For Home Buyers in SW Florida, Top 6 Questions, Naples, Ft. Myers, Isles Of Capri!

For Home Buyers in SW Florida, Top 6 Questions, Naples, Ft. Myers, Isles Of Capri! Like careful consumers who are investigating any major purchase, SW Florida home buyers need to address some of the same basic queries. Among home buyers, those who already own SW Florida homes may think they have different questions than do first-timers, but even for those who have successfully navigated the process before, if it’s been a while since then, some basics may need refreshing:

1. Should I buy or rent? This is quite rightly the lead question any {Your Area} home buyer needs to answer. It’s not one that many {Your Area} residents who are already home owners spend a lot of time on since the answer for their own family has already been a “yes.” For them, unless some major changes have come to pass, they can safely assume that homeownership is still a no-brainer.
2. How do I get started? There are two good answers here: Get a mortgage pre-approval, and/or tap the services of a great SW Florida Realtor^®. Although a lender’s pre-approval isn’t a requirement, getting a green light in advance can’t help but create a positive atmosphere with sellers and their representatives. It demonstrates serious intent—and in a competitive situation could even wind up winning the day.
3. What’s the right credit score to buy a house? 620-650. Okay, okay—I know there’s actually no number that’s truly the “right” credit score for all circumstances. It depends on so many possible outside factors that the exceptions are too numerous to list. That 620 number (and higher) does seem to be one that lenders like to see; with 580 the common minimum low down payment FHA qualifier…but that can even be less in order to qualify for the FHA 10% down payment program. The only bullet-proof answer for the “right” credit score is—the best one you can build!
4. How much will the down payment be? This one depends on the SW Florida property you choose, the home loan you select—and also, to a degree, on how much you want to pay. It used to be common sense that you should pay as much as you can afford in order to minimize the amount of interest you wind up paying over the life of the home loan. But with interest rates as low as they are today, some financial gurus are less confident about that advice: there may be more lucrative ways cash can be put to work.
5. How much do I have to pay my agent? Nothing. The buyer’s agent fee is paid by the seller.
6. Should I use a real estate broker?  This answer comes from the HUD.gov website: “Using a real estate broker is a very good idea.” As HUD says, “the details involved in home buying, particularly the financial ones, can be mind-boggling.”

For Home Buyers in SW Florida, Top 6 Questions, Naples, Ft. Myers, Isles Of Capri! Needless to say, that last Top Home Buyer FAQ is a personal favorite. It’s really just another way of saying, “ Please call me!”

A Home Warranty Can Woo Uncertain SW Florida Buyers, Naples, Ft. Myers, Bonita Springs!

A Home Warranty Can Woo Uncertain SW Florida Buyers, Naples, Ft. Myers, Bonita Springs! When last week’s surprising news (on the plus side) about consumer confidence was announced, it was one more sign SW Florida homeowners might have felt nudging them in the direction of putting their home on the market. U.S. confidence rose to an 11-month high in August—a turnaround from consumer blahs that had ruled during the first half of the year.

Even when there’s some time pressure to sell your SW Florida home, one snag that can stall the decision—especially for those with older homes—is the thought of the cost of bringing the place fully up to date. Even if the mechanicals (heating and cooling systems, plumbing and electrical) are actually in perfectly fine working order, it can seem as if potential buyers will be hard to convince that it’s the case. And if the appliances are veterans, even if they’re perfectly serviceable, potential sellers sometimes fear that prospects will shy away from the Great Unknown of costly dishwasher or clothes dryer breakdowns.

So it’s pretty good news that this is one concern that SW Florida homeowners and their future customers can do something about. The doubt-remover is a home warranty—the kind of policy that helps shield against the cost of unexpected breakdowns. Texas consumers can choose from a number of home warranty providers, each of whom offer varying levels of protection.

The home warranty companies provide a straightforward proposition: it is a service contract, usually a year in duration, that promises to pay if a major system or covered appliance should break down due to normal wear and tear. Some high-end policies offer complete coverage for repairs—or even full replacement if necessary. More inexpensive home warranties may provide less comprehensive coverage or require the use of specified repair services.

Once it’s been determined that the incremental cost is a worthwhile investment, it’s important to read through the previsions about what is covered—and to remember that systems and appliances have to be in good working order at the time the policy is issued. Some of the items commonly included can be the plumbing and electrical systems, furnaces and heating ducts, water heaters, pumps, dishwashers, garbage disposals, cooking appliances, refrigerators, washers and dryers—sometimes, even swimming pools. You can see why checking the scope of coverage is critical for determining the choice of contracts.

Lately, home warranties have grown in popularity—possibly because of timing considerations. H.U.D. says it’s because the protection they offer home buyers comes during the critical period immediately following purchase—a time when there is often less extra emergency cash on hand. That can be a critical reassuring factor for {Your Area} home buyers.

Even more convincing are the statistics from the National Home Warranty Association. If it’s as true for Texas sellers as it is nationally, it’s eye-opening. The NHW finds that when a home warranty is provided as part of the sale, it can help a home sell up to 50% faster.

A Home Warranty Can Woo Uncertain SW Florida Buyers, Naples, Ft. Myers, Bonita Springs! THIS could come as welcome news if you’ve been undecided about whether this fall will be an opportune time to sell. Even if you’re on the fence, give me a call!

SW Florida Buyer’s Agents: a Popular Choice for Good Reason

SW Florida Buyer’s Agents: a Popular Choice for Good Reason. A mega-proportion of serious SW Florida house hunters ultimately decide it makes the most sense to team up with a real estate professional to get the job done. SW Florida buyers may begin the process of finding and buying their next home on their own, checking through the online listings or driving target neighborhoods to check out the “For Sale” signs—but the NAR^® reports that 9 out of 10 of U.S. buyers will eventually use a real estate agent in their search process.

The most obvious motivation for that is because the buyer’s agent’s fee is paid from the seller’s proceeds. That alone could explain a 90% level of popularity. When you can benefit from a professional’s services at no cost to yourself, SW Florida house hunters would have to think long and hard to come up with what the downside could possibly be. To run down the arguments that could explain how 10% might decide to pass up the buyer’s agent service, I looked for the most common arguments against the grain.

Here are the Top Four, presented in no particular order. (Since I definitely do have a dog in this fight, I’ve also included some counterarguments):

1. Distrust. Something for nothing? A free lunch? Common sense teaches the same lesson, always and forever: THERE’S NO SUCH THING AS A FREE LUNCH! (Counter: the service is not free: the seller pays).
2. Independent Spirit. Some people know that they work and think better when they take sole responsibility. They may have been misled by “experts” too many times—may regret not relying upon their own instincts. After all, Americans are mavericks by nature: they are at their best using their own native ingenuity to solve problems. (Counter: a substantial portion of the process of purchasing a home in SW Florida requires mastering technical legal and timing requirements. Although a buyer can take the time to learn about all of them, since their buyer’s agent has already handled them successfully many times, it’s wasted effort. IOW, this is a wheel that doesn’t need to be reinvented).
3. Commitment. If asked to okay an agreement that spells out the ground rules for working with a buyer’s agent, it’s as if a commitment is being forced prematurely. After all, who knows for certain that the right SW Florida house at the right price is even out there? It just feels like putting the cart before the horse. (Counter: this is never a commitment to buy—just an agreement for how the search and commission will be handled if a suitable home is found and purchased. The buyer can make sure the arrangement can be severed without penalty if the service is not satisfactory).
4. Motivation. Since a buyer’s agent will profit from any sale—they’ll try to sell me anything. (Counter: Every buyer’s agent is legally and ethically duty-bound to represent their client’s interests—plus, since their entire career is utterly dependent on their reputation, their interests align).

SW Florida Buyer’s Agents: a Popular Choice for Good Reason. Whenever I represent any buyer, my motivation is 100% that of helping them reach their desired outcome. Reaching that goal—finding the right SW Florida home, than negotiating and closing at the right price—is the way I keep the phone ringing. See for yourself by giving me a call!

First-time SW Florida Home Buyers & the Home Inspection Query

First-time SW Florida Home Buyers & the Home Inspection Query. A reasonable question posted recently on a real estate website can open an interesting discussion. It’s one that touches on a fundamental component of most SW Florida real estate sales.

The question was, “Can I request a home inspection before I make an offer on the home?”

The answer from the moderator was, “I can’t think of one good reason why you would do this.” The moderator should have thought a little harder! And the truth is, for any would-be SW Florida buyer who has never been involved in buying or selling a home, it’s a pretty logical question.

Take a fictional example. We have a young couple who have no previous real estate experience. Their parents never walked them through how they had gone about buying the homes they’d been raised in, and although both husband and wife have college degrees, neither has been exposed to the first thing about buying and selling a house (this is a hole in the educational setup that would seem to be pretty easy to fix…but at least for now, parents have to fill the void).

Our couple has fallen in love with an existing home. They like its size, style, and its SW Florida neighborhood—which is in a superior school district. They have some reservation about the asking price, which is a little more than their pre-determined target, but they decide to make an offer that shaves a few percentage points off the asking. They agree with their agent that for the seller to entertain their offer seriously, they need to accompany it with a 1%-2% earnest money deposit.

Just as they are on the verge of taking the leap…one other thing occurs to them. What, they wonder, will guarantee that there aren’t serious mechanical or other difficulties with the house? The solution would be simple—just order an inspection—except that, not yet being in a contract, the $300 – $600 inspection fee could be a waste of money. What if the sellers accept an offer in between the time the young couple orders the inspection and submits their offer?  

In practice, a “before offer” inspection IS done in some cases – usually when a multiple offer situation is expected. In such cases, multiple sets of buyers would probably be advised by their savvy agents to invest the money on the front end to increase their odds of writing the offer that will be accepted. The way savvy agents help their seller clients avoid this problem for buyers is to have the sellers order a home inspection report themselves—and make it available to any potential buyers for review. This helps the sellers to get ahead of any unknown issues that might come up, as well as encouraging offers. When buyers have information about the basic condition of the home, it frees them to write an offer with more confidence.

A sound offer triggers the start of a process that ends in handshakes and smiles all around—and the transfer of a very valuable set of keys.

First-time SW Florida Home Buyers & the Home Inspection Query. Whether buying or selling, strategic guidance regarding the offer is just one contribution of your chosen SW Florida real estate agent—and another reason why teaming with the right one is so key to getting the result you are looking for. I hope you’ll give me a call to discuss how I will help you reach those goals!

Young Adults Might Reverse a SW Florida Housing Trend

 Young Adults Might Reverse a SW Florida Housing Trend. You don’t need real estate statistics or government bureau reports to sense that first-time home ownership rates have been in the dumps for a while. SW Florida housing figures have too few transactions month-by-month to draw many conclusions about sustained trends in home ownership here—yet it’s evident that for young adults everywhere, the glacial recovery in the economy combined with factors like student debt have made it particularly difficult for most of them to move from renting to owning an SW Florida home.

  Despite the new year’s opening burst of worrisome economic headlines, nationally, when it comes to house ownership trends, there seem to be spots of good news. One with that focus came out of Fannie Mae at year’s end, courtesy of their Housing Insights publication. It wasn’t exactly a barn-burner. The excitement level, on a scale of 1 to 10, would have weighed in at maybe a 2. But for young adults who find their personal financial outlook is a square peg when it comes to the round hole of buying a first SW Florida home, any improvement in the outlook would be progress.

 That this particular improvement was less than breathtakingly good news was signaled by the headline. It came in the form of a question: “Could the Long Decline in Young-Adult Homeownership Be Nearing an End?” Fannie asked (possibly hoping the readers would supply more information). The reason for the indecision was clarified in the article’s Summary, which stated that the researchers had prepared several projection scenarios for young-adult housing ownership. These showed that ‘strong underlying population growth trends’ demonstrate how even small improvements in those trends “could generate increases in young owner-occupants in coming years.”

In other words, if there are more young adults, there might be more young adult homeowners. Not stated was how long it took the Sherlocks on the research staff to come up with that finding.

In case this sounds silly, it’s actually not quite that bad. During the worst years of the housing bust, the number of young homeowners decreased despite the fact that their proportion of the population grew…so the projection might indicate an end to that negative momentum. That decline has in fact slowed gradually…but in the three projections made by the Census Bureau, one shows continued decline, the next a slight increase, and the third, a robust increase (twice that registered during the housing boom). For the big question: which of the three is most likely to occur, the answer is (wait for it):

“It’s difficult to predict…but stability or modest improvement in homeownership is certainly plausible.”

 Young Adults Might Reverse a SW Florida Housing Trend. That might have raised the excitement level to about 3—especially here, where the SW Florida housing picture does in fact include properties that are great fits for first time homeowners. With home loan interest rates still enabling extremely doable monthly mortgage payment numbers, even some of those young adults who think their financial square pegs can’t fit the homeownership round hole might learn otherwise. The way to find out? Please Call me TODAY!

SW Florida First Home Buyers Need Answer Just Two Questions

SW Florida First Home Buyers Need Answer Just Two Questions. For SW Florida SW Florida first home buyers who are of a certain age (for the moment let’s call that 40+ or so), the prospect of making such a prodigious commitment should be less intimidating than for the younger set.

You have been around for long enough to have seen the ups and downs of the economic cycles; most likely have had a number of different jobs with good and bad employers; may even have entered into the entrepreneurial arena yourself. You’ve also observed friends, relatives and colleagues who as they acquired their SW Florida first homes, and have seen how they have fared as they enjoyed the benefits of homeownership and weathered the accompanying responsibilities. You know from observation that it doesn’t take spectacular luck or extraordinary business acumen to buy and own your first home—you’ve watched lots of regular people doing it all the time.

If you are part of the younger set, you may intuit the same thing—but haven’t yet seen it play out with your own eyes. Homeownership involves some dauntingly high numbers, after all. Add to that the current general sense of unpredictability about the world economy (who knows what’s going on in China?); the domestic business environment, jobs outlook, political scene (It’s an election year! An election year!)—maybe this is just the wrong time to make long-term commitments…

If you belong to the more youthful group, there are some reassuring truths to make the first home buying plunge less worrisome. For one thing, if you’ve sometime sensed that the future is always unpredictable, you got that one right. When the economy is bright and looking brighter, those who have lived through the economic cycles are apt to be more skeptical than ever. It’s actually at the bottom of the economic cycle when the best buys are most likely to appear (though it’s never completely clear when that is!).

One thing that is completely reliable is the amount of money that SW Florida mortgage lenders are contracting to charge you every month (that is, if you play it safe and stick to a non-adjustable home loan). And right now, interest rates are still almost unbelievably low. Historically speaking, this is an unusually advantageous time to be joining the ranks of SW Florida first time home buyers. In an unpredictable world, that’s an attractive situation.

SW Florida First Home Buyers Need Answer Just Two Questions. What every SW Florida first home buyers should ask themselves before proceeding any further is how long they plan to live in their next home, and how much can they afford to pay each month. If the answer to the first question is one or two years (or “I don’t know”)—it’s almost certainly a better idea to keep renting for a while. Otherwise, take a look at your monthly budget (if you don’t have one, get out a pencil and paper and commit to one)—and come up with the number. After that’s done, you’re already on your way to getting serious about owning your first home. Then give me a call to see what the current town market has to offer. Before long, you might be walking through the doorway of your first SW Florida home!

Proceeding with Caution for SW Florida Bank Owned Home Buys

Proceeding with Caution for SW Florida Bank Owned Home Buys. The return of a healthy SW Florida real estate market has meant that you don’t hear nearly as much about SW Florida bank owned homes. Back before the economic recovery had begun to take hold, the wave of foreclosures triggered a raft of SW Florida bank owned home auctions and sales. It created conditions which hadn’t been seen in living memory.
The combination of low mortgage interest rates and fire-sale prices allowed some fortunate buyers to become homeowners for the first time. In some instances, longtime renters who had been previously priced out of the market were able to take advantage of some once-in-a-lifetime bargains—to take the leap to home ownership earlier than they would have expected.
Today, although overall economic conditions have improved considerably, some sharp-eyed renters can still find the occasional bank owned home that represents the same kind of unbelievable value proposition. The foreclosure glut may be long gone, but historically low home loan interest rates remain (at least for the moment). What also remain are the cautions that any first-time buyer should be aware of—the additional factors that should be taken into account in deciding whether to purchase an area bank owned home.
The overriding factor is the condition of the property. What seems to be an unbelievably great deal may be literally too good to be true—especially if the property has not been maintained properly. Circumstances vary, but when a home’s ownership has reverted to the bank, it is often the case that the defaulting borrower has been unwilling to keep up a property which he knew he was going to lose. That can just mean that the lawn needs some TLC…or it could mean that the roof is ready to fall in!
Since bank owned homes are sold or auctioned in ‘as-is’ condition, it’s vital to do as much due diligence as possible to ascertain the true shape a bank owned home is in. This isn’t just to protect you from expensive corrections that might be needed to make the place livable. FHA loans are often a key factor in making a purchase possible at all, and to qualify for those government-backed loans, a home must be deemed to be in “saleable” condition. Broken windows, falling-down fences—even missing kitchen appliances—can delay or permanently derail a sale.
Proceeding with Caution for SW Florida Bank Owned Home Buys. If you have been impatiently eyeing your own rising rental bills, the idea of checking into the possibility of finding a suitable SW Florida bank owned home bargain is just one possible way you might become a home owner—and sooner rather than later. The best way to find out is to go to the phone. Let’s chat!

Features Designed to Inspire SW Florida Luxury Home Buyers

Features Designed to Inspire SW Florida Luxury Home Buyers. When it comes to selling SW Florida luxury homes, you really can’t pigeonhole who the ‘typical’ buyer is likely to be. The 9% of buyers that make up the pool of ‘affluent’ prospects are themselves pretty much profile-proof—and the dollar value that 9% represents fluctuates substantially from one end of the country to the other. On the other hand, it is possible to take advantage of features that are growing in popularity with today’s luxury home buyers.
Realtytimes researchers found that affluent buyers are increasingly attracted to features that belong in the smart-home technology category. Smart thermostats that owners control right from their smartphones, wireless homes security camera arrays, and fully tricked-out home theaters are draws. To qualify at the high-end, an entertainment center really should be controlled by a single device. Let’s face it: no matter how fancy a home theater might be, if three or four remote controls are visible, they’re certain to draw scowls!
Kitchen tech—of the kind that marries function with fashion—continues to gain in popularity. Bringing professional-level tools into domestic kitchens is a goal being incorporated in more and more top kitchen appliance offerings. On the leading edge: ovens with high-performance steam generators as well as blast chillers with touch-sensitive, intuitive user interfaces. All are designed “to create the kitchen that’s right”—one to match a buyer’s “level of culinary daring.” Digital Interiors found that 94% of such buyers “would sacrifice 1,00 square feet of living space for more technology…”—but keep in mind that most researchers find that, with few exceptions, 3,500 square feet is the non-urban baseline for qualifying in this market.
Selling luxury homes used to begin with location, location, location. But that may be undergoing a subtle shift. In Luxurydefined, one leading point is made that traditionally prominent ZIP codes are “no longer the defining baseline” for luxury homes. Newly included are areas where there is a “slower perceived tempo of life”—which fits in with the emerging interest in homes with ‘experiential’ features (like meditation gardens or outdoor showers).
Few of SW Florida’s luxury homes have those particular features, but being turnkey-ready is another matter. Brand new homes qualify automatically, but as has always been the case, existing residences that compete with other high-end homes in SW Florida can be expected to do best when they qualify as one of the ‘just bring your toothbrush’ properties.
Affluent prospects may be well-heeled, but they are also increasingly attentive to energy-efficient features. Some new homes designed with the luxury market in the crosshairs boast of ‘super-efficient’ floorplans built to consume 50% less energy than typical new homes. The draw is not entirely economical, either. That’s evidenced in how the current dip in energy costs hasn’t resulted in a proportional tapering in demand for homes reflecting conscious living (features reflecting environmental awareness and sustainability).
Luxury home owners, like their prospective buyers, have a pretty clear idea of what they demand when it comes to selling their properties. Features Designed to Inspire SW Florida Luxury Home Buyers. First and foremost: an agent with comprehensive knowledge of the local market—and experience with luxury homes. According to Money magazine, sales at the high-end are growing faster than in any other market segment…which is another way of pointing out that if you are looking to get into our SW Florida luxury home market, now is a pretty good time to give me a call!