What Goes With You When You Sell Your Home?

When you are getting ready to sell one of the things you will need to consider is what stays in the home and what goes. There are certain things that are generally considered to be part of the home and others which are often negotiable. Before you put the home up for sale you will want to figure out what things you absolutely want to take with you and what might be up for discussion. If you know where you will be moving to next then you are already one step ahead of the game because you know what is in your new place. If not, or if you are moving far away, it can be trickier to decide what is worth moving or putting in storage and what is worth offering to the buyers of your home.

Generally things that are not attached go with the seller. If there are things you are absolutely certain you want to take with you that are attached, make sure you tell your Realtor and so that they are included in the listing and you don’t end up breaking any potential buyer’s heart.

Some people, especially if they are downsizing or moving far away, may choose to include the furniture as part of the package. This can be tricky because furniture will not factor into an appraisal value so if it adds significant numbers to the sale price then the sale may need to be done separately. These items can also be included as a value add for the potential buyer.

There are several areas which generally feature in this type of discussion:

Lighting: Lighting fixtures are often something that people are attached to because they often reflect personal style. In general things that are attached to the home such as lighting fixtures are generally considered to be part of the home. For example, when I bought my condo, the owners wanted to take their crystal chandelier in the dining room with them. For me this wasn’t an issue, the chandelier wasn’t my style and I was happy with having the chance to replace it with something else. However if I hadn’t known this in advance and I had my heart set on the way the dining room looked with the chandelier it  could have been an issue. Fixtures are to remain in the home unless the seller explicitly stated the item is not to be included in the sale. The seller also needs ensure that the item be removed without damage to the home. Lamps are moveable items and are considered personal items that can be claimed by the seller when they vacate the home.

Appliances:  Appliances are often an area where the buyer and seller can negotiate.  In some cases, the buyer may actually prefer that the seller remove appliances because they have their own. Other times, the seller may be ready to take the appliances but could use them as an incentive to get the buyer to pay the list price because the buyer won’t have to pay for new appliances. If you are absolutely certain that you want to take the appliances with you make sure your agent notes that. If you are willing to negotiate let your agent know that too. Most appliances are moveable items that the seller would normally be allowed to remove from the home. Moveable items are considered personal items or possessions of the seller.

Landscaping: Plants, shrubs and trees are items that are affixed to the property and will remain with the home however if you have container gardens or perhaps flower-filled urns on the front porch those can be negotiable. Backyard equipment, such as lawn chairs, tables, swings and grills, are all considered personal items. The swing set may get a bit tricky because it can be claimed that it is attached to the ground in some cases. The seller may often be very willing to sell all of the backyard items for a price.

Window Treatments: Window treatments are another area that can be negotiated. Often window treatments were bought to fit the specific size and shape of the windows and so the seller may not be interested in taking them to a new home. If you are planning to leave the window treatments behind be sure to let your agent know so that it can be added to the listing. This is often a great selling point to use because it means the person can move in and not have to worry about privacy.

Susan Wellish contributed to the post.

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List Price And Inventory Increases Point To Continuing Housing Recovery

List Price And Inventory Increases Point To Housing Recovery

The home buying season shifted into high gear last month as inventory and home list prices on realtor.com® increased by 4.12 percent and 2.63 percent, month over month, respectively. As of April, homes are on the market nationwide approximately 81 days—a decrease of nearly 11 percent since April 2012—highlighting that while new homes are entering the market they are not available for long.

Despite the increase in inventory month over month, nationwide inventory declined year over year in all but 11 of the 146 markets realtor.com® monitors. Approximately 36 markets registered a decrease of listings by 20 percent or more, still highlighting near records lows of available homes.

Approximately 37 markets experienced a decline in list price since last year, a figure that has been improving throughout the home buying season. The number of markets throughout the nation experiencing a steady or slight decline in median list prices is decreasing throughout the home buying season, another positive signal for the overall housing market recovery. In April, median list prices increased in 109 markets.

National Data

  • In April, the total number of single-family homes, condos, townhomes and co-ops for sale in the U.S. (1,750,839) increased by 4.12 percent month-over-month. On an annual basis, however, inventory decreased by 13.54 percent.
  • The national median list price for single-family homes, condos, townhomes and co-ops ($194,900) increased by 2.63 percent vs. March, and 3.12 percent since April last year.
  • The median age of inventory of for sale listings (81) fell by nearly 11 percent in comparison to April last year.

Local Data

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Realtor.com® Launches Rentals App For iOS And Android

We know apartment hunting can be just as difficult as finding a home to buy, that’s why we are excited to announce the launch of the realtor.com® rentals app  for iOS and Android smartphones. With the app, finding your next rental apartment, condo or home can be done from the palm of your hand, with access to hundreds of thousands of accurate and up-to-date rental listings.

We’ve made finding your next rental simple. The realtor.com® rentals app delivers a rich, photo based search experience, which allows you to easily swipe through big, beautiful images of properties that interest you.. Zeroing in on your next rental has also been simplified. You can easily sort properties in the way that makes the most sense for you, quickly access rental listings you’ve already contacted or saved,  and receive notifications as soon as a new listing matching your search becomes available. But above all else, we want you to find the rental that best fits you and your individual needs. That’s why our rental app’s advanced search tools allow you to sort and filter results for things like parking, in-unit laundry, pet-friendly listings and more.

Over the last few years, realtor.com® has seen a surge in rental searches. With more and more people looking for rentals, we felt it was important to provide the same level of convenience afforded to homebuyers searching realtor.com to those looking to rent.

There’s even more to love with our app:

  • 93% of our rental listings are updated daily and directly from the source (with many updated every 15 minutes!)
  • Quickly swipe to see rich and detailed photos of properties that interest you
  • Draw your own custom search area right on the map!
  • Keep details at your fingertips by adding notes directly to rental listings
  • Call or email the property manager right from the app
  • Quickly access rental listings you’ve already contacted or saved or those recently updated
  • Use Area Scout to see properties on the map while you’re on the go
  • Sort properties in a way that makes the most sense for you: nearby, most recent, etc.
  • See the details of each property including price, beds, baths, amenities and more!
Watch our video for more highlights:

For more information or to download the realtor.com® rentals app for iOS and Android, please visit http://www.realtor.com/rental-app.

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Should We Attempt A Lease Option After Bankruptcy?

Should We Attempt A Lease Option After Bankruptcy?What are the advantages to paying cash for a home? Today’s question comes from Buford, GA:

Q: Is it a good idea to find a lease-option-to-buy home when we have had a bankruptcy 2 ½ years ago?

We were discharged from the mortgage loan but we have been still living in the home making all the payments on schedule. Our credit scores are 695 and 675.

A: Depending on the type of bankruptcy you filed, you may be ready to buy.

For so many reasons, lease with option to buy is not a good idea, it favors the owner more than the tenant/buyer. A mortgage lender can check for you to see how much mortgage you can qualify for and if not what you should do to get qualified. Below is some basic information for you on the types of bankruptcies and the waiting periods. There could a slight difference in the terms depending on the lender.

Chapter 7 Bankruptcy–The borrower must wait at least 2 years after the discharge date to apply for another mortgage. The borrower must have reestablished credit on a credit report for 12 months or more.

Chapter 13 Bankruptcy–The borrower must be in bankruptcy for at least 12 months before applying for another mortgage. Bankruptcy payments must be on time and the trustee must grant permission to borrower to get a home.

Foreclosures–The borrower must wait for 3 years from foreclosure date before applying for another mortgage.

Soji Adewusi, REALTOR®, Keller Williams Realty, Atlanta Partners

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Understanding The Comparative Market Analysis

Deciding to move isn’t a step anyone takes lightly. Your house is more than just an investment, it is your home. As you begin the process of distancing yourself from the place where you made so many lasting memories you will begin to think about what your home will be worth to someone else.

When you are ready to meet with a Realtor you may already have an idea of what your home is worth. You may have seen what other homes in your neighborhood have sold for or kept an eye on local listings. Your agent will prepare for you a comparative market analysis (CMA) that is an in-depth version of any research you may have done on your own.

The CMA is used to help evaluate how your home will fare against the competition. It takes a look at both homes that are currently listed and those recently sold. The purpose is to find the highest price that will still make the home competitive on the open market.

A Portrait Of Your Home And Its Surroundings

The CMA includes a fact-based portrait of the home including information such as number of bedrooms and baths, approximate square footage, size of major rooms, age of the home, property taxes, and desirable amenities such as fireplaces and pools.

Depending on the market the CMA will go back in time as long ago as a year or a month or week ago.  The range can also vary. Some will just cover a few streets around your home, CMAs can cover areas as narrow as one or two streets surrounding your home, or as broad as an entire subdivision.

Beauty Is In The Eye Of The Beholder (Or Potential Buyer)

Selling a home isn’t just about the facts. There are many pieces to the puzzle and it’s often the indefinables that impact a potential buyer’s perception of the home. A home purchase remains fundamentally personal. Speaking at the Luxury Roundtable: State of Luxury 2013 conference, Camilla Papale, the chief marketing officer of Douglas Elliman Real Estate, defined real estate, especially at the high end, as being primarily emotional.  She said that 90 percent of Douglas Elliman’s transactions are influenced by the buyer’s emotions versus rationalization. Perception can alter reality and so this is an important consideration when looking at a CMA. People make decisions based on curb appeal, light, design choices and many other factors.

At the end of each home’s information on the CMA report there will be a brief statement provided by the listing agent that will address some of these subjective  factors such as recent remodels, historic features, or things that might be of interest to the buyers. The agent will be marketing the home and is already thinking about how it will be presented as a product to tempt the public.

The Changing Face of the CMA

The CMA today is different than it was before the internet era partly because the potential seller does so much of their homework ahead of time.  Jeff Rightmyer, a sales agent with Building Bridges Partners Keller Williams explains how technology has changed the CMA: “If anything, it has increased the amount of avenues now available to display more accurate and precise information ranging from short sales, standards, all the way up to luxury. It also has allowed little room for error as clients can accurately research the information for themselves.”

There are still resources that agents have access to that most sellers do not. Also agents have the experience of listing, marketing, and selling many homes on their side. A local expert will know what buyers in the area look for and be able to easily assess how your home measures up. Together you and your agent can find a price that brings you what you need and will be attractive enough to attract your home’s new owner.

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Your Search For The Perfect Rental Is About To Get Easier

We’ve noticed. You’ve been looking for more and more rentals on realtor.com®. You are on the site, looking at our rental property pages more frequently because we have the most accurate listings of what is on the market now.

Wouldn’t it be great if all that accuracy was available on the go with the same reliable service you love in the realtor.com® mobile app? We thought so too. So we are doing it. But beautiful things take time to build and it’s not quite ready to be released into the wide world yet. Check out our sneak peek video below and sign up to be the first to get it when it launches.

Click here to view the embedded video.

 

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Pet Noise Etiquette and Hot Dog Neighbors | #AskOtis

Hurro folks, Otis the spokesdog is back on the leash at realtor.com headquarters. I’ve been itching at the ears to offer my signature brand of pet-friendly rental advice and answer your questions. This week, we’re tackling a real wet dog of an issue: pet noise.

A pal of mine in New Jersey tweets on behalf of her master:

Dear Otis, the dude downstairs is #ruff (pun intended) on my owners, he says I’m too loud. What’s up with that? #dogproblems

Now, most of my neighbors know that Otis is a lover and not a fighter. Truth be told, both my bark and my bite are pretty tame (though I’ve been known to chase a mailman or two *winks*). But barking and pet noise can be a real issue for renters. Here are a few of my best tips to muzzle the noise and keep the peace:

1) Be Cool
My owner has this saying about how “cooler heads prevail.” I’m not sure what he’s talking about. I usually crawl under the porch when I need to chill out. Anyway, I’m guessing what it means is to be calm and collective when discussing the issue. Your neighbor isn’t helping things by being “ruff” on your owner, but then again, I’ve heard it’s not fun being woken up in the middle of the night by barking. Be calm and work towards a common solution, otherwise it will get ugly. Besides, good neighbors occasionally give you treats!

2) Adjusting to Change
Friend, how long ago was it that you and your owners moved into your pet-friendly rental? If it was recently, maybe you are having noise issues because you are still adjusting to your new surroundings. If this is your case, your owner might be willing to rearrange your doggy furniture or put your favorite blanket down for you so you feel right at home.

3) Exercise
I’ve found that when I do occasionally bark, it’s because my owner left me at home and I am bored out of my mind. Let’s face it, bored dogs get into trouble. I once pulled all the lily pads out of our fountain and brought them inside because there was no one home to stop me. Ha! Anyway, maybe you just need a little more exercise to calm you down. A tired dog is a calm dog, and a little more distance on that walk or an extra run might put an end to your noisy days.

4) Training
Not all pups come from a long line of handsome show-dogs like myself. Sometimes a little obedience training can go a long ways for dogs who lack – oh, how do I put this? – refinement. If you can’t afford professional obedience training, there’s this thing my owner spends all day on watching cat videos called YouTube. [Otis note: Seriously, guy? CAT VIDEOS?!] Your owner might be able to use that to find some obedience tips.

Remember folks, it takes work to make your home pet-friendly. Be respectful of your neighbors so we can all get along – dogs and humans, together in blissful existence without cats.

If you have a pet-friendly rental question to ask, woof at @realtordotcom or use the #AskOtis hashtag! 

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Are Closing Costs Covered By HomePath Loans?

Is buying a home with a Fannie Mae HomePath loan a way to reduce closing costs? Today’s question comes from Tampa, FL

Q: What closing costs are covered by Fannie Mae HomePath loans?

I heard buying a home through HomePath can greatly reduce closing costs as well as the down payment.

A: Typically Fannie Mae will pay for up to 3% of the buyer’s closing costs if it is included with the original offer.

Fannie Mae will not pay for certain costs that a Seller will normally pay in Tampa Bay (i.e. Document Stamps on the Deed .007 x sale price) so just be prepared to pay some extra fees. The beauty with buying a Fannie Mae is the ability to get a HomePath mortgage. There is also the HomePath Renovation mortgage that will allow you to update the home soon after closing but put the costs into the mortgage. Also with a HomePath you will not have to pay for an appraisal and not have to pay for PMI — even with only 3% down. From my understanding you will get a much lower rate if you have 5% down.

Alma Rose Kee, Future Home Realty

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Thinking of Flipping? What You Need To Know Right Now

At the height of the housing boom, house flipping was the order of the day. Television shows like “Flip This House” added to the frenzy, and the idea of being able to buy a house and sell it in a few months for a substantial profit became part of the American dream. Then came 2008 and with the housing crisis, the flip was no longer a reality and many would-be flippers found themselves unable to sell as quickly as they liked.

The new flipper

But with low inventory in many markets, rising prices, and talk of a seller’s market, the flipper may be re-emerging as part of the overall housing picture. Many homes especially those at a lower price point are seeing multiple offers and the offer that takes the day is frequently a cash one, more proof that the investors are out there and active.

Today’s flippers are still smaller in number than the ones from the earlier era and they may be more savvy too. They’ve learned from the mistakes made during the last boom cycle. They are pickier about the houses they choose to invest in. They don’t overspend on lavish renovations thinking they can make it up on the sale of the home.  Also, because loans are much harder to get these days there are far fewer buyers chasing the no-money-down dream. Today’s investors move quickly and have cash on their side.

Short sales and foreclosures still appeal to investors

Short sales still remain attractive to flippers simply because they may be priced under market value but there are some things to be aware of there too. Sophia Delacotte, a Realtor in Silicon Valley recently wrote about flipping short sales on her blog. One thing that’s important to keep in mind is that since January 18, 2013, guidelines for all Fannie Mae and Freddie Mac short sales with or without an offer state that the buyer is prohibited from selling the property for any sales price for a period of 30 days from the date of the deed and after a 30 day period, and until 90 days from the date of the deed, the buyer is further prohibited from selling the property for a sales price greater than 120% of the short sale price. The Federal Housing Authority (FHA) has extended their moratorium regarding their “90-Day Anti Flipping” rule for all FHA insured loans through December 2014 meaning that eligible buyers may use FHA-insured financing to purchase properties they intend to flip.

The 70% rule

Michael LaCava writing over at BiggerPockets, a popular real estate investing community, advises using the 70% rule to calculate potential purchases. In this formula you start with the price you believe a house will fetch after renovation. You multiply this number by 70% (.70) and then deduct your estimated repair costs from that number. The resulting sum is the guideline for what you should pay for the house you intend to flip. For guidance on potential renovation projects, Remodeling magazine’s Cost versus Value report is always an excellent place to start.

The important thing to remember when considering flipping a home is the same adage to keep in mind about any home–you make your money when you buy not when you sell–so don’t let a multiple offer situation tempt you into paying more than you intended.

 

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Win A Free Move From realtor.com For National Moving Month

May is National Moving Month, and for thousands of people across the country that means packing up their belongings and moving. Whether it’s from one apartment to another, young adults heading off to university or families transitioning into a new neighborhood, moving can be a complex and time-consuming process. Fortunately for those with a move on the horizon, there are simple ways to plan ahead and alleviate some of the stress associated with the process of relocating.

Moving, like most things in life, takes planning. Think of your next move as a four-week process. You will need ample time to get organized, survey moving or truck companies and prep before moving day arrives. To help get you started, we’ve put together a series of free tips and a downloadable guide aimed at making your next move as smooth as possible.

  • Tips for researching moves and collecting quotes
  • Best practices for taking inventory and determining the value of your belongings
  • Advice on long distance moves with children and pets
  • Ideas to ensure a smooth transition into your new neighborhood

In addition to the free tips and guide, realtor.com is also happy to announce our Moving Tips Sweepstakes. For National Moving Month, we have partnered with Allied Van Lines to offer you a chance to win a FREE move.* Simply visit our Moving Tips page to enter now!

*Limited to $8,000 in value. NO PURCHASE NECESSARY. VOID WHERE PROHIBITED. Promotion ends June 2, 2013. See Official Rules for details.

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