As we’ve mentioned in previous articles, home sellers are at risk when they put their home on the market. Information about their home is public and even agents don’t always know the warning signs until it’s too late. Below is an article about an issue we’ve come across before. Scammers take the listing information of a home and post it as a rental on other websites. If you are listing your home and you feel like anything is fishy, report it to your agent immediately. It’s better to be safe than sorry!

Daily Real Estate News | June 9, 2011 |

Some home owners are getting a surprise when a person shows up on their doorstep, with a lease agreement in hand, saying that he or she is renting out their home, which isn’t for rent but for sale. Law enforcement and real estate professionals are finding a growing scam involving for-sale listings being promoted as rentals–without home owners’ consent.

Scammers are taking listing information of homes for-sale–including photos–and then re-posting that information on rental sites and tweaking it to pass the home off as a rental. The scammers then use a fake lease agreement and collect rent from unsuspecting consumers. And when the scammers don’t present keys for the property, they give the unsuspecting renter permission to call a locksmith to gain access to the home.

Les Sulgrove, president of the Des Moines Area Association of REALTORS®, recently issued a warning to association members about the scam. He suggested real estate professionals set up Google alerts for the home addresses they’re listing so they’ll learn if their clients’ information is being misused on another site. “All it takes is cutting, pasting, and changing some key pieces of data,” Geoff Greenwood, spokesperson for the Iowa Attorney General’s office, told the Des Moines Register. “People find out the hard way what they paid for wasn’t for sale or for rent.”

Source: “Growing Online Scam Uses Legitimate for-sale Home Listings to Trick Renters,” Des Moines Register (June 5, 2011)

The first thing home buyers will look at when they arrive at your home is your front yard. The color of your home, the landscaping, walkways, and if the home is attractive from the outside, will be all that is on their minds. Regardless of the fact that you just put new appliances in the kitchen, or you have gorgeous hardwood floors, if the curb appeal is not attractive, many homeowners will never make it inside your home.  Ensure that your home is appealing from the curb, with these 10 ideas to attract your future home buyers.

1.)   Color of your exterior home: Before you start on the yard, start on your physical exterior of your home. Look at neighboring homes, and drive through the neighborhood to get the general aesthetic, and color palette of other homes. While your house doesn’t have to be the same color, it should be within the same historic or aesthetic color palette as neighboring homes. Consider repainting your home, or pressure washing siding or brick.

2.) Accentuate the accents of your home: Whether you have shutters that adorn the sides of your exterior windows, or columns that greet potential home buyers on the front porch, ensure they are all immaculate in restoration, upkeep and they are in good condition. Ensure that low planters, brick walls, fences, exterior lighting, and garage entryways are free of debris and all damaged areas have been repaired.

3.) Interior finishes don’t hinder the outside appeal: For many homeowners the thought of standing outside their home and looking back at the house isn’t considered. Interior finishes such as window treatments; window hanging decorations, and window obstructions, such as furniture in front of windows can be seen from the curb. Ensure furniture, window treatments, and other interior elements cannot be seen from the street, or they are in complimenting colors to the outside of the home.

4.) Walkway and entry areas: The next area homebuyers will look at are the entryways to get into your home. Consider the driveway, sidewalk, stairs, and stepping stone pathways around your home and clear these of weeds, debris, and pressure wash concrete, brick, and pavers to give a clean appeal to your stepping areas. If preventable, try not to park cars in the driveway, especially if they leek oil and leave unsightly stains on the concrete.

5.) Bring in unsightly items: Curb appeal is also associated with how your family lives on a day-to-day basis while your home is up for sale. Ensure toys, garbage cans, yard debris filled trash bags, and garden tools are picked up immediately after using them. Items left out for days on end, gives your home an unkept look, and forms opinions in homebuyers minds about the upkeep of your home.

6.) Manicured grounds are ideal: Take a look at your lawn area and determine the condition of the grass and surrounding plant beds. While a newly cut and trimmed lawn is ideal, so is healthy landscaping. If you have dead spots, weeds, and unsightly poor areas of your lawn, consider hiring a lawn service or landscaping professional to get your lawn looking ideal as possible.

7.) Year-round beauty is essential: Homebuyers purchase homes year-round, which means your foliage and grounds shouldn’t have an excuse to not look attractive. From colorful foliage in the warmer months, to well manicured structure and form of trees and evergreen plants in the colder months. Shake off the excuse that the season has to dictate how well you keep up your curb appeal!

8.) Replace welcoming elements: Believe it or not, elements such as the mailbox, house numbers and door hardware can make a big impression on homebuyers. If you’ve lived in your home for a while, consider buying new elements and replace the old ones. These small elements can send a welcoming impression and are relatively inexpensive to replace.

9.) Spruce up outdoor furniture: Whether you have garden furniture on your front porch, or you have outdoor lounging furniture on your back patio, spruce up their appearance with fresh cushions, throw pillows, and newly painted or pressure washed surfaces. Similarly, to the furniture inside your home, leisure areas are always appealing to homebuyers.

10.) Add instant color: If you want to bring instant color to your curb appeal, consider planters with seasonal plants at your front door, positioned throughout your yard, and at the sides of your garage entry. Potted plants will add instant color to the overall appearance of your home, and will make homebuyers happy to come see more inside.

Curb appeal of your home doesn’t have to be difficult; in fact many homeowners feel sprucing up the exterior is easier than the interior! Use these 10 tips to welcome homebuyers and make them want to venture to the inside of your home. Many a Realtor has mentioned that homebuyers make up their mind about your home within15 seconds of seeing your home. Make them want to spend countless minutes in your home with appealing curb appeal.

With falling home prices and higher inventories, most of the public views real estate as a “buyer’s market,” in which buyers hold more of the control and sellers will more eagerly accept lower offers just to sell.

Not so fast, say buyers and sellers. More buyers are finding the sellers in the driver’s seat.

Buyer Young Hammack gave up looking for homes for a while after being outbid on three properties in California. “It’s a false buyer’s market,” Hammack says. “If you think prices are cheap, wait until you start putting offers in.”

Many sellers may be unable or unwilling to lower their home prices — mostly because they may be underwater on their mortgage — so buyers are increasingly finding lower offers than list price denied. Buyers, on the other hand, may be reluctant to agree to a deal if they don’t feel like they are getting it at a deep discount, industry insiders say.

Traditional buyers also are finding even buying a foreclosure can be difficult as they’re increasingly outbid by investors who are willing to pay cash.

“There’s a shortage of attractive inventory,” says Glenn Kelman, chief executive of Redfin Corp. “Customers just keep getting outbid on the houses that they want.”

Real estate professional Steve Capen with Keller Williams Realty in St. Petersburg, Fla., says that the homes most in demand among buyers often don’t require much repair work and are located in good school districts and choice neighborhoods near transit hubs.

“What’s selling is the cream of the crop, and they sell fast,” Capen says. “If it’s not cream of the crop, it’s getting hammered.”

Source: “Buyers’ Market? Stressed Sellers Say Not So Fast,” The Wall Street Journal online (April 25, 2011)

By Melissa Dittmann Tracey, REALTOR® Magazine

Little things can make a big difference in how much you ultimately sell a property for, according to a group of New York brokers who say just a few small, smart improvements to a home can increase the sales price by 5 to 10 percent.

They’ve calculated it down to a science. In a recent New York Times article, “To Sell an Apartment, No Detail Is Too Small,” brokers in New York City share how seemingly small defects in a home can drastically affect the home’s final sales price and how just a few small staging upgrades–like throw pillows–can actually increase the value.

Here are some examples of what these New York brokers have found that can impact a sales price. (Keep in mind these are based on New York rents so the prices reflected below may be higher than many other markets.)

WHAT CAN DECREASE A PROPERTY’S VALUE

• Chipped plaster or broken bathroom tiles: Knock $500 to $5,000 off an offer
• Dirty rugs: Subtract $5,000
• Clutter: Subtract 5 to 15 percent from sales price

WHAT CAN INCREASE A PROPERTY’S VALUE

• Fresh towels and throw pillows (estimated cost: $700): Add $25,000 to sales price
• New lights (cost: $2,000 replacing lighting fixtures and $250 for a professional lighting designers expertise): Add $32,500
• Professional paint job (estimated cost: $10,000): Add $50,000 to the sales price
• Replacing cabinets (estimated cost: $20,000 on new kitchen cabinets and paint): Add $107,000

Now that spring is here, buying and selling homes is an objective for many of you, who have waited patiently all winter to start your home search. Whether this is your first home or you are a veteran, there are amenities that you should keep an eye out for when looking to buy a home. While many people can stage and make a house look good, remember once their belongings are taken with them, the house will remain. Therefore, look at these 10 amenities when considering buying a home, to help assure you of getting a worthwhile investment.

1. Look at the kitchen appliances: One of the most expensive parts of homes are the appliances. The age, care, and condition of the kitchen appliances in the home will have a direct impact as to whether you will need to buy new ones, or if they will need to be serviced anytime soon. Go ahead… open the refrigerator!

2. Finishes and materials: Once you know your price range, know what finishes are expected in your price point. Less expensive home will use vinyl flooring, lower end carpet and possible plastic laminate counters in kitchen and baths. While higher end homes may use more resilient flooring such as tile and wood, and solid surfacing in kitchens, such as granite or slate. Knowing what is expected in your price category will help you determine if the home you’re looking at is a deal or not.

3. Pay attention to the ceiling: The ceiling is a telltale place for water spots to show from possible leaks and cracks from structural damage. Pay attention to cracks in drywall, wall surfaces, and where the ceiling meets the wall for warning signs.

4. Outdoor areas of the home: Don’t forget to look at the roof, gutters, downspouts, and inspect the outdoor condition of the home. Especially older homes, try to find out from your Realtor or the previous homeowner when maintenance or replacements have been conducted in the past.

5. Look at the neighborhood: Yes, your house is important, but the safety, location, and proximity to several amenities should be considered as well. Research nearby schools if you have children, as well as travel time to work, stores, and how your neighborhood is laid out. Feel just as comfortable with your neighborhood as your house.

6. Upgrades versus standard amenities: If you are purchasing a brand new home from a builder, know what are upgrades versus standard amenities when looking at homes. Most model homes will have quite a few upgrades to show the homes in their “highest quality” state. While upgrades don’t mean the home is built any better or worse than homes with less upgrades. Once again, this information will help you be an informed home buyer. Don’t allow yourself to buy a more expensive home than you budgeted for because of upgrades. Knowing your price point will keep you disciplined.

7. Bathroom amenities: Similarly to the kitchen, look at the bathroom plumbing fixtures, shower/tub to see what condition these amenities are in. For older homes, if you know you will need to do a remodel or renovation in the future, you should be prepared to know this reality when looking at the home, not after you move in.

8. Major systems: Take a look at the heating/air conditioner unit, hot water heater, and other major systems in the house when looking at homes. These systems can be costly if they are left in disrepair for too long. While you may not need to look at these until you are settling on one specific house, its good to keep on your checklist.

9. Homeowner added amenities: For resale homes, many homeowners have already upgraded the home on their own. From adding a swimming pool and deck in the backyard to crown molding and built in cabinets in the living room. Most homeowners will state what upgrades they have put into the house, and what the approximate cost it was to upgrade. Use this information when comparing like properties in a similar neighborhood, city, etc…

10. Look for a paper trail: Especially when buying a resale home, seek a paper trail, or a list of receipts and/or documents of repairs, upgrades, and services added to the home over the years. Similarly to buying a used car, the more informed you are, the more ideal buying a home from that individual will feel. Amenities in a home can be attractive, but if the homeowner can’t tell you who upgraded it and when, you may want to move on to the next house.

Looking for a new home can be exciting, and at times nerve racking! Even though it can be both of these, looking for a home is an essential part of life, and believe it or not, it is the best investment you can ever make. Decide what amenities you have to have, and which ones you’d prefer, but don’t have to have. Use this 10 amenities list to help you know what to look for when looking for the perfect home.

How you present a listing online and the words you choose to describe it may be turning off some buyers. Bankrate.com recently asked real estate professionals to weigh in on what listing red flags are turning off their buyers.

1. No photos. “One red flag in many buyers’ eyes is the lack of photos for a listing,” says Don Tepper with Long & Foster in Burke, Va. “There can be some legitimate reasons for few (or no) photos in a listing: The sellers want privacy, or they have valuables they don’t want in the photos. But many would-be buyers–rightly or wrongly–assume that there’s something wrong.” Tepper recommends about a dozen photos for listings and photos that match the home’s description and showcases its best features.

2. Outlandish claims. Referring to the listing as the best property on the market might not be a good idea, says Ziad Najm, a broker at Cedar Real Estate in Mission Viejo, Calif. “Some buyers may be turned off to begin with and some will inevitably be disappointed if the claim doesn’t live up to their expectations,” Najm says. Instead, Najm recommends focusing on adjectives that are flattering to the property but leave some room for interpretation.

3. Priced too low. You want to price the property competitively but pricing too low may make some buyers suspicious or attract unqualified buyers. “Typically, multiple buyers will be attracted to the low asking price and eventually the sales price will climb close to market value as competing offers bid up the price,” Najm says. “However, the strategy is not without risk in that some buyers will be alienated by a potential bidding war.”

4. Listing a property “as is” in the description. That’s not a deal breaker but when you see “as is” in a listing, buyers might be cautious, says Diane Conaway, a San Diego broker with RE/MAX United. Some buyers take the “as is” phrase as the “previous owners stole everything including the kitchen and bathrooms,” Conaway says. “Our contract states ‘as is’ anyway, but some agents restate that in the listing, which is a disservice to their sellers.”

Before you know it, spring will be here. Spring time is the ideal time for home buyers and home owners to buy and sell homes. In the winter, homes sales slow down and people focus on the holidays. Once spring hits, your home can shine its brightest. To prepare your home for sale before the spring hits, here are a few tips. Use them to help you prepare mentally as well as to help you budget your time and money, you will be glad you did.

• Spruce up your curb appeal: The first part of your home that buyers will see is your yard. Believe it or not, buyers will make up their mind whether they like your house from your curb appeal. Take the time and tidy around plant beds with new mulch, cut and trim your lawn and remove unsightly plants and debris. Clean up your front entry, porch furniture and beautify with fresh potted plants to ensure your front entry area is ready to welcome guests.

• Start upgrading now: if you are trying to get the most return on your investment (ROI), look at your home to see if any upgrades are necessary. Upgrades can mean repairing and restoring finishes and appliances or it can mean taking your existing finishes and purchasing higher quality ones. A vinyl floor upgraded to wood or a standard refrigerator upgraded to stainless steel are examples of well worth it upgrades, that you will see a positive return on your investment.

• Do your homework: Research what other homes in your neighborhood that have recently sold or are currently up for sale are offering. Compare their sale prices, home area, amenities and how long their home has been on the market. This will give you an idea of how much to ask for, for the sale of your home, as well as what upgrades your competition offers(ed). This is important, to help you determine how much money you will need to spend to be competitive as well as gauge what home buyers are looking for. Your home is guaranteed to stay on the market longer if it’s considerably over or under the competition, so get armed with the information now. Being well informed will also help you for your next home.

• Budget your money and time: Preparing your home for sale can be expensive and time consuming if you aren’t prepared. Take the time to thoroughly assess what parts of your home you are going to tackle first. Hiring a Realtor to help you prioritize may help if you’re getting overwhelmed.  Keeping yourself sane during selling your home is often a challenge. By planning how much money and time you can dedicate to your home renovations, and preparations will help. The better you can do this, the more enjoyable the home selling process will be.

The spring is the ideal time to prepare your home for selling. While the weather is still mild, start preparing your home for sale now. For specific items to tackle in your home have a professional appraisal as well as a home inspection performed. Both of these will these provide valuable information to prioritize and plan your home selling checklist. Also remember, a professional Realtor can also help you make many of these key decisions and may save you time and money in the long run.