Site Updates and Overhauls

Over the next several days I will be making significant changes to this blog. Many of the posts were written when the housing market was down and distressed sales were the norm (foreclosures and short sales).

Tags and categories were assigned accordingly.

We now appear to be back to a normal market, and I am rearranging tags, categories and posts to better “educate” and opine on more current topics. I will be recycling some posts that are still relevant. Many will be updated. And of course there will be new posts.

I also have several other blogs and am considering posting more general posts on this and my buyer site and more specific posts on my area (Orion or Lapeer for example) or lakefront sites. Then maybe just link those posts on the more general sites like this one.

Any feedback about the updates is greatly appreciated.

No reason for the photo- I just like it.

What Real Estate Costs are the Oakland County and Lapeer County MI Home Seller Responsible For?

This is a common question I get when a person is considering selling their Oakland County MI home. First let me explain that most everything is negotiable; the purpose of this post is to address what is customary for the Oakland County and Lapeer County areas.

Costs to the seller:

• commission (I normally charge 6%, 10% on vacant land)
• transfer tax (.75%)
• revenue stamps ($1.10 per $1000)
• title insurance (depends on the sale price)
• $295 file retention fee (amount varies with different companies)
• misc. costs such as wiring fees, recording fees and I usually estimate on the high side at $500 but is probably closer to $100 on most transaction

If you currently have a mortgage on the house that will have to be paid out of your proceeds. Taxes are usually prorated to the date of closing and if you are current on your taxes you will probably get some back. Homeowner association dues is usually prorated to the date of closing. Water and sewer bill (if applicable) are paid at closing.

If there is possession $200 or $300 is usually escrowed at closing to cover any water/sewer charges for the time you live in the house as a tenant after closing. You will normally pay the new owner’s house payment for the time you stay after closing. So you agree on 45 days possession after closing, we will typically escrow 45 days of the new owner’s mortgage and you pay for the days you stay.

These costs are for a normal sale- not short sale or land contract sale.

For more information about selling your Oakland County or Lapeer County MI home please don’t hesitate to contact me.

Jackie Hawley, Realtor
ReMax Encore
Jackie@JackieHawley.com

Cell: (248) 736-6407

www.MiRelocation.com

Lapeer County Lake Home Sales

If you tried to sell your Lapeer County Lake house last year with no success, AND you were a fairly high priced listing, do not despair. It was not your house- it was the market.

In 2014 there were only 4 lakefront sales over $600,000 and all 4 were on acreage. 2 of those were on major acreage with private lakes- 40 acre and 90 acre parcels. And by private lake I mean their own private lake. The other 2 were a house and 9 acres on Lake Metamora and a house on 5 acres on Lake Lapeer.

Only 2 houses sold in the $400,000’s- both on Lake Lapeer.

This is better than 2013 when the price of lake houses in Lapeer County topped out at $477,500.

So far in 2015 there has been 1 sold on Lake Lapeer for just under $400,000 and 2 pending at just under $400,000 and in the mid $500,000’s.

The rise in prices is due to an improving economy, low interest rates and the lack of distressed properties (foreclosures and short sales). The distressed sales dropped to 11% of the total lake sales in 2014 from 19% in 2013. In 2010 distressed sales made up 49% of total lakefront sales in Lapeer County.

For more detailed information about specific lakes, please go to www.Lapeer-Homes-For-Sale.com and click on the appropriate link. Or LapeerLakes.MiRelocation.com – no w’s.

Lake Nepessing

Lake Lapeer

Lake Metamora

www.MiRelocation.com

My YouTube Channel: www.JackieHawleyRealtor.com

Lake Orion MI Home Sales- Market Update

Lake Orion MI Home Sales- Market Update

Unit sales are down and average and median sales prices are up. Or are they?

Lake Orion, MI is recovering from a housing crisis that lasted close to a decade. Statistics show that prices started dropping in 2006. I felt it in 2005. In 2009 the amount of distressed sales (foreclosure and short sales) surpassed the amount of non-distressed sales. Distressed sales were the norm for 3 years. 3 years where Lake Orion MI had more foreclosure and short sale closings than regular old fashioned sales. And when you have that many distressed sales it affects the prices of all sales.

In 2012 there was a drastic reduction in distressed sales but they still made up 39% of total sales. 23% of the sales in 2013 and thus far in 2014 (first 3 quarters) 11% of total sales.

So I think to just compare unit sales this year vs unit sales last year is not an accurate measure of the market. Same when comparing prices. Or time to sell.

All residential sales in Lake Orion, MI through Sept (1^st 3 quarters):

Unit sales are down 7%, the average sales price is up 6% and the median sales price is up 1%.

Non-distressed sales in Lake Orion, Mi for the same time frame:

Unit sales are up 8%, average sales price is down ½% and the median sales price is down 1%.

Non-distressed sales data is better than it sounds. The average sales price is up 12.5% from 2012, the median sales price is up 12.3% and unit sales are up 36%.

The average sales price so far this year is $265,008 and the median sales price is $246,000. The average sales price in 2003 was $260,252. I can’t pull the amount of distressed or non distressed sales in 2003 or 2004 or 05…. It wasn’t a search field in the MLS at that time. But it is pretty safe to assume that prior to the end of 2005 foreclosure and short sales were minimal.

There were 384 non distressed sales in 2013 vs 543 sales in 2003. If we stay on track of an 8% increase over last year we should have about 415 non distressed sales this year. Less than 2003 but not that far off considering that distressed sales still make up 11% of our market.

However you look at the numbers, if you are buying a home in Lake Orion MI, prices are on the rise and interest rates won’t stay this low forever.

If you are considering selling your Lake Orion, MI home, we have been in a recovering housing market for a few years, interest rates are low, so this is a good time to sell.

Call Jackie Hawley, Realtor
Remax Encore
(248)736-6407
Jackie@JackieHawley.com
www.MiRelocation.com

Subscribe to my YouTube Channel

Customer Service…. What does it mean to you?

Customer Service…. What doe is mean to you?

I have been selling real estate for a touch over 23 years and it still amazes me sometimes how little effort other “professionals” put into a transaction.

A little background without names or exact location. One of my listings is supposed to close this Friday. The sale was subject to the closing of the buyer’s current house, and that house was supposed to close today. A little after 11 o’clock last night (after I was sawing logs – sleeping) the buyer’s agent sent an email to me, the buyer, and the loan officer letting us know his house wasn’t going to close today. She forwarded an email from the buyer’s agent on that transaction which was a forward of an email from that lender. The initial email was after 7 pm.

The gist of the original email was they weren’t ready to close because they were waiting on an IRS transcript they had expected the previous week. Except the buyer filled the form out wrong and the IRS rejected it. So the loan officer filled out a new one for the buyer to sign and expected the transcript this  morning. Planning on closing next week instead of today.

This so far is about the underlying sale.

BUT the seller, who is the buyer for my listing, was pre-approved to buy without selling. So I hit reply all on the email and asked if our closing was still on for Friday. If the buyer was able to buy without the closing of his house or did he need to go back through underwriting since the conditions changed. The only answer I got was from the buyer asking his lender if that was possible. He was still willing to close on Friday and close on his house next week.

No response.

I follow up 4 or 5 hours later asking if anybody had heard back from the lender. I got an email from the buyer’s agent stating he needed money from the closing on his house to close on ours. I asked if this had been verified by his lender since he was willing to close. And I asked if she had spoken to the lender for the underlying sale (her listing) to confirm they received the IRS transcripts.

No word. The buyer called me directly. He hadn’t heard from anybody either.

Since this is Wednesday night I figure we are not closing Friday and will close after the underlying sale closes. But if nobody gets back to me by tomorrow morning I am going to do what those directly involved seem to have a problem with. I am going to actually pick up the phone and make a call. Maybe the lender on the underlying sale will be surprised enough to hear it ring he might pick it up out of curiosity. That hasn’t worked with the lender on our sale thus far; I think she may have it go directly to voicemail when my number shows up.

What amazes me about this very long story. The buyer’s agent on the underlying sale was upset because their loan officer had told the buyer they were clear to close on Mon. The agent didn’t verify himself. Neither agent actually communicated with that loan officer to verify the buyer was clear to close. The lender on that sale sent a form to the IRS without making sure it was filled out properly. The listing agent on that sale (aka buyer’s agent on my sale) didn’t pick up the phone and call the loan officer to make sure they actually received the transcript today as anticipated. Just assumed they got it. She never picked up the phone and called the loan officer on our sale to find out if we could still close Friday as scheduled. Never picked up the phone and updated her buyer/seller. The loan officer on the underlying sale notified everybody last night after 7 o’clock. Well after business hours. And via email.

What is the aversion to actually calling people involved in a six figure transaction? Short, vague emails and text messages with little detail and no verifications of any facts. Is this what passes for customer service these days?

For real service, whether buying or selling your home or vacant land, please don’t hesitate to call (or email if you prefer) Jackie Hawley at ReMax Encore. I’m old enough to know what customer service is, and still young enough to be tech savvy.

Why List With Jackie

Marketing Your Home

Jackie Hawley, Realtor
ReMax Encore
Jackie@JackieHawley.com
(248)736-6407

Why It’s Best to Close as Soon as the Buyer Gets Loan Approval

Why it’s best to close on your Oakland County home as soon as the buyer gets loan approval

There are many reasons to close immediately after the loan is approved and the buyer is clear to close. Even if that happens 3 or 4 weeks prior to the close by date.

• Seller can die
• Buyer can die
• Buyer can lose his/her job
• Buyer can run up a credit card and no longer qualify
• Buyer can get a job transfer
• Buyer can break up with or divorce co-buyer

All of the above have happened in transactions I’ve been involved in (except for the first one).

If it is difficult or impossible for the seller to move a few weeks early, you can always work out something regarding possession. There’s a good chance the buyer’s new house payment is lower than the seller’s current house payment. Prices still haven’t peaked and interest rates are very low.

Jackie Hawley, Realtor, ePro
ReMax Encore

(248)736-6407
Jackie@JackieHawley.com

www.MiRelocation.com

What to expect on the listing appointment

Preparing your home for sale

Do Oakland County Houses Sell in the Winter?

Do Oakland County MI Houses Sell in the Winter?

I have been asked this question quite a bit lately. The short answer is yes. Not as many as in the summer- as you can see from the graph below, there’s a big drop in January. This is due mostly to the Christmas holidays. Thanksgiving and New Years affect this, too.

 

 

 

 

 

 

I used last year because it was a full year with mostly non distressed sales, and 2005 which was also a year with few short sales and foreclosures.

If you are thinking about selling, there is really no bad time to list. Buyers buy year ’round. Buyers in the winter tend to be more serious. It is not fun to look at houses with snow up to your butt, so you may have less showings for the same outcome- a sold house. There also tend to be less houses for sale in the winter so the competition is less.

Thinking of Selling?

Call Jackie Hawley, Realtor
ReMax Encore

Cell:(248)736-6407

Jackie@JackieHawley.com

www.MiRelocation.com 

Why List With Jackie

Preparing Your House for Sale