Tag Archives: Buyers

House hunting? It’s not a buyer’s market everywhere

CB104916Some potential home buyers, especially first-time buyers, may be misinformed about today’s market, believing that all sellers are desperate and will accept any offer. However, in many desirable, middle-class neighborhoods, bidding wars are prominent and buyers often have to make offers slightly above the asking price.

• Although California’s median home price – the price point where half of the homes sold for higher and half for lower — was 39 percent lower in March than a year ago, many of the sales taking place are in areas, such as the Central Valley and the Inland Empire (Riverside and San Bernardino counties), which have higher foreclosure rates. These regions offer home buyers better opportunities to purchase homes at extremely low prices.

• The California housing market is often characterized as having three pricing segments: under $500,000, $500,000 to $1 million, and more than $1 million. Homes in the under-$500,000 segment have accounted for the majority of the state’s price declines thus far.

• As real estate is local, a home in one neighborhood with the same square footage and amenities may not sell for the same price as a comparable home in a neighborhood one mile away. By working with a REALTOR® familiar with a specific area, home buyers should be able to submit reasonable offers that are more likely to receive seller approval.

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Kathy Dyer Realtor CABRE #01723710

kdyer@KW.com  831-717-7047

KW Coastal Estates

Carmel Ca. 93923

Kathy Dyer Realtor with KW Coastal Estates serving the Monterey Peninsula area

 

Certified Distressed Property Expert

Top 10 Questions Buyers Ask

1. What should I do before considering purchasing a home?

Having your finances in order will facilitate your home search. Some things you should consider are: annual income, down payment, credit card debt, loan balances.

 

2. What is the first step when purchasing a new home?

It is important to know your buying power and you are pre-approved prior to starting your home search. This will allow you to concentrate on properties within your price range.

 

3. What is the cost of getting pre-qualified?

There is no cost for getting pre-qualified.

 

4. How do I choose my mortgage?

It is recommended that you consider your financial goals and long-term plans to determine which loan program is best for you.

 

5. Do I have to pay you to represent me?

Usually, the Seller will pay the Listing and Buyer’s Agent an agreed upon commission.

 

6. If I find a home that is not listed by you, can you still show it to me?

Yes, I am able to show you any home, new or resale, regardless of who is the listing office.

 

7. What do I do when I find the house I want?

You will need an earnest money check to accompany your Offer to Purchase. Usually, a minimum of 1% is acceptable. At this point, the Seller may accept your offer, reject your offer or counteroffer. Negotiations will begin. When the Seller accepts your offer or you accept his/her counteroffer in writing, you have a legal binding contract for the sale of the property. Your money will be deposited in the listing broker’s trust account until close of escrow.

 

8. Is it a good negotiating strategy to submit a low offer at first?

You should take into consideration that if your offer is too low, another buyer may submit a higher offer before you get an opportunity to submit another offer, or accept the Seller’s counteroffer. There have also been instances when the Seller is insulted by the low offer and refuses to entertain any more offers from you. Also it is common to have multiple offers on many REO properties, if that is the case, you should submit your best and highest. Your Realtor will give you input to help you decide what to do.

 

9. How long is escrow?

The length of time escrow is opened varies by transaction. There are various factors that affect the length of time escrow is opened. It varies by transaction.

 

10. When do I get my keys?

At the close of escrow, your Agent will contact you regarding the disbursing of your keys.

Kathy Dyer Realtor CABRE #01723710

kdyer@KW.com  831-717-7047

KW Coastal Estates

Carmel Ca. 93923

Kathy Dyer Realtor with KW Coastal Estates serving the Monterey Peninsula area