This is the story of a family of four: Dad works in Portland, Mom works in Camas, and their two kids are in elementary and middle school. This family had lived in their 1966 home for 14 years and were ready for a change— they wanted more space, new features, and a change of schools. But like many of us, they had to sell to buy, even though their equity position was a good one. With the tight market of 2017 (predicted to be the same in 2018), they knew they might not be able to “step across” from one home to the other.
Their first job was to get their current house ready to put on the market. This included yard cleanup, carpet stretching, some minor paint touchup, and some other small things. These to-do items were not expensive, but they were important to make the home look “crisper” and more appealing to a buyer. In working with me on home value, we discovered the previous listing had overstated the square footage by several hundred square feet. We knew the real square footage from a more recent refinance appraisal, so we used that to determine value. Checking this is an important part of the buying process!
In mid-May, we launched the home on the market and had lots of showings with five offers in just a few days. This can be quite overwhelming. With my help, we dealt with all the complexity of evaluating these offers and selected one to accept. Meanwhile, another buyer who just missed out, decided to write a backup offer just in case something happened with the first accepted buyer.
Now, came time for the home inspection. The inspector said there were “sink holes” in the crawlspace! So, the buyer backed out. Now what? Something as serious as this needed to be investigated. We just don’t have “sink holes” in Clark County, so we believed there was another explanation. Turns out, when this house was built in the mid-60’s several large trees were cut down and the stumps were not removed. As they rotted over time, what was left was a hole – one particularly large one even had the trenches from large roots. We worked with the backup buyer who understand the issue, got the holes filled in with gravel, and then we closed in late June.
Next came the question of where to move. Nothing had turned up in the target location for the next home, so these folks signed up for the adventure of moving temporarily into a rental. They did this once we were through home inspection with the backup buyer, so they would have time to overlap and move over several weeks. There are several places around town that will do leases shorter than a year. Although the rental was smaller, they used the garage for storage of their many boxes. Now, finding the new house became our top priority.
It took a couple of months and we looked at many properties as they came onto the market. Eventually we found one, got our offer accepted and negotiated home inspection items including unpermitted square footage. The happy ending is that this family moved into their new place by the end of September, just in time for school to start and before the holidays!
Hopefully you will find this a positive story. Yes, it took commitment on their part to go through the ups and downs of buying, selling, and moving into the rental, but in the end, this family is “living the dream” and everyone is excited about their new future in their new home.
Thank you to these special clients for letting me share their story! Where does your new home story begin? Contact me today for information on more information on what it will take to embark on your journey in buying or selling a home.
The holidays are a very busy time of year for most people, but before you know it, decorations will be put away and 2018 will be in full swing. If you’re planning to be a buyer in the new year, it’s helpful to start reading now on how to make an attractive offer to a seller in a competitive real estate market. Here are some tips that can help you make the best offer.
Tip #1: Know what you can afford.
How much do you owe in debt? What are the ins and outs of your monthly expenditures? Understanding your finances should be the first step in your home searching process, then getting a pre-approval letter from a lender will help you know what you can afford. In addition, this letter will show sellers that you’re serious about buying a home and you can put your offer in with the confidence, knowing that you can afford the monthly payment.
Tip #2: Create a stand-out offer.
When you find the home of your dreams, be ready to make a great offer right off the bat. Your agent will help you figure out what offer is the best one and will take into consideration other home sales in the area, as well as the condition of the home, and what your overall budget is.
Tip #3: Be ready to act quickly and possibly negotiate.
The Clark County real estate market is still hot, meaning that inventory is low and buyer demand is high. Because of this, buyers many times need to compete to get the home that they want. This is where working with a real estate agent is incredibly valuable. Your Realtor® will work with you on creating a great offer and will present it to the seller as soon as possible. If it’s a situation where there are multiple offers, then your agent will walk you through the process of counter-offers, if needed. The bottom line: when you find a home you love, you must be ready to act fast before it’s gone and have patience with the process, because sometimes it will take some negotiation to get your offer accepted.
Buying a home is very exciting and 2018 will be a great year to get out there and find a home that checks all the boxes on your wish list. Contact me when you’re ready to get the ball rolling on house searching so we can create a great offer that gets accepted. In the meantime, my hope is that you have a happy holiday season that’s full of things that are warm, fun, and fulfilling.
There are many facets of buying a home and the process can be a bit overwhelming at times. However, buying a home is very exciting and if you avoid various home buying mistakes, it will make your home ownership process one that is rewarding for many years to come. I recommend that home buyers avoid these three common mistakes when it comes to purchasing a house.
#1: Not working with a buyer’s agent.
A knowledgeable Realtor can help provide advice that fits your specific situation. An experienced buyer’s agent has worked with hundreds of different home buyers and they can help you understand what’s happening each step of the way. You’ll also be able to ask questions that may come up and your agent will also help you plan for closing costs and other costs that may arise. In addition, a buyer’s agent will help you know if a home is worth the price, what its resale value might be, and they will be your advocate when it comes to negotiations. When it comes to buying a home, you want someone on your side, and a qualified Realtor will be there the whole time.
#2: Not getting pre-approved.
Getting pre-approved for a mortgage serves dual purposes: it shows sellers that you’re serious and it also gives you a realistic idea of how much you can afford for a home. Work with a lender that you trust and gather up all relevant financial documents like pay stubs, tax returns, and bank statements. Your lender will work with you to get the information needed to provide an accurate pre-approval letter. Then, you can start shopping for homes within your budget.
#3: Not getting an inspection by a credentialed inspector.
A credentialed inspector will help alert you to any potential problems that the home may have such as faulty wiring, plumbing leaks, or structural issues. A layperson generally wouldn’t be able to spot these things, so when it comes to spending hundreds of thousands of dollars on a home, it’s worth it to pitch in a little bit extra to pay for a qualified and experienced inspector that holds proper credentials. Skipping that step could be costly, and you may end up paying for it later when you discover something major is wrong with the home.
If you’ve decided that you’re ready to buy a home this autumn, contact me today to help you get the ball rolling!
We continue to hear that the housing market is unbalanced—that there are more buyers than sellers. There is no single reason for the situation we are in today. Rather, the situation has developed this way because of several combined factors that suggest that the market will not return to equilibrium any time soon. Although this varies widely by location and price range, here are some reasons that this might be happening.
Reason #1: Demographics.
The first reason for the shortfall is purely demographic. As “Boomers” age, they are not following the trends of previous generations. Many are staying in the workforce far longer than their predecessors, and because of their postponed retirement, they don’t feel compelled to downsize their living situation. In fact, almost two-thirds of Boomers plan to age in place and do not plan to move even after retirement. Without this anticipated supply of homes from downsizing Boomers, there aren’t enough homes for move-up buyers. This limits the supply of homes for first-time buyers.
Reason #2: We don’t move as often as we used to.
As an overall nation, people aren’t moving as often. After experts have analyzed mobility, it’s clear that people aren’t required to relocate as frequently for work that matches their skillset. Because there has been a drop in geographic-specific jobs, are simply moving with less frequency.
Reason #3: Builders aren’t building as many homes.
Many builders are not building as many homes as they were in the past, because of three main factors: land supply/regulation, labor, and materials. The costs related to building a home have risen rapidly since the Great Recession, and this is keeping many builders from building to their potential. In addition, to justify the additional costs, many of the homes that are being built are larger and more expensive, which makes it difficult for many first-time home buyers that cannot afford the price of a newly constructed home.
So, what should you do in this kind of market? My advice is to focus on what works for your specific needs and if you want to explore what your options are, give me a call. I’m always up for a discussion about which approach might be right for you.
**Content an excerpt from blog posted 8/2017 by Mathew Gardner, Chief Economist for Windermere Real Estate
Now that school’s started, you might be thinking, is this a good time to list my house for sale? Autumn brings a new rhythm — the busy summer has passed and people are getting back into their day to day routines. Here are some great reasons why the Fall season is a good time to sell.
Although the market slows a bit after school is back in session, homes are still selling quickly because inventory is still low. Especially under the $450,000 price point, and potential buyers during the Fall are typically more serious about making their purchase decision. Nationwide, buyer demands strong too, according to a recent report out of the National Association of Realtors.
#2: The weather is still cooperating.
For the most part, autumn can be a good time to move because the heat of the summer has passed and the torrential downpours haven’t begun yet. No one wants to move when it’s blazing hot or when it’s snowing! Of course, the Pacific Northwest does get its fair share of cloudy and rainy days, but for the most part, autumn weather is cooperative.
#3: It’s a great time to make your next step up.
Because inventory is still low, it’s likely that your home will sell quickly. If you’re looking to make a next step up in the home buying process by buying a bigger house, now is a great time to consider making the jump. Experts predict that home prices will continue to rise within the next year, so if you wait, your dream home may increase to a price that is out of reach.
Home shopping during the fall can be great! Changing leaves make for great natural curb appeal – homes are looking cozy and ready for the upcoming chilly weather. If the time has come for you to get your home listed, contact me today to get the ball rolling!
The inspection process: generally speaking, this is an overall evaluation of a home’s condition. If you’re not clear on how the process works, keep reading and I’ll lay out the general guidelines of what happens.
When the buyer gets the inspection done, the seller might not know what the results are for a few days. Once the buyer gets the results of the inspection, they need to get a copy of the report, digest it, and determine what they want the seller to fix, if anything. Most of the time, the buyer has 10 days to get any repair requests to the seller. In order to expedite things, the agent should help the buyer determine what is reasonable and what’s not.
Once the repair list is drafted, the seller has time to look at it and digest what’s on it. They can clarify what’s being asked for and they’re given some time to get bids and determine what items they should fix. An agent to help with this part of the process is crucial. An experienced agent will help provide information on what buyers generally ask for and what could be determined as “too much” or “over the top.” The seller will then respond and then the buyer will decide if they will accept this response.
The back-and-forth process can create a lot of dialogue and it’s very important that everyone understands each other. Whether it’s credits to the buyer or items that need to be completed before closing to meet buyer bank requirements, your agent has valuable experience in the negotiation process here. Take advantage of this experience and rely on your agent to help guide you along.
Buying and selling a home is full of many different steps and details. The inspection process can be complex, so if you have more questions about it, I’m happy to sit down and talk with you about it.
If you’re thinking about selling your home, you have a lot of different factors to consider. You’re thinking about where you’ll move and what it will cost, and finding a qualified Realtor is one of the biggest decisions. If one of your questions involves finding out more information regarding reduced commission versus full rate services, here I’ll cover what the three basic levels of fees and services include.
#1: Very Discounted Services: This will include access to the MLS only. The seller will input all information and will set the buyer’s agent fee. The seller pays for marketing and will negotiate elements of the contract. This can work for some situations, but being an unrepresented seller in today’s complex market can be risky and oftentimes results in a lower net price. Most buyers will have representation, so the fee you save is really only half of the full real estate fee.
#2: Cut-rate fees: This will again only save half of the real estate fee, as buyers are usually represented by an agent. With full service representation, you usually get more experienced and knowledgeable agents to work with you. This is the “secret sauce” that can save you big time in the end – especially in the areas of price negotiation, inspection negotiation, and other timing issues that can derail the overall transaction.
#3: Full-service: When using a full-service Realtor, you’ll get a fully developed and proven marketing plan. The Realtor will additionally help you develop a pricing strategy that will help get your home sold in a timely way. You’ll work together to address issues upfront that could cause a buyer to pass by your home. The key here is knowledge, knowledge, knowledge! An experienced Realtor has been part of numerous, varied transactions that can help benefit you throughout the process so you can get the best price for your home with the quickest closing date and the least hassle.
If you have decided that it’s time to make the jump to sell your home, now is a great time to do that. The information around fees can be a complex topic to consider, so if you have additional questions, I am happy to sit down and talk with you about what could work for you and your specific situation.
Summer in the Pacific Northwest is amazing. The days are longer and warmer and the rain is gone so you can get outside and enjoy the great outdoors. If you’re in the midst of buying or selling a home and you feel like you’re overwhelmed with the details, don’t forget to take time for yourself and enjoy the beauty that Washington has to offer. Here are some great tips on activities that you can participate in locally this summer.
#1: Summer reading program through Fort Vancouver Library.
Kids, teens, and adults alike can sign up for the summer reading program through the Fort Vancouver Regional Library. Log days that you’ve read and you can earn rewards and prizes with the free program. The best part: it keeps your reading skills sharp throughout the summer.
#2: Summer concerts and movies in the park.
Every year, the City of Vancouver puts on a summer concert series in Esther Short Park. Each concert is free and family friendly. Enjoy a variety of talented local artists, including Vancouver Pops Orchestra, and enjoy food from local vendors, too. The city also puts on Friday night movie nights in parks around Vancouver in July.
#3: Dive in!
Jump in and cool off! Klineline Pond is a great spot to cool off and enjoy the warm summer weather. The pond is located in a large park setting with large water features/fountains for the little ones to run around and cool off in, too. Not to mention, there is a playground, plenty of picnic tables, and lots of green space to walk. If you want to stay indoors to swim, the pools at Jim Parsley Community Center, Propstra Aquatic Center, and Firstenburg Community Center are great places to swim.
#4: Hike or camp!
Living in the Northwest means that there are many beautiful hikes and walking trails. Hike Mount St. Helens, take a drive out through the Columbia Gorge and hike the Multnomah Falls, or enjoy some family time by setting up a tent and a mini-campground in your backyard for one night.
No matter what you decide to do this summer, take time to relax and enjoy the beautiful area we live in!
The process of buying or selling a home is very detailed and requires a lot of moving parts. Once the end is in sight, you’ll need to prep for closing day. Planning for closing day can help make things run a little bit smoother. So whether you’re a buyer or a seller, here are some important must-knows on what you’ll need to have in place for closing day.
For the seller:
- Repairs will need to be done and receipts obtained
- Before closing can happen, all repairs that were requested during the selling process will need to be complete. Once everything has been done, be sure that all of that is documented well and that you have all receipts readily available.
- Be ready for a buyer walkthrough
- Once repairs have been completed, the buyer will likely want to do a walkthrough to make sure everything looks in order.
- Arrange for your utilities to turn off
- Call your utility companies, cable/Internet company, and any other services that will need to be turned off and transferred to your new residence. However, it’s important to note that you shouldn’t cancel your homeowner’s insurance on your current address until the final sale of the home has been recorded.
- Gather all brochures, keys, garage door openers, etc.
- If you have collected brochures/manuals on specific appliances in the home, or you have other important documents that need to be left for the new homeowner, make sure you have those readily available. In addition, you’ll need to leave them the keys to the home, mailbox, and any garage door openers you have.
- Sign documents
- This is the biggest step that transfers ownership and gets the process moving toward completion! It can happen several days before the “closing date.”
For the buyer:
- Obtain receipts for completed repair work
- If repairs were done in the home you’re purchasing, make sure you get all of the receipts and warranties associated with the work that was done. Keep these in your records in case you need to refer to them later or in case something goes wrong with the repair down the road.
- Do a walkthrough
- This is your chance to make sure that the repairs were done right and that things are good to go so you can move forward with signing closing papers.
- Set up utilities
- Call your utility company and schedule a time when you want water/electricity to come on. While you’re doing this, schedule a time for Internet/cable service to be hooked up, or any other services that you will need ready to go when you first move in.
- Sign any last minute lender information
- This is an important step! You will need to sign a closing disclosure that needs to be acknowledged to start a 3-day waiting period before you can sign final closing documents.
- Sign documents at escrow
- Here, you’ll sign papers that allow you to complete the home buying process. After the sale is recorded, you’ll get keys to your home and you’ll be able to start moving in!
If you’re confused about which step comes next, don’t worry! I will be there to walk you through the process. If you’re looking to buy or sell a home, contact me today for information on how I can help.
If you’ve determined that now is the right time to sell your home, congratulations!
You are entering into a ‘seller’s market’— this means that there are more buyers in the marketplace than sellers and it’s a great time to sell. One of the most crucial keys to selling quickly with a maximum return is to establish the RIGHT price. You want to maximize your return but set a price from the start to position your home to sell in a reasonable timeframe and let you get on with your next adventure.
WHAT HAPPENS IF YOU PRICE TOO HIGH?
There are several major risks if you price your home too high. First, your target buyer may not find your home online or see your property because the price is out of their price range. In addition, buyers who are shopping in a higher price range will be comparing your home with others and priced too high, you will not compete, actually making the competition look like a better buy. Homes priced just 10% high reduce the number of buyers by 30%. The end result is that your home could sit on the market for a longer period of time which means your ownership costs continue and most importantly you can’t “move on.”
HOW CAN WE SELL YOUR HOME AT THE RIGHT PRICE?
Call me! I will do research on what the market conditions are in your neighborhood, taking into consideration your home’s features, age, location, and updates/remodeling you have done. Then we’ll sit down and talk about your specific goals and needs, then set a price and terms of sale that fit those goals and needs. We’ll develop a marketing plan specific for your house and price range that targets the right kind of buyers. During the time you are FOR SALE, I’ll be sure we get input from buyers and their agents to make sure we know how they see our condition and price. This allows us to make sure we do what we can to make your property more attractive to buyers. All the while, we will keep aware of things happening in the local market and that might affect how your home sells.
Each home and each client has a unique story. Whether you’re moving from a condo to a house, moving from acreage to the downtown core, I can work with you in that journey.