to be will be'....I swear by it. Welcome buyer two...to one helluva a lovely home!

Friday, August 18, 2017

Earmarking Money for AFTER Closing Escrow

Everyone saves to buy a home, right? Well, or you sell a home and buy another with the proceeds. Yes, I suppose you could have an inheritance and use that as your down payment.

Whatever the way you are buying your first, next, or last home...keep in mind, it's not just the 3.5 to 20% (or more) down that you need. It's not just that extra money for closing costs either.

It's money for a rainy day you say? That is super important for sure.

BUT, it's the money you need to have earmarked for allllll the stuff you want to buy for your new home once you move in!

Furniture, appliances, drapes, plantation shutters. Not just talking about the kitchen remodel you want to do and have stashed the appropriate cash for that.

It's the everyday things, the new house has one extra bedroom to furnish. The couch you made sure would fit in the new house just looks unappealing in it's new surroundings. That white fridge you had? Doesn't quite go with the appliances in your new kitchen.

One more thing to consider? Ask your trusted Realtor if any of the things you are thinking about upgrading in your new home are going to be a benefit or a detriment to re-sale value. You likely won't stay there forever and it just may be a waste of big dollars and not get the ROI you were hoping for.

Monday, August 14, 2017

Over 600! But, Only By One!

It's been over a month since I noted the sales activity in my home town of Santa Clarita and our surrounding communities.

We currently have 601 active listings. Acton to the East, Stevenson Ranch to the West, Newhall on the Southern border and Castaic up high in the North. Of course, all our sweet neighborhoods in between as well.

601 includes homes, condos, townhouses. That's it. And, like this building....that is up from a month ago...but not by much.

And, if it weren't for the closed in 30 day number at 380 and the number 583 representing currently how many homes are in escrow....we'd be okay. But, with only 601, and closing over 300 every month....that's only a 2 month supply....still.....

So, give us some more listings to sell you darn Sellers with equity. We want them, buyers want them....we need them!

Tuesday, August 8, 2017

Barn Doors - Obviously Not Just For Horses Anymore!

I just happen to be getting a lot of clients talking about Barn Doors, installing Barn Doors, and sharing their Barn Doors (pictures of) with me!

So, I googled more barn doors and wanted to share with you!

I'd love to put one in. Can't quite figure out where to do it. Thought about my hallway entrance, but since most of the time it would be open...I didn't really have a large bare wall for it to 'rest' without having to remove my pretty mirror....but, it would go really well in our home, and it would help with the noise when hubby is watching TV late at night and I'm sleeping!

See? Isn't this spot just screaming for a Barn Door?

But, what made me chuckle is the picture of the true barn door! See the horse? Those are the old barn doors that people used to have in homes. I had one in my WLA house, a 1/2 & 1/2 type door. Loved it. I think THOSE were called Barn, or Dutch doors? Can't remember.

But, these new style barn doors can be made in so many different styles. I have a friend that put them up on a huge wall...just so it looked like there was a window behind it! Very cool.

If you're considering installing one, take a look at these.....some different ideas.....not your typical Barn Doors....and a more standard one too!

What cha think??

Friday, August 4, 2017

Trader Joe's....Whole Foods....There Goes The Neighborhood!

Actually, they apparently help neighborhood homes appreciate in value quicker than before either of those stores moved in!

And, when compared to Dunkin Donuts? Well, it's a good thing DD is trying a re-branding to just Dunkin.....LOL

Anywhohow....good ole Zillow did the market research and determined that when Whole Foods or Trader Joe's moves into a neighborhood, the homes become more expensive.

They weren't sure if those retailers were just great at picking up & coming locations, or if having them there drew more interest to the communities they opened in.

I can tell you, from experience, I get buyers that frequently say "Oh, I can walk to yada-yada" if we buy this home.....they never say that about a donut chain!

I'm curious what my readers think?