Top Things To Be Careful About Prior To Home Purchasing

If someone is eager to sell their property, they may keep a few defects hidden. It is unfortunate that if you were to hire a professional inspector for each viewing, it would get incredibly expensive. But don’t worry because a potential buyer like you can do a bit of inspecting yourself and here are indicators showing what house to avoid buying.

The first thing is that you must think twice before you purchase a “fixer upper.” It is certainly true that these properties seem very interesting because they are so affordable. Many times, we believe that we can fix the problems ourselves. In reality, however, they are often things that must be done by qualified professionals. The price you pay for these professionals may be a lot higher than you had budgeted for initially. Next, you must be careful with properties that have modifications made that are clearly DIY. With all the best intentions, things that have been done without professional help can look great, but are often full of problems.

Then, you must look into historical problems that may have caused problems that simply cannot be repaired. These things include water damage, pest damage, asbestos, mold and faulty wiring. But it often takes a professional eye to actually spot these problems. It is possible that the present owners do not even know that these issues are there. In the cases where they do know that these issues are present, they may take steps to hide them. It is incredibly easy to hide these significant issues through simple things such as cleaning and switching the power off. To find out whether these issues are there, you can organize a professional home inspection, but you can also speak to community members. They can tell you about the history of various properties in the area. Generally speaking, major problems like pests, water damage and mold will occur in more than one property.

The bottom line is very simply that a home should never be bought unless a professional inspector has given you the green light. The information above, therefore, is not designed to help you decide whether or not you want to buy, but rather whether or not you want to have it inspected. If there are any existing problems, you may want to consider not buying the property at all, or asking for a very significant discount as you will have to invest in the repairs sooner or later. Do also consider the opinion of your home inspector. The goal of professional home inspectors is to make sure that you can truly get your dream home, and not some sort of money pit disaster.

Introducing Trouble-Free Suggestions When Thinking Of Selling a House

Necessary Points To Consider When Finding Selling a House

A lot of individuals have been investing in real estate nowadays so if you’re intending to sell your house, the perfect time is now. The only dilemma is that it is extremely challenging to sell a house.

Most of you have possibly seen articles saying that selling a house is simple or you have encountered adverts telling you that they’ll be able to sell your house in weeks. If you will opt to decrease the asking value of your home, it might be more appealing to the customers, but it is not a good thing to do.

In the real estate market, the supply outstrips the demand, but you’ll find lots of methods to sell your home successfully. We are going to give some recommendations on the best way to do this efficiently.

Think About the Curb Appeal of your Home

First impression lasts so your property should give an excellent impression to the buyers as soon as they stop in front of the property. You may place yourself in the shoes of the buyer and see if the curb appeal of the house can attract them. You should know if the house can offer a great impression to possible buyers or it needs maintenance.

The potential buyers will first see the outside of the house. You should know that they always pay attention to curb appeal. Get everything ready and fix whatever you need to fix in the house.

Do Some Renovations In Your property

You should make the renovations needed for the outside and inside of your house to make certain that you will be able to draw in the buyers. They always look for a total package when they buy a house so you need to make repairs. If you’re the seller, you need to make sure that you could fix everything. Nonetheless, you should not over enhance the house because there are some enhancements that will not really make a big difference to the asking price of the house. Improvements can raise the value of your home and its chances to be sold, but you can’t make any upgrades that will not benefit you in any way. You must do your homework and only invest on things that can provide the best return.

Get Rid of Clutter in Your Property

A few of you might claim that adding a bit more design to your house would make it more desirable, but the truth is that any personal items, collectibles and art works that you’ve got in your house will not help you sell your house.

The best thing that one could actually do is to get rid of all of them and only leave the necessary furniture to help make the rooms a bit bigger. The goal here is to allow the buyers to picture themselves residing in the house that you’re selling.

They will start pointing at every part of your property while visualizing what they need to place there if they will buy your house so you must make sure that personal items and other unneeded items will be eliminated to allow them to imagine.

Sell For a Competitive Price

If you’ll sell a home in Corpus Christi, Texas, you need to make sure that you would place a competitive price. If you put a lower value, it will be the same as leaving money on the table and if you put a high price, the buyers will ignore it. When you are speaking about home buying, the buyers will surely have a look at houses that are similar with yours and compare prices and if the house is very costly, they will not buy it.

You should understand that most buyers are relying on home financing so you can expect that they won’t consider a house that is too costly. If the value is low, you could absolutely sell the house faster, but your investments will not be returned.

Looking For A Real Estate Agent

You must know that it’s quite difficult to sell a house without the help of professionals and it is going to also be a bad idea to simply do this on your own. You don’t have the experience and knowledge to handle everything so it’s going to not be an excellent idea to sell your house without hiring a professional real estate agent. If you’ll try to do this by yourself, there is a big chance that the house will not be sold or you won’t obtain an excellent deal for it. You might get fortunate to find a great deal for your house, but you need to remember that selling a property is not about luck since huge money is at stake.

You must hire an agent and let them manage everything for you. Though you’ll need to pay them, the benefits that you’ll get will certainly outweigh the costs.

Before you opt to do anything, make certain that you know how to sell your house efficiently. The real estate market is extremely complex so you should know how it works before you sell your house.

Neighbhorhood Watch: Be Sure That You Are Purchasing a Home In A Safe Location Before Signing On The Dotted Line

When a homebuyer begins their hunt for a new house, they usually start to think in terms of how large they want it to be, how many bedrooms, bathrooms, what the education systems are in the area. However, what they should be asking is questions pertaining to the safety of the neighborhood. You likely won’t care how pretty the house is after you move in, if you’re dealing with break-ins every so often. 

You should know that when you ask your agent what you think about a specific house in a certain neighborhood, and if they think you should buy it or not, they are legally not allowed to share their personal opinion or offer their advice. Other than saying whether a neighborhood is expected to improve or decline, they aren’t able to say whether or not you should move there. You should also be aware that a neighborhood can’t necessarily be deemed ‘good’ or ‘bad.’ Several things go into whether or not you can actually call a neighborhood safe as there are different types of crime. Here are some questions you should ask to be sure that you are purchasing a neighborhood in a safe area.

Are there any nearby offenders? People with a history of criminal convictions legally have to register their address with the local authority system. This information is then made available to the public. There are so many websites in which you can actually search to find out whether or not nearby offenders live in the area, and their exact address. You can find out if there are registered pedophiles, or sex offenders. This information will be important to you, especially if you have children. 

You’ll be shocked to find that even in an affluent area, there are offenders. This is why you cannot necessarily label a home as ‘good’ or ‘bad.’ There are all different types of criminals. You’ll also be able to see pictures of the offenders, as well as where crimes were, along with where and when they occurred.

Were drugs ever made in the home? Many drug-labs are created out of a home residence. Therefore, there may be leftover toxic chemicals in the home that can impair health. This is especially important, because if you have tiny children, their systems are able to handle less toxic particles than adults. Even a small amount can kill an infant or a toddler. The seller should disclose this information. However, many homes that were once drug-labs end up being sold as foreclosures, so the owner won’t have much information; and, if they do, they aren’t obligated to tell you.

What sort of crimes is the neighborhood privy to? You must find out exactly where crimes occur and how they happen. Usually, a neighborhood will display a specific pattern. Some neighborhoods have crimes that only occur during at night. Some neighborhoods have a lot of break-ins, but no murders, rapes, or the like. Some crimes are considered violent, and others non-violent. This is why it is so important to find out what types of crimes occur, as there are all different types. You must also find out, because it will let you know if you should purchase an alarm system.

What (if any) anti-crime features does the house have? You should find out from the sellers exactly what anti-crime features that the house holds. This is important, because it will let you know if you need to upgrade the anti-crime features in the household. For example, security bars, video alarm system, or regular alarm system. You’ll need to know if these systems are old, and whether or not they need to be replaced or repaired. It is also important, because if there is an alarm system, you’ll have to have this changed into your name along with the other utilities. You also may discover that the home has no anti-crime features at all. This means that you’ll also need to budget for this. Anti-crime systems and features can be costly.

Does the neighborhood make an effort to fight crime in the area? How?

Many neighborhoods stick together to fight crime in the areas by creating a connection with the other homeowners in the area, and all of their neighbors. They may meet frequently to discuss the going-ons of the area. Be sure that you ask the seller (as well as neighbors) about any neighborhood associations, and when they have meetings, parties, or the like.

Sometimes It’s Too Good to Be True: Why APR’s Are Not Always the Best Mortgage Deal You Should Choose

When you start shopping for a house, the first thing a buyer will (and should) do, is shop lenders to get the best mortgage deals. The problem is, that the lender presents borrowers with a lot of loan options, and borrowers think the best and most obvious thing to do is choose the loan with the lowest APR. Don’t fall into this trap. 0mortgage

What is the APR?

An APR (annual percentage rate) is not the same thing as an interest rate. An interest rate is the basic percentage of your loan you need to pay the lender to take out the loan, while an APR is the interest rate plus any other lending-related fees the lender wants to add and spread out over the course of the loan. For more reading, check out: Shopping for a Mortgage; Consumer Information.

More about APRs:

1. No standard exists as to what fees can and can’t be included in the APR. Closing costs vary depending on the lender, and the APR itself does not indicate which costs are negotiable. 

2. APR is calculated based on the entire life of the loan. So, if you’re only planning on living in the house for a few years, instead of the full 30 year period of the loan, you’ll be paying a much higher APR.

3. Realize that APR’s are not crystal balls. They cannot predict inflation of the economy. Even a fixed APR can’t adjust to whether you’ll refinance in the future, move out before the end of the loan, or pay off your mortgage early. With some types of loans, such as FHA and USDA, which require mortgage insurance until a certain date, the APR can’t predict when or if you’ll stop paying mortgage insurance. Read on: How to Find the Best Mortgage Rates in 2017.

4. You can’t compare one type of loan to another.

Know that you cannot believe the APR the lowest and best option just by looking at it because they work in different ways. It might be confusing to understand how to get the best mortgage deals if you can’t rely on APRs. This is a normal comment. The way to go about it is by comparing one mortgage rate with fees from different lenders at that rate, or you can compare mortgage rates with no closing costs. 

You also can get a Good Faith Estimate (GFE), which will give you a very detailed list of all the fees associated with the loan. That way, you can figure out if any fees are unnecessary or too high. Always remember that you can negotiate on certain fees.

The bottom-line is to not choose the loan with the best APR. Be smart, and do your own research to make sure you’re getting the right mortgage for your needs.

Does Your Rental Property Have a High Turn-Over Rate? Why This Happens, And What You Can Do About It

The worst fear of a landlord is the anxiety that comes when your property stands vacant. After all, the monthly rent you receive isn’t necessarily income. You’ve likely still got a mortgage to pay, you certainly hatax-deductions-rental-home_875880148d13b696a5ffb7e64b6e0499_J2NY9Ij_3x2ve taxes and insurance, and you’ve got to still pay utilities while the apartment stays vacant. You can’t show the apartment in blazing heat, or with no lights.

Do your homework before you buy: Obviously, the best thing you can do to avoid high turnover rates is to be sure you are buying the right property first. Certain areas are better for investing then others for a variety of reasons; research the neighborhoods you are considering investment.

It is important to determine the type of renters you want. If you want older, professionals with a slightly higher than average rent, you want don’t want your property to be in a shady part of town. Also be sure that there aren’t a lot of other rental properties in the same vicinity—unless yours offers something special, or better that the others don’t. 

Choose a good location: A crucial element in keeping your rental occupied depends on how visible your property is, and where it is. If it is in a visible spot, people will see the “For Rent” sign and call without any other advertisement. This is also an advantage, because people who know someone looking to rent will call, and word of mouth will spread.

Be proactive: The day your tenants vacate is the very same day your handyman/contractor should assess repairs and then begin making the necessary repairs to your rental property. Even better if you can have some of the repairs done before they move—for example, if you know the property needs a new dishwasher. Obviously, wear and tear that must be fixed cannot be done until the day the tenant moves out. But this is the time to start; don’t delay. 

Price it Realistically: Pricing your rental unit properly is critical. You have to know exactly how to price your investment so that you are not losing money, but also aren’t pricing so high that no one wants it, or, thinks you are delusional. Some landlords think that their property is worth much more than it is, and so it stays empty for a long time.

Advertising: You must advertise the property. The Internet is your best source these days. However, you should still add the old “For Rent” sign outside with the phone number and price. There are many times that people see a phone number without the price, and ignore it altogether because its a hassle. Don’t make this mistake. 

Longer rental terms: Having your tenants stay longer is always ideal. It provides a landlord with comfort, knowing they have it filled for a while. It is a good idea to give a renter incentive to stay even longer. Consider offering a reduced rate for a 3 year rental, or maybe throw in free utility bills or cable. It costs far less to throw in free water than to end up with empty units.


Is Your Tenant Asking You If They Can Break Their Lease? Here Are Your Options and Rights As a Landlord

When a tenant changes his mind about renting from you before he’s moved in, what does that mean for you, the tenant and the rental property? Perhaps the tenant got notice of a job transfer, encountered a family emergency or simply got cold feet about moving into your rental property. No matter what the circumstances, sometimes tenants change their mind about occupying a unit even before they move in. Learn what both of you are legally obligated to do when this unusual situation occurs so you can minimize the financial impact. See: Breaking the Lease as a Tenant – Know Your Rights

Once the rental lease agreement has been signed, you and the tenant have entered into a binding contract, whether the tenant actually occupies the unit. If a tenant changes his mind about moving in, you must treat the notification as his intent to break the lease agreement. Read: What to Do When a Tenant Wants to Break a Lease – Zillow.  

Ask the tenant to provide a written 30-day notice for your records that he will be breaking the lease. Explain to the tenant that he is legally liable for rent for the entire lease agreement; however, you will try to re-rent it as soon as possible as part of the good-faith effort required by most states. The tenant is responsible for paying rent until your property is rented out again, whether he is physically present at the unit or not.

The security deposit (generally equal to two or three month’s rent) is made for situations like this. To compensate you in the event of unpaid rent. Because most landlords require tenants to pay the security deposit at the same time the lease is signed, it can help bridge the income gap between your tenant’s first few months of rent. 

If you have collected the deposit from the tenant, you and the tenant have two options. The first thing you can do is keep it, apply the security deposit toward rent owed until the property is re-rented, and then send the unused portion back to the tenant. The tenant doesn’t pay rent unless the rent owed exceeds the total deposit. This route is risky because it may be difficult to collect or sue for rent from the tenant after the security deposit is used up.

The second option you have as a landlord, is to set it aside and the tenant pays rent each month until the property is rented again. Then, you send the deposit back in full, since there won’t be any damages to the unoccupied unit. This route is safer for you because the tenant has incentive to pay the rent in order to get the security deposit back in full. If the tenant fails, you can deduct rent from the security deposit anyhow. 

When the tenant doesn’t get his deposit refunded immediately or wants to give you an earful when you stand your ground on rent responsibility, he may invoke what is known as a right to rescind. This is referring to a consumer protection law that requires financial lenders to allow borrowers to back out of a loan under certain circumstances after three days.

Unfortunately for the tenant, this right does not relate in any way to lease agreements and rental properties. If the tenant tries to convince you of this policy, go ahead and debunk the notion that there is a right to rescind or cancel a lease agreement within three days. 

When your tenant wants to terminate the lease agreement before occupying the rental property, you can work with him to minimize the financial impact for both of you.

As the landlord, you are entitled to keep the security deposit, and are entitled to collect rent until the unit re-rents. However, it is your duty to minimize the time it takes to re-rent and find a replacement tenant. For further reading, check out: When Your Tenant Tries to Break the Lease.