Archive for November, 2015

Should I Buy/Sell Real Estate Now, or Wait Until Spring?

Monday, November 30th, 2015

Winter is a busy time of year for people – the holidays are here and there are so many things to accomplish before the end of the year. You may wonder how people think about real estate at such a busy time, but believe me they do! Many wonder whether it is a “good”time to buy or sell a home now, so here are some things to consider. house_question

Buying a Home at the End of the Year

1.  Less inventory to peruse. There is typically less inventory to see at this time of year, as busy homeowners focus on holidays and accordingly wait to sell or take their homes off the market.

2. Serious sellers could = lower prices. Those who do have their homes on the market need or want to sell, and are not deterred by the holidays and slower traffic. This is a great situation for buyers, as they may be able to negotiate better prices.

3. Less Competition. With fewer buyers out looking at homes it makes it a great time to be a buyer.

Selling a Home at the End of the Year

1.  Less competition inventory. There are typically fewer homes on the market during the winter/holiday season, so it is a great time to market your home.

2.  More serious buyers. Unlike summertime, when there seem to be a lot of “looky-loos,(especially if you live in a beautiful area like San Diego where there are a lot of summer tourists) ” buyers out looking at homes at this time of year tend to be more serious and ready to purchase.

Buying a Home in the Spring/Summer

Buyers who wait until Spring to start their home searches tend to encounter:

1.More inventory to choose from

2. More buyer traffic, which could mean more competition and multiple offer situations

3. Prices tend to be higher

4. Shorter market times, which means less time to really look around and make a decision.

Selling a Home in the Spring/Summer

1. More inventory on the market, thus more competition

2. Prices tend to be higher

3. A larger buyer pool

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The best time for you purchase a home will depend on many things. Make sure also to check with your accountant to see if there are any benefits for you that could affect your purchase window.  Whenever you decide to purchase, make sure you do your homework and contact an experienced agent to assist you. Happy shopping!

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Should You Buy a Home with a HOA? HOA Pros and Cons

Thursday, November 12th, 2015

Home owner associations (also called HOAs) can become a big part of the buying decision for home buyers – some love them, some despise them. If you live in an area where there are many neighborhoods that have HOAs, or if you are thinking of moving to one, you may wonder whether they are positive or negative.

Let’s take a look at the pros and cons of HOAs, so that you can decide for yourself. Pros Cons

HOA Pros

– Expenses keep the neighborhood and any common areas (streets, landscape, lighting) looking their best, which keeps property values higher. Without a governing body things could get sticky if neighbor participation is needed to fix problems.

– They protect you from having to live with unattractive decisions made by your neighbors (putting a car engine back together in the driveway, painting a garage or front door an unsightly color, dead landscape, neglected painting, siding, trim, etc.). Noise abatement, fire setback landscape maintenance rules, and other rules help keep you sane and protected

– Pet restrictions may save your hearing if your neighbors have dogs that bark a lot or use your yard as a toilet

– HOAs mediate disputes amongst neighbors. If your neighbor’s dog barking wakes you up, or if they over-water landscape and it runs into your yard – or many other types of problems that may arise – the HOA is there to reach out to the neighbor and try to resolve the issue for you. This can save your sanity and prevent strained relations with your neighbors.

HOA Cons

– They can be expensive

– They dictate what you can and cannot do on your property (e.g landscape plans, paint choices, structural changes)

– There may be pet policies that restrict types or numbers of pets one is allowed to have on the property

– HOAs can place a lien on your property, or even force a foreclosure in some cases, if you do not pay your dues on time, which can create problems if you decide to sell your home. It can also affect your credit.

– Dues can be increased at any time, especially if there is a big ticket item that needs to be repaired (e.g. if there is a community pool and it needs to be resurfaced, or a clubhouse that needs a new roof).

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The bottom line is that HOAs have both good and bad points. You have to give up some freedom to live in an HOA community, but you also can rest assured that neighbors won’t do crazy things to their properties (or at least won’t be able to get away with it) that can affect the value of your home. Also, not all HOAs are equal – some may be very good at management while others may not.

Before you consider buying a home in an HOA community you should do the following:

  1. Ask the neighbors how they feel about the HOA, and call them with any questions you may have.
  2. Make sure to read through all the HOA material you will receive from escrow, so you understand the rules and regulations you will be subject to as a homeowner – this caused one escrow to be cancelled in my years working as a real estate agent.
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Real Estate Agents: Sellers Don’t Like Vultures

Friday, November 6th, 2015

There are some agents who may disagree with what I am about to say, but calling sellers whose listings have cancelled or expired can be annoying and disrespectful. If that is a method you use to find your next listing, and if it works for you, I am certain you won’t want to change your habits, but consider what some sellers think about the practice. th

This week I took a cosmetic fixer listing off the market, as the seller was faced with several challenges and we decided this was her best course of action. I warned her that she would get a lot of phone calls and mail from other listing agents, asking her to list with them instead.

This morning my client received 10-12 phone calls by 9 AM, and one of the agents had even called her before 8 AM – this is extremely rude. She was so offended that she threatened to sue him for harassment should he call again. She disconnected her phone until next week to avoid any further calls.

Personally I have never used this method to find clients – I feel it is invasive and, as my client said, such agents are “hovering vultures.” I compare it to cold calling; many years ago when I was a graduate student I had a job cold calling people on behalf of bond salespeople. Most people were annoyed, as I often am when I get uninvited sales calls. Needless to say I quit that job.

Earlier this year other seller clients of mine had to take their home off market for personal reasons, and had decided to keep their home rather than move. They had SO many calls when we took their home off the market that they were overwhelmed – they said many of the agents were rude and pushy. They too stopped answering their phone for several days.

I am sure there are some agents who are so good at being “salesy” that they actually obtain listing appointments as a result of such calls, but I still personally disagree with the concept and feel it is not classy.

I believe most people nowadays place a high value on privacy, since technology has made it difficult to maintain. If a seller does not have a number listed chances are he or she does not want to be contacted. If you are an agent who chooses to solicit sellers with expired or cancelled listings, my advice is to use the mail – that puts the choice in the sellers hands whether to contact you, and saves a lot of aggravation.

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California Real Estate is Heating Up

Wednesday, November 4th, 2015

CaliforniaHomeSales

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