NAR’s November Existing Home Sales Report [INFOGRAPHIC]

Home prices are up and Real Estate sales still happen.  Now is a great time to sell or buy while interest rates are still low!

Thinking of buying or selling contact The J Team at Keller Williams Realty today!

Freddie Mac: Buy Sooner Rather than Later

By The KCM Crew

In a recent video update on the housing market, Frank Nothaft, Freddie Mac’s chief economist, stated that with both mortgage interest rates and home prices projected to increase in 2015 buying now makes sense.

“If you are planning to buy a home in the next year, it’s better to do it sooner rather than later.”

Here are the latest mortgage interest rate projections from four major housing entities: Fannie Mae, Freddie Mac, the Mortgage Bankers Association (MBA) and the National Association of Realtors (NAR):

Thinking of Selling & Moving Up?

This advice isn’t limited to just the first-time buyer. If you are considering moving up to the home your family has always wanted, waiting also makes no sense.

Contact The J Team at Keller Williams today at www.JayCermak.us!

Critical Role of a REALTOR®

As a team of Realtors® it is sometimes hard to begin to explain everything that we do.  I understand not every agent does the same thing.  The J Team at Keller Williams Realty strives to provide outstanding customer service and ensure a win-win in as many real estate transactions as possible.  Check out this information published by the National Association of REALTOR®:

The Critical Role of the REALTOR^® in the Real Estate Transaction

 

Below is a list of more than 230 possible actions, research steps, procedures, processes, and review stages that a REALTOR® may provide in a typical, successful residential real estate transaction. 

 

As residential real estate transactions can vary, each action, step, or process may not be mandatory in every residential transaction. However, this list underscores the importance of having the help and guidance of a professional who understands the residential real estate sales process.

 

REALTORS® are members of the National Association of REALTORS® and pledge to uphold the stringent, enforceable tenets of the REALTOR® Code of Ethics in their professional dealings with the public. 

 

Seller(s)’ Representation

 

Pre-listing Activities

1. Contact property owner(s) and make appointment with seller(s) for listing presentation.
2. Send seller(s) confirmation of listing appointment and call to confirm.
3. Review pre-appointment questions.
4. Research appropriate sampling of currently listed comparable properties (i.e., appropriate by property type, price range, and location).
5. Research trends and sales activity for an appropriate period (past three to six months is recommended) from MLS and public records databases.
6. Research "average days on market” for the property type, price range, and location.
7. Download and review property tax roll information.
8. Research property’s public record information for ownership and deed type.
9. Research property’s public record information for lot size and dimensions.
10. Research and verify legal description.
11. Research property’s land use coding and deed restrictions.
12. Research property’s current use and zoning.
13. Ascertain need for lead-based paint disclosure.
14. Prepare market analysis to establish broker opinion of value.
15. Prepare listing-presentation package with above materials.
16. Perform exterior "curb-appeal assessment” of subject property.
17. Verify public-school zoning and discuss with the seller(s) the impact of school districts on market value determination.
18. Review listing-appointment checklist to verify that all steps and actions have been completed.

Listing-appointment Presentation Activities

19. Review broker’s and company’s credentials and accomplishments in the market with seller(s).
20. Present company’s profile and position of "niche” in the marketplace.
21. Give seller(s) an overview and projections of current market conditions.
22. Present market analysis results to seller(s), including sold comparables, current listings, and expired.
23. Offer pricing strategy based on professional judgment and interpretation of current market conditions.
24. Discuss goals with seller(s) to market effectively.
25. Explain marketing power and benefits of the MLS.
26. Explain the different marketing options and their effectiveness.
27. Explain work the brokerage does "behind the scenes” and the broker’s availability on weekends.
28. Explain brokerages role in taking calls to screen for qualified buyers and to protect seller(s) from curiosity seekers.
29. Present and discuss strategic master marketing plan.
30. Review results of curb-appeal assessment with seller(s) and provide suggestions to improve sale-ability.
31. Research and verify city sewer/septic tank systems. Verify when property’s septic system was last pumped or inspected.
32. Well water: Confirm well status, depth, and output from third-party well report.
33. Natural gas: Research/verify the availability of natural gas and supplier’s name and phone number.
34. Verify security system, current term of service, and determine if it’s owned or leased.
35. Verify if seller(s) has transferable termite bond – obtain a copy of the terms and conditions of bond that may be available to buyer(s).
36. Discuss home-warranty program with homeowner.
37. Verify if property has rental units involved.
38. Make copies of all leases for retention in listing file.
39. Verify all rents and all deposits.
40. Assess interior décor and suggest changes.
41. Prepare net sheet for seller(s).
42. Review accuracy of current title information with sellers. (If possible, obtain copies of seller(s)’ deed, owner’s title insurance policy, and most-recent survey.)
43. Verify names of owner(s) as they appear in county’s public property records.
44. Verify with seller(s) if there are any outstanding or expired construction permits or if any changes have been made to the property since the seller(s) purchased the property.
45. Obtain copy of current Title Insurance Policy.
46. Complete listing contract and addenda (using names of seller(s) as they appear on deed or title policy). Obtain seller(s)’ signature(s) on the listing agreement and return a signed copy of the listing contract to the seller(s).  (If property is jointly owned, all owners should sign listing agreement.)
47. Review with seller(s) the standard closing costs and pro-rations typical to the HUD statements.
48. Obtain seller(s)’ permission to use a lock box.
49. Measure interior room sizes.
50. Confirm lot size via owner’s copy of certified survey, if available.
51. Note any and all unrecorded property lines, agreements, and easements that are known to the seller if they are not otherwise noted.
52. Obtain house plans, if applicable and available.
53. Review house plans and make a copy.

Post-listing Activities

54. Compile and assemble formal file on property.
55. Obtain copy of subdivision plat/complex layout.
56. Verify with seller(s) if there are any outstanding or expired construction permits or if any changes have been made to the property since the seller(s) purchased the property.
57. Obtain copy of current title insurance policy.
58. Provide seller(s) with a copy of a blank sales contract to review in preparation of their receipt of an offer.
59. Inform tenants of listing and discuss how showings will be handled.
60. Arrange for installation of yard sign.
61. Have seller(s) complete the seller(s)’ disclosure form.

Listing Activities

62. Order plat map for retention in property’s listing file.
63. Prepare showing instructions for buyer(s)’ broker and agree on showing-time window with seller(s).
64. Install electronic lock box and program the lock box with agreed-upon showing-time windows.
65. Obtain current mortgage loan(s) information: companies and loan account numbers.
66. Verify current loan information with lender(s).
67. Identify homeowner association manager, if applicable.
68. Verify homeowner association fees and pending or unpaid assessments with homeowner association manager.
69. Research electricity availability and supplier’s name and phone number.
70. Prepare detailed list of property amenities and assess market impact.
71. Prepare detailed list of property’s "inclusions and conveyances with sale.”
72. Compile list of completed repairs and maintenance items.
73. Explain benefits of homeowner warranty to seller(s).
74. Assist sellers with completion and submission of homeowner-warranty application.
75. Place homeowner warranty in property file for conveyance at time of sale.
76. Make extra key for lockbox.
77. Place a copy of the seller(s)’ completed disclosure form in the property file.
78. Arrange for interior and exterior photos to be taken for MLS listing.
79. Arrange for creation of a virtual tour if one will be used in marketing the property.
80. Complete a new-listing checklist.
81. Enter listing into office records and/or create listing file. 

MLS-related Activities

82. Prepare "MLS profile sheet.” (Listing broker is responsible for "quality control” and accuracy of listing data).
83. Enter property data from profile sheet into MLS listing database.
84. Proofread MLS database listing for accuracy, including proper placement in mapping function.
85. Take additional photos of the property to upload into MLS and for use in flyers.
86. Provide seller(s) with a copy of the MLS profile sheet data form.
87. Add property to company’s active listings list.

Marketing and Showing Activities

88. Create print and Internet ads with seller(s)’ input and approval.
89. Provide "special feature” cards for marketing, if applicable.
90. Submit ads to company’s participating Internet real estate sites
91. Reprint/supply brochures promptly as needed.
92. Create QR codes.
93. Prepare mailing and contact list.
94. Generate mail-merge letters to contact list.
95. Order "just listed” labels and reports.
96. Prepare flyers.
97. Prepare property marketing brochure for seller(s)’ review.
98. Order an appropriate quantity of marketing brochures or flyers.
99. E-mail marketing material to brokers and agents with marketing material.
100. Upload listing to company and broker’s Internet site, if applicable.
101. Mail out "just listed” notice to all neighborhood residents.
102. Inform Network Referral Program of listing.
103. Coordinate showings with owners, tenants, and other REALTORS®. Return all calls promptly (weekends included).
104. Provide showing time comments and feedback to seller(s) and recommend changes according to potential buyer comments.
105. Review comparable MLS listings and new trends regularly to verify property remains competitive in price, terms, conditions, and availability.
106. Provide marketing data to buyers coming through international relocation networks.
107. Provide marketing data to buyers coming from referral network.
108. Convey price changes promptly to all Internet groups.
109. Request feedback from buyers’ brokers after showings.
110. Review weekly market study reports.
111. Discuss feedback from showing sales associates with seller(s) to determine if changes will accelerate the sale.
112. Call seller(s) weekly to discuss marketing and pricing.
113. Promptly enter price changes in MLS listing database.

Offer and Contract Activities

114. Verify proper licensure of buyer’s broker and salesperson.
115. Obtain a signed and dated verification that escrow deposit was delivered to escrow agency.
116. Receive and review all offer to purchase contracts submitted by buyers or buyers’ brokers.
117. Evaluate offer(s) and prepare a "net sheet” on each offer, for the seller(s) to make comparisons.
118. Review offers with seller(s) and review merits and weaknesses of each component of each offer.
119. Contact buyers’ broker to review buyer(s)’ qualifications and discuss offer.
120. Provide seller(s)’ disclosure to buyer(s)’ broker or buyer upon request (prior to offer if possible).
121. Confirm buyer(s) is pre-approved by contacting lender.
122. Obtain a copy of the buyer(s)’ pre-approval letter from lender.
123. Negotiate all offers and counteroffers on seller(s)’ behalf.
124. Prepare and convey any counteroffers, acceptance, or amendments to buyer(s)’ broker.
125. When offer to purchase is accepted and signed by seller(s) ("contract”), deliver contract to selling/buyer(s)’ broker or if none, to buyer(s).
126. Verify contract is signed by all parties.
127. Provide copies of the contract and all addenda to closing attorney and the title company.
128. Record and promptly deposit buyer(s)’ earnest money with escrow agent.
129. Disseminate "under-contract showing restrictions” as seller(s) requests.
130. Deliver copies of signed contract to seller(s).
131. Provide copies of contract to lender.
132. Inform seller(s) how to handle additional offers to purchase submitted between effective date of contract and closing.
133. Change status in MLS to "sale pending”.
134. Update listing file to show "sale pending”.

Loan-process Activities

135. Contact buyer(s)’ lender weekly to verify processing is on track.
136. Follow buyer(s)’ loan processing through to the underwriter.
137. Relay final approval of buyer(s)’ loan application to seller(s).

Home-inspection Activities

138. Coordinate buyer(s)’ professional home and termite (WDO) inspections with seller(s).
139.  If property is vacant, arrange for power and water to be turned on.
140. Review home inspector’s report and WDO report with seller(s) and discuss issues and options, if needed.
141. Enter home inspection WDO inspection completion into listing file.
142. Verify seller(s)’ compliance with home inspection report and WDO report repair requirements.
143. Recommend or assist seller(s) with identifying trustworthy contractors to perform any required repairs.
144. Obtain copies of repair bills showing seller(s) has made required repairs.
145. Coordinate entry into the property and buyer’s review of completed repairs, if needed.

Appraisal Activities

146. Make arrangements for appraiser to enter property.
147. Follow-up on appraisal.
148. Enter appraisal completion into listing file.
149. Discuss appraisal report with seller(s) and suggest options, if necessary.

Closing-preparation Activities

150. Distribute signed contracts to all involved parties (buyer, seller(s), title company, lender, seller(s)/buyer(s) broker, closing agent) and provide contact information as needed.
151. Coordinate closing process with buyer(s)’ broker and lender.
152. Update closing forms and files.
153. Confirm location, date, and time where closing will be held and notify all parties.
154. Confirm with closing agent that all title problems have been resolved.
155. Confirm that the seller has the proper Power of Attorney or trust documents, as required.
156. Work with buyer(s)’ broker in scheduling and conducting buyer(s)’ final walk-through prior to closing.
157. Confirm with closing agent that all tax, HOA, utility, and other applicable pro-rations have been resolved.
158. Request final closing figures from closing agent.
159. Review closing figures on HUD statement with seller(s) to verify accuracy of preparation.
160. Forward verified closing figures to buyer(s)’ broker and confirm buyer(s)’ broker has received and reviewed closing figures.
161. Confirm buyer(s) and Buyer(s)’ broker has received title insurance commitment.
162. Provide homeowners warranty for availability at closing.
163. Recommend courtesy closing agent for absentee seller(s), as needed.
164. Review closing documents with seller(s) and their counsel.
165. Provide earnest money deposit check from escrow account to closing agent. If closing agent is holding escrow funds make sure it appears on the final HUD.
166. Coordinate this closing with seller(s)’ next purchase and resolve any timing problems, if applicable.
167. Confirm seller(s)’ net proceeds check at closing.

After-closing Activities

168. Provide REALTOR® referral information for seller(s)’ relocation destination, if applicable.
169. Change MLS status to "sold.” Enter sale date, price, selling broker, and listing broker’s ID numbers, etc.
170. Close out listing in company files.
171. Follow up with seller(s).

Buyers(s)’ Representation

Buyer(s)-presentation Activities

172. Respond to prospective buyer(s) inquiries.
173. Interview the buyer(s) prospect and obtain buyer(s) personal information and explain the homebuying process.
174. Determine if REALTOR® has a conflicting brokerage relationship or other conflict of interest with the buyer(s).
175. Discuss the pre-approval financial process with the buyer(s).
176. Suggest at least three mortgage lenders to assist buyer(s) in becoming pre-approved.
177.  Determine through discovery the buyer(s)’ preferences in a home as well as the location, price, size, type of home, special needs, and ADA accommodations etc.

Pre-contract Activities

178. Obtain and review pre-approval letter from lender.
179. Search the MLS for properties that meet the buyer(s)’ criteria.
180. Make appointments with seller(s) or seller(s)’ listing broker to show the properties selected by the buyer(s).
181. Show the buyer(s) their selected properties.

Offer and Contract Activities

182. Obtain a "good faith estimate” from the buyer(s)’ lender for the target purchase price and review with buyer(s).
183. Meet with buyer(s) to preview offer, contract form, addenda, and miscellaneous forms.
184. Complete offer to purchase and all addenda.
185. Provide seller(s)’ disclosure forms to buyer(s).
186. Submit offer to purchase signed by buyer(s) to seller(s)’ broker. 
187. Provide credit report information to seller(s) if property will be seller-financed.
188. Provide buyer(s) a copy of all forms used in making the offer.
189. Negotiate all offers on buyer(s)’ behalf.
190. Prepare and convey any counteroffers, acceptance, or amendments to seller(s)’ broker.
191. Verify final offer is signed by all parties ("contract”), and that all necessary documents are attached.
192. Deliver fully signed and initialed contract to buyer.
193. Distribute signed contracts to all involved parties (buyer(s), seller(s), title company, lender, seller(s)/buyer(s) broker, and closing agent) and provide contact information as needed.
194. Record and promptly deposit buyer(s)’ earnest money in escrow account or deliver to closing agent and obtain a receipt.
195. Provide receipt of escrow deposit to seller(s)’ broker.
196. Place copies of signed contract in office file.
197. Inform buyer(s) of additional offers to purchase that are submitted between effective date of contract and closing.
198. Update listing file to show "sale pending.”

Home and Termite Inspection Activities

199. Provide buyer(s) with at least three home inspection companies and three WDO inspection companies from which to select.
200. Coordinate buyer(s)’ professional home and WDO inspection with seller(s)’ broker
201. Review home and WDO inspection reports with buyer.
202. Enter completion of home and WDO inspection reports into the listing file.
203. Order septic system, well, or mold inspections, if applicable.
204. Receive and review septic system, well, or mold reports with buyer(s) and note any possible impact on sale.
205. Provide copy of septic system, well and mold inspection reports, if any, to lender and seller(s).
206. Verify seller(s)’ compliance with all inspection repair requirements.

Tracking the Loan-process Activities

207. Coordinate with lender on discount points being locked in with dates.
208. Confirm verifications of deposit and buyer(s)’ employment have been returned.
209. Contact lender weekly to verify processing is on track.
210. Follow loan processing through to the underwriter.
211. Relay final approval of buyer(s)’ loan application to seller(s).

Appraisal Activities

212. Schedule appraisal with seller(s) or seller(s)’ broker.
213. Inform buyer(s) of options if appraisal report is different than the ontract/purchase price.
214. Provide comparable sales used in market pricing to appraiser.
215. Follow-up on appraisal until completed.
216. Enter completion into the listing file.

Closing-preparation Activities

217. Coordinate closing process with seller(s)’ broker, lender, and closing agent.
218. Update closing forms and files.
219. Verify all parties have all forms and information needed to close the sale.
220. Assist in obtaining power of attorney or trust documents, as required.
221. Work with seller(s)’ broker in scheduling and conducting buyer(s)’ final walk-through prior to closing.
222. Confirm buyer(s) has received title insurance commitment.
223. Confirm location, date, and time where closing will be held and notify all parties.
224. Confirm with closing agent that all tax, HOA, utility, and other applicable pro-rations have been resolved.
225. Request final closing figures from closing agent.
226. Review and verify closing figures on HUD statement with buyer(s).
227. Forward verified closing figures to seller(s)’ broker and confirm seller(s)’ broker has received and reviewed closing figures.
228. Verify that seller(s)’ broker has provided homeowners warranty, if purchased, at closing.
229. Forward closing documents to absentee buyer(s) as requested, if applicable.
230. Provide earnest money deposit check from escrow account to closing agent. If closing agent is holding escrow funds make sure it appears on the final HUD.
231. Confirm collected funds from buyer(s) are available for closing.
232. Explain filing for homestead exemption.
233. Verify transfer of all keys (house, mailbox, and HOA/community), garage- door openers, HOA/security/gate access codes, pool equipment, and appliance manuals.
234. Close out listing.

After-closing Activities

235. Assist with filing claims with homeowner’s warranty company, if requested.
236. Respond to any follow-up calls and provide any additional information required from office files.
237. Follow up with buyer(s).

In addition to the above activities/services which may be performed by a REALTOR® during a real estate transaction, today’s real estate market requires REALTORS® to offer additional assistance when the transaction involves short sales, foreclosures, or bank-owned properties.

 

Also, during the marketing process, homeowners may be in need of property-management services which REALTORS® also perform. Whether you are buying, selling, or in need of a property manager, we encourage you to discuss with your REALTOR® in detail what additional services may be necessary for you to accomplish your objective.

 

Contact The J Team at Keller Williams Today to discuss your Real Estate needs!

 

Top 5 Benefits of Using a Professional to Buy A Home

By The KCM Crew

Every year the National Association of REALTORSreleases their Profile of Home Buyers & Sellers, in which they reveal the results of a yearlong survey of buyers and sellers. The latest profile revealed what actual buyers saw as the benefits of using an agent during the home buying process.

Here are the Top 5:

#1: Helped the Buyer Understand the Process

Whether it is your first time purchasing a home, or you’re an experienced buyer, there are over 230 possible actionsthat need to happen during every successful real estate transaction.

Having someone to guide you through the process who can simply explain what is going on at every step of the way was sited as the top benefit by 63% of all buyers (that number jumped to 83% with first time buyers).

#2: Pointed Out Unnoticed Features/Faults with the Property

When you start the process of buying a home, you may be too excited to see each potential home for what it is, good and bad. An experienced professional can help you realize the potential hidden gems or risks before you make an offer.  Nearly 60% of all buyers listed this as a major benefit of hiring a professional.

#3: Improved the Buyer’s Knowledge of Search Areas

Whether you are looking to relocate to a new state, or just across town, having someone who knows the neighborhoods in which you are looking can be an invaluable asset.

#4: Negotiated Better Sales Contract Terms/Better Price

In today’s market, hiring a talented negotiator could save you thousands, perhaps tens of thousands of dollars. Each step of the way – from the original offer, to the possible renegotiation of that offer after a home inspection, to the possible cancellation of the deal based on a troubled appraisal – you need someone who can keep the deal together until it closes.

#5: Provided a better list of service providers

A great agent has relationships with mortgage professionals, home inspectors, appraisers and other experts that you will need in securing your dream home.

Bottom Line

If you are considering purchasing a home, whether as a first-time or move up buyer, sit down with a local experienced real estate professional in your area and see what they have to offer.

The J Team at Keller Williams Realty in Fort Lauderdale Florida takes a consultative approach to help buyers assess their wants and needs to make the best informed decision for them!  Visit; www.jaycermak.us to start your search now!

4 More Reasons to Sell Now

By The KCM Crew

As we discussed last week one reason to sell now is demand is still strong. With inventory levels also still below historic numbers, you could be missing out on a great opportunity for your family.

1. There Is Less Competition Now

Housing supply just dropped to 5.1 months, which is under the 6 months’ supply that is needed for a normal housing market. This means that, in many areas, there are not enough homes for sale to satisfy the number of buyers in that market. This is good news for home prices. However, additional inventory is about to come to market.

There is a pent-up desire for many homeowners to move, as they were unable to sell over the last few years because of a negative equity situation. Homeowners are now seeing a return to positive equity as real estate values have increased over the last two years. Many of these homes will be coming to the market in the near future.

Also, new construction of single-family homes is again beginning to increase. A study by Harris Poll revealed that 41% of buyers would prefer to buy a new home while only 21% prefer an existing home (38% had no preference).

The choices buyers have will continue to increase over the next few months. Don’t wait until all this other inventory of homes comes to market before you sell.

2. The Process Will Be Quicker

One of the biggest challenges of the 2014 housing market has been the length of time it takes from contract to closing. Banks are requiring more and more paperwork before approving a mortgage. Any delay in the process is always prolonged during the winter holiday season. Getting your house sold and closed before those delays begin will lend itself to a smoother transaction.

3. There Will Never Be a Better Time to Move-Up

If you are moving up to a larger, more expensive home, consider doing it now. Prices are projected to appreciateby over 23.5% from now to 2019. If you are moving to a higher priced home, it will wind-up costing you more in raw dollars (both in down payment and mortgage payment) if you wait. You can also lock-in your 30 year housing expense with an interest rate in the low 4’s right now. Rates are projected to be over 5% by this time next year.

4. It’s Time to Move On with Your Life

Look at the reason you decided to sell in the first place and determine whether it is worth waiting. Is money more important than being with family? Is money more important than your health? Is money more important than having the freedom to go on with your life the way you think you should?

Only you know the answers to the questions above. You have the power to take back control of the situation by putting your home on the market. Perhaps, the time has come for you and your family to move on and start living the life you desire.

That is what is truly important.

Visit www.thejteam.kwrealty.com/sell and register for a listing consultation with The J Team!

A Snapshot of Mortgages [INFOGRAPHIC]

By The KCM Crew

Are you familiar with what's happening with Mortgage Rates?  The J Team keeps current here is a snapshot below:

Contact The J Team today to schedule your buyers consultation to review market data and help you get pre-approved at a low rate while interest rates are still low!

Proof that NOW is a Good Time to Sell

By The KCM Crew

Most homeowners believe that the winter is not a good time to sell. This belief is based on the fact that historically the number of buyers decreases in the winter and then increases dramatically during the spring buying market. Though this is still true, there is an interesting pattern developing over the last few months.

The number of prospective purchasers actively looking at a home (foot traffic) has remained strong going into the fall. As a matter of fact, the foot traffic far exceeds the numbers reported for the same months last year (see chart):

At the same time, the National Association of Realtors revealed that the months’ supply of housing inventory has decreased from 5.5 months to 5.3. That equates to less competition for homeowners selling today as compared to next spring when many homeowners will decide to put their home on the market.

Bottom Line

Since buying activity is still strong, this might be a great time to put your house on the market.  Thinking of Selling  your home?  Contact The J Team Today! To get a Market Analysis of your home visit www.jaycermak.kwrealty.com/sell