3 WAYS TO SELL BEFORE SPRING - BEAT THE RUSH!!!

As we all know, most people are putting their homes on the market in the Spring and Summer.  This is typical, because people don't want to disrupt their kids' schooling and it's better to make the move when the kids are out of school. 

The problem with waiting until Spring or Summer is that you are competing with SO many other home owners who are doing the same thing.  And, if my real estate math is correct  LOTS OF HOMES = PICKY BUYERS + COMPETITION.  Why be part of all that?  Right now, we still have a shortage of nice properties for tons of buyers who are smart enough to take advantage of the low interest rates and bottomed out market. 

So, Nic, how do I do that if I have three kids in school?

  Put your home on the market now.  It should take anywhere from 1 week to 2 months to get a good offer.  If it happens too fast (like in 1 week), then here are a couple of options:

    1.  Counter back the buyers with a longer escrow.  Instead of the typical 30 days, ask for 60 days...or longer.  If they really want the home, they'll wait.  I personally don't like longer escrows because so much can go wrong and it gives the buyer time to see other options out there.  However, in order to beat the "rush" or "flood" of homes that will come on the market in Spring and Summer, this may be the only way to get the home under contract and still be able to extend it out until the kids are out of school.

  2.  Even better, ask for a "Lease Back."  This is where you stay in your home AFTER it has closed escrow and pay the new owner rent until a specified time that you have to be out.  This is a good scenario when there is a Buyer who really doesn't care if they get in the home in 30 days or in 4 months.  A Lease Back is a short-term lease and is easily taken care of through the use of a C.A.R. form. 

If Plan 1 or Plan 2 don't work, then the only other way to sell now would be to move to a temporary location (like Residence Inn), have the money in the bank and be looking.  You'll be in good position, non-contingent and ready to go. 

For more information on Placentia Homes, Yorba Linda Homes, Brea Homes, Fullerton Homes, Orange Homes, or Anaheim Hills homes, visit http://www.nicpetrossi.com/

Read more...

2012 - BEST YEAR IN LAST FIVE YEARS TO BUY

#1   Home prices have finally bottomed out.  The "shadow inventory" that everyone talks about is largely in the East Coast, New York, those states.  We have gone through most of the "shadow inventory" already in Orange County.  We are now through the worst of it.  YES!!!

#2  Interest Rates.  Interest rates are a hedge against inflation.  Inflation is coming, higher prices for food, gas, everything.  Interest rates WILL go up (they have to) as a counter against inflation.  Right now, I've heard of rates as low as 3 3/4 % for 30 years fixed.  WHAT?!?!  Lowest in 100 years? 

#3  As a return on investment, where can you find a solid 5% to 10% return on an asset that is tangible and can be used for tax write-offs? 

#4  MOST people who bought during the crazy "gold rush" days of the housing boom, bought in 2005 and 2006, when it was too late.  These people are now possibly looking at short selling their home.  The people who bought in 2000 through 2004 are in pretty good shape.  People are STILL waiting for home values to drop and won't buy until their friend buys.  You will never get a good deal if you jump on the "band wagon" in 2013. 

#5   There are still great deals to be had.  Yes, there are good deals on standard/regular sales.  Yes, there are good deals on Bank Owned/REO's in Placentia, Yorba Linda, Brea, Fullerton, etc.  But there are short sales that are going through and sometimes, they are going for CHEAP.  Investment opportunities abound.  Maybe not as far as "flipping" goes, but as far as picking up rentals, holding onto them for positive cash flow and then having an asset to liquidate in the future.

Read more...