How to Lose a House in Today's Market

Home buying is one of the biggest decisions we make in our adult life. Unfortunately, there are tons of things that can make a deal fall through– especially if you aren’t working with an experienced professional.

Here are 10 ways you might to lose out on your dream home (and how to avoid them):

1. You don’t have enough saved for a down payment. Surprise! Houses are expensive. The down payment for which you’ve spent so much time saving might not be enough. In addition to closing costs, there can also be other fees. Make sure that you have significant cushion savings, in addition to whatever you plan on putting down for your house.

2. You don’t have your ducks in a row. Staying organized is essential when you’re house hunting. Are you serious about the bid you’re putting down? Make sure that you’re fully aware of all deadlines, contingencies, and paperwork involved in moving forward with your home purchase.

3. You’re shopping out of your budget. Looking for houses way outside of your budget is the first way to “lose a house”—you’ll just be losing a home you never had a chance of having. When you shop above your budget you’re sure to find a dream house that’s nothing more than that: a dream.
   
   Plan for the strong possibility of putting in an offer above asking price. This may mean looking at homes listed a few thousand below your budget to create padding in your budget to make a higher offer. 

4. You lose a bidding war. Quick, decisive, assertive—these are all necessary traits to winning a bidding war. Working with an agent who can negotiate on your behalf is a great way to ensure you play your cards right.

5. You come down with a case of buyer’s remorse. Buyer’s remorse plagues homebuyers across the nation. What’s the most obvious symptom of this condition? Cold feet. Sales contracts fall through all the time because buyers back out at the last second, succumbing to the fear of such a life-altering decision. Trust your gut.

6. You close too slowly. Sellers are trying to get sales contracts through as swiftly as possible. In this climate of high demand and limited inventory, residential real estate is a hot market. There will almost always be someone behind you, vying for your potential future home—if you really want it, work hard to satisfy the seller and make things official as soon as possible.

7. You don’t have an experienced agent. None of the above issues are simple. Having someone on your side that knows the ropes of the home buying process is the most valuable tool in your box. Your agent is there to take the brunt of the work off your shoulders and hold your hand along the way. Let a professional help you with the most important purchase of your life.

8. Your inspections aren’t timely. If you’re lucky, all you’ll need is one inspection. However, the inspection is just a first step. If an inspector discovers any problems, you’ll have to start making appointments with specialists to look further into the house’s issues. Don’t waste any time getting the inspections going or you might find yourself without a house to inspect.

9. Your Seller receives a low appraisal. An appraisal that comes in lower than anticipated is always taken by the seller as a personal blow. This proves to be an issue for the buyer, too. Either the seller will become difficult or, even worse, you’ll have to pay the difference between the appraisal and the sales price out of pocket.

10. You can’t secure a mortgage. You’re so close to the finish—and then your mortgage application is declined. Nothing will lose you a house faster than the inability to pay for it! Apply for pre-approval so the seller knows that you’ll actually be able to buy their home; don’t wait for something to go wrong. If you are proactive throughout the buying process the odds of you losing the home are significantly slimmed.

Have questions or need an experienced Realtor® to help you win? Email me at Kyle@teamclayton.com or call 623-334-5144.

Pathway to Purchase Program

The Pathway to Purchase Program is down payment assistance of up to 10% of your purchase price! That's a huge help for homebuyers! Even better, is that this assistance can be used for down payment and closing costs! 

Could this open up the possibility for homeownership to you? Let's talk!

When you decide to use this assistance, you must buy within the covered zip codes listed. You cannot buy a home outside of those areas. So that is a limitation but for that much of a boost, it may be worth it in the long run. 

You'll get a 30-year fixed rate, FHA loan, which is perfect for a first-time homebuyer! You just have to meet a minimum credit score and have a debt to income ratio of 45% or lower.  The property also has to be your primary residence but you don't have to be a first-time buyer!

As a Realtor®, I am really excited about this program and I hope it can help a lot of people looking to buy. So if you're interested in more information, email me at Kyle@TeamClayton.com! I'll send you a flyer with more information and a lender you can reach out to sign up!

Let's get you in a home! 

Selling Your House in The Summer

Summertime means businesses in general are seeing increased sales. The days are longer, people are going on summer vacations, and maximizing their time outdoors before it's too hot. So now may be the perfect time for you to sell your house! Here's some tips:

More Buyers: Typically, people start looking for houses in March and the search for the perfect home can take quite a few months. So by the time summer rolls around they're ready to buy! That means more eyes on the market and if you sell in the summer, you could get a lot more traffic!

Keep it Cool: If buyers are out and about  during the heat of the day, a cool house will feel like a refuge! Pair that with a house that shows well and you'll stand out in their minds. Make sure to turn the A/C down a little lower than normal, so they can cool off while they tour your home. 

Longer Days: Even in Arizona, the longer days help more buyers search for houses. If you work until 5 pm, during the summer you have daylight until almost 8 pm! That leaves so much more time to see as many houses as possible. 

Outdoor Space: It may be getting too hot out, but buyer's still want that outdoor living space. They may be looking for a house during the summer but they'll be living in a home as the temperatures start cooling down. Keep the grass green, trim all the bushes, and create some seating areas. Bonus: add some seasonal flowers to brighten it up!

Trust a Professional: Whether you're buying a new home or on the resale market. Trust a full-time REALTOR® to help you because in a highly competitive market, you need that experience. Ask them how many transactions they do each year and then ask them how close to list price is their average sales price. That will tell you a lot about their experience. If they have the answers, that's a good sign.  

Have any questions? Let me know! I am happy to help you in any way I can!

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Buying a New Home with a REALTOR®

When you want to buy a new home, you need to get a REALTOR® on your side, even before you visit the model homes. This is a crucial step that can save you money but more importantly, ensure you have representation on your side!

Usually when you buy through a new home builder, you use their financing too. So no one is on your side for the purchase contract OR the financing. You're all alone and the builder uses that to their advantage sometimes. Having a REALTOR® that can look over the contract and ensure nothing extra is in there, or who's aware of rates and loan costs, making sure you don't over pay! If costs seem high, they'll encourage you to shop the builders lender. Always on your side.

Negotiation time comes and it's just You vs Them, and the builder has more experience. So you may not do your best negotiating when it comes to add ons, landscaping, finishes, and final price. Plus if the builder discounts homes after your purchase, are you going to walk in there and renegotiate your price? Probably not but a good REALTOR® can and should be doing that for you!

So grab your REALTOR® (me) and let's go look at model homes together! I'll get you registered with the builder and I'll stay by your side until move-in. Let's buy a new house!

The Process of Selling Your Home

The process of selling your home can seem daunting but with Team Clayton, it won't be! That doesn't mean you shouldn't know what's going on, so here's what you can expect when you decide to sell your home. 

1. Interview Agents: Make sure they can not only list your home but get it sold. Professional photos? Transaction Coordinator? Make sure they can get the job done. 
2. Price Your Home: A real estate agent should tour your home, to see the finishes and upgrades you may have made to the property. Then they can do a comparative analysis to determine your home's value.
3. Prepare Your Home: You may have some homework to get ready for photos, to pack up personal items, or even some minor repairs. The goal is to help the buyers envision themselves in you home. Your REALTOR® should give you tips. 
4. Time for Showings: Now is the stressful part. However, your agent should have set up the showing instructions to make it as easy on you and your pets as possible. So make sure your input on how you want your home shown, is heard. 
5. Time for Offers: After about 10 showings, we should expect an offer. If not, we'll want to look at the feedback on your home and adjust accordingly. This is when you listen to the market, so be open to change!
6. SOLD!: Once you get an offer, the process isn't complete. This is where you negotiate price, who pays closing costs, and a closing date. So having an experienced REALTOR® with good negotiation skills, actually pays!

Phase two of selling your home involves fulfilling the contractual obligations and getting to the close of escrow date. Here's what that involves:

1. Inspection Period: From the date you accept the contract, the buyer has 10 days to complete inspections. This could involves any number of inspectors so be patient and don't worry. They will do their best work with you away, so plan a day out of the house. *During this period, the buyer can walk at any time.
2. Repairs: Once the inspection period is complete, you will have a list of repairs that the seller wants you to complete, based on the inspections. This is where more negotiation begins, so decide what you're willing to repair and what you wont. *Depending on what you decide, you may have 5 more days of inspection period. 
3. Appraisal: The lender orders an appraisal after the inspection and he will determine your homes values. If it comes in too high, more negotiations! Just right, then the deal moves forward. This may be the most crucial point to have good negotiator on your side.
4. Close of Escrow: Most agents will think it's smooth sailing from here, but not us! We make sure to maintain contact with the buyer's lender to ensure the loan process stays on track.
5. Signing Day: Finally, the day to go down to the Title Company and sign all the paperwork is here. This completes the transaction and the Title Company will do the rest. Once they record the paperwork at the County Recorder's Office, it's official. You have to be moved out by that time, no exceptions! 

Talk about a lot to handle! So, ask your REALTOR® how many transactions they do a year. That will tell you how experienced they are at getting deals done! It's one thing to list a home for sale, it's another task to get it sold! So give us a call and put our team to work for you!

Have any questions? Email me at Kyle@teamclayton.com or on Facebook!

Why Homes Sell.

Did you know that homes sell for 3 reasons? 

Price: Pricing your home is important, too high and you lose the enthusiasm of buyers when you put it on the market. Buyers are educated in today's market and with home value estimators, they know what a home is worth, and they expect it to be priced right. Also, with low inventory of homes for sale, buyers will be flocking to new homes, but if you over price your home, they won't even waste time viewing it. 

Condition: Once a buyer decides to see your home, it's all about condition! They're walking around your home not only to look at the layout but also to inspect the condition. They're looking for signs of deferred maintenance and other potential problems, that would cost them more money in the future. So if you're home is in good condition, keep it that way! If not, you may be able to do some cheap things to fix it up, in order to prevent those types of problems. When your property is in good condition, it reduces the friction of getting buyers to make an offer!

Exposure: When you list your home for sale, it's published on the Multiple Listing System (MLS), where all the real estate agents in your area can see the property and it's information. Zillow pulls their data from the MLS, along with tens of thousands of other sites, put your best food forward with amazing images. So having good photos and good data, is key to good exposure. However, that's not enough! A good REALTOR® is going to have a marketing plan and things they do to further market your home to find buyers. Good marketing exposure is key to getting people to see your home and hopefully to want a tour. 

When you price your home correctly, it's in good condition, and has the exposure of the MLS and my Team's marketing, it will sell fast and for what it's actually worth!

Have any questions? Email me at Kyle@TeamClayton.com!

House Hunting In A Seller's Market

The real estate market today, has become a Seller's Market. That means there's not enough homes for sale, to keep up with the demand of home buyers. Finding the home you love, may be a challenge. 

When a new house comes on the market, there's going to be a lot of eyes on the property and if it meets a seller's needs, people will jump on putting their offers in. Buyers are having wait longer to find homes they like, so when a desirable home is on the market, they're ready to pounce on it! The house you saw today, may be the house someone else loved yesterday. So how are you going to navigate the market?

Here's some tips on finding a home in a Seller's Market:

1. Be patient but vigilant. You're going to have to exercise your patience, especially if you have a certain area or budget. You may have to wait for new homes to come on the market. When you see a home you like, it's time to be vigilant and tour it as soon as possible. 
2. Be ready to make an offer. Your competition for a home is ready to offer too, so be on the ball and get your offer out as soon as you can. In this market, it's important to submit offers that makes it easy for the Seller to say yes!
3. Expand your possibilities. You may have to think about expanding your search area or what you will accept. Smaller house? Fixer-upper? Maybe your not getting the house you thought you would but you can turn it into your dream home.
4. Negotiate. If you're asking for closing cost, could you come up in price? If you have a big down payment, is your REALTOR® making that clear to the Seller. Crafting a good deal for the Buyer that appeals the the Seller is an art. An experienced real estate agent won't have a problem explaining their method of negotiation. 

Don't worry, you'll find something, the journey may just be a little longer. 

As your REALTOR®, I will make sure you get the home you want but more importantly, want the home you get. So let's get together and talk about how we can work together to accomplish your real estate goals!

Sell Your House: 4 Reasons Why Now is The Perfect Time

It's a sellers market! You may have heard this already and it's true! Currently there are not enough homes for sale to keep up with the high demand, and that creates a unique opportunity for homeowners. These two conditions are perfect for those who might be sitting on a pile of equity or homeowners who just need a change.

1. Return on Investment: you've invested your money in this home and with rising prices, you've reached your desired return on investment. Are you ready to use that return to further your investment, or maybe in another property or another investment vehicle? You have options and there are opportunities to maximize your return in today's conditions! 
2. Low Inventory: simply put: there are not enough houses for sale to meet the demand of home buyers in the market. A home that is put on the market in a low inventory condition, may end up with multiple offers - and ultimately sell for a price above asking. A professional, experienced REALTOR® can assist with listing you home, placing your home in the Arizona Regional Multiple Listing Service (ARMLS), which will expose your home to thousands of online search engines, and hundreds of buyers actively looking in Maricopa County. For Sale By Owners do not have access to ARMLS and with limited exposure, they typically do not get multiple offers. 
3. Interest Rates: rates are still low, so if you are buying up or downsizing, you can save money by purchasing your longer-term investment property now. Plus, buyers are more likely to want to buy before interest rates rise, increasing the demand for properties like yours. 
4. You Deserve the House That You Love: chances are that you purchased your home in the downturn market, and maybe you updated your home - or maybe not - if you want something different, then now is the best time to think about selling. Since 2007 prices in Maricopa County have risen 87.9%, so you may be sitting on enough equity to upsize or downsize, depending on your real estate goals. Why not use that equity to buy the house you have been dreaming of? After all, you deserve a house that you love!

Selling your property is a big step but if it's been something you've been thinking about and market conditions are lining up with those goals; it's time to consult an expert! As a full-time, local expert, I can help you determine the value of your home and help you make a logical, informed decision that is best for your lifestyle. The market is ready for fresh inventory and your house may be the most desirable in this area, giving you the best conditions to accomplish your goals!

Let me know if you have any questions, email me at Kyle@TeamClayton.com or connect with me on Facebook!

Tips for First-Time Home Sellers

When you bought your first home, you probably thought that was 'the one' and you'd never move again! Until now, when home values are rising and you need a little more space. As a Seller, you're in the driver seat and can take control of the sale of your home. The choices you make now will be what set the tone, so being prepared will make the process much smoother.

Here's some tips for selling your first home:

1. Detach and Declutter: the first thing you want to do is realize that your house, is about to be someone else's home. That disconnection can help you in negotiations too. You'll also want you to declutter and make your home a little less personal. This will help potential buyers visualize themselves in the home. That makes them more likely to buy. 
2. Price it Right: competitive pricing gives your property exposure to as many potential buyers as possible. That exposure can lead to more interest and multiple offers, especially in today's market. The more interested buyers viewing your home, could drive the price up. If you start too high, you skip all that excitement. Correct pricing also prevents potential appraisal issues that could come up once you have an offer accepted.
3. Stage: If you are living in your home, staging it means things are clean and tidy. All the beds are made, the house is at the most presentable level possible. If you're moving out of the house, that means we bring in furniture and other items to stage the house. It still conveys the 'homey' feeling without a family being in the home. 
4. Be Ready for Showings: When you list your home for sale, you want to make it as easy as possible for agents to show the house. However, it's still your home and you may have kids and pets. So, have a conversation with your REALTOR® about when you want the house available for showings. You will also want to think about open houses and what you expect with those events. Knowing how you will handle showings and when they'll happen will take some stress out of the process.
5. Minor Adjustments and Repairs: your REALTOR® may suggest a couple of items to repair or fix to make the house as desirable as possible. The home's systems and appliances should be working. Touching up paint or cleaning windows, helps make the property stand out, and more likely to be considered as desirable by buyers. Some repairs will also alleviate inspection issues down the road too.
6. Time to Negotiate: when an offer comes in, you need to be ready to make a deal. You are in the driver seat and can decide what you will or won't accept. However, just like any other deal, you have to be willing to negotiate and work to make the best deal happen. Focus on what is important to you, such as sales price, timing, repairs, and minimal concessions. Whatever it is, know that you'll have to make some adjustments to hit your ultimate goal. 
7. Get to Close of Escrow: once you've agreed upon a price and terms, it's time to close. After the buyer does a home inspection, they may ask you to make repairs to items found in the inspection. So be prepare, and don't take this part of the process personally. If the buyer is financing their purchase, your home will need an appraisal. This is another area that could be open to negotiating your sales price. If the appraisal meet the sales price, the deal moves closer to completion. Just be patient!
8. Find a Good REALTOR®: A licensed, full-time real estate agent will give you the representation you deserve. In a competitive market, negotiations matter, so choose an agent that can negotiate for you. Ask them about what they have negotiated for past seller clients. If they can give you more information, they may be able to produce the results you want. (Ask us!) Professional photos of your home to be displayed on the internet will give your house the exposure it needs to sell. If the REALTOR® you are thinking of hiring is not offering this service, you are want to consider a second option.   

Today's market is competitive, and with the lack of available homes for sale, this creates what we call a "sellers market." Now is a great time to think about your options when it comes to selling. Especially if you bought during the downturn, you may have a lot of equity, and we can help you cash out, and upgrade your living condition. If you need more space, or maybe even less space, or just a change of address - it's a great time to take advantage of the opportunities available. 

Knowing the process is half the battle because then, you'll know what to expect. After that, it's just about working to get you the best deal that accomplishes your financial goals.

If you have any questions email me at Kyle@teamclayton.com or connect with me on Facebook!