Home Buyer Tips: Are You Buying a House or Just Browsing?

Let me say it up front - no one, including this real estate agent, likes pushy sales people asking all sorts of intrusive questions! 

But sometimes the questions are necessary.

I don't buy a new car very often but when I do I start out the same way.  Research on the Internet and then walk onto the car lot.  And when approached by that car sales person I always say the same thing...just browsing.

My wife and I purchased some furniture last weekend.  We went through six furniture stores in the Melbourne, Florida area over a couple of days.   Six stores and six sales people.

I told some of them we were just looking to see what they have in stock.  I even told one that I did not know what we looking for!  They all left me alone to browse and leave. 

Except the last who let us browse but also asked questions which led to the ultimate purchase.  No, I did not really want to reveal too much information...you know how pushy sale people are!

But, in the end, it was necessary to get my questions answered and make the purchase decision. 

Which brings me to your real estate agent and those darn questions.

When you contact a real estate agent as a prospective buyer you will be subjected to questions. 

These questions are necessary to determine your goals.  They are necessary to determine your budget.  They are necessary to understand your circumstances and how best to guide you to your goal.

You may think they are intrusive although trust me when I say they are well intentioned.  You may be a little uncomfortable in the beginning but, in the end, the relationship you develop with your agent will be necessary to achieve your object.

Ready to buy a home in Viera, Florida?  Please give me a call at 321-693-3850 or send me an email.   Have a question about the local Brevard County, Florida real estate market, please ask. 

Questions your Realtor may ask
First Time Home Buyer Questions and Answers
Two Questions That Must Be Answered Before Looking at Homes
Why do real estate agents ask so many questions?

And if your goal is to just browse attend a few open houses this weekend.  Find something of interest, give me a call!


Image courtesy of jackthumm at FreeDigitalPhotos.net

Brevard County Residential Report for March 2015 compared to March 2014

Brevard County Residential Report for March 2015 Compared to March 2014:

• Closed Sales increased 21.9% in March 2015 with 942 units sold (773 in March 2014 2014).
• New Pending Sales are up 49.7%.
• New Listings are down -3.6%.
• Median Sales Price for Brevard County Single Family Homes are up 13.6% to $150,000 compared to a year ago, which was $132,000. 
• Median Days on the Market are down -40.0% to 30 days vs. 50 days last year.
• Months’ Supply of Inventory is down -11.5% to three months
• Traditional Sales are up 34.2% with a median sales price of $169,000.
• Foreclosure/REO Sales are up 1.5%, with a median sales price of $102,000.
• Short Sales are down -34.9% with a median sale price of $112,450.

New Construction Homes For Sale in Viera, Florida

I had someone ask me about new construction in Viera, Florida last week.  I reviewed some of the current projects underway such as Strom Park and Arrivas Village as well on going new construction in the Heritage Isle 55+ community.  

After providing information on Viera and the schools in Viera the caller asked about new construction next year and whether the prices would be lower.

Who knows what the cost of materials, land and even the cost of labor will be next year?  Who knows what the demand for new construction will be as well as any inventory homes, if any, on the market?

The current trend is for prices to increase as evidenced by the past twelve months' sales in Brevard County as provided by the Florida Realtors®..

I can only say this about home prices next year....To expect new home prices to drop considerably is likely very unrealistic!

With interest rates near historical lows and prices rising this may be the best time to buy a home in the near future.  Send me an email if you are ready to buy a home in Viera, Florida.
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Remember, you can have your own real estate agent with new construction - call me at 231-693-3850.

• Should you have your own agent if buying new construction? 
• Why do I need my own buyer's agent

Home Buyer Tips: Why was my offer not accepted?

It is becoming increasingly more common to see multiple offers in the current Brevard County, Florida residential real estate market.  And when a prospective buyer's offer is not accepted they often turn to their agent and ask "Why?"

However, until a real estate transaction closes the likelihood of knowing anything about the other offer will be slim.   And once the transaction closes the specific terms of the deal will probably not be known as the recorded transaction will reflect only a selling price, and recorded mortgage, if any (and possibly any seller concessions if the listing agent records it in the MLS system).

So even when the dust settles the"why" may never be known.   However, any likely explanation could involve one or more of the following items.

• Price.  Yes, this is the first place to look.  After all, when the dust settles it almost always price.  While many believe cash talks, so does a mortgage when the buyer is well qualified. 
• Closing date.  Sellers have a time line.  If they want to close in a month then an offer that wanted to close in sixty days may not be acceptable.  
• Closing cost assistance.  Although a price offered may be higher, asking the seller to throw in 3% for closing cost assistance may not be looked upon as favorable.   Offering full price may not be full price after the appliances are thrown in or closing costs are contributed. Its the net price - not necessarily the price on line one.
• Contingencies.  The normal inspection and appraisal contingencies are expected by most sellers.  But a contingency so your spouse can travel to see the house in a couple of weeks may not be looked upon favorably. Likewise, a contingency so a buyer can sell their current home may not be very attractive either.

On the other hand I have had my buyers, once an offer is accepted, ask me if the seller would have taken less?  I can only assure them of one thing - if I knew a seller would take less then I would have recommended we offer less!

As a buyer consider this... Offer what you are willing to pay for a property under terms that fit your circumstances, budget and needs.    And if the offer is not accepted or countered, move forward.

Ready to buy or sell a house in Melbourne, Florida?    Call me at 321-693-3850.  I want to help if I can in any way!

 

Keep Your Home Sale from Falling Apart

By: G. M. Filisko

After finding a buyer, all you have to do to make it to closing is to avoid these five traps.

Finding a buyer for your home is just the first step on the homeselling path. Tread carefully in the weeks ahead because if you make one of these common seller mistakes, your deal may not close.

Mistake #1: Ignore Contingencies

If your contract requires you to do something before the sale, do it. If the buyers make the sale contingent on certain repairs, don’t do cheap patch-jobs and expect the buyers not to notice the fixes weren’t done properly.

Mistake #2: Don’t Bother to Fix Things That Break

The last thing any seller needs is for the buyers to notice on the pre-closing walk-through that the home isn’t in the same condition as when they made their offer. When things fall apart in a home about to be purchased, sellers must make the repairs. If the furnace fails, get a professional to fix it, and inform the buyers that the work was done. When you fail to maintain the home, the buyers may lose confidence in your integrity and the condition of the home and back out of the sale.
Related: 10 Common Repair Costs

Mistake #3: Get Lax About Deadlines

Treat deadlines as sacrosanct. If you have three days to accept or reject the home inspection, make your decision within three days. If you’re selling, move out a few days early, so you can turn over the keys at closing.

Mistake #4: Refuse to Negotiate Any Further

Once you’ve negotiated a price, it’s natural to calculate how much you’ll walk away with from the closing table. However, problems uncovered during inspections will have to be fixed. The appraisal may come in at a price below what the buyers offered to pay. Be prepared to negotiate with the buyers over these bottom-line-influencing issues.
Related: How to Field a Lowball Purchase Offer

Mistake #5: Hide Liens from Buyers

Did you neglect to mention that Uncle Sam has placed a tax lien on your home or you owe six months of homeowners association fees? The title search is going to turn up any liens filed on your house. To sell your house, you have to pay off the lien (or get the borrower to agree to pay it off). If you can do that with the sales proceeds, great. If not, the sale isn’t going to close.

Related:

• How Much Value Does Regular Maintenance Add to Your Home?

• 7 Steps to a Stress-Free Home Closing

G.M. Filisko is an attorney and award-winning writer who wanted a successful closing on a Wisconsin property so bad that she probably made her agent rethink going into real estate. A frequent contributor to many national publications including Bankrate.com, REALTOR® Magazine, and the American Bar Association Journal, she specializes in real estate, business, personal finance, and legal topics.

Visit HouseLogic.com for more articles like this. Reprinted from HouseLogic.com with permission of the NATIONAL ASSOCIATION OF REALTORS®

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Home Buyer Tips: Can I do the repairs before I close?

Very few houses, including new construction as well as existing re-sales, are perfect - except in the eyes of the seller.  There may be little issues or changes to the home the buyers want to purchase.

The issues may not be serious or very costly to fix but nevertheless  may be something that will need to be dealt with soon.  It may not cause a problem with the closing process but it may be something a buyer wants addressed before they move in.

So what is the best solution?    The easiest fix would involve the seller agreeing through the negotiation process to make repair before closing   If there is no time then perhaps the seller is willing to credit the buyer for the repairs at closing (part of the purchase negotiation). 

The the next best option is to wait until closing and delay move in until the issue is resolved (or do it at the same time).

But what If a buyer wants to do the repairs before closing? There are several circumstances in the real estate business I  recommend customers avoid such as:

• Not having pest and property inspections.  
• Not having a survey done. 
• Not having an appraisal conducted.  
• Allowing pre-occupancy by a buyer before closing.  
• Letting a seller stay in the property after closing (unless a lease has been signed).
• Making repairs to a house or paying for the repairs before closing. 

What happens if the deal never closes?  Is the money gone?  What happens if your repair person damages the home which is still owned by the seller? Why assume the risk?

Not all real estate transactions close.  There are laws, procedures and customary practices in place that exist to protect buyers, sellers and their agents.

I know a car does not cost as much as a house but would you put new tires on a car that is still sitting on the lot even if you were pretty sure the deal was going through?

Brevard County, Florida Real Estate: Buying or Selling a Home Once doesn't make an Expert.

Does anyone ever go to the shooting range one time and consider them selves an expert?    Not if they are being honest with themselves.

Although not as potentially deadly many think because they bought a house once with a Realtor®, they can now deal with a FSBO to "save money."

Likewise, because one has sold a house once through a Realtor®, they are not likely an expert and ready to be a FSBO.The real estate story is quite similar.

Finally, because one painted a house or even replaced the garbage disposal, they are likely not an expert at "remodeling homes."

Experience is key whether buying or selling a home let alone remodeling a foreclosure to "flip for a profit."

Now lets apply the same standard to choosing a Realtor® to sell your Viera, Florida home.  Or choosing a Realtor® to help you buy a home when moving to Brevard County, Florida.

Whether buying or selling your real estate agent should have recent experience in your market.   Here is some related reading for anyone considering hiring a Brevard County, Florida real estate agent.

Choosing Your Real Estate Agent
How much should your buyer's agent know about sellers?
Choosing your Brevard County Realtor®

Considering selling your Brevard County, Florida home?  Call me at 321-693-3850 and lets discuss how I can help!  I have been a Viera real estate expert for more than a decade!

Where should I start the home buying process?

While the home buying process is pretty simple the route to the closing table is not always the same.  While most buyers start their research on the internet. I suggest the easiest way to learn about the home buying process and local market is to call on the appropriate experts. 

Who are these experts?     First, these experts should be human.  These mega real estate websites and online only lenders may offer information but what do they know about your situation and your area?

The experts to call on should include a local experienced real estate agent and your local mortgage lender. 

Every home buyer is not the same nor is every situation and credit history the same.   Questions should be answered by the most knowledgeable person available.  Unlike buying a car the home buying process is time consuming, stressful as well as exciting.  Having an established relationship with your agent and a contact phone number in hand can be reassuring.

So where should one start the home buying process? 

• First things first...define your goals.  Why do you want to purchase a house or condo?  What will you achieve?  For some the goal is ownership and the tax deduct-ability of mortgage interest.  For others the goal may be the stability that "putting down roots" provides.  For some it is a temporary stop with a goal of buying a larger home later. 
• Define your budget.  In most cases the housing budget will be mostly influenced by the mortgage lender.  However, the amount on the mortgage pre-approval is not the equivalent of a "must spend amount." 
• Define your needs.  What do you need in your new home?  How many bedrooms>? How much space?  What about the location? 

Now that goals, budgets and needs have been identified they must be clarified. 

Your real estate agent should be heavily involved in this clarification process.  This clarification process will allow you to paint a picture of your needs and goals in light of limiting factors like budget, location, time line, etc.   Your buyer's real estate agent will know the local market and guide you to the right decision for you - not them.

Are you thinking about buying a home in Melbourne or Viera, Florida?  Give me a call at 321-693-3850 to discuss the process.