If you plan on selling a home, then one of the first things you should do before listing your property is to determine what buyers actually want. Knowing what buyers want will allow you to invest in improvements that can help boost your home’s value and sell it more quickly. It can also help you market your property more effectively by highlighting features of your home that are in demand. The following are a few things that homebuyers have been looking for, particularly during the pandemic:
- Home office – A significant number of people began working from home during the pandemic, and many of those people will continue to work from home. As such, a home office has become an absolute must for many homebuyers. If you have a spare bedroom, consider setting it up as a home office.
- Segmented space – Open floor plans were all the rage not too long ago – but that was before families were stuck at home together. Segmenting your space (such as through the use of pocket doors and other dividers) helps to preserve the quiet and privacy that your family desires when everyone is home.
- Upgraded outdoor space – There’s no doubt that everyone has a newfound appreciation for the outdoors after having been stuck inside for months. As such, many homebuyers want to make sure that they have an outdoor space they can enjoy should they ever be forced into lockdown again. Upgrade your outdoor space by investing in various outdoor living areas (such as installing a fire pit) to attract even more potential buyers.
These are just a few things that homebuyers are looking for these days. For more advice on what homebuyers are looking for and on selling a home in general, be sure to contact us at Randy Lindsay today.
There are a lot of different costs to evaluate when buying a home. For example, many properties are governed by an HOA (homeowner’s association).
If the house you’re buying belongs to an HOA, then you’ll pay monthly or annual fees. Those fees will vary based on your location and the services you receive from the HOA. HOA fees can be $200-$300 a month. But if you’re buying a condo in New York City, the fees can cost as much as $3,000 a month.
Here are 4 reasons why HOA fees are worth it:
- Access to community amenities – Some home communities have community buildings, play areas, swimming pools, and gyms. HOA fees can cover the costs of maintaining these areas so you can use them safely.
- Community engagement – HOAs often organize community gatherings to create a stronger sense of unity.
- Maintain property values – HOAs govern membership by implementing rules and guidelines regarding property development, renovations, remodeling, and landscaping. This ensures the community has a somewhat uniform look and that the actions of one homeowner won’t bring down the values of surrounding properties.
- The HOA pays some or all of your community expenses – Different HOAs cover different expenses. It’s not uncommon for an HOA to cover the costs of trash collecting, gatekeeping for gated communities, and landscaping.
HOA fees go toward maintenance, upkeep, and more. This makes them well worth the expense. However, it’s important that you pay attention to HOA fees when buying a house. Make sure the fees are worth it for you.
For more advice on buying a home, contact us at Randy Lindsay today.
If you own a home and you plan on moving (or you’ve invested in a property that’s not your primary home), then you’ll want to figure out what to do with it. Selling a home might be the first thing that comes to mind, but there’s another option: rent the property.
The following are 3 considerations when deciding whether to rent or sell a home:
- Local real estate market – A “seller’s market” is the best time to sell. It means there are a lot of buyers and a low supply, so you’re more likely to sell your house at the listed price. Check local listings for properties similar to yours. See what they’re selling for and how long they’ve been on the market. If they’re selling for lower than what you expected and are taking a long time to sell, then selling a home might not be worth it.
- Profit Potential – If you can make a significant amount of profit on selling a house due to increased demand, you might want to go that route. This is especially true if the potential rental income barely covers expenses, including the costs of your mortgage and maintenance.
- Rental property upkeep – Having a rental property income can be nice, especially if you’ve paid your mortgage. Keep in mind: As a landlord, you will be responsible for maintaining the house. Unless you hire a property manager (which can be costly), being a landlord may take up a lot of your free time.
These are just a few things to keep in mind when deciding between selling a home or renting it out. For more advice on buying or selling a home, contact us at Randy Lindsay today.
A seller’s market is when the inventory of homes in an area is low but demand from buyers is high. A seller’s market puts home sellers at an advantage. They have more leverage when it comes to negotiations because there are more buyers competing against one another.
Buying a home in a seller’s market can be challenging, especially if you’re on a strict budget. Here are tips to successfully buying a home in a seller’s market:
- Add an escalation clause – Even if you make a strong initial bid, consider adding an escalation clause for 2-3% if it’s within your budget. Doing so will allow you to automatically bump your offer up if the seller has another bid higher than yours.
- Appeal directly to the seller – Send the seller a letter explaining who you are and why you want to buy the house. If the seller has an emotional connection with you, your bid may become a priority even if it’s not the highest.
- Provide flexible terms – If you can’t compete with your offer, consider non-price factors. For example, offer a flexible closing date that appeals to the seller’s needs. You can also waive certain contingencies.
- Submit a strong offer – You may be tempted to start low, but this strategy seldom works in a seller’s market. A low bid may be ignored. Odds are the seller will have another bid lined up anyway, which means you’ll lose out to a competing buyer almost immediately. You’ll rarely have the chance to counter since many sellers will have more than one offer to choose from in a seller’s market.
Keep these tips in mind if you’re buying a home in a seller’s market. For more professional real estate advice, be sure to speak with a local real estate agent at Randy Lindsay today.
As a home seller, you are legally obligated to reveal all information you have about the house you’re selling, including knowledge of any existing issues. Generally, it’s best if you make the necessary repairs prior to putting your house on the market. Few buyers want to deal with repair work unless they’re investing in a fixer-upper.
As soon as you accept an offer, a home inspection will need to take place. Who pays for that home inspection can vary.
Why Is Home Inspection Necessary?
A buyer won’t want to be surprised by expensive problems after buying your house. Even if you’ve had a previous inspection and have invested in repairs and renovations, the buyer(s) will want another inspection of their own. Perhaps there have been issues that were overlooked or new issues have developed.
Do You Need to Pay for It?
Usually, the buyer will pay for the inspection. However, it’s not uncommon for sellers to pay for the inspection if negotiated. If you’re facing a buyer’s market, buyers may have more negotiating power. They may request you pay for the home inspection.
If your house has been on the market for some time and you haven’t had many interested parties, the cost of the inspection might be a valuable incentive. Generally speaking, a professional home inspection costs between $279-$399. The cost varies based not on the size of your property but also depends on where the property is located. The national average, according to Home Advisor, is $388.
Who pays for the home inspection is often part of the negotiation process. For more advice about buying or selling a home, be sure to contact us at Randy Lindsay today.