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How Should I Prepare The Inside For An Open House?
For many homes and markets, professional help from someone in “staging” makes good financial sense. Like this video say, check your staging options first.
If you are doing it yourself, here are 5 key tips.
One – Depersonalize.
You want the buyer to envision this house being their home?
Remove the things that make it YOUR home – photos, awards, collections, and STUFF.
Two – MOVE the stuff.
It’s tempting to shove things in closets and attics but your prospective buyer will see a much smaller house if those spaces are full.
Move it to a storage space or a friend’s garage.
Three – Warm it up.
Baking bread or cookies
adding fresh flowers
and colorful pillows and throws
are touches used by professional stagers to make a place warm without your stuff.
Four – Light it up!
- Light sells homes.
- Clean windows, inside and out.
- Light bulbs all working and curtains open or even gone.
Five – Go Away.
Don’t hover – leave.
Pack for a day trip and have your realtor tell you when to return
Buyers won’t envision themselves buying if you’re around.
Depersonalize and move stuff out;
Warm it up and light it up.
Then leave and let your realtor do their job.
What Is An Appraisal?
Every house is unique; appraisers are trained and licensed for expertise in putting a value on properties.
Appraisers don’t work for the buyer or the seller; their primary mission is actually to protect the lender who’s risking money against the home’s value.
Appraisers have to weigh factors about the property and location – including size, condition and comparable properties – to appraise its current value.
They know how to focus on conditions that affect value; dishes in the sink don’t; damage and neglect do.
Appraisals lower than the proposed purchase price can affect transaction details. The seller might have to lower the price
or the buyer might have to increase down payment or fund additional escrow.
Appraisal seems a lot like inspection, but they’re not the same.
You can think of it this way:
Appraisers report on value to the lender
Inspectors report on condition of the house and major components to the buyer.
So – expect both appraisal & inspection in your transaction.
What Is An Escrow Account? Do I Need One?
As we show you in this video, an escrow account is an account, established by your lender, to set aside a portion of your monthly mortgage payment to cover annual charges for homeowner’s insurance mortgage insurance (if applicable), and property taxes.
Escrow accounts are a good idea because they assure money will always be available for these payments.
If you use an escrow account to pay property tax or homeowner’s insurance make sure you are not penalized for late payments since it is the lender’s responsibility to make those payments.
What Is Included In A Monthly Mortgage Payment?
The monthly mortgage payment mainly pays off principal and interest. But most lenders also include local real estate taxes homeowner’s insurance, and mortgage insurance, if applicable.
If you are refinancing compare what is and isn’t included in your financing options. Watch this video and it’ll make sense.
How Are Pre-Qualifying And Pre-Approval Different?
Watch this video and it’ll make sense.
Pre-qualification is an informal way to see how much you maybe able to borrow. You can be ‘pre-qualified’ over the phone with no paperwork by telling a lender your income, your long-term debts and how large a down payment you can afford. Without any obligation, this helps you arrive at a ballpark figure of the amount you may have available to spend on a house.
Pre-approval is a lender’s actual commitment to lend to you. It involves assembling financial records and going through a preliminary approval process. Pre-approval gives you a definite idea of what you can afford and shows sellers that you are serious about buying.
What Does A Home Inspector Do, And How Does An Inspection Figure In The Purchase Of A Home?
As we show you in this video, an inspector checks the safety of your potential new home.
Home Inspectors focus especially on the structure, construction and mechanical systems of the house and will make you aware of only repairs that are needed.
The Inspector does not evaluate whether or not you’re getting good value for your money.
Generally, an inspector checks (and gives estimates for repairs on):
- the electrical system
- plumbing and waste disposal
- the water heater
- insulation and ventilation
- the heating and AC system
- water source and quality
- the potential presence of pests
- the foundation, doors, windows, ceilings, walls, floors, and roof.
Be sure to hire a home inspector that is qualified and experienced. It’s a good idea to have an inspection before you sign a written offer since once the deal is closed you’ve bought the house as-is.