Deciding On A List Price For Your Home? Know What You Need To Net

A lot of times when I go on a listing presentation I know the sellers have an idea of what they feel their house is worth through various sources like Zillow, Trulia and searching other homes in their neighborhood that sold. But is what you ask for the house the amount of money you are going to take away from the sale of your home? Sellers are aware they will pay a commission percentage of the sale price to the Realtors which is usually split between the listing agent and the buyer's agent. But what other expenses might come up with a sale of a house? Does your Realtor go over the potential expenses that you will and may incur in addition to the sale price? Now, I know all states are different in terms of costs associated with the seller. Since I am licensed in North Carolina and primarily sell in the Charlotte area this is more in line with the typical expenses I have seen on the HUD (closing statements) for sellers in the state of North Carolina and the Charlotte area.... Besides the commission that is agreed upon at the time of listing the house for sale there are some other expenses the seller will incur with the closing of the house. One is the payoff on the mortgage. One often misread number is the payoff amount. I know when I get my statement from the mortgage company each month it tells me the principal balance owed on the house. However; this is not an accurate amount to payoff the house. Interest is paid in the rears. So, you would have the interest for a certain amount of days to include into the payoff as well. I always recommend calling you Mortgage Company or going online and asking for the payoff on that day. That will give you at least an estimate as to what you will have as a payoff on the house and you will not be shocked later on when the attorney calls you to tell you the payoff is a few thousand higher than you thought. Or worse yet that now you have to come to the table with money to close. Second, closing cost assistance to the buyer. This is the one that is very difficult to figure out upfront. Not every buyer needs it and the dollar amount varies dramatically depending on the lender and the type of loan that the buyer is doing. Depending on the price point of a house I inform the sellers that they can figure a certain percentage for closing costs or max dollar amount. The buyer may ask for more or less than that. But it is a good idea to know that you may have to pay it to make a deal upfront. Do you want to put your home on the market and then find out after you priced it that the buyer needs X amount in cling cost assistance and have no room to move on the price? I went through that recently with a buyer. Fortunately for us they knew the house was worth more than what they were asking for it and inflated the sale price to cover the needed closing costs. But what if the house is not worth more? You have left no room for negotiation at all in the price by leaving the sale price at a point where you cannot discount and give any closing cost concession potentially losing a deal on your house. Third, attorney fees. Yes in North Carolina the attorney will charge the seller to do the necessary paperwork to transfer the title and pay off the lien on the house. Fortunately that number tends to be very consistent among most attorneys and runs only a few hundred dollars generally. Fourth, what about a home warranty? A lot of buyers today are asking for a home warranty in order to get peace of mind when they buy the house in case that something breaks after they close on the house. Most buyers (if the seller is not offering it up front) are asking for it with their offer. This cost can range from $400 to $500 to the seller. Last, property taxes. Depending on when you sell your house in the year you may have to pay up front to the buyer property taxes. Charlotte area tends to bill in the rear. So we are paying our property taxes in October through December for that year’s property tax. So, what if you escrow your property taxes but sell the house in say June or July. You would have to give the buyer upfront the pro ration of the property taxes for the time period of January 1st to the day of your closing. Now, you will receive a check back from your mortgage lender after you close and the attorney pays off your mortgage for the amount you have in escrow for that...But it is still an expense you have to come up with up front. Know what your expenses could be based on when you sell the house...It can have an effect on how you need to price the house and whether you can sell the house now or not. I tend to give sellers a value of what I think they should list the house for and what I think they will eventually get for the house based on the current market conditions. Then I ask them for a payoff and do the math with what potentially they will net form the sale of the house....This has made for some interesting discussions in regards to house pricing and ensuring that the seller will net out what they think they will get or what they feel they need to get in order to sell the house.... Dave diCecco Realtor/Broker Helen Adams Realty Cell: 704-519-7895 ddicecco@helenadamsrealty.com www.davedicecco.com

Should You Sell Your Charlotte, NC. Home Now Or Wait Till Spring?

A question a lot of homeowners are asking themselves these days is should they leave their home on the market, put their home on the market or wait it out to the spring selling season. There is no right answer for everyone. Each situation is unique in itself. It all depends on YOU. There are pros and cons for selling a house in the fall and winter months. I for one believe in keeping the home on the market or putting the home on the market this time of the year. My reasoning is simple. First, there is a shortage of houses in the Charlotte, NC. market area right now to begin with. So, with fewer homes to sell buyers have less options when it comes to looking at homes. So by having your home on the market now in the fall and winter months you are gaining market share in views and potential buyers. Second, buyers are still out buying homes now and through the winter. Ironically, most sellers take it off the market because they say none is out looking at homes. Quite the contrary. Buyers are out in force looking at homes. Maybe not as many as in the spring market but they are out buying homes. This time of the year from October to the end of the year tends to be my second busiest time of the year after the spring season. Third, showings will not be as frequent and buyers are a little more understanding of rescheduling times with the holidays around the corner. We all know this is a time of the year when families get together for the holidays. Buyers are aware of that as well....So, taking it off because you do not want to be inconvenienced by showings is not really a reason. Fourth, less competition means you do not have to worry about a neighbor that is desperate to sell putting their house on the market for substantially below market value. You will have less people selling homes which increases the likelihood that the desperate seller who has to move before school starts in the fall and lowers the price well below market value is not hurting your house value right now. Last, I hear that I get less people in. More that come in the better my chances are that it will sell. My answer is it takes only one buyer to want it for it to be sold. With the internet as powerful as a tool as it is today for home buyers (you are reading this online) the less homes you have to view the better your chances are that your home will get viewed and that one buyer may be the one for your house. Now, these are the most common reasons I tell sellers to put their homes on the market in the Charlotte, NC. area to sell in the fall and winter months. So, if you are on the fence about whether to list now or wait to spring...Think of these five reasons first then make a decision. Dave diCecco Realtor/Broker Helen Adams Realty Cell: 704-519-7895 ddicecco@helenadamsrealty.com www.davedicecco.com

New Listing: 6401 Holly Fern Circle Charlotte, NC. 28227

Looking for a great value near the University area of Charlotte? Look no further. This approximately 1800 square foot split level home located in the Holly Hills subdivision is the one for you. Priced to sell at only $119,900. This home has many updates done to it that makes it a great value for someone. The house had new vinyl siding installed with a new roof two years ago. The professionally landscaped level yard boasts an impressive .27 acres. It has one of the nicest floor plans in the whole subdivision and has had many updates inside as well. Walking in you are instantly greeted by the new tile floor that welcomes you in the foyer area of the house with a newer beautiful neutral paint colors to accent the whole house. Go to the main level and instantly you notice the carpet that looks like no one has ever even walked on it the condition is in that great of shape. The large open living room is a great place for entertaining and can accommodate even the largest of furniture. But what I love about the floor plan upstairs is the openness to the dining room and the rest of the main level. The dining room is large enough that is currently houses a table setting for eight people and does not feel cramped inside the room and has ample space for a hutch as well... Going through the dining area you enter the spacious Kitchen which has a tremendous amount of counter space as well as cabinet space in it. In addition because of the layout of the Kitchen you have room for a table and chair s in it or the possibility of opening it up to the dining room and the living room and making it more open or adding cabinets and counter tops into it...Needless to say the possibilities in the Kitchen are endless. The nice part though, is the appliances have all been replaced in the past four years minimizing your costs involved in an update in there. Down the hall features two good sized bedrooms. Both are large enough to handle a full size bed and a dresser and plenty of room to move around in with large closets in each room. Sheltering the rooms form the main part of the house is a large full bath that is shared between the two bedrooms as well that has new tile flooring, vanity and all new light fixtures. Going to the lower level you are first greeted by the den. A nice cozy room with a lot of light that comes in from the front two windows. The room features a beautiful brick wood burning fireplace and built in bookshelves on each side of it. A great family room to relax in and enjoy those fall evenings with the fireplace rustling in the night.... Down the hall from there is the master suite. It is more than a bedroom i think it is more of a suite. It runs the length of the house and is very spacious. The current home owners have a king sized bed in there and the room does not feel small with it. Actually the bed feels small in the room. Plenty of space to design and layout the room as you want. With windows on three sides it brings in great light throughout the day. It also has a large walk in closet and a separate vanity for makeup. The master bath has been redone with a new vanity, tile flooring and a new fixtures and crown molding as well.... The downstairs also boasts a laundry room. This is not a typical space where a washer and dryer barely fit in it. This is an actual room. It is large and spacious and has other possibilities for use in addition to the laundry room. Go out the back door on the main level and you have a wonderful three season screened porch. A great place to enjoy a meal or a quiet evening looking out at the beautiful landscaping and flowers that are growing.... Taking in the view from the porch is nice and gives you a nice feeling of the yard and space you have back there. Are you handy? There is a one car detached garage with ample space for a workshop. The garage features a separate door to access it in addition to the garage door. For the guy looking to do some work or have a place to tinker this is a great space. With full power and window to put an A/C unit if needed the garage is the ideal spot for that handy guy..... This home features a lot of great features in a well-established neighborhood that sees very few homes go on the market. In fact, the homeowners said the neighbors all around them have been there between seven to ten years and the sales in the neighborhood support not much goes on the market since people tend to stay there.... Want to see more of the house? Click on the link for a virtual walk through of the house I created: http://www.youtube.com/watch?v=VPMT_GCPU3U Dave diCecco Realtor/Broker Helen Adams Realty Cell: 704-519-7895 ddicecco@helenadamsrealty.com www.davedicecco.com