11 reasons your home isn’t selling

RIS Media shared a story from Charles Muotoh giving 11 reasons your home may not be selling. I found the piece very interesting and have summarized the points below, and added some commentary. Let me know what you think!

You overvalued your property: Overpriced homes will not sell. Simple as that. If you have an experienced real estate agent, they can give you an accurate value of your home.

Your listing is poor: You can’t poorly write the description of your home without any images. It will be skipped. Work with your realtor to make the listing attractive and interesting.

You’re always present at showings: Do not get in your agent’s way at showings. Let them do what they are experts at. Buyers don’t want you hovering over them the whole time anyway.

You’re too attached: If you are too stubborn to refuse to negotiate your price down, then there’s a good chance that you’ve become too attached to your home. That will make selling difficult.

You haven’t had your home professionally cleaned: What kind of buyer in their right mind will want a dirty house? Ask your realtor to recommend a professional cleaner for the carpets and windows before showing your home.

You haven’t staged your home: Never show an empty house, because it’ll make it hard for buyers to picture living in it. Always have it staged. Your realtor should have a stager on speed dial!

You kept up all of your personal décor: If you keep your home personal (with pictures, etc.), buyers will feel uncomfortable in your house. Take those down before showing the home!

Your home improvements are too personalized: If you tailored your kids’ rooms to their specific obsessions, that’s great…until you need to sell the home. Those little touches could scare off buyers.

Your home is too cluttered: Clutter can still be an issue in a clean home. Don’t keep too much furniture in the rooms – it will make your house feel smaller than it is!

Your home is in need of too many repairs: If a buyer knows he or she has to do a bunch of repairs, they are less likely to want to make a move. That’s a lot of extra effort and cost on their parts, even if the repairs are minor.

You choose the wrong real estate agent: You may have noticed a theme throughout many of these previous points. Choosing the right real estate agent is absolutely essential to the selling process. We can make all the difference in selling your home for the right price, in a reasonable amount of time!

Are Walnut Creek’s In-N-Out dreams dead?

According to ABC7, the new In-N-Out location Walnut Creekians have been salivating over might be in trouble.

Just TRY to say no to this picture…

Apparently, a community near the proposed site (N. Main St. at Second Ave.) of the new location is trying to stop the construction because of the expected long drive-thru line that will cause traffic and late night noise.

The city has not taken a stance yet, and the owner of the property already has it zoned for a restaurant, so it may very well still happen. Would In-N-Out have a restaurant without the drive-thru window? If so, how will In-N-Out feed all the folks who don’t want to leave their cars to eat their fast food?

Anyway, the local community rightly likes its quiet, peaceful street and think there is already a plethora of fast food restaurants nearby, making In-N-Out unnecessary.  My son will be bummed, I for one am indifferent.  They are not my favorite, the patty is too small…stay tuned for future blogs on our areas burger locals.

This would look great on N. Main St. Just saying.In all seriousness, it looks like the city will plan a few public hearings after they review the proposal again. It remains to be seen if the local community will have their way, or if residents of Walnut Creek will be able to save themselves 10 minutes of driving on 680 (in either direction…) for those juicy burgers.

For what it’s worth, the anti-In-N-Out petition on Change.org has about 10 times as many signatures as the pro-In-N-Out petition. At least our town gets involved.

Supplemental property taxes can confuse a buyer

Have you recently purchased a home and been thrown off by getting bills about “supplemental property taxes?” Our friend Jay Vorhees at JVM Lending breaks it down for you:

Supplemental property taxes often create significant confusion for new homebuyers. When someone purchases a property in California, the County Assessor is required to immediately re-asses the property for property tax purposes. This re-assessment usually correlates to the purchase price and can take up to six months to complete.

JVM Supplemental property taxes

When a home is purchased, property taxes are usually based on the property tax bill of the current owner or seller. But usually, their property tax bill correlates to the price the seller paid for the property – often much less than the buyer is paying. Then, buyers mistakenly believe the property tax payment estimate when they purchase is an accurate reflection of their actual property tax. Usually, that’s false.

Anywhere from three months and beyond, buyers should expect a “supplemental tax bill” from the County Assessor. Even if a buyer has an escrow or impound account, they have to pay for the supplemental taxes, which can be sizable. As soon as a supplemental bill is received, a buyer should contact their loan servicer.

Also, when new buyers refinance into a new loan less than a year after a purchase, supplemental tax bills can cause confusion. Even if a borrower is refinancing into a lower rate, the housing payment can appear to increase. This is because lenders are basing the new housing payment on the new property tax liability, while borrowers are still basing their housing payment on the seller’s property tax liability, which is too low.

Why your credit score is important to your home purchase

Did you know your credit score can affect your home purchase? In Keith Loria’s BHG story recently, he discussed this idea.

credit score 2As he points out, “having a good credit score can be the difference between obtaining the mortgage you need to buy your dream home—or settling for less because you didn’t qualify for the money you need.”

This is important as many buyers don’t consider their credit score until they’re already involved in the process. At that point, it’s usually too late to fix anything that might be wrong with your score. So think ahead and monitor your credit score!

Don’t like your credit score?   Paying off debts is the fastest way to up your score, but if you are in the process of applying for a loan, check with the lender first. Missing deadlines on your credit payments are huge hits to your credit score!

credit score 1
Image by www.CafeCredit.com: https://www.flickr.com/photos/cafecredit/27321078025/

I also spoke with my local lender, Jay Vorhees of JVM Lending, about this, and he gave me a few benefits to having a high credit score :

  1. Borrowers with higher credit scores usually get lower interest rates (especially when loan-to-value ratios are higher)
  2. Borrowers are allowed to make smaller down payments, if necessary
  3. Underwriting requirements become less onerous because there are fewer conditions and requirements
  4. Second mortgage financing is easier to obtain, if necessary

If you have any questions about credit scores, purchasing a home, or the market in general, please feel free to reach out. I’m happy to help or guide you to the right person!

The State of Convenience

The California Association of Realtors (C.A.R.) report that 69 percent of Americans are looking for ways to simplify their lives. Furthermore, they say, 74 percent of Americans will walk out of a store – even if they have exactly what that person is looking for – if the service is poor. And 45 percent of U.S. consumers say they are likely to pay for a service that provides extra convenience in their lives. See their graphic below:

StateofConvenience.jpg

So, what’s the conclusion here? Consumers value time, and therefore convenience. This also translates to buying a home. Home buyers these days, especially millennials, want updated and move-in ready homes. They want properties conveniently located nearby public transportation or in an area with a high walking score.

As a seller, taking care of deferred maintenance, updates or remodeling will appeal to these convenience consumers.  Though you can’t change the location, you can highlight positive conveniences. As a buyer, know that living without some of these things may either get you a home or a better deal.