Voice for Real Estate 19: REO Sales

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6 Resolutions for your 2014 Home Buying Goals

As we come to the end of 2013 and enter into 2014 many people are busy enjoying the holiday festivities while setting resolutions for the year to come. Some people have resolved due to past failed resolutions to never make another resolution; others persist in making resolutions for their lives some successfully and some not but either way what truly matters is we try. As the old proverb written by: Thomas H. Palmer says  " Tis a lesson you should heed:
                                                       Try, try, try again.
                                                       If at first you don't succeed
                                                      Try, try, try again." 
So when it comes to Resolutions Make them and do your best to keep them as long as they are reasonable.

Many think a resolution refers to only a bad habit or a way to improve our health. Such as: I will quit smoking, or I will lose 20 pounds. Others set personal financial goals. Such as: I will stop using credits cards, I will start saving money, or I will begin to invest in my retirement.

For those of you who have been following the roller coaster real estate market these past few years and see 2014 as your year to make your real estate dreams and goals a reality. I offer you some resolutions you may want to take ownership of in your life.

First

    Resolve to Check Your Credit and Repair it if necessary.

    In the current market when making an offer having a pre-approval letter submitted with your offer       strengthens your position in this competitive market having a  higher number of buyers than 

    available homes for sale. You can pull all 3 reports once a year from www.annualcreditreport.com 

    it should give you a good idea of what you can fix or where you are at. Speaking to a lender will    

    also help you know how close you are to being able to get the loan you will need to make your 

    home purchase.

   

Second

    Resolve to Start Saving for Your Down Payment or Real Estate Related Fees: 

    Your down payment will be relative to the loan you and your lender work out that best suits your   

    situation. Real estate related fees can be as follows it is not a complete list but should give you

    an idea. For example: Earnest Money Deposit (this is not your Down payment)

                                       Home Inspection

                                       Pest inspection

                                      Appraisal fee

                                      Closing Cost

                                     Moving Expenses

  Some fees are rolled into your monthly payments so I have not listed them and there may be others that are customary to the market you are in (check with your local realtor for related fees).

Third

    Resolve to Make a Budget

     Deciding what you are comfortable paying in a house payment is important, be realistic in your 

     current market. Let your lender help you in figuring out a range based on your current obligations.      Make sure the agent you decide to work with respects your budget and does their best to select 

     homes for viewings that falls within the price range you and your lender have set in your loan 

     approval process.

Fourth

Resolve to get Educated in your current Market

Consult professionals in your area to help you move forward in your process. Real articles, books,

take home owner education classes. Allow your lender or a local Realtor to send you information or add you to a system that allows you to freely search the communities you are interested in, So you can stay abreast of what is happening in your area relative to pricing and days on the market.

Remember when looking for guidance everyone's situation is different and buying in today's market is not the same as for those that bought in the past, so please smile and say thank you to those well meaning people who truly mean well when offering advice but stay focused on your goals and follow the advice of those that are actively involved in the day to day operations of your current market.

Fifth

Resolve to Take Ownership of your Home Purchase

Your agent is there to help guide you not tell you what to do but assist you in making decisions. The final choice is yours so make sure whoever you work with truly understands your needs and desires and is able to communicate effectively and negotiate on your behalf. These traits will help your transaction go as smoothly as possible.

Sixth and last

Resolve to keep a smile on your face and Enjoy the process.

Getting through the loan process and finding the right home for you can be an arduous process but if you stay focused on the light at the end of the tunnel and realize you will get through this with the team you choose you can keep smiling through it all.

May This New Year Bring You All The Blessings You Seek. Happy New Year To You All! 

Thank You for reading;
Tami Lee Merriam
BRE# 01936304    
707-603-5348     
Zip Realty
Tami.Merriam@gmail.com

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What is the difference between a Realtor and Real Estate Agent

This has been an interesting couple of week for many of us; between the partial shutdown of the Government, and whatever personal things we have all had to deal with… in my own life that has been my beautiful grandson who is 2.

Yet this past couple of weeks I have been trying to figure out what best to write about in this blog … I finally decided that many people seem to think that everyone who holds a real estate license is a Realtor. Not true … even though we all may hold real estate licenses in the states we work in we do not all hold membership in the National Association of Realtors. Personally I have chosen from the beginning of my journey in real estate to make it a priority to gain membership and maintain my membership in NAR.

The following is taken from Realtor.org

Isn't the definition of REALTOR® anyone who has a real estate license?

No. The definition of a REALTOR® is a real estate professional who is a member of the National Association of REALTORS® and subscribes to its strict Code of Ethics. The marks should not be used inadvertently and improperly to denote a vocation or business. A good rule to follow is if the term “Member” cannot logically be substituted for the term REALTOR®, then the term should not be used. Appropriate substitutions might include the phrases “real estate broker,” “real estate agent,” “real estate salesperson,” “property manager,” etc.

What is NAR?

The following is copied from thefreedictionary.com

National Association of Realtors

The National Association of Realtors (NAR) is made up of residential and commercial realtors who are brokers, salespeople, property managers, appraisers, and counselors, and others working in the real estate industry. NAR began as the National Association of Real Estate Exchanges in 1908 with a membership of 120. In 2003 its membership numbered over 840,000, making it the world's largest professional association. Members belong to one or more of 1,700 local real estate associations and boards and 54 state and territory associations. NAR headquarters are in Washington, D.C.

NAR provides a national facility for professional development, research, and exchange of information among its members, the public, and government. More importantly, it plays an influential role in shaping public policies at the local, state, and national level that affect real property. Through its legislative and Lobbying efforts, NAR seeks to protect the real estate industry from what it considers burdensome legislative and regulatory changes and to advocate for legislative and regulatory changes that enhance the conduct of real estate business. At the national level, NAR analyzes federal issues and lobbies Congress and regulatory agencies.

The 1998 NAR legislative agenda included rewriting federal law that governs the disclosure of closing costs at the time a real estate purchase is completed. In addition, NAR supports federal legislation that would give persons more rights to contest a government "taking" their property through the power of Eminent Domain.

NAR also participates in the political process through its Realtor Political Action Committee (RPAC). This committee, currently one of the largest trade association PACs, contributes campaign funds to federal political candidates and encourages members to volunteer for candidates. The committee also educates voters on issues that affect home ownership and real estate.

Apart from political involvement, NAR seeks to make its viewpoint known through legal advocacy. The NAR Legal Action Committee provides financial support to legal cases that seek establish a favorable precedent for real estate brokerage or that seek to preserve the rights to own, use, and transfer real property. The NAR also participates in lawsuits involving real estate by filing Amicus Curiae (friend of the court) briefs in cases that will set legal precedent.

The NAR has established a code of ethics to enhance the professionalism of its members. In addition, it has created NAR sections, professional institutes, societies, and counsels that allow members to communicate with others in their particular real estate specialty. These specialty groups include Counselors of Real Estate, the Commercial Investment Real Estate Institute, the Institute of Real Estate Management, the Real Estate Brokerage Managers Council, the Residential Sales Council, the Real Estate Buyers Agent Council, and the Appraisal Section. Education and certification in these specializations enable members to receive professional designations, identifying them as highly qualified specialists to business associates and the public.

In 1998 NAR launched a national consumer education initiative called the "Public Awareness Campaign" to inform the public about the significant role played by realtors in real estate transactions. Also, in 1998 NAR created the National Realtors Database System (NRDS), an Internet database that gave members the opportunity to update their own records online. In 1997 the NAR established REALTOR.com, its official Internet site. In 2003 REALTOR.com featured more than 1.5 million property listings that were viewed by millions of consumers.

What makes Realtors so different?

The Difference is simple we have sworn to follow the code of Ethics below I have included two brief sections from the code and a link to the complete code of ethics that we adhere to.

Duties to Clients and Customers

Article 1
When representing a buyer, seller, landlord, tenant, or other client as an agent, REALTORS® pledge themselves to protect and promote the interests of their client. This obligation to the client is primary, but it does not relieve REALTORS® of their obligation to treat all parties honestly. When serving a buyer, seller, landlord, tenant or other party in a non-agency capacity, REALTORS® remain obligated to treat all parties honestly. (Amended 1/01)

 Duties to the Public

Article 10
REALTORS® shall not deny equal professional services to any person for reasons of race, color, religion, sex, handicap, familial status, national origin, or sexual orientation. REALTORS® shall not be parties to any plan or agreement to discriminate against a person or persons on the basis of race, color, religion, sex, handicap, familial status, national origin or sexual orientation. (Amended 1/11)

REALTORS®, in their real estate employment practices, shall not discriminate against any person or persons on the basis of race, color, religion, sex, handicap, familial status, national origin, or sexual orientation. (Amended 1/11)

http://www.realtor.org/governance/governing-documents/the-code-of-ethics

I hope this information is beneficial to those who have taken the time to read it. My goal is to always bring information to those wanting to stay informed. 

Thank you for Reading;
Tami Lee Merriam
BRE# 01936304    
707-603-5348     
High Ground Real Estate
Tami.Merriam@gmail.com
http://www.linkedin.com/profile/view?id=31668742&trk=nav_responsive_tab_profile
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http://about.me/tami.merriam/#
http://www.pinterest.com/tamimerriam0068/boards/

Government shut down and effects for home buyers and sellers

This is not the normal information that I wished to have to post in a blog, but due to what is happening right now I feel it is necessary to get the word out.While I understand and have seen on the web some local news have been reporting that the federal loan programs will be shut down making it difficult to buy or sell a home I have received information from one of our local lenders here to the contrary please call your local lenders and get the truth before believing the media, they just want to cause people to be afraid and thus truly re-crash our economy. Please take a moment to read the email that was sent to me.

Hi Tami,

Unlike the Federal Government, PNC Mortgage is open for business. See below for status:
The federal government “shutdown” on October 1, 2013. PNC Mortgage offers a number of programs and products that may be or will be impacted by this interruption.

The good news is that the majority of the programs our customers utilize will experience very little or no impact. FHA, VA, Fannie Mae, and Freddie Mac lending programs will still be available. PNC Loan Officers will continue to take new applications and we will process, approve, and close these loans for our customers.

Unfortunately, we are forced to suspend Rural Housing program applications until further notice. Also, we expect to see a minor impact as a result of limited capacity at the IRS (see 4506T statement below).

Should the crisis be resolved, further communication will be provided.

Fannie Mae and Freddie Mac
Both GSEs will be open for business as usual during the shutdown.

FHA
FHA Lender Insurance will be available as long as there is commitment authority.
CAIVRS functionality will be available.
FHA Connection will be available.
Lenders will be able to obtain case numbers.
Total Scorecard will be available.
Upfront MIP payment will be available.

VA
VA will be open for business as usual during the shutdown.

Rural Housing
Suspension of new Rural Housing applications – October 1, 2013.
Loan applications take on or after October 1, 2013 will be denied.
Rural Housing will not issue Loan Note Guarantees during the shutdown nor will they issue new commitments.
Rural Housing will not operate GUS, its automated underwriting system, during any shutdown.

IRS
4506T requests for tax transcripts will not be fulfilled. The condition will be waived by Underwriting Managers for loans that will close during the shutdown.

Mark Orloff
NMLS ID # 633543
Senior Loan Officer, serving Napa, Sonoma and Solano Counties
PNC Mortgage, a division of PNC Bank, NA

The PNC Financial Services Group
575 Market Street, 29th Floor
San Francisco, CA 94105
707-287-6497-Direct
855-875-0652 Right Fax
Mark.Orloff@pncmortgage.com

Thank You for Reading please feel free to Share this information
Tami L. Merriam
BRE # 01936304
707-603-5348
http://winecountrypropertyinfo.com/
https://www.facebook.com/WineCountryPropertyInfo
http://www.pinterest.com/tamimerriam0068/

What Truly Sells A Home?

 I went on a listing appointment this week and realized that this is a topic needed in today’s market since there are so many buyers yet there are still homes just sitting without offers on the market and the clients informed us that another agent gave them a price that was way over market value for their home. So let’s take a few moments and determine what truly sells a home.

I realize this may be a little hard to swallow since so many areas we have heard location, location, location. Location does not sell your home, it makes your home more desirable since it is where people want to live but location alone is not the answer to what sells a home.

Does Staging sell a home?

 While staging is nice and will help buyers feel comfortable in your home, it will help your home show better than a neighbor’s home that is also on the market it still won’t sell your home if your home is overpriced. If your home is priced competitively it will sell your home since yours will show better than the competition.

Will open houses sell a home?

Some feel having an open house will sell their home but yet again many times an open house will not bring you a qualified buyer, it does however bring a lot of neighbors who have never had the opportunity or invitation to enter your home; it does bring in others from your community who are thinking about listing their home and want to see their competition and it many bring someone who would like to if they can qualify write and offer to purchase your home, but this does not guarantee a sale from an open house.

Does advertising & the web sell a home?

Though advertising brings lots of attention and the internet is a great tool since so many buyers are using it for their home searches to look for homes if the property is advertised at a price above the market value it will only help to sell other advertised homes.

Please do not take me wrong all forms of marketing and prepping your home for sale will indeed sell a correctly priced home. Pricing a home under market value is just as bad as over pricing a home so lets take a look at what truly sells a home.

Pricing it Right Sells homes quickly and effectively. following is a quick run down on how this is done.

When an offer is made on a home an appraisal is completed to validate the price and homes value. Agents have the tools to perform a competitive market analysis also known as a CMA. This determines a starting point for the listing price of your home, so when the appraisal is done it will hopefully show the price is consistent with what the lender of the buyer is willing to loan. Many times homes are listed higher than the comps in the area are showing and the home sits on the market leaving the agent and the seller frustrated so be sure the agent you work with is honest enough to show you the true value of the comps in your area. Knowing how to make the needed adjustments to the properties being compared is vital in determining the correct listing price in order to bring in qualified buyers that will indeed write offers on your home.

Your CMA should include recent homes that have closed that are similar to your home in age, square footage, number of bedrooms and baths, and lot size; Pending sales are also vital to your home pricing since they are going to adjust the comps if they close before your home does that the appraiser will use in determining the home’s value. Homes that are currently on the market should also be included since these will show you what your competition is.

If you would like to find out the current value of your home feel free to contact me and I will gladly free of charge meet with you and help you see where your home value is . If you are not in my area of northern California I can have an agent in your area contact you for what is happening in your community.

I look forward to meeting the needs of those that would like;

Tami Merriam

BRE# 01936304         
High Ground Real Estate
Tami.Merriam@gmail.com

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Let's Dance - The Art of Negotiations

This blog was originally written in May of 2008 in conjunction with my ex-business partner Scott Messing while working at ERA West Wind in Boise, Idaho. I am using it again since the information remains relevant and helpful. I hope you all enjoy it.

Homeowners and soon to be homeowners need to learn how to dance with each other.

Whether you are thinking about buying or selling in this uncertain market please take the time to learn to dance. A key factor in any successful real estate transaction is the art of negotiations. It doesn't have to be a difficult process. It's the matter of taking the time to know when to take a step forward or take a step back and learning the steps of a graceful dance to bring the real estate transaction to a beneficial end for all parties involved.

Living in a me-me society as we've come to be, people forget that their wants are not all that are involved. But there are needs on the part of buyer and seller alike that must be taken into account. You can do a 2 step and kill the transaction with ink and pen or you can do a beautiful waltz that give you a first place trophy on Dancing With The Stars.

Make sure the agent you select is the star that will take the lead in guiding you through the difficult phases of negotiating a contract.

Phase 1: Writing a contract and coming to acceptable terms for both parties

When a contract is written you have 3 answers that you can receive a yes, a no way or a counter-offer, which means what dance shall we perform. The 2 step is when you write an offer based on fair comparables that you're agent has provided you. Despite this fair offer the seller counters for closer to the asking price expecting you to accept it without further negotiations. A 2 step will usually kill a contract. Learn to tango and hope that both agents realize that it may take 3, 4 or 5 steps to come to a melding of the minds where all parties are dancing together without stepping on each other's toes.

Phase 2: You've come to an agreement, inspection has been completed and items now need to be repaired in order to continue with the dance.

An inspection release has been written and presented to the seller. At this point either party can do The Bus Stop and bring the transaction to a halt; or you can do The Electric Slide and joyfully complete this phase of the purchase.

Listing every single item in need of repair will usually kill a transaction. Unless you are buying a brand new home it's not necessary to ask for all the small items in need of repairs to be completed. For example new outlet covers cost $.50 to $1.00 at your local hardware store and cracks in the sidewalks can easily be filled after closing. Major items that will impact your health and/or safety should be addressed. For example foundation, roofing, plumbing, electrical and HVAC related repairs should not only be addressed, but grouped together in non-intimidating ways on the inspection release so that all parties feel comfortable and informed, helping you slide right pass these hurdles.

Phase 3: The signing at title

Coordinating all parties and keeping everyone patient until the documents have been delivered to title, reviewed and adjusted if needed by the escrow officer and making sure the final walk through is complete make up this graceful dip of a finale.

Sometimes due to work schedules there can be some little hitches where the seller or the buyers have to adjust whom signs first. As long as all parties stay in communication this can work out smoothly, ending the dance on a wonderful upbeat.

We decided to write on this topic based on a few recent real life examples. We share these examples and this blog entry in hopes that it will help people in the future.

Case 1: Recently on behalf of our client we made an offer and unfortunately it was killed based on the 2 step dance example. The listing agent encouraged a dance but abruptly halted it despite having actual comparables indicating a lower price that we believe the listing agent chose to psychologically dismiss. Comparables showed the home to be worth 15,000 less than the asking price. The appraisal would not have come in at the asking price and we must wonder if the agent even told her sellers this information.

Case 2: One buyer's agent we worked with nearly killed a transaction by insisting on several small items being repaired in order to make her appear as a superstar, despite the items requiring little money or time. In this case the agent's ego was on the line instead of any of the client's best interests. Luckily our ability to find excellent and affordable vendors willing to step up and help the seller's family get through this process with little financial burden saved this transaction. We were able to smoothly complete what appeared to be a nightmare for the sellers. In the end it turned out to be a blessing.

Case 3: As the dance was nearing end the title company found a hidden Liz Pendens (legal action pending against a property). Our clients and the listing agent started to freak out. Tami's negotiation ability kept our clients and the other agent calm. Thankfully having a great escrow officer and negotiator at the title company also contributed to the success.

Thank You For Reading;
Tami Lee Merriam
BRE# 01936304         
RE/MAX Gold
Tami.Merriam@gmail.com
http://www.linkedin.com/profile/view?id=31668742&trk=nav_responsive_tab_profile
https://www.facebook.com/WineCountryPropertyInfo