Lee Morof's Real Estate Blog

If you’ve been looking at your finances to see if you can afford a home for sale in Southeast Michigan, or a home in any area for that matter, a new report from the National Association of Home Builders and Wells Fargo says, “Yes, you can!”

According to this report, the prices for over 72% of the homes purchased in the first quarter of 2010 were affordable for families making an annual income of $63,800 (the median national income).  One of the main reasons for this is because of the national median price: just $175,000. Adding to that is the still historically low interest and mortgage rates, as well as companies once again beginning to hire new employees. These “affordability” numbers are based on 28% or less of a family’s take-home pay.

Many new homeowners agree. The National Association of REALTORS® released the statistics for existing home sales on May 24.  April saw a 7% increase in sales from March, and Freddie Mac reports that 30-year, conventional, fixed-rate mortgage commitment rates rose to 5.10% in the same month.

What Does This Mean for Buyers and Sellers?
While this still means slow going for those with a home for sale in Southeast Michigan, this means an incredibly hot market for buyers.   With over 4 million homes available for sale, sellers are definitely competing with each other.  In many places across the country, homeowners have dropped their prices 10% to 50%, in an effort to attract attention.

Can You Afford a Home?
If you’re looking at the real estate market and wondering if you can finally afford the home of your dreams, it’s time to quit wondering. Start doing your research.

Before you begin shopping for a home, shop around for a lender. Finding a good lender with reasonable rates is one of the best first steps of buying a home.

Next, get pre-approved for a mortgage.  Pre-approval lets you know how much you really can afford and whether your credit is acceptable for a mortgage. As well, if you do find the home you’ve always wanted, being pre-approved gives you a strong standing in negotiations, because the seller knows you’re seriously looking for a home.

Finally, if you can afford one of the homes for sale in Southeast Michigan and have been waiting for the best time, you’ve reached it. There’s never been a better, more affordable time for buyers in the last 50 years.

If you’re looking for your dream home, I can help. Call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

You don’t list your Royal Oak Michigan home for sale on a whim; you don’t just decide you don’t like the one you have. Selling a home carries significant financial, emotional and family repercussions. Selling your home is one of those life decisions, the ones you discuss with your spouse, look over with professionals and use experts to move forward.

While you might have been able to list your Royal Oak Michigan home for sale and have it sold quickly at the beginning of the decade, that’s no longer the case. Now, you have to be truly motivated in order to get your home sold.   Unmotivated sellers, those without concrete reasons, are not serious sellers.

If you’re a motivated seller, on the other hand, you have several new marketing weapons at your disposal. These include government incentive programs, short sale practices, state-of-the-art technology and creative marketing plans to help consummate the transaction.

Are You A Motivated Seller?
So, think about it. Are you a motivated seller? There are a number of reasons people are motivated to sell. These reasons include:

1. Lifestyle Change – The time for a quieter way of life has arrived. The nest may be too empty. You may want more freedom and less household commitment. In any case, a change of lifestyle is a very strong motivation to sell.
2. Relationship Changes – Partners get together and partners divide. Marriage, divorce and newborns all set the stage for household change.
3. House Too Small – As families expand, it can be more cost effective to move rather than over-improve. For example, it can cost over $10,000 for a room extension on your home.
4. Time to Upgrade – Prior to the recession, American families moved an average of seven times per marriage. Although those numbers have dropped some, we do still seem to seek the greenest pastures.
5. Changes in Neighborhood – Many homeowners move because of local community issues. A school system may trim budgets or the homes may not be increasing in value. A desire for neighborhood change could be your motivation.
6. Health Issues – People with health issues who cannot continue or afford household upkeep are moving to smaller, more protected and service oriented communities. If this is you, you can definitely consider yourself a motivated seller.

If you’re motivated and have one of the Royal Oak Michigan homes for sale, you already know the market is competitive. However, professional representation, an astute marketing plan and expanded reach can help you locate the perfect buyer.

Are you a motivated seller? This professional real estate agent would be honored to help you get your home sold. Call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

If you have one of the homes for sale in Southeast Michigan or anywhere else in the U.S., you may have heard of the term “disclosure.”  What is it, why is it important, and what does it entail?

What is disclosure?
First, disclosure is the act of informing a buyer about any issues that your home for sale in Southeast Michigan may have. For instance, if the home has water damage in the basement, you may have to tell the potential buyer about it. I say, “may have to,” because in some states disclosure is a legal issue. In some states, not disclosing issues may be illegal, while in other states, non-disclosure is perfectly legal.

Why is disclosure important?
Real estate transactions are fraught with pitfalls, many of which can end with a lawsuit. Non-disclosure is one of the pitfalls. Several sales throughout the years have ended in non-disclosure lawsuits, where the homebuyer believes, basically, that the homeowner knew a problem existed. The seller didn’t let the buyer know about the issue, which left the buyer feeling as if they’d been scammed – thus, the lawsuit.

What should I disclose to the buyer?
Many real estate agents (including myself), follow a simple rule when it comes to disclosure. “If you wonder whether you should tell the buyer about something, you probably should.” While disclosing problems may mean a lower sales price, not sharing may have you paying more than you ever wanted to in legal fees.

Some things, such as a violent death in the house, have a statute of limitations in most states. For instance, with few exceptions, California Civil Code 1710.2 requires that you tell the potential buyer if the death happened less than three years prior.

Certain disclosures are required, such as lead based paint, the presence of asbestos, or if there’s ever been toxic mold or termites. The rest of the requirements vary from state to state.

As you can see, disclosure isn’t a minor issue. What you have to share versus what you should share, however, all depends on whether you have a home for sale in Southeast Michigan or elsewhere in the U.S. If you’re up front, you’ll have a much better chance of keeping the money you made off the sale, versus spending it in legal fees.

If you’re trying to sell your home, I can help. Call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

In bygone days, the key to closing many of the deals on homes for sale in Southeast Michigan often relied on an agent’s networking skills. Those of us with a successful real estate history knew where to go to bring homes for sale in Southeast Michigan, financers and buyers together.

In fact, the real estate community became so used to “the way things were done,” the standards for home purchasing and financing became a little lax. Today, regulators have taken aim at any less-than-transparent practices by, quite simply, changing the rules.

Were the “good ole’ days” competitive? Most definitely. Were they as competitive as they are today? Not even close.

Now, in order to complete contracts on homes for sale in Southeast Michigan, you have more transparency and a stricter set of industry standards, particularly when it comes to working with lenders. The good news is the changes in transparency and industry standards are designed to protect you as the seller and your buyer.

With Change Comes Education
With all the changes to the real estate industry, we, as real estate agents, have to stay informed in order to serve your best interests. After all, would you really want an agent following outdated rules from 10 years ago? Probably not, especially if you knew that outdated rules might make your sales contract useless.

How do we stay informed? One way is through the NAR. The National Association of Realtors®, the nation’s largest trade organization, has started several programs to keep agents updated on exciting developments and market trends. Some of the most beneficial programs include:

• Accredited Buyer Representation (ABR)

• Certified International Property Specialist (CIPS)

• Green Principles

• Graduate Realtor® Institute

• Senior Real Estate Specialist (SRES)

• Short Sale and Foreclosure Certification (SFR)

Without continuing educational courses like these, staying updated on the real estate industry would be a lot harder. Most of us already have the experience, but ongoing training is also important. Why? So we know all the ways to attract buyers to your home, no matter what they’re looking for. In other words, learning what they’re looking for helps us to better understand what selling points your home has, and how best to market them.

Now, real estate deals are upfront and hidden agendas are (mostly) a thing of the past. Your goal, as owner/seller of one of the homes for sale in Southeast Michigan, is to make sure the agent you hire is up-to-date on any changes that may affect the sale.

Don’t be afraid to ask about their education and training. The best agent is the one who doesn’t hesitate to answer with a list of certifications and current courses.

If you’d like to sell your home and want an informed real estate agent, look no further. Give me a call today at 248-514-2640 or email me at info@NorthWoodwardHomes.com for a complete list of all my certifications and education.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

“Buyer’s market” means that the buyers have the upper hand; there’s more supply than demand. When it comes to selling your home, it’s safe to say that you’re competing in one of recent history’s toughest real estate markets.  This is a true buyer’s market, where supply far outweighs demand. So how do you go about selling your home in these conditions?

Interview Southeast Michigan Real Estate Agents
Don’t pick an agent based on looks. An agent who drives an expensive car may very well just be someone who lives beyond his or her means. Instead, create a list of the top Southeast Michigan real estate agents in the area and interview them. Ask:

• About their experiences in selling homes in your area this year and last year – not in years gone by

• What they’d recommend to make your home more marketable

• How they would market your home

If, after interviewing, there is more than one with excellent experience and great marketing plans, choose the one you feel most comfortable working with.

Fix it up
While interviewing, Southeast Michigan real estate agents will look at your home (otherwise, how could they answer two of your questions?). They may tell you that your home is out of date. They may tell you that the cracks in the wall don’t “add character” to the house. No, neither does the wild 70’s style carpeting in the living room.

You might even take an extra step and hire a home inspector to get a better idea of any issues.

Then, build a list of needed home improvements – and then improve. If you need to hire a contractor, again, interview!

Set a good price
These days, most buyers want the deals, and some are willing to compromise on interior decorating in order to get them. Sit down with your agent; find a high and a low selling price. Set the best price you can afford based on what homes are going for in the area, and be willing to negotiate.
The worst things you could do are hire a poor agent, leave your home repairs up to the buyer and overprice your home. Follow the three simple tips above and you’ll get your “Sold!” sign!

If you’re ready to sell your home, I can help. Call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

When you’ve found the perfect home for sale in Southeast Michigan and had your offer accepted, you’re ready to think about getting into your new home. Moving to a new home, and in some cases, to a new location all together, can be an exciting event.  It can also be a difficult thing, especially for children. 

When a move means a new home, new school and new friends, children realize they’re leaving their comfort zone for the unknown.  This can be frightening, especially to very young children.

Along with packing up boxes and making plans for a move, parents need to spend time thinking about how to make the transition as easy as possible for kids.  Following are some suggestions for doing just that:

• Make a scrapbook:  Let your kids take pictures of friends and places they would like to remember.  Then put together a scrapbook you and your kids can take to your new home and look at, especially when homesickness strikes.
• Listen to your kids:  Children often have fears that they don’t share with their parents.  Your children may be very ambivalent about moving, but afraid to say so or don’t know how to put it into words.  Take time to discuss the move with your children.  Ask them how they feel about the move and then talk out any fears they may have.  Don’t dismiss the fear of making new friends by simply saying “of course you’ll make new friends.” Explain that you’ll also be without friends and together you’ll meet new people.
• Visit your new home:  If possible, take your children to the home you’ll be moving into.  Let them visit their new school, walk around the neighborhood and play at the local park.  Giving them a chance to visit the place they’ll soon call home will help alleviate some of their fears and perhaps even get them excited about the move.  If physically visiting your new home isn’t possible, virtually visit it.  Help your children explore their new hometown online. 

Want to move to a new home?  I can help you find the right home for sale in Southeast Michigan that meets your needs and budget.  Give me a call today at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

Many home buyers walk into prospective homes for sale in Southeast Michigan with an “as is” attitude. They fail to consider that the home sellers may be willing to make repairs or updates in order to get the home sold.

This isn’t hard to understand. Most people do not buy homes for sale in Southeast Michigan frequently so they aren’t familiar with exactly what they can and cannot ask for. A home isn’t like a car that you might purchase new every few years, or clothes that you shop for all the time and know how to investigate, compare, and price appropriately.

This lack of knowledge is possibly the best reason for seeking the help of a qualified professional REALTOR®. They handle home purchases daily and can help you with what to watch out for, what price to pay and what you can and can’t haggle over.  They’ll even handle the negotiations for you.

Let’s get back to repairs, updates or price reductions you may want to have your agent negotiate for you:

• Electrical Wiring: Especially in older homes for sale in Southeast Michigan the wiring is likely to be old, outdated or even hazardous. Make sure you have the wiring thoroughly inspected. This is not a cheap fix.  If there are problems, they should be solved before you purchase, or you should be offered a greatly reduced price to reflect the cost to you of replacement. This is a very important item and even if you accept a price reduction do not be tempted to simply enjoy the extra cost benefits without using it to make the needed repairs. Bad wiring is a fire hazard that can destroy your purchase, not to mention be fatal if not fixed.

• Breaker Boxes: Older homes may still have fuse boxes. These are very outdated and some may even use types of fuses that are hard to find. While updating an old fuse box to a breaker switch box isn’t extremely expensive, it should be done by a qualified electrician. This is something that should be done before you buy. It isn’t worth asking for a price reduction, but it also isn’t something you should have to deal with when you move into your new home.

These are just a couple of negotiable items to think about when you look at a prospective purchase.

If you would like more information on things to consider when viewing a home, I can help. Contact me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

If you’ve ever been to a block party, you know it is a great way to gather your neighborhood friends together for some fun. If you’re an owner of Southeast Michigan real estate, you can easily throw a block party everyone who lives near your home will love. Here’s how:

1. Enlist the help of your neighbors. Throwing a block party at your home is a major undertaking, so you will need all the help you can get. Ask other Southeast Michigan real estate homeowners in your community to help you plan, decorate, prepare food, and clean.

2. Get permission. You don’t want your party broken up by the police or fined by the homeowner’s association. Find out from your municipal government if you are required to get a permit for a block party. Follow up with your homeowner’s association and make sure they will allow the block party.

3. Select a theme. Themed parties are easier to plan and more fun for the guests. For example, if you choose a beach theme, you know what colors and accessories to use in the decorations:  anything blue or tan, coconuts, beach balls, and Frisbees. You also know to serve beach foods like hamburgers and hotdogs.

4. Plan a menu and decorate. Keep the menu and decorations simple to prepare and easy to clean. Choose food that can be eaten without utensils, like finger foods and sandwiches. Don’t use elaborate decorations.

5. Have fun. The most important part of your block party is the party itself. Give yourself permission to enjoy the party and the company of your neighbors. Talk to people. Laugh with your neighbors. Participate in any games you play. This is your night to shine.

6. Clean up. If you planned properly and have enough help, clean up shouldn’t be too overwhelming. Make sure the area where you held the party is completely litter-free and looks better than it did before the party. Don’t give your homeowner’s association any reason to prohibit future block parties.

Getting to know neighbors makes life more enjoyable.  Throwing a block party is a great way to accomplish that while also having fun.

Let me help you find the perfect Southeast Michigan real estate in a great neighborhood. Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

There are a few things you can do to make the process of buying a new home easier and faster.  Getting pre-approved for financing of your Troy Michigan real estate is one of them.  Here are four advantages of loan pre-approval: 

REALTORS® Take You Seriously

When you walk into an agent’s office with pre-approved financing, the agent knows he is not wasting his time showing you homes. If you do not have pre-approved financing be prepared for agents to ask a lot of questions and even possibly request that you get financing in hand. They are not trying to be invasive. They are avoiding “tire kickers” while helping you streamline the process.

Home Sellers Feel More Comfortable Dealing with You

When you have pre-approved financing, sellers are more apt to work with you on price, or other needs, in order to close the deal. They know that there are not going to be contingencies on a loan, or waiting and wondering if you qualify for the loan. They know they don’t have to worry about turning other prospects away and then finding out you haven’t been able to get a loan.

Fast Closings

Getting pre-approved for a loan means no waiting on the biggest of all hurdles before closing.  Other items needed to close on your Troy Michigan real estate purchase usually move quickly, but loan applications can drag out and require setting a closing date far into the future to allow for the time needed.

Less Stress

Above all else, having your financing in hand before you even begin to look for Troy Michigan real estate makes the entire process less stressful for you. Knowing you have the money to back you up when you find the home of your dreams is much better than finding paradise and having to worry about getting financed and possibly losing it.

If you would like to find out more about pre-approved home loans, I can help. Contact me at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640

The home inspection is one of the most important considerations that can directly impact your home for sale in Southeast Michigan. 

According to the National Association of REALTORS®, 84 percent of all residential real estate transactions include a provision for home inspection.  The purpose of this inspection is to provide an unbiased, analytical analysis of your home.  In a sense, this is the purchaser’s opportunity to avoid the “buyer beware” syndrome.

Because of the importance of the home inspection, as the seller, it’s an excellent idea to get your home for sale in Southeast Michigan inspected before putting it on the market.  That gives you a chance to fix any problems before potential buyers see your home.

How to Choose a Home Inspector

Not every state requires a home inspector to be licensed.  Therefore, you need to do your homework before choosing a home inspector.

Well informed buyers and sellers usually ask for inspectors who are members of either the American Society of Home Inspectors or the National Association of Home Inspectors.  

Additionally, before hiring a home inspector ask for:

• A description of the services to be provided:  A typical home inspection should include a thorough and itemized written report detailing the home’s structural elements, an exterior evaluation, roofing, plumbing electrical and appliance testing.  Outbuildings and garages can also be included in the inspection.  Items such as insect and rodent infestation and radon inspections can also be performed.
• A list of references:  Be sure to contact these references and ask what they thought of the home inspector and whether or not they’d use the inspector again.

Now What?

Okay.  Now, the inspection is performed and you’ve received the written report.  You have a couple of options to resolve any problems noted in the report:

1. You can fix the problems yourself.
2. You can hire someone to fix the problems.
3. You can reduce the sales price by the estimated cost to fix the problems.

While it’s ultimately your decision, a professional real estate agent can help you determine which option will get your home sold the fastest and for the highest profit.

If you’d like recommendations to the best home inspectors for your home for sale in Southeast Michigan, or want help getting your home sold, give me a call at 248-514-2640 or email me at info@NorthWoodwardHomes.com. 

Lee Morof
RE/MAX Showcase Homes
Birmingham, Michigan
www.NorthWoodwardHomes.com
info@NorthWoodwardHomes.com
Call:  248-514-2640