Jim Valentine on Real Estate
We live in a great area for solar efficiency, but solar systems on residential properties are still not that common. It will be a new thing to consider for the buyers, and, in many cases, the agents as well.
Things to look for when you are considering a solar-equipped home include determining whether the system is leased or owned. If it is leased, is it a lease-to-own? What happens at the end of the lease period?
Who maintains the system while it is in place? What was the condition of the roof when it was installed, or when you are buying the home? It isn’t easy to re-roof a solar-equipped home if the panels are on the roof.
Solar can make a significant difference in your power bill, especially if you’ve an electric vehicle. Know what you are buying. How much will you save? Remember to ask about the status of the seller’s loan when you are looking at homes.
If there is a loan in place inquire further about when it was put in place. You might have an opportunity to assume one of the 2.5-3% interest loans from a few years back that sellers are reluctant to give up.
In such situations sellers can get a quicker sale at a bit of a higher price and buyers get a great interest rate to help with their monthly payment. You likely need to cash them out for their equity position, so it isn’t for those with modest down payments, but it is worth investigating.
Interest rates, in general, have been creeping downward. The days of 2.5-3% will most likely not be seen again in most of our lifetimes, but somewhere between that and current rates are to be expected.
One benefit of higher interest rates is that you not only own your home, you have a larger deduction on your income taxes for interest paid. Not ideal, but a silver lining in the interest cloud. The real return on your investment is the emotional return of home ownership.
Buyer’s Broker Agreements, also known as Buyer’s Representation Agreement, are in play now. Understand what you are signing and why. What are your options?
It is a lot to put on a buyer to commit to someone, the agent, that they may not know, for an extended time just to see a home, but that is the result of the class action suit brought by buyers.
With that in mind, understand that you can agree to see one home, or to commit for a short period of time, or whatever other constraints you might want to put on your commitment to the selling agent you are signing with.
Keep in mind, however, that if you are too constraining in your agreement you might have a hard time getting a good agent to work for you. Remember that there are a lot of players in a real estate transaction.
Your agent will help you organize as needed for your situation, the escrow holder, title insurance provider, physical and pest inspectors, water testers, radon testers, repairmen, engineer, lawyer, accountant, locksmith, cleaners, movers, and so much more.
Each serves to help create the tune and tone of the transaction, all conducted by your agent. Don’t underestimate the role of the agent in your dealings.
If you are considering buying or selling real estate, be sure to follow things closely. We’ve noticed in recent years that when things change, they change rapidly. It’s almost like a big flock of birds switching directions immediately.
BAM and it’s done! It is probably a symptom of internet communication, but whatever the cause, understand that it is a phenomenon that occurs with regularity these days. The days of slow changing real estate trends are gone. Pay attention and be ready to act.
As always, identify your wants and needs and be ready to act when the market suits your desires. No market is forever so watch for the one that works for you.
Be advised, however, to not spend your time trying to time the market. That is like trying to catch a falling knife. Good luck!
When it comes to choosing professionals to assist you with your Real Estate needs… Experience is Priceless! Jim Valentine, License No. BS-03481, RE/MAX Gold Carson Valley 775-781-3704. dpwtigers@hotmail.com.