Ellicott City Realtor Catonsville Realtor

Custom Built End Unit Townhome in Federal Hill
479,900

• 3 Bedrooms
  
• 3 ½ Bathrooms
  
• Large Gourmet Kitchen
  
• 2 Car Garage
  
• 3rd Floor Entertainment Area
  
• Rooftop Deck
  

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Q:  Tim, don't the Realtors keep all the good investment deals for themselves?

A:  As Realtors, we go through more to purchase a home than any other investor would.  If  we're working with a Seller client, we have to treat them honestly and ethically.  If we're working with a Seller we don't know, we have to disclose in writing that we (the Buyer) are licensed Realtors.  In a case where we are purchasing a property from a Homeowner, we have to go over the comps and discuss how much other homes in the area are selling for, unless we want to get sued later.  We also go over closing costs, and any other information that is beneficial for the Seller client, because we must give them the same treatment we would give any other Seller, and because our license is always on the line.

This isn't law, just the way I choose to do it.

If you were an investor trying to purchase an investment, would you first take the time to explain to the Seller what he could get for his commodity if he put it on the open market?

So......with our practices in mind, do you think we necessarily get the best deals?

If you'd like more information about Real Estate Investing, I have a free twelve week seminar, beginning February 18.  For more information, click here.

I called my client this morning to confirm our appointment tonight.  My young client and his wife are bringing his parents to see the home they have chosen to write an offer on, and we are finalizing the paperwork tonight.  We've looked at a lot of homes together, and he and his wife have carefully evaluated where they want to live.  Last week, we found a home that, although it needs some work, truly suits all of their needs, and it's priced accordingly.

My client surprised me with the news that things have been really stressful for him over the past few days.  He told me that although he and his wife are very pleased with their decision, his parents are pressuring him to keep looking.  My client told his parents that this is a decision he and his wife want to make together, and has asked his parents to let them do things their way, and for their own reasons.

My client expressed concern over the showing tonight.  He's pretty sure his parents will find something wrong with this house, because it's not the house they would choose.  And when his parents second guess his decisions, he second guesses himself as well.  Maybe he hasn't looked around enough, maybe there's a better deal out there, this place sure does need a lot of work....

As it relates to Real Estate, I think a lot of his concerns are "normal" first time Buyer jitters.  I discussed with my client that our offer is a fair price, and that we've looked at a lot of homes - and I reminded him that this was the house that he and his wife really loved, in the location best suited for them.  He agreed.

As for his parents, my guess is that this started with a financial contribution.  That can be a big hook for young couples buying their first house.  Most parents are going to want to be involved in their young adult's decision to purchase a house - some more than others, and a financial contribution from the parents really seems to compound the situation.

If you are a first time buyer, and you think your parents may want to get involved, and if you are concerned that their involvement be to the extent that you are precluded from doing what is best for you in order to satisfy your parents, you should try to address this early.  Sit down with both of your parents and have a very frank, pointed discussion regarding their involvement, and their feedback / concerns / opinion.  Make sure that you are clear about the boundaries that you are comfortable with.

I'm not Dr. Phil, although if I grew a mustache I might look like him, but this seems to make sense to me.

Top Seller Tuesdays - Spend a Little, Get a Lot! A series of weekly tips for preparing your Maryland Home for sale that are simple, quick and designed to bring you top value.

• Don't wait until the last minute to call professional painters because their schedules may be filled.  Hire them as soon as you make the decision to sell.

If you'd like more information about preparing your home for sale, feel free to contact me.

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If you have any questions about this report, feel free to give me a call, or click here to request more information.

Carroll County Real Estate Market Update, December 2009

Did you ever wonder how much your neighbor's home down the street just listed for?  Would you like to know even before the sign goes up?

Have you ever thought about moving to a new neighborhood and wondered what the prices were like in that area, compared to your own?

Have you ever had these thoughts, but not wanted to call me, "Your Realtor Extraordinaire", because you didn't have my phone number handy, or you didn't want to bother me, or maybe......you just didn't want to talk to me because surely I'd pressure you into buying a house?

Well, now you never have to call me again.  I'm offering a new service through Listingbook, where you can have access to all of the same Real Estate information that I have access to.  And unlike those other Real Estate search sites, Listingbook is the only company that partners directly with our Regional MLS here in Maryland to provide up to the minute information - in fact, Listingbook is updated every 30 minutes.

You can enter your search criteria and save it.  You can sign up for a morning report, where you'll be notified of all new listings and all price changes that match your criteria.  So when your neighbor's house goes on the market, you literally may be the first to know.

If you're thinking of buying, you can search to your heart's content.  You can save the best properties as your favorites, reject the ones that you don't find interesting, and make notes on each property along the way.  You'll receive daily updates of new listings that match your criteria.  And when a Seller lowers their price, you'll receive an email notification the next morning.

You control your search.  You control the notifications.  You have access to all of the information.  No one but me will know that you have the account, and I won't tell your neighbors.

Best of all, you still don't have to call me.  Click here to sign up now.

Question:  How do you find a great deal in this market?

Answer:  This is a very common question that I am asked all the time.  And my answer may surprise you - You may not need to find a great deal.

Whether a deal is "good" or "great" truly depends on why you're investing in real estate to begin with, versus the deal itself.  In order to evaluate if buying a property is a good investment for you, you have to identify your goal.  Is your goal:

• Cash flow
• Equity
• Write-offs
• Retirement
• Vacation Home

...I could go on and on, because there are plenty of reasons to buy real estate.  Keep your goal in mind when searching for your "great deal".

Consider our investor from last week:  He wanted to buy a home now and keep it for 17 years so that he would have enough through equity and appreciation to sell the home to pay for his kid's higher education.  He needs to find a "great deal" where the positive cash flow could be minimal or break even.  His renters would pay the mortgage, and the home would appreciate.  For him, this is the bottom line of his great deal.

But consider another scenario.  For someone who wants good, positive cash flow today - why would he buy the same property as the first investor above?  For him, that is not a great deal.  That deal provides no cash flow.  This investor needs to look at small, multi family homes that provide rental income.

Bottom line for real estate investing - you  will hear me say this over and over.  Know what it is that you want to do, and look at all of the ways to make it happen.

Stop looking for the "great deal".  Unless you know your goals, you're not going to find it.

Lately I've been showing a lot of foreclosures.  I would say about 90% of them need work.  And when I say they need work, I mean they need kitchens replaced, basements gutted and finished, and a lot more.  These are properties that have been left in total disrepair, or have been destroyed by previous homeowners.

There are a lot of foreclosures coming on the market in our area.  And there are Buyers interested in purchasing them.  The problem is that it is nearly impossible for the average Buyer to purchase one of these properties.

For example, right now I have a Buyer that is interested in making an offer on a foreclosure property.  The comps show that the home is listed at current market price.  However, in submitting an offer, how can any Buyer make an offer at market value, full list price, for a home that might need $20,00 - $30,000 of work?

I know the bank is going to come back, not even with a counter offer, declining our offer.  They will state that they have an appraisal and comps to support their price.

The problem with banks and bank owned property is that they just don't give any merit to the fact that people have to put several thousand dollars into one of these houses just to make it liveable.  This is particularly the case with short sales.

Further compounding the problem, lenders don't offer the necessary programs to make these types of purchases realistic.

It has always been difficult for appraisers to make "condition adjustments" on appraisals.  In my opinion, if banks are going to try to get the full appraised value, they need to be willing to give or lend Buyers the money for necessary repairs.

It sounds crazy, but what Buyer can come up with a down payment, closing costs, and then still have the money to make major repairs?

How would you solve the Foreclosure Conundrum?

Top Seller Tuesdays - Spend a Little, Get a Lot! A series of weekly tips for preparing your Maryland Home for sale that are simple, quick and designed to bring you top value.

• Use degreaser and a razor blade to make windows crystal-clear.

If you'd like more information about preparing your home for sale, feel free to contact me.

Click on Full Screen to view this report.
If you have any questions about this report, feel free to give me a call, or click here to request more information.

Baltimore County Real Estate Market Update, December 2009