Tuesday, May 31, 2011
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Pre - Inspection" at http://ow.ly/56Da1
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Pre - Inspection" at http://ow.ly/56Da1
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Pre - Inspection" at http://ow.ly/56Da1
Pre - Inspection. By Dan Polimino.
There is no question that inspection is one of those days in the home buying and selling process that is stressful for both parties in the transaction. Buyers are always worried that they are going to find something seriously wrong with the house that they just made an offer on, while sellers are worried that there is something seriously wrong with their house. In most cases, the buyers, sellers, and their respective agents don't breathe a sigh of relief until the inspection period is over and has been resolved.
One way that sellers can relieve their stress ahead of time is by having what I call a pre-inspection done of their home even before they put it on the market. They hire an inspection company to conduct a standard inspection, as if the home was under contract. Then, they take the results and fix all or some of the problems noted in the inspection report. Once done, they can sleep easy that in the event someone makes an offer and their home goes under contract, the inspection period should go smoothly.
In fact, most people can increase the value of their homes by doing a home inspection every two or three years. Let's face it; our homes take a beating inside and out. You may not even be selling your home, but keeping up with the structure every two or three years can halt the damages of nature. I see people all the time scrambling to get their home fixed or in shape just before they sell it. Most people don't even think about maintenance issues until it's time to sell. What if you did it different this time and started working on one or two projects every year, instead of trying to tackle them all at once? It would also help out financially if you spread out the maintenance cost over time instead of being shocked with a big bill right before you need to move.
Many home inspection companies like Home Systems Data will do a home inspection for you, so you can find out which maintenance issues you have now or coming up in the future. They'll look at the roof, the basement for leaks, issues on structural, heating, plumbing, and electrical, and they'll do tests for radon, mold, and termites.
This time around, be prepared, get ahead of the game and increase the value of your home.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
One way that sellers can relieve their stress ahead of time is by having what I call a pre-inspection done of their home even before they put it on the market. They hire an inspection company to conduct a standard inspection, as if the home was under contract. Then, they take the results and fix all or some of the problems noted in the inspection report. Once done, they can sleep easy that in the event someone makes an offer and their home goes under contract, the inspection period should go smoothly.
In fact, most people can increase the value of their homes by doing a home inspection every two or three years. Let's face it; our homes take a beating inside and out. You may not even be selling your home, but keeping up with the structure every two or three years can halt the damages of nature. I see people all the time scrambling to get their home fixed or in shape just before they sell it. Most people don't even think about maintenance issues until it's time to sell. What if you did it different this time and started working on one or two projects every year, instead of trying to tackle them all at once? It would also help out financially if you spread out the maintenance cost over time instead of being shocked with a big bill right before you need to move.
Many home inspection companies like Home Systems Data will do a home inspection for you, so you can find out which maintenance issues you have now or coming up in the future. They'll look at the roof, the basement for leaks, issues on structural, heating, plumbing, and electrical, and they'll do tests for radon, mold, and termites.
This time around, be prepared, get ahead of the game and increase the value of your home.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
Friday, May 27, 2011
Thursday, May 26, 2011
Check out my latest blog entry titled...
Check out my latest blog entry titled "Two FHA mortgages at the same time?" at http://ow.ly/53BMV
Check out my latest blog entry titled...
Check out my latest blog entry titled "Two FHA mortgages at the same time?" at http://ow.ly/53BMV
Check out my latest blog entry titled...
Check out my latest blog entry titled "Two FHA mortgages at the same time?" at http://ow.ly/53BMV
Two FHA mortgages at the same time?
Is it possible to have two FHA mortgages without jumping through a lot of hoops? Maybe. Under the old rules HUD required: the homes to be a primary residence and at least 50 miles apart, an increase in family size, or for medical reasons such as the homeowner was currently living in a two story and needed a ranch style residence because they could not handle the stairs. The reason for this was simple. HUD did not want to see people "empire build" with FHA mortgages.
The new guidelines state that a borrower can purchase an FHA-insured primary residence, then rent out that primary residence and re-establish another primary residence after 12 consecutive months. They can purchase a second primary FHA insured primary residence without meeting the relocation or other tests. Remember that a borrower must occupy a property for at least one year when they utilize an FHA mortgage, unless there are unforeseen circumstances beyond the borrower's control. An example would be some one who takes out a FHA mortgage for purchase or refinance and two months later finds out their employer is relocating out of state.
A perfect example of who this will help is a family who wanted to change school districts and be closer to mass transit. They were "upside down" on their existing home by over $30,000 and did not want to ruin their credit by doing a short sale. They rented out their former home and leased a new one. Their existing residence has a FHA mortgage. Under the old rules they would have had to wait until they could come up with a higher down payment for a conventional mortgage, which would take a long time. Under the new rules, they only need to show they have not occupied the property in the last 12 months. I should mention that the family that rented their house was smart enough to obtain professional advice about leasing out the former home. If you do not have experience or education in property management, you should hire a professional to lease your property. For every success story I hear about amateurs who play landlord, and get lucky, I hear at least four horror stories, often with the property ending up in foreclosure.
This new rule is a good example of common sense that benefits both tenants and owners. The benefit to the tenants is that their landlord does not have to displace them to obtain a new FHA loan. Interested in your thoughts and comments, as always.
Best, Chip
Chip Allen
Crestline Mortgage Bankers
A Division of Universal Lending Corp
Direct: 303.947.2109
Fax: 303.987.0676
Loanchip@hotmail.com
Colorado Mortgage Broker License # 100019831
NMLS# 378621
Your Lender for Life!
When people you care about need a mortgage,
for purchase or refinance, please do not keep me a secret.
The new guidelines state that a borrower can purchase an FHA-insured primary residence, then rent out that primary residence and re-establish another primary residence after 12 consecutive months. They can purchase a second primary FHA insured primary residence without meeting the relocation or other tests. Remember that a borrower must occupy a property for at least one year when they utilize an FHA mortgage, unless there are unforeseen circumstances beyond the borrower's control. An example would be some one who takes out a FHA mortgage for purchase or refinance and two months later finds out their employer is relocating out of state.
A perfect example of who this will help is a family who wanted to change school districts and be closer to mass transit. They were "upside down" on their existing home by over $30,000 and did not want to ruin their credit by doing a short sale. They rented out their former home and leased a new one. Their existing residence has a FHA mortgage. Under the old rules they would have had to wait until they could come up with a higher down payment for a conventional mortgage, which would take a long time. Under the new rules, they only need to show they have not occupied the property in the last 12 months. I should mention that the family that rented their house was smart enough to obtain professional advice about leasing out the former home. If you do not have experience or education in property management, you should hire a professional to lease your property. For every success story I hear about amateurs who play landlord, and get lucky, I hear at least four horror stories, often with the property ending up in foreclosure.
This new rule is a good example of common sense that benefits both tenants and owners. The benefit to the tenants is that their landlord does not have to displace them to obtain a new FHA loan. Interested in your thoughts and comments, as always.
Best, Chip
Chip Allen
Crestline Mortgage Bankers
A Division of Universal Lending Corp
Direct: 303.947.2109
Fax: 303.987.0676
Loanchip@hotmail.com
Colorado Mortgage Broker License # 100019831
NMLS# 378621
Your Lender for Life!
When people you care about need a mortgage,
for purchase or refinance, please do not keep me a secret.
Wednesday, May 25, 2011
Tuesday, May 24, 2011
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Moving the Meter" at http://ow.ly/51RW2
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Moving the Meter" at http://ow.ly/51RW2
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Moving the Meter" at http://ow.ly/51RW2
Moving the Meter. By Dan Polimino.
"Dan, my house isn't selling and I am not sure what to do for us to get an offer."
I hear this all the time from sellers. There is frustration in their voices, and with good reason. This is a difficult market to sell a home as everyone already knows, so I usually ask them a question back and it is simply this, "What are you doing to move the meter?" Are you making adjustments and changes in order to sell your home, or do you keep on doing the same thing over and over again, expecting a different result? Let's take a look at some things that all sellers should consider to make a difference in selling their home today.
1. Price reductions. I know that every seller hates to hear this and thinks that's all Realtors want to do, but it moves the meter more than anything else. You cannot run away from the fact that this is a price driven market and not much else matters right now. You must be presenting your home as a VALUE and a compelling VALUE. So much so that you are almost daring a buyer to make an offer.
2. How does it show? Have you received any feedback that your home is not showing well? If so, make those corrections if possible. If you are not sure if your home shows well, have some friends, family, or other Realtors walk through and give you an honest critique.
3. Marketing. Sit with your agent and go over all the marketing that has been done up to this point. What has been effective and what has not produced any results? Remember, marketing is supposed to produce showings, and then showings produce offers. You may need to re-budget your marketing, taking money away from endeavors that are not producing fruit and spending it on strategies that are resulting in showings. You may also need to kick in some dollars of your own (out-of-pocket) to help your realtor with marketing costs.
If you have done all of the above and still there are no offers for your home there is a good chance that there are no buyers for your price range and product at this time. At any time if you need more help, ideas, or advice, feel free to contact me at the information below.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
I hear this all the time from sellers. There is frustration in their voices, and with good reason. This is a difficult market to sell a home as everyone already knows, so I usually ask them a question back and it is simply this, "What are you doing to move the meter?" Are you making adjustments and changes in order to sell your home, or do you keep on doing the same thing over and over again, expecting a different result? Let's take a look at some things that all sellers should consider to make a difference in selling their home today.
1. Price reductions. I know that every seller hates to hear this and thinks that's all Realtors want to do, but it moves the meter more than anything else. You cannot run away from the fact that this is a price driven market and not much else matters right now. You must be presenting your home as a VALUE and a compelling VALUE. So much so that you are almost daring a buyer to make an offer.
2. How does it show? Have you received any feedback that your home is not showing well? If so, make those corrections if possible. If you are not sure if your home shows well, have some friends, family, or other Realtors walk through and give you an honest critique.
3. Marketing. Sit with your agent and go over all the marketing that has been done up to this point. What has been effective and what has not produced any results? Remember, marketing is supposed to produce showings, and then showings produce offers. You may need to re-budget your marketing, taking money away from endeavors that are not producing fruit and spending it on strategies that are resulting in showings. You may also need to kick in some dollars of your own (out-of-pocket) to help your realtor with marketing costs.
If you have done all of the above and still there are no offers for your home there is a good chance that there are no buyers for your price range and product at this time. At any time if you need more help, ideas, or advice, feel free to contact me at the information below.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
Sunday, May 22, 2011
What is Selling And Where In Denver Real Estate Your Voice Blogs Denver YourHub.com http://ping.fm/fmVFF
Your Dream Home. By Dan Polimino.
There really are some important factors that everyone should consider if you want to find your dream home. Here is what I think are the top six things to consider when starting your search.
* Neighborhood. This seems obvious, but what I like to tell buyers is that when they first start thinking about moving, drive around some neighborhoods and get a feel of what looks good to you. Then take that knowledge to the internet to find out more.
* Children. If you have kids, how important is it for you to be in a certain school district? If so, that may limit the neighborhoods in which to find a dream home.
* Square feet. Some neighborhoods are known for large homes while some have small bungalow style homes. In recent years, the trend has been to go smaller, not bigger, so make sure that the neighborhood meets your square footage requirement.
* Finishes. They range widely so make sure that you know what you are looking for inside. If you are like us and have allergies, you may want to avoid homes with carpet and only look at ones with hardwood floors.
* Amenities. Remember that you are not only buying the home, but you are also buying the neighborhood. Amenities like a community pool, walking trails, shopping, and entertainment may all be important so make sure that you check it out.
* Landscaping. Some people want a home with a big backyard and plenty of trees. While that can be nice, that can also be expensive and time consuming to maintain. Make sure that you know what you are getting into here.
Finding your dream home should be fun. Don't make it a job; enjoy the journey and explore. I hope that you find your dream home and feel free to contact me with questions or for help.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
* Neighborhood. This seems obvious, but what I like to tell buyers is that when they first start thinking about moving, drive around some neighborhoods and get a feel of what looks good to you. Then take that knowledge to the internet to find out more.
* Children. If you have kids, how important is it for you to be in a certain school district? If so, that may limit the neighborhoods in which to find a dream home.
* Square feet. Some neighborhoods are known for large homes while some have small bungalow style homes. In recent years, the trend has been to go smaller, not bigger, so make sure that the neighborhood meets your square footage requirement.
* Finishes. They range widely so make sure that you know what you are looking for inside. If you are like us and have allergies, you may want to avoid homes with carpet and only look at ones with hardwood floors.
* Amenities. Remember that you are not only buying the home, but you are also buying the neighborhood. Amenities like a community pool, walking trails, shopping, and entertainment may all be important so make sure that you check it out.
* Landscaping. Some people want a home with a big backyard and plenty of trees. While that can be nice, that can also be expensive and time consuming to maintain. Make sure that you know what you are getting into here.
Finding your dream home should be fun. Don't make it a job; enjoy the journey and explore. I hope that you find your dream home and feel free to contact me with questions or for help.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
Thursday, May 12, 2011
With a 5% down payment, is FHA still the best way? http://www.trulia.com/blog/dan_polimino/2011/05/with_a_5_down_payment_is_fha_still_the_best_way
With a 5% down payment, is FHA still the best way?
With a 5% down payment, is FHA still the best way? Maybe. As always, your choice on a mortgage depends on your unique personal situation. I detest rules of thumb and broad generalities when it comes to what type of mortgage is best for a borrower. One size does not fit all. A mortgage should be custom tailored for a borrower like a fine suit.
A conventional mortgage could be a better deal for a borrower than a FHA mortgage if the borrower is making a 5% down payment. If a borrower has or only wants to make the lowest possible down payment, currently FHA is a better choice as it allows a 3.5% down payment. However, this may be changing. Many industry analysts predict that FHA will be raising the down payment to 5% in the near future. This is the result of the Obama administration "white paper" on housing reform that was released in February 2011, that called for higher down payments across the board. Even though VA loans, which require no down payment, have the lowest default rates now, policy makers want to see borrowers have "more skin in the game".
The key is determining if the borrower would qualify for the conventional mortgage with private mortgage insurance. Conventional loans, requiring mortgage insurance, have far more stringent underwriting standards than FHA mortgages. Remember that a high ratio conventional mortgage is approved contingent upon the borrower obtaining private mortgage insurance. Many clients who would easily qualify for FHA will not fit into the private insurer's more stringent underwriting model. These requirements include higher credit scores, lower debt-to-income limits, and higher cash reserves.
Your mortgage consultant should analyze your situation to determine which choices are available for you. If you are one of the fortunate few who may go in either direction, a conventional mortgage with private mortgage insurance may be a cheaper alternative. As always, examine what your options are and then do the numbers.
Chip Allen
Crestline Mortgage Bankers
A Division of Universal Lending Corp
Direct: 303.947.2109
Fax: 303.987.0676
Loanchip@hotmail.com
Colorado Mortgage Broker License # 100019831
NMLS# 378621
Your Lender for Life!
When people you care about need a mortgage,
for purchase or refinance, please do not keep me a secret.
A conventional mortgage could be a better deal for a borrower than a FHA mortgage if the borrower is making a 5% down payment. If a borrower has or only wants to make the lowest possible down payment, currently FHA is a better choice as it allows a 3.5% down payment. However, this may be changing. Many industry analysts predict that FHA will be raising the down payment to 5% in the near future. This is the result of the Obama administration "white paper" on housing reform that was released in February 2011, that called for higher down payments across the board. Even though VA loans, which require no down payment, have the lowest default rates now, policy makers want to see borrowers have "more skin in the game".
The key is determining if the borrower would qualify for the conventional mortgage with private mortgage insurance. Conventional loans, requiring mortgage insurance, have far more stringent underwriting standards than FHA mortgages. Remember that a high ratio conventional mortgage is approved contingent upon the borrower obtaining private mortgage insurance. Many clients who would easily qualify for FHA will not fit into the private insurer's more stringent underwriting model. These requirements include higher credit scores, lower debt-to-income limits, and higher cash reserves.
Your mortgage consultant should analyze your situation to determine which choices are available for you. If you are one of the fortunate few who may go in either direction, a conventional mortgage with private mortgage insurance may be a cheaper alternative. As always, examine what your options are and then do the numbers.
Chip Allen
Crestline Mortgage Bankers
A Division of Universal Lending Corp
Direct: 303.947.2109
Fax: 303.987.0676
Loanchip@hotmail.com
Colorado Mortgage Broker License # 100019831
NMLS# 378621
Your Lender for Life!
When people you care about need a mortgage,
for purchase or refinance, please do not keep me a secret.
With a 5% down payment, is FHA still the best way? Your Voice Blogs Denver YourHub.com http://denver.yourhub.com/Denver/Blogs/Your-Voice/Blog~981575.aspx
With a 5% down payment, is FHA still the best way? http://activerain.com/blogsview/2292037/with-a-5-down-payment-is-fha-still-the-best-way-
Tuesday, May 10, 2011
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "M.A.R.S" at http://ow.ly/4RfXg
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "M.A.R.S" at http://ow.ly/4RfXg
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "M.A.R.S" at http://ow.ly/4RfXg
M.A.R.S. By Dan Polimino.
Recently, the Federal Trade Commission came out with the Mortgage Assistance Relief Services Rule, also known as the M.A.R.S rule for real estate agents. The intent of the rule is for more disclosures to sellers involved in a short sale transaction. They now require an additional addendum to be present with the listing agreement on all short sale transactions. This addendum actually supersedes the listing agreement. In short, it tells sellers what the total cost of an agent's services are, that the seller may stop using an agent at any time, that the broker is not associated with the government or their lender, and that their lender may not agree to change the terms of their mortgage. It also goes on to say that the real estate agents are prohibited from receiving ANY upfront compensation from the seller and may ONLY receive compensation when the short sale transaction successfully closes.
While all of this seems like a good idea, on the surface, the FTC has really missed the mark and actually hurt consumers more than they have helped them, and here is why. Since this new addendum supersedes the listing agreement, that means Realtors have no contract with the sellers. Also, according to this addendum, sellers can stop using a realtor's services at any time. Now, why would an agent spend their good time, effort, and money while knowing full well that they could be dropped by the seller at any time? That's the whole reason for a listing agreement: so that agents don't spend a lot of time, money, and effort with no promise of getting paid. This actually will discourage agents from working with short sale sellers.
Next, the question becomes: How many disclosures do we really need for consumers? Right now, we do a short sale addendum for every listing and the buyers of the property must sign it as well. It must be listed in the MLS as a short sale and all advertising must say short sale. Does the FTC really think that yet one more disclosure is going to make a difference? Listen, short sales are hard enough and they are bogged down with excessive paperwork. Let's not make it harder for agents to help consumers. In fact, I see agents all the time say, "I am done with short sales. They are not worth the time and effort." When Realtors stop wanting to do short sales because the process has become too arduous, there is only one person hurt in this equation, and that's the consumer.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
While all of this seems like a good idea, on the surface, the FTC has really missed the mark and actually hurt consumers more than they have helped them, and here is why. Since this new addendum supersedes the listing agreement, that means Realtors have no contract with the sellers. Also, according to this addendum, sellers can stop using a realtor's services at any time. Now, why would an agent spend their good time, effort, and money while knowing full well that they could be dropped by the seller at any time? That's the whole reason for a listing agreement: so that agents don't spend a lot of time, money, and effort with no promise of getting paid. This actually will discourage agents from working with short sale sellers.
Next, the question becomes: How many disclosures do we really need for consumers? Right now, we do a short sale addendum for every listing and the buyers of the property must sign it as well. It must be listed in the MLS as a short sale and all advertising must say short sale. Does the FTC really think that yet one more disclosure is going to make a difference? Listen, short sales are hard enough and they are bogged down with excessive paperwork. Let's not make it harder for agents to help consumers. In fact, I see agents all the time say, "I am done with short sales. They are not worth the time and effort." When Realtors stop wanting to do short sales because the process has become too arduous, there is only one person hurt in this equation, and that's the consumer.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
Thursday, May 5, 2011
Check out my latest blog entry titled...
Check out my latest blog entry titled "Personal Property on the Sales Contract?" at http://ow.ly/4NUfK
Check out my latest blog entry titled...
Check out my latest blog entry titled "Personal Property on the Sales Contract?" at http://ow.ly/4NUfK
Personal Property on the Sales Contract?
Why don't lenders like personal property included in a purchase mortgage? The primary reason is that lenders are lending on the appraised value of the residential real estate. Another reason is because including personal property may also be construed as an inducement to purchase, which is prohibited by underwriting guidelines. Some types of personal property may be included. Examples are ranges, refrigerators, stoves, washer and dryers, and carpet. Examples of personal property that are specifically excluded are furniture, cars, boats, and riding lawnmowers. The value of the prohibited property would need to be deducted from the purchase price before the loan to value is calculated.
I know that some people will criticize underwriters for trying to kill a deal. We have all heard the snarky jokes about mortgage underwriters. What is the difference between an underwriter and a rattlesnake? Compassion. Why are underwriter's hearts in high demand for a transplant? Because they have never been used. Before we criticize the underwriters for overwriting, please consider this: mortgage underwriters are like referees. They implement a set of rules they have no control over. Their personal feelings are irrelevant. If a mortgage does not meet all of the specifications, the mortgage company will have to buy the loan back, which is a nightmare, and could cost the underwriter their job.
Remember, in this day and age, nothing slips by. Creativity is great, as long as it follows the rules.
Chip Allen
Crestline Mortgage Bankers
A Division of Universal Lending Corp
Direct: 303.947.2109
Fax: 303.987.0676
Loanchip@hotmail.com
Colorado Mortgage Broker License # 100019831
NMLS# 378621
Your Lender for Life!
When people you care about need a mortgage,
for purchase or refinance, please do not keep me a secret.
I know that some people will criticize underwriters for trying to kill a deal. We have all heard the snarky jokes about mortgage underwriters. What is the difference between an underwriter and a rattlesnake? Compassion. Why are underwriter's hearts in high demand for a transplant? Because they have never been used. Before we criticize the underwriters for overwriting, please consider this: mortgage underwriters are like referees. They implement a set of rules they have no control over. Their personal feelings are irrelevant. If a mortgage does not meet all of the specifications, the mortgage company will have to buy the loan back, which is a nightmare, and could cost the underwriter their job.
Remember, in this day and age, nothing slips by. Creativity is great, as long as it follows the rules.
Chip Allen
Crestline Mortgage Bankers
A Division of Universal Lending Corp
Direct: 303.947.2109
Fax: 303.987.0676
Loanchip@hotmail.com
Colorado Mortgage Broker License # 100019831
NMLS# 378621
Your Lender for Life!
When people you care about need a mortgage,
for purchase or refinance, please do not keep me a secret.
Wednesday, May 4, 2011
Check out Denver Real Estate Market U...
Check out Denver Real Estate Market Update titled "The Denver Real Estate Market Is Hot" at http://ow.ly/4N9oV
Check out Denver Real Estate Market U...
Check out Denver Real Estate Market Update titled "The Denver Real Estate Market Is Hot" at http://ow.ly/4N9oV
Check out Denver Real Estate Market U...
Check out Denver Real Estate Market Update titled "The Denver Real Estate Market Is Hot" at http://ow.ly/4N9oV
Tuesday, May 3, 2011
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Location vs. Price" at http://ow.ly/4Me7H
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Location vs. Price" at http://ow.ly/4Me7H
Check out my latest real estate blog ...
Check out my latest real estate blog entry titled "Location vs. Price" at http://ow.ly/4Me7H
Location vs. Price. By Dan Polimino.
It has been one of those long standing dilemmas in real estate...do you buy location or do you buy price? In Colorado, you can get some amazing deals on homes that sit on the outskirts of the city. In areas like Parker, Castle Rock, and Centennial, you can buy some big, updated, or newer homes on nice lots for 60, 70, and 80 dollars per finished square foot. Those are some pretty amazing prices even in this market. Since this is a price driven market, this poses a tough decision for a lot of out-of-town buyers. In most cases, they would prefer to be a little closer to town. There is no question that having a better location can be a benefit, but you may also pay more and have a smaller home just to have a better location. So, what do you do in today's economic environment?
First, it's important to fully understand your lifestyle, short and long term plans. If you can't stand being so close to your neighbor that you could hand him a hotdog across the fence from your deck, then maybe buying close in isn't such a great idea. If you need space and wide open views, then buying on the outskirts is a must. This is really all about what type of lifestyle fits our personality.
Second, it's also important to point out that real estate is not a good short term investment at this time. It really doesn't matter if you buy in town or on the outskirts if you are planning on moving in the next 12-24 months plan on taking a loss on the re-sale of the home. If you have even an inkling that you will not be in the house in the next two years, don't buy; rent.
Finally, if we have to answer the debate about price vs. location, I would always lean towards buying location over price. It's been one of the basic tenants of real estate that if you buy a good location, you'll never go wrong. With that said, I also understand that there are a lot more factors that go into the decision making process such as "what a buyer can actually afford." If you do decide on the price route, make sure that you buy a great location in that neighborhood.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
First, it's important to fully understand your lifestyle, short and long term plans. If you can't stand being so close to your neighbor that you could hand him a hotdog across the fence from your deck, then maybe buying close in isn't such a great idea. If you need space and wide open views, then buying on the outskirts is a must. This is really all about what type of lifestyle fits our personality.
Second, it's also important to point out that real estate is not a good short term investment at this time. It really doesn't matter if you buy in town or on the outskirts if you are planning on moving in the next 12-24 months plan on taking a loss on the re-sale of the home. If you have even an inkling that you will not be in the house in the next two years, don't buy; rent.
Finally, if we have to answer the debate about price vs. location, I would always lean towards buying location over price. It's been one of the basic tenants of real estate that if you buy a good location, you'll never go wrong. With that said, I also understand that there are a lot more factors that go into the decision making process such as "what a buyer can actually afford." If you do decide on the price route, make sure that you buy a great location in that neighborhood.
Dan Polimino is a Realtor with Fuller Sotheby's International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost
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