Real Estate Information Archive

Life seems to be on hold right now due to the novel coronavirus (COVID-19), but that doesn’t mean that everything just stops.  While social distancing is vital to our health and well-being, moving to a new home is something that might not be able to wait.  Whether you are relocating for a job, or it was a planned move prior to the start of social distancing, you need to know how to go about moving during a pandemic. Here is a list of tips to help you with your move. Remember that moving can already be stressful under normal circumstances, so take a deep, cleansing breath and arm yourself with information that will keep you safe and make your move as easy as possible.

1. Contact moving companies to determine if they are open.  If you had already scheduled movers you should contact them to make sure they are still available.  Most moving companies appear to be open right now, but that could change in the weeks and months to come.  When you schedule movers, ask questions about precautions they are taking to keep themselves, and you safe. The 10 Most Popular Movers in Montgomery, Alabama
    
2. Research storage options.  You may need to put things in storage prior to moving.  Major storage companies continue to stay open, but they may have limited hours of accessibility or rules about how many people can access their units at one time.  Make sure the storage company you use is following proper safety practices such as sanitizing access pads between customers and maintain six feet or more of space between customers/customers and employees. Montgomery, AL Storage Units
    
3. If anyone in your family is experiencing coronavirus symptoms, let your mover know.  Transparency is vital in order to keep everyone safe.  Your movers may still be willing to work with you, but will be prepared to put protocols in place to protect their workers. Even if nobody in your family is symptomatic, if someone has been exposed to the virus, you should still let your mover know that you are isolating due to exposure.
    
4.  Have hygiene products on hand for your movers.  Provide soap and paper towels by the sink, and hand sanitizer by the door that they are using.  If you don’t have those supplies available, let the mover know so they can be sure to bring them along for the move.
    
5. Avoid using free or recycled moving boxes.  Because the coronavirus can live on cardboard for as long as 24 hours, picking up free/recycled boxes could possibly put you at risk.  Either use boxes you already have at home or go to the store to buy new ones (and use self-checkout if it’s available!).
    
6. If you are part of a high-risk group for coronavirus, you may want to consider cancelling your move if possible.  If you are over 60 or you have a pre-existing respiratory or cardio-vascular condition, you should reconsider moving right now.  It’s not worth risking your life!  So, if there is any flexibility, put your move on hold until you can relocate more safely.
    
7. If you have to travel for your move, only work with hotels and airlines that offer free cancellation.  Everything is so uncertain right now and the last thing you need is to lose money on a reservation should your move get postponed. 
    
8. Keep your distance.  Be smart and practice all the standard rules that apply for this pandemic.  Don’t get close to the movers, use sanitizers, and WASH,WASH,WASH your hands!!  Mark your boxes to let movers know what rooms they go in so that you don’t even need to be nearby to direct them.

As stated above, moving is already stressful enough. Don’t let our current situation overwhelm you.  The best way to do this is to arm yourself with information and use common sense precautions to keep everyone involved as safe as possible!

If you are in the market to buy or sell a home, let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs!  Call them today at 334-834-1500!

Photo Credit: moving.com

Whether you are buying, selling, or refinancing a home and a mortgage is involved, a home appraisal is going to be an important aspect of the process.  Therefore, it’s crucial that you understand how the appraisal process works and how an appraiser determines a home’s value.

A home appraisal is an unbiased, professional opinion of a home’s value.  Conducted by a licensed home appraiser with the knowledge and experience to determine the fair current value of the home, it takes place in almost every home purchase/sale transaction and is commonly used in refinance situations as well. Within a purchase/sale transaction, it is used to establish if the home’s contract price is appropriate, based on the home’s location, condition, and features.  For a refinance, the appraisal makes sure that the lender isn’t giving the borrower more money than the home is worth.  Because the home serves as collateral for the loan, lenders want to make sure that the homeowner is not over-borrowing. With a purchase/sale transaction, the home appraisal is typically paid for by the buyer and the fee is included in the closing costs.

The reason the home appraisal is so important is because it lets the lender know that they are lending the appropriate amount of money for the value of the home.  Sometimes the appraisal will come in for a lower amount than the agreed upon price and when that happens, the lender might deny a loan for that amount. If the appraisal comes in at or above the contract price, the transaction can proceed.  However, chances are the seller doesn’t want the deal to fall through, so if the appraisal comes in low, the buyer may be able to use it to negotiate a lower selling price.  Knowing that the bank won’t lend any buyer more than what the home is worth, the seller may be willing to lower their selling price so that they can proceed with the sale.  A low appraisal can also derail a homeowner’s attempt at refinancing their home. The home needs to appraise at or above the amount the homeowner wants to refinance.  One exception is if you have an FHA mortgage.  With an FHA mortgage, you can refinance without an appraisal through the Streamline Your FHA Mortgage

The appraiser will look at many things to determine the home’s fair current value. The property’s value will be influenced by recent sale prices of similar properties and by current market trends.  The home’s amenities, floor plan, functionality, square footage, and number of bedrooms/bathrooms will also play a part in coming up with a fair price for the lender.  A thorough visual inspection of the interior and exterior of the property will allow the appraiser to note any issues that might have an adverse effect on the property’s value.  You may confuse a home appraisal with a home inspection, but they are not the same thing, A home inspection is a much more detailed evaluation of the home and does not involve the lender.

Usually the home appraisal will just be a box checked off on your home closing checklist. But if the appraisal comes in lower than expected, the purchase/sale transaction can be delayed or canceled.  Understanding the process and being aware of potential problems will help you be better prepared to handle whatever circumstances come your way. Your Mortgage Closing Checklist

If you are in the market to buy or sell a home, let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs!  Call them today at 334-834-1500!

Photo Credit: totalmortgage.com

Owning a rental property can be a great way to make money.  But to be successful at it, you need to do your homework first and make sure you know what you’re getting yourself into.  Here are some tips to help you get started:

1. Choose an experienced Realtor.  Finding the right agent is critical to successfully capitalize on real estate investments.  You want to find someone who has the knowledge to make the process easier for you.  They should have awareness of location, value, and return on investment. Your agent really should be an investor, too. That first-hand knowledge and experience will be invaluable to you going forward.
2. Location, location, location!  Research what areas are declining and which ones are on the rise before deciding where to purchase an investment property. If large retailers such as Lowe’s or Home Depot are setting up shop there, it’s probably a good place to invest because big chains do a lot of research before moving in. How to Pick the Ideal Location for Investment Properties
3. If you plan to invest with a partner, make sure you have a partnership agreement drawn up to protect all parties in case something happens.  Relationships can sour and expensive mistakes can happen. Making early decisions about how to handle bad situations will help prevent catastrophic results.
4. Be prepared to invest for the long term.  When you hold onto a property for a long time, you can manage expenses and income easier and use the money to pay the mortgage.
5. Be picky about renters. If you are going to rent to students or rent rooms to different people verses to a family, you may need special permits, depending on where you live. Educate yourself about rules and regulations for renting out your property. Landlord and Tenant Rights in Alabama
6. If you have more than three properties you’re renting out, you would benefit from hiring an experienced property manager. It can be overwhelming when you are trying to take care of multiple homes (including your own!). A property manager will handle repairs and minor problems for tenants. They will help find new tenants as well.  Just keep in mind that property managers usually get around 10% of the monthly rent.

Being a landlord isn’t always easy.  But with the right investment, it can be very rewarding!

If you are in the market to invest in real estate in the Montgomery area, let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs!  Call them today at 334-834-1500!

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If you are in the market to purchase a home right now, I am sure you would like to be moved in and settled by the time the holidays arrive.  Does that sound too good to be true?  Well, no promises, but there are steps you can take to buy a home fast.

Whether you are buying a house for the first time, or you have navigated the home buying process before, chances are you know that it can be lengthy and complicated.  But there are certain strategies you can use that will speed things up. Here are some tips to help you get started:

• Chose the right type of house.  There are certain types of homes you will want to avoid if you’re in a hurry.  Co-ops, for example, can be problematic because it can take six to eight weeks to get a board interview scheduled, finalized and approved.  You should also avoid bank-owned homes or foreclosures, which generally take much longer to close.  The fastest way to go is to focus on condos or new developments. Closings for condos and new developments can take as few as three to four weeks to happen.
   
• Get pre-approved for a mortgage.  This is a strategic move that will give you a head start so that when you do find a house you want to purchase; you will already be approved for a mortgage loan and can make an offer right away.  This will also help you to stay within your budget when looking at homes because you won’t want to waste time looking at properties that cost more than what you are pre-approved for. How to Get a Mortgage Pre-Approval
   
• Have your documents in order and ready to go.  Get all the paper work that you will need organized so that it is ready and waiting when you find the right home.  Generally, a home buyer will need the following: federal tax returns for the past two years, supporting information such as W-2, 1099, or other tax forms for the past two years, two months’ worth of bank statements for your checking, savings, 401K, retirement and other accounts, and pay stubs from the past month. Homebuyers: What to Bring to Your Closing
   
• Find the right Realtor to guide you through the process.  You will want an experienced, professional Realtor like Sandra Nickel who knows the area well and can use their expertise to get you into a home quickly.
   
• Offer to shorten contingency deadlines.  Don’t risk waiving home inspection or financing contingencies, but consider a shorter time frame to effect a faster closing.
   
• Be prepared for your move.  Don’t wait until you have closed on your new home to start packing and preparing for your move.  Start early so that as soon as you close, you are ready to go!

If you are in the market to buy or sell a home, let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs!  Call them today at 334-834-1500!

Photo Credit: veteransunited.com

Let’s face it - moving is overwhelming no matter how well you prepare.  There are what seem like a million little pieces that all must fall into place to make a move go smoothly. And even then, it is stressful.  You are upending your life; putting everything you own into boxes and bags, and making big changes.  So, it’s easy to understand how some tasks fall through the cracks and are forgotten.  Here are some important things that many people forget to do (or don’t even realize need to be done) when moving:

• Cancel recurring charges for local memberships. During the chaos of moving, the last thing you are likely to think about are membership fees for things that may not transfer to your new place of residence, like a gym membership.  And if those fees are automatically charged to your credit or debit card you need to cancel those memberships at least a month before you move so that you don’t continue to get charged even when you’re not there to use them any longer.
   
• Call your car insurance company. Per the Department of Motor Vehicles,  it is vital to check on your car insurance when moving, as states have varying levels of required coverage.  In fact, insurance rates can even vary from neighborhood to neighborhood in the same city.  So, make sure you call your insurer before you move to see if you need to update or change your coverage at your new address.
   
• Change your address early.  Changing your address is easy using the Online Form provided by the U.S. Postal Service, but don’t wait until the last minute to do it! If you want to be sure that your mail arrives at your new home in a timely manner, complete the form about two weeks before you move. 
   
• Take care of your finances.  During the whirlwind of moving, it’s easy to forget the everyday tasks that are a normal part of your routine…like paying bills.  It’s also easy to lose track of paper bills among all the boxes you’ve packed.  Take the time to set up auto pay for things at your new home like mortgage/rent, phone, utilities etc.  This can help assure an on-time payment during a hectic time.  Designate a spot for mail both in the home you’re packing up and in your new home so that paper bills aren’t lost in the shuffle.
   
• Change your billing address on credit cards.  Don’t get caught by surprise when your billing address doesn’t match the address on your credit card because you forgot to change it when you moved.  Some transactions now require that you put in your billing zip code when using your card, so if that has changed, then you need to change it on your credit cards as well.  The last thing you want is to deal with a transaction being denied and then finding out it was simply because you hadn’t changed the address on your card.

Yes, moving is stressful. But taking care of these often overlooked tasks will make it a little bit easier!

If you are in the market to buy or sell a home, let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs!  Call them today at 334-834-1500!

Photo Credit: braybray.co.uk

Have you recently become an empty nester with a home spacious enough for a large family?  Maybe it’s time to consider downsizing.  There are numerous perks to downsizing to a smaller home:

1. SAVING MONEY. You will not only save on your monthly mortgage payment in a smaller home, you will also save money on frivolous living.  One of the advantages of downsizing your home is that you can stop wasting money on furniture and home décor that are used to fill space rather than to fulfill a function.  Filling a smaller space will allow you to prioritize what items are important and necessary for you.
    
2. LESS STRESS. After working hard all week to pay the bills, it’s no fun to have to spend your weekend doing chores.  A smaller home equals fewer chores and less upkeep. This will free up time to enjoy leisure activities and relaxation.
    
3. SAVE ENERGY. If you live in a large home, you know that energy costs can be expensive.  Smaller homes will not only save you money on heating, cooling and water costs, it will also allow you to reduce your carbon footprint.
    
4. FREE TIME FOR TRAVEL. With additional disposable income and less upkeep needed, a smaller home will afford you the time and cash for travel and adventure.  Weekend getaways or even long trips are less of a hassle now that you don’t have to worry about being house-poor.
    
5. A NEW BEGINNING. Downsizing can be the beginning of a new chapter in your life.  If being an empty nester has you feeling down, a lifestyle change might be just what you need to start focusing on how you want to spend your time, money and energy. 

If you are ready to downsize, let professional Realtor Sandra Nickel and her Hat Team help you sell the house you’re in and find a new home to better suit your needs!  Contact us today at 334-834-1500!

Photo Credit: aarp.org

If you are not familiar with real estate terms, the vernacular can be confusing and overwhelming.  It truly is like learning a new language!  But we are here to help. Today we will talk about comparables (or comps). 

Comparables (comps) is a real estate appraisal term that refers to properties that are similar to the property of which the value is being sought.  They are properties in the same area that are around the same size, in similar condition, and have similar features.  Whether you are buying or selling a home, you can learn a lot by comparing similar homes. 2 Important Facts About Real Estate Comparables or Comps

Buyers will use comps to help them decide what price to offer on a home, while sellers will use them to determine the best list price for their home.  Realtors utilize comps on a regular basis to keep track of the local market.

One major key for a comp is proximity.  When trying to price a home or find out its value, it’s vital that the homes you are comparing it to are close by.  The market can be different in other locations, so the comparable property should be as close as possible.  The same neighborhood is best.  If the same neighborhood isn’t an option, you can branch out, but not too far.

Homes that are currently “pending” make the best comps.  This is because a deal has already been made on a pending home, so it reflects current stats on the market, which fluctuates frequently.  When looking for comps, it’s important to stick with sales in the past three months and never more than six months ago.  If a home was sold over six months ago, that data is not up to date with the current market.

Another important aspect of a good comp is the home’s features.  It’s vital that the homes being compared have similar features.  Consider things like views, upgrades, number of bedrooms, location of bedrooms, number of bathrooms, square footage, size of lot, etc. How to Find Real Estate Comps to Determine House Value

Keep in mind that there may be information that your Realtor is privy to that you are not when it comes to comparables.  If you don’t understand why a similar home is determined to be worth more or less than yours, your Realtor can explain it to you.  There are many conditions that can influence the value of a home. Also remember that comps are estimates, not appraisals.  They are not written in stone, but they are a useful tool for both buyers and sellers.

If you are in the market to buy or sell a home, let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs!  Call them today at 334-834-1500!

Photo Credit: mashvisor.com

Congratulations!  You’ve just moved into your new house!  It’s exciting, but it’s also a huge transition.  It takes time to make a new house feel like home. Here is a guide to help you get started:

1. Be active.  If you have moved to a new area where you don’t know anyone, you may be tempted to isolate yourself.  After all, you have unpacking to do and maybe a new job to start. But try to resist that temptation.  Staying socially, physically and communally active triggers significant feelings that create the sense of home.  Make sure you take time to exercise; join a community such as a church, the school PTA or a book club and shop locally to get to know your surroundings.
    
2. Surround yourself with living things.  A move can be difficult, especially if you are grieving the place you left.  It’s not uncommon for people to become depressed after moving to a new home.  Combat those feelings by cultivating relationships with living things. Start a garden, spend time with your children and pets or volunteer in the community.  Volunteer Opportunities in Montgomery
    
3. Comfort yourself with colors.  Decorate with a palette of colors that lift your mood.  Choose colors that promote calm, happy feelings.  For example, earth tones create a welcoming, comfortable atmosphere that evokes feelings stability, reassurance and ease, while light pastel colors stimulate feelings of peacefulness, calm and cleanliness. 14 Calming Paint Colors
    
4. Surround yourself with the familiar. Even before you are completely settled into your home, placing familiar items such as family pictures and heirlooms in your new space can make it feel more like you.  Some other ways to make you feel at home: cook favorite meals, burn candles with favorite scents and/or play your favorite music.
    
5. Unpack. This may seem obvious, but it’s not unusual for people to still have boxes cluttering the house months after moving in.  Take your belongings out of the boxes right away and begin decorating and arranging furniture. The sooner you do this, the sooner this once strange place will feel like home! The Best Way to Unpack After Moving

If you are in the market to buy or sell a home, let Sandra Nickel and her Hat Team of Professionals assist you with all your real estate needs! Call them today at 334-834-1500!

Photo Credit: pinterest.com

Facing the dilemma of what to do with your empty nest can be overwhelming. You are not only dealing with the emotional turmoil of no longer having your children at home, but now you have this BIG, empty house as well.  You might already be considering a move to a smaller house, but the thought of giving up the home where you raised your children has you feeling melancholy.  Your current home likely holds a lot of wonderful memories for you. But remember, it’s just a house. There are a lot of perks to downsizing:

• Your house will be easier to maintain and you will spend less time cleaning.
   
• You will spend less money on everything from your mortgage, taxes and insurance to your heating, cooling, and electricity. 
   
• Having less debt will eliminate the financial stress that comes with a huge mortgage payment.
   
• A home that doesn’t drain your resources and energy will give you peace of mind.  And that is priceless.
   
• A smaller home has a positive impact on the environment because it requires less resources to build and maintain.
   
• You will have more free time for living the life you want.
   
• It will force you to declutter and cut back on your belongings and keep you from buying more. The Ridiculously Thorough Guide to Decluttering Your Home
   
• If decorating is not your thing, a smaller house will make it less overwhelming for you.
   
• When the time comes to sell, a smaller, more affordable home will appeal to a larger percentage of the population.

Scaling down doesn’t mean you should move into one of the tiny houses that are trendy right now.  It might be just going from four bedrooms/three baths to three bedrooms/two baths.  A professional Realtor can assist you in finding a smaller home that will suit all your needs and provide you with a happier, more peaceful lifestyle. 12 Life-Changing Benefits of Living in Small House

If you have an empty nest and you are ready to sell your LARGE home for a smaller home, let Sandra Nickel and her Hat Team of professionals assist you with all your real estate needs!  Call them today at 334-834-1500!

It seems that negotiation has become a lost art in the world of real estate, and that’s unfortunate because the truth of the matter is, if you don’t ask…you don’t get. While sellers want the highest price and buyers want the best deal, they must meet somewhere in the middle for the deal to close. Negotiation is a crucial part of selling or buying a home because it is the largest asset people own and there is a lot of money at stake. Here is a simple guide for what sellers and buyers might ask for in real estate negotiations:

• Price

Negotiating the best price means different things for sellers and buyers.  The seller wants the highest price and the buyer wants to pay as little as possible.  For a successful transaction, they must compromise and come up with a price that is acceptable to both.

• Closing Costs

Prepaid closing costs are paid by buyers for their mortgage.  These are funds that the mortgage lender holds in escrow for expenses like taxes and insurance.  A buyer may ask a seller to cover some or all their closing costs either with a flat dollar amount or up to a percentage of what’s an allowable contribution for a lender.  If a buyer asks the seller to do this, they are likely going to pay a higher asking price. What is Escrow and Why is it Needed?

• Closing Date

Sometimes sellers want to get out of a home quickly because they need the money from that house they are selling to put toward a new real estate purchase.  The closing date will also affect the buyer’s monthly cash-flow because when a buyer closes on a house, they skip the next month’s mortgage payment, therefore they may want to negotiate to close at the beginning of a month.

• Financing Contingencies

When there is a financing contingency in place for a real estate transaction, it can tie up a seller’s property for a required 30 to 60 days.  For this reason, many sellers prefer buyers coming to the table with cash offers. If you are competing with cash buyers, you can shorten the closing timeline substantially by getting pre-approved for a home loan prior to making an offer.   Mortgage preapproval shows that your finances are in order and you can afford the home.  5 Things You Need to Be Pre-Approved for a Mortgage

• Home Warranty

As a buyer, you can request a home warranty.  As a seller, you can offer one.      This home protection plan covers things like appliances and systems such as the hot water heater or air conditioning, in the event they need repair or replacement.

• Leaseback

The moving process is stressful and labor intensive.  Sometimes a seller will need extra time to get into their new home.  When this happens, buyers can offer a zero-cost rent-back for 30 to 90 days to persuade the seller to accept their offer over others. 

• Home Repairs

With a home that needs a lot of updating there comes ample opportunity for negotiation. Buyers need to consider the cost of bringing the home up to current standards and use the estimate of that cost to request a lower asking price.  The seller, on the other hand, can specify that the house is being sold “as is” and not offer any repairs.

• Appraisal Contingency

A seller can push for a buyer to waive the appraisal contingency. However, if for some reason the appraisal falls short of the expected amount, buyers need to be prepared for the amount they might have to pay should the bank only be willing to lend them money based on the appraised value. How an Appraisal Contingency Can Protect You

• Furniture

Personal property such as patio furniture, window treatments and chandeliers is all up for grabs. The buyer can ask for these things to be included in the contract.  Sellers need to determine what they are willing to leave behind.  And any exclusions need to be specifically listed in the contract as well.

• Appliances

Depending on the market, sellers don’t always leave every appliance for the buyer.  They may include the dishwasher, stove and built in microwave in the contract but not the refrigerator, washer and dryer.  Sometimes they don’t want to give everything away up front so that they can use these as items for negotiation.

• Inspection

When buyers waive inspection, they often find themselves with "buyer's remorse", but they can try to shorten the time frame for inspection, from ten days to five.

• Condo/Co-op Assessments

These are fees that are used to maintain common areas in a community. If there is an open assessment, it can become a negotiation between the buyer and seller as to who will pay for it.

If you are in the market to buy or sell a home, let Sandra Nickel and her Hat Team of professionals assist you with all your real estate needs!  Call them today at 334-834-1500!