MULTIPLE CONTRACT NEGOTIATION

Great job! You presented your home in great fashion and priced it correctly, so now you have multiple offers on your home. But how do you decide which contract to ratify? Obviously, price is a major factor, but it’s not the only factor you should consider. Financing, contingencies, rent backs, settlement dates and conveyances are other items you need to consider before deciding on which offer to work with.JS Realty working on computer contract

Your Real Estate Agent will guide you through negotiating the best terms and conditions possible. At JS Realty we use a spreadsheet that lists all the important, negotiable components of the offers side-by-side to make it easier to compare offers. Start with your highest offer and work your way through the other elements of the contract. This is the time you have the most leverage in your negotiations, so use it wisely!

Following is a list of the other components of the contract that you should review closely with your Real Estate Agent:

Buyer’s Financing – is the offer a conventional loan or is it a government backed JS Realty Calculating Money Finance contractloan such as an FHA or VA? Conventional loans tend to have less stringent home inspection and appraisal requirements.

Home Inspection Contingency – if an offer has no home inspection or if the home inspection is for informational purposes only, that could save you (the Seller) money on repair costs.

Settlement Date – if you would benefit from a rent-back now is the time to put JS Realty calendar close upthat in place. Sometimes we are able to negotiate a free rent back in multiple offer scenarios, which gives you the freedom to make your move easier and less stressful.

Appraisal Contingency – this can be the hardest contingency to get waived, but in some multiple contract situations we have been successful in getting the appraisal contingency waived.

Contingency Timelines – you will want to shorten the timelines for home JS Realty Checkboxinspections and any other inspections to as short as possible. The job of your Real Estate Agent is to get all of the contingencies in the contract released as soon as possible. Appraisal & financing contingencies are difficult to shorten too much, because you are relying on 3rd parties to do their job, so therefore you have less control.

Down Payment – how much a buyer is putting down for down payment and JS Realty Close up on a pen writing a checkearnest money deposit also plays a part in your decision for which contract to choose. The more money a buyer has invested in the transaction, the more committed they are.

Remember: this is when you hold the most leverage of any time during your transaction, so make it work for you!

Feel free to reach out to the JS Realty Team with any questions about multiple contracts or any other Real Estate related questions!

JS Realty Free home analysis

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

MEET OUR PREFERRED LENDER

The JS Realty Team is excited to introduce you to our preferred mortgage lender, Keith Harris!

JS Realty KHarris Lender
Keith Harris,               NMLS #838973

Keith is a Licensed Realtor and Associate Broker who has been in the real estate industry since 2003 and the mortgage industry since 2011.  Since then, Keith has closed over $250 million in real estate and mortgage transactions.  His previous experience as a Realtor is valuable to both real estate agents as well as the borrowers, and he views both as his clients. You can be sure that Keith is always looking to provide the best solution for the borrower. He is available to meet with clients when it’s most convenient for them – so if the typical work week makes it difficult to get together, Keith is available on weekday evenings and most weekends. Keith’s professionalism, integrity, and stellar work ethic goes above and beyond to ensure his clients get the best possible outcome.

For 10 years, Keith has coached youth sports and he takes a similar approach in coaching his clients to get to a “winning” solution!

JS Realty Intercoastal MortgageKeith Harris is a Lender at Intercoastal Mortgage Company. They are committed to spending the necessary time to understand your needs and tailor a loan best suited for you.

As a Full Service Residential Mortgage Lender, there’s no need for a “middle man”.  These are only a few reasons why Keith is our preferred Lender:

  • Direct Local Lender – not a broker
  • Extremely competitive rates
  • In-house Processing, Underwriting, and Closing
  • Uses only local Appraisers who know our market
  • Takes care of completing your loan application &  paperwork
  • Specialize in complex scenarios and First Time Homebuyers
  • Free, 1-time float down, once rate is locked (scenario specific)
  • Offers the following:
    • FHA, VA, Conventional FNMA & FHLMC, Jumbo and Super Jumbo, USDA, Construction Loans, Bridge Loans, No Money Down loans
  • Licensed in Virginia, Maryland and District of Columbia

JS Realty Equal Housing LenderTo apply online, click here to fill out the loan application. There is no cost or obligation associated with obtaining a preapproval from Intercoastal Mortgage Company.

JS Realty Free home analysisThe JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

CHOOSING YOUR REALTOR

You have made the heart felt decision to buy or sell a home. Life is busy and JS Realty Team Young Family Looking at a Beautiful New Home with a For Sale Real Estate Sign in Front.selling or buying is a hefty task for you to take on. On average, most people only buy or sell real estate a couple of times in their entire lives. Now that you are ready, hiring the right Realtor should be at the top of the list. Yes, most of us have a family member or a friend that “might” be able to help, but let’s be real – unless you know they are fully committed to the job as a full time agent and are the best at what they do, you may want to rethink who you are choosing and why.

Why should you care? You are about to embark on a transaction that involves more than 15 professionals (and their staff) to help get you to the settlement table. Coordinating and managing these professionals is a job in and of itself. A JS Realty Discussing business activity JS Realtygreat Realtor can not only bring professional insight on the home selling or buying process, but they will also coordinate and manage all the professionals during the process. You deserve a high level of service and below are some key questions you should consider asking a Realtor prior to engaging their services.

1. How long have you been in the business and how many transactions have you been involved with? You will know more about their experience by how many transactions they have been involved with. The number of transactions a Realtor has completed = knowledge of the market place and ability to create successful sales. For example: A 15 year agent has participated in 25 transactions during their career, but a 5 year agent has participated in 75 transaction during their career. It’s the transactions that create the experience, not necessarily the years of service.

2. Are you a full time Agent? The level of service and communication you receive is key. Hiring a Realtor that is committed to the job as a full time venture, should be at the top of your list. Most of the professionals involved in the transaction work M-F, 9am to 5pm. Your Realtor will need to be able to communicate and coordinate with these professionals to provide you the highest level of service and simplify what is needed from you. If an agent is only able to help you on their lunch break or after they are done with their other job, things can easily get out of control or fall through the cracks. You deserve the commitment and attention a full time Realtor can provide.

3. How will you communicate with me? Cell phones, email, video, text and social JS Realty Man Phone Call Computer Writingmedia have really changed how Real Estate is done.  While they all provide a level of efficiency to the process, the pace at which things get done has increased tremendously. Your Realtor should be able to accommodate your style of communication. If you are someone who likes to email, then a phone call or text may not be the best way to communicate with you. If you can’t answer the phone during the day due to work, then you really need someone that is willing to email or text you instead of calling. If you are out of the area and can’t see a house, a video tour of the home can help a lot too! Realtors have all sorts of services available to them, including electronic signature services. This not only saves you paper and ink, but time – there’s no need to print, sign, scan and email anymore. Understanding what tools and resources your Realtor has available to them can save you a lot time. Be sure to ask and make sure you are working with someone who can accommodate your preferred level of communication.

4. What will it cost me to sell or buy this property? Understanding your cost up JS Realty Check writingfront counts. Buyers usually don’t pay commission directly, but sellers often do and the costs can vary from agent to agent. If you are selling a home, it will be important to understand and know what you are getting for the fee. An agent may charge less than another, but that does not mean they all provide the same services and resources. Make sure you are comparing apples to apples. Also ask for a breakdown of estimated closing costs, as they are different from state to state, and can also differ depending on if you are buying or selling. Understanding this upfront, can save you from “unforeseen surprises” later in the transaction.

5. Will you represent me exclusively, or will you represent both the buyer and JS Realty House contractthe seller in the transaction? While it’s usually legal to represent both parties in a transaction (with proper disclosures), it’s important to understand where your Realtors obligations lie. Have your Realtor explain their agency relationship to you and describe the rights of each party. At the end of the day, we all want the highest level of service and someone to represent our best interest. Make sure your expectations can be met.

Buying and selling a home is an exciting time. It can be fun, too, however JS Realty Couple Celebrating Moving Into New Home With Champagnesurrounding yourself with professionals that will meet your needs will be key. A Realtor providing a high level of service will have surrounded themselves with other professionals in the field alike, whom they will be referring along the way. You may only buy or sell a home 2-3 times in your life – why not ask for the best?

Choosing the Realtor that is the best fit for you can make all the difference! At JS Realty, we are committed to being leaders in our industry to ensure all of our real estate clients have a positive experience. If you want experience and integrity in your real estate partner, we are the experts you’re looking for. Contact us today – we would be happy to speak with you!

 The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

TO PAINT OR NOT?

To paint or not to paint? This is a very popular question – we get this question almost every time we meet with sellers. Get started by taking a look around to evaluate your home. You have one chance to make a first impression and it really needs to count. Our market offers lots of options for Buyers, and making your home appealing to most Buyers will give you the best advantage when it comes to JS Realty Welcome Matreviewing offers.

Let’s start outside the home first.  Take a quick look around and consider how the entrance to your home looks.  Ask yourself, “Is it going to make the Buyer feel welcome?” Besides sprucing up the yard, take a look at your mailbox, fencing, lamp post and entry door. Make sure each of them look their best, and if not, a fresh coat of paint will do the trick.  Remember: if you have an HOA, choose colors your HOA will allow.

We highly recommend Benjamin Moore paint. They offer an amazing product – the application, the durability, and the longevity of it’s hundreds of color choices are just the beginning. Take a look at a few colors you might consider for your home:

Front Door: Dinner Party (AF-300)
Front Door: Dinner Party (AF-300)
Siding: Tate Olive (HC-112)
Siding: Tate Olive (HC-112)
Yorktowne Green (HC-113)
Yorktowne Green (HC-113)

When a Buyer enters the home, we want them to feel neutral so they are not distracted by someone else’s personal style. They should see your walls as a blank canvas, so they can begin to imagine their paintings on the wall next to their dining room set. Neutral can sound boring, but it does not have to be! Check out our top two favorite colors: Barley and Carrington Beige.

Barley (199)
Barley (199)

Barley has a touch of yellow tint to it, and this can create warmth in the home.

Carrington Beige (HC-93)
Carrington Beige (HC-93)

 

 

 


We also love Carrington Beige because it pairs well with cooler colors such as grays.

Paint is such a simple way to give you – The Seller – that competitive edge.  The more Buyers who can visualize themselves living in the home, the more often you have a chance at being the home they want to write a contract on. Ideally, appealing to more than just one Buyer can result in receiving multiple offers. This can often put the Seller in a position of strength when it comes to negotiating a strong offer with the highest price and the least amount of contingencies.

So the answer to that question is YES, definitely consider painting your home prior to listing it for sale. You want your home to look its best and appeal to all types of Buyers, with all types of styles!

Want to learn more about preparing your home for sale or determining your home’s value?
Contact us today for a FREE Home Analysis!

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

AVOIDING EMOTIONAL MISTAKES WHEN SELLING YOUR HOME

Selling your home can be a very stressful and emotional process. At JS Realty we strive to make the selling of your home as stress free as possible by handling all aspects of the sale and keeping you informed. Communication with our sellers is vital to keeping anxieties to a minimum. Navigating the many duties and obstacles in Real Estate takes an agent that pays attention to every detail of the transaction.  That is where we come in!

When you decide to sell your home, you need to change your mindset. It is very important to realize that while your home was a place where you lived and raised your family, it is now a product. This can be difficult for some, as we JS Realty Meeting Realtor Contractsbecome attached to our homes and have experienced many milestones, events and memories. By detaching yourself emotionally from the home, you will be better equipped to make smart financial decisions.

Decisions, like price, conveyance items, and showing instructions need to be addressed as business decisions with as little emotion as possible. Potential buyers are looking for not only the perfect home for them, but the best value as well.

Conveyance items (ones that can/will be sold with the home) need to be worked JS Realty Large Kitchenout before the home goes on the market. When a buyer decides to make an offer on your home you never know what combination of factors led them to their decision. If, for instance, a chandelier is mounted in the dining room and it does not convey, this needs to be made very clear to all potential buyers. If items such as shelves or bookcases that are attached to your home (also called fixtures), do not convey with the sale and are not clearly disclosed, this can make the closing process very stressful.

JS Realty Open House Showing Senior Home BuyersAnother important aspect of selling your home is to make it available for showings as much as possible. Limiting showing times can increase your days on the market due to buyers not being able to see the home on their schedule.

Selling your home is never an easy process, but using an experienced agent like the JS Realty Team will help make the selling process as smooth as possible. We have the experience and knowledge to head off pitfalls of the selling process before they happen.

Whether you’re selling your home soon or in the future, contact us for a free JS Realty Free home analysishome consultation and home analysis. We will make sure you know what to expect when selling your home and help to make the sale as stress free as possible!

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

MARKET REPORT FOR ASHBURN, VA

From the number of active homes on the market to the number of homes sold so far this year, the JS Realty Team will keep you updated on the Ashburn Real Estate market.

As of April 5, 2015 there are currently 473 homes on the market in Ashburn Virginia. Ranging from a 2 bedroom, 1 bath condo listed for $182,900 to a gorgeous home sitting on over 11 acres that boasts over 8,000 finished square feet of living space for $2,499,990. The median list price is $515,000 – which is slightly above the median list price for Loudoun County ($500,000).

JS Realty Ashburn sales price and volume chartThis chart shows the median sales price vs. sales volume. Home prices typically follow sales volume with, of course, a little lag time. (Click image to enlarge)

 

So far in 2015, Ashburn Virginia has real estate market graph increaseseen a pretty steady pace of sales with 280 homes sold. Inventory typically increases this time of year and we are looking forward to a busy spring market. All the signs are there – low interest rates, slowly rising home prices, as well as buyers and sellers looking to make a move.

If you are looking to buy or sell a home this year Scott Koval and Sarah King Taylor of the JS Realty Team would be glad to meet with you to discuss your options. In our initial consultation, we focus on finding out exactly what our clients are looking to accomplish and then we will map out a plan of action to help them achieve their goals.

Contact us today – we are here to help you!

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

WHAT IS AN APPRAISAL?

An appraisal is a written estimate of a home’s value. The JS Realty Team at Samson Properties educates both our buyers and sellers on this process.

The appraiser is an independent 3rd party who determines the value of the home in the current market by performing a market analysis. The market analysis will compare the subject property to similar properties in the immediate area while also comparing the condition of said properties. JS Realty Real estate comparisonAppraisers generally use 3 standard approaches to determine the market value of a property: The Cost Approach, The Comparison Approach, and The Income Approach. Combining these 3 approaches enables the appraiser to give their professional opinion on the market of the home.

Once a buyer ratifies a contract on the home of their choice, their lender will order the appraisal. The average cost is typically $400-$600. If you, as a homeowner, are looking to order an appraisal, keep in mind there are various types. Ordering the correct type of appraisal is critical. Don’t hesitate to contact us and we will help you understand the difference to make sure you spend your money wisely.

For more information concerning appraisals or if you or someone you know is interested in buying or selling Real Estate, contact Scott Koval or Sarah King Taylor, co-founders of the JS Realty Team. We take pride in our dedication to our clients and have helped over 700 families and counting in Loudoun, Fairfax, and Prince William counties!

CONTACT US TODAY

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

REVIEWING AN OFFER TO PURCHASE YOUR HOME – Part 1 of 2

Great news – you’ve received an offer to purchase your home! …Now what?

In this 2-part series, we’ll walk you through everything to consider when reviewing an offer to purchase your home for a successful and smooth transaction.

Fully understanding all the points of the contract is imperative to negotiating the best possible result for our seller. The JS Realty Team strives to ensure our sellers have the best possible outcome in the many facets of the Real Estate transaction.

Now that you have an offer on your home, you and your agent need to do your due diligence on researching the offer. Whether you receive 1 offer or 5 – the Hands reviewing real estate property documents.contracts need to be carefully reviewed to ensure you know exactly what the potential buyer is proposing. Only after you have reviewed and researched all offers will you be able to proceed to choose the contract that works best for you.

At JS Realty we like to list all the negotiating points of the contract(s):

  • Sales price
  • Seller subsidy
  • Down Payment
  • Loan type
  • Earnest Money deposit
  • Settlement date
  • Title Company
  • Inspections – Termite, Home, Radon, Well and Septic
  • Home Warranty
  • Contingencies – Appraisal, Financing, HOA or Condo
  • Post settlement occupancy

First we will call the buyer’s lender and confirm that the lender has verified the buyer’s credit scores, income, debt to loan ratio, and money needed for down payment and closing costs. You do not want to ratify a contract and take your home out of “active” status, only to find out the buyer does not qualify for the loan.

Next we ask the following key questions about the offer and where the money is coming from:

  • How much did the buyer offer?
  • Are they asking for closing cost assistance?
  • What type of loan (conventional, FHA, VA or other) program?
  • Does the buyer’s down payment match up to the type of loan?
  • How much money did the buyer commit to an escrow account at the time of writing the offer? Note: We like to see a minimum of 1% of the sales price.

After you’ve answered the finance questions, it’s time to talk settlement dates! Make sure (as the seller) the date the buyer has chosen will work for you. Do you have enough time to schedule your move? Does the timing fit your moving plans? Do you need a rent back?  This is when you negotiate the timing of the transaction. Once you ratify the contract, you lose your leverage to negotiate different terms.

Now we will carefully review the conveyance section of the contract, making sure only the items that are supposed to convey are checked.  For example, if you do not want to convey your new front loading washer/dryer, now is the time to make sure the buyer did not ask for it!

Check back next week for Part 2Inspections, Warranties, Contingencies & Post Settlement Occupancy.

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.

REVIEWING AN OFFER TO PURCHASE YOUR HOME – Part 2 of 2

Great news – you’ve received an offer to purchase your home! …Now what?

House contractIn this 2-part series, we’re walking you through everything to consider when reviewing an offer to purchase your home for a successful and smooth transaction.  If you missed PART 1, you can find it here.

 

Now that we’ve reviewed the offer, checked out all the loan info and gotten a settlement date, it’s time to discuss Inspections, Warranties, Contingencies, and Post Settlement Occupancy.

Most contracts have the following contingencies:

  • Home Inspection
  • Radon test
  • HOA disclosure
  • Financing & Appraisal

When the JS Realty Team is representing the seller we want to keep the timeline for these contingencies to be as short as possible. The sooner we can close the contingencies, the better chance for a smooth settlement!

So, who is responsible for ordering the pest/termite inspection?
We like our clients to be in control of that process. Termite companies don’t make money on inspections; they make their money treating homes for pests. Therefore, we want to make sure we hire a reputable company.

Ideally, the home inspection and radon test are done within 7 days of ratifying the contract. If there is an issue with the home that the buyer is not comfortable with, we want to know as soon as possible. That way we can solve the problem or release the buyer and get the home back on the market immediately.

If the seller’s home is located in a HOA, then the seller needs to order their resale disclosure packet as soon as contract is ratified. By Virginia law, the buyer has a prescribed time (dictated by how the disclosure packet was delivered) to review the disclosure packet.  If the buyer is not comfortable with the rules or finances of the community, they can void the contract. It is very important to get this contingency released as quickly as you can.

Appraisal – this takes, on average, 2-3 weeks. The lender orders the appraisal soWomen working in the real estate company you need to give them time. Financing is typically 3-4 weeks and it is the weakest of the contingencies. The buyer has control over the home inspection and HOA disclosure contingencies; however they do not have as much control over the appraisal and financing.  That is why we want the Home Inspection completed and HOA documents reviewed as early on in the process as possible.

Another item to consider when ratifying your contract is whether or not you need a Seller Post Occupancy period. This needs to be negotiated at contract time where the seller has the most leverage.

JS Realty also offers a home warranty for our seller’s during the listing period.  If we have agreed to purchase the buyer’s a warranty for their first year, it would be put into place at settlement.

As you can see, staying on top of all the different components of the sales contract is essential to a smooth transaction. Again, the sooner we can close the contingencies, the better chance for a hassle free settlement! The JS Realty Team strives to ensure that our sellers have the best possible outcome in the many facets of the Real Estate transaction.

The JS Realty Team – not only serving Brambleton, serving all of Northern Virginia.