The following was taken from an article on MSN Real Estate.

Closing on a house can be joyful or horrific. Follow this advice for a smooth settlement.

You finally found the house of your dreams. You signed a contract and got approved for a mortgage. You've even hired the movers. Now comes the most important part: the closing.

In an ideal world, closing should be a mere formality, where homebuyer and seller sign on the dotted lines, exchange checks for the keys and shake hands. But this isn't an ideal world, which means that if you and the professionals you hired don't prepare, your closing could be a disaster.

Here are six tips for ensuring your closing goes smoothly:

1. Ask questions. Knowing what to expect and communicating with all parties involved in the deal are key to a successful closing. Talk to the people who are representing you ahead of time.

2. Anticipate human error. Missing loan documents could be enough to cancel the deal at the last minute.

3. Review loan documents in advance. One way to ensure all is going as planned is to tell the lender that you want to review the documents before closing, or ask your attorney to do so.

4. Take a check. Another reason to review the loan documents in advance is so you know how much money you must bring to closing. And yes, you will need a check at closing, most likely a certified one. Many buyers are so anxious and excited that they forget they need to stop at the bank to get the check.

5. Take the day off. A smooth closing may take less than 30 minutes, but you won't know for sure if your closing will go as planned until it's done. Trying to close during your lunch break is a bad idea.

6. Expect the unexpected - including typos. One of the biggest holdups in closings is when the mortgage documents are incorrect. Sometimes, you have to correct the interest rate, or the amount is wrong and you need to fix it. Because of a simple typo, your loan documents may need to be sent back to the lender to be redone. To prepare for these unexpected delays, borrowers should try to schedule their closings for earlier in the day. And don't wait until the last day on the contract to close - especially when you are buying a foreclosure or short sale.

Click here to read the full article.

The following was taken from an article on MSN Real Estate.

Summer is almost here, and it's time to get your house in order for the hotter months. For example, throwing open the windows to let in the fresh air and light means the sun's ultraviolet rays can kill many harmful bacteria. Here are a few more tips to ready your home:

1. Baby your cooling system - Change or clean your air conditioner's filter. Check the evaporator unit for dirt. Trim any surrounding shrubs. Remove, clean, and replace the pan from the bottom of the unit. Use bleach to keep algae, mildew, and mold from forming.

2. Put the furnace to bed for the summer - Hold the furnace filter up to the light to see if it's dark, dirty, and in need of a change.Vacuum the openings and grilles at heating and ventilation vents, registers, and ducts.

3. Service the furnace and air conditioner -  Call a professional to perform annual service on a furnace or ac unit. Act early to book an appointment so you can avoid the summer rush.

4. Replace vacuum cleaner bags - Remove the vacuum cleaner bag outdoors so you don't release dust and allergens back into the house. Wipe down the inside parts with a thin rag dipped in warm, soapy water and wrung out well. Let the machine air dry before installing a fresh bag and closing it up.

5. Vacuum refrigerator coils - Remove the front cover from the refrigerator and use the wand attachment on the vacuum cleaner to suck out the dust and dried pieces of food.

6. Store free-standing electric heaters - Dust, vacuum, or wipe down their surfaces and check cords and plugs for fraying and loose wires before putting them into storage.

7. Wash windows - Remove curtains and blinds. Clean windows and window trim, inside and out. Consider using a good-quality squeegee to reach higher parts of your windows.

8. Clean and repair window screens - On a sunny day, take window screens out of storage and dust with a soft cloth. Dip a big, soft-bristle brush in warm, soapy water and gently scrub each side of the screen. Hose off each screen and put them in the sun to dry. To replace a screen, remove the old tubing and lift off the screen. Cut the replacement screen larger than needed, then fit it tightly to the frame while tucking the tubing back into the channel with a screwdriver.

9. Maintain exterior siding - Maintain a space of at least two feet between your home's siding and plants to keep away damaging insects and moisture and to protect your paint. Where mold grows on siding, spray with bleach and water, let dry, and rinse with a garden hose. Use a power washer if necessary. If you see blistering, peeling, or thinning paint, schedule the paint job before the fall.

10. Check outdoor hoses and irrigation systems - Freezing and thawing can crack pipes and hoses, so turn on the water pressure and see how your irrigation system responds before you need it. Look for leaks, breaks, pooling water, or clogged sprinkler heads.

At the beginning of 2012, Dave Liniger, RE/MAX Co-founder and Chairman, predicted 1o real estate trends he thought we'd see this year.

Halfway through the 2nd quarter, how accurate do you think he's been so far?

Feel free to post a comment with your thoughts.

While you're at it, make sure you understand the difference between prequalified and preapproved.

The thought of shopping for a home loan can be daunting, especially when news stories talk about how tight credit is and how perfect your FICO score must be for lenders to even consider you.

There are specific strategies you should take when seeking approval for a loan. And you should know what documents the banks will need to give your funding the green light.

Before you start looking at houses, know how much you can afford. To get a rough idea, you can get a lender prequalification, a quick process that can tell you roughly how much home you can afford. This does not, however, mean you have secured financing, and it in no way obligates you to use that lender.

Preapproval is the next step and is generally more involved, requiring documentation of your income and assets. This tells you how much a lender is willing to lend you and at what rate, which you must know when you're ready to make offers.

Here's what you should count on getting together for this process:

• Two months of pay stubs.
• Two months of bank statements: That means checking, savings, brokerage and retirement accounts. Be sure to include all pages, not just the summary page.
• Two years of W-2s if you are a salaried employee.
• Two years of tax returns if you are self-employed.
• Rental history for the last two years if applicable.

Be prepared to show any other sources of income, such as child support, rental income, retirement income or commission, and bonuses for a period of two years. 'The lender wants to get a sense of your full financial picture.

That also means pulling a copy of your credit report. People with the best scores will have access to the best rates. But, even these days, you don't need a credit score of 700 to get a loan. In reality, those with scores above 580 still have access to credit.

And qualified borrowers without much of a down payment can still get a Federal Housing Administration loan that requires just 3.5% down. They will have to pay additional fees, as well as annual mortgage insurance, something folks with a traditional loan can cancel in as little as two years. Buyers with less than a 20% down payment are generally required to pay mortgage insurance.

Yes, it is more restrictive than it was a few years ago, when anyone who breathed could get a home loan. But it's not impossible. It really pays to shop around, since the availability of credit and the price of that credit is highly variable from one side of town to the other.

Before you start shopping, it's also a good idea to bone up on your mortgage knowledge. A survey released recently by Zillow showed that homebuyers answered basic questions about mortgages wrong about half (46%) of the time on Zillow's Mortgage IQ Quiz.

Find out everything you need to know about points, fees and ARMs before you commit to a loan. Most buyers spend just five hours researching their huge mortgage decision but spend 10 hours researching a car purchase.

Read the full article by Melinda Fulmer of MSN Real Estate here.

 

1. Follow your favorite airlines on Twitter. Many airlines offer exclusive deals and last-minute savings to their followers. Or, enroll in the airlines' frequent flyer program to receive specials and promotional deals via email.

2. Use online tools to your advantage. FareWatcher Plus™ from Travelocity allows you to track up to ten routes and receive notification when the fares increase or decrease by $25, or fall below a price that you set. Similarly, you can track flights to your destination with tripadvisor.com/Flights and receive an alert when prices drop.   

If you want to get away and don't have a specific destination in mind, check SkyScanner or Kayak's Explore feature, which allow you to type "everywhere" into your search destination to reveal deals to destinations around the world.

3. Check fares several times a day. Airfares can rise or fall at any time of day. Although fares are often released every Monday and Tuesday, there isn't a day where flights are cheapest. If you're traveling during a peak holiday time, consider extending your vacation by a few days to take advantage of lower fares on the days leading up to or following the peak time.

4. Book early for the cheapest fares. If you know your travel dates three to six months ahead of time, you can often lock into lower fares.

5. Consider adding a hotel to your package. You can often save money if you purchase  your airfare and hotel as a package, particularly, if you're booking last-minute travel fares. 

Current home trends often pique the interest of potential and recent buyers and curious people alike. Here's an overview of the characteristics of recently purchased homes.
 

Buyers are scooping up previously owned bargains. 84% of buyers purchased a previously owned home, compared to 16% who purchased a new home.

Detached single-family homes still dominate sales in all household compositions. 77%of all buyers purchased a detached single-family home, including:

• 83% of married couples

• 64% of single female buyers

• 64% of single male buyers

• 78% of unmarried couples

The suburbs remain a hotspot location for buyers. 51% purchased a home in the suburbs or in a subdivision. While suburbs were the top choice of buyers in all regions of the country, urban areas/central cities are gaining traction among first-time homebuyers (26%) and buyers in the West (23%).

Buyers purchased larger homes. The median size of a home has increased 120 square feet to 1,900 square feet.

The majority of buyers chose homes with three or more bedrooms (83%) and two full bathrooms (60%). 22% of all homebuyers purchased a home built between 1960 and 1984, followed by 21% who purchased a home built between 1985 and 1999. The majority of buyers in the Northeast (27%) and Midwest (23%) purchased a home built between 1911 and 1959, while the majority of buyers in the South (21%) and West (26%) purchased homes built between 1985 and 1999.

Your home is underwater and you want to sell. Should you pay for quick fixes that boost value?

Your home is worth less than you owe on it, and you need to sell. So what to do? Instead of skipping town, consider something altogether different: fixing it up.

Pumping more money into an underwater home may seem like an act of financial madness. Even sweat equity may seem like a misuse of time better spent putting in overtime or writing a new résumé. But, in some cases, a few thousand extra spent to liven up a dull kitchen or dingy bathroom could make the difference between a home that sells and one that doesn't.

There is no one-size-fits-all answer when deciding whether to put more money into an underwater home or to simply cut your losses. The answer may depend on where you live and how submerged your home is.

Some factors to consider:

• How far underwater is your home? One good indicator is how far home prices in your market have fallen from their peak. In some markets, prices have dipped but are still within striking distance of their high point.

• Are you in a fix-up market? Spending a thousand or two on some modest renovations – or, in special cases, even adding a bathroom – could snare a buyer and fetch a better price.

• Conversely, are you in a price-is-everything market? In states with a vast supply of new homes, such as Florida, Arizona, Nevada, and parts of California, a homeowner who does a major renovation before selling may simply be seen as an oddball.

• Stick with easy to midrange fixes. There is fixing up and then there is really fixing up. At some point, you need to be prepared to draw the line between what's practical to do and what's not.

• What is your financial state? If you are falling behind on your mortgage and trying to do a classic short sale, you might want to keep your investment limited to the sweat-equity kind.

For more on this topic, click here.

So you've found your dream home - but what about the community around it? If you make one of these common blunders, that home may not be so great after all.

Most people focus on the house itself when looking for a new home. What they should really start with is concentrating on the neighborhood.

Even if you have a glorious house, your lifestyle will suffer if the neighborhood isn't a good fit.

Here are the five biggest mistakes people make in choosing a neighborhood:

1) They think short-term. If you're in a transition (divorce, starting a family, downsizing), don't buy from your old mindset. Get advice tailored to your situation by talking to someone in similar shoes as yours.

2) They assume and don't verify. If you hear that an area has a low crime rate, good schools, or low taxes, do your homework and get it in writing.

3) They underestimate or ignore the commute. You won't be soaking up the ambiance of your gorgeous neighborhood if you have to get up at the crack of dawn and get home after dark. Plus, you'll spend all your money on gas. Try driving to your work from the neighborhood during your regular commute time and see how long it takes.

4) They don't check out the neighbors. Choose wisely and you increase your chances of potlucks, pleasant conversations, and a peaceful night's sleep. The wrong fit can lead to isolation, tension, and tears. Get out of your car and walk around the community, talking to people to get a feel for the neighbors.

5) They don't consider an area's amenities or culture.Are you the type who prefers fast food, family-style restaurants, movie theaters, and a bowling alley? Or are you more used to galleries, live music, and sushi? Spend a weekend getting familiar with the scene.

Remember - your next home is probably going to be a place where you live for a long time. Do enough research to make sure you'll be comfortable living in that location.

Click here to read the full article on MSN.

If you're thinking of buying a second home, here is some must-know information to consider BEFORE make your next purchase. Click below to watch the video.

This is part 2 of 2.

As I mentioned in Part 1, the process of negotiating a short sale is improving. Yet, there is still a long way to go!

Having made the initial contact with the Lender regarding an inquiry for one of my short sale listings, I was faced with the reality.

A friendly voice answered the call:  Great! A positive beginning!  Followed by The Awakening!

This friendly voice listed the steps that the Seller and I would need to follow.  Not a problem!

Then, she forewarened me that we should expect  the process to take 4.5 to 5 months before we could actually close.  Her explanation: there were only three Negotiators in this company to handle all the files.

No wonder many Agents shy away from the short sale!

So ... How are we as Agents to handle these short (long) sales?

While the following 8 suggestions may not shorten the process, they do go a long way toward helping all parties involved: the Sellers, Buyers, Co-operating Agents, Attorneys, and the Lender(s).

1. Maintain a positive attitude. Having successfully brought numerous short sales to closing, I trust my experience and ability to get the job done.

2. Remain calm. No matter how frustrating the process, we're the professionals. Stay calm, friendly, and professional at all times.

3. Prepare all parties. While the Offer between the Seller and Buyer is being presented and accepted, prepare them and the co-operating Agents for what to expect and remind them to be patient throughout the process. Patience is key.

4. Establish a positive, professional relationship with all the "powers that be" on the third-party side of the transaction, no matter how low on the totem pole they may be.  I remind myself that they're doing their jobs to the best of their ability.

5. Show respect to all parties. Remember the words we were taught as children: Please! and Thank you! They still work. If I have a physical and/or an e-mail address, I send a message of thanks.  This message must be genuine and sincere.

6. Make sure that all paperwork has been submitted in a timely manner.  When taking a short sale listing, I prepare the Sellers for the paperwork that may be required and  instruct  them to confirm with their Lender precisely what paperwork  is required. Note: in most cases, a Negotiator will not be assigned until all of the paperwork has been submitted.

7. Communicate! Communicate!  Communicate! Be sure to keep all parties in the loop; it's critical to keep them informed every step of the way. I've developed a system and a habit that works for me. As soon as I've had a conversation with someone representing the short sale, I e-mail all parties summarizing the details of the conversation and any steps that are required as we move forward. I also note the date of my next call to the Lender and/or Negotiator.  And most importantly... follow up on the designated date.

8. Keep records - You know ... the "cya" system.  I have developed 2 tools that prove useful and are ready references throughout the process: (a) The first is to keep a log and enter details of all the communication, including date, time, the name(s) of the people I've spoken with, phone numbers with extensions, e-mails, and a summary of the conversation; (b) Second, I create a folder in my Outlook for e-mails on that transaction where I store all received and sent messages.

While the short sale process may be intimidating and time-consuming, following these 8 steps will help move the sale to closing.

What's success for a short sale? By being patient, professional, and diligent, we help our Sellers and Buyers move forward through a very challenging process. For me, that's success worthy of all the effort!