My Denver Colorado :: Real Estate, Business, Web Design, Health, Auto, Carpet, TravelNews & Information for Denver & The World

Understanding how home financing works in Denver can be the difference sometimes in getting a loan

Sometimes loans don’t close when they are supposed to close. What exactly can cause your loan closing to be delayed? In today’s environment, a refinance can get moved with the blink of an eye. You’ve been bumped! But a purchase, too?

You are all packed, and it’s the eleventh hour before closing. Your phone rings and it’s your home financing lender with bad news. Your loan’s not going to close tomorrow. Everything’s ready, the utilities are being turned off tomorrow, and the movers are showing up! Why is this happening?

There are so many moving pieces to a puzzle of a loan closing. Everything has to be coordinated to make it go smoothly. For instance, get the requested documents to your lender as soon as possible. If you dilly dally, you may run into problems. You see, your lender has a whole pipeline of loans, as do all the other mortgage lenders that work for that particular company. All of these loans have to be reviewed by an underwriter. So, basically, your loan has to take a number. And if you’re not prompt, your loan may go to the back of a very long line. Most people want their loans to close at the end of the month, so you can imagine the huge glut and back up that occurs. Thus, be prompt and responsive to your lender’s requests to allow everyone time to do their job.

Also, don’t quit your job and expect to close because your approval depends on you receiving proven income. On the day of closing, a lender is going to make a call to ensure you’re still employed. Funny, but your ability to repay the loan is important when someone’s fronting you thousands of dollars. No job, no moola.

Make sure you choose a Denver home financing expert.  There are lots lenders out there but make sure you have one that you can trust to get your loan done on time and understand’s the Denver market.

If you’re selling your home in Denver, be sure you’re ready for that final walk through. If the buyers are expecting you to leave the bathroom mirrors and the curtains, then don’t pack them up. The house should be broom clean (unless otherwise noted in the contract) and there shouldn’t be any new damage or sudden repairs needed that previously didn’t exist.

Weird things can happen, too. I know of a loan that was delayed in closing because two days prior to the deadline the title company found out that the builder/seller had filed bankruptcy. It seems that he was not in a position to sell the home anymore, and he failed to tell anyone (however, the new owner who got the property in bankruptcy was happy to sell, but closing was delayed). Another odd tale was that of the seller who failed to disclose he had a $49,000 tax lien outstanding on a property. He didn’t feel it necessary to mention this situation to anyone. It was pretty much a deal killer, as you can imagine.

Another thing that can cause a hiccup is failure to alert anyone that that one of the parties (buyers or sellers) will be out of  Denver for a closing. These situations aren’t insurmountable, but they require careful planning and coordination. Sometimes, the contract changes and the lender isn’t notified until after the loan is fully underwritten. Contract changes usually require a loan to be shot back through underwriting. Remember, you get in the back of the line.

With today’s refinance boom, the majority of lenders can’t give their customers a firm closing date when scheduling their refinance closing. Purchases will typically take precedence in this environment. That means although your refinance is waiting line patiently, it can get bumped. Like an oversold flight at the airport. You just have to be patient and get re-routed. Within reason of course. Just don’t lose sight of the end goal!

The moral of the story is to listen to your Denver home financing lender and keep an open line of dialogue going. Keep the him/her aware of changing situations. Email is great tool for use in accomplishing this purpose. It takes only a minute or two and can save everyone lots of heartache in the long run.

To being your Denver home financing visit www.jerrybeckerandassoc.com.  They are Denver’s experts in home loans.

Stock investors like to purchase “Corporate Security.” Real estate investors like to purchase “A Piece of the Rock”. Commercial real estate Investors who purchase a single tenant triple net NNN property (NNN property) get both corporate security and a piece of the rock.

Commercial property Investors, 1031 exchange and 1033 exchange buyers love NNN property because they get a dual guarantee. Lease payments for NNN property are normally corporately guaranteed – the same guarantee as a corporate bond from the S&P rated parent company. In addition, if the worst case scenario happens and the tenant is not able to fulfill their obligations, the investment is secured by the underlying real estate.

Everyone has seen “great companies” go bankrupt. If you own a stock or a corporate bond in a company that goes bankrupt, you own nothing.

Think of NNN property as a corporate bond secured by real estate.

Please view our available NNN properties at www.1031tax.com. Call 1031 Tax with ANY questions.

Alan Fruitman
www.1031tax.com
1.800.454.0015

Examples of single tenant triple net NNN properties with long-term corporate leases include Advance Auto Parts, Arby’s, AT&T, AutoZone, Bank of America, Burger King, CVS, Dollar General, Family Dollar, Home Depot, Chase Bank, KFC, McDonald’s, Sherwin Williams, Verizon Wireless, Walgreens and more…

1031tax.com believes it is very important for your advisors to participate when you buy or sell a 1031 exchange property. Therefore, as a valued client, 1031tax.com will contribute $2,500 toward your Attorney or CPA fees. View www.1031tax.com for specific details.

The Duke Fyffe Real Estate Group are EXPERT REALTORS specializing in Castle Pines  Homes for Sale, New Homes, Home Foreclosures, townhomes and 1031 Investment Properties in Colorado.

They remain diligent in encouraging home buyers to manage their home financial resources more effectively by having all of the Real Estate and Mortgage Loan information required before a final decision is made.

Homeowners can feel comfortable with their Real Estate and Mortgage choices, especially when choosing a Castle Pines REALTOR they can trust! The Duke Fyffe Real Estate Group believes in their slogan because an Expert Realtor is essential and Expert Results should be expected. They want the client to be so happy with their REALTOR selection that the client will be proud to refer the Duke Fyffe Real Estate Group to their family, friends, and co-workers. We GUARANTEE the satisfaction of our real estate services IN WRITING!

Your real estate agent for Castle Rock, Castle Pines homes for sale and Caste Pines real estate. Proudly also servicing Highlands Ranch, Lone Tree, Parker, Englewood, Centennial, Littleton, Aurora, Castle Pines and South Denver’s real estate needs. Find the best homes for sale now and use the best real estate agent.  Visit Castle Pines realtor Duke Fyffe’s website at www.dukefyffe.com.

So you’re ready to sell your house in Colorado. Now what? If it has been years since you’ve sold a house — or you’ve never done so — here are some questions and answers about how the process works.

Q: How do I find a good Castle Rock, Colorado real estate agent to sell my house?

A: “Choose a real estate professional with as much care as you would a lawyer or doctor,” the Denver MLS recommends on its website. The best way to find a good agent is through referrals from friends, neighbors and co-workers who have recently sold a house or are in the process of selling one.

Be sure to find an agent who is familiar with your area, even your neighborhood, because different towns and the neighborhoods within them often have vastly different market conditions. An agent who doesn’t know property values in your area can be a liability.

The book “House Selling for Dummies: The inside secrets to selling in any market — with tips on using the Web and understanding revised tax laws” ($19.99, Wiley, 352 pages) by Eric Tyson and Ray Brown has an extensive section on interviewing agents. They suggest asking each agent after your interview to provide the names of every buyer and seller they’ve represented over the past year, along with the original asking price and selling price of their homes. Choose a few people on the list and call them and ask about their experience. “Any agent who refuses to give you an activity list is trying to hide either a lack of sales or unhappy clients,” according to the authors.

Q: Shouldn’t I just choose the Castle Rock real estate agent who will list my house at the highest price?

A: No. The most important factor to consider when selling a house is the price, but the price must be based on the market in your neighborhood, not what you think your house is worth. “You don’t want to overprice the house, because you will lose the freshness of the home’s appeal after the first two to three weeks of showings,” says Elizabeth Weintraub, who writes about home selling and buying at www.homebuying.about.com. “On the other hand, don’t worry about pricing it too low because homes priced below market value often will receive multiple offers, which will then drive up the price to market.”

Some agents promise unrealistically high prices in order to get a listing. Overpriced houses typically linger on the market; price cuts have to be made; and sellers lose money in the end because they have to pay more in mortgage payments until the house sells.

Good Castle Rock  real estate agents present sellers with a list of selling prices of comparable properties in their area before suggesting a selling price. The seller makes the ultimate decision.

Q: What is the difference between a real estate agent and a broker?

A: A broker supervises real estate agents, because, by law, agents cannot work on their own. To become a broker, a real estate salesperson must have a number of years of full-time real estate experience and meet special educational requirements. Brokers also can sell real estate.

Q: Are agents’ commissions negotiable?

A: Yes. By law all commissions are negotiable. According to Weintraub, “Some agents will agree to a fee reduction right off the bat. Others will discuss it. But nobody will feel upset that you asked. It’s expected.”

The commission for a full-service agent typically ranges from 4 percent to 7 percent of the sale price of a house, and is paid by the seller. If your house sells for $250,000, with a 6 percent commission you’ll pay the agent $15,000. If the commission is 5 percent, you’ll pay $12,500. That’s quite a savings.

Q: What should I get for that commission?

A: A professional who will manage the sale of your home from listing to closing. A good agent will advise you on what repairs and improvements to make to improve your home’s marketability; help you price your house based on the selling prices of current similar houses in your area; market your home by advertising in newspapers and on the Web; schedule appointments for potential buyers to view your house; handle negotiations with buyers on the offers you receive; schedule the buyers’ home inspection; and make sure you understand and sign required state and federal forms.

It is important to hire a Web-savvy agent, as 90 percent of buyers today start their search for a house on the Internet, according to a 2009 survey by the National Association of Realtors. Your agent should post attractive photographs of the interior and exterior of your house on the Web.

“Listings without a photo or with only an exterior shot are often passed over and ignored,” according to Weintraub, who recommends posting photographs of every room in the house. (She also suggests putting floral arrangements in kitchens and dining rooms for photographs.)

Weintraub also recommends virtual tours. “Virtual tours aren’t just to showcase million-dollar homes anymore. Every home should have a virtual tour, even if it’s only two spins,” she writes. “Buyers love, love, love virtual tours.”

Q: Should I have my agent hold an open house?

A: Yes and no. Many people who attend Sunday open houses are not legitimate buyers. “You get lookie lous trying to pick up some decorating hints and curious neighbors who always wanted to know how your house looks on the inside,” Tyson and Brown write.

On the other hand, they add: “You also get real buyers who were attracted by your open house sign.”

Realtor Duke Fyffe, owner of Duke Fyfee Real Estate Group in Castle Rock, said: “The more exposure you get the house, the better chance you have of getting the right buyer to the door.” He said about half of his clients hold open houses.

Q: What if I want to save paying a commission and sell my house myself?

A: You will have to do all of the above on your own. This means you will have to be available weekdays, nights and weekends to show your home to potential buyers. This is a time-intensive process, but might be worth it if your home is particularly marketable.

About 20 percent of the houses sold in the U.S. each year are sales made directly by property owners without using a real estate agent, according to Tyson and Brown, who write in their book: “The Internet offers for-sale-by-owner [FSBO] house sellers a potentially powerful marketing medium. Don’t think, however, that just throwing your house on the Web is enough to sell it for top dollar …. We know some people who’ve successfully sold their houses by themselves and others who’ve made a major mess of their transactions.” Experts recommend that you hire a good real estate attorney if you decide to go it alone.

For more information on Castle Rock real estate visit www.dukefyffe.com/