My New Blog

Sam Orlando,

Broker Owner,

First Texas Realty

Understanding property appreciation in Rosenberg

Over time, the value of a piece of real estate will go up and down. Over a long enough period of time, home values usually go up. But, in real estate there are no guarantees.

When your house appreciates you have more equity to borrow against, and you'll generate a greater profit when you sell. Property values in Rosenberg fluctuate for different reasons, so how will you know what you're investing in right now won't depreciate the day after you close? The most important aspect to consider is that you choose a REALTOR^® in Rosenberg who is familiar with the factors that drive local prices.

Find My Home's Value

The economy is assumed to be the most important factor impacting real estate appreciation. Obviously, mortgage rates, unemployment, job growth, government programs and many other national determinants have a definite adjust your home's value. But the most important things that figure your house's value depend on the local Rosenberg economy and housing market.

Access to services - Convenient access to schools, employment and amenities like shopping, restaurants and entertainment is important to many families and will greatly influence home values. So when it comes to holding their value, these regions often appreciate the best.

Recent home sales - You should receive statistics on the recent real estate sales in the regions that you'd like to live in from your agent. You'll need to analyze figures like how long a house stays on the market and seller discounts.

History of appreciation - In the past 5 to 10 years, have house prices risen or declined? Does location or affordability affect how desirable the community is thought to be?

The local economy - Are local businesses hiring? Have businesses moved into or away from an area? Is there a good combination of job types in an area, or does it depend on just one industry? Is the blend of commercial and residential development changing? These items play a role.

	Knowing the factors that affect your home's market price is important. Click here to receive an evaluation of your house's value. Please call me at 281-344-0007 or e-mail me with any questions.

Sam Orlando

Broker/Owner

First Texas Realty

4 Ways to Tell if You’re Getting a Good Deal – on Your Home!

Buying or selling a home is many times your biggest purchase ever, but unlike many smaller purchases, making an offer on a home can feel very intimedating with out good information.  And selling's no easier - with the market being the way it is, do I take any offer you can get?  It's difficult to know whether you're leaving money on the table when you do finally sign on the dotted line.

Buyer's remorse often arises as soon as you get the contract back with the seller's signature on it - that desperate hope that your offer will be accepted instantly plummets into an "oh no - they took it - I must have offered too much!  I'll bet I could have gotten it for $X thousand less!"  If you've experienced this, rest assured that the same evening, the sellers were feeling the same thing: "Oh no, if I'd held out, I bet I could have gotten more!"

The best way to manage the emotional freak-out of both buyer's and seller's remorse is with information;  here's how to know whether or not you're getting a good deal when you buy or sell your home.

1.  Know what 'good deal' means TO YOU:  Is a good deal getting the home of your dreams, over multiple offers, at a price you can afford? Is it buying a home for 30% less than its current owner paid for it?  Is it getting a bargain, meaning you get a discount off what the home is worth on the open market?  That's what people call having instant equity, and is possible when the seller's situation, the property's condition, your shrewd negotiating skills or your exceptionally good looks (!) enable you to get a home for a price lower than the price similar properties in the area are selling for or lower than it appraises for (the latter of these is less frequent, as many appraisers simply do not make a practice of appraising homes for much more than the purchase price agreed to by the buyer and seller in the transaction.  Oh, and btw, you won't know what it appraises for until you agree to a price and get into contract!)

If you're selling your home, know what your own top priority is - is it to move your home quickly, so you can buy at today's bargain basement prices and interest rates?  Is it to get every single dollar you can out of the house?  Is it just to divest of the home and get closure as soon as possible, because you're struggling to keep up with the payments? 

What is a great deal to one buyer or seller may not be to another, because real estate is about life - and whether YOUR real estate outcomes are good or bad is about YOUR life!  So, the first step to knowing whether you're getting a good deal is to know what your own personal priorities for the transaction are.

2. Do the math - compare "your" price to other benchmarks.  The price you agree to pay or accept for a home is meaningless in a vacuum; to understand whether it's a "good" price, you've got to compare it with a few pricing  benchmarks. 

The most important of these benchmarks is also the most difficult to get a handle on: the market value of the home.  The definition of 'market value' is the price a qualified buyer is willing to pay for the property in an arms-length, open-market transaction; the best way to estimate market value is to look at what similar homes in the area have recently sold for. (The more similar, the more nearby and the more recent - the better.)  To compare the price you've negotiated with the fair market value of the home, check out recently sold, similar homes on Trulia. 

Also, ask your real estate broker or agent for what's called a Comparative Market Analysis on the home you're making an offer on (if you're a buyer), or an updated CMA using recent neighborhood sales (if you're a seller).  If you're buying, the ideal situation is for your negotiated purchase price to be at or below the home's value as indiciated by the comparables and the CMA; if you're a seller, your goal is to receive a price at or above the market value.  (To be sure, if you're a seller on today's market, it's an equally worthy goal to get your home sold - at all! - in many markets.  So don't get hung up if you're not getting right around - or even slightly below - what you think your home is worth.)

Many buyers try to compare the end price of their home to (a) the list price, or (b) the price per square foot.  Comparing your negotiated price to the list price is interesting, but a big gap could indicate a number of things:  you could be getting a great deal, you (or your agent) could be a great negotiator, or the seller could be very unrealistic or motivated. Same on the seller's side - an over-asking price usually indicates an aggressively low list price and multiple offers from buyers.  If the list price is wildly different from the market value of the home, the list price-to-sale price gap may have nothing to do with getting a good deal, on either side. 

Price-per-square-foot can be overly sensitive when you look at it on homes that are much smaller than larger than the homes to which you are comparing it.   A home could be 20 percent smaller than neighboring homes, but that doesn't mean it will - or should - be worth 20 percent less; it's still in the same neighborhood and may be in better condition.  Unless you're comparing very similar homes that are in very similar condition, price-per-square-foot can provide a misleading picture of a home's value.

3. Factor in the specifics of your situation: seasonality, market dynamics, affordability and the competition.  If you’re buying a home in Wisconsin in the winter, buyers should expect to get a better “deal” than in the summertime.  When market dynamics indicate prices are trending upward in your neighborhood, what seems like an ‘okay’ deal based on yesterday’s prices may actually be even better than you thought - search Trulia’s Stats and Trends pages for your area for up-to-the-minute price trends in your neighborhood, or even zip code!

If you’re buying a home at a trough in prices for the last five years, with a 4.5 percent loan, that home will be much more affordable to you than it would have been in another time. If you’re a seller of a home where every other home on your block is for sale, and half of them are dirt-cheap foreclosures, that should cause you to upgrade your opinion of a slightly-below-asking offer! Buyers: if you best a dozen other offers, even an above-asking sale price can be a great price, assuming the home appraises at the purchase price and you can afford it!

4. Don't forget any extra "bang" you're getting for your buck.  Buyers: if the seller is paying some or all of your closing costs, HOA dues, throwing in extra furniture/appliances, or otherwise sweetening the pot, keep that in mind.  Sellers:  if the buyer has agreed to a fast or slow close, at your request, or even came up a few thousand on their offer price to empower you to pay all your mortgages and liens off, don't forget that, either.

Which home improvements give the best payback?

If you’re thinking about remodeling your kitchen, or finishing your basement, you probably want to get your investment back when you sell your home. But when it comes to payback value of home improvements, some are definitely more profitable than others. As a general rule, kitchen and bathroom projects usually get a nice return on investment, typically 90% or more.Things like adding rooms or finishing basements tend to pay back the least.Finishing a basement usually returns less than 50%, so it’s not a project likely to show profit at selling time.

There are a number of factors that go into determining how well a project will pay back. Payback value depends a lot on the current market conditions in your area. If the market is hot and homes are selling fast, you can expect a higher payback value than you would get in a slow market.

The type of project you do and how it fits in with other homes in the area can have a big influence on payback too. If you put your money into the wrong type of improvement, you won’t get your money back. But if you're smart about what you do, you can make money. The payback will be better on improvements that are in demand and conform to neighborhood standards. Adding a second bathroom in a neighborhood where most homes have two bathrooms will give a high return on investment. Building a large addition that makes your home twice as big as the other homes on the block probably won’t pay back very well. Likewise, the popularity of a project will factor into how much it pays back. An improvement heavily customized to your wants and needs won’t pay back as well as something more common to other homes in the neighborhood.

Another factor to consider is the cost of the improvements. If you can do the work yourself, you can save significantly on the cost of the project and greatly improve the chances of getting a good return on the investment.

The list below is compiled from several published surveys and shows typical payback for some popular remodeling projects:

• Kitchen remodeling – 90%
• Add a bathroom – 90%
• Bathroom remodeling – 80%
• Install central heating – 90%
• Install central air – 75%
• Add a deck – 70%
• Replace windows – 70%
• Add a room – 55%
• Build a pool – 45%
• Finish a basement – 40%

A Great Time To Buy

by Sam Orlando

I know the economy is sort of just sputtering along and I know that there are many unknowns and uncertainties in the job market. But one thing is certain, you will have to lay your weary head somewhere and it is always better to lay it on something you own than something you don't.

It is so much better to own, because you can know just what your payments will be until your home is paid for, and when you finish paying for it, it is yours, and no more payments. When you rent, you really do not have any control. If your landlord decides to raise your rent, you can do nothing about it but move. Landlord means just what it says, the lord over your land.

It is a great time to buy because there are some great buys out there, and some with great financing options. Some offer financing with as little as $100 down payment. Home prices in some area's are selling for up to one half of what they were a few years ago. The interest rates are at record lows.

What a Great Time To Buy!!!

If you have a good job and have decent credit....what are you waiting for?

Stop throwing all your good hard earned money on rent when you know that you have to have a place to live. When you buy, you are not only buying stability, but you are also making an investment. Real Estate is a great investment.

If you are an investor, what a great opportunity for you. The time to buy is now, with great prices and rates. Real Estate is a great investment. Dont' wait until the market is up, it will then be too late to get that great deal.

We can make it real easy for you. Sign up for our FREE "Auto-Notification System, that will email you homes, including FORECLOSURES in any area and price range that you choose.  The report includes pictures and directions, and a host of additional information in them. Sign up today so you don't miss that great deal.

Sam Orlando

First Texas Realty

281-222-1005

Creative Financing

Financial Issues

Alternative financing such as seller financing is a great option for a seller if they are in a position to do so. It can mean a higher interest rate return than they might get if the money were in the bank. A good down payment would make it less of a risk.

Sam Orlando

First Texas Realty

www.FTXR.com    

Most agents make it a point to tell you that they're the smartest real estate professional ever. But where is all of the info to back it up? I would rather give you all the information you need to make an informed decision when it comes to buying or selling your home. I love working with informed clients. I find that our transactions go much more smoothly when we all understand the process and we're all on the same page. Here are just a few things that I wanted you to know about real estate. Did you know that one of the major reasons homes don't sell is because potential buyers can't see themselves in the home? Try staging your home to be as generic as possible. Did you know that a 5% down payment is not always a requirement for a home mortgage? There are numerous loan programs that allow buyers to get a loan for less that 5% Did you know that when selling a home, some closing costs can be negotiated as part of the contract? That all of the interest you pay toward your home mortgage is tax deductible? Not all home improvements add value to your home. In fact, some "improvements" actually detract from the overall value of the property. Improvements that pay Most lenders require a title insurance policy on the property? Lenders require this to protect their investment in your loan. These are all very basic real estate facts. If you are interested in learning more about real estate or if you are thinking of buying or selling a property, feel free to contact me. I'd love to help you with your next transaction. Sincerely, Sam Orlando First Texas Realty 2202 AVE I Rosenberg, TX 77471 (281) 344-0007 (281) 222-1005 sam@ftrealty.net www.ftrealty.net

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Real Estate a Real Investment

Another year another opportunity.

Many people look to the future with a pessimistic view, especially in view of all the up and down economic news, but I like to look at it as opportunity. Many people look at the real estate market as being a down market, which it is, but it also opens doors of opportunity.

As a home buyer or investor, it is a great time, because there are some great buys out there. As a seller, it is not the best of times, but if you prepare your home properly, you should have no problem selling your home. You may say, how can I compete with all the foreclosures? I would say no problem, you just have to out smart them. What I mean is most foreclosures are sold "as is", and many people do not want to buy a home as is. They do not have the time to deal with repairs.

I recently took a listing in an area that had quit a few foreclosures. I was not so sure exactly what the outcome would be, but I went over the house with the sellers. We went over what they needed to do to get their home in top shape. They did the things that I suggested, and it sold in one week. Even though there were foreclosures all around the neighborhood, it sold at full price within 7 days and closed with in two weeks. Knowing what to do and what not to do when selling your home is very critical. You can spend a lot of money on fixing up your home, but if it is spent on the wrong things, you have wasted a lot of time and money. I do not want to pull my own chain, but by having a Real Estate professional that has the right eye for what needs to be done, can save you much more than the real estate commission you will pay, and save you a lot of frustration.

For buyers it is a wonderful time because the prices are very good right now. There are many buyer incentives such as the $8,000 first time buyer tax rebate, the $6500 move up rebate, and a lot of good deals out there, especially if you can do some handyman repairs.

For some one that is renting, what is the question??? Either pay your landlords mortgage, and in the end, end up with nothing, or use that same money to be making an investment into your own future.

What a great time to invest in real estate, and what better investment than real estate. It is a real tangible asset that will not dissipate into thin air like your money in the stock market. If the market goes up or down, you still have your home or property. I do practice what I preach, I have always had my investments in real estate, from rental property to land. I have found it to be a great way to invest my money.

We all have the tendency to look at the glass either have full or half empty. I choose to look at it half full. It is a great time to invest in real estate.

Sign up today on our "Auto Notification System", that will automatically email you properties as soon as they hit the market FREE of charge, any price or area. Or give me a call to help you determine what you need and do not need to do to sell your home.

Sam Orlando

281-222-1005

Staging Your Home Checklist

Remove all clutter from the house. Are countertops free and clear? Have you removed unnecessary furniture throughout the house? Remove the art gallery and coupon collection from the refrigerator.

Check the bathrooms. Are the surfaces clean and clear? Are shower curtains and doors hung properly? Is the flooring clean and fresh? Are towels neatly hung?

Check the walls. Is paint and wallpaper fresh and clean? Are the walls free from holes? Are there any colors or objects on the walls that need to be removed?

Check the floors. Is the carpet clean and free from stains? Are hard surface floors clean and free from stains?

Check windows and window coverings. Are all the windows clean? Are draperies and blinds clean?

Pet check. Are there any signs that this is a pet's home? Be sure to clean and remove kitty litter, pet toys and bedding.

How's the aroma? Try to air out the home prior to showings. If air freshener is necessary, use well before showings as a consideration to those with allergies.

Set the mood prior to showings. Open draperies and blinds. Turn on the radio to a classical music station, set the volume on low. If you have time, cook a batch of cookies to have the warm, welcoming aroma permeating the home.

If you are intersted in selling your home give me a call for a free no obligation Market Analysis  of your home or property.

Sam Orlando

Broker/Owner

First Texas Realty

http://www.ftrealty.net/listyourhome

The HOI showed that 72.3% of all new and existing homes sold in the second quarter of 2009 were affordable to families earning the national median income of $64,000, down only slightly from the record-high 72.5% during the previous quarter and up from 55.0% during the second quarter of 2008.

Many people wanting to buy a home, wait for various reasons and miss the opportunity at hand. During the 1980's in the Houston area, the prices had dropped significantly and many took advantage of the situation, but many let fear of the market scare them into not doing anything and they missed a great opportunity. Unless you are living under a bridge, you will need a place to live, and either you will pay someone else mortgage through rent, or you can be making an investment of your own, in a home.

Don't miss out on a great opportunity to get a great deal on a home.

Sam Orlando

Broker/Owner, First Texas Realty

www.FTXR.com

For a FREE List of Foreclosures:   www.huddeals4u.com