The 1 – 10 Scale

The 1 – 10 Scale

If you have ever bought a home, you know that you will inevitably look at a lot of homes. While this is absolutely recommended it can tend to get a little confusing. I mean, think about it. If you look at ten homes in a day, you are looking at ten kitchens, ten bathrooms, and possibly even forty different bedrooms.

What is the ultimate key to figuring it all out? Simply take some notes. It seems simple but very few people bring a pad and pen when looking at homes. I take it one step further for all my clients. When I show homes I bring a worksheet that I have drawn up. It allows the buyer to take notes on the property and even rate the property.

8 – 10 ~ The property has everything they deemed “necessary” and then some.

5 – 7 ~ The property has everything they deemed necessary but not too much passed that.

3 – 4 ~ The property is a fixer upper.

1 – 2 ~ You wouldn’t touch the home with a ten foot pole.

This allows you to not only remember the homes you looked at but also sort through them. Feel free to implement this system into your current home search. I hope it helps you as much as it has helped my clients.

Thanks for reading!

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

Things To Think About and Look For In 2012

Things To Think About / Look For In 2012

The year is coming to an end. Resolutions are being made for the future and the past is being observed. The Arizona Real Estate market has been in a bad place for a few years but the media surrounding the housing market has certainly had it’s ups and downs.

The new year, 2012, is going to be very interesting and, I think, very important. There are three key things that I think you should consider and look at when you contemplating a future investment in real estate.

1. Have we really hit bottom and on the rise? There is a lot of speculation about where we are headed. The housing inventory in Arizona has shrunk compared to last year and the demand seems to have risen. These are extremely positive things. Are we going to continue down this path? If so, I think we will see prices start to rise. There is a chance we don’t see this continue though. What about the bank owned shadow inventory? Has demand really increased or does it seem this way because of the lowered supply? These are all things to think about.
2. There are niche markets within the Phoenix economy. People tend to look at Phoenix as a whole. While sometimes looking at generalized Phoenix-Metro data can be beneficial, most of the time is not. I think everyone, consumers and Realtors alike, need to start doing research on the sub-niches within the Phoenix Metro area (Chandler, Tempe, Scottsdale, Glendale, etc.). You need to base your decision off that data. I think in 2012 we are going to see a widening of the gap in growth between sub-cities. It is just a fact of life. Some areas, even within a particular city, are just more desirable to live in. The more desirable areas are going to bounce back a lot faster and stronger than some of the less desirable parts of Phoenix. Take a look at where you live or want to live. Is it a desirable place to a lot of people? What is the travel time to the hear of Phoenix? This separation will be something to look at before pulling that buying trigger.
3. The 2012 election. The economy has a lot to do with consumer confidence. A lot of confidence is tied to politics on a state and national level. I think the 2012 election will play a role in the housing market’s recovery on a national and state level even if it is just for a short time. Don’t forget to think about that as well.

The Arizona economy seems to be on the rise. The new year brings some possibly exciting changes. As always, you need to do your homeowner. Don’t always look at what the media has to say. Look at the data and come to your own conclusion.

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

When to begin the search for your new home…

When to begin the search for your new home…

You’re thinking about purchasing a new home but you’re not sure what your future plans are.  You don’t want to fall in love with a home before you’re ready and you don’t want to lead an agent on. So you wait to contact a Realtor until you’re sure. Right? Wrong…

Yes, this may make some logical sense. Yes, you don’t want to fall in love with a home before you’re ready as I have seen that issue alone cause a lot of tension. Secondly, yes, you don’t want to lead a Realtor on (this is bad for both ends). At the same time, time is your best friend when searching for a dream home.

I don’t care if you are a year or more out from purchasing, you should contact a Realtor today for 4 simple reasons.

• You have to find the right agent. ~ I always recommend, if you’re buying, to contact a few agents and let all of them know what you are looking for. Be honest and tell them you have talked to a few people but you will be making final decision on an agent shortly. The last thing you want to do is make an offer on a home with an agent you can’t stand to talk to. So shop around.
• You have to figure out what area you want to live in. ~ Whether you live in Arizona or you are buying an Arizona property from out of state, you have to do research on where you want to live. Whether that means you have to visit the area several times, check out a few homes, or just do some online research, an area that you dreamed of living in all of your life just might not live up to it’s name.
• You have to find your dream home. ~ A good home has most of you of the items on your checklist crossed off. You have to have enough time set aside so that you can either find a home that meets your expectations or have enough time to adjust your expectations/area so your not stuck with a home you completely hate.
• You have to have time to facilitate the transaction. ~  Worst case, time wise, is you fall in love with a short sale. Even in the best case scenario, it could take you a couple of months to find the home you want plus time to negotiate the offer, then time for an appraisal, inspection, time for the loan to fund, etc… (in this market, any transaction can be lengthy.)

The home buying process can be a difficult and strenuous one. Don’t make it more stressful by combining everything you have to do into a constrained timeline. It can make the home buying process, which is suppose to be one the happiest times of your life, a nightmare.

Thanks for reading!

The Holidays And Real Estate

The Holidays And Real Estate

That’s right everyone. We are nearing that time again. It is the holiday season. Shopping, holiday music, and travel plans start to fill our mind. Life becomes hectic and time seems to fly by. This can be great news if you’re looking for a good deal in real estate.

In one of my earlier posts, I talk about the supply and demand of real estate and how most of real estate falls back to a few basic economic principles. Well traditionally, there aren’t too many folks who seriously look for a new home during the holiday season. In short, the demand is temporarily decreased. A home that might need to be moved quickly might be snagged for quite a deal.

Yes, I understand. The holidays are very busy times. That, essentially, is why no one tends to show a ton of homes during this time. But, for you deal seekers out there, this might be the perfect time to get that good deal you are looking for. If, and only if, you can pick yourself up, make some time, and start viewing homes!

Thanks for reading.

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

The Inspection: The Most Important Part Of The Transaction

The Inspection: The Most Important Part Of The Transaction

Like any major transaction, there are various stages and steps. Most are necessary but not all are as important as the inspection phase of buying a home. Getting an inspection completed, in my mind, is the most important stage. Simply put, it is the time you are allotted to hire as many professionals as you would like to give their opinion on any number of things about the home. It is essentially your time to check out the home and make sure it is it is the dream home you were hoping for. You are able to make sure there aren’t any hidden disasters waiting for you when you move in.

On top of the benefit of having a professional come out, this is really the only time you get to be picky and are able to back out of the contract if necessary. That’s right; this ten day period is the only time you can back out of buying the home without a penalty.

So what can you do to make sure you use these ten days to their full potential? Well, you have a few options. Always, always, always hire at least an inspector to go out to the property. You will want to make sure your agent is on top of this and schedule your inspector in a timely manner. Recently, with an increase in people buying homes, a lot of the good inspectors are backed up. They might not be able to schedule you in for 4-9 days. This can cause a time crunch or force you to ask the sellers for an extended inspection period.

Secondly, make sure your Realtor has a resource for “back-up inspectors”. Sometimes, your inspector will find evidence of an issue that he is not an expert on. For example, he might find clues that there is mold or possibly a foundation problem. You are going to want to have a mold inspector or structural engineer go out there to seriously take a look at what might be a deal breaker. If your Realtor isn’t up to snuff, they might resort to just “googling” someone and you might not get top notch service.

Lastly, make sure you comb through the Buyer’s Advisory. This packet provides a lot of info on a variety of topics you might not think to check out.

As I stated, the inspection period is an exciting but stressful time. You need to be on top of everything. If you have any questions, please don’t hesitate to contact me.

Thanks for Reading!

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

The Confusion Behind Short Sales

The Confusion Behind Short Sales

Buying a home in Arizona can already be tough, especially when a good chunk of the homes are short sales. What makes short sales difficult? Well, everyone already knows they can kind of be a pain. Dealing with the banks can take forever and sometimes can be as frustrating as sitting in the waiting room of a doctor’s office.

The particularly stressful aspect is that there aren’t as many rules as you might think. The listing agent and seller have a lot of free reign to decide what offer they want to present to the bank. I get this question a lot. “I wrote a full price offer. Why was I countered?” Well, simply put, if the seller thinks he can get more for the property, they are going to ask.

The short sale is still a transaction between the buyer and the seller. Yes, the bank has to approve the offer but the seller has all the power. They can receive 10 above list price offers and never decide to execute one and send it in. Crazy, I know. This is how the process works.

My advice to advise your buyer’s agent to ask a ton of questions. How are you, the short sale agent, going to handle multiple offers? Does the first offer in get the property? Are you looking for anything in particular in an offer?

Sometimes it is just better to have a buyer’s agent that is well versed in short sales. They usually know the right questions to ask and can spot more in-experienced short sale agent that might be listing the property you are interested in.

Thanks for reading!

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

Check The HOA On Your New Home

Check The HOA On Your New Home

A Homeowner’s Association is a corporation usually formed by a real estate developer for the purpose of marketing, managing, and making sure homes are being maintained within a specific community. Well these HOAs can be your best friend they can also be  your worst enemy.

The HOA is usually governed by owners of the homes within the community and the rules are enforced using a pay-for-penalty system. I bet your asking, what’s the problem? The problem is HOAs used to only control minor things. They would take care of common area maintenance or hire someone to clean the community pool. That was it. It didn’t go much beyond.

In the recent years, we are seeing a huge increase of HOA rules. They believe they need to keep uphold the look and feel of the community. Now instead of just managing the grass that decorates the medians, they are restricting homeowners on a lot of things.

You have to be careful and make sure you ask a lot of questions about the HOA on the home you are looking to purchase. If you’re not careful you might be stuck in a home that you’re not able to paint the color you want or park your car in the driveway. Some HOAs will fine you for things in your front yard, trash, not keeping up with your yard the way they like it, and parking on the street.

This is just another reason to make sure you ask the right questions. Do your research and make sure you have a Realtor that advises you on everything that might be of importance to you.

Thanks for reading.

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

Is your Real Estate Agent connected

Is your Real Estate Agent connected?

If you’ve read my previous articles , I often talk about what to look for when deciding on a real estate agent. Today I am going to shine a light on one aspect I don’t think most realize is important. Is your real estate agent connected?

There are a lot good qualities to look for when deciding on a real estate agent. Are they nice? Do they have a good marketing plan for your property? Are they easy to get a hold of? One of the most important qualities is, what kind of connections does the real estate agent have?

The real estate transaction is a complicated one. There are many aspects from contract review, to escrow, to the inspection period. What happens if you fall in love with a new build property? There is a chance you will run into a new build contract (Not Our Standard Arizona Association of Realtors Contract). Most likely, you will want a lawyer to review the contract to make sure there aren’t any potentially dangerous clauses. Well if you’re Realtor isn’t connected they might not have a good lawyer to refer you to. Worst case, they just do a google search for “real estate lawyer” and pass along their info to you. Maybe this lawyer is well versed and reasonable, but maybe he’s not. Who is going to know until you are in the middle of dealing with him or her unless your agent has worked with them in the past?

In the long run, it is better to be prepared then not. Most likely, if you work with an experienced Realtor they are going to have good recommendations for inspectors, contractors, lawyers, escrow officers, etc..  They will mostly likely have more than one person in their repertoire that they have worked with before, know they do good work, and trust. You know, back ups for the back ups. The experienced Realtor will have built relationships with these individuals. This ensures you that you are receiving top of the line service and also, hopefully, at a way more reasonable price then if you just “googled” someone. Lastly, god forbid something weird happens and someone is sick or out of town. You realtor will be able to call someone else up, keep the forward movement going, and CLOSE ON YOUR HOUSE without breaking a sweat.

Thanks for reading.

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

What A Buyers Agent Can Do For You

What A Buyers Agent Can Do For You

Most individuals aren’t privy to how the real estate world works. That is fine. It isn’t your job to know. I believe it is our job, as Realtors, to inform you. The average home buyer doesn’t understand what a buyer’s agent is, their responsibilities, and what they can do for you.

No worries. Let me help to explain. A buyer’s agent is simply a Realtor representing the buyer on the sale of a property. Their responsibilities include compiling a list of properties for the buyer to preview, constantly updating the buyer on changes within the criteria they are searching in, and showing homes to said buyer.

Unfortunately, there are a lot of misconceptions about Realtors representing buyers. My personal belief is that these misconceptions leads to negative stigma which results in poor service and negative experiences.

Here are some assumptions that just aren’t true:

• The buyer’s agent is paid out of the buyer’s pocket. ~ Fortunately, the property owner of the property you purchase pays your Buyer’s agent.
• Buyer’s agents can only view and show certain homes.  ~ Buyer’s agents can view all homes on the MLS. They aren’t limited in any way.
• Calling on a sign means that agent is going to push you to purchase that property. ~ Of course the agent would prefer you purchase the home they have listed.Realistically though, most agents in the end, don’t care if you buy their listing and another home. If you decide to work with them , they will be happy.
• You can get a better deal by working with the listing agent on the property you are interested in rather than using a buyer’s agent. ~ People think by working directly with the listing agent that they have a better chance of getting a good deal. This just isn’t the case. Personally, I would much rather work with a buyer’s agent and KNOW someone has only my interest at hand and not representing both parties.

There is a lesson here. With technology and the real estate world the way it is, you can work with pretty much anyone and you won’t be limited in anyway. This is a bonus as it allows you to work with people you like, trust, and maybe even know.

If you have any questions, please don’t hesitate to contact me.

Thanks for reading.

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.

Getting Pre-Qualified Should Be Your First Priority

Getting Pre-Qualified Should Be Your First Priority

Unless you’re an investor or you have been saving up for years, most likely you will need to obtain a loan to purchase the new home you’re wanting.  Now this isn’t a bad thing by any means but I highly suggest you approach the situation correctly.

A lot of people, even though they know they need a mortgage to purchase their new home, wait till the last minute to contact a loan officer or even get pre-qualified for a loan. This thought process couldn’t be more backwards for two reasons.

1. The banks have tightened up in the past two years. It is much harder to get a loan today than it was in 2005. Some banks require very specific things such as: Certain amount of time spent at one job, amount of down payment money, specific credit score. Some banks, if you don’t hit one of these things, won’t let you obtain a loan period. Wouldn’t it seem like a waste of time to spend three days in the Arizona sun looking for your dream home only to find out you have to wait another year.
2. You have no idea how much you will get pre-qualified for. You don’t want to fall in love with a home that is $200,000 when you can only get a loan up to $150,000. I have seen it happen before and it is not a pretty sight. Also, a loan officer will help you determine how much you can take out and still feel comfortable paying your monthly mortgage.

As always, us Realtors are here to help. Sometimes you just have to listen. We have seen a lot of different scenarios play out and I’m sure we can tell you which ones you don’t want to be apart of.

Thanks for reading.

Jeff Buettner is a local Realtor, blogger, avid coffee drinker and chess player. With more than 4 years in the real estate industry, Jeff can be contacted through his personal site about Arizona short sales and foreclosure at http://realestatewizkid.com.