Lee Morof's Real Estate Blog

Buying a new home isn’t a sprint; it’s a marathon. When you find the Southeast Michigan real estate of your dreams and place an offer that is accepted, don’t assume the marathon is over — there are many more miles you must travel before closing.

Here are four steps to take after the contract is signed:

1. Be prepared for your earnest money or escrow deposit to be cashed. This money can be anywhere from $1,000 to three percent of the price.
2. Go over disclosures with a fine-tooth comb. Your agent will help you identify any red flags. Then, you want to familiarize yourself with the home’s history, zoning district and past building permits. Ask questions about anything you don’t understand.
3. Negotiate with your bank. It’s time to lock in an interest rate with your lender. You might have gotten pre-approved beforehand, but now you actually need the loan.
4. Schedule a property inspection. Attend the inspection, and come prepared with a list of questions for your home inspector. The point of this appointment is not just to highlight major issues, but also to familiarize yourself with the short and long-term maintenance of your new Southeast Michigan real estate.

Don’t get derailed by unexpected costs and time-consuming tasks that come after you sign a contract. You’ll want to be mentally and financially prepared so that you can close smoothly and move into your new Southeast Michigan real estate quickly.

If you’d like more information about what happens before closing, please call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney Lee Morof
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

Let the bidding wars begin! If you are considering selling your home, you may be dreaming of the magic sale. In this scenario, before the house is even on the market, someone knocks on the door and offers twice the asking price in cash, and maybe throws in a leer jet ride or a pet pony.

In real life, marketing and hard work will serve you better. Here are a few tips on getting the best price for your real estate in Southeast Michigan:

• Consider your target market: If you have an investment property, your most likely buyer is very different from those looking to buy a single-family home. Investors may be looking at rental rates in your neighborhood; single-family homebuyers may be more concerned with school systems. Know who will be looking at your home, and give them the information that is most important to them.
• Be online: You must have your real estate in Southeast Michigan listed online if you expect anyone to find it these days. In particular, look for websites that allow you to upload pictures, comment on features, and are updated frequently (daily, preferably).
• Negotiate online: It’s a fast-paced world, and being able to zip offers and counter-offers back and forth can speed negotiations.
• Spread the word socially: Word of mouth is now electronic, and that buzz on your real estate in Southeast Michigan can be far reaching. Some social media dashboards allow you to manage Facebook, Twitter and other connections from one spot, so you don’t have to spend all your time updating different sites.

You may not be the kind of person who can sell sand in the desert, but putting together a strategic marketing plan that takes advantage of the electronic world can help you generate the kind of offers that dreams are made of.  Just don’t ask for the pony.

If you are considering selling your home, let me show you my proven 30-Day Marketing Plan that gets homes sold fast. Give me a call today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney Lee Morof
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

They say that language reflects culture, and certainly, the difficulties in the real estate market are showing up in the list of new words for this year. If you’re buying or selling Southeast Michigan real estate in Oakland County, Michigan, you may already have taken note of some of these new words. Here are three for your consideration:

Water: Not Just For Swimming Anymore
According to the keepers of the language flame at Merriam Webster, “underwater” has a new definition. “Underwater” now officially also means “having, relating to, or being a mortgage loan for which more is owed than the property securing the loan is worth.”

Many people in underwater mortgages are choosing to delay selling until their home value comes back up. The good news is that values are indeed rising again, so waiting out the storm can be a good idea.

Risk: To Be Feared and Avoided
Perhaps not coincidentally, another new word at Merriam Webster is “systemic risk.” This means “the risk that the failure of one financial institution (as a bank) could cause other interconnected institutions to fail and harm the economy as a whole.”

Man Cave: Give Me Shelter
Many men probably took shelter in the now-officially-named “man cave.” This means “a room or space (as in a basement) designed according to the taste of the man of the house to be used as his personal area for hobbies and leisure activities.”

The good news is that the Southeast Michigan real estate market is improving. Homeowners who were holding their breath while underwater are now coming up to the surface and enjoying the fresh air.

If you’re looking for more information on buying or selling Southeast Michigan real estate, I can help. Give me a call today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney Lee Morof 
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

Summer is drawing quickly to a close. That means you need do some serious evaluating in order to take advantage of the rest of the season’s long daylight hours and get your Southeast Michigan real estate sold. While it might be the last thing on your to-do list, it’ll be worth it in the end.

So before you can spend the evening catching fireflies and roasting marshmallows, buckle down and get s’more work done on your Southeast Michigan real estate. Below are five ways you can prepare your home and yourself for the big sale!

1. Host a block-party barbecue. People in the neighborhood are a great way to market your home. Host a party to tell them your plans and allow them to see your home. If they have a friend they want to move nearby, they might just sell your house for you.
2. Make your yard memorable. Summer is the ideal time to spruce up your curb appeal and have it making a good first impression for your home.
3. Repair the roof. This can be a big expense, but it is also one of the first things that home inspectors note. If it needs repairs, do it now. If you don’t, it could cost you more money in the long run when it comes time for closing negotiations.
4. Eliminate odors. Buyers want to imagine themselves living in the home, not how they’re going to get the summer-intensified smell of your pet out of the carpet.
5. Know your minimum price. You need to prepare yourself for the numbers game. Do your research using comparables and determine what your house will most likely go for and what you’re willing to accept.

Use what’s left of summer to make your home stand out from the rest! You’ll sell quickly and can start looking forward to next summer break in a new home — maybe one with a pool.

If you’re thinking about selling your Southeast Michigan real estate and would like more tips on how to get it ready, please call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney Lee Morof 
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

Figuring out how much to offer for the Southeast Michigan real estate in Oakland County you have decided to buy can lead to sleepless nights. You don’t want to offer too little and lose the home, but you don’t want to offer too much and overpay.

You may ask your real estate agent how much you should offer. Real estate agents can guide you, the buyer, but don’t expect the agent to name your price. Your agent will suggest price ranges and offer market information to help you make your decision, but the final price is your decision.

Why don’t real estate agents simply tell you exactly what you should offer?

• They aren’t mind readers. Yes, real estate agents have more knowledge about the market value of real estate than non-real estate professionals. That doesn’t mean they can get inside the minds of the sellers and tell you that magic number that’s not too high and not too low.
• They might recommend a price that is lower than the buyer is willing to take. If the agent suggests a price that turns out to be too low, some buyers blame the agent for causing them to lose out on the Southeast Michigan real estate.
• They might suggest a price that the seller snaps up. If your offer is immediately accepted, you may wonder if you could have offered less, or if the agent is working in the buyer’s best interest.
• It is not the agents’ purchase. It will be your home, not the agent’s, so the final decision is up to you.

A good agent will provide enough information to allow you to make the best offer possible based on previous sales in the neighborhood and market pricing.

If you’re interested in buying Southeast Michigan real estate, please call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney 
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

When it comes time to put your home on the market, you need to be prepared for the fact that you’ll be opening up your life to a whole lot of strangers. While most are actually interested in purchasing your Southeast Michigan real estate, there could be a crook masquerading as a potential buyer looking to make a quick score at your open house.

Don’t fall victim to deceptive con artists! Look over the quick tips below to make sure you and your home are safe and protected:

1. Hire a licensed, reputable agent. Make sure you ask around for recommendations, check with the state to make sure he or she is properly licensed and inquire with the better business bureau to see if there have been any complaints filed.
2. Double-check the lockbox. Reputable agents will have procedures in place to make sure your lockbox is properly installed, well secured and that only approved people can access the keys.
3. Set up a showing agreement. Only allow people to view your home when your agent is present or with his or her prior approval. Letting random people drop by is a good way to open yourself up to potential criminals. Instead, have them contact your Southeast Michigan real estate agent to book an appointment instead.
4. Secure your valuables. When buyers come to look at your home, they’re going to peek in drawers and closets. Make sure your money, jewelry, guns, financial documents and anything else that could be an attractive target for burglars are well secured.
5. Set your alarm. Make sure your agent knows how to turn the alarm off and, more importantly, back on. If you’ve made the investment to protect your family and your property with an alarm system, make sure it’s activated so it can do the job.

There’s no reason to be worried as long as you use common sense and follow these tips.

If you are thinking about selling and want to ensure your Southeast Michigan real estate is in the right hands, please call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com to find out how I can help you get your home sold.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney 
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

In addition to providing a dazzling description about your home for sale, you need to include features about your home in the MLS listing. Potential buyers want to know as much as possible about your Southeast Michigan real estate.

1.  The three top things all buyers want to know about a Southeast Michigan home for sale are the:

a. Price
b. Location
c. Number of bedrooms and bathrooms

2. But don’t stop there. They also want to know about the:

a. Garage
b. Size of the lot
c. Square footage
d. Fencing
e. Traffic
f. Fireplaces
g. Built-ins
h. Basements
i. Air conditioning and heating
j. Things that have been newly renovated, remodeled or upgraded
k. Special features and amenities such as bay windows, community pool or walking trails

3. Learn about Fair Housing Laws. The law prohibits the use of words, phrases, and symbols to convey in any way discriminatory preferences or limitations about your Southeast Michigan real estate for sale. Do not use words about:

a. Race – don’t even use wording such as “minority community”
b. Color — do not use White, Black, Brown, Yellow or any other such wording.
c. Religion — do not mention nearby churches or any specific religions
d. National Origin — do not mention national origins
e. Sex – do not write things like “perfect for single female”
f. Handicap – do not use wording such as blind, deaf, mentally ill, impaired or physically fit. You can include information about the availability of accessible housing.
g. Familial Status – do not write about the home that is “perfect for a young couple”

When you are ready to put your home on the market, I can help you write a dazzling description, include all features in the MLS and market your Southeast Michigan real estate to get it sold fast and for the most money. Give me a call today at 248-514-2640, or email me at info@NorthWoodwardHomes.com to learn more.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney 
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

Setting the sales price for your Southeast Michigan real estate is the most important factor to get it sold quickly and at a price you’re happy with. Why is it so important?

• A high price can turn people away. Pricing doesn’t just influence how much money you’ll make off the sale of your Southeast Michigan real estate, it also dictates whether buyers will even take the time to look at your home. Price your home too high and it could sit on the market for months until you lower your asking price. Identify your home’s true value in today’s market, and set the price slightly under that price, if you want to sell your home as quickly as possible.
• Your home’s appeal drastically decreases after the first two to three weeks of showings. The amount of traffic that a listing gets in its first week is five to seven times more than it gets in the following weeks. Buyers are mistrustful of a home that’s been on the market for a long time. They’re suspicious that something’s wrong with it.
• Buyers shop by price brackets. If your home is priced one hundred dollars too high or too low, it can move your home into a different price bracket and exclude an entire set of potential buyers from even seeing that your home is for sale. Being in the wrong price bracket can reduce traffic to your listing by as much as 7%. Price brackets vary by market and by price. An experienced agent will know the best price bracket for your Southeast Michigan real estate.
• There’s lots of competition. With so many homes for sale, yours has to stand out as a good value immediately or buyers will move on.
• Dropping your sales price can be a kiss of death. If you need to lower your price, you’d better make it a reduction that counts. Small reductions give buyers the idea that you might drop it again a month from now. Buyers will realize you’ve dropped the price. The best listing sites show how many times a price has been reduced and by how much.

Pricing your home right when it first hits the market is the key. Let me help you set the right price and position your home in the best price bracket to get it sold. Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

What is HARP 2.0?  HARP 2.0 is the revamped version of the Home Affordable Refinance Program.  It allows homeowners who owe more on their mortgages than their homes are worth to refinance into today’s low mortgage rates. Additionally, HARP 2.0 provides refinancing without high-priced closing costs and fees and appraisals are not even required in most cases.

Who qualifies?

To qualify for a HARP 2.0 refinance, you must meet these requirements:

1. Your mortgage must be owned or guaranteed by Fannie Mae or Freddie Mac.
2. The mortgage must have been sold to Fannie Mae or Freddie Mac on or before May 31, 2009.
3. You cannot have lender-paid mortgage insurance.
4. You must be current on your mortgage and have no late payments in the last six months.
5. You must have no more than one late payment in the past 12 months.
6. This must be your first refinance through HARP.
7. Your Southeast Michigan real estate’s current loan-to-value ratio must be greater than 80%.

What are the steps?

Here are four steps to refinance through HARP:

1. Determine who owns the mortgage on your Southeast Michigan real estate and if it is owned or guaranteed by Fannie Mae or Freddie Mac. To check if your mortgage is backed by Fannie Mae or Freddie Mac, visit http://www.fanniemae.com/loanlookup or https://ww3.freddiemac.com/corporate.
2. Find out if your mortgage is old enough. (See #2 above.) You can find your mortgage start date by looking at your closing paperwork. In the upper-right-hand corner of your settlement is your “funding date.” That’s the date you’re looking for.
3. Contact your current mortgage holder to inquire about HARP.
4. Compare rates and costs with other mortgage companies to ensure the best refinance terms. If you want to explore refinancing options for your Southeast Michigan real estate, contact a HUD-approved housing counselor at 1-888-995-HOPE (4673). HUD can design a plan for your individual situation.

For more information on HARP 2.0 or for answers to other real estate questions, call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

The closing is the final step in purchasing your Southeast Michigan real estate in Oakland County. The closing date is set during the negotiation phase and is usually several weeks after the offer is formally accepted. During the closing, the buyer and seller complete the purchase contract, and ownership of the property is transferred to the buyer.

Before the closing can occur, all the terms of the purchase contract must be met. As you can imagine, problems can come up which delay the closing.  Here are seven tips to ensure a smooth and problem-free closing on your Southeast Michigan real estate:

1. Communicate. Talk with all parties involved in the deal, from your agent to your lender, and discuss what to expect.  Get in touch with each of them to make sure they have everything they need from you for a hassle-free closing.
2. Do a final walk-through. Before you close, it’s critical to do a final walk-through to check that all repairs agreed upon were actually done. You also want to ensure that everything is in the state that you expect it to be in.
3. Anticipate errors in the paperwork.  There could be missing documents, typos and mistakes on the paperwork.  Before closing day, review all documents thoroughly to catch and fix mistakes.
4. Make sure the money is there.  Talk with your real estate agent to be sure that you will have the money you need, in the right form, at closing.
5. Ask your agent to attend the closing.  You want your trusted agent there to explain to you the purpose of each form you are signing, answer any questions you have and guide you through the process.
6. Expect the unexpected.  Read all documents before signing them.  Any corrections will have to be made before the closing can continue.
7. Plan to take the day off.  You do not want to be late to the closing or be worried about having to go back to work.

If you’re ready to work with a professional Southeast Michigan real estate agent who will guide you step-by-step through the home-buying process, please contact me.  You can reach me at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com