4 Major Tips on Selling Your Home Now

Worried you'll have to spend thousands getting your house ready to sell? Worry no longer. Here are 4 major tips that will help you get your house ready to sell for cheap!


1) Disconnect your emotions
I know it'a hard, but the more you can disconnect your emotions from the sale of the home (it is a sale, after all), the easier the entire process will be. Though your house means a lot to you, it also needs to be marketed and bought, so you can move forward toward your goals. A home sale can never take away your memories and experience. 


2) Declutter: Make your home their potential home
Homebuyers want to make sure their stuff can fit in your home, and don't want to feel overwhelmed by too many things. Put most everything in boxes to give an open, spacious feel, especially to the kitchen, which is the most important room in the house. 
Also make sure to declutter closets, cabinets, and maybe put extra furniture in storage. Buyers will open everything, and the more clutter there is, the less likely they will be able to see it as their home. 


3) Should I do repairs? 
Especially in this hot market, you don't have to repair everything. However, buyers will turn anything with a knob or handle, including faucets. Make sure faucets aren't leaking (a very cheap fix buying new washers), and sinks are clean and shiny (who likes dirty sinks?). 


-Consider painting rooms if the paint is really old or stained. You can also try to wash the stains out. 
-Spend a couple hours doing a spring cleaning: clean windows, bathrooms (especially any mildew or grime), kitchen, and floors. 
-Spray WD-40 on any windows or door hinges that creak or don't open easily. 
-For pet owners, be sure your liters are out of the house, and keep odors out as much as possible, using carpet powders as necessary. 


Outside:
-Curb appeal is everything. Take a walk across the street and see what buyers are going to see looking at your home. If there is anything odd or unattractive, fix it or move it. Make sure the lawn looks nice and bushes are trimmed. If the paint looks really bad, consider a paint job. 


4) Should I start high?
 Try your hardest not to price high. Although some people think pricing as high as they can is the best choice, what it actually does is intimidate buyers. Make sure you get a precise market valuation of your home (call me) and use that to price it right. Having many buyers fighting for your home is much better than many waiting for the price to drop. 


Email me to receive a free valuation of your home!

Average Rents in Metro Denver

5280 Magazine: Rental rates continue to climb to all-time highs in both the Mile High City and in the surrounding suburbs, according to a report released this week by the Colorado Division of Housing and the Apartment Association of Metro Denver. The report paints a picture of a rental market where demand continues to outpace new construction. In fact, the vacancy rate for apartments in metro Denver hasn't risen since 2009, and, specifically in the city of Denver, vacancy rates for apartments haven't been this low since 2001. 

“You have to go back to the days of the dot-com boom to see lower vacancy rates than what we’re seeing right now, said Ryan McMaken, spokesman for the Colorado Division of Housing, in a prepared statement. “The demographics point toward growing demand, and even though developers are looking to build new units, not that many units have been delivered yet.” Here, a look at the numbers.

Average rent by county (keep in mind these averages include 1 bedroom apartments):

Adams: $906

Arapahoe: $956

Boulder/Broomfield: $1,091

Denver: $1,005

Douglas: $1,131

Jefferson: $919

Vacancy rates by county:

Adams: 4.9 percent

Arapahoe: 5.5 percent

Boulder/Broomfield: 3.6 percent

Denver: 4.8 percent

Douglas: 3.9 percent

Jefferson: 4.0 percent

Kiplinger: Denver Among Best Cities for Young Adults

Denver is among the 5 best cities in American to live for young adults, says Kiplinger's Personal Finance Report on Wednesday. In addition to a beautiful "outdoors-y" culture and over 300 days of sunshine a year, which young adults love (just go to Wash Park on a Saturday and watch thousands of young adults barbeque, play volleyball, soccer, football, bag toss....you name it!), but a sunny employment outlook thanks to hiring in construction, retail, and hospitality, and affordable apartments. 


Top employers include Colorado State Government, HealthOne, Exempla Healthcare and Lockheed Martin, the report said. It also noted that Denver has given rise to big-time startups, such as Frontier Airlines and Associated Content, which Yahoo "scooped up in 2010."

For apartment hunters on a budget, the historic Five Points neighborhood and the Baker area trade ongoing revitalization for rents as low as $700 monthly for one bedroom.

Once again, Denver is the place to be!

What would your real mortgage numbers look like?

If you know me, you know I don't like being abstract. I need to see real numbers and concrete steps. There's nothing I hate more than when agents or lenders say, "Oh ya, that's like $1000 a month or something." So what do real mortgage loans look like with real purchase prices? 

Of course it depends on your down payment. So let's divide it into 3 categories: 

3.5% (FHA loan)

10% Down

20% Down

These are all for 30 year fixed loans (what I would recommend) with the current ridiculously low interest rates. Private mortgage insurance is based on current estimates

Purchase Price: $175,000
Low 3.5% Down Payment: $6125

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

= $1019/month right now 

In 7 years after Mortgage Insurance is paid: $881/monthRent: A house with this value rents for $1200-$1600 right now. 
 

10% Down Payment: $17,500

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$898/month

In 7 years after Mortgage Insurance is paid: $819/month!

Rent: A house with this value rents for $1200-$1600 right now. 

20% Down Payment: $35,000

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$746/month

Purchase Price $250,000

Low 3.5% Down Payment: $8750

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)=$1442

In 7 years after Mortgage Insurance is paid: $1245

Rent: A house with this value rents for $1800-$2200 right now

10% Down Payment: $25,000

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$1285/month

In 7 years after Mortgage Insurance is paid: $1171/month!

Rent: A house with this value rents for $1800-$2200 right now

20% Down Payment: $50,000

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$1057/month

Purchase Price: $350,000

3.5% Down Payment: $12,250

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)=$1985

In 7 years after Mortgage Insurance is paid: $1710

10% Down Payment: $35,000

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$1870/month

In 7 years after Mortgage Insurance is paid: $1606/month!

20% Down Payment: $70,000

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$1447/month

Purchase Price $430,000
3.5% Down Payment: 15,050

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)=$2432/month

In 7 years after Mortgage Insurance is paid: $2096

10% Down Payment: $43,000

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$2167/month

In 7 years after Mortgage Insurance is paid: $1971/month!

20% Down Payment: $86,000

Total Monthly Payment(mortgage, taxes, insurance, and mortgage insurance)

=$1778/month

Rents climb 11% in Denver over last year

According to Trulia, the average rental price in the Denver area has gone up 10.9% in June from a year earlier, the 3rd biggest gain among large U.S. markets in that period and twice the nationwide increase.

Denver’s rent increases over the 12-month period were exceeded only by San Francisco (up 14.7%) and Oakland (up 11%), according to the quarterly Trulia Rent Monitor report.

Nationwide, big-city rents were up an average of 5.4% higher in June from a year earlier. Rents rose year over year in 24 of the 25 biggest U.S. markets, except for Las Vegas.

In a previous Trulia report, comparing Denver-area rents from March 2011 to March 2012, rents rose 9.4%.

Just more reasons to stop renting and make that step to owning!

How Many Houses are Being Bought Right Now in Metro Denver and Boulder?

Denver Metro(including surrounding suburbs):
Total Homes For Sale: 15,457
Total Under Contract Right Now: 7,425
For Sale and not yet under contract: 8,032
Sold in the Last Month: 3,427 (wow)

Boulder (including Louisville and Lafayette):
Total Homes For Sale: 1,553
Total Under Contract Right Now: 432
For Sale and not yet under contract: 1,121 
Sold in the Last Month: 322 (wow)


What these numbers show is a continued hot market in which almost 50% of the homes for sale are presently under contract (being bought right now). In addition, the number of solds in just the last month is astounding. Houses are being bought at a fascinating pace. This means that it is a good time for sellers to sell (assuming their asking price is reasonable) and buyers still desire to take advantage of phenomenal mortgage rates and save money by owning vs. renting (it is much cheaper to own than to rent right now). 


Dont sleep on this one! Take advantage now!

Is Lack of Inventory Causing a Buying Frenzy?

What's becoming more common for the rest of the nation is specifically common for the Denver-Metro area - buyer frenzy.
A big drop in inventories of for-sale homes across the nation has led to a buying frenzy in some sought-after neighborhoods, real estate professionals report. A gradual gain in home prices is also following suit, they say.
Last week, the National Association of REALTORS® reported an increase in pending home sales in every region in the country. The number of contracts signed in May for existing homes jumped 13 percent from a year ago, according to NAR.
NAR projects a 3 percent nationwide rise in existing-home prices this year and a 5.7 percent rise next year.
But more buyers are being met with a shrinking supply of homes on the market. New construction has slowed dramatically—to record lows—the last few years. A backlog of distressed homes have not yet hit the market. And many home owners are waiting to list their homes for sale until prices rise more.
“In the Atlanta area, we are 40 percent below where inventory was this time last year,” Debra Bradley, managing broker for Coldwell Banker Residential Brokerage in Buckhead, Ga., told Forbes.com “Generally inventory goes up this time of year, not down.”
Inventories of for-sale homes appear to be lowest for less expensive properties, at which investors and first-time home buyers often buy, real estate professionals report.
“It’s different today for a buyer being in the market,” says Rick Davidson, Century 21 Real Estate chief executive. “They might not find that deal of the century that they may have expected to find.”
Several housing markets are now reporting multiple offers and bidding wars surfacing, due to the lack of inventory in some markets.
“Most houses below $250,000 priced realistically are attracting large numbers of offers in a short time, and many exceed the asking price,” says Mike Orr, director of the Center for Real Estate Theory and Practice at the W. P. Carey School of Business.
Industry insiders appear less concerned about the shadow inventory of distressed homes that have yet to hit the market.
“It’s not being let out to the market in bulk,” Beth Butler, president of ONE Sotheby’s International Realty in Miami, told Forbes.com. “It’s coming slowly and it’s not seriously impacting the market one way or the other. Truth be told we could use the inventory!”
Source: “The Housing Market's Latest Problem: Lack Of Inventory,” Forbes.com