Your real estate transaction in CT and... the bank appraisal

When a buyer applies for a mortgage, the lender requires a bank appraisal.  This is an independent third party licensed appraiser who values your home as a "disinterested party", so to speak. Really , what the bank is doing is protecting their own investment for when they grant   the loan.

The underwriters want to make sure they are giving a loan based upon current market value, and not lending too much money on a property that is not worth it.  The bank appraisal is ona standard form, costs anywhere from$300- $500 and  is paid for by the buyer,  for the benefit  of the bank to ensure that the  property value is in line with what the purchase price for the property and the loan to value ratio.
So  even if a buyer was going ready and willing to overpay for a property, and wanted to obtain a loan from the bank to do so, the appraisal and the loan to value ratio would be deciding  factors in whether the buyer would obtain the loan. So the appraisal is a good thing. It's an unbiased check and opinion of value.

TIP: Buyers, remember,you must ASK the bank for a copy of the appraisal that YOU paid for, or you will most likely never see it. Expect a nominal charge of $5 to $10 for your copy.

Choosing the Best Real Estate Agency to represent you in CT

When it comes time to hire a real estate agent to sell your home, there are a multitude of agencies to choose from, so how do you choose? Company A tells you that they are #1 in sales,  company B tells you that THEY are #1 in sales, and company C tells you that THEY are #1 in sales. How are you supposed to figure that one out? 

Well we figured it out a few years ago when a bunch of other Office owners/ Brokers and I were sitting down for coffee, and that exact subject came up. The owner of one company said, "I (my company) must be number two, 'cos everybody else is number one." Everyone sitting at the table laughed pretty hard over that one, but guess what? He was right.  Forget about those number one claims that brokers make. Everyone can be number one in a specially defined niche, and maybe just maybe, you don't WANT that numebr one company. There are reasons for it.Honestly and truly,  do you want to know who number one REALLY is? It's YOU, the client.

So what are the main type of agencies to choose form, and which one is best for you?

National Franchise - While a large well known franchise has great name recognition, buyers really don't care which sign is out in front of your house. If they want to buy it, they will. the internet has taken that argument out of the large franchise arsenal. A concern with a large franchise is the very real possibility of dual agency.

Franchise Boutique- I think this type of company is best for sellers, and this is the type of company that I am affiliated with. A nationally franchise company that is locally owned and operated offers the best of all worlds. Local expertise, national exposure, and less possibility of dual agency.

Local Company- There are a few types of local companies- either the low key or the little powerhouse. Not a bad choice if the property has only a limited VERY local market.

Discount Agency- I'm not a fan, period.  You, as a seller, do the vast majority of the work that can get quite complicated for someone who does not deal with real estate on a daily basis. It makes no sense at all. I hate to say it, but do you know what some agents think when they see a listing with a discount brokerage? They figure that they are getting paid less for the same amount of work, and they figure you won't negotiate at all, whether it's true or not.


So what's best for you? If one doesn't stand out clearly over another, conduct a few interviews.  Or, you can just call me and we'll get started!



Is there any preparation to complete prior to a building inspection?

After the negotiations are completed on the purchase of your home, the buyers will conduct a thorough building inspection of the premises at their expense. A number of homeowners tend to get a bit nervous about this, and think that they should "prep" their home for the inspector. There's no need to get nervous, and no need to prep your home for an inspection.
A couple of things that you should do are-

*Make sure that the inspector can get to your electrical panel, your boiler (or furnace) and hot water heater, and that access to these crucial components to your home is not blocked.
*Close all the windows 48 hours to the inspection if the buyers are planning on doing a radon test.
*If you have any manuals on any appliances, heating and cooling system, or home accessories that are to be included in the sale, leave those out.
*If you have had a contractor perform any work, now is a good time to put those permits and receipts in a file, (not necessarily in open view) for future reference, and to have it ready for the closing.
*Last but not least, you are not expected to be there, and it's probably a good idea to scoot if you were going to be home. Inspections last anywhere from about 2-4 hours depending on the size of the home.

When I represent buyers in a purchase, I attend the building inspection and stay for the duration. Not all agents do, so make sure you tell your agent to let the buyers agent know they are expected to remain for the entire inspection, and lock up the house afterwards.
When I represent sellers, I make  the buyers agent aware that they are expected to do just that, and that I may stop by just to say hello. Do not insist that your listing agent be present during the inspection. It only seems like eavesdropping on your part,  and does not afford the buyers agent and buyer the privacy to discuss whatever might come up.  I will, however, drop by about an hour or so after the inspection has  started to offer a friendly hello to the buyer and agent , and get an idea of how things are going. Most often, if there are big issues, you will know right away.

Just relax and let your agent handle the rest.... Your agent? That's me!
  

What exactly is Feng Shui, and how do you use it?

Feng Shui (pronounced Fung Shway)  is the Chinese art of placement. The term literally means wind and water.  The subject of feng shui came to mind because I was just reading an article on Oscar Nominee homes on aol.com  and saw a picture of Sandra Bullock's old "love nest".  It's a fun article- Here's the link But the moment I saw the picture of her bedroom, I immediately said to myself,"Bad Feng Shui". There were overhead beams on the ceiling effectively cutting the bed (and relationship) in half. That's a feng shui no-no.

Everyone has their own opinion- some think its superstitious, some swear by its principles, and some could care less. It's a personal preference, and if you want to have some  fun with it, I've included some information about colors and feng shui. It can be quite complex,  and there are numerous websites on the internet with various interpretations. I have three books on the subject and they all have a slightly different spin, so it's not exactly cut and dry. There are a few Feng Shui Masters in the Fairfield County area,  so if you wanted an assessment of your home, its location,  and what you could do to rectify any feng shui faux pas, there are experts in the area available.

One of the very basic principles? Declutter! That sounds familiar, doesn't it? Whether you are selling your home now or not, a clean home just feels more vibrant and healthy, and its good for your spiritual well being. By the way, de-cluttering includes closet space, drawers, cabinets,  and basements.  That's good Chi.  Colors have meanings, too:

Black-  power, sophistication, elegance,and mysterious
White-  cleanliness, clarity, innocence, spirituality, purity, creativity
Red - powerful, stimulating, passionate, exciting; passion and romance
Orange-stimulating, active, cheerful
Yellow- happy, stimulating, warm,
Green- relaxing, tranquil,  healing, calming
Blue -calming, clarity, soothing, trustworthy, renewal, and nobility
Purple- regal,  nobility, abundance, and dignity.
Pink- sedating calming, ove and romance.
Grey- calm, quiet, boring, conservative and draining
Brown-  reliable, stable, comfortable

Wherever your thoughts are on Feng Shui, remember that a buyer or seller may very well have a completely different take on it, so while I wouldn't suggest you  go hog wild maximizing the chi  in your home for a buyer, take note of some of the principles of placement- there's  a lot of common sense to it.



HomeSeller Tip #1: Pricing your Home for Sale in CT

First and foremost. I cannot stress how important it is to price your home correctly. Do you remember when you went out looking for  homes and your agent showed you homes that were obviously overpriced?  You felt that the seller wasted your time. And you probably weren't that happy about it either.  It's one thing to not care for a home that's not your style, or just doesn't have what you need, but you don't want your home to be labeled as overpriced. Oh, and BTW,
it's not your fault. Don't EVER blame an overpriced listing on a seller. It's NOT THEIR FAULT.

5 REASONS for an overpriced listing

1. The agent representing that seller didn't conduct a thorough enough market analysis and advised his/her client incorrectly.

2. The agent representing the seller did not have the courage to tell the seller that his price was too high.

3. The agent representing the seller overestimated the price to ensure that he/she got the listing,  and  figured that once he/she procured the listing, the seller would reduce the price.

4. The agent representing the seller  never advised him/her how detrimental it is to  a home sale to put excess negotiating room in the price.

5. The agent representing the seller used the "PFA" Pricing method and prayed for the 3P's.  Never heard of the PFA Pricing method?  It stands for "Pluck From Air", and the three P's? That's Put the listing on the MLS- Put a sign in the front yard, and Pray for a buyer.

That last one may have sounded a bit silly, but I am sure that you have encountered one of those type of listings in your home search if you think about it. If you want to price your home correctly, call me. I'll give you a FREE Comparable Market Analysis,  with no obligation.  And yes, you can rely on my price, and rest assured it your home won't ever be labeled as overpriced.