Real Estate Tips

BUYING WITH ME!

You have already taken the first important step by contacting me to represent you in the process of purchasing a property. 

YOU HAVE MADE THE RIGHT CHOICE!  I have over 15 years of knowledge and experience necessary to help make your home-buying process easier and more understandable. My goal is to provide you with the most informative and professional services available.  Below I have included an overview of what you can expect throughout your home-buying process.

NOW YOU NEED TO GET A LOAN

Your next step is to speak with a lender and get "pre-qualified" for a loan.  Your lender will help you decide which program best suits your needs.  Once your lender pre-approves you for a specific loan amount, you have completed the second most important step in the home-buying process! 

AND remember, this pre-approval is based on your ability to purchase at the time it is written. PLEASE be careful not to jeopardize your ability to purchase. The following  is a list of what not to do while obtaining a loan:

DO NOT:

• Change Bank Accounts
• Change Jobs
• Apply for Credit (credit cards, vehicles, furniture, etc.)
• Co-sign a Loan
• Spend Money Designated for Closing
• Let Accounts Fall Behind
• Make any major purchases

LET'S GO SHOPPING FOR A HOME!

After you have chosen the best loan program, you will create a detailed description of the home you hope to find. I will use this criteria to find homes that offer the features you desire. 

The moment we find your dream home, I will assist you in creating your offer.  I will be with you every step of the way to negotiate the best price as well as obtain the most beneficial terms and conditions.  Get ready to move!

OPENING ESCROW

After your offer has been accepted, I will open escrow, notify all the parties including title, home warranty, insurance, escrow, other agents, etc.  It is vitally important all companies participating and assisting with the escrow process are informed and kept accountable to the purchase contract schedule.  

INSPECTIONS

Next, there are several inspections that will need to take place. I will help you to determine which inspections are appropriate for the property, and make sure that they are conducted during the time period specified in the purchase agreement.

INSURANCE

In order to protect your investment, there are several types of insurance available to be places on the property. Some of the most common are homeowner’s, title and flood insurance. Although not an “insurance” in the typical sense, a home warranty should also be considered when deciding on the protection that is best for you.  Just call me at 949-310-1504 or email me at [email protected] for references to best insurance providers in the area.

MOVING

I  know that your actual purchase is only part of the overall picture. My goal is to make sure that the entire process, including the move into your new home, is as smooth a transition as possible. In order to do that, I will provide you with helpful hints such as a change of address checklist, packing tips and an arrival kit checklist.

FINAL WALK-THROUGH

Before closing on your new home, you will have an opportunity to conduct a final walkthrough of the property and verify that any repairs requested have been completed, and that the property is in substantially the same condition on the date of contract acceptance. Once completed, you will sign all of the necessary documents to finalize the transaction at the title company. When the deed is recorded, the house is yours!

CONGRATULATIONS! 

I hope this has been helpful. I am committed to providing the most informative and professional services available now and in the future.

SELLER TIPS

HOW MUCH IS YOUR HOME WORTH?

It’s the most basic question in real estate: How much is a home worth?  That’s where I can help. I gather and provide you with the most comprehensive home-value data available so you can see what your home is worth and how it compares to other houses in your neighborhood.  Just call me at 949-310-1504 or email me at [email protected] for your FREE home valuation today!

LET'S GET YOUR HOUSE READY TO SHINE!

First, you’ve already made the decision to sell and have signed all the necessary paperwork to be represented by me.   That was the first step towards preparing your home for sale!

Next, there are several ways to make your house more marketable and in turn, receive top dollar for your property. Here are some basic tips for  preparing your property for showing

TIDY THE YARD EASILY BY: 

• Trimming bushes
• Cutting grass
• Clearing weeds
• Adding a few pots of brightly colored flowers
• Make sure your front patio & front door are fresh and clean looking
• Sweep area and repaint front door if necessary

TIDY THE INSIDE EASILY BY:

• Get rid of clutter
• Move unnecessary furniture into storage
• Store out-of-season clothing
• Clear out spaces in rooms and closets can make your house appear larger
• Make minor repairs - i.e. repair torn screens, leaky faucets, drywall cracks & replace light bulbs
• Mak sure the house smells fresh, open a few windows, clean carpeting & drape, soft candles, use air fresheners, making sure all windows and blinds are clean, & all switch plates, doors and molding are extra clean

I'm here when you need my help!  Feel free to call me at 949-310-1504 or email me at [email protected] for a FREE consultation on how to prepare your property for sale.

I hope these  tips have been helpful to you.

IS THE BUYER REALLY QUALIFIED?

Is the buyer really qualified? 

As your Listing Agent, I will make sure the buyer who brings an offer for your property is qualified!  Otherwise . . . . you may not really have a sale.  I verify all offers and validate the pre-approval from the buyer's lender before presenting the offer for your consideration.  This can save valuable time and effort for everyone, especially you!

Should you decide to accept an offer from this buyer, I will speak with the lender in order to confirm that the mortgage can be obtained under the terms of the purchase contract. Here are some important questions that I will ask the Lender:

• Does the Buyer have enough credit to qualify?
• Does the Buyer’s debt-to-income ratio allow them to qualify for this mortgage?
• Does the Buyer have enough money to pay for the closing costs and down payment?

Once these questions have been answered, you can move forward with the escrow and closing process, feeling secure that the Buyer is prepared with a mortgage and has the highest expectations to be approved for funding and successfully close escrow.

HOW MUCH YOU WILL NET AFTER SELLING

When I receive an offer to purchase your home, I will help you to  determine what you will net at the close of escrow.

In order to do this, I will look over the terms of the contract, as well as ownership information, such as your mortgage payoff, and insurance and/or tax proration's. To find out  how much money you’ll net from the sale of your house, add up your closing  costs and subtract from the sale price of your house. Here is a list of closing  costs that you may incur as a seller:

• Mortgage Payoff
• Proration's for Taxes
• Proration's for Association Dues / Utility Dues
• Escrow Fees
• Title Policy Fees
• Home Warranty
• Attorney Fees
• Survey Charge
• Septic / Well Certification
• Brokerage Commissions
• Seller Contribution

I will review these costs and provide a "Seller's Estimated Net Sheet" so you will know what you can expect to net at closing.

INSPECTIONS

When your home is under contract, the buyer has a period of time in which they may inspect your property. Some inspections to expect are:

• A home inspections performed by a certified home inspector - normally ordered and paid by buyer
• A wood destroying organism inspection - typically ordered and paid by seller
• If applicable, a survey, septic and/or well inspection - may be ordered/paid by buyer or seller.

Although there are many other types of inspections available to buyers, these are generally the most common.  Some of the items typically investigated during a home inspection are:

• Appliances
• Plumbing
• Electrical
• Heating and cooling systems
• Structure
• Foundation
• Roof and attic. 

If any of the following are areas of concern, the buyer may ask the inspector to address concerns regarding indoor air quality, expansive soil conditions, previous fire or fold, pests and mold. 

Prior to closing, the buyer will conduct another “inspection”, usually referred to as the final walk-thorough. This is where they will confirm that any repairs agreed upon have been completed and that the home is in the same condition as when the offer was written.

PREPARING TO MOVE . . . AH!

Preparing for your move to your new home can seem intimidating. There is always something that is forgotten, but generally with some planning, the move will go smoothly.

As you begin to pack, remember to start gathering boxes and packing materials such as markers, packing tape and twine. Label the contents of each box you pack and number them. Keep a list handy of what is in each box in case you need o find something. It is a good idea to keep toiletries, cleaning supplies, snacks and water handy throughout your packing day.

You’ll want to contact the utility companies to disconnect your current service and to establish service at the new property. Don’t forget to request that any deposits you may have provided either be refunded or transferred. Electric, Water, Gas Phone and Cable are the most frequently contacted, however, there may be additional services that you need to connect at the property.

If you have children or pets, you may want to arrange for someone you trust to watch them on the day of the move. Sometimes moving day can be stressful for them. Make sure to include your children prior to the actual move, and talk to them about where they’ll want to place all their things in their new room.

Place all of your legal, financial and insurance records in a safe place. You may want to consider taking them with you personally rather than with the movers. It is also a good idea to back up important files from your computer onto a CD or back-up drive.

Verify the date of your move with the moving company you have selected or with your friends and family if they are helping you move. You can create a list of where each box or piece of furniture should be placed so whoever is helping with the move can follow your instructions.

Moving day can be stressful, but is still exciting!   As your realtor for life, I strive to provide my clients with as much information and assistance as possible to make the process easier for you.

WHEN YOU REALLY JUST WANT A SECOND OPINION . . .

Maybe you just need a second opinion?  Feel free to call me at 949-310-1504 or email me at [email protected].  If I can't help you with your question, I know hundreds of professionals that can answer your questions regarding Property Taxes, Capital Gains Taxation, Short-Sale Negotiators, Finance Managers, Home Improvement Experts, Landscapers, etc.  My referrals are FREE and I welcome your calls and questions, anytime!

UNDERSTANDING CAPITAL GAINS . . . .

When you sell  stock, you owe taxes on your gain – the difference between what you paid for  the stock and what you sold it for. The same is true with selling a home, but  there are some special considerations.  In real  estate, capital gains are based not on what you paid for the home, but on it’s adjusted cost basis. To calculate this:

• Take the original purchase price of your home - THAT IS, the sale price, not the amount of money you actually contributed at closing and ADD adjustments:      

  
• Costs of the original purchase – including transfer fees, attorney fees, inspections (not points paid on your mortgage)

  
• Costs of the current sale – including inspections, attorney fees, real estate commissions and        money spent to fix up the home right just prior to the sale

  
• Costs of improvements – including room additions, decorations, etc. (Note that the improvements do not include repairing or replacing something already there, such as putting on a new roof or installing a new furnace)

• The total of this is the adjusted cost basis of your home

• Now SUBTRACT this adjusted cost basis from the amount you are selling your home for.

• The difference is your capital gain.

Since 1997,  up to $250,000 in capital gains ($500,000 for a married couple) on the sale of  your home is exempt from taxation if you meet the following criteria:

• You have lived in the home as your principal residence for two out of the last five years.
• You have not sold or exchanged another home during the two years preceding the current sale.

Also note  that as of 2003, you may also qualify for this exemption if you meet what the  IRS calls “unforeseen circumstances” such as a job loss, divorce or family medical emergency.