Archive for July, 2011

• Jul 31

  Top 3 Misconceptions About Working With a Real Estate Agent

  Whether you’re buying a home or thinking about selling for the first time, you’ll probably want to work with a real estate agent. Unfortunately, there are so many myths and misconceptions about real estate agents that have been passed down through the years that many people are wary about hiring an agent. Many of these “facts” are just plain wrong. Here are 3 myths you may have heard – and the truth:

   

  1.    Real estate agents will try to make you pay more because they’re paid on commission.

   

  While most real estate agents do work on commission, it is typically only 2 to 3 percent of the home’s selling price – a fairly small amount of money, all things considered. A reputable real estate agent (and why would you work with any other kind?) will work with you to help you save on buying a home.

   

  2.    When you find a home you want to buy, you should call the real estate agent listed on the sign.

   

  The number listed on the sign is for the seller’s agent – and while they might become your buyer’s agent, they may not be the best one for you. Just like hiring any other professional, you should interview several real estate agents before choosing. You’ll still be able to see that home at an open house or through an appointment, so don’t lock yourself in to working with an agent before looking around first.

   

  3.    Working with the biggest, busiest agent in town ensures quality.

   

  It can feel reassuring to work with the top real estate agent in your area – at first. Unfortunately, the busiest agents are that way for a reason. They have more clients than other agents and may not be able to devote as much time as you’d like to your home search. Instead, interview agents to find somebody with quality and experience, as well as the time to be truly helpful.

   

  Whether you’re selling or buying a home, your real estate agent will be your biggest asset. Don’t miss out on the advantages and benefits of a great agent. Learning about the common misconceptions that people hold about agents can help you overcome your biases and build a great working relationship, one that will make your entire real estate process much easier.

  Tags: buying a home, real estate agent
  Posted in Home Buying, Home Selling | No Comments »

• Jul 29

  Buying a Home in San Diego: Kensington

  Are you looking for a fantastic home in a community that’s perfect for raising a family? Stop your search, because the Kensington community in San Diego is just the ticket. Kensington is a charming neighborhood with a healthy respect for tradition – just attend one of their annual Fourth of July or Memorial Day festivals to see for yourself. In addition to the larger community-wide celebrations, individual streets within Kensington hold their own block parties each year. Families fill the winding streets and pour out of the Spanish Revival homes in droves to celebrate together.

   

  The area started out as a small subdivision built by Mary and Abby Hall and their husbands in 1910. Most of the original homes were Craftsman style, although Spanish Revival-style homes soon followed. The neighborhood was connected to the larger San Diego area by streetcars. It was officially annexed to the city in the 1950s. Kensington has many traditional buildings and features, from the Franklin Elementary School building (which is over 80 years old) to the large neon sign that demarcates the business district. Bordering Kensington are the neighborhoods of University Heights and Talmadge.

   

  It’s one of the nicer areas to live in San Diego, both highly walkable and easily accessible from downtown. But living in this great neighborhood may cost slightly more than what you’d pay in other parts of San Diego. Buying a home costs anywhere from $400,000 to $700,000 – and a small number of foreclosures limit your options for saving money.

   

  If you pay the higher costs for buying a home in Kensington, you can look forward to walking through the small – but lively – business sector along Adams Avenue. Charming restaurants, bars and local businesses line the streets, offering plenty of opportunities for you and your family to enjoy fine dining and shopping.

   

  Tradition and stability in the middle of one of the best cities in the country – what more could you want? Buying a home in Kensington is a move that’s sure to please your whole family. Don’t relocate to San Diego without giving this neighborhood serious consideration. You’ll be glad you did.

   

  Tags: buying a home, San Diego real estate
  Posted in Home Buying | No Comments »

• Jul 28

  Buying a Home in Connecticut: Woodbridge

  Buying a home in Connecticut is a smart move for families and singles alike. Whether you’re looking to raise a family or you just want to live in a quiet city with a rich history, Woodbridge is an excellent choice for you.

   

  Located in central Connecticut, Woodbridge is great if you’re looking to commute to New Haven or any other city in the southern part of the state. And in Woodbridge, education is big. Many Yale professors live in the area because of its proximity to the school, and an extremely high percentage of Woodbridge residents have a graduate or professional degree.

   

  One reason there are so many educated residents is because of the excellent school system. Woodbridge’s schools include an elementary school, a middle school, a junior high school and a high school. Ezra Academy, a private Jewish day school, is here too.

   

  This highly-educated population is also one of the wealthiest in Connecticut – the per capita income of its residents makes it the 16th richest city in the state. This means that houses in the Woodbridge area are more expensive than other properties throughout the state. An average home in the city costs between $300,000 and $600,000. Foreclosures are relatively rare in this area, so buying a home typically means paying full price.

   

  Entertainment is easy to find in Woodbridge. Getting outdoors is simple – the town is heavily committed to preserving natural spaces. Several organizations manage the huge parks and long hiking trails in the area. Historical spaces provide an opportunity for education and fun. The Darling House Museum and the Woodbridge Green Historic District are on the National Register of Historic Places, and many other homes in the area are historic in their own right.

   

  Families flock to Woodbridge – 40% of the city’s 3,000 households have children under the age of 18. A whopping 74% of households contain a married couple living together. Still,  singles looking for a quiet community would be right at home in Woodbridge. The city is unofficially divided into two sections. The western part of town is “central” Woodbridge, while the eastern portion is known as The Flats.

   

  If you’re buying a home in Connecticut, don’t let Woodbridge pass you by. Quiet, wooded streets chock full of historic properties and friendly faces make the city a fantastic option for your next dream home.

   

  Tags: buying a home, Connecticut real estate
  Posted in Home Buying | No Comments »

• Jul 27

  Real Estate Flipping Tips: Structure 101

  Rehabbing properties is a fun way to get involved in the world of real estate, but it’s not all decorating and open houses. Sometimes, a home needs major structural upgrades to become liveable again. Don’t get stuck with a home that’s in need of serious repair. Read these real estate flipping tips and learn how to find a structurally sound property:

   

  • Look out for cracks. Large cracks running down the walls may be a sign of terrible things to come. Rehabbing properties gets a lot more complicated when walls are cracked. The cracks may be a sign of foundation trouble, which typically requires an incredibly expensive fix before the house is safe and habitable once more.
  • Step outside. Stand on the curb or across the street and take a good look at the property. Is the house leaning or obviously in need of structural repair? Many people head straight inside without pausing to take a critical look at the outside of the home. Look beyond paint and dirty windows at the actual shape of the house.
  • Open a door, shut a window. When you’re walking through the home, open and close doors and windows as you go. Sticky windows and doors that drag may simply be poorly installed, or they may hint at structural problems which could get worse over time.
  • Check out the basement. If the home has a basement, make sure you give it a quick perusal. Major cracks or standing water may be signs that the home has serious (and expensive) problems.
  • Water, water everywhere. Big brown stains on ceilings and walls could be a sign of a leaky roof. Likewise, if you notice that only one room or wall in the home is freshly painted – while the rest of the paint in the home is old – ask about it. The paint may be there to cover up water stains.

   

  If you’re ever unsure about structural problems when you’re rehabbing properties, get a home inspector to accompany you on your next walk-through. They’ll be better able to spot potential problems. Should you decide to purchase the home even after learning about structural damage (it might be a really good deal), make sure you read up on real estate flipping tips – you’re going to need them!

  Tags: real estate flipping tips, rehabbing properties
  Posted in Home Buying | No Comments »

• Jul 26

  Real Estate Flipping Tips: Advanced Cleaning 202

  Avid readers of real estate flipping tips are surely aware of the near-magical properties of baking soda and vinegar. When mixed, they do everything from removing stains to obliterating odors. Still, sometimes you need something a little stronger. If you’ve already mastered the art of cleaning homes with baking soda and vinegar but you need a few extra real estate flipping tips for making your property sparkle, read on:

   

  • Ditch the mold. Is the bathroom full of mold? After you’ve checked to make sure it’s not a serious structural problem, get rid of it by spraying a solution of one part hydrogen peroxide and two parts water over the entire area. Let it sit for an hour or so before rinsing it away.
  • Gross garbage disposal. If the home has a built-in garbage disposal, chances are it smells like just that: garbage. Make it fresh again by throwing a sliced lemon or orange in the sink and turning on the disposal. The citrus will deodorize and clean the disposal.
  • Is your property a lemon? If not, it should be. Lemons are famous for their cleaning abilities. Use lemon juice to get rid of hard water stains, or mix some juice with water and use that to shine up household surfaces.
  • Sweet-smelling fridge. If the utilities have been off for awhile or the refrigerator just plain smells gross, try soaking a cotton ball in vanilla extract and leaving it in the fridge overnight. That should freshen it up.
  • Ready, set, deodorize. Flipping real estate often means dealing with foul-smelling flooring. For carpets that are really and truly disgusting, baking soda alone may not do the trick. Try mixing a cup of cornmeal, a cup of borax and 3/4 cup of baking soda. Sprinkle this over the carpet and let it sit at least overnight. When you come in to vacuum, the carpets should smell as good as new.

   

  Flipping real estate is all about making a house look great – and saving money doing it. Reading real estate flipping tips for cleaning can be incredibly helpful. Not only will you have a gorgeous property to show off at the open house, you’ll also avoid harmful chemicals and you’ll save money by cleaning fixtures instead of replacing them. Next time you’re flipping real estate, skip the cleaning chemicals and head to the grocery store instead for fresh, natural cleaning products.

  Tags: flipping real estate, real estate flipping tips
  Posted in Home Improvement | No Comments »

• Jul 25

  Is Flipping Real Estate a Solid Investment?

  When many people think about real estate investing, they think about flipping real estate, and with shows like Flip This House dominating the airwaves, it’s no wonder. But in today’s market, is flipping real estate still the solid moneymaker it was in the past?

   

  Traditionally, flipping real estate simply meant purchasing a property at a low price and selling it as a slightly higher (but still low) price. Today, people who perform these types of real estate transactions are known as wholesalers. When you flip, you’re doing something more. Although all the television shows call the process “flipping,” you’re also rehabbing properties. It’s more time-consuming than wholesaling properties. After all, you have to manage a crew, stick to a timeline and sell a home – all while staying under budget. Can you still make money following this more complex process?

   

  Absolutely! Rehabbing and re-selling is form of real estate investing that can work for anyone who makes careful decisions. At its heart, flipping real estate is about finding a low-priced property, doing your renovations and selling at or slightly below the market price. As long as the cost of your renovations doesn’t price the home out of the market or exceed your profits, you will be able to make money with flips.

   

  The trick to real estate flips in today’s market is finding a property at a great price. You’ll need to be able to negotiate and bargain-hunt for excellent deals in your area. Although seeking out foreclosures can be an easy way to find a cheap home, fantastic properties can still be found on the housing market – particularly if a family needs to sell fast to stop foreclosure.

   

  Although you may not be able to get away with some of the flipping tips they show on television (marble counters aren’t the right choice for every neighborhood, after all!), you can still find a fixer-upper and get it in shape for a sale. The heyday of elaborate flips may be over, but hey – that just means you’ve got less competition. So why not enter the real estate investing business by seeking out a deal and turning it into somebody’s dream home?

  Tags: real estate investing
  Posted in Uncategorized | No Comments »

• Jul 24

  Finding Financing for Flipping Real Estate

  Flipping real estate is a huge investment, both in terms of time and money. If you don’t have cash to back up your deal, then you’re going to have to find it somewhere. There are a variety of avenues for flippers who are looking to finance a deal, from wholesaling to fixing up a foreclosure. Here are a few options you should consider for your next flip:

   

  • Just pay cash. If you have the money sitting in the bank, why not put it into real estate investing? Unfortunately, this means you’re also assuming lots of risk: if the renovations cost more than anticipated or the house doesn’t sell, you may lose your own money.
  • Bring on a partner. One of the easiest ways to get the money you need is to get somebody else to help you. Real estate investing partners each put in part of the cost of purchasing the property and then split the profits at the end of the flip. Before you leap head first into a partnership, make sure you’ve tied up any legal ends by speaking with an attorney.
  • Take it to the bank. If you have excellent credit, securing a loan can be easy. Even if your financial past is slightly tarnished, you may still be able to get financing through a bank – just expect to pay for it in the form of higher interest fees and other costs. Either way, you’ll usually need to make a down payment for the money you’re borrowing.
  • “Creative” financing. There are plenty of other ways to find the money to make flipping real estate a reality for you. Many of these options are shady, such as “subject to” financing, where you pay the seller directly but the loan stays in their name. They’re also harder to pull off, since the seller probably won’t want to be held liable for the loan if you don’t pony up the dough.

   

  Real estate investing, such as flips, involve major cash transactions. While it can sometimes be tricky to find that money, it’s not impossible. Research the different options, and perhaps speak with a real estate attorney if you have any questions. Before you know it, you’ll have the money you need to make your flip a reality.

  Tags: financing, finding financing
  Posted in Financing | No Comments »

• Jul 22

  3 Things Sellers Do to Irritate Their Real Estate Agent

  Working with a real estate agent to sell your home brings lots of benefits. Agents are experts at what they do, and they’re motivated to do it well. They’ll even help you come up with ideas for your open house. But agents are only as useful as sellers allow them to be. Many sellers decrease the effectiveness of a real estate agent by making one of these common mistakes:

   

  1.    They don’t clean up. Even if a home is structurally in good condition, a dirty house is much harder to sell. Sometimes cleaning up might mean cleaning the windows and mopping the floors. Other times, homeowners may need to hire a carpet cleaner and repaint the walls. Do your best to make your home into a blank canvas for the new homeowners.

  2.    They don’t take their agent’s advice about pricing. You may have an idea of what your home is worth. But your agent, if he or she is good, knows. The agent has sold other homes in the area and knows how much those properties went for. Many sellers price their homes too high (after all, they’ve put years of energy and money into improving it) against the advice of their agent. These high-priced houses sit on the market for months, leaving baffled sellers to wonder why nobody’s made an offer.

  3.    They hang around during their open house. It’s only natural that you’d want to be around during the open house – after all, who better to show off the features of the house than the person who’s lived there for years? Don’t do it. Buyers want to explore the home at their own pace, and an overeager seller can turn them off. If at all possible, find somewhere else to be during the open house. Let your agent work their magic.

   

  You can keep your real estate agent happy – and sell your home faster – if you don’t make these three mistakes. A good relationship with your agent is key to making your sale go smoothly. So remember, when you’re selling your home, do your best to make your relationship with your real estate agent a positive one. After all, you’re paying for it!

  Tags: selling a home
  Posted in Home Selling | No Comments »

• Jul 21

  5 Improvements Real Estate Flippers Can Make Today

  If you’re already a flipper, you know that rehabbing properties can net you tons of money – if you’re willing to sink time and cash into a project. Of course, there’s always the potential for even bigger gains through flipping real estate. Make one of these simple changes today to increase your profits:

   

  1.    Learn to scrub. Many flippers throw money into replacing perfectly good fixtures that just need a little TLC. Learning a few simple methods for removing dirt and calcium buildup can save you tons of money that would otherwise be spent on needless replacements.

  2.    Get the jump on marketing. Even if you’re working with a real estate agent to sell your properties, consider doing some extra marketing yourself. Putting up ads on Craigslist and printing fliers will cost you very little money, but they can have a big impact. Since flipping real estate is largely about marketing, amp it up. You’ll see bigger profits and quicker turnaround times.

  3.    Overestimate your budget. Once you’ve come up with your final budget, add 15% or 20% to your estimate. This allows you to deal with expenditures that pop up during the rehab process – without wrecking the whole deal. If you go under budget, the extra money is just extra cash in your pocket!

  4.    Look into new areas. Flipping real estate can be done almost anywhere if the property is cheap enough. If rehabbing properties in your neighborhood has gotten stale, check out another part of town. Just make sure the commute is reasonable – otherwise you’ll spend the money you saved on the house in purchasing gasoline to drive back and forth.

  5.    Invest in a power washer. If you’re throwing tons of money at painting companies for the exterior of the property, consider getting a power washer instead. This simple tool that attaches to your hose may save you from having to hire painters.

   

  If you’re already rehabbing properties, take the time to evaluate your current process. See if you can improve it. Whether you end up saving money or you sell the home more quickly, implementing even one of these tips should definitely make a difference for your business.

  Tags: Flipping Tips, home maintenance
  Posted in Home Improvement, Home Selling | No Comments »

• Jul 20

  Do You Need an Office to Be a Real Estate Agent?

  Whether you’re a newly-licensed real estate agent or you’re making your first foray into independent agency, there are many factors to consider as you’re first getting started. What types of clients do you want to find? Are you going to specialize? Where will your office be located? These days, many agents eschew an office altogether in favor of working from home –  or entirely online. Before you decide whether or not you need an office, there are some questions you’ll want to ask yourself:

   

  • Who are your clients? If you’re working with people who are buying a home, you may find that you rarely use your office. After all, you’re primarily meeting with them for house showings and occasional paperwork. Most of this can be accomplished with a laptop that has a wireless Internet connection. However, if you’re working with sellers, they may want to see that their real estate agent is more established. An office can help create that perception.
  • Do you have the right equipment? Should you choose to save some money by not renting an office, you should be aware that there are other expenses involved. You’ll need special tools that work on-the-go, like a laptop and a mobile printer. You might even consider getting a device that allows you to connect to the Internet wherever you are, whether or not Wi-Fi is available. For example, if your clients are buying a home, they may want to see additional listings while you’re already out looking at properties. Are you ready to meet their needs?
  • Where will you conduct official meetings? Some parts of buying a home, such as the closing, require a space that accommodates multiple people and has relative privacy. If you choose to work without an office, you’ll need to consider where these meetings will happen. Many coffee shops, libraries and other places offer conference rooms that you can rent for a few hours.

   

  Going digital is a big trend in the real estate agent community these days, but ditching an office requires you to make choices about how important a physical location is to you and your clients. While ducking into a coffee shop with clients may work for some agents, others may want the stability and functionality of an office. Make your decision wisely.

  Tags: real estate agent
  Posted in Home Selling | No Comments »