Lee Morof's Real Estate Blog

If you’re considering putting your Royal Oak Michigan home up for sale, you may have heard rumors  that there is a new tax going into effect in January, 2013. Here’s the rundown on what the tax really is – and isn’t.

The new tax is called the ‘‘Unearned Income Medicare Contribution.” It is a 3.8 percent tax on the net investment income of high-income taxpayers. The tax will apply to those with an adjusted gross income of more than $200,000 ($250,000 for joint filers), with no indexing for inflation.

The Good News
Odds are that you will never pay this tax.

Why You Most Likely Won’t Pay the New Tax
The tax will apply to capital gains, not sale proceeds. Because of the current exclusion of gains on home sales — up to $500,000 (joint) or $250,000 (single) on a primary residence — the vast majority of home sellers will not be required to pay this tax.

Here’s an example: A couple with an adjusted gross income of more than $250,000 (which qualifies them for the tax — more than 90% of households make less than that) decide to put their Royal Oak Michigan home up for sale. They purchased their home long, long ago for $50,000. They sell the house, miraculously, for $549,000. Because that profit of $499,000 is under the $500,000 profit exclusion amount allowed for couples, they owe no tax.

The Bottom Line
There are plenty of other taxes that are worth getting upset about; this isn’t one of them.

If you’re looking for more information on putting your Royal Oak Michigan home up for sale, 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

These days, over 80% of all home buyers begin their search for homes online. So it’s crucial to market your Royal Oak Michigan home for sale by owner online to reach as many potential buyers as possible.

An Internet listing of your home gives buyers 24/7 access to your home. Unfortunately, a poorly executed Internet listing can hurt rather than help your home sell.  Here are six tips to effectively market your Royal Oak Michigan home for sale by owner (FSBO) online:

1. Upload the best possible pictures.  Make sure you use a good digital camera.  Cell phone cameras will not work for this purpose.  You want great quality pictures for potential buyers to see all the glory of your home.
2. Include photos of your home’s best features. Whether it’s a great view, the best lawn, a 2-story stone fireplace or a kitchen fit for a gourmet chef, make sure you show its best assets.
3. Provide information that buyers want to know.  They want to know everything. Information on the neighborhood, school system, and proximity to shopping will all entice a buyer to your Royal Oak Michigan home for sale by owner. Buyers also want to know the details about the home itself: Number of bedrooms and bathrooms, room and lot size, style of home, sales price, description of HVAC, amenities and upgrades.
4. Create a virtual tour of your home.  A picture is worth a thousand words, but a video or virtual tour is even better.  It allows potential buyers to see everything without having to step foot inside your home. Best of all, it can make them want to see more.
5. Print out flyers from your online listing.  Include all the necessary information and pictures. Put the flyers in a box in your front yard for people driving or walking by. Leave them in a prominent spot in your home, such as a kitchen counter or entry table, for potential buyers who visit your home.
6. Promote your home on multiple real estate sites.  List your home on as many real estate sites as possible. Here are a few of the top sites: Zillow.com, Craigslist, Google Base, Bargain Network and Kijiji (which is a classified site from eBay).

When you’re ready to turn all this work over to a real estate agent, I’ll implement my comprehensive plan to market your home both online and offline.  Give me a call today at 248-514-2640 or email me at info@NorthWoodwardHomes.com to get started.

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

Whether it’s your mother, mother-in-law or grandmother’s Royal Oak Michigan home for sale that needs work, make the effort this Mother’s Day to give her your time and make a few quick improvements. Fixing up a Royal Oak Michigan home for sale can be overwhelming, especially if costly repairs are needed.

To give you some ideas, here are six fast and inexpensive improvements that will have your loved-one’s Royal Oak Michigan home for sale looking better and selling faster:

1. Neutralize the rooms. Your father might take pride in his fly-fishing-inspired man cave, but potential buyers may not love it. Pack away as much of the fishing memorabilia as dad will allow, and brighten the room by painting it a neutral color.
2. Add lighting. Modern track lighting can help brighten a space and is relatively cheap and easy to install. Even a few inexpensive floor lamps can dramatically improve the look of an otherwise dull or dreary room.
3. Hang art. If your mother’s house has nothing but blank walls, consider buying some cheery and inexpensive art. A few pieces can help a space feel homier and make buyers feel more comfortable.
4. Give the kitchen a facelift. You don’t have to completely renovate to get buyers to see a kitchen as an attractive feature instead of a potential project. Instead, replace the most worn-out appliances, paint the cabinets or invest in better countertops.
5. Improve curb appeal. Hard work and a little bit of money can really improve a property’s curb appeal. Plant bright flowers, trim the hedges and add new mulch. A weekend of work can make a huge difference — and your mother will love you for it.
6. Pay attention to bathrooms. Even one really appealing bathroom can help sell a house. Add flowers, paint the walls, or if you can afford it, re-tile. Bathrooms are small, but important spaces!

Give the best gift this Mother’s Day — time, labor and motivation — to get her Royal Oak Michigan home for sale sold quickly!

If you would like additional suggestions for home improvement projects that help a home sell faster or for more money, please 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

While we all know that the economy has taken a hit on the real estate market, that doesn’t mean that purchasing a Royal Oak Michigan home for sale and putting down roots has turned into an out-of reach dream. In fact, you can grasp it quite easily, and there are many benefits to doing so.

Start 2012 off right by setting new life and financial goals for yourself. If you’ve been renting and are planning to remain in Royal Oak, then it’s definitely time for you to consider buying a house. Here are some benefits you should take into account:

• You’ll build equity. If you take out a loan, you’ll be using someone else’s money to turn your property into a piggy bank and eventually make money as your home appreciates. Plus, when you put your Royal Oak Michigan home up for sale down the road, you don’t have to share the proceeds — what’s not to like about making money with your bank’s money!
• You’ll receive tax breaks. The government supports purchasing houses by giving you significant tax breaks on your federal taxes. And when it comes time to sell, you don’t have to pay capital gains taxes either, until you hit a certain ceiling.
• You’ll be able to count on consistent payments year to year. If you can get a fixed-rate mortgage, you won’t need to worry about an annual increase in your payments. When you’re renting, you never know what your payments could be from lease to lease, which makes it hard to determine if your current residence will always be within your budget.

While the appreciation on a house you purchase might not shoot up as fast as it did a decade ago, buying a home is still a wise long-term investment. Paying rent is no investment at all.

If you’re on the fence about the benefits of purchasing one of the Royal Oak Michigan homes for sale in the New Year or would like to see what’s available, please call 248-514-2640 today 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
Call:  248-514-2640
info@NorthWoodwardHomes.com
www.NorthWoodwardHomes.com

With a new year beginning, it’s time for you to get rid of last year’s baggage and concentrate on making 2012 the best it can be. So if you had one of the Royal Oak Michigan homes for sale in 2011 and it’s still on the market, then you only need to have one New Year’s resolution: do whatever it takes to sell that house!

This economy has made it challenging to get acceptable offers from prospective buyers. While this is extremely discouraging, the lack of offers might mean it’s time to bite the bullet and lower the price on your Royal Oak Michigan home for sale. Then you might be able to sell quickly and start a new lease on life.

Below are reasons you should lower your price now to sell fast and start anew:

• It costs time and money to keep a house on the market. Maintaining a house and waiting for the right offer is a full-time job. There is constant cleaning, upkeep and improvements that can cost you time and money — which you could be investing into your new house.

• Your home may be overpriced. If you aren’t receiving any offers, have your real estate agent pull information on comparable properties in your neighborhood that have recently sold. This will give you get a better idea of where you should be priced.

• Your real estate agent recommends it. He or she knows your market and can tell if your property has been for sale longer than expected. If a property sits on the market too long, potential buyers might suspect that something is wrong. If your house has more days on market than your agent expected it to have, then it’s probably time to reduce the price.

Consider dropping your price so you can accomplish your New Year’s resolution early in 2012. Reducing your price might also draw attention to your property, increase activity and bring more people through the doors.

If your Royal Oak Michigan home for sale isn’t currently listed with an agent, and you’re ready to get it sold, please call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com. I’ll implement my proven 30-Day Marketing Plan to get your home sold as quickly as possible.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney 
RE/MAX Showcase Homes, Birmingham, Michigan
Call:  248-514-2640
info@NorthWoodwardHomes.com
www.NorthWoodwardHomes.com

A cozy fire, the smell of pine trees and a plate of warm cookies might be all it takes for buyers to envision themselves celebrating many holidays in your Royal Oak Michigan home for sale. So take the time this season to channel Mrs. Claus and cheerfully enhance your house for the holidays with these festive tips:

• Deck the Halls – While you want to remind some buyers of their yearly traditions, you don’t want to offend others. If you usually go overboard with decorations, tone it down a little this year and go for a winter nature theme — think pinecones, snowflakes and the smell of cinnamon.
• Spruce Up the Winter Curb Appeal – In the dead of winter, yards can look barren and bleak. Don’t add to the seasonal depression. Ensure you shovel snow, rake fallen leaves and clear dead flowers from their pots. Also, with dark settling so early, turn on both indoor and outdoor lights to give your Royal Oak Michigan home for sale a cozy glow.
• Host a Holiday Open House – With your house in the season’s spirit, it’s the perfect time to have interested buyers walking through. Offer fresh baked cookies and apple cider to seal the deal.
• Be Flexible – Put in the extra effort to keep your house clean so that buyers can drop in anytime. Property purchasers looking at this busy time of year will be seriously interested — and you might be one of the only houses open to them.

By adding a little holiday cheer to your Royal Oak Michigan home for sale, you could remind potential buyers of happy memories and put them in the giving — or hopefully, buying — spirit.

If you would like more tips to get your home sold during the holiday season, please phone 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
Call:  248-514-2640
info@NorthWoodwardHomes.com
www.NorthWoodwardHomes.com

With the overabundance of properties for sale these days, your Royal Oak Michigan home for sale needs to stand out from the crowd.  One of the easiest things you can do to make your home shine is to finish all the basic repairs you’ve been putting off.

Here are 5 little repairs that make a big difference to potential buyers who visit your Royal Oak Michigan home for sale:

1. Perk up the exterior: As we all know, first impressions are crucial.  Give your picket fence, mailbox and front door a fresh coat of paint.  Missing roof shingles and hanging gutters frighten potential buyers, so fix them.  Give buyers the opportunity to think, “Where’s the best place for our couch?” rather than “Oh no, there’s a problem with the roof!”
2. Fix dripping faucets: A dripping faucet calls attention to itself, but it’s not difficult or expensive to fix.   While you’re fixing that dripping faucet, why not replace the fixtures.  It’s a minor expensive that gives your bathroom or kitchen a major facelift.
3. Cover wall cracks: Hairline wall cracks that appear above windows and doors are caused when framing lumber dries out and shrinks or the structure settles.  Although they typically are not signs of structural problems, they may scare away potential buyers.  Cover them with spackling or adhesive-backed fiber mesh drywall tape.
4. Repair floors: Replace chipped or cracked tiles, and clean or replace the grout.  Refinish hardwood floors.  Steam clean or replace carpets.
5. Restore baseboards: If you’re like most people, you haven’t thought about your baseboards for years.  During that time, pets, children and vacuum sweepers beat-up your baseboards making them dirty, scratched eye sores.  Take the time to repair the scrapes by sanding them smooth or filling in dents with spackle.  Then, repaint the entire baseboard from end to end.

If you’re ready to put your Royal Oak Michigan home up for sale, I can help.  Give me a call 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
Call:  248-514-2640
info@NorthWoodwardHomes.com
www.NorthWoodwardHomes.com

Here are a few tips to help your Royal Oak Michigan home for sale show better and sell faster.

1. Get rid of the excess:  Eliminate as much as possible, and then do it again.  Remember when staging your Royal Oak Michigan home for sale, less is best.  Swap out personal photos for framed art.  The main idea is to remove as much as possible and replace personal items with neutral objects so that people can imagine their things in the home.
2. Repair and paint:  Before painting, fix all those minor dings that don’t really bother you.  Buyers notice everything.  A missing piece of baseboard, an outlet that doesn’t work, or a closet door that won’t stay on track all seem minor, but they can have a huge affect on how a buyer views your home.  The next step is to apply a fresh coat of paint in a neutral color.  Freshly painted walls make a room look cleaner and larger.
3. Improve the curb appeal:  You have to get people in the door before they’ll buy your Royal Oak Michigan home for sale.  If your house looks bad on the outside, buyers won’t waste their time taking a look at the inside.  Improving your curb appeal doesn’t mean you need to hire a landscaper.  It can be as basic as trimming your hedges and trees, especially those closest to your house.  Repair or replace loose porch railings and make sure the exterior paint is not chipping.  If needed, scrape and paint; peeling paint is a real turnoff to buyers.  Keep the lawn mowed.  Put away bikes, toys and garden tools.

Following these simple steps will go a long way to getting your home sold quickly.

Ready to sell your home in southeast Michigan?  I can help.  Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

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

You’ve repaired, de-cluttered, deep cleaned and polished your Royal Oak Michigan home for sale until it shines.  But how do you keep it that way when you and your family have to live in it every day?

Here are 5 tips to keep your Royal Oak Michigan home for sale ready to show (without driving yourself crazy):

1. Decree some rooms off limits.  There are a few obvious rooms that can easily be declared off limits such as the formal dining room and living room.  But there are others you may not have considered.  If you have 3 bathrooms, proclaim 1 or 2 of those bathrooms off limits.  Have a guest room but no guest?  Shut the door and forget it.

2. Hire a maid service.  You may not be able to afford a cleaning crew on a regular basis, but to reduce your stress while your Royal Oak Michigan home is for sale, consider hiring a housecleaner to come in once or twice a month.

3. Leave your shoes at the door.  Sure, it’s inconvenient, but it really does keep your floors clean much longer which means less vacuuming, sweeping and mopping.

4. Clean as you go. Anytime you get something out, put it away when you’re done with it.  Persuade every member of your household to do the same.

5. Use potpourri.  You may have read some tips I’ve given about baking cookies to make your home smell great for showings.  That’s an excellent idea for people who have lots of time or just love to bake.  But for the rest of us, put out a bowl of cinnamon scented potpourri and avoid cooking smelly foods such as liver, fish or anything fried until your home is sold.  If you can’t do without your fish, go out to eat.

Need to sell your home?  Let me help you get it sold so you can relax.  Call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.  

Lee Morof
Associate Broker/Attorney
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