Lehigh Valley Homes & Real Estate - Tips for Buyers & Current Homeowners

Lehigh  Valley Home Buyer Loans for TODAY not YESTERDAY. A NEW Loan to Buy  Foreclosures!  MAY 1ST 2010 Deadline - Use in addition to The Home Buyer Federal Tax Credit! NOW, THAT'S SO MAJOR INCENTIVE to purchase!

THIS LOAN IS OPEN TO OCCUPIED Home Buyers and Investors!  Holly COW - Investors normally needs to put down 20%, right!!!! come on people...this is GREAT!

WOW! There is a new Mortgage Loan in town.  He is only staying local for Home Purchases that close on or before May 1, 2010.  BUT, That's okay because to use the Tax Credit you need to be under agreement by April 30, 2010.  So, all agreements should be locked in with your Mortgage Lender by April 30th....Let's take a look at how much money YOU WILL BE SAVING!!!!!

I am soooooo excited!

If you get an FHA Loan - 3.5% Down - This is the most common loan because it has the least restrictions, you can purchase a home anywhere in the Lehigh Valley OR EVEN PA FOR THAT MATTER.

Now with FHA - These loans have special FHA Appraisals that cost you about $400 to 475.00 to get them and they will NOT allow you to buy a home that has chipping or pealing paint in a home that was built prior to 1978...It is the best program out there RIGHT NOW!  But, for a short Time...WE NOW HAVE A NEW GAME IN TOWN LADIES AND GENTALMAN! if you are at a price range of 200,000.00 and under there is a really good chance you will be purchasing a home built prior to 1978....if you live in the Lehigh Valley Area.

WITH the NEW Temporary Fannie Mae HomePath Mortgage Program - You can purchase a Fannie Mae owned FORECLOSURE, with 3% down which can save you bucks on the downpayment (100,000.00 loan for FHA $3500.00 down - Same loan with 3% down is only $3000.00) So, you say what the heck? MORIAH...$500.00 is NOT that much money? Yes, IT IS! With this $500.00 instead of using it for down payment it can be used for De-winterizing the property, Turning the Utilities on for the Home Inspecton and ordering the CO inspection. These are the major reasons why Home Buyer's can not afford to purchase a Foreclosed Home due to these extra out of pocket expenses.  PLUS...THAT'S NOT IT! Fannie Mae will also give YOU 3.5% toward your down payment and closing costs!  Holly COW! on a $100,000.00 purchase the bank will give you $3,500.00 toward your down payment and closing costs or this money can but used to purchase appliances for your new home...one of the items that are usually missing from a Foreclosed Property! yeah, the previous seller usually takes the appliances with them, wouldn't you?. Well, this can cost a New Home owner $3500.00 or more and HERE it is being paid for YOU! Awesome deal!!!!

So, now on a $100,000.00 property that is $4000.00 in cash that a Home Buyer can get on a Foreclosed Home....Let's Review, FHA Loan gives you NOTHING and MAKES you put down an extra 5% and you can not even purchase many foreclosures due to the chipping and pealing paint!

NOW, Let's see what local lenders are going to get on board with helping offer this program to home buyers.

So, Far I noticed on the following Mortgage Lender List of our Lehigh Valley Popular Direct Lenders so far...showing on the Fannie Mae Website is Met Life Home Loans - who are the other players?

Okay, so HERE are some links to help
Fannie Mae News Release Article 1-29-10
HomePath Financing Program Info

Don't Forgot...Learn BEFORE you Buy your next home!
www.LehighValleyRealEstate.TV

Lehigh Valley CASH Investors, PreApproved Short Sale - Bethlehem North Twin - Written Plan for 21% Return within 2 yrs - OFFER DEADLINE 2-15-10

This is FOR REAL - BUT LIMITED Time...there's a catch you must have your written offer in by 2-15-10 and go to settlement on or before 2-26-10. Other wise the bank will be taking this one through the Foreclosure process.

Okay, Yeah this is for REAL. Check it out.  I ran ALL Estimate cost, expenses and projected Net Profits for YOU.

DO YOU LIKE a 21% RETURN ON YOUR INVESTMENT within 2 yrs?  Does Cap Rate Confuse you?  It's okay..I don't even mention cap rate...just plan simple cash return on your total investment and this deal can get you a 21% return over 2 years if you follow my plan.  I wish I had the money to invest  because I would do it myself and that's the plan truth!

MY PLAN.
Okay, See at the BOTTOM of this Blog information about Current Market Value, CO Report, Roof Estimate...I have everything covered...if I don't let me know and I will cover that too.

THE DISCLOSURE: This is given in My professional Opinion  all investments should be confirmed on an individual bases and by your tax accountant or investment specialist – Moriah Martin, RE/MAX real estate. (To me the numbers are proof)

PRE-APPROVED SHORT SALE - 83,720.30 - Yeah the bank even wants the .30 cents too...LOL

Propery Location: 931 Fernwood Street Bethlehem, PA 18018 - Click Here for LV MLS Details

Basic Features: 3 Beds 1 Bath, 1400 sq feet, Covered Front Porch, Updated Kitchen, Updated Electrical and Heating system (not highend or brand new not org either) Partial Finished Basement and Attic but needs so work, fenced in back yard, off street parking.

At the Most the property can use $15,000.00 – Low End Repairs – Not Highend this is an investment property.

$7000.00 for a new Roof – We have estimate Actually – The Estimate came in at 5000 but you may need to replace Plywood
$8000.00 For painting, Carpet, and other small repairs

The more you do the more the property will be worth of course.

Investment Estimated PURCHASE NUMBERS

The Purchase
Price = $83,720.30 (preapproved by Bank)
Closing Costs as Shown on Est HUD = $4067.15
TOTAL CASH NEEDED TO CLOSE = $87,787.45

OPTIONS

1) Rent Property for minimum $850.00 – see proof below (depending on updates could get more) Worst Case 850

(950 is proven by current market value)

2) Rent to Own for first 2 years and then sell at $118,000.00 this is slam dunk sale right now – see proof below - I am already working with Interested Lease option to Buy Home Buyers...they are Flocking in...the loans are harder to get...but, with me they work with Local Credit Repair Companies...okay, yeah...the right way to depend on a future sale.

OKAY, SO, Annual Rental Income at 850.00 per month = 10,200

Estimated Costs For Rental on Annual Basis
Maintenance Calls - $1500.00 - It's a good idea to use a Home Warranty Company to help.
Property Taxes – 2473.00
Property Ins 1000.00

If you resell in 2 years at 118,000.00 (this is worst case and a slam dunk deal in this market, if you don't think so just work with me and I can make it happen for you)

118,000.00 Minus cost of Sale in Future - *$3800.00 - Org Investment = 102,800.00 = $11,400.00 Net YEEEEHAAAWWW

TOTAL NET OVER 2 YEARS = $21,854.00
or you can just continue to RENT year after year after year. Raising the rent $50.00 each year..etc.

*3800.00 Above is figured on using a Real Estate Agent (like me..lol) to assist in the sale in the future if needed a 2% plus other standard closing cost 1% Transfer and 110 deed prep and 35 notary fee. 

THE PROOF - CLICK ON THE LINK THAT INTERESTS YOU.
The FULL Property Detail from the LV MLS
The Proof with a CMA (which also includes these numbers above)
The Bethlehem CO Report (everything is revealed in this deal)
The Current Comps for this Investment within a .5 Mile radius with Photo's
The Roof Estimate

Are you IN?

Lehigh Valley Real Estate & Homes - Free Upcoming Home Buying Seminar / Workshop being held in Allentown PA - Learn before you buy - Not only First Time Home Buyers - Repeat Buyers welcome too.

UPDATE 12-13-09: Added New Workshop Date & Question & Answer Session now Confirmed

FREE Home Buying Workshop

       WHEN: January 9, 2009 February 6, 2010
       What Time: 10am to 1pm
             Guest Speakers: 1pm to 2pm see below

       WHERE: RE/MAX real estate Office

        3021 College Heights Blvd Allentown, PA 18104

          Go to MapQuest to Get Door TO Door Directions

 
Registration is a MUST click HERE!

Seating is Limited to 22 10
We decided to give more attention to our students and limit seating to 10

We will hold a cancellation List
 If you register and can not make it please contact us

Refreshments will be served

Future Workshops - scheduled by Demand

WHAT WILL YOU LEARN?

• Down Payment & Closing Cost Assistance Programs (state & local)
  
• How do you get the 8K Tax Credit or 6500 for Repeat Buyers
  
• How to Determine how much a home is worth to make an offer.
  
• How to make an offer on a home
  
• Negotiating Your offer with the Seller
  
• How to get the seller to give you... $5000 toward your closing costs
  
• No down payment Loans & 3.5% down payment loans
  
• How much are closing costs?
  
• Common Inspections to get on a home
  
• How to get Full Detailed Listings of Homes that fit your specific needs
• and MUCH, MUCH MORE.
  

ALL Students will be given full written presentation materials to take home

Local Professional Instructors Include

Moriah Martin, Real Estate Agent
RE/MAX real estate, Allentown PA

John M Obleschuk
Mortgage Consultant & Renovation Specialist
Wells Fargo Mortgage

Special Guests for Question & Answer Session
this may include lunch for our students

12:30 to 1:30pm 1pm to 2pm F

From

Jenique Jones, Lehigh Valley Credit Repair
Joe Poplawski, Advantage Home Inspection Services

Other Lehigh Valley Real Estate and Home Buying and Selling Questions
10 Top Home Buyer Questions
Top 5 Lehigh Valley Seller Questions
What is a buyers Agent?
10 Things you should know about Buying a Foreclosure

*Lehigh Valley Real Estate - FREE Home Buying Seminar / Workshop in Allentown, PA * Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License

Lehigh Valley Homes & Real Estate - The Home Inspection 4 Things Buyers and Sellers should know - When selling a home in Allentown, Bethlehem, Easton or the surrounding area..you should be prepared when it comes to the home inspection.

Tips for Lehigh Valley Buyers and Sellers about the Home Inspection.

This information will apply to you ONLY If you plan on working with a Real Estate Agent to buy and or sell a home in the Lehigh Valley PA area.  If you plan on selling your home as a For Sale By Owner..this may not apply to you. This ONLY applied to those who will be using the PA State regulated Residential Standard Agreement of sale for the Sale of Real Estate.

These Tips will help Buyer's Make stronger offers that will stand up against other competing offers and give Seller's ideas of key areas that they should consider with negotiating the offer they get on their home. In my opinion these Tips are beneficial for the buyer and the seller.

1) Buyers & Sellers - You have two options when negotiating the Home Inspection condition of the agreement of sale.

OPTION 1: Says "Mr. Seller I am a smart buyer and I am going to get a home inspection and no matter what the home inspection report says, I have the right to walk away and get my deposit money back"

OPTION 2: Says "Mr. Seller I am a smart buyer and I am going to get a home inspection and no matter what the home inspection report says, I will be forced to negotiate with you first BEFORE I walk away and get my deposit money back"

MY Opinion: Option 2 keeps everyone communicating and while the intentions of both sides is for the buyer to buy and the seller to sell...this is just a much better way to sign an agreement of sale with a home inspection condition in my eye's.

2) Buyer's & Seller's - When the offer is being negotiated be familar with the Home Inspection Exclusion Clause area of the Agreement of Sale...you should be keeping in mind if the home is being listed and sold with the roof needing to be replaced as an example or the buyer knows that the Furnance is at it's end of life and they plan on replacing it and this is the reason for their offer at lower than current market value...items that are not being considered to be conditioned on the home inspection should be written as an exclusion in the home inspection condition section.  This is really important when negotiating...because if a seller is going to give a buyer a large discount due to replacing the roof or doing any major mechanical items...then the buyer comes back and says..after the home inspection..well, the inspector says the roof needs to be replace...anything that is NOT in writing is NOT in writing.  Keeps everyone honest and also makes a buyer's offer stronger against other competing offers...because very few people use the exclusion field of the Agreement of Sale.  I have beat many competing offers due to adding exclusions to this area.

3) Buyer's & Seller's - You should know that there are a few different types of inspections that will be conducted the home for the buyer during the execution of the agreement of sale. Which can cause reasons for re-negotiations 2 to 3 times over before settlement.  There may will be the following inspections on the home depending on the Home Buyers Type of Mortgage, The inspection conditions requested by the buyer, Home Insurance Company selected, the Muncipality the home is located in.

Who may inspect the home which can cause a reason for future negotiations due to repair requests

1) The local municipality for a CO resale inspection
2) The Typical Home Inspector
3) The Mortgage Appraiser - Could be for FHA or Conventional apprasial
4) The Septic Inspector (unless it's public water)
5) A Water Test if it's well water (unless it's public water)
6) A Radon Inspector
7) The Homeowners Insurance Company
8) A Termite Inspection

All Inspections must be conducted within 15 days ACCEPT the appraisal. The appraisal needs to be completed prior to the Mortgage approval Date which is another deadline within the Agreement of Sale.

4) Buyers & Sellers - The Typical Home Inspection time Frame and Who should Attend? A Home Inspection for a home that is 2000 sq ft takes about 3 hours.  Seller's you really should not be home - Buyer's you should be there ...not only to learn about your new home, but to make sure the inspector is doing what he is suppose to be doing and I even believe the Buyer Agent should also be present just in case there are issues ...so everyone can get a visual of the problem and negotiations can be conducted in a clearer and more professional manner.

Other Lehigh Valley Real Estate and Home Buying and Selling Questions
10 Top Home Buyer Questions
Top 5 Lehigh Valley Seller Questions
What is a buyers Agent?
10 Things you should know about Buying a Foreclosure

* Lehigh Valley Homes & Real Estate - The Home Inspection 4 Things Buyers & Sellers should Know* Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License

Lehigh Valley Foreclosure & Real Estate - 10 Things to know about Foreclosures in the Lehigh Valley Area - Thinking about Buying a Foreclosure, Bank owned, REO or Short Sale Property? Things you need to know first.

Foreclosure's can be a great opportunity for a Home Buyer to get a property at a discounted Price. 

BUT Before just jumping into this head first and ONLY looking for a Foreclosure to purchase...let's make sure you know some details about buying a Lehigh Valley Foreclosure.

1) Typically a Foreclosure has been vacate for about 1 year BEFORE it has become available on the MLS for you to purchase. Typically, Foreclosures are sold & Listed at 20 to $30,000.00 under current Market Value.  Some are more and some are less. 

2) Over 75% of the Time the Utilities in the property have been turned off and the home has been winterized. So, Bring a Flash Light to your showing :-)

3) Not all Foreclosures can get financed by the standard FHA or Conventional Loan BUT can get financed by using an FHA 203K Streamline Loan.

4) The buyer will be responsible for turning on all the utilities in their own name to conduct any Buyer requested home inspections and leave the utilities on for the Mortgage appraisal, Homeowners Insurance Company Inspection and Municipal Resale inspection, if required.

5) The buyer will be responsible for ordering and paying for the Municipal Resale inspection for the purpose of getting a clear certificate of occupancy from the Local Municipality and also be responsible for any repairs that come up on this report.  These repairs do not need to be completed prior to settlement but usually will need to be completed and the property reinspected between 30 days and 1 year from the purchase date.

6) You can have your Real Estate Agent setup a search on the Lehigh Valley MLS to ONLY search for Foreclosured properties if you would like.  Just ask them to search the special condition of Bank Owned and this will accomplish your goal.  Today: 11-7-09 there are 247 Bank Owned Properties for sale in Lehigh and Northampton county.

7) Foreclosures come in the form of several different names: Bank Owned, REO "Real Estate Owned" , Foreclosure, HUD owned.  Depending on the type of Foreclosure and the Bank who owns the Home, will depend on the process in which you will be required to make your offer and also the additional addendum's you will be required to sign.

8) Foreclosures can take anywhere from 2 to 6 weeks just to get a reply from the bank.

9) Banks do prefer to have cash transactions, then conventional loans, then FHA loans.  But, do not be afraid to give it a shot if you are interested in a foreclosure...the worst thing that could happen is that your offer does not get accepted.  When your offer is going through the reply process and You are waiting on an reply to your offer from the bank...I suggest you keep watching the market just in case your offer does not get accepted.

10) Not all Real Estate Agents like working with Selling Foreclosed Properties.  So, make sure when you are looking for  a Buyer agent that you find out what types of properties they will help you purchase.

LAST NOTE: A Short Sale is NOT a Foreclosed Property.  A short Sale is a pre-foreclosure...this is when a homeowner trying to avoid the foreclosure process by conducting a short sale on their property.

Other Lehigh Valley Real Estate and Home Buying and Selling Questions
10 Top Home Buyer Questions
4 Things to know about the Home Inspection
Top 5 Lehigh Valley Seller Questions
What is a buyers Agent?

* Lehigh Valley Foreclosure & Real Estate - 10 Things to know about Buying Foreclosures* Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License

Lehigh Valley Real Estate & Homes - Top 5 Lehigh Valley Seller Questions when selling a home in the Lehigh Valley PA Area.  Lehigh Valley Real Estate selling techniques and suggestions including Allentown, Bethlehem, and Easton.

When thinking about selling a home it can be a very stressful and overwhelming time for you.  If you get 3 Different Real Estate Agents to give you a CMA (current market anylasis) Bascially, Tell you what you can list and sell your home for...you may get varied answers, but each one should be within the same range...unless they are just tell you what you want to hear.  But, hopefully with the following information it will give you a bit more knowledge about selling your home in the Lehigh Valley and a few of the Top Questions most Seller's have in today's market.

1) What is my Home worth?

The only way to find out what your home is worth is to have a local real estate agent come out to your home to conduct a walk through and then return to the office and research the Lehigh Valley MLS for properties that have SOLD in your community recently (3 to 6 months) max if possible and by comparing features, updates/upgrades, lot size, bedrooms and Baths (within a 1 plus or minus) and sq feet (within 300 sq ft plus or minus) and see how they compare to yours. This is the way a Mortgage Appriaser for the Buyer's Mortgage Company will establish value to your property and the Buyer's Agent will establish market value for the buyer when they are making an offer. See about Blog about establishing market value by using Online Consumer Resources like Zillow & Trulia.

2) What if I owe more on my home than it is worth right now AND you want to SELL?

If you are a seller who NEEDS to sell your home due to a financial hardship which is or will cause you to fall behind on your mortgage at sometime in the near future you can wither sell your property and bring the difference between what your home sells for and what your loan amount/Closing costs area OR you can work with a local Real Estate Agent who is educated in the Short Sale Process and conduct a Short Sale on your property.

3) Is Today a Bad time to sell?

For those sellers who have owned their home prior to 2004 the average appreciation in the Lehigh Valley Typically has been between 3 to 5% annual.  Most capping about 4% So, if you look at what you purchased of your and added 4% appreciation every year...the final number should be right around what your home should be worth if you have maintained your home and added average updates.

Those who have purchased and/or Refinanced their homes between 2004 and 2007 may find it difficult to sell their home in 2009 through 2012.  The reason is because the value's of homes during 2004 and 2007 where inflated and frankly properties where appraised for values they should have never been valued at.  Values where increasing 20 to $30,000.00 just over a few months.

So, the issues with the Housing Market are all steaming around the time period of 2004 to 2007 and if you where not involved with the purchase or refinance during this time period, this should be a good time to sell.

4) What should I do to get my home ready to sell?

This is something that can not be answered as everyone's situation is different.  It will depend on what your home is worth in it's current condition compared to other properties sold and currently on the market.  It depends on what the numbers are.  The important point you should know is a home can be sold outdated and needing TLC but it just needs to be priced correctly in the market place.  The key is - You should be watching the market daily like you are a buyer looking for homes just like yours, in your School District, price range, sq foot and bed/baths...think like a buyer and have a search setup like a buyer...if the buyer is seeing other homes like yours that are showing nicer for a lower price...then your home that is currently listed on the market.  All you are doing is helping sell the other homes.  You NEED to compete with the other homes on the market as you are in a compeition to make your home be the best overall value fixed up or not.  There are many people in today's market that need a home that is larger but NOT updated/upgraded with all the highend stuff...because they can better afford purchasing the home without the $20,000.00 in updates and then do the updates slowly as they have the money.  You see? So you just need to price it fairly and they will come. Price it over market value and you will get no showings and the home will just sit on the market wasting time while all the other homes get sold.

5) Shouldn't we Add 20 or $30,000.00 to the current market value price when we list it so we have room to negotiate with the Buyer?

ABSOLUTELY NOT! I know this seems like a common sense approach to selling a home and this may have worked many years ago before buyers where being represented by Buyer Agents and before 1999 when there was no such thing as the Lehigh Valley MLS.  But, now. This is HANDS DOWN the worst thing you can do when selling your home.  Let me give you a few reasons why.

Reason #1: The current market value of your home is proven by other homes that sold recently (3 to 6 months) so, The buyer's setup their search with a Professional Buyer's Agent Guiding them.. for the price range of homes current market value and what they can afford for homes like these.  Let's say you are selling an semi updated Cape Cod in South Whitehall/Parkland Schools.  Homes like these are worth currently 179,000.00 needing just a bit of work to $200,000.00 all updated...Your home is worth max 190,000.00 because the homes at $200,000.00 have double the size lot, Central Air, Finished Basements and 2 car Garages. You list your home at 210,000.00. Well, The problem now is the Buyers price range for homes is caped at 200,000 or under because that is the current market value for a home like yours.  But, BECAUSE you have OVER priced your home...your home is not even coming up in their search results.

Reason #2: Because you have decided to over price your home so you can "negotiate" with the buyer who never even views your home because it is not within their price range...or even the price range of other homes like this..you will not even get an offer on your home from this buyer because they will not be looking in that price range.  The price range you have selected to put your home in is for homes that are bigger and better and your home will now be helping the other homes sell faster.  Remember, when buyer's search for homes to view they conduct searches by area, schools, bed/baths and sq feet - sometimes lot sizes.  You need to be right in the middle of the search conducted for the type of home you have OR you will never come up in the MLS and thus your home will never be seen and never sold. Think of it like a beauty compeition....weather it be an upscale or average compeition...everything needs to be equal or better and on the same playing field to compare and sell againts other "like" properties.

Reason #3: The longer your home is on the market - The Buyer's think...what is wrong with that home? Why didn't it sell? Now, if they are working with a Buyer's Agent...the Agent will explain typically, the reason why homes do not sell is because it was not listed at current market value when they are initial listed on the market..they are over priced.  Eventually, when the seller realizes this...after being with 2 or 3 Agents...they end up at the price that the 1st Agent told them to list at which is current market value for the property! If you look at all the homes that are listed at current market value and SOLD..you will notice the days on market are all 27 to 45 days..this means they actually sold within a week or two.  Because, they where in the right search for the buyers and the buyers evaluated all the homes in this price range for this type of home and it sold BECAUSE IT WAS PRICED RIGHT.

Reason #4: Save Time, Money and Frustration by just listing your home at current market value.  Yeah, it takes time & money to clean for showings, it is frustrating to have a showing request when you are not feeling well....selling is not easy...but, you are not doing yourself any favors listing your home wrong...yeah...you can find a Real Estate Agent that will tell you what you want to hear and then just sit and do all the work for nothing...when you will end up selling for current market value anyway...or even worse...less than current market value because you are just sick and tired of showing your home or you have already found your next dream home and you do not want to loose it.  JUST Do everyone a favor and DO IT RIGHT THE FIRST TIME.

Reason #5: True Professional FULL TIME Real Estate Agents will not agree to listing your home over current market value without getting a pre-signed agreement within 2 weeks of listing your property reducing the property to current market value upon no showings and no offers.  Remember, You hire a Real Estate Agent to sell your property for Fair Market value nothing more and nothing less...then in order to accomplish this goal we must do what needs to be done right the first time.

Other Lehigh Valley Real Estate and Home Buying and Selling Questions
10 Top Home Buyer Questions
4 Things to know about the Home Inspection
What is a Buyer Agent?
Buying a Lehigh Valley Foreclosure, 10 things to know

*Lehigh Valley Real Estate & Homes - Top 5 Lehigh Valley Seller Questions * Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License

Lehigh Valley Real Estate & Homes - What is a Buyers Agent? Okay, so we have Real Estate Agents - Some are called Seller's Agents and Some are Called Buyer's Agents, What is the Difference and why should I care?

In the State of PA you can have many different relationships with a Liscensed Real Estate Agent.

I am going to talk to you about working with a Lehigh Valley Real Estate Agent for the purpose of selling or buying a Residential home in Allentown, Bethlehem, Easton or a 35 mile radius of this within PA (not including New Jersey)

The Real Estate Agent and WHO they represent in a Transaction (think of it like a Doctor or Attorney relationship)

The Seller - When a Real Estate Agent helps a Seller sell their home and they place a FOR SALE sign in the front yard.  This Real Estate Agent is know as the Listing Agent and/or Seller's Agent.  Their job is to represent the seller in selling their home, make sure they work on behalf of the seller to negotiate and protect the best interest of the seller at all times.  Main Objective to get the most money and best conditions for the seller when a buyer makes an offer on their home.  Usually, this is the Real Estate Agent you are meeting at the Open house BUT not always...many times other Real Estate Agents help the listing agent by hold open houses for them.

The Buyer - When a Real Estate Agent helps a Buyer - Buy a home - meaning help the buyer with searching for a home - finding a mortgage on a home and evaluating current market value for the home they are interested in making an offer on...The Agent's main objective is to represent the buyer in purchasing a home, make sure they work on behalf of the buyer to negotiate and protect the best interest of the buyer at all times. This Real Estate Agent is known as a Buyer's Agent.

A word of Caution - It is not in the best interest of a buyer to call a FOR SALE sign and request that the seller's agent show them the home.  There are complicated reasons why....but one really good and simple reason is the seller's agent works for the seller NOT the BUYER.  You need your own agent to show you the property AND this agent should be someone you have interviewed or researched as the home you are interested in looking at may be your dream home and since this is one of the most important decisions in your life...don't just pick an agent out of a hat.  This person is just as important as choosing your doctor or attorney...trust me.  Do you research and compare agents...do a search on google and see what comes up.

Side Note: A Real Estate Agent "Buyer Agent" can show you any home that is listed for sale in the state of PA.  Although most work in certain territories...as an example I primarily work in the Lehigh Valley area which includes Lehigh & Northampton counties  But, from time to time I also cover just over the lines of Bucks, Berks, Monroe, and Carbon county too.

A surprising Fact - How much do you pay to have a Buyer Agent?: When a Home Buyer requests the assistance of a Buyer Agent to purchase a home that is listed on the Lehigh Valley MLS - The Buyer pays nothing for this Buyer Agent to help them through out the home buying process.  which is typically 3 to 6 months from the time you start looking for a home to the time you go to settlement on a home.  Depending on your needs of course.  Once a Listing is added to the Lehigh Valley MLS this actually makes a contract between the Listing/Seller's Agent and ALL of the Buyer Agents in the Lehigh Valley that when the Buyer Agent helps sell the property by helping their buyer purchase the home listed by the seller's agent...the seller's agent will share the commission paid to them by the seller at settlement. Pretty cool huh?!

Other Lehigh Valley Real Estate and Home Buying and Selling Questions
10 Top Home Buyer Questions
4 Things to know about the Home Inspection
Top 5 Lehigh Valley Seller Questions
Buying a Lehigh Valley Foreclosure, 10 things to know

* Lehigh Valley Real Estate & Homes - What is a Buyers Agent?* Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License

Lehigh Valley Real Estate and Homes: 10 Top BUYER QUESTIONS in the Lehigh Valley PA Area. Are they your's too? Lehigh Valley Real Estate including Allentown, Bethlehem, and Easton plus the Pocono's too...can be quite confusing.

I am thinking that these would be good Questions to Answer during my Lehigh Valley Home Buying Workship? Can you let me know if you would prefer a different question get answered? When you work in a career it is almost impossilbe to be BASIC.  So, help me out here, would ya? My students will appreciate it.  I want to have FUN classes. So, we will need to play a game and stuff...when the classes get to 5 hours long.  Right now the classes are 2.5 hours...so no playing around yet :-). anyway.

The Questions....Top 10 Lehigh Valley Home Buyer Questions

1) Who Do I talk to FIRST? Real Estate Agent or Mortgage person?
2) Can my Real Estate Agent do a Search by Property Type? Like, I just want her to send me the Foreclosures and Short Sales? Can she do this?
3) The Difference between Estate Property, Foreclosure, Short Sale, REO, Bank Owned, and HUD Properties.
4) 4 Reasons to Get Prequalified BEFORE you start "just looking," IF  you do not listen you may loose the home of your dreams...I have seen it happen.
5) 4 Things to do in the "Just Looking" Stage.
6) 4 Situations where can I get my Deposit Money Back.
7) How much money do I need to put down with my offer to the seller?
8) Who gets to keep my deposit?
9) How much are closing costs?
10) How do I sell before I buy?

Okay, That is what I think are the most important.  What about you?

NOTE: I will be answering these questions in future Blog Posts.  If you would like the answer to any of these questions before I turn them into links...just post a comment here and I will gladly answer them within 24 hours.

It's your turn....

Thank you ahead all Real Estate Agents and consumers for helping me with this important part of just getting out there and doing all I can to make a difference...please come check it out.  Infact I am going to make up Tickets and the  only way you can come is if you get a Ticket. "Complimentary Ticket" You gotta come though ... cuz if I reserve a seat THE SEAT IS FOR YOU.  I don't know...I must think about the Marketing concept more...but, I have 50% done with the Power Point presentation...we are going to add music and back ground stuff...LOL

Got any MORE Questions?

Other Lehigh Valley Real Estate and Home Buying and Selling Questions
Top 5 Lehigh Valley Seller Questions
4 Things to know about the Home Inspection
What is a Buyer Agent?
Buying a Lehigh Valley Foreclosure, 10 things to know

*Lehigh Valley Real Estate and Homes: 10 Top Lehigh Valley BUYER QUESTIONS * Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License

Lehigh Valley Foreclosure  & Real Estate Avoid Foreclosure Scams in PA: What you need to know about Avoiding Foreclosure in the Lehigh Valley - You should not PAY A DIME for getting help to Avoid Foreclosure in the LV

Okay, Here is a Brief List of the things you should look out for when you are trying to get more information about Avoiding Foreclosure. If you would like more details about the information below..just go to my website. www.AvoidForeclosureScams.com

1) If you are hiring a Real Estate Agent to conduct the Short Sale or Pre-Foreclosure on your home and You ask them what is the process for getting a short sale approved with the bank and their answer is "Well, It depends on the Bank every bank does it different" This is proof that the agent you are talking to has not been education about how to handle the short sale process.

2) You DO NOT need to be behind on your Mortgage to conduct a short sale or Pre-Foreclosure on your property.

3) You DO NOT need to pay ANYONE to conduct a Loan Modification, you can get help from CACLV a local non profit organization in the Lehigh Valley. You can also do it yourself by contacting your Mortgage Co...be we know the stress involved in that.

4) If you get a letter in the mail regarding helping you Avoid Foreclosure... Do not listen to anyone that Garantee's helping you avoid foreclosure...because there is no garrantee!  That is a A BUNCH OF BS. We can try our best to help you but there are so many factors that determine if anyone can help or not...that it is impossible to garrantee anything.

5) DO NOT PAY ANY FEE'S!!!!!!!!!!!!!!!!!! Help is here for FREE!

6) Beware, if you are working with a Real Estate Agent who is working with an investor...and NOT charging you a fee! Because this means the investor is making money in a different way...they do not work for free.  So, if you do not know what is going on and how they are making money...there is a problem and it may include fraud. See, FBI site on the 2008 Mortgage Fraud "Year in Review".

7) You can get links and FREE help from www.AvoidForeclosureScams.com - If you are a Lehigh Valley Resident and need help, all I ask is you give me the first opportunity to help you and then tell others what you think about my website and techniques in helping homeowners in the Lehigh Valley, Referrals are my lifeline.

8) Okay...so this is just a FEW pointers...but don't take it from me take it from the President of the United States, & the FBI!

Here Watch President Obama for under 7mins about The Making Home Affordable Program.

Other Helpful Blogs covering this subject
Foreclosure Alternatives
Homeowners guide to Selling by Pre-Foreclosure/Short Sale
9 Reasons to Avoid a Lehigh Valley Foreclosure

* Lehigh Valley Foreclosure & Real Estate Avoid Foreclosure Scams in PA* Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License

Lehigh Valley Foreclosure - A Homeowners guide to selling your home Pre-Foreclosure / short sale in the Lehigh Valley, What's is the process and Basics to selling your home to Avoid a Foreclosure on your credit.

The Pre Foreclosure/Short Sale Process can be very confusing, disorganized, not to mention complicated if not impossible to do for someone who has NOT been Trained properly to handle the Details of this important process.

We would like to keep things simple .... and Give you The Basics about How we Handle our Short Sale Process for Lehigh Valley Homeowners.

Our approach to the Short Sale Process is working as a TEAM.
The Short Sale process is almost impossible to be completed efficiently by one Real Estate Agent (in our opinion) Brian Segel handles the Typical Listing and Marketing of your Property and Moriah Martin handles all of the Paperwork, communication, and negotiation with the Bank (s).

1) First Contact with a Homeowner is by Phone. We will ask various questions that will confirm if the Homeowner qualifies for a short sale and if we can help them.

2) If the Homeowner qualifies for a Short Sale,The next step is to schedule a meeting at our office. The homeowner will be requested to bring with them various documents pertaining to their Mortgage & Income. We will provide the homeowner with this information by postal mail or email with the Appointment Confirmation Letter.

3) During the Office Apppointment we will review with you The Short Sale and Foreclosure process, this way you know what to expect and when to expect it. The meeting is for preparing all the documentation we will need to handle the Short Sale process for you. The Listing Agreement will also be signed at this meeting.

4) Within 5 days, we will vist your home to gather all the information needed to prepare the Cost of Repairs Report if needed and Prepare your Home to be listed on the Lehigh Valley MLS. Photos will be taken at this time, a For Sale sign and Lockbox will be installed.

5) Your Home will be listed on the Lehigh Valley MLS within 48 hours.


How the Short Sale Process is handled with YOU and your Mortgage Co. (Just the Basic's)

1) Your Home MUST be listed at or just under current market value - The list price of your property needs to be as close to current market value as possible.  Remember, when we value your home we will compare recent sold and settled properties in your same community and then after preparing a Cost of Repair Report including photo's (if needed) this will be subtracted from the current market value if the homes that have recently sold...where ready to move in and required no repairs.  The listing price is really important as it needs to be exactly where the comps prove it should be.

2) Your Mortgage Company really does not care what anyone wants to sell/purchase the property for, that includes the Real Estate Agents, The seller, and The buyer.  The Mortgage Company needs to get proof of the current market value of the property as everyone knows that the current market value is LESS than what is owned on the property...or a the very least including closing costs and all other sales fee's and costs that the bank will be taking less than agreed for the Loan.  So, LET'S be blunt.  If the property is listed too low then the bank will counter that offer and if it is too high...then the home will not appraise.  So, The key is to list it where it needs to be AND generate multiple offers.  A Multiple offer situation only occurs when a property is list just at or under the current market price.

3) If there are no showings - The List Price needs to be reduced every 2 weeks at the least!  Most Mortgage Companies require that we have a complete short sale package to submit to them and this includes a REAL offer signed by the buyer.  So, even if the offer is a low ball offer...it is an offer signed by a REAL buyer and we are moving the wheels toward approval. We do not submit Fake or unsigned Buyer Offers (Mortgage Companies are not stupid)

4) The Seller Can not make any profit from the sale of the property and they are not required to conduct regular maintenace on the property...because if they had the money to make repairs..they would have the money to make their mortgage payment and homeowner may live in the property during the entire short sale process which is on average 90 days. (if you are working with us)

5) The seller Does not need to be BEHIND on Mortgage Payments to conduct a short sale or Pre-Foreclosure sale on their home in the Lehigh Valley.  Most Financial Hardships can be seen into the future.....Most homeowners use savings and 401K and credit cards to try and keep up with their bills before they just can not make ends meet any longer and the Mortgage Payment then starts falling behind. 

6) The Seller no longer has any contact with the Mortgage company - They will no longer receive phone calls all times of the day.  Moriah handles ALL communication and negotiations with the Bank.

7) We have an online Service Check up site available 24/7 for you to log in with your secure and confidential user name & password to see exactly what we are doing to process your short sale.  We make a committment to update this site NO LATER than every Friday at 5pm. Weekly progress is a must!

8) We will never tell you that it is a "waiting game" - We proactively work toward progress every week as we have a 90 day closing system and if we follow the system and the Mortgage company does not follow our system...we find the people that will help us follow the system and get the answers.  Weekly followup is the key...as changes are made quickly in the Short Sale department with Most Mortgage Companies.

Again this is just the basics and not everything involved with process a Pre-Foreclosure / Short Sale but at least it gives you a bit more information than you might have had before.

We are here to answer all your questions and tell you if this is the best option for you...OUR 1st Priority is to help you stay in your home.

Of course a Video for you too...Who can help me with a Short Sale?

Other Helpful Blogs covering this subject

Foreclosure Alternatives
9 Reasons to Avoid Foreclosure
Lehigh Valley Foreclosure Scams to Avoid

* Lehigh Valley Foreclosure A Homeowners Guide to Avoiding Foreclosure by Pre-Foreclosure/Short Sale* Moriah Martin is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License