The photos below show examples of a cluttered kitchen vs. a clutter free and organized kitchen. What a huge difference it makes!  For more information or questions please give me a call at 775.303.7871.

 There are professional Home Staging companies that will come to your home and take care of the process for you.  But, if you’re on a tight budget there are many simple ways to take the task on yourself.  Some real estate agents will even add in this service as a part of listing your home for sale.  Home staging will improve the home’s appearance, leading to selling the home more quickly and for the highest possible price.  And after all, isn’t that the ultimate goal for a home seller?

Driving by recently, I noticed auction signs up at the property giving website information for the auction firm and the auction day/time. There were two viewing periods prior to the auction so potential Buyers could personally inspect the property.  Generally, these inspection periods will be the two weekends prior to the auction. The home is open then and a security guard is present for you to spend as much time as you want checking out all the nooks and crannies. 

Auctioned homes are sold “as is” with no warranty or bank liability for their condition, so it’s a great idea to personally check them out, as well as seek access to any public records on the property through your local authorities and title company. You’ll want to find out if there are any easements on the property, for example, or whether any work done on the property was done with the necessary permits. You can buy an auctioned home with the aid of a licensed realtor, with their commission being paid by the bank, and this is where it really makes sense to do so! A licensed realtor will know what to look for in a property so you truly can make an educated decision on whether the particular property is right for you – or not.

On the day of the auction, most Buyers are shocked by how quickly the auction itself goes. When you arrive, you register with the auctioneer and get a bid card.  You’ll need your driver’s license and will need to fill out some simple forms. Registration is usually open from 2 hours to 30 minutes prior to the auction start time. There is no fee to register at the auction and high bidders may use cash or personal checks for down payment. You can also get all last minute questions answered and tour the home one final time if you wish.

The auction begins promptly at the appointed time with opening remarks summarizing, for the record, the terms of sale, the methods of bidding and any last minute changes or disclosures. These comments usually take only a few minutes, concluding with the auctioneer answering any final questions. Then the bidding is ready to begin!

As it turned out, there were two homes being auctioned this day – the one we were at and another one in another town. I wasn’t prepared for that option but apparently it is not unusual. Another interesting part in this particular auction was that there were 2 auctioneers. One was taking the live bids and controlling the bidding, and another was on the phone getting reports of bids being made on the property on-line and yelling the bids out for all to hear.  That’s right! You can buy your next house on the internet! 

At this auction, both winning Buyers for the two homes were there in person. The home we were at was previously listed as a bank owned property at $329,900, and sold at the auction for $200,000.

The Buyer pays the third party title examination fee (typically $150-250), the title search fee (if required, typically $150), the title insurance premium (based on sales price, typically a minimum of $250 plus approximately $5 additional for each $1,000), and 1/2 the closing fee. Current year’s real estate taxes are usually pro-rated through day of closing. These costs to the Buyer will usually total a minimum of $1,500 (consult the Contract of Sale as amended for the auction and/or other documents or announcements regarding the sale for each property’s specific instructions regarding closings costs and tax prorations).

Most auctions will require the Buyer to make a cash deposit at the auction (personal checks are accepted and electronically processed for immediate deposit) for at least 5% of the purchase price ($2,500 minimum) or in some instances 10% of the purchase price ($5,000 minimum). If you are unable to complete the sale for any reason, you will forfeit this money to the auction house.

What surprised me most was that you can still buy an auctioned home with a home loan.  I guess I assumed they were cash (or its equivalent) sales. Buyers should take all steps needed to secure the necessary approval prior to bidding, since auctions are never contingent on financing. There are many lending institutions that offer pre-approval for their financing before an auction.

Of course, there is a lot to the process that can’t be discussed here in the interest of time.  There are many auction sites available to check out and use to familiarize yourself with the process. Most have very detailed explanations of their particular process. Plus, you can register on their site to receive notifications of auctions being held in your area. But bottom line, the opportunity exists to purchase a home at rock bottom pricing and there are deals to be had out there. Happy hunting!

Now that more than one in four American homeowners is “underwater,” I feel that it’s important for the community to know the truth about strategic default.

The truth is the foreclosure process carries with it credit issues, current and future employment challenges, issues with security clearance and possible debt collections.

That’s why it is vital to explain the 3 reasons why the term “strategic default” is misleading:

1. There’s nothing strategic about defaulting on purpose, especially when you have options like short sales, mortgage modifications, and refinance (just to name a few) that may keep you from foreclosure.
2. The waiting periods to apply for a new mortgage loan are at least five years less in a short sale vs. a foreclosure.
3. A foreclosure will show up on your credit report every time you apply for a home loan, car loan, new job, etc., and will affect your financial situation for many years to come.

Foreclosures in Washoe County increased by 16% in January 2011 over December 2010, and up 23% over January 2010. 

If you are underwater and can no longer afford your mortgage payments, you need to create a genuine strategy to avoid foreclosure, helping to provide stability for you and our community.

If you have any questions about what steps you or someone you care about should take next, contact me today – 775.813.2387! 

I offer a free report at http://www.KevinBown.com

In the 13th century “kind” was used to mean “wellborn” and “of good nature”; in other words “possessing all the (good) qualities usually attributed to those of good birth”. Today – the meaning is the same, yet the actions in today’s day and age may not…

Or are they? In the Real Estate world, the best showing of kindness may be hearing the Seller say, “of course we’ll fix that”; or the Buyer who accepts the terms even if “they don’t include the snow blower” (a commonly used piece of machinery in Truckee/Tahoe); the agent who willingly travels across town for a signature; not to mention the local Title Company who prints out documents over the week-end in order to facilitate for the out-of-area-Buyer. What’s kindness to you…?

The Chinese say – …”never filling your own cup but always filling that of someone else, who would return the favor” – now that’s kindness to me…..

Being a REALTOR has taken on a whole new meaning for me.    I have gone from a salesperson who specialized the marketing of property for sale and helping buyers find their new home, to so much more than that.   Helping homeowners avoid foreclosure by successfully finding alternatives such as short sale has made me so much more than a salesperson.  I am a problem solver, listener, helper, and facilitator.    I am genuinely helping people and making a real difference in their lives.  For buyers I am assisting them in navigating the more complicated web of purchasing short sales and REOs.  Helping them avoid the obstacles that arise in these types of purchases.  It has become harder than ever to be a buyer with tighter lending standards, distressed properties and long wait times. 

We look around in this industry and are often hard pressed to find positives and things to be thankful for.   But, there is plenty that I am thankful for.  The challenges of this market have made me a better REALTOR.  I have been given the opportunity to not only help my neighbors buy and sell homes, but help them improve thier lives.  By necessity I have been motivated to learn more, so I can help more. 

This REALTOR is thankful… 

Happy Thanksgiving to Everyone!

Check out this article in the Wall Street Journal.