How Should You Approach House Flipping?

Successfully flipping a home requires careful planning. We’ve got some tips for you today that will show you where to start.

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Is house flipping the right move for you? We’ve all seen the commercials and the television shows that make house flipping for a substantial profit look so easy today. However, we know that this depiction isn’t entirely accurate. You can achieve financial success through house flipping, but you’ve got to follow some guidelines. Here are five quick tips that will give you a better chance at success if you’re thinking about house flipping:

1. Have a team of experts by your side. Study what people go through when they flip homes and make sure you have a good, efficient team behind you. A CPA can help make sure you are not monetarily sacrificing too much. A good Realtor can help you find properties, as well as a list of trusted contractors and estimators to help figure out the costs. If you’re handy yourself, you’ve got an even better chance of success. Not having to hire a contractor for every little thing could save you a lot of money.

2. You need to have marketing skill. This will help get your home out there to interested buyers. You also need to have time on your hands. If you have a day job, that can cause delays as well because there may simply not be enough hours in the day.

A good Realtor can help you find a good property and trusted contractors.

3. Location is important. Know where the homes you are picking from are at and the prices that similar homes are selling for now.

4. Can you afford the loans for these projects? The money you borrow will be around 10% to 14%. Any little cost that causes you to go over time is going to cost you in the long run. The bottom line is that you have x amount of dollars and you will save more of that money if you turn the property around as quickly as possible.

5. Have patience. When looking for ideal properties, don’t fret if the first few aren’t what you are looking for. You might have to go through 10 properties to find the right one. Do your homework before starting the project and have some extra funds set aside in case things go wrong.

If you have any questions for us, don’t hesitate to give us a call or send us an email. We look forward to hearing from you.

What's in Store for Real Estate in 2017?

It's nearly year's end, so I wanted to drop by with some predictions for the real estate world in 2017. Experts are predicting the market will stay hot nationwide, and I think Eugene will do the same.

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Christmas and New Year’s are right around the corner, so it's time to make some predictions for the real estate world in 2017.

First of all, let's look at things from a national point of view. As a country, we had about 5.8 million sales, and next year, it's projected to go up to about 6 million sales. Why the increase? Remember, we have a lot of people in Generation Y (mid-30s and down) making their way into the market as buyers. A lot of people think that the Gen-Y buyers will keep the real estate market hot all the way up through 2020!

Generation Y is expected to keep the national market hot through 2020.

Here in Lane County, we had an increase in sales of about 7% in 2016. In 2017, they are predicted to be about the same. One of the reasons the Eugene market is so hot is because Portland is one of the four hottest cities in the U.S. for real estate growth. We're seeing some fallout from that.

With that, let me wish you a wonderful Christmas and holiday season! If you have any questions, always feel free to call or email me. I'll see you soon!

How We Helped Lostein Sell a House in One City and Buy a House in Another

“Excellent results! He sold two of my houses and helped me purchase one. He was working with me when I lived in Portland and he was selling my house in Veneta and he did a great job of keeping me updated and keeping in touch with me.”

How We Helped Robert and His Family Find the House of Their Dreams

“We were actually hard clients for Gary because we were very particular in our house and we took a lot of time, but in the end Gary got us into a better house than we thought we would end, up finding. We were able to get there because Gary knows the area, he knows people, so he got us in front of the right person at the right time and got us into what is frankly the house of our dreams.”

How We Helped Meagan Buy a House and Sell It Again Later On

“We had great results! First, he helped us buy our first house here where we are not in Eugene and it was a very easy process. He was very helpful and then when we went and sold that house he was great. In fact, he got us above asking and asking was even higher than we had planned on listing for so we had great results.”

What Really Happens During a Home Inspection?

These are the important details surrounding home inspections and what really goes on during the process.

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Today I wanted to talk about home inspectors and what they really do.

Anybody who is buying a home has a home inspection performed to find out everything about it and what’s wrong with it, because they want to make sure they're buying a home that's in good condition. The buyer purchases the home inspection, so the inspector is obligated to the buyer, not the seller.

It's important to understand that inspectors are there to help find problems with the condition of the home, not cosmetic flaws. They will look at the basics of the home like all the plumbing, leaks under the house, the presence of dry rot, pest problems, electrical systems, the foundation, the porch, the deck, and the roof, to name a few. The problem is, they are generalists, meaning that if they suspect a particular issue like the electrical is especially flawed, they will recommend that you bring out an electrician for further inspection.

Home inspectors look at major systems, not cosmetics.

The inspectors are well worth the $400 to $600 that they generally cost. During the final 30 minutes of the inspection, the buyer will usually meet with the inspector and they will go over all the conditions they've found that need to be corrected.

I hope that clears up the home inspection process for you. If you have any more questions about home inspections or you have any questions at all about Eugene real estate, give me a call or send me an email. I'd be happy to help you!

Lane County September Market Update

Today I’ll compare the latest numbers from the September 2016 market to the September 2015 market. All in all, our market continues to be strong.

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What happened this last September in the Lane County real estate market?

Long story short, the market has stayed about the same in terms of home inventory. We still only have about two months of inventory in our market.

Our real estate market is still on fire!

That said, home values have changed since September of last year. Check out the complete breakdown here:

• Hayden Bridge is up 3.7%
• McKenzie Valley went down 5.1%
• Pleasant Hill went up 10%
• South Lane went up 6.2%
• West Lane only went up 0.9%
• Junction City went down 1.1%
• Thurston is up 4.1%
• Coburg is up 44.2%. Of course, not every house in Coburg appreciated that much. However, since there weren’t many home sales in that area, that is what the statistics show.
• North Gilham went down 4%
• Ferry St. Bridge is up 6.7%
• Southwest Eugene is up 9.8%
• East Eugene is up 13.8%
• West Eugene is up 12.3%
• Danebo takes the prize by being up 18.5%
• River Road is up 8.1%
• Santa Clara is up 5.1%
• Springfield is up 5.4%
• Mohawk Valley is down 0.1%, so that market has plateaued.

The bottom line is our real estate market is still very hot. If you have further questions about our current real estate market, just give me a call or send me an email. I would be happy to help you!

Improve Your Home’s Value by Updating Your Bathroom

Updating your bathroom is a cheap way to improve the overall value of your home. There are seven easy tips to get it into tip-top shape.

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One of the least expensive ways of improving the value of your home is by updating your bathroom. Here are seven inexpensive tips to get more bang for your buck:

1. Paint the walls. When you paint the walls, think neutral instead of colorful. A neutral color will accent the bolder paint of your shelves, vanity, etc.
2. Repaint the vanity with an accent color. Doing this will make it stand out better. If the vanity is too worn, you might want to consider replacing it. They only cost around $300, so it’s not a big expense.
3. Replace the flooring. If the flooring looks really bad and doesn’t clean up well, you might want to install new linoleum that looks like wood. This is a popular modern look.
4. Change the showerhead. There are showerheads available out there that are LED-driven and give you a dozen different spray patterns.
5. Add shelving (if you have the room). Shelving will not only add the ability to store more things, but it will also give you the chance to accent-color those shelves to make them stand out.
6. Hang a picture or some other decorative item on problem walls. This will draw the attention towards the decorative item, as opposed to the wall.
7. Add lighting. This is the most important step. It’s amazing how quickly you can improve the likeability of a bathroom with lots of bright lights.

Changing the lighting to a more modern look is imperative.

If you have any more questions about improving your bathroom to add value to your home, give me a call or send me an email. I’d be happy to answer your questions.

How to Avoid a Growing Real Estate Scam

The scammers are out in full force in the real estate world, but you can avoid them by making one simple phone call.

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Right now, there’s a big scam happening throughout the country where renters are being duped into thinking that they can rent a property for a much lower cost than what it would appear to be valued at. This is because scammers are taking pictures of homes that are for sale on the market, gathering the information of these homes, and advertising them as if they’re rentals.

The next thing they do is make an excuse as to why they can’t meet face to face but still encourage the renter to look at the property from the outside and send them their information if they’re interested. Of course, the renter is then selected as the perfect fit for the property. Because the scammer is conveniently out of town, they ask the renter to send their deposit to a certain location and/or bring it to a certain location where they are then handed a set of keys to the house. Of course, the keys to the house don’t work. The renter, then, is left with a set of phony keys and no deposit.

Call a real estate agent to verify any information.

My advice for avoiding this is simple: when you see a ‘For Sale’ sign advertising something that is for rent, make sure you call the real estate agent to verify its information.

If you have any questions about buying or selling, just give me a call or shoot me an email. I’ll be glad to answer them for you.

5 Tips to Keep Your Home Safe While You’re Away

Wouldn’t it be nice to go on a completely stress-free vacation and not having to worry about what’s going on at home? We can help you do that. Some of these tips are obvious, but that doesn’t mean they are are easy to overlook. We’ve got five tips to share that will help keep your home safe and your mind at ease when you’re on vacation.

1. Leave a car in the driveway. This will make it look like someone is home.

2. Have lights and lamps plugged into timers. You can even set them to turn on and off at specific times during the day.

3. Inform a neighbor. Let a neighbor or two know that you are going to be out of town so they can keep a watchful eye on your home as well.

4. Make sure all doors and windows are locked before you leave. Studies have shown that 30% of all entries have been through unlocked windows and doors. It’s a pretty obvious thing, but it never hurts to double check.

5. Let the post office know you will be gone, or have a neighbor pick up your mail for you.

We hope these suggestions help you prepare better.

We hope these suggestions help you prepare better when you take your next vacation. If you have any questions for us, don’t hesitate to give us a call or end us an email. We would love to hear from you.

July Market Snapshot for Eugene Real Estate

I wanted to take a moment to talk about some numbers in Lane County. We all know that the market has gone up, so I took a look at how the market has changed since last July over that one-year period.

Here is how much each area has changed:

• Santa Clara - 3.6%
• River Road - 7.7%
• East Eugene - 3.7%
• Southwest Eugene - 5.5%
• West Eugene - 7.5%
• Danebo 9.7%
• North Gilham - minus-4.5%
• Ferry St. Bridge - 6.7%
• Coburg - 23.6%
• Venita/Elmira - 8.6%
• Junction City - minus-2.9%
• Cottage Grove Creswell - 8.6%
• Pleasant Hill - minus-.6%
• Thurston - 4.4%
• Hayden Bridge - 7.2%
• Springfield - 8.2%
• Mohawk Valley - minus-12.5%
• McKenzie Valley - 1.5%

All in all, we've gone up almost 10% throughout the entire year. We'll be back next month with a new report for you. In the meantime, if you have any questions or you're thinking about buying or selling a home, give me a call or send me an email and we'll talk soon!

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We're up 10% over the year as a whole.

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The Timeline of Closing a Home

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Just how long does it take to close on a home?

That question depends primarily on what type of loan you’re taking out, or if you’re paying cash. If you’re paying cash and you don’t need an appraisal, you can have it ready to close in as little as a week. But since most people take out a loan and need an appraisal, it usually takes a little longer than that.

After your offer on the home has been accepted by the seller, you should do your due diligence and order an inspection. You will be granted a certain amount of days specified in the contract - usually at least 10 - to complete this inspection.

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On average, 45 days is a good turnaround time for a sale to close.

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After the inspection comes the negotiation process. This is where you negotiate with the seller about any issues in the home that need to be fixed and determine how they can be rectified. Once that’s done, your lender will order the appraisal as quickly as possible, because this is where the possible hang-up lies. The appraisal process, depending on your area, can take anywhere from one to five weeks to be completed.

That being said, you can expect 45 days to be a good ballpark figure to span the time you sign until the time you can theoretically close on the property.

If you have any questions about certain things in the real estate world, just give me a holler or send me an email. Take care!

How to Make a Fair Offer in Eugene

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A lot of people have been asking me lately what a fair offer is when buying a Eugene home. The answer to that question is simply, timing.

What I mean by this is that if a home has been on the market for more than a month, in a hot market like the one we have right now, you can probably start off by making an offer that’s about 5% below asking price. The seller won’t be offended by the offer because they’ll be happy to have one, but don’t be surprised if they come back with a counteroffer. You’ll have to negotiate with them on the price.

Now, if a home has just been listed on the market, it’s a whole different ball game. The current market in Eugene is hot for sellers. You’re likely going to have to compete against other offers, so you’ll need to switch up your strategy. You’re going to have to be a lot more aggressive, and that starts with making an offer of at least their asking price, or maybe a little more. There are also other things you can do to help your offer stand out.

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Interest rates are still incredibly low right now for buyers.

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One thing you can do is be flexible about the closing date. Sometimes the seller will also be buying a house at the same time. If you’re more flexible, it helps your offer stand out.

Another strategy to use is appealing to the seller’s emotions by writing them a personal letter about how much you’d like to buy their home. This strategy works well with families, because sellers want to pass their home on to other families.

At the end of the day, you may feel that the advantage is tipped a little bit towards the seller in this market. That’s true, but as a buyer you have a distinct advantage as well. Interest rates are still incredibly low right now for mortgages. They haven’t gone up yet and if you can buy while they’re this low, it will save you a lot of money on payments in the long run.

If you need any more information, don’t hesitate to give me a call or send me an email. If you have any questions about real estate or any topics you’d like to learn more about, let me know about those too. I would be happy to do a video on it. I look forward to hearing from you!

Come See Us at the 2nd Annual Madison Middle School Reunion

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As some of you know, I’m a former middle school teacher who previously taught at Madison Middle School for many years. For all those students I taught and fellow teachers I worked with, we now have an annual reunion that I sponsor. The reason I do this is that so many of my clients are my former students, and this is my way of paying them back. It’s getting to be that time again, so here are the details:

• Tuesday, July 19th
• 5:30 p.m. - 8:30 p.m.
• Abbey’s Pizza

All the teachers from the past and all the students from 1984 through 2002 are more than welcome to stop by and enjoy some free pizza and pop. You’ll have to buy your own “other” beverages, however, but everything else is furnished by me! We’ll also have lots of entertainment for kids, so we look forward to seeing you all there!

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All the teachers and students from 1984 through 2002 are welcome to stop by.

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How to Capitalize on the Eugene Real Estate Market

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Today we’ll be doing a little update on the Lane County real estate market from the beginning of 2016 up until right now. What you will notice is that some areas have seen plenty of appreciation, while other neighborhoods are lagging.

• Hayden Bridge has seen home values rise by 5.9%
• Springfield has seen an appreciation of 4.4%
• Mohawk Valley has actually fallen by 18.8% (only a few properties have sold, this is why this number is so extreme)
• Home values in Thurston have risen by 5.3%
• Coburg homes have gained 6.7% in value since the beginning of the year
• South Lane has appreciated by 9.9%
• Pleasant Hill is up by 1.5%
• Junction City home values have fallen by 4.5%
• West Lane homes have seen values increase by 5.7%
• Ferry St. Bridge has increased by 3.8%
• North Gilham home values have fallen by 2.5%
• South Eugene values have risen by 0.6%
• East Eugene values have risen by 1%
• Danebo homes have increased in value by 7.1%
• River Road home values have spiked by 9.7% since the beginning of the year
• Santa Clara values have risen by 2.8%
• The TOTAL AVERAGE for Lane County is an appreciation of 3.5% since 2016

As you can see, these numbers are all very different. Real estate is hyperlocal and conditions can change from neighborhood to neighborhood. If you want more accurate information, please don’t hesitate to contact me.

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Real estate conditions can change from neighborhood to neighborhood.

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Lastly, I want to give you the opportunity to suggest some questions or topic ideas for me. I want to teach what you want to learn about. Simply give me a call and I will address your question via a video blog.

I look forward to continuing this conversation!

How to Properly Sell Your Eugene Home

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There are some simple and easy steps you can take to help sell your home in Eugene,. By taking care of these things while you're going through the process, you have a much better shot at selling for top dollar.

The first thing to think about is the price list price. Look at the selling prices of similar homes in your neighborhood to get an idea of what your home is worth. You can also look at your tax assessment on the property, but that won't give a great idea of your home's worth.

Make sure that when you do set your price, you set it at a level where you still have room for negotiation. The chance of you getting a full-price offer is below 100%, so you want to be able to have a little wiggle room in order to get a deal done.

Next, decide on your Realtor. Make sure the person you hire has a plan, and can answer questions like how many homes they’ve sold and how many clients they have had. Make sure they will be able to communicate with you in a timely manner.

Curb appeal is also very important. You want the yard, front porch, and front door to all look pristine when the buyers first pull up to your home. Allow prospective buyers to visualize themselves in your home. Take away personal items so they don’t feel like they’re intruding in your home. You want to have as many things out of the home as possible, so purchasing a storage locker for some of your stuff while you show the home is not a bad idea.

Finally, you need to disclose everything that you know about the property on the disclosures. Every repair you’ve had to make, and every problem you’ve experienced. If you disclose it, you are liable-free and in the clear.

 
When it comes to the offer itself, be wary of emotional attachment. Don't be offended by a lowball offer, simply counter with a strong rebuttal. The buyer is trying to test you.

If you have any questions for me, don’t hesitate to reach out by giving me a call or sending me an email. I can’t wait to hear from you!

Questions to Ask a Realtor Before Hiring Them

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Hiring a Realtor is a huge decision to make for you and your family, and so I want to arm you with some questions to ask a potential hire. These should help to determine whether a Realtor is worth your time and money.

1. Why should I list with you? They will all tell you that they’re different from other agents for some reason, but ask them what makes their selling process unique.
2. What are your plans for marketing my home? They need a full marketing plan in place, and they should heavily focus on online buyers. They should also be taking professional photos of your home and posting them to multiple different websites. Putting a sign in the yard is not going to cut it anymore.
3. Also ask them who controls the marketing, because their broker may have more cash to put towards advertising your home.
4. Ask about their average time on market. This will tell you how long it takes for them to sell a home, on average. The quicker they can sell, the more encouraged you should be.
5. You should also ask about the listing price versus the selling price. They should be able to sell your home for the price that they asked for.
6. Ask for references or testimonials. If their business is built off of referrals, then this might be a good sign of repeat customers.
7. Make sure that you can get out of a contract if you aren’t satisfied with their service. You should not sign a binding contract with a Realtor, they should be willing to let you out if you are not happy.

Be sure to interview more than one Realtor. You need to see what’s out there before you make this huge decision.

I look forward to hearing from you!
 

How to Divide Property in Eugene Without Dividing Your Family

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Recently, I sat in a room with some family members who were dividing the property left behind when their parents passed on. Arguments kept breaking out. That is not the intention of the parents when they say they want the kids to divide up the property evenly. However, dividing property is not easy to do. Today, I have a set of directions that can help you divide the personal items left behind when a family member has passed on.

First of all, I suggest that each member of the family who will inherit the property gets a different colored sticker. Then, go in one by one and put your sticker on any item that you may want. It doesn’t matter if your brother or sister has already put a sticker on an item. If you want it, go ahead and put your sticker on it.

After that, go through and collect all the unmarked items that no one wants. Divide them into three categories: items to donate, items to sell, and items to throw away. Have your garage sale, drop things off at Goodwill, and make a trip to the dump. Get these items out of the house first.

Next, if there are items that only have one sticker on them, that person collects all of those things and takes them home. Now you are left with things that two or more people want.

All of you should get together. Flip a coin to determine who gets to pick an item first. Keep going until all of the items are gone. At the end, everyone is committed to taking those items home. It’s a fair way to handle things and your only job at that point is to not hold a grudge if someone else gets what you want.

If you have any questions about today’s video or about real estate in general, give me a call or send me an email. I would be happy to help you!

How Do Escrow Accounts Work in Eugene?

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Today, we’re talking about how escrow accounts work. An escrow account is essentially a money-holding tank. It’s when a third party, such as a loan officer or escrow officer, holds on to a homeowner’s money to pay certain property related expenses. The third party collects and documents the money associated with a particular transaction.

Secondly, an escrow account can be used to pay a mortgage. The lending company can collect the money taxed from mortgage payments.

An escrow account, thirdly, can be used when a party purchases a home and the funds are held on to prior to the final transaction. These funds are referred to as earnest money, which is part of your down payment. It ultimately shows the seller you’re earnest about buying their home. Depending on which loan program you choose and qualify for, you might be required to have an escrow account, especially if you’re paying less than 20% down.

How much is the average fee for the service of an escrow account? The average cost is usually split between the buyer and seller. Typically, it costs approximately $200 and $3 per every $1,000 the home costs. For instance, a $200,000 home would cost you $800, from $600 (from the $3 per $1,000) and additional $200 fee. Split that fee in half between two parties and you have $400.

If you’re thinking about buying or selling a home in the surrounding Eugene area, give me a call or send me an email. I’d be happy to answer any questions you might have!

Don’t Miss this Expert Analysis of Lane County Real Estate

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Today we’re going to take a look at what happened with real estate in Eugene this past year. Overall, I think we’re heading into a busy market that will cater to both buyers and sellers.

Our average days on market in December was 68, and that has not changed a lot since then. It’s right at 71 days now, and we have about three months of inventory. This puts us in a market that’s favoring home sellers, so if you’ve been thinking about buying, now is the time to do so.

Our average sale price is increasing as well. It’s at $240,000 right now, so this is great news for homeowners and potential home buyers.

I would advise you to get into this market early before interest rates rise and people flood the spring market. You have a great opportunity to buy a home affordably.

Also, be sure to ask about my new book, Moving Forward: 25 Essential Rules to Buying and Selling Real Estate without Going Crazy.

Ask me about receiving a copy if you’re interested!

Ways to Save Money With Your Eugene Mortgage

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Today, we’ll discuss how you can save money with your mortgage. If this is something you’re interested in, think about this. If you were to add one extra payment on your 30-year mortgage every year, you could save seven years worth of payments! On a 15-year mortgage, you could save at least a year and a half worth of payments. Likewise, on a 20-year mortgage, you then subtract about four years worth of payments.

In fact, you could set up an automatic withdrawal into a savings account for a small amount each month. Saving little by little monthly makes it easy to make that one additional payment at the end of the year.

If you’re thinking of buying or selling a home in Eugene, give me a call or send me an email for a free consultation. I’d also be happy to pass on my report called The 90 Things You Can’t Afford to Neglect When Selling Your Home.

Happy Valentine's Day from the Cascade Chorus

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We wanted to wish you a very Happy Valentine's Day, and we wanted to thank you for your business and referrals.

We’ll be singing a traditional Valentine's Day song for you, and if you’d like us to sing one to your loved one in Eugene, just call (541) 937-2992 to speak with our Cascade Chorus. They can send out a quartet if you’ve forgotten to do something special (we know you remembered!).

We hope you enjoyed this, and Happy Valentine's Day!

How Can Professional Photography Help You Sell Your Eugene Home?

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Just about everyone begins their home search online nowadays (95% of consumers), which makes high-grade photography more important than ever. While browsing photos of homes online, it is obvious which ones were taken by professionals and which ones were taken by the agent listing the property. The biggest difference is how bright and well-lit homes look when a professional takes pictures of them.

A smartphone isn't able to capture the beauty of a home due to the size of the lens and the quality of the camera itself. Professional-grade cameras and lenses make it possible to fit more in the frame and make homes look their absolute best for online viewing. It makes people feel like they're actually in the room you're photographing, so you need to hire a professional who knows how to make it happen.

It's not all about photos, we can also shoot walk-through videos of listings and even bring in drones to take aerial videos of them. There is obviously no way for you to do this on your own, unless you want to invest a huge sum of time and money into it. A professional photographer will give online home searchers the chance to see the home from every conceivable perspective. If you want the details of your home to really stand out, a professional photographer knows how to make that happen!

If you have any questions about getting the most money possible for your home, or about real estate in general, please don't hesitate to reach out to us.

What's the Secret to Getting Your Eugene Home Ready to Sell?

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If you plan on selling this spring, you need to begin the process now! If you want to get the best results, there are a few things you need to consider.

Look over all major systems and appliances. Look at the roof, air conditioning unit, furnace, water heater, and even the gutters. A professional should clean and inspect your air conditioning unit to ensure it's adequate for the buyer. Also, depending on the condition of your hot water heater, you may want to have it replaced. These major items are crucial when buyers are looking at your home!

Look for common problem spots throughout your home that a buyer may look for. Leaks under the sink or bulges in the carpet are only a few of the little things you need to fix before buyers show up. It's also not a bad idea to have your Realtor bring in a home inspector to find things only a professional can identify. This will eliminate selling problems or negotiating issues that might otherwise arise.

Certain renovation projects are well worth your time before listing your home. In fact, several upgrades have proven to be a very safe investment. For one, replacing hardwood floors is a great way to impress buyers. Attention to details like that pay huge dividends when placing your home on the market!
 
If you have any questions about selling this spring, we would love to give you a hand! Please don't hesitate to reach out to us at any time!