Read Our Latest Articles!
How Much Money Can I Expect After Selling My Home?
Our Core Values, They're All About You!
Why Is That Home Still On The Market?
The Facts About Down Payments
Getting Your Home Sold! Top Tips!
Should I Sell In This Market?
How Much Money Can I Expect After Selling My Home?
Big question! Disclaimer: You won't know exactly what the expenses will be until you actually have an offer and you know when you are going to the closing table. However, I can give you the following spreadsheet so you can run through a few scenarios. Remember these are for estimating purposes only!
Download the Estimated Seller Net Sheet and follow the instructions below. I will not explain every box on the form but I will definitely give you enough information below to be dangerously close to your totals.
1. At the top you will see list price. First space is filled in at $200,000 and the 2nd space is $195,000. There are two spaces here so you can experiment with different list prices side by side. So put in your projected list price numbers here.
2. See Projected Price at Sale. This is what your actual offer might be and I have suggested that your offer will come in at 98% of your list price. This can vary but try a range within 95- 99% or just adjust to a number you feel you would reasonably accept.
3. Next fill in your balanced owed on your first mortgage. The interest and fees you will have to contact your lender for an estimate. Do the same for any 2nd mortgages owed on the home.
4. Property taxes are paid in arrears. Meaning in 2009 you pay for 2008 taxes. So your taxes for 2009 won't be due till 2010 but if you sell your at the end of June 2009 you have to pay the taxes for the 6 months you lived there. This amount would be collected at closing from you as well as unpaid taxes from 2008 that you would pay in the current year.In the example on the sheet the seller hadn't paid any money yet for 2008 taxes and lived in the house till the end of June for 2009.
5. Realtor fees are next and you can just put your total rate in the listing box and skip the selling box. I left this box empty so please be sure to fill in for your numbers.
6. Attorney fees, recording fees, title insurance and plat of survey fees can vary. I just used a rough estimate. So may be higher and lower depending on your situation.
7. Finally other items such as radon, pest fees, warranty, homeowners association fees and water/septic may not even be applicable so I left those blank for you to fill in when applicable.
I hope this helped you estimate your proceeds from selling your home. Keep in mind these are only estimates and were roughly based on sales in Aurora, IL. Call us today if you are thinking of selling your home. Interviews are always FREE and the opportunity appreciated!
Sincerely,
Nicole & Tony
Our Core Values, They're All About You!
We would like to share with you what our core values are and how they drive us in every decision of our business. We believe this is a strong part of how we separate ourselves from others in our profession.
We will share why we chose real estate and how we interact with you, our client. Most importantly we plan to convey our passion about YOU and our services!
Why real estate?
We chose real estate because it's such an important transaction your life! It is probably your biggest investment thus far or at the least at that moment in time. It is a highly emotional, stressful process that is full of unknowns which can leave people feeling quite vulnerable. We believe this is a critical time when you need to know you have hired the right person.We offer the knowledge, passion and commitment you need to make your best choices no matter what comes down the pike.
Secondly, before we were agents we had a stereotype in our minds that agents were used car salesman, lazy, and interested in making a fast buck. As for our business this couldn't be further from the truth.We have a commitment to contribute to the real estate profession in such a way that there is a true sense of undeniable value received by each of our clients.
How do we interact with you, our client?
Our first question to all our clients is "what are your top issues" when it comes to buying or selling your home. We want to make sure you don't wait a minute longer for answers to your pressing issues. It is your perspective that is important for us to understand so that we can make the process as comfortable as possible for you.
As our buyer you are provided with our customized buyer packets that tell you everything from "How to Read a HUD" to "Tips on Finding Your Perfect Neighborhood".You will never feel pressured into any home.We truly listen to your likes and dislikes on each home you visit. We are not selling you a home, we are learning what you love and helping make sure we find it.
As our seller you get an in depth honest market analysis. We tell you all the issues you may not want to hear but need to hear. This includes understanding your competition and your future buyers viewpoint. Our only goal is to deliver the facts that will help you sell your home in the shortest amount of time for the best possible price.
In summary, we bring our clients a set of core values that include a focus on excellence, commitment to your needs & true passion that is motivated not by money but by integrity.
When it comes to real estate the only thing we can predict is that it's unpredictable. Not one transaction is ever the same. Our core values ensure that you will have the best possible experience from beginning to end. We have the privilege of helping others realize their dreams of homeownership, we can't think of anything better than that!
Our Best To You Always,
Nicole & Tony
Why Is That Home Still On The Market?
Have you ever watched your neighbor's home change realtor signs over and over? Have you ever wondered why one home sits for months or even a year? Or why the other home sold in a few weeks next to the one sitting for a year? Here are the top 4 things to consider about the home "sitting" on the market…
1. WHAT IS THE CONDITION OF THE HOME?
Poorly kept homes mean "work" to a buyer. Most buyers want a home with the least amount of work as possible. If the home has odor from pets, strong cooking smells like liver & onions. This can sabotage all your efforts to sell your home. They will not see your amenities, they will be focused on the odor. Strong color choices and eclectic decorating or personal items will also cause a potential buyer to focus on your things instead of the home.
ADVICE: Homes that sell are staged, odor free and neutralized sell. Listen to your agent we are trying to be objective just as your buyers ill be and do the work before you put it on the market.
2. IS THE HOME PRICED AT MARKET VALUE OR IS IT OVERPRICED?
If it's not priced correctly it won't sell. You cannot expect a buyer to spend more money to get less than something else down the road. When you were a buyer you were looking for the best home at the best price and so is every buyer.
Another key note to understand is that agents don't determine the value of a home. Just like a stock broker doesn't determine the price of a stock.We can't make your home sell for more than what the buyer is willing to spend a.k.a.market value.
ADVICE: The right price attracts the right buyer. Chosing an agent and setting your price are critical decisions and they should be made independently of each other. Choose the agent you trust and then work out the pricing strategy that is in line with your market place using the facts. The best agents are confident enough to tell you the truth about the market rather than just telling you a number you would like to hear.
3. IS THE HOME A DISTRESSED PROPERTY?
Many homes are in short sale and pre-foreclosure these days. These situations and processes take a lot longer. Some lenders can take as long at 6-8 weeks just to approve an offer made by a buyer on a short sale. Foreclosures can take many months to go through all the legal processes, so it may be sold already but just in a mound of paperwork.
ADVICE: If you find yourself in one of these situations seek professionals services as soon as possible. Ask and allow your agent to try and resolve issues with the bank before you put it on the market. This can help you avoid many delays, reduce stress and help ensure you come out in the best possible situation financially on the back end.
4. MAYBE THE HOUSE HAS HAD OFFERS FROM BUYERS?
You may not realize that the agent has brought offers from potential buyers to the seller for negotiations. The sign in the yard doesn't say "Got an offer today" or "This seller has had 3 offers already".Unless you know a particular situation there could be many reasons for an offer not working out. It could be that the financing of buyer isn't very secure, it was a low ball offer, there was a contingency on selling their other home first etc etc. So really they have buyer interest just not the right one yet.
ADVICE: Before you sell make sure you are really ready to move. Sometimes it's not the right offer for many reasons mentioned above but sometimes the seller is really not that interested in moving.If you are just kicking the idea around hold off for 6 months and you will surely know if it's what you really want to do.
Buying or Selling your home is a big decision and there are many variables to consider be sure you choose an agent with your best interest and knowledge to support you in any situation.
Happy Selling,
Nicole & Tony
The Facts About Downpayments
Responding to misinformation in the media and blogs recently about the required size of a down payment for a mortgage in today's market, NAR issued these facts:
1. An individual may be required to put down 20 percent based on that person's financial situation, but that is not an across-the-board requirement for all borrowers.
2. A borrower who puts down less than 20 percent is required to obtain mortgage insurance.
3. Even in a declining market, a borrower is required to make at least a 5 or 10 percent down payment.
4. FHA requires a 3.5 percent down payment by borrowers, so long as they meet a 31 percent housing cost-to-income ratio. In other words, anyone who stays within their budget and who can afford a 3.5 percent down payment (even with family help) can become a homeowner.
PLEASE NOTE: FHA market share has grown roughly tenfold in the past year to an estimated 30 percent of new mortgage originations.
The National Association of Realtors®, "The Voice for Real Estate," is America's largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.
We thought this was important to share…
Sincerely,
Nicole & Tony Tudisco
Getting Your Home Sold! Top Tips!
Do Not Under Estimate Staging
Staging is so important and often times we look at our own home much differently than a buyer would. We all have a soft spot for our own homes but we have to be able to put that emotion aside and look at it as objectively as possible. The punch stain from Suzy when she was 3 won't sit over well with potential buyers. To them it means $2k for new carpet and a hassle. Getting your home "market ready" may take some time and energy upfront but it will be well worth it when you hit the market.
Top 4 Tips For A "Market Ready" Home…..
1. Declutter – De-personalize the home by removing family pictures, religious items etc. Clear kitchen counters, clear excess magnets from the refrigerator, organize and minimize bookshelves. It's also a good time to put away any valuables like jewelry.
2. Neutralize – Use light paints in warm tones such as creams and tans. Avoid bright colors and busy wallpaper. Some is ok and as your Realtors we'll be able to tell you if you are in doubt.
3. Clean- Steam clean the carpets, make sure the bathrooms & kitchen sparkle, dust light fixtures, mow the lawn & trim bushes.
4. Simple Repairs – We all put off the little repairs but now we need to get them done. I know it's a chore because it's all at once but believe me the buyers will notice. So fix chipped paint, damaged baseboards, leaky faucets, loose hinges, doors that stick shouldn't, replace burnt out light bulbs, re-caulk the tub, stain the deck, sealcoat driveway etc. Make a list of all the easy repairs needed. If you cut corners here buyers may wonder if you cut bigger corners elsewhere.
Don't feel overwhelmed, as your Realtors & Certified Staging Consultants we will tour your home and help you determine what is crucial and what isn't. We don't want you to do more work than necessary or focus on areas that don't need any attention. Maybe there isn't any work at all!
Either way we will help you fine tune your home for optimum showing results to perspective buyers. Homes have the most amount of interest when they are new to the market. Do not waste that premium selling time by skimping. Being new on the market is your best time for the highest return on your dollar!
Happy Selling!
Nicole & Tony Tudisco
Should I Sell In This Market?
First things first, it's never a buyers and sellers market at the same time, so what you really have to consider is if it's the right time for you based on your current situation. Every day we are bombarded with tons of housing information that can easily sway your judgment from one day to the next. The end result can mean we don't know what to do and so we do nothing.
We are currently we are in a buyer's market which by name itself suggests that it's not a good time for sellers. I would say that depends on the seller's situation. If you are thinking about upgrading to a bigger home this may be the perfect time.
Consider this, let's say home values have dropped 10% (easy number, just an example) and so a home that was worth $300,000 is now worth $270,000, a difference of $30,000.
Now your new dream home was worth $500,000 a few years ago. That same 10% loss of market value makes that home now worth $450,000, a difference of $50,000.
It's easy to see if you are selling a little lower you could easily come out ahead on your purchase because you are getting more bang for your buck and actually coming out ahead overall.
Just to top it off mortgage rates are fantastically low and there are lots of homes to choose from. Despite what you may think, lenders are still giving out loans; in fact our lenders say they have lots of money to borrow. These days you just have to qualify the old fashioned way, proof of employment, good credit scores etc.
If you want to dig deeper and find out what your current home is worth, just contact us, we'll be happy to help.
We hope you found this article valuable!
Our Best To You Always,
Nicole & Tony