Central Ohio Real Estate Cafe'

With the recent rise in new constructions it is a great time to review some new construction basics regarding warranty.  Contractor Problems are one of the largest numbers of complaints received by the Better Business Bureau.  These types of stats makes it important that you are knowledgeable and informed about how to insure that your Columbus area home remains the dream that you fell in love with, and does not become your worst nightmare.  Listed below are a few things to pay attention to in order to make sure your contractor doesn't end up as your complaint:

Understand what your Warranty Covers

Basically there are two types of warranties.  The first is called an express warranty, and is given to the buyer by the contractor.  The usual time frame for this warranty lasts between one to ten years, with one year being standard and the most common.  Everything from minor cosmetic flows to major defects is generally covered.

An implied warranty that lasts seven to ten years and basically states that the residence has to be habitable.  This is the second type of warranty and the specifics can varies depending on the state you live in.  To have your defect covered by this warranty, you have to be able to prove that it's a health or safety hazard.   If you have concerns in this area it is advised that you seek an attorney that can interpret the legal process and remedy...

Not All Defects are ‘Defects'

Not all defects are reasons to sound the alarm.  There are specific rules that determine whether or not a defect qualifies as something that must be addressed.   An example would be a small crack in the interior of your new Columbus area would be considered to be a normal defect.  Cracks that would need to be repaired are those longer than 3/16 of an inch, according to the National Association of Home Builders'® guidelines for performance.  Although pesky, hammer marks or nail pops only count if you can see them from more than six feet away.

Document Document Document  

After a real defect has been identified, document everything.  Keep a log and take photos.  Ideally this will be smoothly worked out by your builder but if it is not you will need your documentation should you decide to pursue other actions.  For added peace of mind, you may want to hire an independent inspector or structural engineer, to give your house a full examination prior to closing and moving in.

Buying Brand New Columbus Area Home can be enjoyable when you work with a REALTOR® like me who has the knowledge and experience to guide you through the process.  Call me today at 614-273-6406 or email me at Vanessa.simmons@realliving.com

LINKS:

Implied warranty - http://www.legalmatch.com/law-library/article/implied-warranty-real-estate-contract-lawyers.html

 National Association of Home Builders - http://www.nahb.org/

Contractor - http://en.wikipedia.org/wiki/General_contractor

For More Home Buying Tips See:

First Time Buyer... Please Read...

There are great incentives for first-time Columbus area real estate buyers. Big tax incentives and money put into the banking and financing industries to give buyers more availability to loans makes now the best time to move when looking for a home. This environment won't last-exactly. Some of the elements put in place are geared toward a strong future for the housing market, but many of the advantages are only good for now.

Tax Relief

First-time Columbus Area real estate buyers, meaning those who have not owned a home in the past three years, are eligible for a big tax break on income taxes. Next year at tax time all buyers have to do is report the new home purchase to get $8,000 dollars back. That's a big incentive. The drawback is it's only good for this year. It is retroactive to the beginning of 2009 so even if you have already bought that home you can still claim it, but if you drag your feet hoping for better mortgage financing, or just a better time for your family to get a new home, you will miss out after December 31, 2009.

OHFA

The Ohio Finance Authority has decided that as of March 30^th, 2009 buyers who qualify can use their $8000 stimulus tax incentive to help with down payment and closing costs.  This will allow more Columbus area buyers the opportunity to take advantage of the outstanding inventory of homes available.  This program is scheduled to run through November 2009, however, funds are limited so don't miss out.

Affordable Housing

Right now is the time to buy because of prices, too. Thanks to the failings of the housing market, there are tons of homes for sale at prices they would not normally be listed at. If the stimulus plan improves the economy the way it is hoped it will, that won't last. This week there has already been signs that home sales are on the rise.  That's great news for homeowners, but not great for those who wait to take advantage of the greatly reduced home prices.

Columbus area real estate buyers need to take advantages of all that 2009 and the current real estate market have to offer. There are great deals that may never happen again-Do not miss this golden opportunity to grow your personal net value. 

If you're interested in taking advantage of the 2009 stimulus plan or have any other real estate concerns, I can help.  Call me at 614-273-6406 or email me at Vanessa.simmons@realliving.com for more information.

LINKS:

Big tax break on income taxes: http://www.realtor.org/government_affairs/gapublic/american_recovery_reinvestment_act_home#taxcredit

Mortgage financing: http://mortgage.freedomblogging.com/2009/02/18/obama-mortgage-rescue-promises-75-billion-in-aid/6767/

Ohio Finance Authority:  http://www.centralohiorealestatecafe.com/post/1002788/-8000-dollar-tax-credit-down-payment-assistance-hurry-limited-funds

Stimulus plan: http://centralohiorealestateinformation.blogspot.com/2009/03/how-stimulus-bill-can-help-you-get-your.html

A few months ago my I had a client that was 3 days away from closing his HUD property when we realized that all the copper was stripped from the property.  HUD made the decision to issue a credit to my client versus replacing the plumbing.  My client decided to walk from the deal.  After filling out the appropriate form and waiting 3 weeks, I was notified by HUD that I could return my clients earnest money.

This was an example of successfully getting Earnest money back from HUD.  .

HUD does offer some great deals and opportunities but like any other government entity it can be slow and cumbersome.  It is important to work with an experienced Agent who knows the process and can assist you in getting your bid and paperwork correctly submitted to better insure a smooth closing.  Changes can be made.......At a cost!

If you change your mind on the purchase without an acceptable reason you could forfeit all or a portion of your earnest money.

                                                HUD Cancellations/Extensions

HUD automatically cancels contracts that do not close on the date indicated on the original contract.  Extensions are granted on a case by case basis but must be requested I writing, on the correct form, at least 5 days prior to closing.  The fees for a one time extensions are as follows:

                                                $150 .00 for properties $25,000 or less

                                                $225.00 for properties $25,001 -$50,000

                                                $375.00 for properties $50,001+

For more information on HUD homes see:  How To Purchase A HUD Home... OR How Does HUD's $100 Down Program Work? OR Hey Good Neighbor...

If you are looking to purchase a HUD property or have other real estate questions please call me at 614-273-6406 or email me at Vanessa.simmons@realliving.com

Ohio is one of the states where HUD is still offering consumers their $100 dollar down program but many folks are confused as to exactly how it works.

First it is important to know that the program is for owner/occupants only.

Next it is important to note that the program only applies to FHA Loans.

The components are as follows:

•1.        $100.00 dollars down applies to the down payment only.  ***Key point to keep in mind...-even with this program the $1000.00 earnest money deposit is still due within 48 hours of winning a HUD bid.  The $100 down payment replaces FHA's required 3.5% down payment.

•2.       As of Cot. 1st 2008 until further notice the buyer will receive a $2500.00 Sales Incentive which can be used for:

             •a.      Closing Costs

             •b.      Tax-Probations

              •c.      Repairs to the home

              •d.      Replace items in the home

              •e.      Additional Down payment

 •3.       $500.00 Real Estate Broker Bonus.  This is in addition to the commission the selling agent receives for the transaction.

For more information about purchasing HUD homes see: How To Purchase A HUD Home... AND  Hey Good Neighbor...

Looking to buy a HUD home or need other assistance with Central Ohio Real Estate call me at 614-273-6406 or email Vanessa.simmons@realliving.com

One of the biggest questions potential sellers seem to be asking lately is, "Should I Stay or Should I go?"

With the Central Ohio Real Estate Market, like most other markets, still recovering from foreclosures, short sales and bank owned properties, which continue to drag down property values, many sellers are wondering if now is the right time to sell their home to purchase a new one. 

There are a few things to keep in mind.  Here in Central Ohio, year end 2008 saw a 13.5% drop in inventory levels over year end 2007.  Time on market showed a decrease from 108 days to 100 days. 

The absorption inventory rate is another indicator of market conditions.  At the end of 2008 we had 7.67 months of inventory where as at the end of 2007 we were at 8 months.  Market watchers consider Central Ohio to be in balance when the inventory absorption rate is at a 6 months' supply, over 6 months is a buyer's market and under is a seller's market.  As it stands, we are still in a buyer's market but it is showing improvement. 

Central Ohio is teetering at an interesting point with great inventory levels, low interest rates and incredibly low home prices.  Houses here offer enough variety to satisfy first time buyers and seasoned move up purchasers.  We are still seeing that even if sellers lose a bit on the sell side they are more than making it up on the buy side. 

So when I am asked the question....Should I stay or should I go?  

I say..... Definitely GO!!!

To view the complete 2008 Columbus Ohio Residential Metro Area Analysis CLICK HERE

Thinking of buying or selling your Central Ohio Home please give me a call at 614-273-6406 or email me at Vanessa.simmons@realliving.com

No matter how we may want to dance around the subject, the truth is, one of the first things people notice when they enter your Central Ohio home is the way it smells good or bad.  Everyone will agree that each home has its own unique smell.  As residents we often become immune to the smells in our own homes, however, when a seller is looking to impress perspective buyers it is critical to be aware of potentially offensive smells.  Below are a few tips on how common household occurrences like pet stains and musty odors can be eliminated.

Identify Were the Smell is coming from:

•1.        If the smell is coming from an identifiable source clean the area with warm water and baking soda.

•2.       Sprinkle a little baking soda on the area and allow sitting and vacuuming or cleaning up after an hour or two.

•3.       Spray a little vinegar and water mixture on the source and dab away excess

Unidentifiable Source:

•1.        Open a box or two of baking soda and place in areas where they will not be disturbed (behind furniture, up high in a room)

•2.       Place charcoal briquettes in a container with holes in the top (good for absorbing pet smells, cigarettes smoke smells, and musty smells also helpful in absorbing moisture)

•3.       Utilize kitty litter to help eliminate unidentifiable sources of odor.  Place in containers under furniture of in out of the way areas.

Other Items that can be used to neutralize odors are:

•1.        A mixture of lemon juice and water use to spritz base boards.

•2.       Coffee beans to absorb kitchen smells.

•3.       Citrus fruits to deodorize garbage disposals.

If you are looking for more cost effective tips to help your home sell call me at 614-273-6406 or email me at Vanessa.simmons@realliving.com

Baking soda: http://www.greenlivingtips.com/articles/154/1/30-baking-soda-tips.html

Vinegar:  http://greenliving.lifetips.com/cat/63666/alternative-green-lifestyles/index.html#tip-118349

Charcoal:  http://www.goodhousekeeping.com/home/heloise/odors/basement-deodorizer-oct01