For Sale By Owner: Priming the Real Estate Pump

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Perhaps you’ve decided to relocate. Or maybe you’ve outgrown your home and need to find homes for sale that will accommodate your growing family. Or perhaps your children are grown, you’ve made the decision to downsize, and are in the market for real estate that will better suit your needs. Or maybe you’ve decided to take the leap, buy some land, and build the home of your dreams. Whatever the reason, you need to sell the home you currently own, and you’ve decided to bypass real estate agents and go the “for sale by owner” route.

Before taking the plunge and listing your home, there are a number of steps you should take in order to increase your home’s market price and save yourself future hassles.

Just as you would dress appropriately to make a good first impression to those you meet, you want your home to make a good first impression on potential buyers. This means that you’ll need to spend some time and money sprucing it up. You don’t have to – and shouldn’t – invest a lot of money on major improvements. Instead, focus on the little things that make your house memorable to potential buyers.

Spend a day inspecting your house, outside and in, top to bottom. Have a pad of paper and a pen handy during your inspection, and take note of items that need your attention. Use a critical eye when going from room to room. You may never have noticed that the electrical outlet plate in your living room has a crack, and you’ve worked around that loose door handle in the kitchen. Now’s the time to make your list of the minor repairs that will help sell your piece of residential real estate.

Spend the time necessary to make all the repairs on your list. Keep in mind that the purpose is to improve the cosmetic appeal of your home. Once the repairs have been made, take another look and determine the steps you can take to further enhance your home’s appearance. For example, give the interior walls a fresh coat of paint (in a neutral color), spruce up your landscaping, and consider renting a storage unit for excess furniture and items you’ve been storing in the garage. Getting rid of the clutter gives the appearance of spaciousness, which is always a plus to potential homebuyers.

Once your home is prepared, it’s time to list it as “for sale by owner.” According to the National Association of Realtors, only 24 percent of those using the “for sale by owner” method utilize the Internet as a way to advertise their homes. In contrast, 74 percent of buyers use the Internet as an information source when they search homes. Internet real estate listing services outpace newspaper ads (53 percent) and open houses (51 percent) as information sources for potential buyers. It behooves you, then, to list your property with an Internet source, preferably one that offers both “for sale by owner” homes and Multiple Listing Services.

When you take the necessary steps to effectively prepare and market your home, you will reap the benefits of a higher sales price and a smoother transaction.

About the Author

Chris Robertson is an author of Majon International, one of the worlds MOST popular internet marketing companies on the web. Visit this Real Estate Website and Majon’s Real Estate directory.

Tribune Considers Offer From Real Estate Magnate 

Tribune Considers Offer From Real Estate Magnate 
Sam Zell, the billionaire Chicago real estate maverick, made a last-minute proposal to buy the company.

Inland Western Retail Real Estate Trust, Inc. Announces Tax Allocation of 2006 Cash Distributions 
OAK BROOK, Ill.—-Inland Western Retail Real Estate Trust, Inc. today announced the tax allocation of the cash distributions paid during 2006 on its common shares.

Fed Says Real-Estate Loan Delinquencies Reach Four-Year High 
Feb. 27 (Bloomberg) — The Federal Reserve said that delinquency rates on banks’ residential real-estate loans climbed last quarter to the highest level in four years.

Buying Real Estate for the First Time

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Buying a house for the first time can test the nerves, it is exciting and overwhelming. You hear all the time about rising home prices and how buying a home is a good investment. Purchasing Real Estate is a good investment but you need to keep in mind that there are risks involved. I have listed in this article some suggestions to minimize your risk and to profit from your investment.

The first thing you must do before investing in a home is to do your due diligence. You don’t need to be a Real Estate guru, a financial expert, or a lawyer but you do need to gather information and take a realistic look at your own financial situation before investing in a home. Buying and selling Real Estate is a process and it is not as simple as buying a new car.

Get to know the Real Estate Market you are interested in and find out what homes are going for. Research the market by talking to realtors, and people in the community. Gathering information from the internet is another great way to research a market.

Educate yourself about the home buying process. Learn a little bit about contracts, escrow, title insurance, closing costs and what each individual (realtor, broker, and lawyer) plays in the process. Shop around and see what each has to offer.

Ok, you are ready to dive in and take the next step. First you need to find a potentially profitable property. This is where the internet comes in to play. The internet is a great tool for finding properties quickly but you will still need to drive around and get a first hand look for yourself what the area is like. Check out FSBO’s (for sale by owner) and the local newspaper or penny saver. Ask you realtor for a list of comparable sales in the area and make a list of those properties. Take the sales prices and divide them by the square footage this will give you a gauge of the fair market value for properties in the area.

Take a look at other properties in the area and see if they are well maintained. Even if you buy a handyman’s special and turn it into a palace, it still can be hard sell if the neighborhood id less than desirable.

Once you’ve found your golden nugget, unless you are Bill Gates or have hit the jackpot, you’ll need to finance the purchase. Here is a tip! Have your financing in place BEFORE looking for a property.

Talk to mortgage lenders, banks, and lending institutions. Again, the internet can make this process easier. Here is a lender I recommended http://www.heritagemortgagesolution.com. Have discussions with your broker and let them know what you want to invest and most importantly ask questions. They will check your credit to make sure it is clean of any negative marks.

Find out about the different lending programs that are available. There are a variety of different ways to fund Real Estate with variations in rates, monies that are required up front, and tax consequences. This is a big investment with possibly a large out of pocket expense and a huge liability (mortgage). So be smart and be prepared.

Now you are ready to buy. The seller wants as much as possible, and you want to pay as little as possible. So you want to negotiate the best price possible. Stand fast but be prepared to compromise. You’ll need to give a little to get a little. Come to a mutual agreement where it is a win-win situation for everyone.

Everyone has a first time, so stay calm and have fun it’s an adventure!

http://www.heritagemortgagesolution.com

http://real-estate-investing-resource.com

About the Author

Timothy Collins is the owner of www.heritagemortgagesolution.com. An independent marketing consultant. Our Lenders offer a full range of Residential and Commercial mortgage products. Our team of experts have the experience, knowledge and expertise to handle even the most complicated mortgage situations.