Ratified or Terrified?

October 25, 2008 · Shokoofeh Nowbakht · 1 Comment

My first time home buyers became terrified when their offer ratified! They had submitted few offers on other properties and were overbid every time. Is it the market we’re in today? Is it not expected for the first offer to get accepted?
What has been your experience?

Remodel or Remodeled?

October 22, 2008 · Shokoofeh Nowbakht · 3 Comments

Would you buy cheaper and remodel or buy remodeled? Does it make sense for the first time home buyers to try to save money by buying a property that needs some TLC and remodel it themselves? How much TLC is reasonable? Just some thoughts and concerns! Do you have to be a good handyman to buy a fixer upper? Why do we realtors use “Contractors’ Special” comment on MLS? Should a non-contractor buy a fixer upper? Ok, what are your thoughts?

Is it a good time to Move Up?

October 17, 2008 · Nicole Machado · 1 Comment

Everyone’s question these days seems to be “Is now the right time to buy”? I have come up with a chart that helps you make the decision if now is the right time to buy!

Current Home New Home

Sell	Spread (What it would cost you to move)	Buy
$100K	$100K	$200K
(Value appreciates 10%) $110K	$110K	$220K
(Value depreciates 10%) $ 90K	$ 90K	$180K

The above chart is an example of a “move-up” buyer determining whether it is a good time to purchase an upgrade property.

Now ask yourself this question… “When does it make more sense to move up- when prices have gone up less or when they’ve gone down more?”

If you have answered when prices go down, you are the lucky winner!!!! You profit the most when the spread is less. So whether you are discouraged that you don’t have enough equity or down payment in order to move, ask yourself this question….

“If you don’t feel you can move up comfortably now, how will you be able to do so when prices go up further?”

***One last thing to ponder… When interest rates go from 6% to 7.5% the prices of homes would have to go down 14.7% in order to keep the same monthly payment.

HOA Dues: Junk Fees or Good Budgeting?

October 17, 2008 · Lee Ginsburg · 2 Comments

Many people are under the belief that paying the HOA Dues is like throwing money out the window. I am not sure so let’s review the costs of Home Ownership that is covered under the HOA Dues.

The following costs are approximate present day costs for a 1200 square foot home and a 2 Bedroom Bay Area Condo Read more

That House Costs HOW Much?

October 13, 2008 · Jean Joh · Comment here

During my mall shifts at Serramonte & Tanforan Shopping Centers, I often interact with people who are just stopping by out of curiosity as to how much home prices are. The ones who own homes in this area are usually a little concerned about the value of their own homes. The ones who are renting in the area are curious to know if the prices are “at bottom” yet and if they should finally start thinking about buying a home. But it’s interesting to note the response of those who are visiting from out of town or even from another country. Their response goes something like this, “That house costs HOW much?”

Appraisers… what’s their real job description?

October 9, 2008 · Nicole Machado · 5 Comments

Since when did appraisers become home inspectors? Just curious as I encountered a never before sitaution today… As my property inspector was packing up from a routine property inspection, the appraiser drove up (early I may add) to what I thought at the time was to appraise the property. Read more

How much does it cost to make an offer?

October 2, 2008 · Shokoofeh Nowbakht · Comment here

“How much does it cost to make an offer,” my first time home buyer asked. Nothing, but you do need to write a check for up to 3% of the purchase price, made out to a title company of your choice. This is the “earnest money,” or “good faith money.” This is not a down payment, but just a deposit to secure the offer or contract to show how serious the buyer is. In the simplest words, by default, buyer has 17 days, unless otherwise stated in the contract, to cancel the contract and get their deposit back.

How Much Will the Seller Take?

October 1, 2008 · Julie Cleland · Comment here

In today’s market every buyer is looking for a bargain. With that in mind it is no surprise that the question most often asked these days from buyers is “How much will the seller take?” There is only one sure-fire way to find out…write up an offer! Read more