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HomeRun Homes is a centralized marketplace which helps people Find or Sell a Rent to Own Home, both Nationwide and Globally to the thriving Rent to Own Market. http://www.lease2buy.com
Showing posts with label realty. Show all posts
Showing posts with label realty. Show all posts

January 21, 2011

A Funny Thing Happened on The Way to a Real Estate Deal...

Good Morning,

   Friday is upon us once again, and I hope that you've exceeded all of the goals you set this past week.

   They say that "Laughter is the Best Medicine", and I definitely agree with that. If you look at things with the proper perspective, you can always find some funny things, and Real Estate deals are no exception to this rule. In the spirit of the joy of an upcoming weekend, we're going to look at some funny stories from the Professional perspective (Realtors, Commercial Real Estate, Loans), and also from the home buyer's perspective.

   Jennifer De Vivo, a Realtor with Charles Rutenburg Realty, provides us with what she refers to as, "funny and awkward situations when showing homes.". One example was about a homeowner that was a single male, and in the home he was selling, he had a special room..."a room completely done with Wonder woman paraphernalia...(Figurines, curtains, bed sheets you name it)". De Vivo says that he was very proud and, "made sure to point out his vintage Wonder Woman boots and asked us if he wanted to twirl for us. All we could do was smile and kindly decline. In the end our clients were able to see past the superhero customization, put in an offer on the home and closed 45 days later."

   De Vivo points to another time when she was showing homes in a community with several elderly residents, and in one of the homes that appeared to be empty, they found a man sleeping so still that he appeared to be deceased, at which point, De Vivo and her buyer raced out of the house !

   "Four years ago I was taking a loan application for an unmarried couple that was purchasing their first home.", says Matt Perillie of TheRenovationLoanGuy.com. Perillie says that when he got to the point of the application where he asked if the husband pays child support, "the man says yes and she (the wife) gives him a long look and then proceeds to yell at him for about ten minutes asking how could he have a child and not tell her. It was a bit uncomfortable and the application ended right there."

   Changing gears, there are also funny stories that come from people looking for homes. Sarah Anderson of Millersville, MD describes one specific day where her and her husband visited, "half a dozen houses one Sunday morning, and returned" to an open house in the afternoon. As Anderson describes it, there were, "toddlers running around in bathing suits", which indicated that perhaps there was no open house. However, as she says, they went in. "Fortunately, the homeowner happened to be the agent, so he wasn't too terribly jangled by our random appearance", says Anderson, but it was still "pretty awkward" since he had an open house months ago...but certainly not that day.

   Another home buyer received the, "Bomb Shelter Option". Sherri Gomez said that when they were doing their final walk-through of the home, the owner was very evasive in terms of where he would let them walk in the backyard. Afterwards, Gomez asked the man what the metal sticking up out of the ground was, and he said, "That's your bomb shelter", and, "too bad - you signed the papers !". Gomez said that she sued him for the cost of filling it in and she won. She also found out that the development, "was built in the late 50's and that was an option when you bought the property. You could choose an above ground or underground bomb shelter.", and says that, "this has become a joke in our family whenever we look at houses!"

   Well, as the saying goes...all in a days work !

   Do you have any great stories to share. Please add them here, since we all could us a good laugh !

Have a Great Weekend, and Happy Rent-to-Owning !
Regards,
Rob Eisenstein
HomeRun Homes Blog http://blogging.lease2buy.com
HomeRun Homes Website http://www.lease2buy.com

January 12, 2011

Taking the Plunge - 3 Tips on Buying Your Rental Property

Hi Folks,

   Happy mid-week to everyone, and we ask that you arrive safely to wherever your destination is, should you need to commute in the Northeast today.

   You know, if you're renting a property, and the homeowner gave you an option to buy the property...well, how do you know when you are truly ready to buy the home? That is the question we are addressing today, along with 3 tips to help you along.

   "As a tenant with an option to own there are some fundamental principles you should consider before buying a property.", says Brian Rademacher of Re/Max Advantage Plus. First, make sure the property, "is a good fit for your lifestyle and family. Do you ultimately envision this property as your home?"

   Secondly, says Rademacher, "contact a real estate professional to review the option to purchase contract and perform a current market analysis. With declining real estate values in many markets the purchase price on the option contract may be higher then the current market value of the property.", and he suggests that if this is the case, that you should, "show the owner the current market analysis and discuss lowering the purchase price to meet the current market value.

   As a final tip, Rademacher suggests that you, "talk to a mortgage professional to determine if you are qualified to obtain a loan to purchase the property. Find out what your mortgage payment would be and if your mortgage commitment would fit into your monthly budget." As Greg Cook, a Mortgage Professional, says, "Owning a home costs more than renting. Most of the time an "all-in" mortgage payment (including taxes and insurance) will be more than the rent they might currently be paying. But that's only part of it. The tenant is now responsible for maintenance, repairs and all those other little expenses that come with homeownership." Cook also recommends to any tenant looking to , "make that jump" to find out from a, "first time home buyer specialist how much the mortgage payment would be on the home they are buying, add an additional $100-$200 each month and then take that difference between rent and homeownership expenses and put it in savings."

   "Having seen several option agreements over the years, ask yourself a 2 pronged question", says Thomas Redmond of Redmond Realty. "1st, What is important about staying in this property and the community at this time and 2nd, Are the terms in my option agreement favorable or extremely favorable when considering my local market as well as my ability to purchase elsewhere during the option period." Redmond says that if the answer is, "yes I want to stay here for a couple of years or longer but your option favors to the landlord, who likely prepared the option agreement, then renegotiate or let option expire."

   "As long as renting is not substantially cheaper than owning it would be worthwhile to become the owner and start reaping the tax benefits and building equity.", says Lenny Layland, Broker/Owner of Investorlando Realty. Layland says that the owner, "should be doing everything possible to help this happen (assuming they want the tenant to exercise the option). Credit counseling support, paying closing costs and rent credits are possible ways."

   In summary, Rademacher says that it's a good time to buy, "if the property is a good fit for your lifestyle, has a sound option to purchase contract, is priced at current market value, and meets your budget and mortgage qualifications." By analyzing these 3 items, Cook says that, "Not only will they now have an idea of what sacrifices or lifestyle changes will need to be made but they will have built up their savings which, from a lender perspective, is only a good thing.

   Redmond makes a very positive statement, in saying that you need to, "Remember you bring a lot to this transaction so do not discount your position with tenant mentality.  You can take charge help the seller to help you for the best possible outcome."

   We hope these tips have been helpful. Do you have anything to add to this list?

Have a Great Week, and Happy Rent-to-Owning !
Regards,
Rob Eisenstein
HomeRun Homes Blog http://blogging.lease2buy.com
HomeRun Homes Website http://www.lease2buy.com

Tags: #optiontobuy #mortgage #rental