Common Q&A About Selling Your Home - Q & A
|
Q:
|
Do sellers have
to disclose the terms of other offers? |
|
A:
|
According to
experts, sellers do not have to disclose other offers |
|
|
Q:
|
Should I add on
or buy a bigger home? |
|
A:
|
Consider these questions before
making a choice between adding on to an existing home or
moving up in the market to a bigger house:
* How much money is available,
either from cash reserves or through a home improvement
loan, to remodel the current house?
* How much additional space is
required? Would the foundation support a second floor or
does the lot have room to expand on the ground level?
* What do local zoning and
building ordinances permit?
* How much equity already exists
in the property?
* Are there affordable properties
for sale that would satisfy housing needs?
Ultimately, the decision should be
based on individual needs, the extent of work involved
and what will add the most value.
|
|
|
Q:
|
What are some
tips on negotiation? |
|
A:
|
The more you know about a seller's
motivation, the stronger a negotiating position you are
in. For example, a seller who must move quickly due to a
job transfer may be amenable to a lower price with a
speedy escrow. Other so-called "motivated sellers"
include people going through a divorce or who have
already purchased another home.
Remember, that the listing price is
what the seller would like to receive but is not
necessarily what they will settle for. Before making an
offer, check the recent sales prices of comparable homes
in the neighborhood to see how the seller's asking price
stacks up.
Some experts discourage making
deliberate low-ball offers. While such an offer can be
presented, it can also sour the sale and discourage the
seller from negotiating at all.
|
|
|
Q:
|
How do I prepare
the house for sale?
|
|
A:
|
Making your home look as nice as
possible may seem obvious. Apparently, it's not, because
many sellers don't do much beyond vacuuming the living
room rug and maybe cleaning the ring off the bathtub,
says George Devine, in "For Sale by Owner," Nolo Press,
Berkeley, Calif.; 1993. Short of spending a lot of
money, Devine offers several steps people can take to
make their home show better:
- Sweep the sidewalk, mow the
lawn, prune the bushes, weed the garden and clean
debris from the yard.
- Clean the windows and make sure
the paint is not chipped or flaking.
- Be sure that the doorbell works.
- Clean and make attractive all
rooms, furnishings, floors, walls and ceilings. It's
especially important that the bathroom and kitchen
are spotless.
- Organize closets.
- Make sure the basic appliances
and fixtures work. Get rid of leaky faucets and
frayed cords.
- Ensure that the house smells
good: from an apple pie or cookies baking, for
example. Hide the kitty litter.
- Put vases of fresh flowers
throughout the house.
- Pleasant background music is a
nice touch.
|
|
|
Q:
|
How long do
bankruptcies and foreclosures stay on a credit report?
|
|
A:
|
Bankruptcies and foreclosures can
remain on a credit report for seven to 10 years.
Some lenders will consider a borrower
earlier if they have reestablished good credit. The
circumstances surrounding the bankruptcy can also
influence a lender's decision. For example, if you went
through a bankruptcy because your employer had financial
difficulties, a lender may be more sympathetic. If,
however, you went through bankruptcy because you
overextended personal credit lines and lived beyond your
means, the lender probably will be less inclined to be
flexible.
|
|
|
Q:
|
What do all of
those real estate acronyms in the ads mean? |
|
A:
|
If you find yourself stumbling
over weird acronyms in a real estate listing, don't be
alarmed. There is method to the madness of this
shorthand (which is mostly adopted by sellers to save
money in advertising charges). Here are some
abbreviations and the meaning of each, taken from a
recent newspaper classified section:
* assum. fin. -- assumable
financing
* dk -- deck
* gar -- garage (garden is usually
abbreviated "gard")
* expansion pot'l -- may be extra
space on the lot, or possibly vertical potential for a
top floor or room addition. Verify actual potential by
checking local zoning restrictions prior to purchase.
* fab pentrm -- fabulous pentroom,
a room on top, underneath the roof, that sometimes has
views
* FDR -- formal dining room (not
the former president)
* frplc, fplc, FP -- fireplace
* grmet kit -- gourmet kitchen
* HDW, HWF, Hdwd -- hardwood
floors
* hi ceils -- high ceilings
* In-law potential -- potential
for a separate apartment. Sometimes, local zoning codes
restrict rentals of such units so be sure the conversion
is legal first.
* large E-2 plan -- this is one of
several floor plans available in a specific building
* lsd pkg. -- leased parking area,
may come with an additional cost
* lo dues -- find out just how low
these homeowner's dues are, and in comparison to what?
* nr bst schls -- near the best
schools
* pvt -- private
* pwdr rm -- powder room, or
half-bath
* upr- upper floor
* vw, vu, vws, vus -- view(s)
* Wow! -- better check this one
out.
Resources:
* "Real Estate's Ambiguous
Language You Oughtta Understand," Glennon H. Neubauer,
Ethos Group Publishing, Diamond Bar, CA; 1993.
|
|
Copyright 1999 Inman News Features
|
