Occasionally I get a call from a seller looking to sell their property however said property is currently occupied with tenants or a future ex. No matter whether it is a normal resale or distressed short sale, I have a strict no tenant policy in place. This means if you have a home you want to sell and someone other than the owner is occupying it, call me when they move out!
Let’s face it, I am an aggressive Realtor. My combination of traditional and online marketing blitz is really unparalleled which results in showing traffic and offers. It is a frustrating experience to get the momentum ball rolling only to have it crash at the front door of an uncooperative tenant.
If I have learned one thing in real estate over the years, that lesson is that exes and tenants really do not care about a seller selling their house. Sorry but it is true. I have had sellers tell me that tenants have promised, even in writing, that they will comply with all showings with 24 hours advance notice however what I have experienced is nothing less than the opposite. House is left unkept ranging from as little as unmade beds and dirty dishes to hoarder type filth. Tenants avoid phone calls, refuse to open the door, sometimes even abusive to the agents calling. Once I had a tenant add an extra lock so even though the key in the lockbox opened 2 locks, the tenant installed a third so we could not enter.
Let’s face it, if the house sells that means one thing to the tenant or ex wife/husband – It is time to move out in 30 days or less! The longer they can prolong the expense of movers and finding a new place to live then they will! There is no motivation for them to keep the house spotless much less sell the house. I have even had buyers avoid looking at tenant occupied homes in fear of facing the eviction process in the event they do not move in time. The only instance where tenants occupying the property is a plus is for investor purchases but the pool of landlord investors has dwindled in this market.
I am positive that there are wonderful tenants out there who do comply with showings however it is my personal choice that I do not take those listings. Good luck and let me know when the property is vacant!
Fannie Mae has just updated their timeframe for defaulting borrowers who wish to qualify for future conventional loans. This update includes the waiting period for Deed in Lieu and Short Sale on conventional confirming loans effective on or after July 1, 2010. No changes have been made to bankruptcies or foreclosure so the current guidelines will apply. Why is this important? Before this update, there were a handful of sellers looking to get out of their “underwater homes” via short sale and turn around and purchase a new property with instant equity. Since every lender is different, some lenders do not require sellers to necessarily show a valid hardship or be behind in their current mortgage therefore some sellers could instantly qualify for immediate repurchase. Fannie Mae is putting a stop to that after July 1, 2010.
According to Fannie Mae:
When a seller uses a Deed-in-Lieu of Foreclosure the new waiting period is as follows:
2 years from completion date, Max LTV 80%
4 years from completion date, Max LTV 90%
7 years from completion date, follow standard LTV chart
*Special Exceptions for Extenuating circumstances Deed-in-Lieu of Foreclosure = 2 years from completion date, Max LTV 90%
When a seller uses Short Sale in lieu of foreclosure the new waiting period is as follows:
2 years from completion date, Max LTV 80%
4 years from completion date, Max LTV 90%
7 years from completion date, follow standard LTV chart
*Special Exceptions for Extenuating circumstances Short Sale in Lieu of Foreclosure = 2 years from completion date, Max LTV 90%
This does not apply to FHA or VA loans, only conventional loans
I love marketing real estate. I am always on the prowl looking for new and exciting ways to market my listings to the masses and while my 21st century marketing blitz is on the cutting edge for local realtors, there is one basic step that will always remain CRUCIAL when selling real estate. The most basic marketing concept that (in my opinion) separates the amazing Realtors from the lackluster and differentiates the homes that sell from the homes that sit stagnant on the market. PHOTOGRAPHS!
No matter how high my website is ranked in the search engines or how many e-flyers I send out per month, nothing sells a house more than photos! With that being said, I am still shocked at the quality that are uploaded into the MLS on a daily basis. Let’s not even talk about the listings that completely lack a photo in the first place (gasp!), or properties that only host one exterior shot but what about the photos of dirty kitchens, unmade master beds, blurry or crooked shots, low res with the date burnt into the image. Not only do I want all rooms cleaned for photos, I even remove the little things that clutter a photo like refrigerator magnets or TV remotes.
I take property photography seriously! Unlike most Realtors using a point and click pocket camera, I use a professional digital SLR camera for my shots complete with wide angle lens. I normally average between 150-400 photos (depending on size of property) and then spend hours going through them to select the absolute best for cleanup and/or slight photoshop. Nothing but the best for my Georgia sellers!
Not long ago I was in a listing appointment when the potential sellers asked if a reduced commission could be negotiated if they used me on their subsequent home purchase. I am always happy to accommodate clients who are selling a home to buy another so I responded with “yes, what area are you looking in”?
Alpharetta.
I paused for a moment and spoke with honesty. “I am always happy to assist you wherever you purchase. While I am familiar somewhat with Alpharetta and North Fulton county (I have taken quite a few clients there), I feel compelled to tell you that I am not the subject matter expert there as I am here in Cobb, East Paulding and North Douglas counties. Obviously I can take you to see the listings and be your expert negotiator however if you are looking for someone who specializes specifically in that area, I may not be the fit for you. You will not hurt my feelings at all. I feel confident I can sell your home here in Mableton, why don’t you think about it and once your home goes under contract, we can discuss then.”
I am pleased to report I did land the listing, a stucco beauty loaded with upgrades just waiting for the perfect Mableton home buyer.
While I do have multiple buyers agents on staff who handle different areas in and around metro Atlanta GA, as a listing agent I specialize in the selling homes in the following real estate areas:
Acworth, Austell, Dallas, Douglasville, Hiram, Kennesaw, Lithia Springs, Mableton, Marietta, Powder Springs, Roswell, Smyrna, Villa Rica and Vinings.
One of my most popular questions is regarding the foreclosure process and what are the steps leading up to foreclosure. While it is important to understand that timeframes between each step vary from state to state and lender to lender. Some states are judicial and some are non judicial states. GA is a non judicial state meaning the bank does not have to file a lawsuit or go to court in order to foreclosure on the property. It would also be helpful to put a disclaimer right here that states: Always contact an attorney, tax professional or retain a real estate professional for specific advice about your situation.
Now that legalities are out of the way, let’s get started with the steps to foreclosure:
1. DELINQUENCY – A Delinquency occurs when you are up to 30 days late on your payment
2. DEFAULT – The loan goes into default once payments are OVER 30 days late. At this point the lender will contact you to see if this is a short or long term problem and will work accordingly.
3. LOSS MITIGATION – Once the bank realizes that the default is a long term problem (job loss, ARM adjustment, illness, etc) then the lender will offer the homeowner some options to avoid foreclosure to include:
Loan Modification
Forbearance (grant a few missed payments)
Negative Settlement
Deed in Lieu
Short Refinance
Short Sale
4. FORECLOSURE – If Loss Mitigation fails then lender will foreclose, evict borrower and put property up for auction
5. REO (Real Estate Owned) – If the property is not sold at auction then it will revert back to the lender as a REO which is then prepped and sold on the market
While many buyers are disappointed with the tax credit deadline and failure to extend, there is one exception according to the IRS. Any Federal employee or member of military who served outside of the United States for 90+ days between December 2008 and May 2010 will be granted a one year extension to the home buyer credit.
According to the IRS:
Members of the military and certain other federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and qualify for the credit. Thus, an eligible taxpayer must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2011. If a binding contract is entered into by that date, the taxpayer has until June 30, 2011, to close on the purchase. Members of the uniformed services, members of the Foreign Service and employees of the intelligence community are eligible for this special rule. It applies to any individual (and, if married, the individual’s spouse) who serves on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after Dec. 31, 2008, and ending before May 1, 2010
Don’t let the tax credit get away, contact a Realtor today to get started!
Historically peak market in metro Atlanta runs from 3rd week of January through Memorial Day weekend. People are very surprised to find that the summer months (June and early July) are very slow. Your typical American tends to think of the summer months as the real estate boom time, when kids are out of school and families are scurrying around trying to locate, close and unpack a home before the kids start back the next school fall. While that may be true in other markets, Atlanta (at least the western suburbs that my team specializes in: Cobb, Douglas, Paulding, Cherokee and Fulton counties) tends to get things under contract in the spring with closing no later than June 30.
So the million dollar question is now with the April 30 tax credit expiration, has the market prematurely ended? While it is only the beginning of the second week of May, all indicators tend to point that way. Although I keep a positive outlook on all things real estate and beyond, I had estimated that the spring housing rush would peak in April with a loud crescendo at month’s end leaving May with nothing but crickets chirping. So far I am correct. What the tax credit did was push some buyers off the fence and other buyers to rush to get under contract a month earlier.
Unfortunately in the melee of last minute scurrying buyers, a lot of things were rushed: buyers choosing properties they didn’t necessarily love but wanted the tax credit, lenders not taking full loan apps or fully qualifying buyers. The first week of May saw a lot of contracts falling apart much to the dismay of sellers who received multiple offers in last minute bidding scenarios with no buyers to fall back on now.
But never fear, although June tends to be one of the slower months of new activity (kids getting out of school, settling into summer routines, family vacations), historically the market picks back up a bit in July and more in August. It has been my experience that September – November are also very strong months.
Now I realize I may be just a local Realtor but I stand strong that the worst is behind us. The market has stabilized, data now shows the market hit bottom last summer/early fall 2009. If we can all be a bit more patience, I see beautiful blue skies ahead!
Occasionally I like to veer away from my traditional Real Estate blogging and focus on something positive in the community.
For all pet loving residents residing in and around Paulding county, I want to share what a wonderful experience I have had with Hiram Animal Hospital. While my dogs and I have met and consulted with all Drs there with positive experiences, my particular admiration goes to Dr. Chris Johnson, DMV.
While 2010 has been an amazing year for my real estate team, it has not been such a great year for my four legged furry children. Listen, I have had some horrible veterinary experiences in my day. I am the first to admit, no matter your veterinary education, it does tend to be difficult to diagnose a patient that is not only unable to communicate said symptoms but also (some breeds) are too stoic to exhibit any symptoms of pain at home or during exam. I think it really takes an amazing human being to be able to not only be able to spend the proper time during exam and explanation with pet and parent alike, but to almost have a sixth sense about what the animal is going through and what next steps are needed for diagnosis and treatment. I personally have always searched for the all knowing doctor to find the solutions but also compassionate enough to hold my hand when it is time to say goodbye to a beloved family member. I have found all of that and more with Dr. Johnson.
I tried Hiram Animal Hospital on a whim from a recommendation of a former client and I drove past 3 other vet offices to get there. I don’t put a seal of approval on much but for all the animal lovers out there relocating to the Hiram, Dallas, Powder Springs or Douglasville areas (of Paulding, Cobb or Douglas county) this is the vet I give my five stars glowing recommendation to.
Hiram Animal Hospital is located at 1019 Hiram Douglasville Hwy in Hiram (Hwy 92) right around the corner from historic downtown Hiram. (770) 439-1117 Make sure you give Dr. Johnson a big hug from me!
