Connect2Agent - Home Buyers and Sellers

How real estate agent teams can meet the demands of today's home buyers (Part II)

This is Part II of a post on the benefits of working with a real estate agent team.

An agent team is intimately knowledgeable about the local real estate market

A real estate agent team can give home buyers an advantage in their local real estate market. This is because they normally have a buyer's real estate agent on their team whose job is to have intimate knowledge of the houses for sale and the neighborhoods these houses are in.

When home buyers search the Internet for properties, they might find a house they like, but the area might not be great. The house that looks great on the Internet might be in a neighborhood next to a drug house, or it might back up to a busy street, said Judy Copple, a local real estate agent with a team in Georgetown, Texas. When you use an agent team, the buyer's agent has his/her "feet on the street," emphasized Copple. 

The buyer's agent knows the communities the houses for sale are in, and can match a home buyer's needs to what is available in the local market. Often, buyer's agents will have time to tour houses for sale and be aware of the local market offerings available. 

They are also familiar with recreational facilities and schools in the area. Individual agents often do not have time to become intimately familiar with individual neighborhoods and communities, because their time is split between the needs of their home buyers and the needs of their clients who are selling houses.

Buyer's agents who are part of a team are able to meet the demands and needs of a home buyer because they know the communities and neighborhoods. They watch the houses for sale, visit them and watch for price reductions. Steve Travers has a buyer's agent on his team who educates their home buyers about the neighborhoods in their local area. His buyer's agent also knows the home builders in their communities and keeps up with the new incentives they are offering to home buyers.

How real estate agent teams can meet the demands of today's home buyers (Part I)

Consider working with a team of agents instead of an individual agent when you purchase your house.

An agent team can provide a home buyer with many services that can be difficult for an individual agent to perform. I spoke with two Connect2Agent members, Vanessa Holmes and Steve Travers, both of Littleton, Colorado, (near Denver) about their agent teams and the services they provide to home buyers that would be difficult for an individual agent to provide. 

An agent team can provide consistent communication to a home buyer

A real estate agent team has more than one licensed real estate agent. Often, a team will have a buyer's real estate agent.  This real estate agent is available to buyers daily via email and phone. In today's world where instant communication is expected, an agent team meets this demand. 

Holmes has a member of her team who is a buyer's specialist. This agent is able to communicate and respond to emails from home buyers within a very short time frame (less than a few hours). Home buyers also need an agent who is able to communicate with them over the phone and is available 24 hours a day/7 days a week.

Tips to consider when relocating to El Paso, Texas (Part II)

If you are relocating to El Paso, this is the second of a two-part post on buying a house in the current El Paso, Texas, real estate market.

Start your loan process before you relocate to El Paso   

You need to have your paperwork together in order to get a home loan. Connect2Agent member and local El Paso real estate agent Brenda Raymond shared that there are many military relocations into El Paso these days. As many as 400-600 military personnel are being relocated to El Paso at one time. She said that some military transferees have been unable to buy a house because they have not had the required paperwork to submit to their mortgage lenders.

The following is a list of items that a mortgage broker will require from you before they will loan you money:

• Copies of your paycheck stubs
• Copies of your current and past bank statements
• Your W-2 forms for the last two years
• Proof of any judgements, liens or student loans that you have paid off
• Leave Earned Statement (a document for military personnel that is similar to a pay stub)
• Proof of your military installation

If you have any credit issues, you will want to make sure to try and clear those up before you apply for a loan. Pay down as much credit card debt as possible and pay off any judgements that are valid on your credit report. If you are able to pay off your debt, make sure you receive documentation providing proof that the debt has been paid.

If you are able to take care of any outstanding credit issues, there are government bond programs available to help a home buyer with a downpayment on their house. If you are with the military, you may be eligible for a VA (Veteran's Administrative) loan, which allows home buyers to finance a house with no downpayment.

Tips to consider when relocating to El Paso, Texas (Part I)

If you are relocating to El Paso, Texas, there are a few things you need to consider before you start your house hunt.

The advice I received for home buyers in El Paso is from Brenda Raymond, a Connect2Agent member and local real estate agent in El Paso.

You can find affordable housing in El Paso right now

El Paso provides great deals for consumers who are looking to purchase a house there now. A single-family, three-bedroom, two-bath house ranges between $100,000-130,000 depending on square footage. There are even some houses at $95,000. 

Two years ago, a three-bedroom, two-bath single-family house would have cost a home buyer approximately $150,000. When single-family houses went on the real estate market, there could be as many as six real estate agents showing the house around the same time. Many sellers received multiple offers on their house.

Now, buyers are motivated because of the large number of houses on the market. Raymond shared that there are currently almost 4,700 houses on the market in El Paso. Now is the time for home buyers to search for the home of their dreams and to work with a real estate agent who will be patient and is willing to work with them to find their dream home.

Get pre-approved before you start house hunting

You should obtain a pre-approval from a mortgage lender before you start searching for a house. The pre-approval will help you determine what you can afford and ensure you will be able to get financing for a home loan. If you are relocating, you should try to work with a local credit union in El Paso, Raymond recommended. She said local credit unions tend to charge less fees for closing costs and are able to move paperwork a lot more efficiently.

If you shop online for a loan, make sure you know what you are getting approved for and what conditions are subject to your approval. Raymond has worked with clients who have been approved online and then relocated to El Paso, only to find out they were unable to qualify for the loan because of conditions that restricted their financing. She said often an online lender might provide a home buyer with a pre-approval, but none of the home buyer's paperwork has been reviewed to determine that they can actually qualify for a full loan approval.

Contact Connect2Agent for more information about real estate in El Paso

If you have questions about housing in El Paso, Texas, or any other real estate market in the United States, contact a local real estate agent from Connect2Agent.

Posted by Rebecca D. Levinson

How to select a mortgage broker

If you are in the market to buy a house, the mortgage process can seem very daunting. 

Many headlines in the papers today talk of home buyers who have been scammed by their mortgage companies.

How can you find the right mortgage broker for your financial needs? 

I spoke with Brenda Falvai, a Connect2Agent member in Anaheim Hills, California, and asked her, "What criteria do you use in recommending a mortgage broker to your clients?"

Falvai has 2-3 mortgage lenders she refers her clients to. She recommends a mortgage lender who has experience in the marketplace, a professional reputation in the industry and knowledge of a variety of residential loan programs. 

Falvai recommends that home buyers seek a referral from their real estate agent when looking for a mortgage lender. A real estate agent will give a referral because they want to provide a valuable service to their home buying customer.

Falvai also suggests that a home buyer keep all their mortgage closing documents. She said just like any warranties or other important papers you would keep, your mortgage documents should be kept in a safe place where you can access them again.

Posted by Rebecca D. Levinson

What is most important to you when you choose a real estate agent?

Connect2Agent is listening and wants to know: How do you choose your real estate agent?

We want to know what you look for in a real estate agent and what kind of information you are seeking online to help you with your decision.

A trusted real estate news source tells us there are nine things you don't care about in a real estate agent. Are they correct? Do you agree?

A recent article from RIS Media (a real estate news source), titled Nine Things Consumers Won't Care About in the New Year, has our staff at Connect2Agent talking. We have worked with real estate consumers for almost 18 years by helping them find a real estate agent they can trust. You could say that we consider ourselves to be experts in making a perfect match between a real estate consumer and a qualified real estate agent. 

So back to the article. Why are we all abuzz? We know that real estate consumers want a real estate agent who can provide unparalleled service and is competitive in his/her rates. 

These are the things the article says consumers don't care about in the new year:

1. An agent advertising how good he/she is at what he/she does
2. An agent's education, certification or designations
3. An agent's brand
4. An agent advertising that he/she has great service
5. How much an agent charges
6. How an agent feels today; what his/her mindset is
7. Why an agent can't do something
8. How long an agent has been in business
9. How cool an agent's marketing looks

My personal experience as a home buyer, seller and professional in the real estate industry:

I personally agree with items 2-4, but do not agree with items 1 and 5-9. I think a homeowner doesn't know enough about designations to care about them. I also believe that actions speak louder than words--an agent who advertises great service has to actually provide great service.

I do think that a real estate agent's commission cost is important to some real estate consumers. Otherwise, companies like Help-U-Sell and Redfin wouldn't have any success to speak of. Also, an agent who always has a negative outlook on the market is not going to be able to sell many houses. 

Although newer real estate agents can be better than agents who have been in the business for a while, some homeowners will feel the number of years a real estate agent has worked in their local market is an important qualifying factor. If a real estate agent doesn't have great marketing, they might not be chosen for a listing over another agent who does. And finally, if a real estate agent can't perform a certain task, they need to explain this to the consumer and then provide a solution at the same time.

That's just my three cents.

Bottom line: Connect2Agent wants to know what is important to you. 

I don't want to bore the office with my opinions anymore. I love quantitative feedback, so I am opening the issue: I am asking homeowners, real estate agents, buyers and sellers to tell us how you feel. Do you agree with the points raised in the article or do you disagree? If so, why?

Please help us to better understand the needs of real estate consumers in the new year by commenting below. Your feedback will help us understand and improve the services we have been offering to real estate consumers for more than 17 years. Your opinion matters, so please take a moment to comment below.

Posted by Rebecca D. Levinson

How homeowners in California partnered with their real estate agent to sell their house in 30 days (Part III)

If you partner with your real estate agent, you will be able to sell your house more quickly. A true team effort requires communication, honesty and effort. Meredith and Tom Molokie, homeowners in Antelope, California (an unincorporated area in Sacramento County), were able to partner with their real estate agent, Joellinda Hannigan, to sell their house in less than a month and to purchase the house of their dreams.

Meredith recommends that home sellers become open-minded in their real estate transaction. She feels there were a couple of important factors that helped her and her husband work as a team with their real estate agent. Continuing from Part II of this series, she suggests the following for homeowners:

3. Make sure your real estate agent has a marketing strategy.

Before Hannigan listed the Molokies' house, she came in and staged the house for them. She had them store unnecessary clutter to make the rooms appear more spacious. She added indoor plants to brighten up the house and make it look cozy. 

The Molokies' master bedroom appeared to be smaller than some of their competition. She had them purchase new bedding as well as a higher mattress to make it appear more luxurious. The new look gave the bedroom more of a master suite feel.

Aside from staging, Hannigan's Internet marketing helped the Molokies' house gain wide exposure to home buyers. She not only listed their house on the Multiple Listing Service (MLS), but also had a video tour done of their house and posted it on a separate website. Hannigan provided traffic statistics so the Molokies knew what kind of activity their house was getting on the Internet.

4. Get educated on your local market from your real estate agent.

When you are choosing a listing price, you need to let your real estate agent educate you about the local real estate market. Meredith said that even though they sold their house for less than they purchased it four years ago, they were happy with the end result. 

The Molokies were aware--through email correspondence with their real estate agent--that house values were declining in their area. They also knew that if they wanted to upgrade to a larger house, they would need to purchase now or they would be priced out of the market.

The Molokies purchased a new-construction, 1,557-square-foot, energy-efficient house originally listed at $540,0000 for $360,000. They were able to do this because Hannigan listened to their needs and helped them narrow down their location. 

When they toured the house, they knew they had found a match for their family. The price of $540,000 was out of their budget, but Hannigan worked with the home builder's sales representatives. She let them know that the Molokies would be great home buyers. 

They had great credit and a sizable downpayment. These factors were attractive to the home builder. When the Molokies put in their offer--$180,000 less than the asking price--it was accepted 3-4 days later.

Share your real estate success story!

The Molokies successfully closed on their house and moved out in November. They are waiting for their new house to be completely finished and are looking forward to the new year in it. They credit their good luck to the hard work and diligence of their real estate agent, Joellinda Hannigan. They would refer Hannigan to family and friends in a heartbeat.

Do you have a success story in which you and your real estate agent partnered together to sell your house or find the house of your dreams? Connect2Agent invites you to share your story by commenting below.

Posted by Rebecca D. Levinson

How homeowners in California partnered with their real estate agent to sell their house in 30 days (Part II)

If you want to get your house sold quickly without incurring a huge loss, you need to partner with your real estate agent.

Meredith and Tom Molokie, homeowners in Antelope, California (an unincorporated area in Sacramento County), were able to get their house sold in less than a month at a sales price that met their needs. 

How did they accomplish this in a market where they were competing against bank-owned (REO) properties and homeowners who were nearing foreclosure and selling their houses on short sales? They credit their experience to their real estate agent, Joellinda Hannigan, and to the relationship they were able to build with her. This relationship made their home selling experience a team effort and helped them to beat out the competition in their local market.

1. Choose a real estate agent you can trust.

If you are selling your house, the biggest factor in having a successful offer to purchase is in choosing your real estate agent, Meredith said. She decided to use Hannigan to list her house because she helped them purchase the same house when her family relocated to the area from Maine four years ago.   

Hannigan took the time to help the Molokies familiarize themselves with the differences between Maine and California, even though they did not relocate for several months to Antelope. Meredith and Tom were impressed with the patience Hannigan had in touring houses with them for three days. 

They appreciated Hannigan's professionalism. She listened to the Molokies' needs: They wanted a house that would be a short commute to the elementary school and that was near a local park. The house that Hannigan found for them was near three elementary schools and was within walking distance to a park.

When it came time to sell their house, the Molokies didn't hesistate on who should relist their house.  They had complete trust and faith in Hannigan's abilities as a real estate agent.

When sellers choose a real estate agent, it is important that they find an agent they feel comfortable with. Meredith recommends you ask the real estate agent all the questions you have and make sure you are getting open and honest answers to your questions. She also believes that the most important factor for a seller to get their house sold quickly is finding the right real estate agent to work with.

She said sellers should make sure the real estate agent they hire doesn't beat around the bush and is educated enough about the local real estate market to be able to make solid recommendations when it comes to price and marketing strategy.

How homeowners in California partnered with their real estate agent to sell their house in 30 days (Part I)

If you are selling your house and have a lot of competition in your local real estate market, what can you do to get your house sold quickly?

In two recent blog posts, we covered the topic of how to partner with your real estate agent to sell your house quickly. Two Connect2Agent members, Joellinda Hannigan and Stephanie Meyer, agreed that sellers can take the following five steps to partner with their real estate agents and sell their house quickly:

• Price your house correctly from the beginning.
• Stage your house.
• Be flexible with price reductions.
• Consider low-ball offers.
• Be flexible with house showings.

Recently I interviewed Meredith Molokie, a homeowner who sold her house this past fall in Antelope, California (an unincorporated area in Sacramento County). Molokie credits her fast home sale to her partnership with her real estate agent, Joellinda Hannigan. She believes that because of their continuous communication, effective Internet marketing and the education that Hannigan provided to her and her husband, their house sale went through quickly.

Here is her story:

Molokie purchased her house four years ago during a housing boom in Antelope, California. She purchased it for $334,000 during a time when housing prices in the area were increasing between $10,000 to $15,000 a week. She and her husband, Tom, were first-time home buyers and had planned for the house in Antelope to be their starter house. They were planning on living in the house for no more than 3 to 5 years before they upgraded into a larger house.

The Molokies had been watching the housing market since they purchased their house and noticed during the past two years that property values had started to decline in Antelope. This year, they decided to sell their house so they wouldn't take a huge loss on their home sale. The goal was still to move into a bigger house.

The couple listed their house with Hannigan at $324,000. Two weeks later, the Molokies reduced their listing price on their house to $315,000. Within a month from the time they initially listed their house, they received an offer for $300,000. They countered and sold their house at $307,500.

Look for Part II to find out what the Molokies did to sell their house in less than 30 days.

Posted by Rebecca D. Levinson

Do you qualify for Bush's new subprime ARM plan?

If your interest rate is resetting and you cannot afford the increase in your mortgage payment, where can you go for help?

President Bush announced a new plan Thursday afternoon to help borrowers who have a subprime adjustable rate loan. This plan would allow qualified applicants to lock in their initial interest rate for five years.

The key to the plan is whether you fall under the category of "qualified applicant" as reported by The Wall Street Journal.

You may qualify for Bush's plan if:

• You took out your loan between January 1, 2005, and July 31, 2007.
• Your mortgage interest rate will reset between January 1, 2008, and July 31, 2010.
• You have a subprime Adjustable Rate Mortgage (ARM).
• You live in your home.
• You have your interest rate reset by 10% or more.
• You have a credit score of less than 660.
• You have a credit score that hasn't improved by 10% since you first got your mortgage.

You won't qualify for Bush's plan if:

• You have good credit (higher than 660) and have a fixed-rate mortgage.
• You have a conventional mortgage.
• You have been 60 days late on your mortgage payment more than one time in a 12-month period.
• Your loan is already behind more than 30 days.
• Your mortgage is backed by securities that the bank holds.
• Your mortgage interest rate has already reset.

This seems like a great plan for a desperate homeowner whose loan hasn't yet reset and has managed to keep their mortgage payment from falling behind more than 30 days. This same homeowner might not have food in their house, heat or electricity, but has managed to keep a roof over his/her head. 

Actually, strike that. 

This homeowner might have food, heat and electricity because they have maxed out their credit cards paying these bills, thereby meeting the low credit score requirement in Bush's plan.

Am I wrong? Please help me to understand.

The program is supposed to encourage mortgage companies to help homeowners who are not "qualified applicants" to refinance to a lower interest rate. This would be for homeowners who could meet the refinancing criteria, which would normally be a good payment history and decent credit score.

I am seeking information for the homeowners who don't fall into the desperate category or the good credit refinancing category. If you are a mortgage professional, I invite you to share your advice by commenting below.

Posted by Rebecca D. Levinson