Tag Archives: buying

Why You Should Use Janet Anderson & Co. to Purchase a New-Construction Home

The advantages of having us help you purchase a new home are the same as those for purchasing a resale home. We can provide you with valuable insight into the new construction industry, help you find the perfect home quickly, and then provide you with expertise in contract writing, negotiation, and closing assistance. The builder has a professional real estate representative who watches out for his or her best interests, and you need and deserve the same expert representation watching out for yours.

Buying a new home is a little more difficult and time-consuming than buying a resale home. We can professionally guide you through this process. Having spent years working with builders, Janet Anderson & Company has a rapport with them and a database of information about subdivisions, floor plans, etc. We are also very familiar with new home warranties and the nuances of the builder’s purchase contracts and various home inspections.

It is very important that your interests be professionally represented when you are entering into a contract for a semi-custom or a build-to-suit home. These transactions are complex and the contract details must be exactly in order to protect you and to ensure that you get exactly the home you want!

And when it comes to the home inspection, we will explain to you why it is essential to hire an independent home inspector to thoroughly inspect a newly constructed home.

Are there any advantages to not using an agent to purchase a new home?

There is no financial advantage for you to buy directly from the builder. Builders have a “single price” policy, meaning that you will be charged the same price whether your interests are represented by an agent or not. Just as in any resale, the seller pays your agent’s fee. Most builders will make you give up your right to representation if you visit their model homes without an agent on the first visit. Therefore, please call us if you would like to look at some model homes, so you are given the representation you deserve!

Before You Buy, Get Pre-Approved

It is extremely important that you connect with a qualified lender. We can recommend lenders who have earned our trust and with whom we’ve had good experiences in the past. The lender will review your financial position to determine the price most suited to your ability to pay and your comfort level.

The pre-approval process will help you in the following ways:

• You will know in advance what your payments will be.

• You won’t waste time considering homes you cannot afford.

• You can select the best loan package without being under pressure. There are many options and programs to choose from in today’s market. Your lender will explain the alternatives to help you select the one best suited for you.

• Sellers will find your offer to purchase more favorable if they know in advance of your ability to secure financing. This will make your offer more competitive if you are in competition with other offers. Nowadays, most listing agents require a pre-approval letter to accompany all purchase agreements.

• You’ll have an estimate of your closing costs and we will explain them to you in detail.

• You’ll have peace of mind.

Tips for Merging Two Households

First time home buyers may find themselves with the tricky task of combining all of the household items accumulated through the years of being on their own. Here are a few tips to keep your special items, decide what goes, and maintain your relationship once the dust settles!

Reposted from ApartmentTherapy.com

• Talk: Seems simple, but it’s seriously overlooked. Make sure you’re on the same page about your expectations. You’ll need to know what each other are planning on bringing — especially the big stuff such as furniture.

• Plan: Make a plan. Sit down together and figure out a layout for each room (communal areas for roommates, each room for significant others). If you figure out where things will be placed ahead of time, it will save a lot of arguing and headaches. It’ll also help save your wallet because you might not run out to purchase something if you know you already have a full room.

• Expect the Unexpected: You may be surprised by the extensive troll collection your significant other had tucked away before you decided to move in together. That new built-in shelving in the living room seems like the perfect place to them. Know how to roll with the punches and handle the situation accordingly.

• Compromise: There will be the few things that you will not see eye-to-eye on and that’s okay.

• Mix & Match: Maybe your roommate moved in with some really great curtains, but you have a set as well. Switch them out periodically to let each voice be heard in the communal spaces! This also works really well for throw pillows and blankets — just throw them all on the couch and see what works and what doesn’t.

What advice do you have for merging two households?

Reasons Why You're Crazy Not to Buy

• Property taxes and qualified home interest are deductible on an individual’s federal income tax return.

• Many times, a home is the largest asset an individual has and is considered one of the safest investments available.

• A homeowner can exclude up to $500,000 of capital gain if married filing jointly or up to $250,000 if single or married filing separately. The home must have been the taxpayer’s principal residence for the previous two years.

• A portion of each amortized mortgage payment goes toward the principal, which is an investment.

• A home is one of the few investments you can enjoy by living in it!

• The majority of the time, a REALTOR® can show you any home, whether it is listed with a company or a builder or is even a For Sale By Owner.

• Working with a REALTOR to purchase a For Sale By Owner property is very advantageous, because someone will be looking out for your best interests.

• A real estate professional who can provide you financial information with a computer will give you a distinct advantage in making the right decisions.

• A pre-approved program will actually approve you for a specific loan amount subject to the property.

• Your real estate professional can provide you with a list of items that you’ll need to make a loan application, so you’ll be ready when the time comes.

• The right to conduct a property inspection, included in your purchase agreement, gives you the ability to negotiate with the seller once you know all the facts about the property’s condition.

• A Home Protection Plan can provide coverage for selected items, such as central heat and interior plumbing, built-in appliances, water heaters, etc. If the seller is not providing this coverage, you can purchase it yourself.

• Ask your real estate professional if he or she is familiar with the neighborhoods you want to live in. Ask how many homes he or she has sold in those areas in the past year.

• Working with a REALTOR who has an office “team” helps assure the buyer that the transaction will be handled smoothly.

• In a “seller’s market,” don’t go looking for a deal. Set your sights on the right house for you, and then let your REALTOR help you negotiate the best price and terms.

10 Things to Check Before You Buy a Home

Reposted from ApartmentTherapy.com – 10 Things to Check Before You Buy a Home

We’ve learned the hard way that there’s some very important things that should be checked before signing the papers to buy a new home. Sure you can have someone do an inspection and look over the place to make sure you’re termite and flood damage free, but these things fall into a different category — the immediate honey-do list!

Even though there will always be cosmetic changes to make to a new home, trying to avoid costly repairs upon first moving in is always a bonus. Being able to save that money for the dining table of your dreams, or even just for gas and groceries can be extra beneficial. Here’s a few things we suggest checking before you sign the papers and inherit all of the previous tenants past problems.

1. Check The Drains: This might sound silly, but we’ve had two homes with the same issues in the last several years. Somewhere between the house and the sewer line, there’s a backup. Usually tree branches or a collapsed pipe, but either way, it’s hard to spot unless you run a load of laundry, fill up the tub and sinks and let them all attempt to drain at the same time.

2. Open All The Windows: Replacing windows isn’t fun and it isn’t cheap either. Open them all to find out if they stick, are stuck or just plain old won’t open.

3. Turn On All The Faucets: Although changing out faucets isn’t exactly rocket science it’s always a pain to lay under a cabinet and reach for the sky with funny tools to get things removed. Just check to make sure they all work before buying to eliminate the back ache.

4. Light A Fire In The Fireplace: Even though chimneys are usually installed by professionals, that doesn’t mean they’re always in pristine shape. Cleaning them is as simple as a phone call to a local chimney sweep, but finding out if all the fireplaces in the home draft correctly is another.

5. Taste The Water: This lesson is always learned the hard way. Even if your city has great water, your pipes might be old enough that they’ll send a little extra something out of the tap and into your glass. Knowing up front if you’ll need to install a whole house filter or invest in a few Brita pitchers is always helpful.

6. Flush The Toilets: Knowing that all the toilets in the home can handle toilet paper is a bonus. Although they’re easy enough to replace or fix, finding ones that flush well are a bonus. If you’re dissatisfied they could issue you money back to make the replacement in order to get you to sign on the dotted line!

7. Open The Electrical Panel: A clean and labeled panel is a happy panel. Something that looks like squirrels got up inside can signal trouble. Look for loose wires or ones that simply don’t connect to anything. It could signal that there’s live wires inside the walls!

8. Turn On The Heat/Air: Knowing that both of these things work prior to actually needing them can be a serious bonus. Check to make sure they blow their respective temperatures in addition to just turning on.

9. Pull The Carpet Back: Before you move in, you’ll want to find out if there’s hardwood floors and also any mold or mildew under the carpets. Look for the lowest side of the room and if possible pull a corner back. Many homeowners will have a section of carpet removed in a closet to allow you to see the condition of the floors below.

10. Moisture: Although most home inspectors will sniff this one out for you, look for signs of dampness. Even if the walls aren’t apparently wet, look for things like dehumidifiers, bucks of silica or other things that grab moisture from the air and keep it at bay. If the home owners are smart enough to move these things, look for places near outlets that look clean (or leave a dust ring) where something like this might have sat.

Do you have one to add to the list? Share your tip (and story behind it) in the comments below!

Avoid Foreclosure with Short Sales

A short sale can be an excellent solution for homeowners who need to sell, and who owe more on their homes than they are worth. In the past, it was rare for a bank or lender to accept a short sale. Today, however, due to overwhelming market changes, banks and lenders have become much more negotiable when it comes to these transactions. Recent changes in corporate policy and the Obama administration have also improved the chances of getting a short sale approved.

But to be technical, here’s a more official definition:

* A homeowner is ‘short’ when the amount owed on his/her property is higher than current market value.
* A short sale occurs when a negotiation is entered into with the homeowner’s mortgage company (or companies) to accept less than the full balance of the loan at closing. A buyer closes on the property, and the property is then ‘sold short’ of the total value of the mortgage.

For homeowners to qualify for a short sale, they must fall into any or all of the following circumstances:

* Financial Hardship – There is a situation causing you to have trouble affording your mortgage.
* Monthly Income Shortfall – In other words: “You have more month than money.” A lender will want to see that you cannot afford, or soon will not be able to afford your mortgage.
* Insolvency – The lender will want to see that you do not have significant liquid assets that would allow you to pay down your mortgage.

This seems simple enough, but it is a complicated process that takes the expertise of experienced professionals. I hold the CDPE® Designation and am ready to identify all possible options and, when possible, assist in the quick execution of a short sale transaction.

If you have questions or feel you may qualify for a short sale, please contact me for a free consultation.

Understanding your options now could mean all the difference in the world.

For more information on foreclosure solutions visit our website at www.batonrougeforeclosurehelpnow.com

Why Buy? 9 Reasons Buying is Better than Renting

1 – Pride in Owning:
Most people buy homes to have control over where they live. Although investment features are important, the psychological reasons for buying—the satisfaction of owning and freedom from paying rent—are at least as important.

In a survey done by the National Association of REALTORS® of 6,000 homeowners and 2,000 renters—perhaps the largest survey ever of attitudes toward home ownership—it was shown that 76 of owners and 66 of renters considered pride of ownership an important reason for buying.

2 – Dislike Paying Rent:
Close to 7 in 10 of almost equal portions of owners and renters expressed a dislike of paying rent as an important reason to buy. Renting offers a lifestyle that’s nearly maintenance-free. That may appeal to you, but consider that renting offers you no equity, no tax benefit, and no protection against regular rent increases. Writing a rent check is just like watching your hard-earned money sail away!

3 – Settling Down:
More than 6 in 10 renters said “settling down” was an important reason to buy.

4 – Good Investment:
76 of owners and 69 of renters said that the investment aspect of ownership was important.

5 – Tax Advantages:
Property taxes and qualified home interests are deductible on Schedule A, for itemized deductions.

6 – Long-Term Appreciation:
People consider home-ownership a good investment because they view it as a long-term venture.

7 – Leverage Investment:
People borrow a great deal to buy homes, yet they receive the full benefits of price appreciation. In the long run, investments in homes far outpace inflation rates.

8 – Source of Savings:
Home-ownership always has been and continues to comprise the single largest source of savings for American households. Homeowners build equity and can borrow against it.

9 – Sacrifices Are Worth It:
Almost 7 in 10 renters in the National Association of REALTORS® home-ownership survey said that they planned to buy a home in the future. More than three-quarters of these people said they were willing to sacrifice to do that.

Downsizing a Home Requires Downsizing Contents

You find that the children have moved out and you do not need that big of a home anymore.  Another thought is that you are going through a life change such as financial distress, divorce, death of a loved one, or illness.  You want to move to something smaller, but the task seems overwhelming.  Every closet and room is full and it is overflowing in the storage building.  What to do with all the STUFF that makes up the years you have been in the home.

You can get experts to help you get moving or sometimes incorporating good friends and family.  The key to downsizing is to sort through your stuff regularly and get rid of what you no longer use.  You’ll thank yourself on moving day.  There is a lot of trash when you have been living in the same place for many years.

Emotional Effects

Think about how much storage space you will have in the place you are moving to.  Space gets even tighter if you are moving to a condominium, nursing home or assisted-living site.  You have to think about the emotional impact of going through your belongings.  There are a lot of memories packed into those boxes in the attic.  It is easy to feel “overwhelmed” and to procrastinate and then become frozen.

Sometimes it is just the act of “getting started” that is the most difficult.  One way to get going is to have a family get-together.  Make it a party where each of the children puts Post-its on what he or she wants.  If  you want there are also companies that specialize in helping with downsizing.  They help organize estate sales or auctions, line up items for donations and assist with packing.  Having someone to walk you through the process is a big help.

Since there is less room for boxes of old belongings in a smaller home, there is also going to be less room for the person moving in.  You have to learn to live in a smaller space.  Before moving try to think about the practical aspects of everyday life.  How much will you miss a yard or having a garden?  Can you get by with a one-car garage or no garage instead of the two-car space you always had?

You will find often times that letting go and making room for that new chapter in your life is quite exciting.  Time to make some new memories!

"When is a Good Time to Buy?"

It is a Great Time to Buy!

Owning a home is an investment in your future.  A home not only provides financial benefits but it also provides shelter and security to families.  Here are some of the reasons why now is such a good time to buy:

Motivated Sellers and Inventory – In the Baton Rouge, LA area affordability is high and there is an abundance of inventory.  There are many options out there for buyers and sellers who are willing to negotiate and work towards a win-win situation that works for both parties.

Home Buyer Tax Credit for first time home buyer up to $8,000 until April 30, 2010.  Also expanded to include a credit up to $6,500 to home owners who have lived in their primary residence for 5 of the last 8  years and purchase a new or existing home between November 7, 2009 and April 30, 2010.  Other factors affect the size of the credit and purchaser eligibility so talk to your real estate agent or visit www.realtor.org/home_buyers_and_sellers , and consult a tax expert for full details.

Mortgages are at Historically Low Rates for buyers who qualify.  Go to ww.FreddieMac.com and view the primary mortgage market survey for more information on the latest rules.  In addition, low interest rates, coupled with recent price declines, give people looking to upgrade a unique opportunity to take advantage of market conditions.

So why wait?  It is a great time to buy!

"Should I Sell First or Buy First?"

Homeowners who are planning to make a move wrestle with the dilemma of how to get the home sold so that they can purchase a home.  Which comes first depends on the market — is it a buyer’s or a seller’s market — and your personal motivation.  However, for most sellers and buyers, the smart thing to do is to sell before you buy.  Currently the Baton Rouge real estate market has several months of inventory that is not selling right away and buyers are wanting to negotiate.

Let’s first talk about what would be some good reasons to sell first and then buy:

Negotiate Your Terms

First, by selling before you buy, you get to take your time and do not necessarily have to take the first offer that comes along.  You have the ability to negotiate terms without as much pressure since you have a place to live.  It is your home.  Also, since you are not under pressure to sell, you often obtain a higher sales price because the buyer does not think you are desperate.

Closing Contingent on New Purchase

When you do get a buyer for your home, make sure you negotiate that the sale is contingent on you closing on your new purchase.  That way if you can’t find a home to buy, you are not under any obligation to sell your home.  You may be required to put a time period of 7-21 days for you to locate a replacement home or cancel the contract.

Renting After Closing

If you want to wait for that perfect home, another alternative is to opt to rent after closing.  If the buyer does not require immediate occupancy, you might want to request to rent back your home for the amount of the buyer’s new mortgage payment.  One other choice is to move out, put your belongings into storage and rent a furnished, short-term apartment.

An Offer You Can’t Refuse

If the deal is too good to pass up, it may be especially good to buy before selling your home.  There could be a number of reasons that the sellers are extremely motivated to sell, and you might want to be the first offer before word spreads across town.  In this case it makes sense to buy before you sell, because the money you make walking into the deal is worth making double payments until your home sells.

If a seller is not willing to accept a sale-contingent offer, you may want to then consider if your home could sell soon enough for you to be able to close on the new purchase or look for alternative financing.

Each sale faces different circumstances and it is not always easy to know what is the right choice.  If you gather enough information, you can be comfortable in negotiating your contracts to state what is in your best interest.