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Home Seller Tool For 2019

Home Seller Tool For 2019

Home Seller Tool For 2019 We have experienced seven years of multiple offers and short supplies of housing inventory in Orange County. This year, 2019, will be a little different with much more inventory. We need to pull out the old bag of tricks again. Here is a description of a “Seller Buy Down” and how it helps both the buyer lower payments and the seller get more net from the sale. Loan Officer Kevin Budde explains below. A buyer wants to keep his monthly principal & interest payment under $4,500. He makes an offer $75,000 lower than the asking price of $1,250,000 because the 80% loan on a sales price of $1,175,000 is $940,000. At 4.00%, the principal & interest payment is $4,487. $1,250,000 – $75,000 = $1,175,000 x 80% = $940,000 @ 4.00% = $4,487 P&I  The seller counters at full price but offers to pay 2 points on the buyer’s new loan to buy the interest rate down one-half percent. The principal & interest payment is now under $4,500 the buyer wants on the 80% loan of $1,000,000. $1,250,000 x 80% = $1,000,000 @ 3.5% = $4,490 P&I  The seller is able to get the price he needs, the buyer is able to get the payment he needs and the seller nets $55,000 more. $75,000 price reduction versus a $20,000 point buy down cost saves $55,000  Using seller credits towards interest rate buy downs for buyers creates win-win transactions for both parties. If I can assist you with specific calculations on your next offer please let me know, I’m happy to help you. Kevin Budde  949-422-2075  ...

Value Proposition Ron Buck Group

Open Letter to Buyers and Sellers My Value Proposition in my Real Estate Business, Ron Buck Real Estate Group I am committed to providing you solid guidance and advice, with total honesty and professionalism. We are entering a Fiduciary Relationship, do you know what this means? That means that I will put your needs above all others, including my own. This is possibly the largest purchase you will ever make and your best interests are of utmost importance! Don’t you agree? Excellent… because that’s what you deserve. When I help you find the right property we will write a solid Contract with every possible protection for you. I will not only negotiate for you the best possible price; I will also protect you with all terms including financing, property inspections, funding, closing and occupancy. This is my full time career and I have a strong team of experts behind me. By the way, isn’t this what you want? Are you aware that there may be up to twenty different parties, people and entities involved in the purchase or selling process as we close your deal? I will be your advocate and coordinate with all of them. You will be in good hands with Ron Buck and his team at Keller Williams Realty. Buyer / Seller / Seller’s agent / Listing agent / Transition Coordinator buyer side and seller side / Mortgage Broker / Mortgage Processor / Mortgage Underwriter / Home Inspector / Pest Control Inspector / Various trade inspectors (plumber, roof, electrical) / Appraiser / Handyman or Retrofit Company / Home Warranty Company / Escrow Officer / Title Officer....

Laguna Niguel Housing Market Report

Laguna Niguel Housing Market Report. Things have heated up dramatically in the Laguna Niguel housing market and surrounding areas. Home buyers are anxious to secure a property while the interest rates are still good. In many price ranges the inventory is not keeping up with demand. We are starting to see multiple offers again (shades of spring 2013). Not all price ranges are hot but many are. Laguna Niguel Housing Market shows lower than expected inventory. The chart above shows Orange County Housing inventory for four years. The dark blue line shows inventory for 2014. The red line shows inventory for the first three months of 2015. You will notice inventory started the year a little ahead of 2014 but has dropped under the blue line at this time. I experienced a home in Laguna Niguel priced at 799K that received 8 offers on the first weekend. On the other hand high end properties are sitting longer. One significant difference from 2013 is that the prices are higher. Since the spring of 2013 the prices are up about 20% or more but interest rates have dropped. Today buyers paying top dollar want upgraded or move in ready properties. Also due to the higher prices there are fewer investors. Most buyers want to find personal residences. Home sellers will find that buyers are picky and will not pay even market value if there is a lot of deferred maintenance. For more information or a FREE Market Evaluation of your home, call Ron Buck with Keller Williams Realty at 949-456-0505. BRE01364665. L...

Ron Buck, Realtor Has Home Seller’s Secret Weapon

Ron Buck, Realtor Has Home Seller’s Secret Weapon I have always said that sellers should NOT spend a DOLLAR unless it will make them TWO DOLLARS. This is a good rule of thumb. In other words be vary careful WHERE you spend your money as you prepare to place your home on the market. Search Laguna Niguel and Dana Point HOMES. FIX THE OBVIOUS – You know those items that you have been procrastinating about. The leaky faucet, old water heater, cracked window, missing screens, sticky door or lock, overgrown landscaping, etc. etc. etc. Yes we all have some of those items and it will cost you in terms of a lower selling price or a longer time on market and believe me the inspector will find them. REPLACE CERTAIN LARGE ITEMS –  This is where it gets tricky. My expertise will help you make those decisions. Many of my clients have thanked me for coming by ahead of time, before the actual market date, to help them with those decisions. Now that the prices are UP the buyers are VERY PICKY. You can always discount your price dramatically or offer concessions but that will cost you MORE in the long run than properly preparing your home for sale. Example:  A neighbor in Laguna Niguel, called me over to get advice on preparation and pricing. They did not take my advice or list with me. After eight months on the market and about six price drops the neighbor did sell at a price much less than I could have gotten for them. They neighbor said, “Ron, you were right about...

The Real Estate CMA Acronim

The Real Estate CMA Acronym. All industries have their own slang or acronyms. The “CMA” acronym is used by Realtors all the time and not always recognized by the public. It stands for “Comparative Market Analysis”. It is almost the same as an appraisal. Appraisers are looking at past history for the last three to six months of home sales. The Realtor CMA is looking  at past sales, current pending sales, expired listings (which did not sell) and similar active listings which we call “the competition”. In addition a seasoned Realtor is making an educated guess at where the market is going in the next 30 to 60 days. That is the hard part. The RPA is an acronym we use in California. RPA stands for the “Residential Purchase Agreement” or real estate contract form. By the way ALL forms used by Realtors are standardized and written by the lawyers at the CA Bureau of Real Estate. The full name of the contract is actually the Residential Purchase Contract AND Escrow Instructions. When you are sent “escrow instructions” you will notice that the title is “addendum to escrow instruction” because the contract included basic escrow instructions. What is the difference between “IN CONTRACT” and ” IN ESCROW”.  When an offer is accepted by a seller, whether it is the first offer or one of many counters, the last signature shows that there is an agreement. Then the agent who accepts the last offer must return it to the other party which constitutes an acknowledgement. The next CALENDAR DAY is the first day of the contract. The current real estate contract...

Home Sellers In OC Must Sell Three Times for a Closing

Home Sellers in the OC Must Sell Three Times for a Closing This principle applies in any area and any market.  What in the world am I talking about? First a Home Seller must sell to the RE AGENTS. Why? Because agents know the home values in their area of expertise and you must win them over to get the agents to bring their valuable clients. The home owner attracts agents through the proper marketing on the MLS system plus broker open houses, electronic advertising and word of mouth. As a home owner you want to get the real estate agents excited. Secondly a Home Seller must sell to the Home Buyers. Why? Because buyers are highly educated by the internet and first hand experience. Home buyers are searching on line when they are supposed to be working or sleeping. Home buyers are hitting all the open houses and in some cases are better educated that the agent holding the open house. In short buyers are obsessed with finding a home. Sometimes they are even obsessed with the process. Oh, yes, they are the ones with the money. Thirdly a  Home Seller must sell to the Appraiser.  Why? Because appraisers have access to all the known sales in the area. Yes, every home is unique. Even the exact model match will have different lots, different elevations and different finishes. Hopefully the appraiser will see the value as well. In the cities of Laguna Niguel, Dana Point, Also Viejo and Mission Viejo in South Orange County CA cash buyers make up anywhere from 20% to 35% of the buyer market...