Set the stage: the phone rings in a real estate office. Agent answers "How may I help you?" Caller "I'd like to see the house advertised in the paper. Can you show it to me on Saturday?" Agent "Yes I'd love to show that home to you on Saturday. But first, you need to know this home won't qualify for financing, so are you able to buy it with cash or builders financing?" The caller hasn't yet gotten back to me with an answer.
Then later in the day that same listing agent (who represents the ex-wife) and the attorney for the ex-husband, are speaking together, having just returned from a Rotary lunch. They discuss how the divorce judge gave custody of the home to the wife but that the mortgage holder holds the ex-husband (not the ex-wife, as her name is not on the note) financially accountable. they're speaking about how the judge ordered the wife to allow potential buyers access to the home (she'd locked the door and we couldn't get inside, so potential buyers were turned away). But because the wife wants to get back at the husband she has allowed cats to do their thing all over the home, how she's filled the home with stuff.
Then later in the day, I hear the agent on the phone with the town health inspector. The health inspector says he's ready to declare the home uninhabitable for sanitation purposes and start fining the co-owners. The agent explains the situation and the the town representative agrees to wait for 48 hours so the agent can speak to the co-owners.
Our receptionist tells me to speak with another agent who'se recently shown this home to clients. The agent says "there are environmental issues." I ask "how so?" Agent "there was an oil tank in the basement that was removed but there was a miscommunication with the oil provider and hundreds of gallons of oil was pumped into the basement with no container to contain it."
Later the listing agent told me the oil company settled the case, meaning it was their fault. Whoever's fault it is, whoever owns the property is forever liable for oil getting into the water table or other environmental clean up costs. In otherwords, buying this property could possibly include endless financial liabilities.
Lesson-learned: If the price is too low, there's a reason! If a three-bedroom Cape in in a small upscale town, with two-acres and a two-car garage, is advertised for $140,000, there's a reason. If the ad says the home needs work, it means the home is most-likely uninhabitable and won't qualify for a bank loan. These are red flags to buyers. Realtors must market a property and represent their client. to do this we write the ads as favorable to the property as possible, so the ad says "needs TLC or first time buyer's special or handyman dream" You know that if you are looking for a home that is move-in ready you shouldn't waste your time going to see that home. But if you want the most for your money, have cash to buy it (or can borrow from a non-bank source), go for it. But get the place inspected thoroughly. And I don't just mean the normal inspector process. Get the ground tested, test the water, go above and beyond in situations where the price is far lower than surrounding homes. In real estate, you do get what you pay for.
FYI: Realtors will disclose all the home issues described above regarding the issues this home has. Our ethics require disclosure of all material facts about a property.
The shocking part to me about the above story is the disclosure about the personal issues about the homeowners. Realtor ethics require that we keep all personal issues about our clients to ourselves. The only exception is if the client gives us permission to disclose this information to others. Somehow I can't believe this client gave her agent permission to disclose all her personal business with anyone within listening radius. But I don't know that for a fact, so know knows? Anything's possible.
Friday, April 18, 2008
Thursday, April 17, 2008
Moving a house
A house was being moved on Main Street, in Amherst this morning. All the parking along Main Street is blocked in preparation for the big move. The trucks were on-site so it looks like there will be something to see very soon.
Turkeys
I saw three wild turkeys on MA-202 this morning, near Shutesbury. Two days ago there was a wild turkey in my back yard.
Wednesday, April 16, 2008
Tour
Today is tour day. That means all the realtors in the Amherst area (mostly Prudential Sawicki and Jones) drive as fast as they can all over the Pioneer Valley. We have a list of homes just listed, that we preview for our clients. This is how we learn what's on the market. This is how we are able to be sure we take you, our customers, to only the homes you might be interested in seeing. For example, tour this week goes to South Deerfield, Amherst and Montague. There are nine homes that are new to the market, in those areas this week. We go into the home and see the condition, compare the homes' features to the price, and we file away that knowledge. This also ensures we know how to get to a home later, when with clients. Occasionally, a home is so dirty I'd never take a customer to see that home, unless that customer were warned ahead of time and still wishes to see it. This might occur if the price were so low that it would be worth buying, no matter the mess you'd have to wade through to see it. We rush into each home, see every room, then return to our cars to get to the next house on tour.
Tour is a great marketing tool for home sellers and home buyers. For sellers, tour is a way to get realtors into their home. If a realtor hasn't seen a home, she isn't as inclined to bring a client into that home, unless the client specifically requests to see it. Many realtors have clients who are looking for specific homes. Here's where tour helps home buyers. Realtors see homes and if one meets that client's need, the realtor makes an appointment the day before, to show that home to that client. Is this a win-win or what?
Tour is a great marketing tool for home sellers and home buyers. For sellers, tour is a way to get realtors into their home. If a realtor hasn't seen a home, she isn't as inclined to bring a client into that home, unless the client specifically requests to see it. Many realtors have clients who are looking for specific homes. Here's where tour helps home buyers. Realtors see homes and if one meets that client's need, the realtor makes an appointment the day before, to show that home to that client. Is this a win-win or what?
Tuesday, April 15, 2008
Decorating vs. Staging
What is the difference between staging and decorating? The difference is the purpose. The purpose for decorating is that the homeowner is decorating for his/her own enjoyment. The purpose in staging is different. Staging is for the purpose of helping potential buyers see the merits of a house enough so he/she will make an offer to purchase.
Decorating is to show off collections/personal taste. Staging is to show off the home/buyer taste.
Decorating can be wild and wacky or anything in between. A staged home has anything distracting packed away.
A decorated home can have many purposes for one room, if that's how the homeowner wants to live. A staged home needs one clear purpose for each room in the home.
A decorated home can be bright colors, like red, blue or purple. A staged house can have strong-colored accent walls, if they fit into a color-coordinated, mostly-neutral palette and there is lots of light in place and the few accessories tie the room together. But as a rule, in a staged house, the wall colors need to be off-white/beige/light gray/tan and most personal items are packed away.
A decorated home can have lots of furniture in each room. A staged home should be minimally furnished.
A decorated room can have furniture placed in the middle of walkways, blocking the path into the room. A staged room should invite potential buyers into the room, with nothing in the path that might lead potential buyers to not go into the room.
A decorated home is for the enjoyment of the family and friends of the homeowners. A properly staged house draws potential buyers into every room, the hope being that the longer a potential buyer stays in each room, the more likely he/she will be to see its merit and put in an offer to buy the house.
A decorated home highlights the tastes of the owners. A staged home is designed to appeal to as many potential buyers as possible.
A decorated home can be very expensive. A staged home is often just a re-arrangement of the homeowners' own things, pared down and coordinated and slightly supplemented with a few accent pieces.
Why would a home seller stage his/her home? Because research has shown that empty homes and homes that are not staged, take longer to sell and sell for less money than a properly staged home.
Why don't more home sellers stage their homes? Often, the realtor doesn't want to be the bad guy and point out to their home seller that their home is not ready to be sold. The realtor wants the listing. So the realtor lists the home as is unless the home seller asks the realtor how to get the home sold quickly. Then the realtor will be full of helpful suggestions on what would be most effective to sell.
Realtors see many homes every week. We know which homes will sell quickly and which will drag on for years without selling. The difference is staging.
Steps in staging:
1. Look at your home from the curb, take a picture. Look at the picture. What do you see? Do you see dirty siding? Get the siding pressure washed, include the sidewalks and driveway, too. Does the trimwork need painting? Paint it. Is the screen torn in the storm door? Go to the hardware store and buy a screen repair tool and fix the screen. Continue this process inside and outside your home.
2. Clean everything, inside and out. Don't forget the cobwebs and dust in the light fixtures.
3. Store away any un-necessary furniture.
4. Be sure each room has one clear purpose. The living room is a living room, not a living room, an office, and exercise room.
5. De-clutter. Pack up all collections and store them away. Collections are a distraction to buyers. If you want to sell, you want the home to be the attraction.
6. Update anything that is outdated or dated. Buyers want a home in move-in condition.
7. Do all that deferred maintenance you've been putting off since you bought the home.
8. Remove anything that blocks a focal point. Windows, fireplaces, these are focal points, highlight them!
9. Try to have like-styled furniture and accent pieces in each room, preferably throughout the home. For example, if the home is Victorian, try to have Victorian furniture, or at least not modern furniture. If this is not possible, at least go throught your home and put all the Queen Anne pieces in the same room and all the modern pieces in another room.
10. Store away any controversial or family items.
11. Paint is the cheapest, easiest way to update a house.
12. If you have a septic system, be sure it is able to pass inspection.
13. Be sure your smoke and carbon monoxide detectors are up to code.
14. Trim the trees and bushes away from the walkway to the front door.
15. Plant flowers near the front walkway and door
16. Bake a pie when you know someone will be touring your home, buyers love the aroma and will be more favorable toward your home, and they will stay longer.
17. Pack away your books
18. Clean out your closets and drawers. Buyers shouldn't, but do, look in drawers and closets. If your attic and basement is a mess, buyers think there isn't enough storage. Invest in storage cabinets and shelves and then you'll have them to take with you when you move.
For more tips, watch HGTV's Designed to Sell tv show, every weekday evening at 8pm. They spend $2,000 and lots of elbow grease to get older homes ready to sell for top dollar in the least amount of time. Of course, they have carpenters and designers.
You can hire an accredited stager, if you wish professional help. But most realtors can help you with the most critical issues.
If a home seller does nothing else, he/she must de-clutter, update, clean, maintain, and arrange the furniture to maximize the interest in their home to potential buyers.
Statistics say that 70% of buyers won't even look at a home that isn't appealing in the online pictures. That means they won't even tour your home in person if it isn't staged. That means you are marketing your home to only 30% of buyers if it isn't staged!
Experts say that many home sellers don't wish to spend money on the home they're selling. They're focused on their new home. Wrong! Focus on doing what it takes to get this home sold now and for top dollar. Otherwise, you may not ever be moving into that new home because you might not get the old home sold.
Decorating is to show off collections/personal taste. Staging is to show off the home/buyer taste.
Decorating can be wild and wacky or anything in between. A staged home has anything distracting packed away.
A decorated home can have many purposes for one room, if that's how the homeowner wants to live. A staged home needs one clear purpose for each room in the home.
A decorated home can be bright colors, like red, blue or purple. A staged house can have strong-colored accent walls, if they fit into a color-coordinated, mostly-neutral palette and there is lots of light in place and the few accessories tie the room together. But as a rule, in a staged house, the wall colors need to be off-white/beige/light gray/tan and most personal items are packed away.
A decorated home can have lots of furniture in each room. A staged home should be minimally furnished.
A decorated room can have furniture placed in the middle of walkways, blocking the path into the room. A staged room should invite potential buyers into the room, with nothing in the path that might lead potential buyers to not go into the room.
A decorated home is for the enjoyment of the family and friends of the homeowners. A properly staged house draws potential buyers into every room, the hope being that the longer a potential buyer stays in each room, the more likely he/she will be to see its merit and put in an offer to buy the house.
A decorated home highlights the tastes of the owners. A staged home is designed to appeal to as many potential buyers as possible.
A decorated home can be very expensive. A staged home is often just a re-arrangement of the homeowners' own things, pared down and coordinated and slightly supplemented with a few accent pieces.
Why would a home seller stage his/her home? Because research has shown that empty homes and homes that are not staged, take longer to sell and sell for less money than a properly staged home.
Why don't more home sellers stage their homes? Often, the realtor doesn't want to be the bad guy and point out to their home seller that their home is not ready to be sold. The realtor wants the listing. So the realtor lists the home as is unless the home seller asks the realtor how to get the home sold quickly. Then the realtor will be full of helpful suggestions on what would be most effective to sell.
Realtors see many homes every week. We know which homes will sell quickly and which will drag on for years without selling. The difference is staging.
Steps in staging:
1. Look at your home from the curb, take a picture. Look at the picture. What do you see? Do you see dirty siding? Get the siding pressure washed, include the sidewalks and driveway, too. Does the trimwork need painting? Paint it. Is the screen torn in the storm door? Go to the hardware store and buy a screen repair tool and fix the screen. Continue this process inside and outside your home.
2. Clean everything, inside and out. Don't forget the cobwebs and dust in the light fixtures.
3. Store away any un-necessary furniture.
4. Be sure each room has one clear purpose. The living room is a living room, not a living room, an office, and exercise room.
5. De-clutter. Pack up all collections and store them away. Collections are a distraction to buyers. If you want to sell, you want the home to be the attraction.
6. Update anything that is outdated or dated. Buyers want a home in move-in condition.
7. Do all that deferred maintenance you've been putting off since you bought the home.
8. Remove anything that blocks a focal point. Windows, fireplaces, these are focal points, highlight them!
9. Try to have like-styled furniture and accent pieces in each room, preferably throughout the home. For example, if the home is Victorian, try to have Victorian furniture, or at least not modern furniture. If this is not possible, at least go throught your home and put all the Queen Anne pieces in the same room and all the modern pieces in another room.
10. Store away any controversial or family items.
11. Paint is the cheapest, easiest way to update a house.
12. If you have a septic system, be sure it is able to pass inspection.
13. Be sure your smoke and carbon monoxide detectors are up to code.
14. Trim the trees and bushes away from the walkway to the front door.
15. Plant flowers near the front walkway and door
16. Bake a pie when you know someone will be touring your home, buyers love the aroma and will be more favorable toward your home, and they will stay longer.
17. Pack away your books
18. Clean out your closets and drawers. Buyers shouldn't, but do, look in drawers and closets. If your attic and basement is a mess, buyers think there isn't enough storage. Invest in storage cabinets and shelves and then you'll have them to take with you when you move.
For more tips, watch HGTV's Designed to Sell tv show, every weekday evening at 8pm. They spend $2,000 and lots of elbow grease to get older homes ready to sell for top dollar in the least amount of time. Of course, they have carpenters and designers.
You can hire an accredited stager, if you wish professional help. But most realtors can help you with the most critical issues.
If a home seller does nothing else, he/she must de-clutter, update, clean, maintain, and arrange the furniture to maximize the interest in their home to potential buyers.
Statistics say that 70% of buyers won't even look at a home that isn't appealing in the online pictures. That means they won't even tour your home in person if it isn't staged. That means you are marketing your home to only 30% of buyers if it isn't staged!
Experts say that many home sellers don't wish to spend money on the home they're selling. They're focused on their new home. Wrong! Focus on doing what it takes to get this home sold now and for top dollar. Otherwise, you may not ever be moving into that new home because you might not get the old home sold.
Monday, April 14, 2008
Spring in the Pioneer Valley and Hilltowns
Spring is here. I see bulbs sprouting, turkeys crossing the road, even a cow being led on a leash. Birds are chirping. Spring peepers are peeping away in every marsh. And there is lots of sun, even if the heat hasn't yet arrived. We even went kayaking on Lake Rohunta the other day. It was our first time on that lake and we can't wait to go again. The fisherman next to the boat launch ramp was very genial. Even the motorcycle riders are out, so look twice. Then there is the fact that the outside ice cream windows have re-opened again. Diet? Not with all the exercise we get from all the outdoor activities we can do with all this extra evening hours of daylight! So go ahead, stop by the 202 Grille on MA-202/MA-2, exit 16 in Orange and have that milkshake. You can work off the calories by hitting a few golf balls at the range or mini-golf course. Isn't this the greatest place to live? Who needs to go elsewhere for a vacation? We live in vacation central every day!
Saturday, April 12, 2008
1st Time Buyer
Are there special programs for first time home buyers? Yes! The best place is to check with your financial expert. I use Dave Loeffler, First Horizon Home Loans, Peachtree City, Georgia. I've also used my credit union. Locally, I'd use People's Bank or Easthampton Savings Bank. Dave is great for creative financing if your credit is good but you don't have much for a down payment. Credit unions often have some of the best interest rates. People's Bank and Easthhampton Bank send me their interest rate sheets each week, so just call me if you'd like to know their programs or rates. If you are nervous dealing with financial people on your own, call me. I'd be glad to go with you.
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