Buying a house For Sale By Owner in Hampton 23666 can yield savings if you are able to negotiate a lower price because the seller isn’t paying any commission.
However, additional due diligence is required because the seller has not already been vetted by a listing agent in Hampton 23666.
Search for FSBO Listings If you want to buy a house For Sale By Owner, you’ll need to specifically look for FSBO listings in Hampton 23666 on public real estate search websites.
Remember that not all real estate sites will have FSBO listings, and you won’t be able to search for FSBO listings on the MLS either.
Verify Ownership You should verify the ownership of the property and do some basic due diligence before proceeding any further with a FSBO property.
Many FSBO properties are spam listings put up by real estate agents in disguise, looking to catch direct buyers who inquire on their listings as leads.
So if you’re in need to Sell Your House Fast then you should make sure to do your homework about the entire process. Furthermore, it would benefit you to hire a real estate solutions company, such as SlatewoodVirginia.com.
Submit an Offer It’s important to confirm with the seller what he or she would like to see from you in terms of documentation before submitting an offer.
FSBO sellers may not abide by the standards or norms commonly used by real estate professionals. If you’re in a hurry to sell your house fast, then having proper documentation ready to go will speed up the process by a long shot.
For example, it’s quite common for offer submissions to be emailed, with a mortgage pre-approval letter and a REBNY Financial Statement attached.
The offer email typically contains the offer price, the anticipated down payment, any contingencies, preferred closing date, any inclusions or exclusions, the buyer’s attorney information and a short biography.
Conduct a Home Inspection
You’ll want to conduct a home inspection if you’re buying direct from an owner.
This is especially true if you are purchasing free-standing property such as a single family or multi-family house.
Remember that in some states like NY, sellers can easily get around having to provide a seller property disclosure form by simply agreeing to credit the buyer $500 at closing.
Review and Negotiate the Contract
You’ll need the assistance of a lawyer to guide you through contract negotiation and diligence, especially in a state like New York where the purchase contracts can be quite long and customizable.
Legal and Financial Due Diligence Your lawyer will come in handy by ordering and reviewing a title search and report on your behalf.
If you’re buying a house, your lawyer may order a survey report for you as well.
Your lawyer will review the title report and other sources to ensure that there are no outstanding liens, judgements or city violations on the property.
If you are buying a condo or co-op apartment, then your lawyer will also review the building’s annual financial statements, the original offering plan, any amendments to the offering plan, the building’s operating budget and the board meeting minutes.
Sign the Contract to Sell Your House Fast
It’s time to sign the contract and hand over your earnest money check once you and your lawyer have completed due diligence.
The good faith deposit is typically 10% of the contract price, and is delivered along with the signed contract to the seller’s attorney for counter-signature.
Finalize Your Financing Work
With your lender, finalize the underwriting process as soon as possible.
After you’ve provided all of the required documentation, you should receive a mortgage commitment letter.
Close Your Deal
At closing, your lawyer will guide you through all the documents you’ll need to sign, and he or she will also monitor the flow of funds to make sure all checks have been properly distributed.
Sell Your House Fast Hampton 23666 and Everything You Need to Know:
- Chuck, they have it in thepaper that the market's slowing we're not waiting to putit on for sale by owner! - It's Take a Tip Tuesday, do you know why for sale by owners fail? (upbeat music) Hi, my name is Kristina Smallhorn, your real estate whispererfor Ascension Parish.
And there's a statistic out there, the people that try to sell their home, for sale by owner, only 10% of them succeed.
This week I'll be coveringthe six top reasons why your for sale by ownerdidn't actually sell.
And hopefully this willhelp you when you're trying to sell it yourself.
- Who cares if we don'thave anything fixed, get it on the market, Chuck! Chuck, are you listening to me? - One of the biggest mistakes that for sale by owner sellers make is that they don't preparethe house correctly before it goes on the market.
They will leave off doingthings like painting, and adding curb appeal, and decluttering and staging rooms.
All those things really make a difference, the first few days youput it on the market.
If you wait until afterit's on the market, the buyers are gonna thinkthat you've neglected the home.
- Holy cow, Chuck! That Zestimate says thatwe can get $30,000 more than the neighbors! We're not gonna payover that or under that, that's what we're pricing our home, Chuck.
The people on Zillow know whatthey're talking about, Chuck! - I probably should haveleft this one til the end, because it's actually oneof the biggest mistakes that for sale by owners make.
Is that they don't pricetheir home correctly.
They have good intentionswhen they price their home, but a lot of times theydepend on sites like Zillow, and Trulia, to give theman estimate of their home.
This is not a great wayto find out the worth or the value of your house.
And going by what theneighbors sold their home for, isn't necessarily the best way either.
Always make sure thatyou have the best advice from your realtor when pricing your home.
- Do you know who that was, Chuck? Another freaking realtor, they didn't have a client, they just wanna list the house, Chuck.
This phone is driving me crazy.
This is like the 40th call, Chuck.
- Since we're on the subject of Zillow and their Zestimates, Iwanted to point out the fact that a lot for sale by owners elect to put their house on Zillow.
They find out after awhile that the only calls that they're getting arefrom real estate agents.
There's actually a good reason for this.
Is if you actually lookat the listing that they, you put on Zillow, the first thing that they list is not the seller's information, they actually list aboutthree real estate agents in the area that havepaid for advertisement and placement on that listing.
Underneath their names in small print, in different characters,and not a pretty picture is the seller's information.
It says owner information.
And then it has the fontfor the phone number.
They really don't make it easy for buyers to find that information.
And real estate agents know this.
And that's why you're getting nothing but calls from other real estate agents 'cause they know that you'renot actually being represented.
So they're constantly calling you over and over and over again 'cause they want you to list with them.
And of course they're going to, that's part of their job.
But I can understand why a forsale by owner gets frustrated after a while.
- Chuck, a bunch of theneighbors wanna come over and take a look at the house.
Like, I'm not sure if they'reready to buy or nothing, but I think it's a good ideajust to show it to everybody.
Are you listening to me Chuck? I think you have heat stroke, Chuck.
- Some for sale by owners are very eager to let anybody in thehome that actually wants to take a look at it.
And of course, that'swhat you're thinking, anybody that walks through,they might be interested or at least they might know somebody.
But who is it that you'reactually letting into your home? Only a licensed realtor knowshow to screen for buyers the correct way, to know if they're evenqualified to purchase your home.
And one important documentis your preapproval letter.
There's a differece betweena prequalified letter and a preapproval letter.
If you haven't heard aboutthis, I made a video about it in the past, you can go aheada click the link right here.
And it will take you to that video.
- Chuck, we finally got our first call, and I'm telling ya, if peopleare coming through this house I want you to follow themthroughout the whole entire house, make sure you point outeverything that we've done to this house, Chuck.
So make sure you follow themeverywhere, like a stalker.
- Can you imagine goinginto a grocery store, or even a department storeand start looking for items and then there's justsomeone following behind you everywhere you go? Well, a lot of for saleby owners will walk around with the buyers when they'regoing through the home.
And of course, rightfully so,they don't know who it is, that's actually walkingthrough their home.
But it makes the buyersfeel very uncomfortable.
When the seller asks the buyerwhat they think of the home, the buyers are less likelyto give em a straight answer.
Nobody likes to be confronted, so they'll just say,it's nice, we liked it.
And then they walk away andthey never hear from them again.
This is not even really goodfeedback for the sellers, and it doesn't get them tosell their house even quicker.
When you're working with a realtor, you get real feedback from buyers.
Because they have to fillout this sheet beforehand and then they hand it overto their real estate agent and they know that they'renever gonna see you as a seller again.
So this is another benefitof actually working with a realtor, than having to sell yourhouse for sale by owner.
- Holy cow, Chuck! Did you see what they offered with this? They're already negotiating for repairs! We have not neglected this house, Chuck, we're not fixing a thing.
Are you gonna do thenegotiations for this Chuck? 'Cause I don't know if I can handle this, I can't be a nice person, you know Chuck.
- I said in my previousvideo about buying a home for sale by owner, if you haven't seen that videoyou can click it right here, that negotiations canget very very heated.
And when it comes to inspection periods, it even gets even worse.
You as a seller don't feellike there's anything wrong with your home, but the buyers are askingfor a laundry list of items to be done.
Which items are really necessary? And which ones are thebuyers being silly about? The only way to knowthis for sure is to work with a licensed realtor, so they can diffuse all theseproblems that are come up.
So you'll know which repairsare really necessary.
- We need to get ourhouse on the market now, it doesn't matter if wehaven't fixed anything, let's just go ahead and getit on the market, Chuck! - If you are a home seller,decided to sell your home, for sale by owner, I understand.
Of course you wanna save some money.
But sometimes in the long run,it doesn't save you a dime.
I have another useful playlist for you if you'd like to learn moreabout staging your home, I have some videos thathave been really helpful to people.
If you'd like to actually read some more, I have a useful blog, it's yourrealestatewhisperer.
And if you actually wanna search for homes here in Ascension Parish area, I will leave you a linkin the description.
My name is Kristina Smallhorn, your real estate whispererfor Ascension Parish and I tell you all thisbecause you matter.
- Did you put in the listing no realtors can call us unless they had a client? 'Cause they're driving me insane, Chuck.
I don't like going crazy, Chuck.
Chuck! Answer me, Chuck! What tips were useful for youwhen you're selling your house for sale by owner? Let Kristina know in the comments section.
If you'd like to watchsome more selling tips, you can go ahead and clickthe playlist over here and always make sure youlike, share, and subscribe.
What do you say, Chuck?.
How To Sell Your House By Owner Without A Realtor In Virginia
OLIVER: HELLO AND WELCOME BACK FOR ANOTHER EDITION OF MONEY PROS.
I WILL BE YOUR HOST.
WE TALK BALTIMORE -- OF ISSUES RELATED TO YOUR MONEY.
LET'S JUMP RIGHT IN AND TALK ABOUT WHAT WE WILL COVER ON TODAY'S SHOW.
FIRST UP, INTERESTING ARTICLE THAT I SAW RECENTLY RANKING STATES.
THE HIGHEST TO LOWEST PERCENTAGE OF MILLIONAIRES.
I THOUGHT IT WOULD BE FUN TO GO THROUGH THE TOP THREE STATES.
TAKE A LOOK AT THE STATES THAT HAVE THE LARGEST PERCENTAGE OF MILLIONAIRES IN THE STATE.
TALK ABOUT SOME OF THE REASONS FOR THAT, WHO THE WEALTHIEST PERSON IS AND WHO -- WE CAN TALK ABOUT MASSACHUSETTS AND RHODE ISLAND.
WE WILL TALK ABOUT THAT IN OUR FIRST SEGMENT.
OUR SECOND SEGMENT, REAL ESTATE PROS BACK.
FROM -- JED AND SAM.
WE WILL BE TALKING ABOUT THE CONTINUATION OF OUR LAST SHOW WITH THESE GUYS.
WHICH WAS THE TRIALS AND TRIBULATIONS IF YOU DECIDE TO GO FOR SALE BY OWNER.
SO MUCH MATERIAL IN THE LAST SHOW WE DID NOT COVER IT ALL.
WE HAVE THESE GUYS BACK TO TALK ABOUT ALL THAT.
30 SEGMENT, SHIFTING GEARS OF LITTLE BIT.
TALKING ABOUT LONG-TERM CARE INSURANCE.
THIS MAY NOT BE A TYPE OF COVERAGE YOU ARE FAMILIAR WITH.
IF YOU ARE, YOU MAY BE FOLLOWING THIS COVERAGE IS GETTING MORE AND MORE EXPENSIVE.
SOMEONE -- SOME QUESTION IF IT WILL EVEN EXIST AND A COUPLE OF YEARS.
WE HAVE GOT A LOT TO GET THROUGH IN TODAY'S SHOW.
LET'S JUMP RIGHT IN.
LET'S TALK ABOUT STATES WITH THE HIGHEST PERCENTAGE OF MILLIONAIRES.
THIS WAS BASED ON AN ARTICLE AND NATIONWIDE, ONLY 5.
8% OF HOUSEHOLDS MEET THE MARK OF MILLIONAIRE.
THERE IS A PARTICULAR WAY OF FINDING WHAT A MILLIONAIRE IS, IT IS MORE EXCLUSIVE THAN YOU MIGHT IMAGINE.
THEY CALCULATE IT AS A NET WORTH IN THE HOUSEHOLD OF $1 MILLION OR MORE.
EXCLUDING REAL ESTATE OF YOUR PERSONAL RESIDENCE AS WELL AS YOUR RETIREMENT PLAN.
WHEN YOU TAKE THOSE THINGS OUT OF THE EQUATION, THAT IS GOING TO SHRINK THE LIST OF MILLIONAIRES.
THAT IS THE WAY KIPLINGER IN PARTICULAR LOOK AT IT.
THEY BROKE DOWN BY STATE CANNOT JUST LOOK AT WHAT STATES HAVE THE MOST MILLIONAIRES IN THEM, DON'T BE THE USUAL SUSPECTS.
CALIFORNIA, FLORIDA, NEW YORK.
WHAT THE HIGHEST PERCENTAGE OF MILLIONAIRES WAS RELATIVE TO THE REST OF THE STATE.
I WANT TO SHARE THIS WITH YOU.
WE WILL TALK ABOUT EACH ONE OF THEM A LITTLE BIT INDIVIDUALLY.
FIRST UP, NUMBER THREE, NEXT-DOOR NEIGHBORS IN CONNECTICUT.
75% OF THE STATE OF CONNECTICUT QUALIFY AS MILLIONAIRES.
3 MILLION HOUSEHOLDS IN CONNECTICUT AND 107 THOUSAND OF THEM ARE MILLIONAIRES.
THAT IS THE HIGHEST PERCENTAGE.
-- HAS A VERY HIGH PERCENTAGE OF HEDGE FUND INVESTING BUSINESSES.
AND THEN THE PEOPLE THAT RUN THEM LIVING IN THE STANFORD METRO AREA.
IS THE HIGHEST CONCENTRATION OF MILLIONAIRES IN THE ENTIRE UNITED STATES.
STANFORD METRO AREA.
THE RICHEST PERSON IN CONNECTICUT IS THE HEDGE FUND MANAGER RAY DALIA.
HE IS WORTH $17.
HE IS THE RICHEST GUY IN CONNECTICUT.
ONE OF THE RICHEST PEOPLE IN THE COUNTRY.
NUMBER TWO, ANOTHER NEIGHBOR OF NEW YORK CITY.
8 6% OF THE HOUSEHOLDS IN NEW JERSEY QUALIFY FOR MILLIONAIRE STATUS.
3 MILLION HOUSEHOLDS.
259,000 OF THEM QUALIFY AS MILLIONAIRES.
NEW JERSEY, A STATE NOTED FOR HIGH TAXES AND COST OF LIVING, MAYBE YOU HAVE TO BE A MILLIONAIRE TO LIVE THERE.
THE WEALTHIEST RESIDENT IN THE STATE IS ANOTHER HEDGE FUND MILLIONAIRE.
INVESTOR JOHN OVER DECK IS WORTH $5.
THAT IS NUMBER TWO.
NUMBER ONE, THIS MAY BE A SURPRISE.
87% OF THE STATE QUALIFY AS MILLIONAIRES.
6 MILLION HOUSEHOLDS.
CONCENTRATED PRIMARILY IN -- PRIMARILY IN THE D.
ALSO ALONG THE EASTERN SHORE ON THE CHESAPEAKE.
THE WEALTHIEST PERSON IN THE STATE OF MARYLAND IS THE OWNER OF THE WASHINGTON NATIONAL -- $5.
IF YOU ARE CURIOUS WHERE OUR NEIGHBORS TO THE NORTH ARE, MASSACHUSETTS IS ACTUALLY NUMBER SIX.
JUST OUT OF THE TOP FIVE.
RHODE ISLAND, NOT AS FAR DOWN AS YOU MIGHT HAVE GUESSED.
ONLY NUMBER 16 ON THE LIST.
22% OF THE STATE.
THAT IS A BREAKDOWN OF THE MILLIONAIRES.
UP NEXT, WE WILL BE TALKING OLIVER: WELCOME BACK.
JOINED NOW BY REAL ESTATE PROS.
THIS IS PART TWO OF A CONVERSATION WE STARTED SEVERAL WEEKS BACK ON THE CHALLENGES YOU MIGHT EXPERIENCE IF YOU DECIDE TO GO IN A FOR SALE BY OWNER SITUATION.
THIS OBVIOUSLY APPLIES MOSTLY TO THOSE THAT MIGHT BE CONSIDERING SELLING A PROPERTY.
IT ALSO COULD RELATE IF YOU'RE DEALING WITH ANOTHER PROPERTY IN A FOR SALE BYON.
IT CAN CREATE A NUMBER OF CHALLENGES.
BEFORE WE DO THAT, WE HAVE TO GET THE MARKET UPDATE.
I PAY ATTENTION KIND OF OUT OF THE CORNER OF MY EYE TO WHAT IS GOING ON IN REAL ESTATE.
SEEMS LIKE IT WAS A HECK OF A SUMMER.
IT WAS A HECK OF A SUMMER.
WE HAVE BEEN TALKING ABOUT SPRING, WAS PROBABLY THE BEST I HAVE SEEN IN A LONG TIME.
SUMMER WAS FANTASTIC.
THE MARKET ALWAYS STAYS VERY BUSY.
WE HAVE BEEN TALKING PERIODICALLY ABOUT THE MARKET.
STARTED TO SLOW DOWN.
I THINK THE FIRST ONE WAS REALLY THE AMOUNT OF INVENTORY TO FIND BUYERS AND SELLERS MARKET.
INVENTORY RELATES TO IF NO OTHER HOME TO THE MARKET, HOW MANY MONTHS WOULD IT TAKE TO SELL THE HOMES FOR SALE.
7 MONTHS OF INVENTORY.
A VERY STRONG SELLERS MARKET.
AT THE TIME WE ARE FILMING THIS, 4.
IT IS STARTING TO BALANCE A BIT.
NO CARRIERRINGRINGCONNECT 19200+++6 C13 PRICES ARE 549% OVER LAST YEAR.
NUMBER OF SALES ARE DOWN 3.
IT HAS STAYED PRETTY EVEN.
THE SELLING MARK ON THE OTHER HAND, SALES OF 23%.
WE ARE SEEING MUCH MORE OF A BALANCE THEN WE HAVE BEEN TALKING ABOUT ALL SUMMER.
WE ARE STARTING TO SEE IT NOW AS WE HEAD INTO THE FALL.
OLIVER: AN INTERESTING TO STICK -- STATISTIC.
ONE OF THE THINGS YOU JUST MENTIONED.
THE INCREASE IN PRICE TALKED ABOUT CONDOS UP 15%.
SINGLE-FAMILY'S UP FIVE POINTS.
A SIGNIFICANT PRICE APPRECIATION AND RESIDENTIAL REAL ESTATE.
YEAR OVER YEAR.
THE ASSET ITSELF IS PERFORMING VERY WELL FROM AND INVEST IN STANDPOINT.
LOOKING BACK, THE PRICE IS OVER 5.
SALES RATES ARE GOING DOWN THREE-POINTER PERCENT.
3%3 IT IS NOT 2008.
THE SKY IS NOT FALLING.
WE ARE SEEING A LITTLE BIT OF A BALANCE.
IT IS IMPORTANT PEOPLE ARE AWARE OF THAT.
WE HAVE SOME A PEOPLE WHO IN THE SPRIN MONEYBALL -- NEIGHBOR SOLD FOR ASK.
YOU REALLY HAVE TO WATCH , IT IS STARTING TO DIMINISH AND PRICE GOING UP.
THERE HAS TO BE A CHECKS AND BALANCE.
OLIVER: IT ALSO MUST STRESS BY SIGNIFICANTLY IN THE RANGE IN PRICES OF HOMES.
IT IS IMPORTANT TO TALK TO AN AGENT ABOUT EXACTLY WHERE YOU STAND DEPENDING ON THE TIME OF YEAR.
WHICH, I THINK, IS PROBABLY A GOOD JUMP OFF INTO HOW WE WANT RESPECT TO FOR SALE BY OWNER.
ONE OF THE CHALLENGES THAT, IF I WERE TO SUM MY HOME I WANT TO DO IT -- LET ME ASK YOU, HOW DO YOU GET BY SOMEONE ON THAT AND WHERE CAN SOMEONE GO WRONG? SAM: IT IS FUNNY YOU MENTION SPRING MARKET.
TYPICALLY, BUYERS AND SELLERS ROSE THINKING THAT THE SPRING MARKET IS A LOT STRONGER.
TYPICALLY, THERE IS A LOT MORE BUYERS OUT THERE.
FALL TIME, WINTERTIME, THOSE BUYERS ARE OUT THERE.
THEY'RE MUCH MORE SERIOUS.
THE BIGGEST THING AS A SELLER TO KEEP MIND IS THAT IN THE SPRINGTIME, EVERYONE IS WAITING FOR FLOWERS TO BROOM.
GRASS TO BE GREEN.
IF YOU'RE THINKING SPRING MARKET IS BETTER, MY NEIGHBORS DOWN THE STREET BY THINKING SPRING MARKET IS BETTER, THERE IS A LOT MORE INVENTORY.
WITH THE INFLUX OF INVENTORY COME A LOT MORE COMPETITION.
AS A SELLER, YOU WANT TO MITIGATE THAT AS MUCH POSSIBLE.
IF I AM LOOKING TO GET INTO A NEIGHBORHOOD AS A BUYER, IF I CAN ONLY LOOK AT YOUR HOUSE, I MIGHT END UP BUYING YOUR HOUSE OR MIGHT NOT.
I MIGHT HAVE 3, 4, 5, 6 OTHER OPTIONS TO CHOOSE FROM.
OLIVER: IS THERE A PARTICULAR PRICE OF PROPERTY WHERE YOU SAY, IT IS UP TO THE SELLER, SOMETIMES LIFE SITUATIONS DICTATE THAT, CERTAIN PROPERTIES WHERE YOU WOULD SAY THIS WOULD BE A SPRING HOUSE OR THIS WOULD BE A FALL.
OR LET'S PUT THIS ON IN THE WINTER.
DO THINK ABOUT THOSE THINGS? ONE THING WE THINK ABOUT A LOT IS WATERFRONT HOMES.
THOSE HIGHER LUXURY HOMES THAT MAY BE NEED A LITTLE BIT OF WORK OR SOMETHING A BUYER WANTS TO COME IN AND MAKE THEIR OWN, IF THE SELLER IS ABLE TO SELL IN THE WINTER, BIO -- BUYER IS ABLE TO BUY IN THE WINTER, THEY HAVE THAT FOUR TO SIX MONTH.
TO DO THE RENOVATION.
THEY ARE IN THERE TO ENJOY THE WARMER MONTHS.
THE WATERFRONT HOMES, ESPECIALLY.
BEING ABLE TO SELL THEM IN THE WINTER IS MUCH MORE APPEALING FOR A BUYER.
A LOT OF THE BUYERS THAT ARE LOOKING IN THE COLDER MONTHS, THEY ARE MUCH MORE SERIOUS.
CHAD: -- OLIVER: ANOTHER THING I'M CURIOUS ABOUT IS MY EXPERIENCE IN LOOKING AT HOUSES HAS BEEN IT HAS GONE FROM THE PAPER AND FROM CIRCULAR.
I CAN'T EVEN READ ANYMORE.
I CLEARLY NEED GLASSES.
MY WIFE WOULD BE THE FIRST ONE TO TELL ME THAT.
I DON'T EVEN THINK ABOUT PRINT PUBLICATIONS ANYMORE.
IT IS ABOUT GOING ONLINE.
HOW IMPORTANT HAS THE ABILITY TO PUT YOUR HOUSE ONLINE IN A GOOD LIGHT BECOME IN SELLING A PROPERTY? CHAD: THE DAYS OF NEWSPAPER MARKETING ARE OVER.
YOU ARE NOT GOING TO GET OFF A NEWSPAPER AND GO FIND A HOUSE.
SELLERS LOVE TO SEE THEIR HOME AND THOSE THINGS, BUT BUYERS ARE NOT LOOKING AT THOSE.
I AM LOOKING AT HOME AND A NEIGHBORHOOD COME I AM DRIVING THROUGH, I MIGHT JUST HAVE TO GO ON MY PHONE AND CHECK IT.
IF YOUR ONLINE, THAT IS WHAT DRIVES THE BUYERS THE CIRCLE HOMES.
STRONG WEB PLACEMENT.
IS YOUR AVERAGE BUYER DRIVING DOWN THE STREET GOING TO THE MAJOR SEARCH ENGINE? I WON'T USE THOSE NAMES BECAUSE WHEN WE READ THOSE COMPANIES LARGE CHECKS TO MAKE SURE OUR LISTING IS OVER THE TOP.
FROM AN ONLINE PERSPECTIVE IT IS A BIG DIFFERENTIAL BECAUSE ON THOSE BIG SITES, WHO IS GOING TO SEE IT? A FOR SALE SIGN ON THE END OF YOUR CUL-DE-SAC, WHOSE DRIVING BY THAT SIGN? TO ECHO WHAT YOU JUST SAID, I THINK ABOUT -- AND I AM CONTINUALLY LOOKING FOR REAL ESTATE, MY WIFE AND I THINK ABOUT DOWNSIZING.
WE WANT TO BE AWARE OF WHAT IS FOR SALE.
WE GO TO OUR I LIVING.
I SEE THE WEBSITE.
I GO TO OUR I LIVING.
I PUT IN MY PLACE RANGE AND I SCROLL THROUGH.
IF THAT HOUSE IS NOT LISTED IT IS NOT GOING TO SHOW UP.
I'M NOT EVEN GOING TO KNOW.
IF I DROVE BY AND SAW THE SIGN IN THE FRONT YARD I WOULD NOT BE AWARE OF IT.
CHAD: AS A CONSUMER SIDE OF MLS.
A GREAT SITE TO USE.
EVERYTHING IS REAL-TIME INFORMATION.
OLIVER: SO, AND, I THINK ABOUT HOW IMPORTANT THIS PICTURES, THE DETAILED DESCRIPTION, THE MERE FACT THAT IT APPEARS THERE, IF IT DID NOT APPEAR THERE, IT DOES NOT SHOW UP ON MY RADAR.
ONCE YOU GET, THIS IS WHERE THINGS GET SCARY FOR ME.
ONCE YOU GET A BUYER, YOU ARE THE SELLER, AND ONCE YOU GET A BUYER, HOW IMPORTANT IS THE ROLE OF NEGOTIATING THE SALE OF THE REAL ESTATE? BECAUSE, YOU KNOW, IF YOU HAVE A GREAT PROPERTY, YOU COULD GET LUCKY, RIGHT, YOU COULD FIND A BUYER, THAT, SORT OF, THAT IS THE END OF THE BEGINNING.
HOW IMPORTANT IS HAVING EXPERIENCE IN REAL ESTATE NEGOTIATION TO GET THE DEAL CLOSED FAIRLY LEGALLY, IN EVERY RESPECT? IT IS HUGE.
IT IS THE BIGGEST PART.
MAKE SURE YOU'RE ABLE TO MAXIMIZE ON YOUR INVESTMENT.
A LOT OF SELLERS MAY HAVE SOLD 1, 2, 3, FOUR HOMES IN THEIR LIFETIME, MAYBE WITH A REALTOR, MAYBE WITHOUT, THE BIGGEST THING TO KEEP IN MIND IS THAT YOU MIGHT BE GIVING AWAY VALUABLE INFORMATION WITHOUT REALIZING.
THE BIGGEST QUESTION THAT I ASK WHEN I'M LOOKING AT A FOR SALE BY OWNER, I TRIED TO BE A LITTLE BIT DISCREET.
I MAKE SURE THAT I AM ASKING , HYPOTHETICALLY, MY BUYER WANTS TO PUT AN OFFER IN.
?WITH THAT BE STRONG THEY SAY I THINK WE'RE GIVEN A GOOD CONSIDERATION.
THAT SOUNDS PRETTY GOOD.
I JUST CUT YOUR PRICE DOWN 45000 AND ONE QUESTION.
MY TOP OFFER IS GOING TO BE 375, I'M NOT GOING ANYWHERE CLOSE TO 400.
LOTS OF VALUABLE INFORMATION.
A LOT OF INFORMATION COULD BE GIVEN FREELY WITHOUT REALIZING.
THE OTHER THING THAT WORRIES ME, WE TALKED ABOUT THE GETTING THINGS DONE LEGALLY OF, ONE OF THE EXPERIENCES -- ONE OF THE THINGS, NOT EXPERIENCES, THE THINGS I NOTICED WITH MY AGENT WHEN WE LOOK AT PROPERTIES IS ONE OF THE FIRST THINGS SHE TAKES A LOOK AT IS THE DISCLOSURES.
I DON'T EVEN THINK ABOUT IT.
SHE WILL BE FLIPPING THROUGH THEM.
SHE HAS TOLD ME SOME HORROR STORIES ABOUT PROBLEMS WITH DISCLOSURES.
HOW IMPORTANT ARE THE DISCLOSURES FOR THE BUYER AND SELLER? HOW CAN YOU GET IN TROUBLE IF YOU DON'T KNOW WHAT YOU'RE DOING WITH THE LIST? THERE IS A COUPLE OF DIFFERENT DISCLOSURES.
78 IS THE DAY.
EVEN NORTH OF THE, NEW CONSTRUCTION, EVERYTHING REQUIRES DISCLOSURES.
EVEN IF YOU HAVE NOT -- NO KNOWLEDGE YOU JUST CHECK NO KNOWLEDGE.
IF YOU PUT SOMETHING AS A SELLER ON YOUR DISCLOSURE FORM, IF YOU KNOW SOMETHING IS WRONG, YOU NEED TO TELL THE BUYER.
THE VEHICLE TO DELIVER THAT INFORMATION.
OLIVER: YOU ARE OBLIGATED, YOU HAVE A LEGAL OBLIGATION.
YOU CAN'T ESCAPE YOUR MOUTH SHUT ABOUT IT.
YOU HAVE TO REVEAL THOSE THINGS.
CHAD: AS A SELLER YOU KNOW WHERE TO FIND THOSE DOCUMENTS.
YOU KNOW THEY ARE REQUIRED.
SOME PEOPLE DO.
MOST DON'T KNOW WHAT I'M TALKING ABOUT.
OLIVER: HOW IMPORTANT TO DO YOU FIND IS KNOWING THE AGENT THAT YOU ARE DEALING WITH? WHEN YOU ARE LOOKING AT A HOUSE OR NEGOTIATING A DEAL.
CHAD: DRIVING ON THE WAY HERE TO SEE YOU ONE OF THE AGENTS I DO TONS OF DEALS WITH CALLED AND ASKED ABOUT A HOUSE -- HOUSE THAT WE HAD TAKEN OFF THE MARKET.
JUST WANTED TO HAVE AN HONEST CONVERSATION.
HE IS A GOOD AGENT.
IF HE IS GOING TO HAVE A GOOD AGENT THAN HE IS A GUY OUT OF THE TIME AND HAVE A CONVERSATION WITH.
HE WILL PRODUCE A READY, WILLING, AND ABLE BUYER.
OLIVER: WE HAVE FAILED TO COVER EVERYTHING WE WANT TO COVER.
WE DEFINITELY REVEALED A LOT MORE ISSUES THAT CAN COME UP WITH FOR SALE BY OWNER.
I DON'T THINK ANYBODY SAYS DEFINITELY DON'T DO IT.
WE HAVE TO CONSIDER A LOT OF THINGS THAT MAYBE PEOPLE ARE NOT AWARE OF.
GLAD YOU ARE HERE TO TALK WITH US ABOUT THAT.
UP NEXT, SHIFTING GEARS TO TALK ABOUT LONG-TERM -- STAY WITH US.
OLIVER: THE FUTURE OF LONG-TERM CARE INSURANCE MARKET, IF YOU'RE IN RETIREMENT THIS IS THE TYPE OF COVERAGE YOU HAVE CONSIDERED WHETHER OR NOT YOU HAVE ACTUALLY TAKEN IT OUT OR NOT.
ONE TERM CARE INSURANCE MARKET ENTROPY RELATIONS.
OF TRIALS I WANT TO TALK ABOUT SOME OF THAT.
THIS SUMMER, POLITEST WRITER OF LTC POLICIES IN THE COUNTRY, RECEIVED AN APPROVAL FROM REGULAT DIFFERENT STATES TO RAISE PREMIUMS.
IT IS IMPAS IT IS A TERM THAT -- IT IS NOT LIKE TERM LIFE INSURANCE WITH -- ARE GUARANTEED.
LONGTIME INTEREST RATES CAN GO UP IF THE REGULATORS IN YOUR STATE APPROVE THE INCREASE.
KIND OF LIKE UTILITY BILLS LIKE GAS OR ELECTRIC.
JEN WERTH HAS RAISED PREMIUMS IN EACH OF THE LAST TWO YEA THEY CLAIM TO HAVE LOST NEARLY $3 BILLION ON THEIR OLDER LONG-TERM CARE INSURANCE POLICIES FOR WHICH THEY ARE RAISING THESE PREMIUMS.
THEY SAY WE HAVE TO RAISE THESE PREMIUMS ON OUR INSURANCE.
JOHN HANCOCK, ANOTHER LONG TERM INSURANCE CARE STOP WRITING POLICIES ENTIRELY LAST YE& PRUDENTIAL, ANOTHER GIANT COMPANY LEFT THE MARKET ALTOGETHER IN 2012.
THE NUMBER OF CARRIERS THAT ARE WRITING THIS COVERAGE IS SHANKING RAPIDLY.
AND THE COST OF THIS COVERAGE IS GOING UP QUICKLY.
WHAT IS GOING ON WITH LONG-TERM CARE INSURANCE? LET'S TAKE A LOOK QUICKLY AT EACH OF THESE ISSUES.
THE FIRST THING IS LOW INTEREST RATE ENVIRONMENT.
INSURANCE COMPANIES MAKE THEIR MONEY ON FLOW, NOT ON BANKS OR DO YOU PAY.
-- PREMIUMS A GOES INTO THEIR GENERAL FUND.
WHAT THEY WILL PROFIT ON IS THE DIFFERENCE BETWEEN WHAT THEY PUT IN AND WHAT THEY PAY OUT.
AND THEY TACK ON THE INTEREST.
IN A LOW INTEREST RATE ENVIRONMENT, THEY ARE NOT MAKING AS MUCH MONEY.
NUMBER TWO, POLICYHOLDERS ARE LIVING LONGER.
THIS IS A BIG CHALLENGE FROM LONGER INSURANCE COMPANY COVERAGE.
PEOPLE ARE LIVING LONGER, THEY ARE MORE LIKELY TO DEMAND LONG-TERM CARE SERVICES.
OR REQUIRE LONG-TERM CARE SERVICES.
WHEN THEY DO REQUIRE THE SERVICES, THEY REQUIRE THEM FOR A LONGER TIME.
FINALLY, POOR ACTUARIAL DATA.
LET'S TALK ABOUT THIS ONE.
LONG-TE CARE INSURANCE MARKET IS RELATIVELY IMMATURE MARKET WHEN COMPARED TO AUTO, HOMEOWNERS INSURANCE, OR CERTAINLY, LIFE INSURANCE.
IT LACKS THE ACTUARIAL DATA THAT INSURANCE COMPANIES DEPEND ON TO ACCURATELY PRICE THESE POLICIES.
PRODUCTS WERE FIRST DEVELOPED, I'M GOING TO SAY THAT WAS ESSENTIALLY IN THE 1970'S WHEN THE MODERN LONG-TERM CARE INSURANCE CAME OUT.
SOMEBODY MAY WANT TO CORRECT ME ON THAT.
INSURANCE COMPANIES DID NOT HAVE GREAT INFORMATION ON HOW MANY PEOPLE ARE GOING TO REQUIRE COVERAGE.
HOW EXPENSIVE WAS THAT COVERED GOING TO BE.
HOW LONG WERE THEY GOING TO BE A NURSING HOME.
ALL OF THOSE THINGS.
THEY BASICALLY HAD TO MAKE GUESSES.
INSURANCE COMPANIES TO MAKE GUESSES.
THEY LIKE TO KNOW EXACTLY WHAT THE DATA WILL TELL THEM.
ON THE INSURANCE THEY HAVE VERY GOOD INFORMATION ABOUT MORTALITY RATES.
LONG-TERM CARE INSURANCE, THE DON'T HAVE NEARLY AS GOOD INFORMATION.
WHAT DOES THIS MEAN FOR RETIREES WHO ARE FACING LONG-TERM CARE NO CARRIERRINGRINGCONNECT 19200+++6 C13 EXTENDED STAY IN A NURSING HOME? YOU HAVE A FEW CHOICES.
IF YOU HAVE LONG-TERM CARE INSURANCE YOU CAN ACCEPT GREAT CHANGE IT -- THE -- RATE CHANCES.
YOU CAN LOOK AT ADJUSTING COVERAGES, DROPPING COVERAGES, THIS IS SOMETHING I SEE MY CLIENTS FACING PRICKLY.
THEY PURCHASE LONG-TERM CARE INSURANCE SEVERAL YEARS AGO, NOW THEY'RE HAVING TO GO BACK AND VISIT IT.
YOU CAN SKIP BUYING LONG-TERM CARE INSURANCE ALTOGETHER.
I AM NOT RECOMMENDING IT NEARLY AS OFTEN AS I USED TO.
VERILY -- VERY LIMITED SCENARIOS WHERE I'M RECOMMENDING TRADITIONAL LONG-TERM CARE.
A FINAL RECOMMENDATION, THIS MAY BE THE THING THAT HAPPENS GOING FORWARD, HYBRID LIFE INSURANCE LONG-TERM CARE POLICIES.
THE JURY IS STILL OUT ON THOSE.
A LOT OF TURMOIL IN THE INDUSTRY.
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THAT IS IT FOR TODAY'S SHOW.
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