Home Inspections – Setting the Expectations

February 24th, 2012

So you’ve made an offer on your new home, congratulations!

Now starts the most intense period of a home sale transaction:  the Home Inspection.

For many buyers the inspection period can be somewhat of a mystery.  Many things can be on the buyer’s mind:  What can I expect, what could go wrong, what do I do with the information from the inspector, am I making a costly mistake with this house; what do I do if I want to get out of the transaction and how will I know to do that?

As Real Estate Agents, our job is to help guide our buyers through this process.  The best way to set the stage for an inspection is to set expectations with the buyer in advance.  You do this by explaining the process to them – ideally before you even enter the offer process – and once again when the offer process begins.  In this way, you have explained how the process works so they are mentally prepared for what might be ahead.

Typically, once an inspection occurs, and even sometimes during the inspection, you will need to coach the buyers on how to proceed once inspection related information starts to get back to them.

My colleagues and I have found that it’s best to let buyers know in advance of an inspection that, once the inspection report comes in, they typically have three options:

1) Accept the findings and move forward to drafting the Purchase and Sale
2) Reject and revoke your offer
3) Counter your original offer and request that the seller address the findings in some way.  For example: the seller fixes the issues, contributes money to repair the issues or some other option that works best for everyone given the circumstances of the transaction.

Overall, to help make the Inspection process go quickly for everyone involved – set expectations in advance!  It will spare everyone a lot of anxiety and make for a better experience.

Writen by David Lenoir, The Mark Lesses Team   david@marklesses.com

• Posted in Buying

This is a real estate intervention! 5 common obstacles that get in the way of you buying your first home.

February 17th, 2012

#1 I don’t have the money. Well, is that true? The best part about this time in the market is that you can still buy a home with little to no money down.  Mass Housing and FHA loans are still being offered for those that qualify.  You can usually put as little as 3% down.  So if you have a tiny bit saved, contact a reputable mortgage rep today to find out if its in the cards for you.  Sherry Keenan from NE Moves Mortgage in our office has some amazing programs for first time buyers.  She an be reached at 617-293-5098.

#2  I’ll never find the perfect home in the perfect location. If everyone could find their “perfect” home, then the rental market would be in the dumps.  If you adjust your expectations just a hair, then you could be in the “I own my home” club in no time.  You may start off by saying you want a 2-car garage, and 2 baths, but maybe you can live a 1-car garage, off-street parking or 1.5 baths instead.

#3  The market is going down, so I am going to wait and buy when it hits the bottom. If only we had a crystal ball!  Its no surprise that we’ve been in a somewhat receding market in the past few years.  The best part about now is that when the market shifts, and it always does, you will be in a great spot.  I don’t know about you but I’d rather buy now then when the market is going up.  An appreciating market means appreciating home prices.
#4  The home inspection is going to present really bad news. Unless your buying new construction, and even those properties have their faults, most likely you are buying a home that is 50-100 years old.   Every home is going to need some work and whatever it is can be fixed.  The best thing you can do is look for a home that has a good track record of the owner keeping up with the maintenance of the house.   If the owner hasn’t, what a great opportunity for you to get in there and give it what it needs.   Just make sure that you are comfortable with the where the price point is so it can allow for some extra room to make the necessary repairs.

#5  I hate negotiating. You either fall into two categories:  Those that love to negotiate and those that don’t.  Lucky for you, you can hire an experienced real estate agent that will be your advocate though the home buying process.   We do the hard work for you.   Its our job to make sure you get the home of your dreams for the price point that the market dictates.  So leave it to us.  WE LOVE TO NEGOTIATE!

• Posted in Buying