Batter Up!

Today is the opening day for the Cactus League spring training season.

Winter visitors and full time residents alike love this time of year. They can preview the coming baseball season, get to watch in an intimate ball park, either in bleachers like the good old days, or lounge in grassy areas surrounding the field.

The west valley has several Cactus League parks. The nearest is the Peoria Sports Complex, springtime home of the Padres and Mariners. Surprise Stadium is home to the Royals and the Rangers. Camelback Ranch in Glendale hosts the White Sox and the Dodgers. Goodyear Ballpark has the Indians and the Reds. All of these parks are just a short drive from Sun City AZ.

The Arizona Association of REALTORS® and the Arizona Department of Real Estate have compiled a booklet of advise for sellers who may be considering a short sale in the state of Arizona.

The booklet includes things to consider before doing a short sale, how to avoid mortgage scams, HUD counselling, helpline services, other options to a short sale, and much, much more.

You can read it or download it here. You will need Adobe Reader or equivalent for this document.

DISCLOSURE: The material discussed here applies in the State of Arizona. Other states have other rules.

Jim Little, your Sun City Neighborhood REALTOR© I try a “Little” harder

This is a long post, and is provided courtesy on the National Association of REALTORS® and

Orlando Regional REALTORS^®. 

The information is valid, now more than ever.

Surveys show that many homeowners and homebuyers are not aware of the true value a REALTOR^® provides during the course of a real estate transaction. 

 

The list here is just a baseline since the services may vary within each brokerage and each market.   Many REALTORS^® routinely provide a wide variety of additional services that are as varied as the nature of each transaction.

 

By the same token, some transactions may not require some of these steps to be equally successful.  However, most would agree that given the unexpected complications that can arise, it’s far better to know about a step and make an intelligent, informed decision to skip it, than to not know the possibility even existed. 

 

 

The Critical Role of the REALTOR^® – 180 Steps

 

Listed here are 180  typical actions, research steps, procedures, processes and review stages in a successful residential real estate transaction that are normally provided by full service real estate brokerages in return for their sales commission.  Depending on the transaction, some may take minutes, hours, or even days to complete, while some may not be needed. 

 

More importantly, they reflect the level of skill, knowledge and attention to detail required in today’s real estate transaction, underscoring the importance of having help and guidance from someone who fully understands the process – a REALTOR^®.   

 

	Pre-Listing Activities
1	Make appointment with seller for listing presentation
2	Send seller a written or e-mail confirmation of listing appointment and call to confirm
3	Review pre-appointment questions
4	Research all comparable currently listed properties
5	Research sales activity for past 18 months from MLS and public records databases
6	Research “Average Days on Market” for this property of this type, price range and location
7	Download and review property tax roll information
8	Prepare “Comparable Market Analysis” (CMA) to establish fair market value
9	Obtain copy of subdivision plat/complex lay-out
10	Research property’s ownership & deed type
11	Research property’s public record information for lot size & dimensions
12	Research and verify legal description
13	Research property’s land use coding and deed restrictions
14	Research property’s current use and zoning
15	Verify legal names of owner(s) in county’s public property records
16	Prepare listing presentation package with above materials and HomeTrack™ information
17	Perform exterior “Curb Appeal Assessment” of subject property
18	Compile and assemble formal file on property
19	Confirm current public schools and explain impact of schools on market value
20	Review listing appointment checklist to ensure all steps and actions have been completed
	Listing Appointment Presentation
21	Give seller an overview of current market conditions and projections
22	Review agent’s and company’s credentials and accomplishments in the market
23	Present company’s profile and position or “niche” in the marketplace
24	Present CMA Results To Seller, including Comparables, Solds, Current Listings & Expireds
25	Offer pricing strategy based on professional judgment and interpretation of current market conditions
26	Discuss Goals With Seller To Market Effectively
27	Explain market power and benefits of Multiple Listing Service
28	Explain market power of web marketing, IDX and REALTOR.com
29	Explain the work the brokerage and agent do “behind the scenes” and agent’s availability on weekends
30	Explain agent’s role in taking calls to screen for qualified buyers and protect seller from curiosity seekers
31	Present and discuss strategic master marketing plan
32	Explain different agency relationships and determine seller’s preference
33	Review and explain all clauses in Listing Contract & Addendum and obtain seller’s signature
	Once Property is Under Listing Agreement
34	Review current title information
35	Measure overall and heated square footage
36	Measure interior room sizes
37	Confirm lot size via owner’s copy of certified survey, if available
38	Note any and all unrecorded property lines, agreements, easements
39	Obtain house plans, if applicable and available
40	Review house plans and make copy
41	Order plat map for retention in property’s listing file
42	Prepare showing instructions for buyers’ agents and agree on showing time window with seller
43	Obtain current mortgage loan(s) information: companies and & loan account numbers
44	Verify current loan information with lender(s)
45	Check assumability of loan(s) and any special requirements
46	Discuss possible buyer financing alternatives and options with seller
47	Review current appraisal if available
48	Identify Home Owner Association manager if applicable
49	Verify Home Owner Association Fees with manager – mandatory or optional and current annual fee
50	Order copy of Homeowner Association bylaws, if applicable
51	Research electricity availability and supplier’s name and phone number
52	Calculate average utility usage from last 12 months of bills
53	Research and verify city sewer/septic tank system
54	Water System: Calculate average water fees or rates from last 12 months of bills )
55	Well Water: Confirm well status, depth and output from Well Report
56	Natural Gas: Research/verify availability and supplier’s name and phone number
57	Verify security system, current term of service and whether owned or leased
58	Verify if seller has transferable Termite Bond
59	Ascertain need for lead-based paint disclosure
60	Prepare detailed list of property amenities and assess market impact
61	Prepare detailed list of property’s “Inclusions & Conveyances with Sale“
62	Compile list of completed repairs and maintenance items
63	Send “Vacancy Checklist” to seller if property is vacant
64	Explain benefits of Home Owner Warranty to seller
65	Assist sellers with completion and submission of Home Owner Warranty Application
66	When received, place Home Owner Warranty in property file for conveyance at time of sale
67	Have extra key made for lockbox
68	Verify if property has rental units involved.  And if so:
69	* Make copies of all leases for retention in listing file
70	* Verify all rents & deposits
71	* Inform tenants of listing and discuss how showings will be handled
72	Arrange for installation of yard sign
73	Assist seller with completion of Seller’s Disclosure form
74	“New Listing Checklist” Completed
75	Review results of Curb Appeal Assessment with seller and provide suggestions to improve salability
76	Review results of Interior Décor Assessment and suggest changes to shorten time on market
77	Load listing into transaction management software program
	Entering Property in Multiple Listing Service Database
78	Prepare MLS Profile Sheet — Agents is responsible for “quality control” and accuracy of listing data
79	Enter property data from Profile Sheet into MLS Listing Database
80	Proofread MLS database listing for accuracy – including proper placement in mapping function
81	Add property to company’s Active Listings list
82	Provide seller with signed copies of Listing Agreement and MLS Profile Sheet Data Form within 48 hours
83	Take additional photos for upload into MLS and use in flyers.  Discuss efficacy of panoramic photography
	Marketing The Listing
84	Create print and Internet ads with seller’s input
85	Coordinate showings with owners, tenants, and other Realtors®.  Return all calls – weekends included
86	Install electronic lock box if authorized by owner.  Program with agreed-upon showing time windows
87	Prepare mailing and contact list
88	Generate mail-merge letters to contact list
89	Order “Just Listed” labels & reports
90	Prepare flyers & feedback faxes
91	Review comparable MLS listings regularly to ensure property remains competitive in price, terms, conditions and availability
92	Prepare property marketing brochure for seller’s review
93	Arrange for printing or copying of supply of marketing brochures or fliers
94	Place marketing brochures in all company agent mail boxes
95	Upload listing to company and agent Internet site, if applicable
96	Mail Out “Just Listed” notice to all neighborhood residents
97	Advise Network Referral Program of listing
98	Provide marketing data to buyers coming through international relocation networks
99	Provide marketing data to buyers coming from referral network
100	Provide “Special Feature” cards for marketing, if applicable
101	Submit ads to company’s participating Internet real estate sites
102	Price changes conveyed promptly to all Internet groups
103	Reprint/supply brochures promptly as needed
104	Loan information reviewed and updated in MLS as required
105	Feedback e-mails/faxes sent to buyers’ agents after showings
106	Review weekly Market Study
107	Discuss feedback from showing agents with seller to determine if changes will accelerate the sale
108	Place regular weekly update calls to seller to discuss marketing & pricing
109	Promptly enter price changes in MLS listing database
	The Offer and Contract
109	Receive and review all Offer to Purchase contracts submitted by buyers or buyers’ agents.
110	Evaluate offer(s) and prepare a “net sheet” on each for the owner for comparison purposes
111	Counsel seller on offers.  Explain merits and weakness of each component of each offer
112	Contact buyers’ agents to review buyer’s qualifications and discuss offer
113	Fax/deliver Seller’s Disclosure to buyer’s agent or buyer upon request and prior to offer if possible
114	Confirm buyer is pre-qualified by calling Loan Officer
115	Obtain pre-qualification letter on buyer from Loan Officer
116	Negotiate all offers on seller’s behalf, setting time limit for loan approval and closing date
117	Prepare and convey any counteroffers, acceptance or amendments to buyer’s agent
118	Fax copies of contract and all addendums to closing attorney or title company
119	When Offer to Purchase Contract is accepted and signed by seller, deliver to buyer’s agent
120	Record and promptly deposit buyer’s earnest money in escrow account.
121	Disseminate “Under-Contract Showing Restrictions” as seller requests
122	Deliver copies of fully signed Offer to Purchase contract to seller
123	Fax/deliver copies of Offer to Purchase contract to Selling Agent
133	Fax copies of Offer to Purchase contract to lender
124	Provide copies of signed Offer to Purchase contract for office file
125	Advise seller in handling additional offers to purchase submitted between contract and closing
126	Change status in MLS to “Sale Pending”
127	Update transaction management program show “Sale Pending”
128	Review buyer’s credit report results — Advise seller of worst and best case scenarios
129	Provide credit report information to seller if property will be seller-financed
130	Assist buyer with obtaining financing, if applicable and follow-up as necessary
131	Coordinate with lender on Discount Points being locked in with dates
132	Deliver unrecorded property information to buyer
133	Order septic system inspection, if applicable
134	Receive and review septic system report and assess any possible impact on sale
135	Deliver copy of septic system inspection report lender & buyer
136	Deliver Well Flow Test Report copies to lender & buyer and property listing file
137	Verify termite inspection ordered
138	Verify mold inspection ordered, if required
	Tracking the Loan Process
139	Confirm Verifications Of Deposit & Buyer’s Employment Have Been Returned
140	Follow Loan Processing Through To The Underwriter
141	Add lender and other vendors  to HomeTrack™ so agents, buyer and seller can track progress of sale
142	Contact lender weekly to ensure processing is on track
143	Relay final approval of buyer’s loan application to seller
	Home Inspection
144	Coordinate buyer’s professional home inspection with seller
145	Review home inspector’s report
146	Enter completion into transaction management tracking software program
147	Explain seller’s responsibilities with respect to loan limits and interpret any clauses in the contract
148	Ensure seller’s compliance with Home Inspection Clause requirements
149	Recommend or assist seller with identifying and negotiating with trustworthy contractors to perform any required repairs
150	Negotiate payment and oversee completion of all required repairs on seller’s behalf, if needed
	The Appraisal
151	Schedule Appraisal
154	Provide comparable sales used in market pricing to Appraiser
152	Follow-Up On Appraisal
151	Enter completion into transaction management program
153	Assist seller in questioning appraisal report if it seems too low
	Closing Preparations and Duties
154	Contract Is Signed By All Parties
155	Coordinate closing process with buyer’s agent and lender
156	Update closing forms & files
157	Ensure all parties have all forms and information needed to close the sale
158	Select location where closing will be held
159	Confirm closing date and time and notify all parties
160	Assist in solving any title problems (boundary disputes, easements, etc) or in obtaining Death Certificates
161	Work with buyer’s agent in scheduling and conducting buyer’s Final Walk-Thru prior to closing
172	Research all tax, HOA, utility and other applicable prorations
162	Request final closing figures from closing agent (attorney or title company)
163	Receive & carefully review closing figures to ensure accuracy of preparation
164	Forward verified closing figures to buyer’s agent
165	Request copy of closing documents from closing agent
166	Confirm buyer and buyer’s agent have received title insurance commitment
167	Provide “Home Owners Warranty” for availability at closing
168	Reviews all closing documents carefully for errors
169	Forward closing documents to absentee seller as requested
170	Review documents with closing agent (attorney)
171	Provide earnest money deposit check from escrow account to closing agent
173	Coordinate this closing with seller’s next purchase and resolve any timing problems
174	Have a “no surprises” closing so that seller receives a net proceeds check at closing
175	Refer sellers to one of the best agents at their destination, if applicable
176	Change MLS status to Sold.  Enter sale date,  price, selling broker and agent’s ID numbers, etc.
177	Close out listing in HomeTrack™
	Follow Up After Closing
178	Answer questions about filing claims with Home Owner Warranty company if requested
179	Attempt to clarify and resolve any conflicts about repairs if buyer is not satisfied
180	Respond to any follow-on calls and provide any additional information required from office files.

 

This post listing 5 Great Reasons to Buy a Home Today was just posted by Steve Harney. Steve is a great real estate trainer/analyst, and tells us why he is so happy that his son just bought a home.

Read it Here. 

Jim Little, your Sun City Neighborhood REALTOR© I try a “Little” harder

The following table summarizes the real estate market for 2009.

2009 Table

Jim Little, your Sun City Neighborhood REALTOR© I try a “Little” harder

With winter temps in the –18 or so, don’t you want to come to Sun City AZ and enjoy yourself?

Sun City is Arizona’s premier adult community. It is celebrating its 50th year in 2010. In spite of being 50 years old, Sun City, like its residents, remains a very vital and lively place.

The nature of our residents means the homes for sale in Sun City are usually well cared for and often updated to today’s standards of amenities and style.

Price’s range from $40K to $450K depending upon style, size, location and home features.

If a home in one of Arizona’s adult community is for you, call or email me, I’ll be glad to help you.

1. Prices have declined to 2003-2004 levels and are bottoming out. You don’t have to pay an over-inflated price.
2. There is still a little room to negotiate with the sellers.
3. Interest rates are a historic lows, but Treasury has already stated the interest subsidies will go away next spring.
4. Tax credits of $6500 to $8000 are still available to many buyers of homes.
5. There can be substantial tax benefits if you finance your purchase.
6. I anticipate interest rates will  rise to 6% in the spring. Higher interest rates will lower buying power.
7. Home prices in the Sun Cities/Phoenix area are now creeping up.
8. You can now own a winter home as cheap or cheaper than you can rent.
9. Inventory of homes for sale in the Sun City and Sun City West area is at its highest in January thru March. You will have the best selection of the year at this time.
10. Enjoy the recreational activities available in the Sun Cities Now. See some pictures here.

Jim Little, your Sun City Neighborhood REALTOR© I try a "Little" harder

Technorati Tags: homes for sale,buying a home,Sun City,Sun City West,Retirement home. Arizona homes for sale,buying an Arizona home.

Not my words, this is the headline from a Business Week writer, Marc Roth.

His position, interest is at ~5% for a thirty year fixed loan. This is a historically low rate, the lowest in 40 years. You can read the original article HERE.

In addition to the points Mr. Roth writes about, think of these.

• Inventory is at a healthy level(827 Active listings in Sun City alone)
• The average list price for a 1435 square foot home is $134,388. This is about $93.00 per square foot.
• Prices are at the 2002/2003 levels.
• 82 homes have sold in the last 30 days, a traditionally slow period.
• Lending guidelines are tightening for all types of home loans.

Consider this, Sun City prices are a great bargain for a home in the sixth largest metropolitan area in the US. Compare the values to New York, Chicago or L.A. and see if you don’t agree.

All in All, good words if you are thinking about a new Sun City neighborhood home.

Jim Little, Your Sun City Neighborhood REALTOR®

Sony created this you tube presentation about the rapid change in our world today. It is almost frightening in its scope. Little factoids such as CHINA is soon to have the largest ENGLISH speaking population in the world. INDIA has more honors students than the US has children.

Technology is changing so fast that subject matter a college student learns as a freshman is OUTDATED by the time he is a junior.

Does this apply to real estate? You bet.

We no longer rely on the daily newspaper to market our listings, we MUST use the tech tools of WEB 2.0 and mobile technology. A home seller should now ask an agent to PROVE their tech marketing capabilities BEFORE signing a listing agreement. Why would you want to lock yourself into a long-term contract with someone who can’t keep up with the times and adequately market your home?

Buyers should seek the same competence in the agent they choose to represent them. In the fast pace of today’s market an agent who thinks the fax is high tech will put the buyers at an extreme disadvantage, and if seeking an REO property, their offer may not be considered, or will fail because another got to the seller faster and more legible.

Buyers and sellers  should consider how much time a professional agent MUST spend each week keeping up with ALL factors that affect the real estate transaction.

It is not just technology, but financing terms, Treasury rules, short sale procedures all have changed in the last week alone. This is NOT a part-time job, but a career commitment. If your in-law, best friend, next door neighbor etc doesn’t have that commitment, should you commit your real estate future to them?

Jim Little, Your Sun City Neighborhood REALTOR®

To Quote Lenn Harley

* * * *  HARD CORE REAL ESTATE TALK  AHEAD* * * *

No day goes by that I don’t see real estate agents advertise something like, “I can short sell your home at no cost to you”. This leads many distressed sellers who are upside down on their home, or who have suffered some catastrophic financial setback to believe that they can be relieved of their mortgage obligation with no cash to the deal.

Both of these are dangerous assumptions. Nobody can make the claim there will be no cost to you before a complete pre-short sale package of forms has been prepared, and the lender has made a committment. When an agent makes these claims without several hours of discussions with you and your lender, be careful, it is a careless claim at best.

In addition, since Arizona is an anti-deficiency state, sellers are lead to  believe they will have no further responibility when the lender takes a loss on the short sale. Borrowers are protected under the anti-deficiency statute ONLY under very specific conditions. The indebtedness must be for PURCHASE MONEY loans, for an OWNER OCCUPIED home of 1-4 units. Home Equity Lines of Credit do not normally qualify. Cash out refinances do not normally qualify either, unless the borrower can PROVE the funds were used to improve the property. Other restrictions also may apply.

If an agent tells you they will NEGOTIATE WITH THE LENDER, run, don’t walk away. Agents claiming to do this run the risk of prosecution for practicing law if they don’t belong to the state Bar Association. You, the SELLER, negotiate with the lender. Your agent helps you negotiate with the buyer, and helps manage and communicate the transaction, but cannot negotiate with the Lender.

More later, as this is a complex subject and cannot be explained in a brief post.

Jim Little, your Sun City Neighborhood REALTOR© I try a “Little” harder