Columbia SC Real Estate Blog

This is the unfortunate situation that we hear daily. The full service people most of the time say we are so sorry, but we can’t reduce commissions due to our company policy. They tell you how much ineffective marketing cost them, and tell you how hard they are going to work for you.  They can tell you that you will make more by selling with them. I wish this were all true, but it is not. The world and the world of Real Estate are changing. Many people are underwater in their homes, meaning they owe more then the house is worth. Many cannot afford to meet their payments. Some have stopped making their payments. Fear is rampant and the property values around them have gone down due to foreclosures, short sales, and people reducing their prices.  We have reduced our price on our home $29,000 and still no offer. Next week we reduce it another $3,000. As a Broker I received a call last night from an appraiser who appraised one of my listings several months ago for less then the sales price. The seller balked at it, but accepted it as the house was vacant, uninsured, and had been on the market 18 months. I said they had to be foolish to let this go after refusing 3 other offers.  We’re seeing this locally, even with Aiken SC New Construction Homes in the area.

So what can the seller do? They can rent out the house, do a Lease-Option, go By Owner, or use a Flat Fee Listing Company. Each has its pluses and minuses. For some, renting is too much of a hassle and they must sell to get another house. A Lease option has the same drawbacks and the chance of the person with the option of getting a mortgage may not happen. By Owners can save the most commission, but mistakes and length of marketing may be a negative.

Enter the Flat Fee Broker. The Seller can maintain the By Owner option, and be listed on their local MLS, local agent sites, national Real Estate Sites, have local MLS security lockboxes; get professional assistance and photography options for a fee rather then a commission. Imagine on a $200,000 saving $11,500 or more in commissions with this service.  That would pay a significant amount of a mortgage payment in their next purchase. They could be more competitive in pricing their homes, give agent incentives that bring buyers, or offer closing costs. Their location, and condition of the house doesn’t change with the full service commission, just what they will net.

Flat Fee Pricing in Real Estate will become more commonplace as Sellers search a viable option to sell their homes with similar exposure that is most effective.

It is Inspection Time- Be Prepared This is a critical step in the Columbia SC Real Estate home purchase process. Be on time to accompany the Inspector. Wear work clothes. If you are up for it, go in the attic.

Don’t get to down by going under the house. Both can be major problems that need to be diagnosed and addressed. Ask the Inspector questions when you are unclear. That is their job. It is your responsibility to be your own Advocate in the process. Issues that are not disclosed can come up in your Home Inspection and identified for repairs or seller concessions.

Make sure you are clear about the Inspection contingency in the contract. Time lines and protocol for addendums are spelled out in your contract. Not meeting deadlines are potentially costly in repairs that could have been mandated due to the Inspection. In some contracts failure to agree on items identified on the Inspection can void your contract. As a result, don’t be too picky or you might be looking for a new house.

Make sure you understand safety or energy concerns that can be addressed when you move in. Some energy savings can more then pay for the inspection over the time you are in the house and with tax credits. Safety features are especially important for security purposes, and the elderly or children. For a few dollars major injuries or break ins can be avoided.

Forest Acres Subdivision – This is known as Area five to local agents. It is very desirable because of its close vicinity to downtown, shopping and I-77. The area started developing in the 50’s to accommodate those citizens wanting to be close to town, but not right in downtown. Brick 2 and 3 bedroom ranch homes became the most common. Long before track builders, homes were mostly custom built. Few had garages and lot size varied from small 1/3^rd of an acre to ½ an acre. As time elapsed dens became bedrooms and add ons included back porches being enclosed, and even some basements being turned into living space. Renovations have become popular which included central heat and air, converting carports to garages, adding closet space, renovating and updating small kitchens and bathrooms. Some homes have been completely gutted or torn down giving way to 2 story houses. Homes here start in the low 90’s and go up to over $500,000 with new estates going higher then that close to the Lakes for newer homes who have an acre or more with lake views. You can view Forest Acres Subdivision Homes For Sale on our website.  The schools are a big plus. These are ideal for rentals if you can buy it right.  Long-term projection would be a very safe investment and a good place to live with no HOA fees and saving on gas if you work downtown. You can even bike or take a bus.