Columbia SC Real Estate Blog

If you go to court you want a lawyer. If you want plastic surgery, you want a Plastic Surgeon. If you want an audit, you want an Accountant. If you are buying a home, you want a Buyer’s Agent. What can a Columbia Real Estate Agent do for me? First they can protect you in the transaction. How do they do that? They suggest various inspections such as: termite, home inspection, radon, lead, septic, and well are some of the more common ones. They help analyze Property Disclosures, and get clarity on questions that are ambiguous. They encourage reviewing deed restrictions, and homeowner’s fees, and assessments. They encourage Home Warranties to protect you from breakdowns.

Regarding offers, they are knowledgeable about what the seller paid for the house, the seller’s mortgage balance, price changes, days on the market, comparables in the area, and the better locations, schools, and condition of houses that is most marketable. They recommend advice regarding the seller paying closing costs and the fee for warranties. They are skillful in writing contracts favorable to you.

Protection, Help in getting the best deal, and using the REAN not only is the service free to you, but we pay you a rebate up to $6000 for using our services.

Rea Inc. Our parent company started using Buyer Agency 18 years ago because they thought Buyer’s and not just sellers needed representation in this complex world of Real Estate. We try to be the objective voice on the individual’s most expensive purchase typically in their lives.

Experience the difference with REAN, where Our Principles come Before Our Profits.  Consider as a seller a Columbia Flat Fee Real Estate Sale or a Columbia Home Buyers Rebates.

SIGNS AND PHOTOS ARE MOST IMPORTANT AFTER THE MLS & INTERNET

Columbia, SC – We are amazed at how many people list for full commissions and have no clue that their agent put no photo or one photo of their house on websites. Other then physically being in the home, photos are the best way to show off your home. You can insist on multiple photos on websites. If the agent resists, get a new agent. Slide shows are effective as well as virtual tours.  Columbia Real Estate have sold homes never seen live where only photos were viewed. In the digital age, if you are skilled, you can provide the photos. Make sure you monitor to make sure they are on the MLS and other sites. You can pay a professional photographer if the agent doesn’t provide this valuable option. Take outside shots of the neighborhood if there are attractive features. People buy neighborhoods and not just homes. Ponds, tennis courts, pools, trees, golf courses, water, docks, play grounds, trails, are all selling points. Label the photos to impact further.

Signs are a big winner in Columbia SC neighborhoods with signage if they get drive by traffic, especially with Columbia SC Rent to Own or Columbia SC Lease Option properties. The sign should be tasteful and not taken down if you receive a contract until you close. Remember never allow an agent to put a contract pending or sold on the sign as deals fall through and this stops people from calling. Get a 24-hour info-line option that describes the house and has a caller ID to follow up on calls to the Info-line. We have sold many homes with this feature. It is more effective then flyers then run out or get wet. It allows tracking 24/7/. You can show enthusiasm with features through your voice that does not come through with flyers. Write out a script to not overlook important details yourself for the recording.

There is a saying that ”Cash is King”. For those people who have cash, Columbia SC Real Estate can be a very good investment. I am seeing investors loaning money for 1^st mortgages at 12-15% on secured 1^st lien positions with a low loan to value position. An example would be a loan of $50,000 to a homeowner needing cash on their paid up home valued at $225,000. The homeowner who has credit issues pays monthly interest of $500 on a two-year note with the house as collateral. That is a very good return with the house as security. If the seller defaults the investor gets the house. If the payments are paid timely everyone is happy with the deal.

Before entering such an agreement make sure the value of the house is there via a Realtor market analysis or an appraisal. Make sure that the seller has title and there are no liens on the property. It is important to have insurance as a prerequisite for the deal with all closing costs being paid by the Homeowner. Of course you want an attorney to close the deal with title insurance protecting you and a survey. It is best that you physically go to the house to check out the condition and location to determine what the house is about. I don’t suggest doing blind deals. Next you want to find out the financial capability of the Homeowner to determine the likelihood of their servicing the debt. People have credit challenges for a variety of reasons and getting loans from banks are much more difficult today.

Also, consider a Columbia SC Rent To Own scenairo or Columbia SC Lease Option.  A good place to advertise to secure these types of loans is on the Internet. Craig’s list is one venue to put an ad under Real Estate loans. State your terms specifically to attract those people that you find most desirable. There are many people looking to borrow and fewer investors to lend. You are in the drivers seat and can dictate the terms you feel most comfortable with.

As far as tax consequences, interest income is not subject to social security. Depending on when you structure the deal you can even have balloon payments at a certain time, or in intervals reducing the principal and risk. I strongly advise always having a first lien position to avoid possible foreclosures and getting shut out at the closing table.

For many Americans retiring to Florida is part of the American Dream. Thoughts of the Sun in the Fun, Golf, Tennis, Water Sports, and Fishing are a real lure. The thoughts of no snow, continuous rain, and less congestion in certain other states are certainly inviting to escape from. Florida has done a great job marketing their state. Television has painted a euphoric setting awaiting everyone. It sounds so——-so good. When can we pack? Developers and mosquitoes lay in waiting for the Snow Birds heading southward for discounts to get into the restaurants first as Early Birds. It doesn’t get any better then this Sam says to Jane as they put their house on the market leaving lifelong friends, family and surroundings.

What is wrong with this picture? Many new residents begin to settle in, and so does reality. Higher Property taxes, Home Insurance, Hurricane and Flood Insurance awaits you. Add to that Condo and Homeowners dues, golf memberships and fees as well as assessments, and we have the recipe for a not so sunny adventure. Homeowners now selling their homes in many parts of the country are not realizing the profits they once did. There homes are taking longer to sell in most cases but they are still heading south. Some that could afford it have the agony and the ecstasy of having 2 homes. The agony comes in if they want to sell in a tight Buyer’s market.  We’ve seen this in the Columbia SC Real Estate Market.

Where does the problem come in? Many people, myself included, often think that a place you visit that seems so idealist is the same as living there. Not necessarily so. Some retirees to Fantasyland soon realize they don’t like the heat, lack of seasons, expenses, tourists, the drivers, the density, the homeowners associations, and assessments that await them. The beautiful ocean now becomes an ominous body of water during the hurricane season and the yearly fear factor becomes reason for unsettling. Now here comes the problem. You paid top dollar and trying to sell now becomes difficult to impossible. Your hard-earned retirement nest egg now becomes scrambled, as you might have to sell for thousands of dollars less then you bought.

What can I do to avoid this dilemma? Don’t buy initially is my suggestion. It is better to rent and test the waters. Try to find out as much as possible all the negatives before you get trapped by all marketers touting Shangri-La. It is not the same as buying. It is a better test then none at all.

Broker Bob Mandel, The Real Estate Advocates Network- Columbia SC Real Estate Your Agent of Change Where Our Principles Come Before Our Profits

There are very few Columbia Real Estate sellers smiling about selling their home. Prices continue to plummet with little positive indicators around the country of turning this downturn around. Unemployment has risen, and mortgages are harder to get. People who might be buyers can’t sell their homes. What is the answer for today’s seller? The answer depends on what are your needs versus your wants. Simply stated, do you have to sell your house or do you want to. Are you required to move due to financial necessity, job change, going to school, health issue, or a family or personal matter? Or, do you just want to move? One is more of a have to, and the other falls into the want to category.

If you have to move flexibility is the key. In Columbia Real Estate You must try everything possible to make it happen. You know the basics: get an inspection, clean, de clutter, and fix. And get a flat fee Broker that allows you to price the house below your competitors. If you have some time to market yourself, get an appraiser to help you determine a price. Be prepared to lower the price, offer closing costs, agent bonuses, and allowances for repairs or updating. Whatever it takes to move on if you have to. You must get it out of your head that you will not sell at a loss. If you can afford to lose and move on you can make it up. Staying is not an option is the key to selling. Regardless of your initial sales price be prepared for lower offers. Remember, do not take it personally, this has to be a business decision.

If you don’t have to move, consider renting, lease options, or owner financing if you are able. How much do you want to move? This is the classical risk and reward scenario. If you can’t sell, consider making some renovations or adding on to your home. Be careful about over improving and consider if the improvements will make you want to stay and enjoy your home.

Broker Bob Mandel, Real estate Advocates Network

Our Principles Come Before Our Profits

Many agents if in the library would fall more in the Fiction section than in the Non-Fiction one. The Agent, Promoter will tell it more of what you want to hear, rather then like it is. Let’s try to dissect the truth from the fiction. To begin, all agents, like people, are not created equal.  Many have integrity and try to do the right thing and many do not. Remember, people are in business primarily to make money, not to serve others and work for nothing. The typical agent only makes money when they close a deal. In the business listings are the best way to get buyers to use your services as an agent to buy your house or another one from your listing agent.

Where does the fiction begin? Typically, it starts with the agent making you think they have more experience and sales then they actually have. A number of agents have one or 2 weeks of training and few sales annually. You may socialize with them, go to church with them, or they may be suggested from a common friend. The facts are these are not good indicators of their ability or success. A better indicator would be some record of their longevity in the business and a computer printout of their prior sales. This is readily available in most MLS’s data banks. Check out the price ranges and locationsthat sales were accomplished by the agent. If the agent gets defensive about sharing this with you, don’t use them. If you are shy about this, blame it on your boss or mother.

The fiction continues when agents tell you that they can get you more than your home is worth. This is rhetoric designed to get the listing. When the house doesn’t sell, the line comes across you are priced too high. They knew it to start with, but they wanted to have the listing to manipulate you to list with them. A way to check on the price objectively is have an independent appraiser appraise the house before you list.

The rest of the stories revolve around marketing. They promise you a lot. Much of it if they do it is worthless as far as getting buyers. It is promotional. Open houses, newspapers, agent open houses, magazines, and e-mails to agents are very improbable ways to get a buyer. The MLS, and the Internet is by far the best shot. Oh by the way, the agents bragging about selling your house almost never does. They list it and someone else sells it.

Now this is the rest of the story. I list over 100 houses a year and I can prove it. Most are sold by other agents which I tell my sellers. Location, price, and condition sell houses more then the listing agent. And, that is a fact, not fiction.

Broker Bob Mandel, Real Estate Advocates Network

Our Principles Come Before Our Profits

I wish I had only a positive result to convey. The truth is that much is not positive in the Real Estate World. Prices continue to go down in most markets with few exceptions. Greenville, Florence, Spartanburg, Cherokee County and Sumter were the exceptions. It is critical when buying to understand the advantages you have in the marketplace. I have seen 10-20% price reductions in our Columbia Real Estate market that I have never seen before in such huge numbers. A staggering 20 plus % of homes sold in the first quarter of 2010 in South Carolina were foreclosures. Sad situation for the seller and Happy Days for buyers looking for deals. These numbers were up from the previous years reflecting the sad state of the economy. We are doing better then the National average if that is any consolation. The average price home in S.C. is almost $144,000. You do get a lot of house for the money here if you can get a loan. On the positive side interest rates are low and if your income is stable, you should buy now! For those in neighborhoods that are distressed, be prepared to see your property values drop significantly. Charleston and Greenville lead the state in number of foreclosures to over 23% of sold homes. Most of the other larger markets are close to 20% of foreclosed homes resulting in sales. In some markets the average foreclosed home is selling for less then 39% of the sales price.

As we review sales history we are seeing almost a 24 % reduction in sales from last May to this May. That is significant with only 3111 sales contracts signed in May in the whole state. Some of these contracts will not result in the property closing. Understandably, many of these homes went under contract due to the Federal tax rebate program, which gave buyers a significant reason to buy. New home ales are also depressed as many new homes are still on the market. Unfortunately smaller builders have gone under leaving unfinished homes. As a result of the slowing in the industry there are over 56,000 listed homes for sale at the present time. For many markets after school starts the sales usually decline for those who bought to get in certain school districts as a primary motivator.

The quality of your Columbia SC Real Estate Agent is a function not of how much they talk, but what they say.  Some agents are trained not to talk much when representing buyers, or to weigh their talk carefully so as not to say anything that might dissuade a potential buyer from buying or a seller from listing. You must be careful of those sales people, as they are just that, sales people. They are more full of rhetoric then relevant fact sharing that might make you a more informed decision maker. The more you can be your own advocate the better. You need to arm yourself with as much information as you can about agents and the House selling and buying process. That means searching for relevant information regarding neighborhoods, houses, cities, and agents. If the agent doesn’t give you any negatives about your selection process or caveats, be careful. If they are cavalier or cautious when you ask questions, get yourself another agent. This agent is out to make a sale and not looking out for you.

Here are some sample questions to ask an agent about their background before engaging them. How long have you live in the area? What areas do you work? How many sales have you been involved in the past 3 years? What is the average price home you sell, and the price ranges you work with? Ask for documentation. How long have you had your license? Are you part-time or full-time? Do you work as a team with other agents? Are you a Broker? Do you have kids in school or had kids in public school here? Do you show all agents listings from other companies? What are your normal working hours and days?

Regarding selection of a Columbia Real Estate listing agent, you need to ask specific questions about the market. What are the average days on the market? Are prices holding steady, declining, or rising. What is their marketing experience in your neighborhood? Ask them how they are different from their competition. Make sure you get their withdrawal policy if you chose to withdraw in writing. Do they negotiate on their commissions if they get the buyer, or if you do? Make sure you know what they are paying cooperating agents.

For buying agents, similar questions about backgrounds are appropriate. When showing houses ask them what negatives they see. Some examples would be exterior of the house, driveways, size of garages, landscaping, lot size and shape, style, size of rooms and layout, energy efficiency, taxes, insurance, utilities, age of systems, condition of the home, recommendations for inspections and warranties, neighborhood and area negatives. They will tell you the positives, so you may have to ask for the negatives. Information is power if you use it carefully in your decision-making.

For many Americans today they may be staying in their homes longer then they thought. As a result, maintenance can become an issue. In a cash crunch it is easy to try to save and the opposite happens. Here are some suggestions to ward off problems. The old cliché  ”Pay me now, or Pay me later applies”

 If you have a Home Warranty, renew it. This is protection more for the big things that could happen. Read over it and understand there is a deductible. You must call the Warranty Company before calling a repair person as they have contracts with professionals that must do the work. Similar to any insurance, this can give you peace of mind from an unforeseen major expense.

Get your home inspected and under bond from a termite company, or maintain your bond if you have one. Check your papers to see what the bond covers. Is it a treatment only bond, or are repairs included. Moisture issues are becoming more of a concern with mold issues and lawsuits. Better to be prepared then sued if you convey the house.

Have a Columbia SC Real Estate Home Inspection yearly. This can identify energy and safety issues as well as structural and other problems in the house that should be addressed. Taking care of these problems before you sell will be to your advantage. They can check for leaks in the plumbing and Hot Water Heater

Get your carpets cleaned yearly. It is healthier and will keep up their value if you do.

Have your AC serviced yearly. Leaks and inefficiency can cost you more. Make sure you check your vents regularly. Clogged vents make the system work harder and will cost you more then a change of a filter.

Paint, and maintain the yard. When you are ready to sell you will be happy you did.

I have been in Real Estate as an agent and Broker full time for almost 20 years. There have been some notable changes brought about by technology. When I started out Newspapers and Magazines were the primary ways to advertise your listings or yourself.

Now the Newspaper Industry is hardly a force anymore. Their circulation is down as is the size of the Real Estate section. Color photos are almost non-existent and the classified section is getting smaller daily. They have admitted defeat by marketing to By Owners and Agents through their website. Magazines as well as Newspapers are decreasing in size and quantity.

The Internet offers real time ads, modifications, virtual tours, slide shows, maps, and extensive demographic data at your fingertips 24/7 for a fraction of the cost. It offers extensive web marketing of homes on numerous sites. Showing a home has changed. Most agents use to show their own listings or have lockboxes that required a combination. Now electronic lockboxes provide more security by knowing who has entered the home, and at what time. Feedback is available via the Internet to the listing agent of every showing. You can now give your seller more accurate data of how many showings are taking place. The computer gives agents the platform to see days on the market of other homes, selling prices, closing prices, change prices, and modifications. It is easy to establish per square foot comparisons. Tax records can be observed, as well as important school and neighborhood information.

This has made it easier for the agent and buyer to research important variables for their home search. Closing information can be easily transmitted to Lawyers, Mortgage Brokers, and everyone else involved in the transaction to facilitate the process. Cell phones not only allow better communication in the field, but the Internet is also available on the phone with data relevant to the buyer. Portable computers make it easy to show photos of homes to the buyer as you drive them around to determine interior features desirability.

It is a different world in Real Estate, and more changes will be coming! Broker Bob Mandel, Real Estate Advocates Network Your Agent of Change Where Our Principles Come Before Our Profits.