Austin Luxury Homes

My good friend and one of the internet marketing outsourcing leaders you should follow, Jeff Mills, has just updated his content and is giving away a FREE CD to teach you about Outsourcing your real estate business and working with Virtual Assistants.

From writing articles, doing Pay Per Click marketing, doing videos, setting up a WordPress blog, or forum marketing, we believe we have to know it all and do it all. According to Jeff, most marketers fail because their tasking organizational chart is filled with nothing but ‘YOU’. While it’s possible for us to know everything, it’s also not very realistic if we want a life. Working from home or running an real estate business was about creating more time freedom for ourselves, not less.

The solution that Jeff has for all this? Easy. Outsource your work to the skills, talents and special abilities others. Most are not even aware that there are websites that are devoted to people offering their services for hire at rates that will blow your mind. Everything that you could possibly want done in your business, you can pay someone to do it for you at a price much lower than you think.

For the past couple years I have been learning these principles from Jeff and have found them to work well for my own real estate business. I want to live the 4 hour work week lifestyle and I am doing it because of Jeff’s coaching and guidance.

You need to get a copy of Jeff’s FREE CD and learn how to do this yourself.

The strong real estate markets are reflected in recent research performed by the National Association of Realtors (NAR), which found that the median price of existing homes is 14.7 percent higher, at $219,000, than a year ago. Additionally, sales in the past year set records, with rises in 44 states. Nearly 70 percent of families own homes, a greater percentage than ever before, which means that more people than ever are buying and selling real estate.

A recent Parade magazine article looks at the details of the current real estate market, including markets that are very hot and markets that are considerably cooler. It also examines the pluses and minuses of buying or selling a home in the current market.

In the current climate, the longer you can stay in your home, the more it pays off. Even in Utah, a state with low price growth over the last five years, experienced a rise of 17.5 percent in home values. Nationwide, the median home price has gained a whopping 55 percent over the past five years.

Although this indicates quite a healthy market overall, some states’ housing markets are not as vigorous as others. Western states have experienced the most activity this year, with a 17.4 percent increase in existing home prices since last year. On the other end of the scale, Southern states posted only a 9 percent increase in home prices. Therefore, the old real estate mantra “location, location, location” still holds true when determining how “hot” your local market is.

If you do live in a healthy market and are considering buying a home, it is important to remember that any boom market brings plenty of speculators. Now more than ever, there are many options for loans that give homebuyers lower monthly payments, including interest-only loans and adjustable rate mortgages (ARMs). An interest-only loan is just that: at first, you are only paying the interest on the loan, not the equity. Therefore, if the hot market cools off, you will have no gain at all. ARMs are also a gamble. Low interest rates are offered only for three to 10 years. If interest rates continue to rise, you may be saddled with sharply increasing payments after the initial period is over.

For instance, in one of the biggest boom markets, California, home prices are so high that “only 18 percent of Californians are able to use a 30-year, fixed-rate loan to afford even a median-priced house.” Additionally, 61 percent of buyers have had to resort to interest-only loans, which means that very few homeowners are building equity in their homes.

Home buyers who are planning to stay in a home for more than five years are better off, if they can afford it, to get a fixed-rate mortgage that allows them to build equity by paying down the principal. With interest rates steadily increasing, it makes sense to lock into a good rate now and stick with a new home or your current home for a longer period of time, making gradual home improvements to raise your home value even more.

You have been thinking about it for a while, maybe even gradually saving up for a down payment, when, finally, it dawns on you: you are ready to buy your first home. Since you obviously haven’t done this before, you may be asking yourself, “What now?” It may not be clear to you now, but the first few steps after making this big decision are critical to the success and enjoyment of the process.

According to real estate broker Jim Stacey in his book Washington Homes, there are three stages for first-time homebuyers: contemplation, comparison and commitment. Stacey proposes that homebuyers navigate through the first stage on their own, and that the more preliminary work you do, the easier the process will be for you and your realtor.

The first step is obvious: figuring out whether you are ready to own a home. This does not only mean that you are financially capable of owning a home. It also includes psychological and emotional readiness, as buying a first home is a huge step for most people, as well as a huge commitment and responsibility.

One of the easiest and most valuable things you can do to prepare is obtaining a copy of your credit report and making sure that lenders will like what they see. The Web site, ConsumerInfo.com, offers this service for free, as do many other sites. If your credit report is less than stellar, it is probably a better idea to continue renting while you pay off debts and investigate questionable problems.

Once you are sure that you are ready financially, emotionally and psychologically, you can start the formal process of buying a home. Before going to a realtor, it is an excellent idea to figure out exactly what you want so he or she can make the best use of his or her time and skills. Keep in mind that what you end up with may not resemble the vision you created in the beginning. However, it is a good idea to come up with a “wish list” for a few basic items, including number of bedrooms and bathrooms, neighborhood, yard or garden, age of home, parking, potential resale value, storage space, style, proximity to friends, family or a city or town and property taxes. Obviously, this list can go on and on. It is just important to prioritize characteristics of a house for you, and then define exactly what you want from each characteristic.

Next, you need to find out what you can afford. The easiest way to do this is to find out what you can afford to pay monthly after you have made your down payment. The best way to do this is to visit a lender and get prequalified for a loan. It won’t cost anything, it will give you a good idea of what you can afford and it saves you time later. Keep in mind, however, that you will often qualify for more than what you might wish to spend each month. Think carefully about whether what you have prequalified for will allow you to maintain your current lifestyle, at least for the most part.

You will also need to remember that you will need extra cash to cover closing costs, inspections and future expenses. After all is said and done, the cost of the home will probably be 2 percent to 7 percent more than the agreed upon selling price. You also need to factor in the cost of insurance, annual property taxes and maintenance and repairs. In short, there is a lot more to buying a house than simply the price of the home. So you don’t get discouraged, remember that a first home is very rarely a dream home. Your dream home may be two or three houses away, and you do not want to alter your lifestyle significantly now just because you are overeager.

You now know that you are ready to buy a home, you know what you can afford – it’s time to look for your house! It is especially important to have a realtor during your first buying experience, as he or she can guide you through the process and help you when you’re stuck. To find an agent, start interviewing based on recommendations from friends, family and coworkers. A great realtor will be able to listen to your needs and match you with the perfect home for your price range. He or she should also be able to provide referrals to other professionals, such as lenders and inspectors, who can help along the way.

You should also be sure to talk to friends and family about their real estate experiences, as you may learn some valuable tips or find out what pitfalls to avoid.

When you begin actually looking for a home, go to as many open houses as you can stand, even if your broker is not available. (Just be sure to sign in under your broker’s name.) Be sure to include some houses that you couldn’t afford and some houses that are lower than what you could afford. This will help you zero in on what you want by getting an idea of what’s out there. If you get so tired of seeing peeling linoleum and pasty pink bathrooms that you are ready to give up and rent for the rest of your life, take a day or two off, and remind yourself that your home is out there, somewhere. It just takes time to find it!

Although your current needs may seem important, it is equally important to consider your future needs and those of your family.

The National Association of Home Builders suggests asking yourself these questions:

Do I entertain frequently?

Do I have plans to expand my family?

Do I need rooms to retreat for privacy?

Will the square footage in the home equal useable space?

Will I need a home that limits noise? (If so, an open floor plan may not be best.)

Do I wish to create a private room such as a den or library? (Again, if so, an open floor plan may not work well.)

If you already have children, or are planning to have children, remember that you do not always have to allot one bedroom per child. Some children prefer sharing a room, especially if they are already used to that arrangement. If you are planning on starting a family during the time you are in your new house, make sure to consider an adequate play area. Although you may want more space for entertaining or personal leisure now, you will be driven crazy by toys in your dining room and library if you fail to purchase a home with an appropriate play area.

Another important issue to consider when buying a home that will house current or future children is safety. According to the U.S. Consumer Products Safety Commission, hazards in the home account for 2.5 million child injuries or deaths each year. Many such incidents can be prevented with the proper precautions. In buying a new home, consider what risks a potential home might pose to a baby or small child. Are there a lot of stairs? Is lighting poor around stairs or other dangerous areas? Does the garage door have an auto-reverse feature or motion detectors? Do the stairs have adequate handrails? Is the driveway relatively flat (this is more important in areas with severe weather)? Is the yard large, fenced and free from hazards?

In considering issues such as the above, you will make you and your family safe and happy in the long run. For additional help in making an already purchased home safe for children, visit a local baby store and talk to them about safety. Consultants at the store may bring up issues you haven’t considered about your home.

To avoid regretting your investment, here are some tips to help you stay smart in real estate.

A primary home is most important.
Buying your own home gives you a place to live and teaches you the cost of home ownership, financing and market conditions. You will also learn about property maintenance and build your own network of professionals who can prove to be invaluable when investing. Finally, your first home could later turn into your first investment property!

More knowledge is better.
Being a savvy investor takes more than just buying up promising properties. Having a good knowledge base will go a lot longer than a “sixth sense” for good deals. The Internet, books by reliable authors, investment groups and college courses are all good resources to learning the best investment practices. You can also tap into other successful real estate investors or real estate agents for information. Make sure you use more than one resource so you can evaluate the viability of the information you gather.

Professional help may be necessary.
Although you may not think you need help, a trustworthy, honest professional may be the partner you need. Realtors can be especially helpful if you are new to investing, and management companies may take the pain out of property management. For instance, managing a rental property takes a lot of time, and you will need to be prepared to make repairs, resolve issues and advertise for renters if you are taking on the task yourself. In the long run, a management company may be just what you need. Use the referrals of friends, family and associates to find reliable, honest professionals to help you.

Know the market inside and out.
Before you invest, investigate the local market thoroughly. There is no universal real estate “bubble.” Each market is different, and experiences different fluctuations and trends. One market may be good for rental income but not appreciation, while another market may be excellent for appreciation but poor for rental income. There are endless variables, and it is important for you to know exactly what you’re getting into. Remember that one area is never the same as another area.

With these basic tips under your belt, you are ready to venture out into the investment landscape. Gather as much knowledge as you can, and, after that, happy investing!

• Take Notes
  Make a note of your shipment registration number and keep it with you in case you need to call your mover with questions about your shipment.

• Get the Bed Ready
  Designate one drawer of a dresser for sheets and towels so that you won’t have to rummage through boxes for these essentials the first night in your new home.

• Don’t forget about the Fridge
  After you’ve thoroughly cleaned and dried the inside of your refrigerator, put a handful of fresh coffee, baking soda or charcoal in a sock or nylon stocking and place it inside to keep the interior smelling fresh.

• Keep the Phone Book
  Take your current phone book with you. You may need to make calls to residents or businesses back in your former hometown.

• Pack Heavy – Pack Light
  Pack heavy items in small boxes and lighter items in larger boxes.

• Give out your Number
  Before the van foreman leaves for your destination residence, give him a phone number where you can be reached. It is also a good idea to provide him with an alternate contact in case you can’t be reached.

• Protect Your Memories
  If it’s irreplaceable, take it with you in the car (you don’t want regrets later). But if you do decide to pack framed photos or art, place sheets or blankets between them for added protection.

• Know how to Pack Plates and Records
  Plates and record albums should be packed on end vertically, rather than placed flat and stacked.

• Remember the Bare Necessities
  Toilet paper, telephone, toiletries, snacks, coffee (and pot), soap, flashlight, screwdriver, pliers, can opener, paper plates, cups, utensils, a couple of pans, and paper towels are some of the essentials you may need upon arrival at your new home. Pack a box with these types of items and ask your van foreman to load it last so that it will be unloaded first.

• Unscrew Bulbs
  Remove bulbs before packing your lamps.

• Tag your Items
  For your garage sale, tag all items and be prepared to wheel and deal. Garage sale gurus love to haggle.

• Give the Kids an Exercise
  Have children write their names and new address on the cartons from their rooms so they can become familiar with their new street and town.

• Help your Pet Relax
  Keep your pet calm and away from all the activity on moving day by arranging for a friend to watch him at their house.

• Be Nice to Your Plants
  When moving plants to your new residence via your car, try not to let foliage rest against the windows, as the leaves will scorch.

• Take a Break from the Computer
  Upon arrival at your new home, let your computer “acclimate” itself to room temperature before plugging it in.

• Enjoy the Help
  Leave the rest to the professionals, sit back and relax, and look forward to the new opportunities, friends and experiences that are part of any move.
  

Whether you’re buying or selling a home, it’s crucial to include a thorough home inspection as part of the process. It’s something consumers often overlook because, as we all know, buying or selling a home can get expensive and expenses add up quickly. While it might be tempting to ignore this piece of the puzzle, it’s one of those investments that are a real payoff in the end. Here’s why:

• Consumers can only see so much on pre-owned homes. A home inspection goes beyond the cosmetic to give buyers a clear look at what’s behind the walls.
• From a new-construction standpoint, consumers often think an inspection on a brand new home is a waste, but things do come up that aren’t found on a building or city inspection. For example, the hot and cold water indicators on faucets may have been inadvertently reversed. A minor fix, to be sure, but potentially dangerous for families with small children.
• From a seller’s standpoint, offering an inspection to potential buyers goes a long way to ensure peace of mind.
• The cost of inspections hasn’t increased by more than $50 in the last 10 years; total cost is about $250 to $300, so the expense is well worth it.

The bottom line is that a home inspection is the best financial investment consumers can make.

All too often homeseekers get so excited when they find out about a home with a great price, special financing, or unique features, the contract gets written before anyone stops to think.

Many times what they have found is not a good deal at all. There is a reason why a deal sounds too good to be true. That reason is usually location.

Buying a home in the wrong location can cause a lot of problems in the long run. The best approach is to:

• Know your budget (get pre-approved).
• Choose a desirable area that is within your budget.
• Then pick the best home available.

You’ll be happier in the end if you plan well in the beginning.

Ask yourself why the seller is selling the house. Is it because of needed repairs, a less-than-desirable neighborhood, or growing traffic problems? Or does his family just need more room?

Try and understand why the seller bought the home in the first place. Are his priorities in line with yours? Did he buy for investment purposes? If so, is the investment still good?

In the end, the home buying process comes down to the individuals buying and selling the home. A closer look at the seller may help you in deciding whether and for how much to buy the particular home.

When you begin narrowing your selection or you find that you’ve fallen head-over-heels in love with a certain house, visit the neighborhood in the evening or on a weekend.

Take a casual stroll around the block, observing other houses in the area. Are they well kept? How many have for-sale signs out front?

Talk to the people who live in the area. These are not only the people most familiar with the area, but also your potential neighbors.

Take a test drive from the house to your workplace during rush hours to get a feel for traffic. Note how far it is to schools, parks, theaters, restaurants, and convenience stores.

Once you find out if you will be comfortable living in the house, you’ll be much more comfortable buying it.