Feeds:
Posts
Comments

Posts Tagged ‘southeast michigan real estate’

Seller Concessions Explained- Southeast Michigan Real Estate

This is my attempt at a very simplified explanation of what seller concessions are.

Example: You want to buy the house you just looked at and want to make an offer of $200,000. You need $5000 in seller concessions (seller paying all or part of your closing costs). Your offer will be $205,000 asking the seller to pay $5000 in concessions. If you offer $200K and ask for $5K in concessions, your offer is really $195,000.

The seller isn’t really paying your closing costs- you are mortgaging them.

Sellers- you really aren’t paying those closing costs. The buyer is mortgaging them.

Buyers- sellers have a bottom line. They don’t tend to come down to that bottom line AND pay concessions. The concessions are rolled into the purchase price.

Sellers– don’t question the amount of the concessions. If the buyer’s loan officer is over charging them that is their business. You only need to be concerned about your bottom line.

Compliments of Jackie Hawley, Realtor of the JHawley and Associates Real Estate Team at ReMax Encore in Clarkston MI.

Cell: (248)736-6407

Jackie@JackieHawley.com

www.SearchMichiganMLSListings.com

Lower Straits Lake

www.OaklandCountyMichiganLakes.com

Waterford MI Lakefront Homes For Sale

Clarkston MI Lakefront Homes For Sale

White Lake/Highland MI Lakefront Homes For Sale

Lake Orion/Oxford/Addison MI Lakefront Homes For Sale

Lapeer MI Lakefront Homes For Sale

www.LakeOaklandHomes.com

www.MacedayLake.com

Sylvan and Otter Lake

www.LakeOrionLakeFrontRealEstate.com

For Sellers- www.JHawleyAndAssoc.com

For Sellers- www.AreaRealEstateExperts.com

www.ClarkstonMichiganRealEstate.com

www.MiRelocation.com

Read Full Post »

Now your Southeast Michgan house is on the market- beautifully described in the MLS with 25 photos and a virtual tour, sign in the yard with color flyers in the box (again- beautifully described), full color ads all over the internet. Everything is going along just like your Realtor told you it would.

And now the first call.

Someone wants to show your house tomorrow between 1 and 2. That doesn’t mean they show up and leave in that hour. It doesn’t mean they won’t be running early and possibly show up at 5 to 1. Or quarter to one. They may get there at 1:55 and not be done until 2:30 or 2:45.

Please have the house ready early. And if an agent with client in tow shows up a bit early, be prepared to leave immediately. If you get home at 2:05 and they are still there, keep driving! Circle around the block a few times, or go get a coffee.

The goal is to get the house sold- not point out they’re early or make them feel rushed by coming home while they’re still there. Scheduling isn’t a science. Some buyers are faster lookers than others. We don’t know what houses they looked at previous to yours- they may have been dumps and they spent little time on them and arrived early to yours. Whatever.

Just remember- the times you are given for the showing are just approximations.

Marketing Your Southeast Michigan Home

Why You Should List Your Home With Me

Preparing Your Home For Sale

Search The MLS

Southeast Michigan Homes For Sale

Jackie Hawley, Realtor
ReMax Encore, Clarkston MI
Cell: 248-736-640
Jackie@JackieHawley.com

www.MiRelocation.com

www.OaklandCountyMichiganLakes.com

www.ClarkstonMichiganRealEstate.com

Read Full Post »

What Sets Me Apart From Other Southeast Michigan Listing Agents?

I’ve been showing houses quite a bit lately and have noticed some disturbing trends. Many of these trends are confined to foreclosure listings; or at least I thought the incomplete listings with no yard sign out front and no electricity on in the house was a foreclosure issue. Many of these foreclosure agents never even see the house, so I guess that can be their excuse. But other agents have been following suit. I guess in their minds good service is graded on a curve and as long as foreclosure agents behave like secretaries for the bank, most of the rest seem to feel the need to imitate.

I showed a house last night, after dark, and was surprised to find no electricity on in the house. I called the listing office and set the appointment with a member of the listing agent’s team. You would think she could have told me we would be looking with flash lights, and I would have thanked her and rescheduled for the weekend during the day.

I’m showing a house tomorrow to the same couple. When I pulled the aerial today I was pleasantly surprised to find it’s a lakefront home. The listing never mentioned that it’s on the water. Good for us on the buyer side, but not so good for the seller.

Non foreclosure agents are starting to fill both the agent remarks and buyer remarks on the MLS sheet with showing instructions and ass covering statements such as “buyer or buyer’s agent to verify taxes, sq. footage, etc.” Or BATVI – buyer agent to verify information. DUH! The MLS is supposed to “sell” the house- to entice buyer’s agents to show the listing.

Sometimes the agent remarks are left blank and even on occasion the public remarks are blank. I showed a house with central air that was not included in the MLS. I showed a house today with lake privileges and a subdivision beach and the water name search field was left blank. 20% of the lake front listings in this North Oakland County area also leave the water name search field blank so their listings won’t come up if I am searching for houses on a specific lake.

A while back I was showing houses on acreage and over a third of the listings left the acre search field blank. I’ve shown 2 houses in the past week or so where the listing agent missed a bathroom. And it goes on and on.

I don’t know what has happened to customer service. If a listing agent can’t/won’t fill out a listing completely, how are they going to handle the rest of the transaction? If the incomplete listing is a short sale will the listing agent be able to, or willing to, send everything the lien holders ask for in a timely fashion? I highly doubt it if they can’t even fill in a lake name or check the central air box.

As real estate agents we are dealing with hundreds of thousands of other people’s dollars and we should take that commitment seriously.

One thing I can promise is if you list your Southeast Michigan home with me, your listing will be completely and accurately filled out. You will have the maximum number of photos allowed and a virtual tour (unless your house is a pig sty- no need of scaring off buyers!). You will have a sign in your yard unless otherwise requested and if you don’t have the electricity turned on in the house you can find another agent. I list homes to sell and I sell them at the highest price possible. I will communicate with you throughout- from the time you sign the listing agreement until the sale closes.

I take my job seriously. We like to call ourselves professionals and should behave in a professional manner. Our listings are our face to the public and those listings should represent the home better than those on for sale by owner web sites.

Why You Should Choose Jackie Hawley To Sell You Home

Marketing Your Southeast Michigan Home

Preparing Your Southeast Michigan Home For Sale

Home Evaluation (CMA)

Jackie Hawley, Realtor
ReMax Encore
Cell: (248) 736-6407

Jackie@JackieHawley.com

www.MiRelocation.com

Read Full Post »

It’s no big secret that Michigan residents in general have been going through some rough economic times. I say in general, because not everybody is hurting. But with unemployment/underemployment at 20% or more many Michiganders have felt a financial pinch.

Some of that financial pinch shows in many of the houses that have sold in the past few years. Not as well maintained and some foreclosures are downright destroyed. For those who have taken advantage of our buyers’ market, you will more than likely need/want to make repairs and improvements on those homes. And while making those repairs and improvements you may want to consider the fact that the cost of energy has been on the increase with no end in site at this time.  Personally, my electric use is down, but my electric bill is higher than for the same period last year.

We can only tackle the cost of power itself with constant contact with Congress people (Cap and Trade, etc) and in the voting booth this fall. But we DO have some control on the amount of electricity and gas we use and get some of our tax dollars back in the process via tax credits and rebates.

There are Federal tax credits that don’t expire until 2016 for items such as Geothermal Heat Pumps, Residential Wind Turbines and Solar Energy Systems- 30% of cost with no upper limit.

And there are Federal tax credits that expire December 31, 2010 for 30% of the cost up to $1500 for items such as “biomass stoves” known to the rest of us as wood stoves (or corn, or pellets), central air, heating, water heaters, insulation, windows, doors, and roofing. You should go to the federal government web site for details and exclusions and consult with your accountant before purchasing anything.

Not covered are items like ceiling fans, CFL’s- those swirly light bulbs made in China (the last American light bulb factory just closed down), toilets, electric furnaces/boilers (like we all have natural gas available), clothes washers and dryers….

You state may have it’s own credits or rebates. Some of the rebates for the state of Michigan have run out of money (but there is sill money in the budget to promote breast feeding), but there is still some money left for the purchase of refrigerators, clothes washers and dishwashers. Check this web site for details.

If you are getting ready to sell your curent home, some energy efficient improvements may help when competing against the rest of the houses on the market.

Read Full Post »

Michigan Tax Legislation Now in the House of Representatives- Good News for Home Buyers and Sellers

A brief explanation of how Michigan property taxes work. We have what is called the homestead exemption for a person’s primary residence in The Great Lakes State, which basically means if the house is your primary residence you get a break on the millage rate- up to 18 mills. On a house valued at $200K- or a taxable value of $100K- 18 mills equals $1800. Not chump change.

The way the law currently works is if you buy a house that isn’t a primary residence, such as a bank owned home, you must close and file your homestead exemption with the township prior to May 1. If you file after May 1, you will pay the higher rate for the remainder of the year. So if you close on your house in June, you will have both the summer and winter tax bill at the higher rate.

Today I received an E-News Special Alert in my in box from the Michigan Association of Realtors letting me (and everybody else in their e-blast) know that Senate Bill 77 passed the Michigan Senate today with a vote of 36-0 and now moves to the House of Representatives. The email states that “This legislation would provide for an additional principal residence filing date of October 1st.” It goes on to state an amendment was added to move that date to November 1 for 2010 only. It wasn’t specific as to whether you have to file ON Oct. 1 or BY Oct. 1. As I find out more details, I will update you.

In the meantime you may want to contact your state rep to let them know how you want them to vote. I have also found when I need more details on a piece of legislation, my rep has had no problems in the past emailing me the complete text of a bill. Remember- our representatives work FOR us.

Read Full Post »

The Foreclosure Process in Southeast Michigan

Many of the numbers the media likes to spout about homes going into foreclosure are a bit exaggerated. When you read about the number of homes in foreclosure the stats often quoted are the notices of foreclosure that have been served- not the new bank owned listings. There are also companies like Realty Trac that publish specific houses as foreclosed homes. And technically while that that may be true, those houses are not for sale and may never come up for sale.

Below is my attempt to dispell the myths floating around about foreclosures and explain as simply as possible how the foreclosure process works in Southeast Michigan.

Typically a person needs to be behind on their house payment by 3 months or more before they receive a notice of foreclosure. That notice of foreclosure will have a date for the sheriff’s sale– usually a couple months off. The bank (or first lien holder if there are multiple loans on a house) will buy the house back at the sheriff’s sale for the amount of the mortgage or fair market value or someplace in between.

After the sheriff’s sale the owner has what is called a redemption period to pay off their mortgage(s). Most homes will have a 6 month redemption period. Homes on 3 plus acres will have a year to redeem. During this entire time the owner still has full rights of use and has the ability to sell. But the media will still call these homes bank owned or “in foreclosure” during this period.

Many of these homes will never go back to the bank. Some people will catch up before it ever gets to the sheriff’s sale. Some will sell during that time; some people still do have equity in their homes and others may be willing and able to bring cash to the closing. Others will sell via the short sale route. Many times a lender will delay the sheriff’s sale if the owner is in the process of a short sale. Some will even extend the redemption period if necessary rather than take the house back and sell as an REO (bank owned) property.

I’m finding that the amount of true bank owned sales in North Oakland County are on the decline and a major increase in short sale closings. For very detailed sales statics please click the links below for very dry and for many boring sales data for Lake Orion, Oxford and Clarkston Michigan.

Lake Orion Michigan sales data

Oxford Michigan sales data

Clarkston Michigan sales data

Read Full Post »

Oakland County Michigan Seller- You Accepted the Offer. Now What?

When we go over an offer to purchase from a buyer, I will go over price and terms as well as any contingencies. Typical contingencies are mortgage contingency, inspection contingency, subject to clean title, must appraise for at least sale price. And there are time frames for each contingency.

A normal offer will give 30 or 45 days to get a mortgage and the buyer must apply within 5 days. Usually 7 days for a home inspection and clean title prior to close. So let’s use these time frames to explain what happens next.

The buyer will call his/her loan officer and apply for the mortgage (formal mortgage application) but instruct his/her loan officer to not order the appraisal until after the home inspection. In the meantime I send a copy of the purchase agreement and pre-approval letter to our title company to get rolling on the title work.

Within the first week the buyer will need access to your house for approximately 3-4 hours. They may need to make 2 trips, depending on how many inspections they will have (radon requires the inspector to come back. Septic or mold inspection may require a second inspector). If everything is fine with the inspection, we should hear from an appraiser within a week or so. If there are problems with the inspection, the buyer will probably either back out of the offer or ask you to either make repairs or lower the price.

Assuming we get past the inspection ok, the appraiser will come out to the house. He/she will only be there around 15 minutes to maybe a half hour. Within a week or so the lender will get the appraisal back. An FHA appraisal may require some repairs. It will be addressed in the purchase agreement who is responsible for the repairs. An appraisal for a conventional mortgage is pretty much just justifying the sale price. For this example we are going to assume the appraisal comes back ok. A later post will address low appraisals.

So now your house has cleared the inspection and appraisal contingencies. We are probably at least 2 weeks into the transaction at this point. Your title work should be back and clean since I order pre-title at the time of listing and any problems can be taken care of at that time.

Now we just wait until the lender finishes approving the buyer and we set a closing. The buyer will probably walk through the house prior to closing to make sure it’s in the same condition as when they wrote the offer. If possession is at close, they will also want to make sure you have moved out.

You will need to call the utility companies and let them know when you will be moving out and the name of the future new owners. It would be a courtesy to leave any manuals for appliances, or furnace, etc. for the new owner.

Then we all proceed to the closing and it’s a happy happy day for all!

Read Full Post »

Older Posts »