Tracy Real Estate Podcast with Ron and Eva Cedillo

Four things you can do to ensure you get top dollar from your home sale. In this spring market, we've been hearing the same question from everybody we've talked to: “How can I get top dollar for my house?” Here are some things you can do to ensure you get the most value out of your home sale: 1. Make sure your house is marketable. The photos need to look good, and it has to be move-in ready. Buyers coming to the market right now want to move in immediately, and they're willing to pay more for the house to be move-in ready. 2. Preparation consultation. We can come by and create a list of the things that need to be done to your house to get it ready to sell. For example, a fresh coat of paint is a great, inexpensive upgrade. 3. Staging. We also offer staging as part of our services, which will make sure the house looks presentable and attractive. 4. Photography. iPhones cameras are good but nowhere near as nice as a professional photographer's photos. Hiring a professional photographer to show your house in its best light will attract better buyers with better offers. If you have any questions, reach out to us by phone or email. We look forward to hearing from you.

Bridge loans are another option available to buyers who need to sell. Most Realtors only have the option to buy a home or sell a home. We're always looking for new and creative options because our clients are complicated and have unique situations with different needs. To accommodate this, we're adding options like bridge loans, which help fill an increasingly common need in today's market. This week, we had two calls from potential buyers who wanted to make an offer on a property but hadn't yet listed their current homes for sale. Because inventory is so tight, they're probably not going to get accepted with a contingent offer. However, if we list their house before they find another property, they're going to end up with nowhere to go unless a rent-back is negotiated. A bridge loan is the best way to navigate this situation. With a bridge loan, you can buy a new home while you still own your current one. You're basically bridging the loans between the two. There is a cost to it, but the majority of the time, you'll net more money at the end of the process because you won't have to offer extra money to make up for your contingent offer. “With a bridge loan, you can buy a new home while you still own your current one.” We want to make sure that you have all options available to help you reach your goals, so we partnered with a couple of different banks that offer these programs. We've utilized these banks in the past, and our clients have been very happy. If you have any questions, don't hesitate to reach out to us by phone or email. We look forward to hearing from you.

We have 20 copies of Dave Ramsey's latest book to give away! Today we have a special gift for you. We've secured 20 books from Dave Ramsey!  We've been ELPs (endorsed local providers) for 14 years with the Ramsey Solutions Group, and we love them. We've helped many people who have gone through his program with buying, selling, and most importantly, getting control of their finances. It's been great to be trusted advisors to an array of families in different situations over the years.  “We'd love to give you one of Dave Ramsey's latest books.” We've helped people get out of debt, buy their first home, and eventually buy another home. That's been a personal success for us: getting the call years later that our buyers are ready to sell and either upsize or downsize. It's a pleasure to watch people take baby steps and eventually get to that level of financial freedom.  We have 20 books to give away that will help you take control of your finances. We highly suggest you listen to what Dave Ramsey says. He's helped both us and plenty of our clients.  Simply email ron@homebuyersrealty.com, and we'd love to either hand deliver or send you Dave Ramsey's latest book. Also, call or email us if you have any real estate questions or needs. We'd be glad to help you. 

Whatever they might be, let us help with your 2022 real estate goals. Hopefully you've had a happy 2022 so far! Today we're going to talk about 2022 real estate goals and why you should call us to assist with yours. First of all, it would be a pleasure to hear from you and discuss what you're looking to do with your real estate portfolio. If you're thinking of buying your first home, we would love to guide you through that process. You should know that conforming loan limits have increased, and interest rates are still very low. Given that, we would be blessed to help you take the next step. Whether your goal is to buy your first home, move out of state, downsize, or buy a rental property, we can utilize our expertise to help you achieve it. If you have any questions, please don't hesitate to give us a call. Let's sit down and have a discussion about your options.

The main reason why the real estate market is staying strong. Traditionally, we'd expect the market to slow down over the holidays, but it's still very active. Today we'll talk about why that is and what it means for you. The main reason why the market continues to be strong is that the conforming loan limits for Alameda, Contra Costa, San Joaquin, and Stanislaus counties have increased. This helps limit enormous loans and creates more opportunities at better interest rates. Instead of paying jumbo loans at a higher rate, you can get a conventional rate and qualify for more home with less money.  On top of that, homeownership is a great hedge against inflation. Money is cheap right now, so this is a great opportunity to get your foot in the door if you're a first-time homebuyer or if you're looking to build on your real estate portfolio. If you're curious about what's happening in the market, or if you have any other questions, we'd love to have a conversation with you. Just reach out to us via phone or email. We look forward to hearing from you! 

From our team to your family, we want to wish you a happy holiday season. Happy holidays to you! The holiday season has officially arrived. We hope you enjoy this wonderful time of year and make some fantastic memories. We wanted to take a moment to thank you for your continued support. We love helping people make their real estate dreams come true, so thank you for working with us and supporting our business. This may be a busy time of year, but we are always here to help you and answer any questions you may have. Give us a call or reply to this email; we'd love to help you.  In case we don't hear from you until 2022, have a happy New Year!

With inflation being so high, investing in real estate is a great idea. Have you seen gas prices lately? I practically have heart palpitations every time I fill my car tank with gas. Today we're going to talk about what's going on with inflation. Everything is getting more expensive, but there's always a silver lining. Lately, many people are taking their money out of the bank and putting it into hard assets, like real estate. We're also seeing this from institutional investors and hedge funds.  Money is currently cheap, so now is a great opportunity to create or expand a real estate portfolio. Follow wherever the money is going. Smart people have done their research, so follow what they're doing and invest on a scale that works for you and your family. If you have any questions, don't hesitate to reach out to us via phone or email. We look forward to hearing from you.

Probates are up, so here's how you can deal with and prevent them. Today we're going to be talking about an unexpected consequence of COVID: Probates are up. But first, what's probate, and why are they increasing? Probate is when a will has to be proved as a true document in court. Due to the pandemic, people's family members are passing away in unexpected circumstances, which is leaving a lot of properties in probate. If you're in this situation it's easy to feel stuck. “Probate is a complex topic, so you need to have the right people on your team.” Some of our clients have asked if their parent's will is enough. Sadly, California does not recognize the will if it isn't in a trust. This means you'd still have to go through the probate process, which is extremely expensive and time-consuming. This situation can even happen with spouses who pass away if the living spouse's name isn't on the deed. Most families just aren't prepared to deal with this. The best way to solve this situation is to avoid it in the first place. Review your family plan and deed of trust to try and prevent probate. If it's too late for that, you want to get a good attorney and a good accountant. Probate is a complex topic, so having the right people on your team will make the process a bit easier, saving you a ton of time and thousands of dollars. If you or someone you know is in this situation, please give us a call. We'd love to help guide you in the right direction. Again, if you don't have a living trust, we suggest you get one because probates are happening at an alarming rate.  

We are finally getting back to normal tenant and landlord practices. Today we'll discuss the tenant protection act. The tenant protection act was lifted on September 30th in California. During COVID, landlords could not give notices to tenants to move out except in extenuating circumstances. Now, if the lease is up, a tenant hasn't paid rent, or whatever the circumstances may be, we're back to normal landlord practices. If you're a landlord and you were thinking about selling to take advantage of today's values, you have the opportunity to do so. If you're a buyer, you can expect that there will be more properties coming on the market. If you're a tenant, understand that there is the possibility that if you're on a month-to-month lease, that the landlord can now give you a 60-day notice. Before you make any decisions, give us a call because what we're saying today could change within two weeks. If you have any questions, don't hesitate to reach out to us. We look forward to hearing from you.  

We are still in a seller's market, but it has become less crazy. Did you miss the market? We have talked with a lot of people who are worried that they're too late. The simple answer is no; you haven't missed the market. We're not getting 48 offers on a house over the weekend anymore; we're entering into a more normal market, but it still favors sellers quite a bit. Prices have not dropped by any stretch of the imagination, but homes just aren't selling for $100,000 above the list price. We're seeing a lot of buyer fatigue. They're discouraged from having to compete in multiple-offer situations, but it still is a good opportunity for any buyers out there. You won't get a discount on a home, but they will lock in our fantastic interest rates. For sellers, if you list your home right, have your house ready, and work with great Realtors, you will sell your home. You can still downsize or move out of state without sitting on the market for months; it's still a seller's market, just not the seller's market on steroids that we were in earlier this year. If you have any questions, please give us a call. We'd love to talk about our market in more detail.

Our free once-a-month program will help you invest in real estate. Are you passionate about investing in real estate? Are you trying to create wealth through real estate? Do you want your child to have options for college by using real estate to pay for it? If you want to begin using real estate to your advantage but don't know where to start, we'd love to help you at CentralValleyWealthBuilders.com.  We have a free program where we'll meet once a month as a group via Zoom and answer all your questions about how to invest in real estate. We'll go over contracts, finding tenants, flips, how to structure deals, how to sell a home, how to buy a home, and more. These are all things you want to know when investing in real estate. “If you want to use real estate to your advantage but don't know where to start, we have the solution.” One of my goals in life is to create 40 millionaires. The only question is, do you want to be one of them? If you're interested, we'd love to have you join us — just register at the link above.  We do this to help clients; we see gurus out there charging $25,000 to $40,000 for classes, and then they have all your money, and you have very little education on the topic. Save your money for your investment. We want to help you succeed at investing in real estate.  If you have questions about this program or real estate in general, call or email us. We'd love to be your real estate resource. 

We want to help you have a successful career in real estate. Have you ever wanted a career in real estate? Are you passionate about making money, being part of a team, and helping people fulfill their dreams and goals through real estate? If this sounds like something you're interested in, we'd love to have a conversation with you. Here's a link for you to fill out to help us assess you. If you don't have a license, we'll help you go through that process and succeed in real estate. Our goal is to make you successful by helping clients achieve their goals. We have a team that's been marketing for years. You've probably heard us on 102.3 on Sundays or seen our signs around town. We have a training program that will help you succeed in real estate without all the responsibility and stress of running a whole business by yourself. If you're interested, please fill out that linked form and reach out to us. We'd love to have a conversation with you.

Here's why your offer may not be getting accepted in the present market. The main question we keep getting asked by buyers is, “Why isn't my offer getting accepted?” I had a conversation with someone recently who wrote 33 offers for homes and still hasn't gotten one accepted. He did the things his real estate agent guided him to do, but he's still losing out on the houses he wants. “Don't stretch yourself so that your life becomes difficult after you buy a home.” In this hyper-seller's market, you need to have a conversation with your loan officer about where to start looking. For example, if you're pre-approved for $400,000, you may need to look for homes in the $370,000 range because homes are selling above list and appraisal price. Don't stretch yourself so that your life becomes difficult after you buy a home; you need to strategize with your agent about how to look for homes that won't break your budget. These conversations are crucial because buyers are getting fatigued and missing out on opportunities. There's a strategy to buying in this real estate market, so with the right Realtor and loan officer, you'll find the house that works for you and your family. With so many people going on vacations right now, more opportunities are opening up for buyers. Don't give up; you can get the home you desire. If you have any questions about buying in the current market or concerning real estate in general, call or email us. We would love to help you.

Don't let seller's market excitement make you overprice your home. Some sellers are looking at what nearby homes have sold for and are getting a bit ahead of themselves. If a neighbor sold for $78,000 over list price at $688,000, that doesn't mean you will be able to sell for $700,000. This ties back into buyer fatigue. This seller's market can become unreasonable for buyers at some point. Buyers who come to the table already know they need to offer above asking price to stand out. If you list for $700,000, they'll think you want $730,000. Oftentimes, this is going to be over what buyers are willing or able to pay, and you won't be able to sell. The rising days on market for houses shows that sellers are starting to overprice their homes. Sellers need to have an honest and authentic conversation with their Realtor about a competitive price they should start at. We want your house to sell for top dollar too, but that means it can't be priced so high that no one will buy it. If you have any questions, please feel free to reach out.

Here's why you can't simply accept the highest price you receive. Should you just take the offer with the highest price? We've touched on this before, but the market has gotten very complex. Inventory is low, money is coming in from South Bay, East Bay, and San Francisco, and we're seeing ridiculous offers.  You need to trust your real estate agent and ask them which offer is truly most likely to close with the offered terms and price. Some offers are simply too good to be true. We often receive multiple offers, and they may offer the moon, but, for example, one might say it's non-contingent except for due diligence. You don't want to get caught up in a situation where the agent has a loophole that lets them change the terms after the offer is accepted. “It's in your best interest to avoid renegotiation.” No one wants arbitration. We want someone who submits an offer and will fulfill what it says. That's when you speak to your Realtor about the other agent's reputation and whether they have a history of closing on time and with the terms they offered. It's in your best interest to avoid renegotiation because 15 to 20 days into the transaction, many are having to renegotiate quite a few of the terms.  There's a difference between price, terms, and who's truly going to close. So if you have any questions about this or real estate in general, call or email us. We would love to help you.

Here's what you need to know about using an escalation clause. What is an escalation clause? It's crucial to know how the escalation clause works and that the real estate agent on the other side of the deal knows as well. We've run into that a bit, where the other agent didn't quite understand. If it's not presented well, it can work against you. “If you're committing to an escalation clause, you need to show proof of funds.” An escalation clause is an agreement to pay a certain amount more than the highest offer the seller has received. When writing an offer for a home that's likely to receive multiple offers, you can write into the offer that you'll pay $1,000 over any other offer, for example. You can also add in a cap so that you aren't agreeing to pay way over your budget.  If you're committing to an escalation clause, you need to show proof of funds, and you're also committing to paying the appraisal gap. You're probably going to end up paying well over appraised value and market value for that home. An escalation clause is essentially used to secure a property at all costs, and we're seeing many of them in this market. However, an escalation clause does no good if other contingencies aren't removed because your offer still won't be the strongest, so keep that in mind. If you have questions about escalation clauses or any other real estate matter, call or email us. We would love to help you.

Here's what's causing so much buyer fatigue in our real estate market. Buyer fatigue is something we've touched on in the past, but we've been seeing it happen more and more in this market. Buyers are writing multiple offers on multiple properties, looking at as many houses as possible, and still not winning because the market is so competitive. Many are becoming discouraged. Buyer fatigue is so bad right now that it's actually affecting sellers. Some sellers are wanting to push the limit on their pricing, but it's working to their disadvantage.  Buyers are often overlooking these overpriced homes because they have no confidence that they will be able to afford them. They assume you're going to want significantly more than your asking price since that's how most home sales are going. Pricing right from the start at market value is the best way to get the most opportunities to sell for top dollar. “Many homebuyers are becoming discouraged.” Finding the right agent is key to avoiding buyer fatigue. You want someone who is known in the community and knows how to structure a deal.  If you have any questions for us about buying a home in this market or anything else related to real estate, don't hesitate to reach out via phone or email. We look forward to hearing from you soon.

Here's our advice for all the frustrated and tired landlords out there. We've been hearing from a lot of landlords who are struggling to find tenants and just fed up with a lot of the aspects of property management. Some landlords are dealing with a bit of disaster at the moment, so today we wanted to offer some advice as the owners of a property management company with over 300 houses. If your tenant has left your home in disaster and you don't want to put all that money back in to rent it out again, we'd love to have a conversation with you. We might be able to net you the same amount of cash that you're used to while also getting rid of all those headaches of being a landlord. Another big topic is tenant's rights. The eviction moratorium is supposed to come up in June. If it is allowed to expire, we want to make sure you're prepared and know what to do. If you have a tenant who hasn't been paying rent, we know of solutions that can help you get some of that money back. If you're a frustrated landlord or know someone who is, don't hesitate to reach out via phone or email. We'd love to offer our expert advice.

Here are the truths behind these four common market misconceptions. Here are the four most common misconceptions going around about our current hyper-seller’s market: 1. We have a lack of inventory because of the abundance of buyers. Part of why we’re lacking in inventory is because sellers are nervous about putting their homes on the market before they find a replacement property. The beauty of this market is that you can dictate those terms as a seller. We have been able to negotiate 30-day and 60-day rent-back agreements, often for free. This gives sellers extra time to find a replacement property. 2. A home’s condition is unimportant. Your home will sell quickly if you do absolutely nothing to it, but you won’t get top dollar. We like to go room to room with our clients to discover what can be done to the home to help it sell for the most money possible. “Selling your home on your own is very risky in this market.” 3. Accurate pricing doesn’t matter. Sellers want to get top dollar, but the broker has to have the right strategy on how to get there. Homes are regularly selling for over asking price right now. If a house is priced high from the start and buyers think they have to go above and beyond that price to buy it, they won’t even consider the home. We’re starting to see houses like that sit stagnant on the market. 4. MLS-only listings are FSBO. When you’re getting involved in a for sale by owner (FSBO) situation, there are a ton of steps that can be missed. Disclosures are important, and so is pricing. There is so much that goes into the job, and you should have trust with your broker that they’re guiding you to get top dollar. The one thing we really want to emphasize is that yes, you can sell a home pretty easily in this market, but selling for top dollar while being protected from any mishaps is something you’ll only get with a team like ours. If you have any questions for us or want to know more about what’s happening in the real estate market, don’t hesitate to reach out via phone or email. We look forward to hearing from you soon.

Don’t believe these real estate rumors ‘your friend’ might have told you about. Today we’ll dispel a few real estate rumors floating around out there that ‘your friend’ might have told you about. 1. “My friend said if I wanted to sell my home and I have tenants in it, I can just kick them out.” Actually, no you can’t. It’s illegal to kick tenants out of your property so you can sell it. California attorneys are salivating right now for the chance to hit you with a lawsuit if you do this. There’s a moratorium in place at the moment for evicting tenants, and you can’t give them notice. You can negotiate through this, but the way this rumor is being presented by ‘your friend’ will get you in trouble. 2. “My friend says that I can buy any foreclosure home because there are plenty of them.” Foreclosure homes aren’t available to anyone right now. Just like tenant evictions, a moratorium has been set for foreclosure declarations. Let’s be honest: The homes of most homeowners in distress are probably worth more than their loan amounts. “It’s illegal to kick tenants out of your property so you can sell it.” 3. “My friend said they sold their home for 1%.” There is no such thing as 1% for home sellers in terms of Realtor fees. When you sell your home, at the very least you have to pay the buyer’s agent’s commission, which is generally 2.5% in our area. A Realtor saying they can sell your home for just a 1% commission is a classic bait-and-switch, or a strategy for them to get you to commit so they can tack on fees later. Always work with a Realtor who’s authentic and upfront with their fees. The best way to keep ‘your friend’ as your friend is to let them talk, but if you want to know what’s really happening in the real estate market, give us a call. We’ll offer our expertise and make sure what they say is truth—not fiction. We look forward to hearing from you.

Don’t worry, we won’t leave you homeless! We can help you sell and buy. Selling a house while also trying to buy a new one is a huge topic in the real estate market right now: Homeowners want to sell, but they don’t want to be homeless! We receive calls from sellers who want to capitalize on this crazy market (extremely low inventory continues), but it’s currently quite tricky to find a replacement home. Our team has an array of strategies for selling your house that won’t leave you homeless.  We don’t want to bore you by explaining them all today; our goal is to have a conversation with you. We want to hear what’s crucial to you, and then we’ll devise the best strategy for your situation. For example, we work with multiple companies that will purchase your home, but you’ll still live in it while you search for your next house. That’s just one of our many strategies that can get you to your goals and dreams.  We want to work with you to ensure you get the most out of the market. If you have questions about selling in today’s market or any other real estate matter, please give us a call or send an email. We would love to speak with you.

Here’s a friendly piece of advice for today’s aggressive homebuyers. The way the market is today with high prices and appraisal issues, many buyers are increasing their good faith money deposits and making offers with no contingencies. When you do this as a homebuyer, you need to realize you are basically agreeing that no matter what, you’re going to buy the house. If you make an offer of $500,000 on a $415,000 house, you are required to make up that gap if it doesn’t appraise, or you will lose that good faith money.  The default period for inspection and appraisal contingencies is 17 days, and the loan contingency is about 21 days. In this market, we’re receiving a lot of non-contingent offers. When you’re competing against 33 other buyers as we did for a house in Tracy last weekend, the one thing we looked at was who had the largest good faith deposit and who had removed the appraisal contingency.  If you have questions for us about good faith money, contingencies, or anything else related to real estate, don’t hesitate to reach out via phone or email. We look forward to hearing from you soon. 

There are many low appraisals in our current market. This is how we deal with them. In our current market, the appraised value of a home not matching its offer price is pretty much a daily occurrence. We have limited inventory, which is causing bidding wars and offers over asking price to become the norm. The challenge that comes with this is that appraisals haven’t caught up with the market, so many are still coming in low. The problem is that appraisers aren’t looking at the pending or active homes for sale and making their estimations based on those prices, they’re just looking at the sold numbers. There really aren’t a lot of sold homes to compare because of this limited inventory. We recently listed a house in Manteca and had four offers on the same day. The issue was that when we listed the house at $405,000, we received a $450,000 FHA offer. If this was a viable offer, that would be great—but it wasn’t. There’s no way the house would appraise for $450,000, and since the buyer is buying FHA with just 3.5% down, we know they don’t have enough to make up the difference in the appraisal. Oftentimes when the appraisal comes in low, the expectation in this market is that the buyer makes up the difference in cash. “Don’t automatically take the highest offer.” If you’re a buyer in this market, it’s very important you and your Realtor discuss this prior to submitting the offer. You could lose your deposit, your dream house, and have a huge fiasco. You better have some backup if that’s what you’re going to do. If you’re a seller, you shouldn’t automatically take the highest offer. Look at the offers closely and make sure your agent is paying special attention to whether the buyer can cover any difference in the appraised value and the offer price. If you have any other questions about how to buy or sell in this market, don’t hesitate to reach out via phone or email. We’d be happy to answer any questions you may have.

Here’s why an influx of new construction buyers is great news for homeowners. Here we go again with the new construction lines around the block. Just this past weekend, we were bombarded with new construction buyers, but there’s a problem: There’s just not enough inventory to keep up with demand. We talked to one builder who released a bunch of homes recently and sold them within minutes. There’s such a demand for homes in our area that builders can’t build fast enough and buyers are trying to buy earlier and earlier in the process. From a seller’s perspective, this is a perfect opportunity. If you wanted to make a change, downsize, or just sell and move somewhere else, now’s the time to do so. The market needs an inventory, and buyers are willing to pay a premium for the right home. “You can capitalize on the market now with low inventory and interest rates.” On the flip side, interest rates are low if you are thinking about buying. If you can sell now and wait a bit to see if more inventory comes on the market, that might lead to a perfect combination of selling high and buying low. You can also capitalize on the market now with those historically low interest rates. If you have any questions about what’s going on in the market or your own situation, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.

Let us help you assess your options if you’ve been impacted by COVID. What happens when COVID-19 has affected you or someone you love and you begin to fall behind financially because of it? What options are available? Many of us are making it through these troubled times, but there are still a number of people who have had their job, friends, and family impacted by the pandemic. “You need someone on your side to look out for your best interests.” If that’s the case for you or someone you know, we’re offering to have a conversation with you about what options are available to you in this kind of market. We want to help you see the light at the end of the tunnel and put together a plan of action. Knowing is half the battle; remember that banks have attorneys working for them and they’re not going to show you every possibility. You need someone on your side to look out for your best interests. The longer you wait, the harder it becomes and the fewer options you have, so reach out to us as soon as possible so we can discuss what you can do in this market if you’ve been affected by COVID. We’re here to be an advocate for you.

Our time is limited, but we always carve out space for you. When we hear from clients who are worried about us being too busy to answer their questions or hesitant to bother us, here’s our emphatic response: We would always love to hear from you, no matter what. We’d love to answer your questions and help in any way we can. We do stay busy selling a lot of homes and consider ourselves blessed to be able to do so, but we can always make time to chat with you, talk about real estate, and help you reach your goals. Even if you don’t plan on making a move for a while, we can help you get started with what you can do now so you are prepared when the time comes. It’s one of our favorite things to do. If you have any questions for us, don’t ever hesitate to reach out. It’s our job to answer them, and we look forward to hearing from you soon.

Today we’re looking at what 2021 may bring to our market. What can we expect from our 2021 market? Like most real estate professionals in the market, we wish we had a solid answer to that question. However, we can say with some certainty that interest rates won’t be going up in the first quarter of the year. Ultimately, we don’t expect a ton of change at the beginning of the year. We’re still consistently bringing in buyers for our area, specifically the South Bay, East Bay, and San Francisco areas. However, we also still have a shortage of inventory, which means that if you’re a homeowner on the fence about selling, you should reach out to us so we can discuss your situation and why it would be beneficial for you to enter the market. We can customize a program just for you so that you know all the options that are available to you. Don’t hesitate to reach out to us! We’d love to help you move on to the next stage of your life.

A word on buying an ‘as is’ property. This question has been coming up quite a lot this week because buyers in our seller’s market are so anxious to have their offers on a property accepted. The term ‘as is’ is an important part of your negotiations and even after the fact when you’re in contract. A home that is sold ‘as is’ means the seller intends to sell the house without making repairs; the property will be sold in its current condition. If your agent tells you that a home is being sold as is, you do have the option to have inspections done. However, the seller should at least attach their disclosures and a pest/roof inspection for you to review. Even during an as-is sale, it’s important to have some kind of understanding about what kind of property you’re buying. It’d be a shame if you got so far into the contract only to find out that the home you were buying has a $10,000 roof issue. If you have any questions about buying a home in our current market, don’t hesitate to reach out to us. We’d love to help you.

A real estate financial checkup can prevent issues in your future. With your physical health, you want to do preventative care to ensure you don’t have an emergency later. It’s the same for your real estate financial health. In both instances, you should get ahead of any issues and take care of things. You need to know where you stand with your finances to prevent a disaster down the road. The people who are in the best financial state do preventative checkups. They speak to their financial advisor regularly and talk to their tax accountant before the end of the year so they know what will benefit them in the coming year. We want to help you with this. Many people come to us after something has happened, but we usually can’t undo what happened. “You need to know where you stand with your finances.” Whether it’s your will, your trust, financial planning for your child’s college education, retirement, downsizing, or something else, we can help you figure out a plan. We want to offer you real estate financial health checkups. Simply click this link and we can help you reach your financial goals. Input your name, address, and what your goal is, and we’ll do our research into your specific needs. Then we’ll have a conversation either via Zoom or in person and discuss your next steps. If you have questions about our real estate financial checkups or anything else concerning real estate, please call or email us. We would love to help you.

More businesses are opening back up, and real estate is seeing a surge. We were pleasantly surprised at the response last week in the real estate market as more and more businesses opened back up. We listed four houses last weekend and had a total of 85 showings. We didn’t expect such a response so soon, and more people are getting anxious to take advantage of pent-up demand and low interest rates. We only expect it to get busier from here as we continue to follow the state’s guidelines for our listings.

Are we headed for a recession like the one back in 2007? Here’s what you need to know. As we continue to keep our clients and friends up to date with the latest goings-on in our market, we’ve been hearing a lot of people asking if we’re headed into a recession. Our friends over at eXp just had their shareholder meeting, and they provided a lot of great data to help answer that question. Back during the Great Recession of 2007 and 2008, 14.5% of homeowners had less than 10% equity in their homes. Today, that number has dropped to 6.6%. Back then, the number of active subprime loans hit 5.1 million, where today, it’s only at 1.98 million. Those were a huge factor in what caused the Great Recession, and today we simply don’t have the same issues.

Our goal is to help serve your real estate needs no matter what. We received an amazing response regarding our last market update. While it’s a great time to sell, we’d like to ensure the process is being done correctly in order to get top dollar for your house. Those that went pending were priced right and cleaned inside and out, receiving multiple offers because of it. We’re aware that everyone has a friend or relative that sells real estate. We do, too, and they always want to offer their opinions. However, keep in mind that when you hire a real estate team like ours, we have your best interests at heart. We want you to get your home sold quickly for top dollar and we appreciate your trust in us.

We’re not being overly optimistic when we say a crash isn’t imminent. So many people expect that the housing market will fail as a consequence of what’s been going on with COVID-19 and its effect on the economy. Though some of us still bear the scars of 2008, there’s no reason to believe this new crisis will drag real estate down that same dark path again. There are indicators that we may even come out of this ahead; inventory is still low, and it’s still a seller’s market. We don’t see the world through rose-colored glasses, we tell it like it is. That being said, the numbers simply don’t indicate that we’re heading for housing market doom.

With the shelter-in-place provisions across the country, will there even be a spring real estate market? People have been asking us over and over: What’s going on with the spring market? Are we even going to have one, or will COVID-19 cause us to bypass it completely? The answers we’ll provide today depend on when the shelter-in-place provisions will be lifted. At the moment, there are serious restrictions on showings; we can only show vacant homes in person, and we’ve been doing virtual home tours for sellers who still live in their homes. If restrictions are lifted, we anticipate a number of homes will enter the market.

Dave Ramsey has taught us so much about financial responsibility and proper budgeting. Now we want to pass those lessons on to you. One of the most important things that we’re focusing on during this time is the purification of our budget. It’s time to take a closer look at bills you shouldn’t or don’t need to have. One person that’s helped us a lot with managing our finances is Dave Ramsey. We’d love to help assist you on the path to financial peace by teaching you some of Dave’s rules and how to use this time wisely to get you and your family ahead when everything goes back to “normal.” It will help reduce your bills and it won’t cost you a cent.

Conducting something as integral to the real estate process as a home showing can no longer be taken for granted. Here’s how to show safely during a health crisis. Real estate has been deemed an essential business, though we feel we aren’t special in comparison to those on the front lines (e.g., medical professionals, first responders, truck drivers, and grocery store workers). To keep our industry moving, however, key safety procedures are needed anytime there’s an in-person interaction, like the showing of a home. Today we’re demonstrating what it looks like to safely walk through a home; masks, gloves, shoe guards, and a distance of six feet are critical.

We’ve been keeping a close eye on the options out there for homeowners, renters, and everyone else. It’s important to know that there are options available for you out there if you need help paying your mortgage or rent in the next couple of months. Over the last few weeks, we’ve been taking a look at the stimulus package and what that means for homeowners, renters, and everyone else. We’d be happy to educate you on the topic so feel free to reach out. We also wanted to take a moment to thank all of the first responders and everyone else who is working hard to keep us safe and healthy in our “new normal.”

While there are certainly a number of unknowns regarding the market, we’re still able to make sense of what we’re seeing based on past events. With everything that’s going on, a lot of people are worried that the market is going to fail or crash. However, we don’t believe that will be the case. When the stock market is tanking like it is right now, people tend to take their money off Wall Street and put it into real estate because it’s generally a safe investment. We saw this happen after 9/11, the financial crisis of 2008, and other periods of uncertainty. During times like this, people put their money into mortgage-backed securities. It’s a very fluid situation, but we’re always on top of it from every different angle. If you need any advice, please reach out to us. For those of you who think that you’ll wait until the market adjusts to buy, know this: Interest rates will probably never be this low again, so you have to take into consideration the cost of waiting. Mathematically, are you going to save enough money by waiting to make up for the money you’ll save over 30 years on your mortgage? The answer is different for everyone. “People tend to take their money off Wall Street and put it into real estate.” We invite you to ask your parents what their interest rate was when they purchased a home. Our guess is that if you compare it to what we’re seeing today, you might want to get started buying or selling sooner than later. If you have any questions for us, don’t hesitate to reach out via phone or email. We look forward to hearing from you soon.

Due to the coronavirus, we’re making adjustments to ensure you can move forward safely with your real estate plans. What does the coronavirus mean for your real estate plans in 2020? ‘The unknown’ is the full battle in this case. We don’t fully know what we’re facing and until we’re right up against it—the most important thing is to keep everyone safe and healthy. If you’re already in the process of selling your home and have a plan in place, let’s work together so we can move forward safely as a team. During this time, we’re taking the necessary precautions to keep our would-be and current clients safe. Now that most people are working from home, they’re getting more and more things done on their computers, and we’ve adjusted accordingly. “Let’s work together so we can move forward safely as a team.” For example, if we’re scheduled to meet with you for the first time, we can meet via Zoom instead—we don’t have to meet in person. If you’re a seller and plan on having potential buyers walk through your home, we can guide you on how to keep your home safe and clean. This can include having hand sanitizer available and leaving certain doors open so no one touches the knobs. If you’d like to talk more about this subject or have other real estate needs we can assist you with, don’t hesitate to call or email us. We’d love to speak with you.

Inventory is low, which means it’s a great time to sell in our market. Where has the inventory gone? That’s the question everyone’s asking. Buyers are out in full force because interest rates are once again at an all-time low. It’s a wonderful time to buy, houses are selling quickly, and we’re seeing multiple-offer situations again. Inventory is particularly low in certain price points. In Tracy, for example, there are only a handful of houses available in the $400,000 to $800,000 range. “When the market gives you a gift like this, you take it.” While this is happening, builder confidence is skyrocketing. They’re building as fast as possible to keep up with demand. When interest rates were creeping up toward 5%, the market slowed down a little bit, but once they dropped again, demand rose. Consumer confidence is high at the moment, and people are anxious to buy. If you’re thinking about selling your home, now’s a great time to take advantage of this trend and get top dollar for it. When the market gives you a gift like this, you take it. We’d love to help you take advantage of this situation, so if you’re ready to put your home on the market or have any real estate questions at all, don’t hesitate to reach out to us. We look forward to hearing from you.

Selling a home to an iBuyer isn’t right for everyone, but it is right for some. Here are the pros and cons of this method. There are certain circumstances that arise in someone’s life where they need to sell their home extremely fast. If you or someone you know is in a position like this, it’s important to know your options. There are companies, such as Zillow Offers, Opendoor, or Offerpad, who will buy your home very quickly if you need the money now. Typically, these companies are set up to buy with cash and no contingencies, but sellers tend to leave a lot of money on the table this way. “Sellers tend to leave a lot of money on the table with iBuyers.” Most of the time, they’ll only offer you 70% of your home’s value. On top of that, they’ll be adding up fees to charge you so that you end up netting even less money. Let us be your second set of eyes if you’re in a situation like this. We can help you discern the different options available and help you make the right decision for your situation. If you need help or have any questions at all, feel free to reach out via phone or email today. We look forward to hearing from you soon.

You should be taking stock of where your money is and how it’s working for you. A financial check-up: Every year we go through this with our clients, and we also do it for ourselves. You need to take a look at your finances and the interest rate on your home each year. Would it be beneficial to buy a property? Do you want to build your portfolio? You should be taking stock of where your money is and how it’s working for you. Many real estate changes require you to scrutinize your finances: your children leaving home, downsizing, you may be older and the maintenance on your home is too much, you’re inheriting a home, you want to buy a larger home for a growing family, etc. We consider ourselves part of your financial team, just like your CPA or financial planner. We want to work with you to help create wealth for you and your family. “You should be taking stock of where your money is and how it’s working for you.” Our goal is to help you achieve your dreams and goals. Real estate is a great way to create wealth. If you’re considering making a move into real estate, or you want to know how real estate could play into your financial future, call or send us an email. We would love to sit down and help you make plans.

Don’t get caught up in any of the real estate sales calls you might’ve received lately. Be smart about how you respond. Are you getting a lot of random calls from people representing real estate agents lately? Allow us to explain what’s happening. It’s January, and a lot of agents who are new, haven’t performed well, or don’t have a big marketing budget, are hiring assistants to call people in their database to try to get them to list their homes. Granted, this is the time of year people start thinking about listing their home. The holidays are over, taxes are finished, and you get a clearer picture of what you want your next step to be. However, don’t get caught up in these sales calls. Again, the person calling you is an assistant who has no real estate experience, so if you want to entertain the notion of selling, at least ask the important questions, such as: Who is the agent? What company do they work for? How many homes have they sold? What do their reviews look like? “If we can do anything to protect you and help achieve your real estate goals—not the agent’s—it’s better for you.” Don’t let them get away with just “selling” you on an idea or product. If you want to schedule an appointment with an agent, make sure you conduct multiple interviews so you know which agent you connect with the best. The goal of these assistants is to call at least 100 people a day; it’s a numbers game for them. Most of the agents behind these assistants took the holidays off, and now they’re coming back aggressively to start the year. This is borne more out of desperation than the need to help someone. We refer to this as “commission breath,” and you don’t want to work with an agent who has it. Work with someone who understands your circumstances and wants to do their best job to help you. We’ve found that if we can do anything to protect you and help achieve your real estate goals—not the agent’s—it’s better for you. If you have any more questions about this topic or need a second opinion about any calls you’ve received lately, don’t hesitate to reach out to us. We’d love to help you.

As we head into a new year full of speculation, a lot of buyers are convinced prices will drop. Today we’re going to examine what’s going on in the market right now, specifically interest rates and housing prices. The biggest question we’re repeatedly being asked right now is, “Should I wait until next year to buy? Aren’t prices set to drop then?” Our response is always the same: We don’t know what will happen; prices may stabilize, which is normal, but they won’t go down. What’s more important for buyers to consider is securing a low interest rate. It’s a long-term benefit you should always be looking to capitalize on instead of waiting for some undetermined time when home prices may drop by $20,000. “Right now, the market is giving us a gift, and homeowners should take advantage of it!” Additionally, it’s good to remember that refinancing a 30-year fixed interest rate to a 15-year is always easier when you have a low rate. Ultimately, you can have compound interest work for you or against you. Typically, with mortgages, it’s working against people—that is, unless, you nab that really low interest rate. We’re always keeping an eye on prime opportunities to refinance. Right now, the market is giving us a gift, and homeowners should take advantage of it! Back when we bought our first home, we were at an interest rate of 8% and that was normal at the time. It’s a far cry from the fantastically low rates we’re enjoying now. If you ever have any questions about real estate, please reach out to us by phone or email. We would love to help you.

We’re sharing the major ways you can win in the real estate market right now! As we head toward the end of the year, how do you position yourself so you can win? I enjoy getting excellent deals. I’m sure you do too. So how can someone win in today’s market? First of all, don’t be scared. The holidays are coming up and it’s a stressful time for everyone with all the running around. However, there’s so much opportunity out there, especially when you’re looking at buying a new construction home. Those builders are giving incentives away like crazy because they want to close by the end of the year. The other way to win is to take advantage of the fact that many people are dismissing our wildly low interest rates. You want to take advantage of those if you’re considering buying a home. Don’t let the holidays stop you! The federal government is not going to let the holidays stop them from increasing rates, and once they increase, you’ll miss out on how low they are. The rates are not going to stay like this forever. “Many people are dismissing the fact that we have wildly low interest rates right now.” Take the opportunities and what’s available to you now, especially during the holiday season. This is a wonderful time of year to be prepared and be bold! If you have any questions about today’s topic or real estate in general, please feel free to reach out to us. We would love to help you!

You're invited to our Pie & Wine Giveaway! Thanksgiving is our favorite time of the year, and to celebrate the upcoming holiday, Home Buyers Realty is once again participating in our annual Pie & Wine Giveaway! We love that our past clients, current clients, and friends come by to visit us so we can give away some of our homemade wine, and for those who don’t enjoy wine (which I don’t understand, but to each their own), we also have wonderful pies. On November 26 from 2 p.m. to 6 p.m. your pie and wine will be ready for pickup at our office located at 632 West 11 Street, Suite 215, Tracy, CA 95376. All you have to do is register for yours here. Until then, if you have any questions for us, reach out! We’d be glad to hear from you. We hope to see you on November 26! Register Here!

If you’re struggling to pay your mortgage, we can help you get back on the right track. Are you struggling with paying your mortgage? We understand—life happens. That’s why we want to invite you to reach out to us so we can help you get back on your feet. We’re specialists in helping people with their mortgage. It’s our job to show you all your options and inform you of your rights. Not only can we keep the banks at bay, but we can help modify your loan, sell your home, or restructure your debt so you can keep your home. Just like banks hire attorneys to look out for their interests, you need someone on your side fighting for you. Don’t just stick your head in the sand and let things get worse. Give us a call now so we can get started on helping you stay in your home. We’d love to speak with you.

If you’re a move-up buyer, here’s what you need to do to make a great contingent offer.   We’re still in a fantastic market right now—especially for those who want to take advantage of current interest rates. This means there are a lot of buyers who want to move up to a larger home because their family is growing, they’ve developed different ideas of what they want in a home, etc. If you’re a move-up buyer, you need to have a great package to present to the seller of your “move-up” home. It’s not the end of the world if you need to sell your current home first in order to buy, but your agent needs to be able to submit a clean offer. By this, we mean your house needs to be either on the market or prepped for the market, it needs to be priced aggressively, and your agent needs a great portfolio for the area you’re selling in. Presenting this information to the seller is key in being considered over other contingent offers and noncontingent offers. Also, remember that when you’re presenting a contingent offer, you have to sweeten the offer at least a little bit. This could mean upping the offer price or offering desirable terms. “If you’re a move-up buyer, you need to have a great package to present to the seller of your “move-up” home.” Many sellers who would consider your contingent offer will want to know whether there is any certainty that the terms of the contingency will be met so their own sale can proceed to close. This primarily boils down to who you’re hiring, what their reputation is, and what their plan of action is to make the transaction work. If you have any questions about this topic or you’re thinking of moving up and don’t know where to start, give us a call. We’ll customize a plan that fits your needs.

Our real estate market isn’t as bad as it’s being made out to be. Here’s what’s really happening.   If you’ve been listening to any real estate news lately, you may have heard about recessions, trade wars, tariffs, and a new concept called a “negative interest rate.” What does all this mean? It seems like the answer changes daily, but the truth is that real estate is very stable. It doesn’t swing drastically one way or the other, and it won’t cause you to lose $100,000 overnight. However, there are still market swings you need to stay on top of. So, what’s happening right now? We recently transitioned from a hyper seller’s market to a normal seller’s market to just a normal market. In some price ranges, we’ve even transitioned to a buyer’s market. We determine this by using something called “absorption rate documents.” When buying a home, depending on the price range you’re in, you can either be in a seller’s market, a buyer’s market, or a normal market. “The truth is that real estate is very stable.” Let’s use Tracy as an example. If you look below the $350,000 price range, you’re still in a seller’s market. There’s a lot of demand in this area, and homes are still selling quickly. If you look between $500,000 and $600,000, you’re in a normal market, meaning it should take a home anywhere from three to six months to sell if it’s priced appropriately. If you look anywhere above $1 million, homes are taking anywhere from eight months to two years to sell. If you’re a seller, knowing the absorption rate (which we produce for you) will tell you what type of market you’re in and how aggressively to price your home. Don’t let the news scare you. It’s there, but it’s not impacting you the way you think it is. If you have any more questions about our market or you’re thinking of buying or selling, don’t hesitate to reach out to us so we can discuss your real estate goals. We look forward to hearing from you.

Marketing your home as is can deter buyers, and today we'll give greater insight into why this is.   Is it ever a good idea to sell your home as is? For some, the answer is yes. Maybe the seller has inherited the property and they don’t live there or perhaps it’s not financially feasible for them to make renovations. It’s important to remember that when you do market your as-is home, the common assumption will be that the property is in need of repair. Because of that, you won’t see much interest from buyers looking for a move-in ready home, but you will see a lot of interest from investors and cash buyers. Typically, the offer you receive will come in below market value, but also remember that, in such situations, market value is more of a mindset. Hear me out: If you have to shell out $30,000 in renovations to bring the home up the market value, you’re not necessarily selling it under market value, are you? “Marketing your home as is can be a viable option.” And let’s not forget, if your goal is to close on the home as quickly as possible, accepting a cash offer will ensure that you achieve it. As we mentioned above, if you’ve inherited the property and you can’t renovate it due to a lack of time, money, energy, or the fact that you’re in a different location, the most headache-free path is probably to sell it as is and take the profit. Mind you, there’s a difference between repairs and renovations. For example, don’t market your home as is just because you’d rather not put in new carpet or update your kitchen. This will lead buyers to believe that larger issues are present. Whatever the case, always communicate your desired course of action with your listing agent. The bottom line is that marketing your home as is can be a viable option so long as you understand that you’ll likely have to take an all-cash offer and earn less than you would on the open market. If you have any questions or you’re not sure if you should upgrade your home before it goes on the market or sell as is, please reach out to us. We’d be happy to have a conversation and present you with a side-by-side comparison of both options so you can make a well-informed decision. We look forward to hearing from you!

Today we’re discussing yet another major development in real estate this year. This time, it concerns aging homeowners.   In keeping with our previous video, today we’ll highlight the second-biggest real estate trend we’ve observed this year. With increasing frequency, elderly parents are passing away, downsizing their home, or going into some form of a care facility, like an assisted living or a nursing home. We’ve gone on a number of appointments this year in particular during which an aging homeowner has revealed their plans to move into an assisted living center or nursing home. Along with their children, they’re in need of a little guidance on what steps should be taken and what documents they’ll need to make the transition as smooth as possible. We as your real estate advisors urge you and your children to have this conversation with us well in advance so that we aren’t scrambling to file the necessary paperwork in time or set up a trust for your home. “Erring on the side of caution and preparing for the future will ensure your situation works out for the better.” We’ve seen these situations unfold in a number of ways—some were good experiences, some were bad experiences. In one instance, a homeowner’s conservatorship was tied up in court for months. In another, no roadblocks came up because the family made sure to take care of all the documentation up front, and that allowed the homeowner’s children to find the best care for their parent(s). Needless to say, erring on the side of caution and preparing for the future will ensure your situation resembles the latter. This is a delicate subject, but believe us when we say that you don’t want to leave your care up to the courts. If you have any questions about this topic, please don’t hesitate to let us know. We’d be happy to introduce you to some highly capable legal professionals that we work with. We look forward to hearing from you soon!