P.O. Box 309, Highway 13 North 1510 State Hwy V
P.O. Box 309, Highway 13 North
1510 State Hwy V
Kimberling City, MO 65686 Hollister, MO 65672
Phone: (417) 739-5487 (417) 239-1085
Fax: (417) 739-5801 (417) 239-1161
BUYERS TIP'S * * * SELLER'S TIPS
Some links on this page will open a new window while leaving our site. Just close out the new window when done to continue on our site.
BUYER'S TIPS
(Click here to go to Seller's Tips!)
| * First things first | * Work with a Realtor...Why? |
| * Mortgage Amortizations and Qualifiers | |
| * What can you afford? | * Choose your Realtor carefully |
When you begin thinking about buying a home in Ozark Mountain Country at the lake, you should ask yourself a few questions first.
What part of the lake do you like best?
Do you want to be in a lakefront home (more costly), or would a lake view home suit you better? How about a home that is close to the lake without a view or frontage (usually more house for your money)? Maybe you would rather be "back-in-the-woods." This will normally offer more privacy. Would a 20- minute drive to the grocery be an inconvenience?
What kind of house would you like or need? How many bedrooms & baths will be comfortable? Do you prefer a newer home as opposed to an older one? Do you need or want a work shop? Larger than normal kitchen? A computer room, etc? Are you interested in a fixer-upper?
How much can you afford? It's probably best if you consult a mortgage lender or Realtor to help determine your qualifications.
You may want to start here:
* If you haven't had a credit report run recently, you may want to pull a report on yourself to make sure the information is accurate. If there are errors take steps to correct them immediately. Many credit card companies will supply a report to you at no cost. You may as well allow them to provide you with this most valuable service.
* Study the real estate ads, magazines and web sites from the area that interests you. This will give you a good idea of what homes will cost in the area. We will gladly send you our local "PARADE OF HOMES" magazine at no cost.
* Start saving money. Down payments, closing costs and small incidentals may cost a little extra.
* Stop using the credit cards. Pay them down instead. Hold off on new major purchases such as a new car or furniture. Make these purchases later. It's easier to finance a car or furniture than it is a home. Think ahead!
* Contact a Realtor. He or she can help you determine how much you can afford and provide you with information about homes in their area, as well as information on schools, taxes, etc. The Realtor will also fill out the appropriate forms necessary when it comes time to buy that new home.
A quick way to estimate the size of mortgage that fits your finances, is to use the same method that the lender uses. Start with your gross monthly income (before taxes and deductions) and multiply it by .28 or 28%. The second number to consider is total payments to creditors. Add all credit card payments, car payments, installment payments and mortgage payments together. This amount should not be more than .38 or 38% of your gross monthly income.
These are the qualifying ratios used by lenders. Usually the smaller amount is what a lender is able to use as an appropriate monthly mortgage payment.
As you can see by these examples, the numbers work out to be about the same. Obviously the fewer monthly financial obligations you have, the higher payment you will qualify for and the more house you can afford.
Why on earth would you want to work with a Realtor? Working with a professional, full time Realtor is a good idea...
* He or she is familiar with the area to which you are moving.
* You probably will buy a few homes during your lifetime. A Realtor handles hundreds of sales. He or she is familiar with the process and the newest laws pertaining to the purchase.
* The Realtor can help you analyze your financial situation and help you determine how much you can afford.
* The Realtor has access through the MLS to EVERY property listed by Realtors in the area where you are moving.
* He or she can save you time by setting appointments for all the properties that interest you.
* The Realtor completes all the necessary paperwork pertaining to an offer.
* The Realtor can suggest local lenders, that want to make residential loans.
* Your Realtor will be at the closing to answer any questions (just the same as they have since your first meeting) to make sure that the closing goes smoothly.
Choosing a Realtor can be very easy, just call one. Choosing a GOOD Realtor can be a bit tougher. Since the Realtor will be helping you find and buy one of the most expensive purchases you will make, a GOOD Realtor can make a world of difference.
Looking for your new home can take quite a bit of time, and most of it will be spent with your Realtor. It's important that you choose a Realtor with whom you feel comfortable, who is responsive to your needs and is knowledgeable of the area and the market to which you are moving.
* Does your Realtor return your phone calls in a timely manner?
* Is he or she a full-time agent, or is real estate a part-time, "add-to-my-income" job?
* Is the Realtor educated to the newest laws, or does he or she just attend the state "required" courses in order to keep their license?
* Is your Realtor "new", or do they really know the area and the market?
* Will your Realtor send you all the information you request?
* Can your Realtor e-mail information sheets to your computer so that you can print it out immediately?
* Will they ask questions about your needs or wants, or do they just haul you around until you happen to stumble into the right property?
* Is your Realtor familiar with the Multi-List System?
* Will they perform a financial analysis for you to help determine your price range?
* Do they explain everything clearly?
* Will they suggest alternative financing methods?
* Are you comfortable with you Realtor?
If the answer to most of these questions is "yes," you've found a GOOD Realtor.
If the answer to many of the questions is "no," maybe you should keep looking. It sounds like you haven't tried Aux Arcs Real Estate yet.
SELLER'S TIPS
(Click here to return to Buyer's Tips!)
* The Right Price Does Make a Difference
* Your Home Must Look it's Best
* The Closing...All Done But The Paperwork
The Right Price Does Make a Difference
After you have decided to sell your home and have decided on a Realtor, one of the most important and difficult decisions is, what is the right price? Keep in mind, that buyers, not unlike yourself, are comparison shoppers. Your real estate professional can help you determine the right price by performing a Comparative Market Analysis. This is done by comparing your home to a few like yours that have recently sold, in your area. Even better than this is to spend a few hundred dollars on an appraisal. This is actually a small amount when it may help you get top dollar for your home.
Some of the things to consider when picking a price for your home are:
* What have similar homes sold for in your area?
* Have property prices appreciated or depreciated in your area recently?
* How old is your home?
* What is the condition of your home? (Remember to look at it as if you are a buyer.)
* How many homes are on the market in your area?
Your home is worth only what someone else is willing to pay for it and what you are willing to accept. By working with a qualified Realtor, your property will receive the exposure needed to bring the right price for you.
Prospective buyers for your home will be very picky. They are making one of the largest investments of their lives. Your home MUST look better than every other home they inspect. Remember, there is probably a lot of competition on the market. You should inspect your home on a daily basis through the eyes of a very picky buyer.
The following are a few hints you may want to use:
* First impressions are most important. If you can't get them inside of your home, they will not make an offer. Keep the lawn manicured. Keep the shrubs trimmed. Repaint if the paint is faded or chipped. You may even want to plant a few flowers... It can't hurt!
* Keep the inside sparkling clean and don't forget the windows.
* Start packing... Get rid of the clutter.
* Pets? Keep them away from prospective buyers.
* Might you have some stale odors that you may not even notice? A good tip here is to place a couple of cinnamon sticks in a pot of water on the stove just before the buyers show up.
* Make it light and bright. Open the drapes and curtains and turn on all the lights before a showing.
* Leave home! Never be at home during a showing. Many times it will make the buyers uncomfortable if the sellers are there. By leaving home it will allow your Realtor to be the professional that you have hired.
It is very unlikely that a buyer will just stumble into your home when you are trying to sell it. It is necessary to go out and find the buyer and then bring him or her into the home. This effort takes marketing. A good Realtor is experienced at this, and will put forth a successful marketing campaign. Choose a Realtor who is not opposed to spending advertising dollars.
Choose an agent who will make the best use of the tools of the trade. The newest tool is the internet. It's expensive but your home will receive world wide exposure. Your agent will advertise your home in places that the homeowner may not have access to, such as the local MLS (One of the secrets of exposure is mass advertising to bring prospective buyers into the office. The more variety of homes offered, the more prospective buyers).
When you have done your part of the job (pricing the home correctly and keeping it in tip-top shape) and your Realtor has done his or her job (advertising and promotion), an offer will come. What do you do now?
You have three options when you receive an offer: accept the offer exactly as written, reject the offer completely, or make a counter-offer. Before you decide, have your agent explain all of the implications of the offer such as the escrow, the contingencies, closing date, possession date and the buyer's financing plans.
Acceptance...You have accepted the offer exactly as written. If the offer is strong enough you may want to start your moving plans.
Rejection...You don't want to play THIS game with THIS buyer. What you are saying is "get out of my face." Either come back with an offer that we can work on, or go play in someone else's game. Strong statements!
Counter-Offer...You like some or most of the offer, but there are some things that are not just to your liking. By making a counter-offer you are encouraging the buyer to continue negotiating. Usually, if the offer is not exactly what you want, this is the very best response. It tells the buyers that you are indeed interested in selling. Always keep this in mind when making a counter-offer. Be careful! If you change ANY PART of the offer, as a counter-offer, (even if you change the spelling of your name) the contract becomes "voidable" by the buyer. The buyer can walk away and you could lose him. Even if you go back later and say, "I'll accept the original offer," the buyer is not obligated to do so.
The Closing...All Done But The Paperwork
After you have accepted the offer, all of the contingencies are removed, all inspections have been done and the buyers have received their loan commitment...it's time to close. This process is the actual time that you sign over ownership of the home, and the buyers give you the money.
Some states require an attorney to take part in the closing. In Missouri, licensed real estate Brokers and closing companies are licensed to do closings and attorneys are not required to be involved. Both the buyers and sellers may however, hire an attorney to review the paperwork and even to attend the closing.
You should be assured that you can rely on your professional Realtor to make sure that the entire process, from listing to advertising to selling to the closing will proceed smoothly. One of the Realtor's main jobs is to answer any and all of your questions so that you understand everything that is happening.
Aux Arcs Real Estate, Inc.