2020 Biggest Housing Trends in Los Angeles, CA

LOCAL RECORDS OFFICE – The 2019 real estate market saw record sales numbers while the mortgage rates remained low. What does this mean for 2020? Will the market still show growth? It can be tricking figuring out what you should do when it comes to real estate. According to the Local Records Office in Norwalk, CA, whether you’re buying or selling, these are some of the trends that will be affecting the housing market for 2020.

Home prices are still increasing

The median home prices this year won’t see the same growth it had the previous year, but the increase in not showing sign of stopping any time soon. The demand for homes in the Los Angeles area is overtaking the current supply nationwide. New home sales are expected to reach up to $704,000. That’s an almost 11 percent increase compared to last year.

Where the market is showing signs of slowing down is in the existing home sale price. The expected growth for the median sale price is only a 4 percent increase from last year averaging around 270,400. Still, these numbers are promising to the real estate market in 2020, showing a stabilization that is welcomed

Las Vegas; Fort Collins, Colo.; Colorado Springs; Dallas/Fort Worth; and Columbus, Ohio are some of the areas that are projected to have home price appreciations that exceed the national average over the next three to five years. However, higher housing prices do not always mean that those houses will sell.

Lower interest rates

The mortgage rates have been hovering just below 5% for quite some time. As long as these rates remain relatively low there will be plenty of new buyers looking to take advantage of them. The good news is that the government in regulating the rates to prevent them from going all over the place.

As long as the rates stay around the 5 percent where they’re at, the real estate market will remain in a good shape for the year. Mortgage rates may increase if inflation kicks in and economic activity reacts, but there isn’t any evidence of that to likely happen. The mortgage rate and to an extent the real estate market is likely to even out in 2020

More millennial buyers

There is an increase in younger buyers in the market. Despite the common belief that Millenials don’t want to own homes, many are willing to save up enough to finally make the big move. The rising cost of rent combined with the continued low-interest rates makes homeownership more appealing than ever.

The issue many of them are facing is the current housing market in major cities is too slim. According to the Local Records Office millennials are ditching old ways of purchasing homes.

The areas most affected by this are in rapidly growing cities like Austin, Nashville, and Raleigh, North Carolina. Recent job growth in these cities is incentivizing first-time buyers to move there.

Larger cities might have increased housing pricing because of their bigger population, but with the higher rent cost of luxury apartments, people are considering buying homes further from the city or in other parts of the city that might be underdeveloped.

A shortage of new homes

There is currently a construction boom expected to happen. In small towns and even in some cities, new construction for housing is going up to fast. Suburbs are popping up where there was only a plot of land last year and neighborhoods are being sold even before they’re finished.

The rise of prices in existing homes is also encouraging people to consider getting a new home built instead of waiting for the prices to go down. People are also able to get more customized homes when they are part of the building process from the beginning.

A lot of first-time buyers are less picky about the exact location of their homes as long as it has all the amenities and features their looking for. Places that are a bit further from larger cities or major highways are seeing a spike in sales where they normally wouldn’t in the past.

Slowing down instead of crashing

Things are looking stable for the real estate market in 2020. Unemployment and interest rate are at a record low. People have jobs and income enough to consider purchasing a house maybe for the first time.

The days of endless double-digit price increases might be over, but the real estate market is still showing room for growth as the year goes on. With the increase in housing needs being meet with new constructions and previously less popular locations being considered, the market is in good shape for slow but steady growth.

The worst-case scenario is another housing crash happens as we enter this new decade. However, that outcome looks less and less likely to occur with the way things are currently playing out. It’s hard to say for certain, there are a lot of external factors that may affect the real estate market in 2020. Most experts are optimistic about the coming years as things start to stabilize.

With the way things are looking, now is a good time to be a homeowner looking to sell. The demand is high in most major cities and surrounding areas and people are looking to take advantage of the stability 2019 brought. If you’re a buyer, you might not have many options for existing homes, but there will be plenty of new choices with the recent increase in construction of new homes occurring in the suburbs.

 

Selling a House Fast Without Renovation With the Help of the Local Records Office

local-records-office-norwalk-ca-89-copy-deed-letter

LOS ANGELES, CA – If you ask someone how to sell your home fast you’ll likely hear renovation advice. Things like “add on a new bedroom” or “update the kitchen”. When you’re in the process of buying and moving into a new home, putting more money into your current house doesn’t make a lot of sense according to the Local Records Office in Los Angeles, CA.

Even if you’re just flipping houses, big renovations can quickly cut into your profits. Selling a house fast without renovation is completely possible though and we’re here to tell you how to do it.

Selling a House Fast Without Renovation

Local Records Office agrees that having renovations done on a home cannot only be expensive but it can also be time-consuming. Many projects can take weeks if not months and if you’re trying to sell your home fast, you don’t have that kind of time. Keep reading below and we’ll tell you how you can spruce up your home without spending a ton of money or time. Following these tips will ensure your success in selling a house fast without renovation.

Clean-Up & Update the Exterior

You can hire a landscaper to help with this part. However, if you’re trying to save money it is definitely something that can be done yourself. The first thing you should do is stand outside of your home, across the street, as if you were going to take a picture of it. What do you notice? What draws your eyes, the Local Records Office asks? If it’s something negative like an ugly mailbox, then invest in a new one. If it’s something positive like the front door is beautiful, then add something to draw focus to it like a colorful doormat.

First impressions are important. If the outside of your home doesn’t look appealing, its likely buyers will skip on by it and look at the next home. Here are some general steps that the Local Records Office listed so you can follow to make the exterior of your home more attractive without spending a lot of money:

  1. Mow the lawn
  2. Trim trees, bushes, shrubs, etc.
  3. Pick up any debris, rake up leaves, and sweep all walkways
  4. Plant flowers
  5. Clean the windows and doors
  6. Add small details like a wind chime and rocking chair on the front porch

Make the Interior Look Like New

Thankfully, you don’t have to spend a lot of money in order to make a home look like new. Selling a house fast without renovation usually involves more elbow grease than money. That is especially true for the interior of a home.

Local Records Office insists that working hard and scrubbing a home from top to bottom can really make a big difference. Declutter the home first and then depersonalize it by removing things like family photos, awards, and items with your name on it, etc. Once that is done, it’s time to deep clean everything. If possible, now would be the time to call in a professional to clean all of the carpets (if applicable).

Here are some other inexpensive tips to spruce up the interior of your home:

  • Applying a fresh coat of paint in the whole house or where needed most
  • Hire a professional to clean all the carpeting
  • Do small repairs like patching holes, caulking, replacing cabinet knobs, broken lights, etc.
  • Clean, clean, and then clean some more
  • Install small upgrades like a ceiling fan, lighting fixtures, or shelving
  • Stage your home or hire a professional to stage your home

Hire a Professional Agent

Hiring a professional real estate agent can help immensely in selling your house fast without renovation. Working with a real estate agent offers many benefits including knowing how to list your home, at what price, and how to market it. They can also mention renovation loans in your listing and talk to buyers about it.

Renovation loans allow buyers to include the potential renovation costs when requesting for their loan. According to the Local Records Office when buyers are approved for this type of loan, they will receive a higher loan amount and get that money in stages to pay for larger renovations.

Focus on What You Already Have

If you can’t add anything to your home then focus on what already makes it great! When making an online listing, these little details can be especially important. Highlight storage spaces like closets, laundry rooms, and the garage. What are the distinguishing features of your home?

Does it have a fireplace, an outside patio, or large, open windows? Write down all of the features you can think of and then take photos of them. Use this information in your online listing to talk about what makes your home great instead of what might need work.

Make Sure You Price It Right

One of the biggest problems people have selling a house fast without renovation is setting the right price according to the Local Records Office. Once completing a lot of the tips above and investing some money into it, you may feel like you can price your home a little higher. However, if major renovations still need to be done like new appliances, flooring, roofing, etc. then it’s important you don’t price too high.

This is another part where a professional real estate agent can help. They can help calculate what homes are going for in your area and how to price properly. They can also assist you in figuring out the value of your home if you were to renovate it. This can help you make the right choice in whether investing more money is the right choice or not.

Research How Much the Property is Worth With the Help of the Local Records Office Property Details Report

Renovating your home is one thing but knowing how much your property and the land it sits on is a completely different thing. By researching how much your property is worth before and after a renovation is a major step in knowing how much you can sell your property. Of course, every seller wants to get the most money possible for his or her property so educating yourself is a great way to do it.

Local Records Office offers an up-to-date property report that lists how much the property has been selling for over the years. The report also shows how much other properties around the area are worth along with foreclosure activity that can have a major impact on the property value. For more information go to http://www.LocalRecordsOffice.com

Selling a House Fast Without Renovation is Possible

Local Records Office insists that selling a house fast without renovation is completely possible! All it takes is a little time and sometimes a little bit of money, too. Planting some flowers outside after you clean up and painting the walls on the inside after you’ve had the carpets professionally cleaned are just some of the things you can do to help.

We also recommend hiring a professional real estate agent to assist you in pricing your house properly and letting you know if any further renovations would be worth it.

 

Consider These Architectural Home Designs in Norwalk, CA to Brighten Up Your Next Home

LOCAL RECORDS OFFICE – While you may be either building a completely new home or searching for your next home, it is one of the most exciting times and it is important to start looking for your ideal home design.

As we are growing out of modern architecture, you may be wondering if building a ‘fad’ for your newer structure really worth it? Tiny houses have been the big craze for many families looking to downsize and still be able to access an adequate amount of surrounding land, but will it still be a popular choice for potential homeowners in 20 to 30 years?

Either way, looking into styles of homes that fit both you and your family’s needs and wants is your main objective. And here are the few ideal architectural home designs that are both popular and offer significant features with each having its own unique style.

This can be overwhelming, as there are many different housing designs, so I put this list in alphabetical order, in case you already know what design you are looking for.

Acadian

These house plans share the ideal Country French architecture and are found in Louisiana and across the American southeast, maritime Canadian areas, and exhibit the Louisiana and Cajun influences. Rooms are arranged on either side of a central hallway and the kitchen is in the back. And these stylized homes typically feature a steep, sloping roof with gables that shed snow and moisture effectively.

Adobe

It is a regional architectural style that draws inspiration from the Pueblo and Spanish Missions located in New Mexico, and typically is made with stucco and has a flat roof with rounded edges. These decorative features often found in this style home include wooden beams projecting from the roofline, hand-hewn lintels inset above deep window openings and walls that slope inward.

A-Frames

The popular style A-Frames have come back into style and are great for that cozy, ‘cabin look’ and most offer acres of land surrounding rivers, a lake or a body of water. And they are well-underpriced for what they have to offer.

The A-frame is shaped like an equilateral triangle and its distinctive peak is formed by rafters or trusses that are held together at the top and bolted to the floor joists or plates down below. And the cross-piece of the A is created with horizontal collar beams to stabilize the structure and typically supports a sleeping loft.

A-frames meet the earth on the rubble of cinderblock walls, concrete or even wood columns, but their essential nature is for them to float slightly above their natural environment, with a viewing platform for an expanse of nature.

Beach

These houses are often raised houses suitable for shoreline sites and are adaptable for vacation homes near water or mountain areas. The Tidewater house is typical and features the wide porches, and are constructed of wood with the main living are raised one level.

Bungalow

These house plans are common to Craftsman, Rustic and Cottage home designs. These typical home designs have a great porch for your rocker and are typically one-level with over-hanging eaves as some of the most classic features.

Cape Cod

This small, symmetrical style is typically 1 ½ story, and typically people will add on additions behind or on the sides to increase the square footage. These first Cape Cod homes were also built in the 1600s and were inspired by Britain’s thatched cottages, but with steeper roofs and larger chimneys to withstand the cold Northeastern winters. New builds in this style are rare, says Rob Brennan, principal at the Brennan + Company Architects in Ellicott City, Maryland.

Carriage

Get their name from the outbuildings of large manors whereas owners store their carriages. Today, the carriage house generally is in reference to the detached garage with living space above them.

Colonial Revival

It has a symmetrical look and floor plan and has been a popular style throughout the 19th and 20th centuries. These are typically two to three-story house plans with symmetrical façade and gable roofs and often are expressed in temple-like entrances with porticos topped with pediments.

Multi-pane, double-hung windows with shutters, dormers, and paneled doors with sidelights, topped with rectangular transoms or fanlights, and include entry-hall floor plans, fireplaces and simple, classical detailing.

Contemporary

It offers today’s building appearances and can vary in design. The most common characteristic is clean lines, large windows devoid a decorative trim, and with the focus towards function. It is comparable to connecting the indoors with the outdoors by emphasizing energy efficiency, sustainable materials, with large, floor-to-ceiling windows offering lots of natural light and uses recyclable non-toxic materials.

The exterior is a mixture of siding, stucco, stone, brick, and wood. The roof is either flat or shallow-pitched, and often with great overhangs.

Cottage

This smaller design is a storybook charm that will fit near a lake or in a mountain setting. These are sometimes also referred to as bungalows.

Country

As are one of the most popular styles, these styled house plans embrace the wraparound porch and have a gabled roof. And they are offered most commonly in either one or two stories high.

The French County style is rooted in the rural French countryside and includes modest farmhouse designs and estate-like chateaus. This style exudes warmth and comfortable design elements such as curved arches, soft lines, and stonework. The inside has wooden beams, plaster walls and stone floors as the most common thematic features.

The Low Country house plans are suited for coastal areas and the coastal plains of the Carolinas and Georgia. Typically, they are elevated and have welcoming porches to enjoy the outdoors in the shade.

Craftsman

The Craftsman displays the honesty and simplicity of a truly American house. These homes emphasize natural materials –wood, brick, and stone with wide porches and low-pitched, gabled roofs (often hipped) with exposed rafters. The porches are either full or partial width, with tapered columns, and or pedestals that extend to the ground level. The interior’s open floor plan features built-in furniture, big fireplaces, and exposed beams.

Dutch Colonial

A Dutch Colonial is similar to Colonial-style and it most recognized for its gambrel roof and has a shallower pitch with must steeper sides –a look most commonly used on barns. Dormers are where second-story windows pop out of the façade and are also a more common feature of Dutch colonial homes.

European

These houses have typically steep roofs, subtly flared curves at the eaves and faced with either stucco or stone. The roof comes down to the windows and the second floor is often the roof, or as we know it, the attic.

Farmhouse

Reflects the American simpler era when families gathered in an open kitchen and a living room. This version of a country home style usually has bedrooms clustered together and features the friendly porches. The lines are simple and often faced with wood siding.

Federal

The Federal-style became popular during America’s first decades as a nation in the late 18th century and 19th centuries. These homes tend to be symmetrical with tall windows. The Federal homes were originally built in a similar box shape, and it is common to see in additions to the side or expanded depth.

Florida

A Florida house plan embraces elements of several styles that allow comfort during the heat of the day. This Mediterranean house with its shallow, sloping tile roof and verandas is faced with wood and has one or more porches, verandas, and windows to allow a breeze to flow freely throughout.

Georgian

These home plans characterize with proportion and balance and typically have square symmetrical shapes with paneled doors centered on the front façade. The paired chimneys are a common feature of added symmetry. The common building materials use stone with red, tan or white being the most frequently used colors.

Hill Country

This Texas Hill Country style is a regional historical style with roots in European immigrants that settled the area, with available white limestone and later brown sandstone that were used with the local cedar to construct these well-crafted and attractive homes. During the settlers’ movement and due to these lean times, the result of these homes is simple and has an authentic style with modern elegance.

Log Home

Log Homes originally were small cabins in the 1600s and were built as one room using no nails, sort of like the same concept of when we were kids building our own homes with the logs. Now, they are built as functional and large luxurious getaways. These log homes are ideally found in a rural setting. The climate of the surrounding area will dictate the type of wood you should use to build the home. And can be handcrafted or milled (built of manufactured wood).

Mediterranean

This is usually a one-story home design with shallow roofs that slope, with a wide overhang to provide shade in warmer climates. The courtyards and open arches allow for breezes to flow through freely the house and verandas. There are typically open, big windows throughout and the verandas can be found on the 2nd floor. The exterior is stucco and the roofs made with tile, making these great vacation homes in southern latitudes.

Modern

It Features glass, steel, and concrete. The open floor plans are a signature characteristic and from the street, they are dramatic to behold. And even though there is some overlap to the contemporary house plans, they are two different looks.

Mountain

Mountain home designs commonly feature huge windows and large decks with rugged exteriors and exposed wood beams. These prow-shaped great rooms are quite common. There is some crossover to vacation home plans.

Neoclassical

From Greek and Roman architecture for inspiration, the Neoclassical design embraces large columns and smooth surfaces. Some of the well-known homes in the U.S with the Neoclassical design, include the White House and Thomas Jefferson’s home, Monticello.

Northwest

Designed by architects from the Northwest, this home is simple in design, devoid of the excessive exterior details and it is mostly made of wood. The roof usually is medium to low-pitched with deep overhangs. Windows being large can bring light into the interiors.

Plantation

The plantation home plans are typically boasted with white pillars, asymmetrical shape and sprawling porches mostly associated with the South, though, found all over the country. The grand scale features are spacious and suggest the charm and genteel lifestyle of the South.

Prairie

The prairie style home plans came around the turn of the 20th century and are often associated with one of the giants in design. With seeping horizontal lines and wide-open floor plans, the common features of this style include overhanging eaves, rows of small windows and one-story projection, and in many cases, a central chimney.

Ranch

Is also known as “rambler” for the way the rooms spread out over only one level, but it also becomes a raised ranch or a split level with room for expansion. These styles became popular in the 1950s and had inspiration from Frank Lloyd Wright’s Prairie style, says Brennan. The asymmetrical shapes are common with the low-pitched roofs and a built-in garage. And the exterior is faced with either wood or bricks or has a combination of both.

Shingle Style

Shingle style house plans were born in England and popular throughout the West Coast, they are informal and highly imaginative –a summer style “cottage” often built for the wealthier clients. This architecture of American summer is known for its casual style with its ability to blend into their surroundings, with wooden shakes in natural colors. The wide porches are fairly common and are an invitation to spend more time outdoors in the sun.

Spanish Colonial Revival

These Spanish styles are easily recognizable by the terracotta tiles roof that is perfect for warmer climates, and stucco or adobe walls, and arched windows and doors that complete the look.

Split level

Its variation of the ranch but has more of an up and down feel as you walk through. Essentially is a ranch house with a garage stuck underneath it. The short staircases lead up and down to different levels and to rooms throughout.

Traditional

This being one of the most common styles in the U.S. is a mix of classic, simple designs that commonly features little ornamentation, simple rooflines, and symmetrically spaced windows. The building materials are in either wood or brick.

Tudor Revival

The Tudor Revival homes only use timber cosmetically and are easily recognized by its steep-pitched roof and framing of typically half brick or half-timber with stucco. Often, is misrepresented as the Tudor which refers to the English architectural style in the 16th century.

Tuscan

These house plans combine modern elements with a classic Italian design and resulting in an attractive Old World European charm. Though similar to Mediterranean house plans, the Tuscan designs typically feature stucco exteriors and stone accents, terracotta roof tiles, narrow, tall windows with shutters and enclosed courtyards. Additionally, this style often features decorative ceilings and wooden beams.

Vacation

Vacation home plans have central, open living spaces and with few or many bedrooms to suit a couple or a family with lots of friends.

Victorian

It is best marked with its steep roof, asymmetrical facade and elaborately crafted trim on overhangs and rooflines, giving it a ‘gingerbread house’ look. San Francisco’s Painted Ladies are a prime example of Victorian and Edwardian architecture in the U.S.

 

 

8 Steps That Guarantee You To Be a Real Estate General Contractor

LOCAL RECORDS OFFICE – I’m closing on a triplex (two 2bed/1bath units and one 1bed/1bath) on Monday that needs renovation and I’ve decided to GC this project on my own. The Local Records Office in Norwalk, CA sat down and started getting my thoughts together about a calendar and timeline and I realized that this process would make a great article for anyone doing their first renovation or anyone who wanted to get more organized. My golden rule for renovations is to make a realistic budget and timeline and stick to them.

Here are the 8 steps I follow when renovating a property:

Step 1: Demo

Maybe the most critical step because having a clean working environment will actually save time and money. Have your demo crew take down walls and get everything out of your way before making any improvements. Also, have them remove any trees or bushes that are in the way of progress. Then have the demo crew remove all of the trash and debris.

(Note: A beginner mistake is to perform these steps room by room or unit by unit but that actually ends up costing more time and money when contractors have to return so whenever possible have the contractors perform their task for the entire project before moving to the next step.)

Step 2: Waterproof Building Envelope

Another critical step because nothing would be worse than renovating a property only to have some or all of the renovations ruined after the first rainy day. In this step, I focus on making the property is completely protected against the elements. This includes fixing or replacing the roof, the gutters, the windows, the window capping, masonry work, gradation issues, sidewalks, basement, parging, and foundation work. Make sure that by the end of this step the building is 100% waterproof.

Step 3: Preliminary Framing

Now that the property is a blank pallet and watertight you can begin any structural or light framing you are doing on the project. Not every project requires this step but if you are moving or installing walls now is the time to build them. Also, use this opportunity to repair or replace joists and sub-flooring if necessary.

Step 4: HVAC, Plumbing, and Electrical

In the next phase the heating, cooling, electrical, gas and plumbing systems are put in place. Here are some common tasks that occur during this phase of the renovation:

The HVAC contractor will run the ductwork so it can properly be distributed to each

  • Floor
  • Plumbing lines are installed
  • Water lines for kitchens and baths are installed
  • The main electric panel is replaced or cleaned up
  • Electrical wiring is repaired/replaced
  • Switches and outlets are changed/upgraded

After all of the ducts and lines are installed your framing contractor will return for some secondary framing. All this entails is dry-walling and boxing in the ducts/lines that were just installed.

Step 5: Insulation and Drywall

The next step requires the installation of insulation and drywall. Make sure that the drywall contractor hangs, tapes, spackles, and sands the drywall and leaves it ready for the painter to begin painting. Painters can sand and prep the walls but they are usually more expensive than dry-wallers so try to have the dry-wallers do most of the wall prep.

Step 6: Paint, Lighting, HVAC, Plumbing, Kitchens, Baths

This phase of the renovation covers interior paint, lighting installation, HVAC, and finalizing the plumbing. This is the home stretch and a great deal of work is done in this step. Common tasks include:

  • Prime and paint interior walls
  • Install kitchen cabinets
  • Order/install counters
  • Install new interior doors
  • Order/install flooring
  • Install trim/molding
  • Install light fixtures, switches cover plates and outlet cover plates
  • Make sure the HVAC system is installed and fully-functional
  • Install sinks, vanities, toilets and kitchen/bath fixtures

Step 7: Interior Punch list

If you’ve made this far take a deep breath because you are almost done! The interior punch list phase is the time when you go around and put the finishing touches on your renovation project.

Common punch list tasks include installing HVAC trim covers, outlet light switch covers, doorknobs, cabinet handles, touching up paint and all of the small items that really make the project look great. Make a list and go down item-by-item and cross them off as they are complete.

Step 8: Exterior

The final step is the exterior renovation. This step includes exterior landscaping, exterior paint touch up, mailbox installation, property address number installation, flower boxes, window shutters, door hardware and any other item dealing with exterior curb appeal.

Congratulations you’re done! As you can tell overseeing your own renovation project really isn’t that scary if you are super organized and stick to a timeline. Follow these steps and over time you will streamline your process and become more efficient. Best of luck and make sure to let me know how it goes.

Follow us on Twitter twitter.com/RecordsOffice

Like us on Facebook facebook.com/localrecordsoffice

Watch us on Youtube youtube.com/user/LocalRecordsOffice

Watch on Vimeo vimeo.com/localrecordsofficevideo

Talk to us on Disqus disqus.com/by/local_records_office/

Look for us on LinkedIn linkedin.com/in/local-records-office

Pin us on Pinterest pinterest.com/localrecords/

Tumble with us on Tumblr localrecordsoffice.tumblr.com/

Watch us on Dailymotion dailymotion.com/local-records-office

Find us on WordPress localrecordsoffices.wordpress.com/

Easiest Way to Burn Money in Real Estate – Local Records Office

LOS ANGELES – One of the large mentorship programs – and star of a reality TV house flipping show – preaches debt stacking your real estate deals to reduce or eliminate yours out of pocket requirements according to the Local Records Office in Norwalk, CA.

Potential real estate flippers are sold on this because they hear that they will get infinite returns with little or no risk. On paper this sounds great but there are several fundamental problems with this, especially in the markets in which Pine Financial does business.

 

Paying for Bad Information That Doesn’t Help or It’s Outdated for 2016 Standards

 

The sad thing about this is that people pay $44,000 or more to learn this information. What’s worse is that people buy into this so much that they try to teach people how to do it or brag about how they do it on social networking sites like Facebook and at offline networking meetings. The purpose of this article is simply to share my experience with this way of operating and to try to protect you from falling into this trap.

We are in the middle of foreclosure with one of our clients in Los Angeles, CA. We are probably about halfway through the process but our client has the house under contract to sell. The problem is that there is not going to be enough money to pay us back and pay back all her “gap” funders.

I would define a gap funder as a private lender willing to lend on a piece of real estate in a junior position to cover the gap between what the primary lender is willing to lend and what the borrower wants or needs to get the deal done. The numbers on this deal look like this:

  • Purchase – $115,000
  • Repairs – $73,000
  • Our appraised value – $280,000
  • Our Loan – $196,000 (notice this is enough to buy and fix the house)
  • Gap funder Loans – $80,000 (3 different individuals)
  • Contract price – $225,000 (they will need to subtract costs to sell to get a net figure of available cash for all the lenders)

We were off on our value because the client made some fatal mistakes: she originally listed in the mid-$300s and it was not complete (that was way too high to list this house); there were very few price adjustments; the work that was done did not properly adjust the floor plan, and it just recently received an appliance package.

How can you expect to get top dollar when the house is not staged and it does not have appliances? It was on the market for over a year. The biggest problem was the floor plan but the fact that it sat on the market so long really hurt its true market value. Properties get a stigma if they have too much MLS exposure.

Buyers automatically think there is either something wrong with it or think they can get a bargain because the seller should be motivated. Had the house been listed closer to the true value of $270-$280k and listed after it was complete and staged, I am confident it would have sold for much closer to our original estimate of its value.

 

Borrowing Much Money for Rates That are Too High

 

The reason she had to borrow $80,000 above our loan was mostly because of holding costs, so a lot of that would have been eliminated had the property sold. I am not sure where the rest of the money went but it makes you wonder.

I have had conversations with two of the three gap funders and they all paid $44,000 to learn how to lose $80,000. They all have their sad story and to be honest it breaks my heart. One of the three spent all of their savings on this deal and will likely get none of it back. I am not sure what our client told these people to get them to invest with her but if any of it was misleading, there could be a fraud case here as well.

You might have noticed that the total loan to value based on our original value is 100%, which means that these lenders would likely take a loss even if the house sold for its full value.

With as bad as this deal turned out, we are still going to get our money back. This is why hard money lenders loan at 70% of the value. That leaves room for mistakes. In California and Nevada, there are hard money lenders that loan up to 70%.

If the deal is too much higher than that, the flipper probably should look at doing a different deal or consider cheaper funding sources like cash or a bank. The worst things flippers can do are borrowed hard money and then use gap funders, thus increasing costs and risk in the deal. It is my strong opinion that if a flipper needs gap funders they should not be doing the deal.

 

Gap Funding to Fund Portion of Profits

I have also heard of real estate investors who use gap funding to fund a portion of the profits upfront. (Is this what happened in my example?) I guess this is to help them with their lack of cash flow. Why in the world would they borrow their profit and pay interest and possibly fees on that money unless they really could not wait until they got the deal done?

If the client is not liquid enough to wait for their money, my guess is they are not liquid enough to handle a problem with their deal if there is one – unless, of course, they are borrowing more money. That is exactly what happened to our client in the above example.

I can go on and on but as sad is my story is, I have heard even worse. We get calls a few times a month from “gap” funders that need to foreclose but do not have the money to buy out the senior debtors.

They are asking us for money to either buy out the senior lenders or redeem from their junior position. If you don’t have the funds available to protect your loan you are really making an unsecured loan and could possibly be making the loan to an investor that does not have the ability or wherewithal to pay it back.

Follow us on Twitter twitter.com/RecordsOffice

Like us on Facebook facebook.com/localrecordsoffice

Watch us on Youtube youtube.com/user/LocalRecordsOffice

Watch on Vimeo vimeo.com/localrecordsofficevideo

Talk to us on Disqus disqus.com/by/local_records_office/

Look for us on LinkedIn linkedin.com/in/local-records-office

Pin us on Pinterest pinterest.com/localrecords/

Tumble with us on Tumblr localrecordsoffice.tumblr.com/

Watch us on Dailymotion dailymotion.com/local-records-office

Find us on WordPress localrecordsoffices.wordpress.com/

 

Wholesaling Real Estate in its Simplest Form is Just Getting Houses Under Contract

LOCAL RECORDS OFFICE – A decade ago I got home from a night out with friends, It was after 2am and I was not tired so I turned on the tube. Crazy I know, but I was young and full of energy.

Back then we did not have “on demand” so I was at the mercy of plain old cable TV. I was flicking through channels when I saw Robert Kiyosaki. He, of course, is the author of Rich Dad Poor Dad, and one of the people I was studying at the time. He was selling his Choose To Be Rich home study course. That was the first and only time I purchased something on late night TV, and I don’t regret it.

Real Estate

When the product arrived I was excited to start listening to the CD’s. I can’t say that it was a huge benefit to me, but there was one thing he said in that course that really got me thinking. He said that rich people find ways to create money. It is like pulling money out of thin air just by being creative.

One example of that is to negotiate deals, on real estate, that are marketable. In the markets we do business in, we hear people complain that they can’t find good deals.

“One of the easiest ways to do this is to make your contract assignable and assign your rights in the contract for a fee”

They complain that they want to wholesale deals to generate some income, but no one is accepting their offers. Wholesaling real estate in its simplest form is just getting houses under contract that you can sell for a quick profit. With this strategy you don’t need any money or credit, and you take virtually no risk.

This is a very attractive strategy for people starting out, so most of the gurus will tell you they can show you how to do this in hopes of you buying their course or going to their seminar. One of the easiest ways to do this is to make your contract assignable and assign your rights in the contract for a fee according to the Local Record Office in Norwalk, CA.

The last time I wholesaled a house I made $15,000. Right now I am working with a client that will make over $125,000 on a wholesale deal. He and I have been part of a deal where the wholesaler made $250,000. Now most of that is not the norm. What is more common is $3,000 to $5,000 per deal.

Understand What Wholesale Really Is

When you think of a wholesale deal, you are thinking of a steep discount property that you can buy to fix and resell for a profit. Most often, that is the case; but not all wholesale deals need to be big discount properties. I and some people I know would be very interested in buying some deals with great terms. In fact, I could pay full retail price if the terms made me money.

Equity is Nice but, Not Necessary

A buyer looking for a long-term deal wants to know what it will cost him or her and what the monthly return will be. A simple example could be a house worth $100,000. If you are able to negotiate with the seller a lease option, subject to, or some other type of installment sale, you can create cash flow that is marketable.   Let’s say you are able to take title with no money down and a payment of $800 interest only a month.

“Tax benefits and possible loan pay down, depending on how the deal is structured”

The term might be 10 years, in which the full $100,000 becomes due. If this house rents well, you might get as much as $1,200 a month.   If you account for vacancy and maintenance, your net income might be 80% of gross without a management company (this is on a single family home).

Your income would be $960 a month minus your payment of $800 for a total net cash flow of $160 or $1,920 a year. That agreement is valuable. In fact, if you sell that to another investor for $6,000 that would be a 32% cash on cash return for them. That does not include appreciation; tax benefits and possible loan pay down, depending on how the deal is structured.

For the wholesaler, they have no risk or money into the deal and just made $6,000. (You should actually make more than $6,000 on a deal like this one).

Focus on Your Marketing

The key is to focus your marketing on sellers that might be motivated and in a position to work with you. From my experience, people with little or no equity that need to sell are pretty easy to negotiate with.

They, of course, need to have a good loan in place to make the cash flow attractive.

I also want to point out that when you work in the MLS and make offers on REO properties, you most likely will not be able to assign the contract. That is not true when dealing with homeowners. In fact, I have never had a seller not sign an agreement because it was assignable.

My guess is you would be one of very few attacking this market, which could really separate you in this business. While everyone else is looking for big equity deals in the MLS, you will be quietly making a fortune.

The Time to Purchase a Home is Now – Local Records Office

LOCAL RECORDS OFFICE – LOS ANGELES, CA – With interest rates expected to rise later this year; you may be wondering whether you should buy a home at today’s low rates says, Local Records Office. The average rate for a 30-year, fixed-rate mortgage was 3.85 percent last week, according to Freddie Mac’s weekly mortgage market survey, about what it was at the end of 2015.

Local Records Office says, “Interest rates, however, should not be the primary factor that determines when you purchase a home.” For most buyers, other factors are much more important. Rather than buy now for fear that rates might suddenly increase, for example, it might be smart to wait so you can save up a bigger down payment.

LOCAL RECORDS OFFICE: Interest Rates and Payments on Your Home

“Small changes in interest rates don’t make large changes in your payment,” says Casey Fleming, a writer in Los Angeles, California. Fleming actually believes interest rates may drop further. “Interest rates are not the most important piece.”

If you’re ready to buy a home, 2016 could be a good year. The inventory of homes for sale is likely to rise and fewer flippers are scooping up the best homes with all-cash deals, says Nela Richardson, chief economist for the brokerage Redfin.

Low-interest rates are contributing to the higher inventory, she says, because homeowners who are ready to sell their homes and move to a bigger or smaller home, or a new neighborhood, are willing to abandon their low-rate mortgages if they can secure an equally good loan. Plus, home appreciation has slowed, so there is less reason to stay put.

“The payoff to waiting [to sell] is not going to be a lot,” Richardson says. “Right now, it’s the best it’s going to get,” she adds. “Maybe it’s time to rush and sell but not time to rush and buy.”

You Owe More on Your Home is Worth, Local Records Office Services Will Help You VIDEO

For most prospective homebuyers, other factors are likely to be more important than interest rates when they do the math about whether 2016 is the right year to buy.

“If you can afford a down payment now and you’re going to be in the home a long period of time, it’s a very attractive time to buy a home,” says Stan Humphries, chief economist for Zillow. But he cautions buyers against making their decision based on what they’ve heard about imminent interest rate increases. “There’s no need to rush out and beat an interest rate increase. You can walk, not run, to your bank the way interest rates are going.

Interest rates fluctuate and may change countless times between the moment someone decides to buy a home and when they actually close the deal. In fact, they change daily and sometimes more than once a day.

6 Factors That May be More Important Than Interest Rates When Deciding Whether to Buy a Home This Year

Length of time you’ll stay in the home. How long you have to live in a home to make it more economical than renting varies by locality and by the individual home a person is considering buying or renting.

“On average, it takes four to seven years to break even on a home, where you’ve got enough appreciation where it can pay you back for the cost of the transaction and cost of ownership,” Fleming says. “If you’re thinking about buying a home, selling it in two years and think it’s going to be cheaper than renting, it’s very unlikely to be.”

Job security. You don’t want to buy a home and then discover you’ll need to relocate to get a new job in six months or, even worse, end up unemployed and unable to make payments. Lenders typically like to see two years of job history, though that isn’t always necessary if you have changed jobs within the same field.

LOCAL RECORDS OFFICE — Step-By-Step Mortgage Application Process for New Homeowners VIDEO by Local Records Office

Down payment. Fannie Mae and Freddie Mac have announced plans to back loans with down payments as low as 3 percent, while the Federal Housing Administration offers loans with down payments of as little as 3.5 percent.

But if you put less than 20 percent down, you have to pay private mortgage insurance every month, which could cost you more than a slightly higher interest rate. “If they’re looking at an FHA mortgage, paying PMI is a lifetime proposition,” Humphries says. With a conventional mortgage, you can ask to have the PMI removed once you have 20 percent equity in your home. That’s not possible with an FHA mortgage.

Emotional readiness. Not everyone is ready to own a home. If your dream is to travel the world, you should do that first. Or, you might not be sure you want to stay in your current city. Plus, homeownership brings additional responsibilities.

“Your life changes a great deal when you go from being a renter to an owner,” Fleming says. “When things break, it’s your responsibility to fix them, not the landlord’s.”

 

READ MORE: The Top Real Estate Scams in 2016 – Local Records Office

 

Financial readiness. Before you buy a home, you want to make sure you have good credit, a steady income and some money in the bank beyond what you’ll need for a down payment. You likely will have to pay a year’s worth of homeowner’s insurance and property taxes upfront.

All homes, even new homes, require maintenance. And you don’t want to be stuck with no reserves if the air conditioner or furnace dies shortly after you move in.

Your local housing market. In some cities, buying a home is significantly cheaper than renting. In others, the calculation is less clear. Macro math aside, you might also discover that you can’t afford a home in a neighborhood you want or the type of home you want is in short supply this year.

 

 

Buying Your Dream House in 2020 Sellers Market –Local Records Office

LOCAL RECORDS OFFICE – LOS ANGELES, CA – We all want our own dream home one day but it’s easier said than done says, Local Records Office. If you’ve decided to buy a home, good luck to you. Your challenge will be not just finding a home you like, but also beating out all the other home buyers who like it and want to make an offer on it, too.

LOCAL RECORDS OFFICE – Buying an Existing Home That Won’t End Up Being a Money Sucking Liability 

The number of homes for sale is low nationwide, particularly in the price ranges desired by first-time homebuyers. The latest figures from the National Association of Realtors show that that there was only a 3.5-month supply of homes for sale in March, which is lower than the six-month supply that indicates a balanced market.

One-quarter of March’s transactions were all-cash sales, according to the NAR, and investors bought 14 percent of the homes that were sold.

Is 2020 a Sellers Market?

That means that if you want to end up with a nice home, you need to be strategic says, Local Records Office. Expecting to find the home of your dreams by nonchalantly walking into a few open houses or perusing some online listings is not realistic in this seller’s market.

 

READ MORE: 3 Investment Tricks You Need to Know to Succeed in Real Estate – Local Records Office

 

These days, most would-be buyers come to an agent with a list of homes they’d like to see based on their online research. While that often serves as a solid starting point, a quality agent may find additional options.

After buyers have seen a few properties, Local Records Office says skilled agents can typically gauge what they’re looking for in a new home and may have other properties lined up. “I advise them to listen to their Realtor,” she adds.

Here are nine tips to help you get the house you want this spring

Get your finances in order first. Several months before you intend to start looking, you should get copies of your credit reports to make sure you’re in a financial position to buy. Shop for mortgage financing before you start looking at houses.

“I will not take anybody to see any house unless they have a pre-approval letter or proof of funds, I want proof of funds to show the seller.” Local Records Office says that some lenders are doing the underwriting before the house is under contract, which shortens the closing time and can be more attractive to the seller.

Who REALLY is Local Records Office? (VIDEO)

A Good Agent Will Go Along Way

Find a good agent. Using a real estate agent costs buyers nothing because the seller pays the real estate commission. Ask friends, family, and co-workers for referrals. Look for a full-time agent who works often in the neighborhoods where you’re looking.

You may want to interview several agents to find a good fit. If you can only look for homes on weekends, for example, you don’t want an agent who takes weekends off.

Visit neighborhoods you’re considering at different times of the day. A neighborhood that’s quiet during the middle of the workday may be noisy and crowded at night and on weekends.

Get out and walk the streets, talking to people who live in the neighborhood, visiting shops and restaurants and “trying out” your desired location. Drive to and from work during commuting hours to get an idea of what a typical day might be like.

READ MORE: Local Records Office Urges Homebuyers to Consider Their Lifestyles When Choosing a Community

Separate your needs from your wants. In a competitive market, most buyers find they have to compromise on location, amenities or condition of the home. It’s easier to make a choice when you know going in which features you must have and which you’d like to have but can live without.

Move quickly once you find the house you want. That often means rushing out to see new homes within hours of them being listed and writing up an offer immediately if you like the house. “Things are gone in a matter of hours,” Local Records Office says. “You really have to move fast.”

Don’t make snap judgments based on listing photos. A house that doesn’t look appealing in photos could still be a great house. Homes being sold by an estate or homes with tenants inside often yield particularly poor photos. Plus, photos fail to convey the feeling of a home or the floor plan. “Unfortunately, the pictures don’t tell a true story,” Local Records Office says. “You have to be willing to look past some of the pictures.”

Be realistic about the home inspectors and repairs. The more competitive the market, the less likely a seller will be to make repairs, though some sellers may lower the price if the inspection reveals expensive defects.

The purpose of the inspection isn’t to get the seller to repair every small problem but to find out for sure that the house is what you thought it was. “They’re not buying a brand-new home,” Local Records Office says. “What we are looking for are major defects we were not initially able to see in the walkthrough.”

Don’t buy a house you don’t love. While most buyers may have to compromise on some of the features they wanted, they shouldn’t settle for a home they don’t like. If you don’t find the right home this year, maybe you should start renting and try again later rather than make a purchase you’ll regret.

Write a personal letter to the sellers. Some sellers are interested only in how much money their home sale will yield, but others love their home want it to go to a new family that will love it just as much.

If you really like a house, include a personal letter and a family photo with your offer. “It doesn’t work for everybody, but I have seen it work for many, many people,” Local Records Office says.

Make a big earnest money deposit. The expected size of the earnest money deposit, and the rules about when you get it back, vary by locality. But sellers often see a larger deposit as a sign that you’re serious about the deal.

Make a backup offer. Many prospective buyers don’t want to make an offer on a house that has a pending contract. But deals fall apart over inspections, financing, and other terms. If you found the perfect house, you can make a backup offer that will put you in the first place if the initial buyer walks away.

 

Secrets to Buying Your First Home in 2020 – Local Records Office

LOCAL RECORDS OFFICE – LOS ANGELES, CA- We all want the secrets to success and the easiest way to buy a home says Local Records Office. For first-time homebuyers, the whole home buying process may look a bit daunting.

You’re going into what could be the biggest purchase of your life with no experience to fall back on. The good news is a little preparation can go a long way and help you approach this major decision with confidence.

The Company Local Records Office is Targeting Los Angeles, CA Residents FOR A GOOD REASON

 

Many things have changed in recent decades about the way Americans buy and sell homes, but one adage still matters, a lot: location, location, location.

While you may be happy living in any of several neighborhoods in your city, you won’t be happy if you choose the wrong location. And that’s where your research should start: deciding exactly where you want to live.

Talk to friends and co-workers, drive around town, visit restaurants and stores and talk to neighbors in areas you’d consider calling home. Go to open houses so you can view some houses. Look at homes on the Internet, evaluating style, size, price and how long they stay on the market.

 

READ MORE: You Owe More on Your Home is Worth, Local Records Office Services Will Help You

 

You can find a real estate agent while you’re still working on this process. However, your choice of agent also depends on where you want to live, because a neighborhood expert often can find you the best house at the best price. “You want people who have worked and have experience directly in the areas you’re looking in,” says Peter Hens, from LA Realtor Firm in Los Angeles, California.

If you’re a buyer, there is no reason not to use a real estate agent. It costs you nothing, and the agent’s job goes far beyond finding the house. In fact, it’s after you’ve found the house that you’ll most need the agent, both to structure and present the offer and then to troubleshoot issues that arise between contract and closing.

Here are 12 tips for buying your first house:

Make sure you’re ready to buy, both emotionally and financially. If you expect to relocate in a few years, this may not be the right time for you to buy. If you don’t have cash for a down payment, closing costs and other expenses, you may be better off waiting. Look at your life, your career, your finances, and your future expectations, and determine whether buying a house is the right move at this time.

Find the right team. The difference between deals that close and deals that don’t are the professionals involved. You want to make sure you find a real estate agent who will move quickly when a new listing goes on the market, as well as an agent who will advise you honestly on preparing your offer.

You also want a mortgage professional lined up before you start looking. “The lender is the most important person to closing on time,” Hens says.

 

READ MORE: Local Records Office Brings Together Agents and Buyers to Generate Property Important Value

 

Get your finances in order first. Some real estate agents won’t even show homes to prospective clients who don’t have a mortgage pre-approval. You definitely should meet with a mortgage broker or banker (better yet, several) at the start of the process to find out how much house you can afford and how much cash you’ll need to close.

Do the entire math. Just because a bank says you can borrow $300,000 doesn’t mean you should. If you have credit issues, realize that this part of the process could take several months.

Calculate each and every cost. The purchase price and the mortgage payment are just the beginning. Don’t forget homeowner or condo fees, homeowners insurance, and real estate taxes. Plus, you’ll need to budget for utilities, repairs, and maintenance.

Don’t spend all your cash. Avoid emptying your bank account for your down payment and closing costs. There will always be unexpected repairs. Plus, it costs money to move, change locks, put down utility deposits and buy things you never needed before, like a lawnmower.

When you look at houses, focus on the right things. Don’t be distracted by the owner’s odd décor, paint colors, dirty carpet or anything that is easy to change. Granite countertops and stainless steel appliances are easy to add later. You can’t easily add another bedroom, a better location or a more functional floor plan.

If you’re buying in a condo or homeowners association, know the rules. How your association is run can make a big difference in how much you enjoy life in development. You’ll want to know about all rules and restrictions, from pet ownership to who can use the pool.

Condo buyers also want to investigate the association’s finances because a poorly run association can mean big assessments later.

 

READ MORE: 3 Investment Tricks You Need to Know to Succeed in Real Estate – Local Records Office

 

Visit your favorite neighborhoods at different times. Most neighborhoods are quiet in the middle of the day. As Glen Craig writes at the personal finance blog Free From Broke: “You need to see what the area is like on a Saturday night. Are there kids and such all-out driving with the music blasting? What’s it like in rush hour in the morning or in the evening?”

Talk to the neighbors. Ask about the neighborhood and about the houses you’re considering. The neighbors will know if there are foundation problems. They’ll also know about barking dogs, petty crime and the size of utility bills.b

 

Consider which contingencies you’re willing to waive. In the ideal scenario, a purchase offer is contingent on a satisfactory home inspection, approval of your mortgage and an appraisal that equals the purchase price.

In most parts of the country, a buyer is smart to keep all those contingencies in the contract. But in a competitive market, you may be competing against buyers who have agreed to waive contingencies. “You never want to [agree to waive them] unless you’re sure you’re 99% safe to do it,” Hens says.

Be ready to move quickly once you find the home you want. Good homes that are well priced nearly always sell quickly. It’s OK to take some time to think before you make an offer, but you might not want to wait a few weeks. Your agent can provide invaluable advice here.

Know what’s important to you. No house will be perfect, so where are you willing to compromise? If you want a specific school district, are you willing to accept a smaller house? If you want to be near the water, could you be happy with a condo? Are you willing to accept a longer commute to get a larger house?

8 Common Myths That Real Estate Buyers and Sellers Believe – Local Records Office

Local Records Office Explains the Most Common Real Estate Myths

LOCAL RECORDS OFFICE – LOS ANGELES, CA – We usually hear myths when it comes to old houses that have been abandoned for many years but apparently it is common in real estate too. Buying or selling a house is not something most of us do every day says, Local Records Office. You may do it once a decade, or even once in a lifetime.

Despite the fact that most of us enter the world of real estate only rarely, we all think we know how it works, based on the experiences of friends and family members, stories we have heard and things we have read, but for everything we believe we know about the industry, there are a number of myths that circulate about how real estate actually works. Buying into those can hurt your chances of buying or selling the right home at the right price. The best thing to do is not to believe the folk tales.

What Are the Advantages of Renting vs. Buying a Home – Local Records Office

 

Technology has changed how we buy and sell homes, and yet some aspects of real estate are the same as they were when our parents bought their last house. Along time has passed by since then. The Internet has made much more information available to consumers, but not all the information is equal, or even accurate.

Let’s be honest we’ve all read something online or on social media and believed it was true, says Sean F Carter, principal broker of Carter Real Estate in Los Angeles and a regional director of the National Association of Exclusive Buyer Agents. “Lots of people read and believe every single word they read.” That can’t be good. The risk with believing everything you hear or read is real estate myths can cost you big bucks when it’s time to buy or sell your property. Local Records Office has created 8 of the most common folk tales that can trick people.

List Your House Price Higher Than What You Think it Will Sell For

Many folks selling their home try to sell it as soon as possible and let buyers low-ball them, make sure to set your home price higher than what you expect to get. Listing your home at too high a price may actually net you a lower price. That’s because shoppers and their real estate agents often don’t even look at homes that are priced above market value. It’s true you can always lower the price if the house doesn’t garner any offers in the first few weeks.

But that comes with its own set of problems. “It’s common for potential buyers to suspect that a house that has sat on the market for more than three weeks to be a dud,” says Hamilton Jefferson, chief economist for the Real Estate Brokers inc. In the Long Beach, CA area where multiple offers are common, sellers will actually price their homes for less than they expect to get, in the hopes of getting multiple offers above asking price.

Remodeling Your Home Before Putting in the Market is a Must

This is FALSE. It is true that the selling price may lower but you save on the renovation process, also, prospective buyers may not share your taste, but they don’t want to redo something that has just been renovated. “You’re better off adjusting your price accordingly,” says Benjamin Franking, president of Franking Real Estate Services in Hollywood CA, and a regional director of the NAEBA. “Most buyers want to put their own spin on things.” It’s ok to have an outdated kitchen sometimes.

Save Your Hard Earned Money by Selling Your Home Yourself

We all like to save money, especially when it comes down to saving a few thousand bucks. There have been many cases where folks sell a house on their own, but they need the skills to get the home listed online, market the home to prospective buyers, negotiate the contract and then deal with any issues that arise during the inspection or loan application phases says, Local Records Office.

It’s not impossible to sell a home on your own, but you’ll find that buyers expect a substantial discount when you do, so what you save on a real estate commission may end up meaning a lower price. It’s not impossible to sell your home on your own for the same price you’d get with an agent, but it’s not easy.

Real Estate Market Always Goes Up and It Rarely Goes Down

The real estate market could go up or down at any time. In recent years, homebuyers and sellers have experienced a time of increasing home values, then a sharp decline during the economic downturn and now another period of increasing values. “They think that the market only goes up,” Carter says. “They don’t think about when a correction will come.” The recent recession should have reminded everyone that real estate prices could indeed fall, and fall a lot.

Renovating Will Bring in Big Bucks

“This one is true and false,” says, Local Records Office. If you fix the heating and air conditioning system or roof, you will sell your house more quickly, but you probably won’t get back what you spent. You’re likely to recoup only 67.8 percent of what you spent on a major kitchen remodel and 70 percent of what you spent on a bathroom remodel on a mid-range home.

What You See Listed Online is What’s Available

Most of the homes that go for sale do get listed online but there are others that won’t. Your agent must choose to let the listings show up online. Most do, but it never hurts to verify that yours will.

LOCAL RECORDS OFFICE – Red Flags That Should Raise Concern on Inspection and Avoid Scams

 

By Not Using an Agent As a Buyer You Will Get an Amazing Deal

You can get a better deal as a buyer if you don’t use a real estate agent. “That’s a completely false premise,” Carter says. If the house is listed with a real estate agent, the total sales commission is built into the price. If the buyers don’t have an agent, the seller’s agent will receive the entire commission.

A Fancy Open House Will Sell Your House

Believe it or not, homes rarely sell to buyers who visited them during an open house. Agents like open houses because it enables them to find additional customers who are looking to buy or sell homes.

If you or your agent chooses not to have an open house, it probably doesn’t hurt your sale chances – although holding a broker’s open house for other agents may be worthwhile says, Local Records Office.