Andrea Pokorny

Real Estate Terms "E"

2009-05-31T21:16:00Z

Earnest Money -Also known as the Escrow Deposit. This in money paid by the buyer at the time an official offer to purchase is submitted to the seller, inteded to demonstrate the good faith of the buyer to complete the purchase. Earnest money is applied against the purchase price when the sale is complete. The Earnest money may be forfeited if the buyer fails to complete the purchase under the terms of the purchase contract.

Easement-This is the right to use the land of another person.

Encroachment-This condition limits the interest in a title to property, such as deed restrictions, mortgage, unpaid taxes, easements, etc...

Equity Mortgage- A mortgage that is based on the equity in the borrower's home instead of on ther credit worthiness.

Escrow Amount- A third-party account used to retain funds, including the property onwer's real estate taxes, the buyer's earnes money, or hazard insurance premiums.

Exchange-The trading of equity of one piece of property for equity in a different property.

We'll cover "f" next week!

"B" and "C" Real Estate Terms

2009-05-04T02:13:00Z

Balloon Mortgage: A short-term mortgage, generally at a fixed rate of interest, to be paid back in predetermined, equal monthly payments with a large final payment for the balance of the loan to be paid at the end of the term.

Broker: A person licensed to represent home buyers or sellers for a contracted fee. Brokers manage real estate offices and employ licensed agents to sell properties.

Bridge Loan: A short-term mortgage made until a longer-term loan can be made; it's sometimes used when a person needs money to build or purchase a home before the present one has been sold.

Building Codes: State and local laws that regulate the construction of new preoperty and the rehabilitation of existing property.

Cap: A limit on the total amount an interest rate can be increased in a specified time and over the lifetime of an adjustable-rate mortgage.

Capital Gains: The taxable profit derived from the sale of a capital asset. A gain is the difference between the sale price and the basis of the property, after making appropriate adjustments for closing costs, fix-up expenses, capital improvements, allowable depreciation, etc.

Closing: The final settlement at which time the title is transferred from seller to buyer, accounts are settled, new mortgages are signed, and all fees and expenses are dispersed or satisfied.

Closing Costs: All fees, taxes, charges, commissions, surveys, lender fees, inspection fees, and other costs paid by the buyer and/or seller at the closing.

Commission: A previously agreed upon percentage of the home's sale price paid to the listing and selling agents(s).

Comparables: Similar properties in type, size, price, and amenities that have sold recently, been adjusted, and are used for comparison in the appraisal report.

Condominium (condo): Real estate ownership in which a property owner has title to a specific unit but shared interest in common areas.

Contingency: A condition that must be satisfied before a contract is binding.

Contract: An agreement to do or not to do a certain thing.

Contract for Deed: A contract ordinarily used in connection with the sale of a property in cases where the seller does not wish to convey title until all or a certain part of the purchase price is paid by the buyer.

Contract of Title: A summary or digest of the conveyances, transfers, and any other facts relied on as evidence of title together with any other elements or records that may affect the marketability of the title.

Conventional Mortgage: Most popular home financing form not insured by Federal Housing Administrations (FHA) or guaranteed by Veteran's Affairs (VA). Available from many lenders at varying rates, terms, and conditions.

Conversion Clause: Clause in an ARM permitting conversion from an adjustable loan to a fixed-rate loan.

Counteroffer: An offer made by a buyer or seller to the other party, responding to the asking price or a subsequent adjustment to that price to complete a purchase of sale.

CRV: Certificate of Reasonable Value. A document of appraisal issued by VA establishing their opinion of the maximum value.

Curb Appeal: A term used by REALTORS that encompasses all that a buyer sees from the street that may induce the buyer to look more closely at the property.

Real Estate Terms Made Simple! "A"

2009-04-25T21:11:00Z

Knowledge is power! A Glossary of Real Estate Terms will help you to untangle the complicated web of current real estate language.

I'll add weekly to my real estate glossary starting with "A" and ending with "Z" . Feel free to contact me with any questions regarding the local real estate market of Williamsburg Virginia.

Abstract of Title - The summary of the public records relating to the ownership of a particular piece of land. It represents a short legal history of an individual piece of preoperty from the time of the first recorded transer to present.

Acceptance - Consent to an offer to enter into a contract.

Adjustable Rate Mortgage (ARM) - A mortgage in which interest and payment rates vary periodically, based on a specific index, such as 30- year Treasury Bill or the Cost-of-Funds Index.

Adjustments - Money credited or debited to either/both buyer and seller at closing, including real estate taxes, association fees, gargage fees, rents, etc..

Agency - A mutual-consent, legal relationship in which a seller or buyer engages a broker-agent in the sale or purchase of property.

Agent/REALTOR - A licensed person who represents the seller (and/or buyer) and who provides market assessment, offers sales or buying strategy, recommends various services and sources important to the seller or byer, is a memeber of the National Assocations of REALTORS (NAR), and subscribes to NAR's strict Code of Ethics.

Ammortization - A method by which monthly mortgage payments are equalized over the life of a loan, despite the fact that the proportion of principal to interest changes.

Annual Percentage Rate (APR) - The total finance charge (interest, loan fees, points) expressed as a percentage of the mortgage amount.

Appraisal - A professional and unbiased written opinion of a property's value that is based on recent, comparable sales; quality of construction and current condition; and style of architecture.

Appreciation - Increase in value to any cause.

Asking Price - The price at which a property has been placed on the market for sale.

Assessed Value - The established value of a property has been placed on the market for sale.

Next Up "B" terms!

Negotiating Factors and Accepting an Offer

2009-02-26T13:17:00Z

Negotiations for the sale of a home can be affected by emotional factors. For example, it is easy to be offended by someone who is making an offer on your property. Even if the buyers love your house, they are trying to negotiate the best possible price and terms. They probably will not let you know how much they want your home until they have negotiated a purchase agreement.

Buyers almost never write offers that please the sellers entirely. Offers and counter offers may be traded back and forth over days or weeks. Terms of the sale will be discussed and deadlines will be set. When there is finally a meeting of the minds, both sides may feel relieved but exhausted by the process. One of a real estate agent's most important jobs is to act as the intermediary during such negotiations. With our knowledge of financing, negotiation procedures, and the tax laws affecting real estate sales, we come up with creative solutions to the challenges that may arise.

Your real estate agent has just brought you an offer on your home, and you want to think about it. You would like your agent to contact the other people who have shown an interest in your home. Whether your home has been listed for three days or three months, there is always a desire to hold out for a better offer, and sellers can feel considerable resistance to making a decision.

Some buyers will include in the offer a deadline for getting a response, but the seller should respond to an offer quickly even if a deadline is not specified. The interval between when an offer is submitted and when a response is made is a crucial period because the buyers are free to withdraw from the transaction during this time. Even though they are mentally landscaping your yard and arranging their things in your rooms, they may also be afraid that they will get the house, and are, therefore, extremely vulnerable to buyers' remorse.

Your best bet as a seller is to already have had a number in mind that would be acceptable to you. This will help move the acceptance process along. With the economic climate of today being in the buyer's favor, It is wise to consider any fair/reasonable offer that would allow you to move on comfortably.

Preparing for your Move!

2009-02-16T02:30:00Z

There are so many things that must be done before the big moving day! Here is a helpful list to assist with the process!

Transfer or cancel deliveries of newspaper, garbage collection, etc...Coordinate the transfer of your gas and electric services to the new homeowners. One of the benefits of purchasing a home through Liz Moore is that we coordinate the hookup of the utilities of your new home FOR YOU!
Check on personal items that may be in a safe-deposit box, at a neighbor's home, on layaway, or something you may have being repaired.
Arrange for the transportation of your plants and pets.
Keep the phone book from your former residence for tying up loose ends or for future correspondence.
Transfer insurance policies and arrange for the new policies to take effect.
Personally gather all valuables, jewelry, and important papers. Plan to move these items yourself.
If you're driving to your new home, make sure your car has been serviced for the trip.
Just in case you arrive before the movers, you should pack an arrival kit full of necessities.
Purchase moving insurance! Most movers liability for lost or damaged goods will not come close to replacement cost.
If you're crossing state lines, check with an attorney about your will.
Ask me for professional referrals. (Doctor, Dentist, etc.)
Let everyone know that you've moved and provide them with your new address: post office, banks, charge accounts, subscriptions, relatives and friends, national and alumni organizations, mail order clubs, church, and your past employer to ensure receipt of W-2 forms and retirement-account information.
You can use old address labels when filling out change-of address forms for your new address. A real time saver!

Meeting with your Agent for the First Time.

2009-01-20T20:14:00Z

When a real estate agent begins to work with a new buyer, we will sit down with you, ask a number of questions, and listen carefully to your answers. Our purpose during this initial interview is to explain the laws of agency to you as well as get a clear idea of what kind of property or home you are looking for and your approximate price range. We explain how we will function as your real estate representative, what the local home buying market is like, and what we can do to help you locate that perfect home. As a buyer you should always hire a buyer’s agent to represent your best interests. A buyer’s agent ensures your interests are looked after and could save you significant amounts of money in the long run than if you do not have one.

This is very important when it comes to new construction sites. Be aware that once you sign in to a new construction site that you very well may have just signed away your right to your own representation. So even before looking at new Williamsburg real estate on your own, it would be beneficial to have a buyer’s agent with you. The sales representative at the homesite represents the builder and their job is to get the builder the most they can. You will not save any money buying a home without a buyer's agent. In fact, you may lose some money if you do not!

It is important for you as a prospective home buyer to be as clear as possible about your real estate needs. After we have talked and you have decided how much you can comfortably spend, we will know how to facilitate your home search. We won't take you through a three-story colonial with a top floor master suite if you want to avoid climbing up and down stairs! Establishing clear communication with our clients helps us save you hours of unfocused house hunting. It's the only way!

The Overpricing Impact!

2009-01-17T21:46:00Z

Trying to sell a home in this "buyers" market is hard! Trying to sell your overpriced home is virtually impossible! What is the impact of overpricing your home with the current market conditions?

You are helping your competition sell their home.
It reduces the activity of showings.
The advertising response will be reduced.
You will send interested buyers to other properties.
The wrong prospects are attracted to your property.
The chance of getting an offer is slim to none.
It can cause a problem with the appraisal!
Extends the time it will be on the market.

It is a mistake to believe that you'll get more for your home by asking more money. Having your home priced well in this market is invaluable.

Contact me for a free market evaluation of your Williamsburg VA home today!
Andrea Pokorny, Realtor
http://www.williamsburghomefinder.com

Preparing Your Home for a Last Minute Showing!

2009-01-07T15:06:00Z

Let's face it, no one likes surprises when it comes to showing their Home! Unfortunately, in this current market it is imperative to be ready at a moment's notice. What can you do to get "ready in a jiff"? Before you get started...if you have some vanilla, warm it on the stove to give your home a welcoming scent. Don't forget to put it away before your showing occurs.

1. Make sure that your front door presents well. Sweep your steps, freshen porch or stoop plants by the door, dust cob webs or dirt away from the door if necessary.

2. Quickly pick up any out of place objects and store them away out of sight.

3. Turn on lights.

4. Pull open all window treatments to let in the best possible natural light.

5. Throw any dirty laundy inside the washing machine.

6. If you have time to run a vacuum or a quick sweeper, do so! The fresh look it gives your floors will be worth it.

7. Give counters and tabletops a quick wipe down.

We would all love to have our homes in show room condition 24/7, but we also know that we must live there! Do your very best to make sure that your home is presented in its very best light. But more importantly, make sure that every potential buyer has a chance to see it..Accomodate showings whenever feasibly possible.

Locate Your Lifestyle!

2009-01-01T15:34:00Z

If you are looking for a new home in Williamsburg or elsewhere, it is important to communicate with your real estate agent about any special aspects of your lifestyle that will influence your choice. This information will help your agent to locate the perfect home for you and your family.

Are you a gourmet cook who loves giving lots of parties? Do you want space to accommodate hobbies such as painting, photography, or woodworking? Will your decision be influenced by the accessibility of a community gym, a golf course or tennis courts? Does your son need space to rehearse with his rock band? Do you need a home office? Are you planning to enlarge your family? Is there someone in your household who cannot climb stairs?

Knowing the significant factors that will influence your housing decision helps us to narrow the selection of homes on the market.

Help us to help you!

Andrea Pokorny, Realtor
Liz Moore & Associates
http://www.williamsburghomefinder.com
Licensed in the State of Virginia

Preparing Your Home Exterior To Sell!

2008-12-19T13:23:00Z

When prospective buyers first approach your home, they form an opinion quickly: Do they want to look inside based on what they see outside. Having a neat, attractive yard entices a buyer to come inside! It is so important to carefully evaluate every inch of your yard.

Suggestions...

1. Make sure your yard is mowed, raked, fertilized and watered
2. Remove any unsightly patio furniture, bikes and toys, trash, debris, etc...
3. Keep your trees and shrubs trimmed and pruned. Weed your lawns and gardens regularly.
4. Keep your garden equipment and hoses out of sight.
5. Stack Firewood out of eyesight.
6. Outdoor furniture should be cleaned/repaired/painted as needed to make that promising 1st impression.
7. Remember to clear any debris from walkways and paths. If you live in the North, always remove snow and ice before a
showing. Keep your curbside and edges trimmed neatly.
8. Keep your mailbox painted if necessary. Please be sure that your street number is easily seen.

The Outside Maintenance of Your Home is a Main Consideration for Buyers...

1. Paint your entrance doors. This entry point will form the buyers first opinion about what's to come...
2. Porches, steps, verandas, patios, balconies and other outside areas should be swept, uncluttered and in tip top shape!
3. If you have awnings or shades that are faded or dirty, remove them or have them replaced. Remove windsocks, chimes,
etc...
4. Cover trash cans and keep them out of sight. Deodizing them helps too.
5. Any gates, decks, sheds, or exterior buildings should be cleaned, repaired and painted as needed.
6. If there are any loose roof shingles or tiles that need to be secured or replaced, do it!
7. Paint chimney vents. Inspect and repair any loose stones or bricks. Check to ensure that the caulk where the chimney
meets the roof is in good condition. Repair if necessary.
8. Clean and "freshen up" all metal door knobs, knockers, lamps, street numbers, etc..

Remember...Investing in the exterior of your home will set the tone BEFORE the buyer even takes a step inside.

Andrea Pokorny, Realtor
www.williamsburghomefinder.com

Follow these links for more information on selling your home!

http://www.williamsburghomefinder.com/Seller_Articles/page_2033976.html

http://www.williamsburghomefinder.com/Market_Analysis/page_2033981.html

http://www.williamsburghomefinder.com/Home_Staging/page_2103268.html

Making your Dream Home Come True

2008-12-07T23:07:00Z

Is it time to initiate the purchase of your first home? You may be starting a family and outgrowing your small apartment. If the time seems right to seriously consider buying a house, but you are afraid you don't you have enough cash, don't worry!

Real estate agents are experienced in helping first-time buyers locate the financial resources to make such a move. The first step is to sit down with an agent who is familiar with available loan programs. You will need money for the down payment, and your income must be high enough to meet the lender's qualifying standards.

We may be able to minimize the amount of cash needed with a little help from either the sellers or the loan company. You might be able include some of the closing costs in your mortgage. The sellers might consider a lease/purchase agreement which would allow you to rent for a few months while accumulating the funds you need. If you are ready to buy your first home, let your real estate agent assist you in making your dream a reality.

If you are considering buying your first home visit my website www.williamsburghomefinder.com You can start your search there..There are plenty of Williamsburg Homes to view and local information too.

Regards,
Andrea Pokorny, Realtor
Liz Moore & Associates

Home Inspection

2008-12-04T06:12:00Z

Your real estate agent's job is to find you the perfect home, in the right location, with all the amenities you want--and at the right price. It is the home inspector's job to find any skeletons in the closet -- or in the plumbing, wiring, roof, basement and beams.

The inspector won't pass or fail a home based on what he or she finds, but will go over the house thoroughly to help you understand the condition of the property you are buying. If there are any serious problems, your inspector can give you a realistic idea of how much the repairs will cost. If there are material defects that were not reflected in the asking price, you will have the opportunity to re-open negotiations with your sellers before you commit to the purchase. A good inspector will also explain the operation of the basic emergency systems such as the main water cut off valve and the circuit breaker box, and will go over items that will need routine maintenance.

If you are buying a house, we recommend that you make a professional home inspector part of your home purchase team.

Now let's go find your new home!

Regards,
Andrea P. Pokorny, Realtor
Liz Moore & Associates

Real Estate Repairs

2008-11-26T19:25:00Z

In most real estate transactions there are a few responsibilities that the sellers need to handle before the closing, such as repairs and termite extermination. The deadline for completing these obligations usually coincides with the actual closing. Many sellers procrastinate and have to rush to get the required items repaired. Don't wait! Those who wait until the last minute to handle these matters may miss the deadline altogether or pay high rates in order to get a plumber, roofer or electrician on an emergency basis.

Your buyers will most likely get a home inspection done after the contract is ratified. Within 30 days of the contract's closing date, the termite moisture inspection will be scheduled. Even though sellers usually know well in advance what is needed, they sometimes put things off until the buyers have finalized the loan approval process. Since these repairs will have to be made anyway, it is a good idea to get them done promptly so as not to hold up the closing. As soon as the repairs are agreed upon, go ahead and make your repairs..You'll be glad you did!

Andrea Pokorny,Realtor
www.williamsburghomefinder.com

The Seller May Pay...

2008-11-22T15:25:00Z

The costs of buying a home in Williamsburg may be daunting. For example, you may have finally saved enough for a down payment on your first home, with a little left over to buy the furniture you will need. Then you hear about having to pay closing costs you weren't anticipating, and this may seem like a real setback.

One way to cover such a shortage is to make the sellers an offer that calls for them to credit you for some of the closing costs. As a rule, the sellers may pay a maximum of 3 percent of the sales price if the buyer is putting five percent down. If the buyer is making a down payment of 10 percent or more, the seller can contribute up to 6 percent of the sales price to cover the buyer's closing costs. Some items, such as prepaid taxes and the first month's mortgage payment, must be paid by the buyers. Sellers may also contribute to paying the appraisal, points, title insurance, settlement attorney fees, state or local transfer taxes and similar items.

Keep in mind that if the credit is included in the price of the house, the appraiser will have to justify the amount, based on sales prices of similar homes in the neighborhood. With the recent changes in "the approval process" asking the seller to contribute may be the key to getting you into your new Williamsburg home..

Andrea Pokorny, Realtor
Licensed in Virginia
Exit Realty Deierling & Associates
701-C Merrimac Trail
Williamsburg VA 23185
www.williamsburghomefinder.com

Bargaining!

2008-11-19T13:09:00Z

You've done everything that your agent recommended to make your home look wonderful and you have cut your asking price to the bone. Even so, an offer comes in which is so low that you are offended! Is it possible to reconcile your differences and reach a meeting of the minds when presented with such an offer?

It may not take many concessions on your part to make the transaction work if the people who love your house also love to bargain. Even though it may seem that you are far apart in dollar amount or terms of sale, the real distance may not be all that great. Your real estate agent can help you determine if the buyers are ready, willing and able to carry through with the transaction. If they are qualified, the next step involves evaluating your differences. Look for areas where you have some flexibility to negotiate. You may have to go back and forth several times in order to make the transaction work. The trick is to be patient and to not take the process personally!

They purchaser's want to buy and you want to sell...When both sides give a little, the end result is usually a positive one!

If you need help buying or selling real estate in Williamsburg VA, please visit my website www.williamsburghomefinder.com

You'll find information on real estate in Williamsburg, James City County, York, Yorktown, Newport News, Gloucester and all of Hampton Roads.

Sincerely,

Andrea Pokorny, Realtor
Exit Realty Deierling & Associates
Licensed in VA