#learningtobuyahomedotcom

[traciedemars]

Upcoming Free (& non-promotional) Home Buyer Classes: Home Showings 101...home buyer & seller education ​www.traciedemars.com Saturday, February 8th, from 9am-12pm (ish)       Marshall Community Center, conference room       1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Tuesday, February 11th, from 5pm - 8pm (ish)        Marshall Community Center, Conference room       1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, February 22nd, from 12pm-3pm (ish) ​       Vancouver YMCA, conference room      11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave).                                                                                     If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know....                                                                                   ....we also have home seller classes available too...look for link on top of website                   Happy February!   Finally....January is over...not that it was the longest month ever, or anything like that...  The beginning of the year is a good time to sell your home (if you've been thinking about it), and it's a time where a lot of folks who have been thinking about buying a home start the pre-approval process.  This months blog is going to address something that is important for both sellers, and buyers....showing homes.  Let's talk about this...the funnest, and the scariest part... As we've talked about in the past, there's a process to buying (and even selling) a home.... first,  you take a home buyer (or home seller) class, second, you move on to getting pre-approved.  Yes, even if you are selling a home, you want to get pre-approved before you go looking for your next home.  For a seller (who is going to be a homebuyer when their home sells) part of the information you will be giving to your lender is the guesstimated amount that you'll receive from the sale of your current home...your Realtor will help with this.  When you are buying a home, your Realtor is here to help you with your home adventure, and while yes, this is kind of scary...it is a lot of fun.  Whether this is your first home, or your 3rd, or 5th, or whatever...with a pre-approval & your Realtor,  you are ready for the 'fun' part.....LOOKING AT HOMES!  :-)  This is always an exciting time for buyers, and it should be!  Every home you pull up to has the possibility to be 'the one'....The one you make an offer on, the one that you buy, the ONE that becomes YOUR HOME...and it is very exciting, and yes, kind of scary too.  For the sellers though, it is very stressful because currently this IS their home, and they're leaving so that strangers can come in.  As a Realtor, we are trying to make this as easy as possible for both the buyer and seller, but we need help... From the homeowners (sellers), we are asking that the home be available to show, that the home be clean, nothing of value is being left out, all medicines are put away and out of sight (not left in bathrooms or kitchen cabinets), anything that a seller wants excluded from the sale is noted, that sweet pups are either removed or kenneled, that sweet kitties are noted as inside only or inside/outside ok, and that please, please... homeowners (sellers) be gone for showings.  Before you go on the market, talk to your Realtor about HOW the showings will work with your home.  Some folks are cool with a few hours notice, some need more time.  Most of my clients need a bit more time for showings.  If you have kids and/or pets, it's ok to ask for 24 hour notice.  That way you have time to prepare your home to be seen in its best possible condition.  You are still living in your home, and the buyers and buyers Realtor will (or should) respect that.  A lockbox will be put on your home, and during a showing the buyers agent will access the box for the key.  An email and/or a text will be sent to the sellers Realtor to let them know that a Realtor with XYZ company has accessed the home, and for how long we were there.  Before a seller puts their home on the market there is preparation, and usually some 'honey-do's' that need to be done.  As always, there is more to it than this, but that is a different class....and email.  You can always call me for more information when you are selling your home. From the buyers....it gets a bit more complicated...  before we go house shopping, we are asking that you have a pre-approval letter with a solid lender, we are asking that you do not look at homes above your price range, we are asking that you have thought about the Top Three things you want in a home (so we can show you homes that have those items you value most), and that you help us help you....      When a Realtor opens the lockbox to show you the home, we are taking responsibility for everything that happens from that moment on....until we lock up the house and put the key back into the lockbox.  As I say all the time...  Real Estate is NOT like HGTV...  you don't just get to wander the home while your Realtor sits outside...  we must be with you at all times when touring your potential new home.  Sometimes this can be like herding cats, but we understand your excitement...  just please, please as you are touring the home, and we know you have your family with you, please...we must all stay together.  Don't make me sing to you here.....    As cool as those toys look, I'm sorry but the kiddos can't play with them, and sorry...but you can't jump on the beds either.  It's ok to open cupboards, and closets, but we can't open dressers, or go through someone else's personal items.  Touring a home is a VISUAL thing....sorry.  Yes, you can use the bathroom.    When it's wet out (and lately it's been VERY wet), it's always a good take off our shoes before we enter someone else's home so be sure to wear easy on & off shoes, or use shoe booties.    When we are looking at homes, often we have more than one home to look at, and many homes are owner occupied so your Realtor makes appointments.  We do the best we can to make sure we have enough time to look at the homes, but we need to stay within our timeframes as the sellers are waiting to come home after we leave, or there are other Realtors waiting to show the home.  I promise we are not trying to 'rush' you through the home...we are just trying to stay within the timeframes so that you can see the other homes on your list.    With the real estate market starting to pick up for spring, it's important that if a home comes up that you like, you need to let your Realtor know as soon as possible so we can make an appointment for you to see it.  Your Realtor should be sending you a list of homes as they come on the market for you to check....drive by the homes...check out those neighborhoods....and let's make an appointment to go see the inside of the home.    Do not trust Internet photos!  Realtors hire professional photographers for our listings for a reason.  :-)  Internet photos are a lot like internet dating...you don't know what you're going to get when you get there      Like the neighborhood, but not sure about the house?  Let's at least go check out the inside!  You never know as you can't judge a book (or a house) by its cover.    ASK QUESTIONS!!  For heavens sake...this is a home you are thinking about buying...  ask questions!  As your Realtor, we are here to help!  If we can't answer your questions, we can at least set up in the right direction to get those answers. Buying a home is a very emotional experience.  Your Realtor is here to point out pros/cons, and to help you.... Trust your heart, but use your head...  or your Realtor.  :-)  Remember that we work FOR you.  Once you find THE home it's time to talk about making an offer, and those pesky timelines that you need to know, and that we need to abide by.  So, let's talk about that....next month!   Thank you, as always, for reading this. I hope this helps you this week!  Please, if you have any questions, please feel free to call, email, text, or even facebook me anytime.  I am always here to help!   Information is power, and I hope that I am help you!  Good luck, and as always...May the odds be ever in your favor out there....  If you are looking for a real estate agent, I would love to be able to help you. I hope that explains this a bit, but if you have any questions, or comments please call or email me anytime!  Please remember that while I mean these emails/blogs to be helpful, and educational, I am still hoping that you will call, or email me.  I would love to help you with your home buying, or home selling adventure!  :-)    As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.   Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers. ....disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings... Upcoming Topics: How long is the home buying process... aka....when do I GET Keys? Last Month:  New Year...New Home?  Maybe?  Where to Start? Have a great day, and I will talk to you soon,   ;-D   Tracie DeMars   Real Estate broker     Re/Max - Van Mall   360/ 903-3504 cell   360/ 882-3600 fax   www.traciedemars.com   traciedemars@aol.com       “Interested in free and non promotional home education classes?  Go to www.freehomebuyerclasses.com for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” "Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."       - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

Tuesday's Tips with Tracie Be aware.. Showing Homes with Big Brother & Covid

www.learningtobuyahome.com

www.freesellerclasses.com

[traciedemars]

Tuesday's Tips with Tracie www.learningtobuyahome.com Selling your home and building a home

[traciedemars]

Tuesday's Tips with Tracie www.learningtobuyahome.com

[traciedemars]

Tuesday's Tips with Tracie: Selling your home!

[traciedemars]

COVID & buying or selling...Education

Home Buyer & Seller Education & Virtual Classes

Please remember that, currently, ALL BUYER & SELLER classes are being held virtually. We look forward to teaching at the community centers again, once they open.

For the virtual classes, they are TWO hours long, and will start at the scheduled starting time. Please email traciedemars@aol.com for link & password

Upcoming Home BUYER Classes

Saturday, August 8, from 10am-12pm (ish)

Saturday, August 15, from 11am-1pm (ish)

Saturday, August 22nd, from 12pm-2pm (ish)

Monday, August 24th, from 5pm - 7pm (ish)

Saturday, August 29th, from 10am - 12pm (ish)

Upcoming Home SELLER Classes

Saturday, August 8th, from 12:30-2:30pm

Saturday, August 22nd, from 9am-11am

Thursday, August 27th, from 5:30pm-7:30pm

Happy August!

I have to admit.. I am sad today. Today is the day before the Clark County Fair would have started. Today I should be at the fairgrounds setting up our booth and getting ready for the fair to start tomorrow morning. We are at the fair every year, and as exhausting as it is, it is also fun, exciting...and honestly... I absolutely love it when our friends, family, clients (both past, present, and future) come and visit us. I love seeing everyone and visiting with them. I also love being able to give little gifts to everyone. I am also looking at the projected weather forecast for the next week, and honestly, I am crying a bit as it is really a PERFECT fair forecast.....of course it is, right? Remember how at the beginning of this year we were so excited? All the holidays that were going to fall on the weekends? 4th of July on a Saturday? Rock on! Halloween on a Saturday AND with a Full Moon? AWESOME! Christmas? New Years? On Saturdays? Score!! It's like the stars all lined up for a perfect year....and well, it's like that piece of cake you are so excited to come home to eat, and that you have been thinking about ALL day...and you come home, and it is GONE!!! Someone else ate it!! You know what I mean...right? That is what 2020 feels like to me... crazy.. but here we are.

HEADS UP, if you are a CLIENT, please check your mail boxes! We couldn't do a Client Appreciation this spring, but there is something in your mailbox that should be a little fun. We are also trying to plan something for the end of summer... we will see how that shakes out... stay tuned!

This month I am going to talk about showing a home and a few of those 'hidden' fees that people don't think about. Whether you are thinking about selling (because it is definitely a sellers market), or you are buying a home... how does that work right now with COVID and everything else going on? Well, hopefully, this should help. As always...feel free to reach out with any questions! Thank you!!

While showing homes, we go over lots of 'little' things that otherwise people don't think about. Some of these items are the 'hidden' costs of buying a home....those things that you weren't planning on, but probably should be. Not too long ago, I was on one of the facebook swap/free/sale sites, and I was reading how some people were upset with the home buying process and the 'hidden' fees they weren't told about. It is true that there are a LOT of fees and other expenses involved with buying a home. The point of these blogs, and of course, the home buyer classes is to give folks this information. There shouldn't be anything 'hidden' about the home buying process. As you know, I am a big fan of not sugarcoating anything....I believe that an ugly truth is better than a pretty lie every day of the week. You might not always like what I have to say (and that is ok), but I am not going to hold anything back from you on the off chance you might not ask me to help you buy, or sell, your home. Personally I don't just want to hear about the 'good' things about a loan, or process....I want to hear it all...the good, the bad, and the ugly, so that I can make the best decision for me and my family based on the pros and the cons....not just the good. So....yes, I am not going to just agree with what you read on the internet, or saw on HGTV, or heard from your direct and personal circle....I am going to give you the pros and cons because this is YOUR home buying (or selling) adventure, and YOU need to make the decisions. My job is to help you find, and have, all the information I can get you so that you can make those choices based on a full picture....not just half of one. Last month we talked about the 'basic' fees of earnest money, home inspection (including the possibility of radon & sewer scope), and appraisal. However there are a few other 'fees' that you might want to think about.

Other fees?

Changing out locks

...I always advise my clients to change out the locks of their new homes. Why? Well, even if the sellers give you all the keys they have...there is not guarantee that there isn't more keys running around somewhere. I used to change out my house locks every couple of years because my kids were always losing keys. Finally....last year... I went and purchased the the house locks that have the key pad. It is awesome!! I don't worry about lost keys anymore. Every family member has a code, and what is the best is that I can add and delete codes as needed. So...go away for a couple of days, and have a house sitter? Give them a code,and when you get back you simply delete the code. I tell you....worth it!

Mailbox key

...yes, legally you are not supposed to copy the mailbox key, but a lot of people do. Mail is not something you want to mess with. Take your HUD form down to the post office, and have them re-key the box, and get a new key. Cost is about $100, but for peace of mind...that isn't much. When you are changing out locks, talk with the locksmith... she/he may be able to help with this as well.

Paint

...you will probably want to paint some, or all, the rooms of your new home. Each gallon of paint runs about $25. Paint is the easiest thing you can do to make the home 'yours', and it's fun! Paint can change the entire feel of a room, or home. Personally, I am a fan of semi-gloss. I like the shine to it, and most importantly, it cleans up easy....with kids and big dogs, this is my go-to.

Minor repairs

...during the home inspection the inspector will probably point out repairs that the home may need. Some of these repairs may be cosmetic repairs that will be part of your 'honey-do list' with your new home. Remember that, at the home inspection, we are looking for any repairs that will affect the safety of the home, or occupants...or anything that may need a contractor to repair. The 'big' areas that we usually see repairs for are roofs, attic spaces, crawlspaces, and siding. These are the places that usually get called out during the repair process for a licensed contractor to come in Remember that home inspectors are licensed for home inspections. It is during this period that we will request a second opinion by a licensed contractor...who can give a better, more thorough inspection/repair for the item that the inspector called out. All homes have some repairs that will need to be done by the (new) homeowner....it is part of being a homeowner. Don't forget that the worst thing a homeowner can do is to defer maintenance. If you need help with that, give me a call or email... I always have a 'guy' that you can call for help. Anytime you need work done around the home that you can't do, give me a holler...I know people. I tease, but it is true. I know excellent contractors that will usually give you a better deal because I refer them out. I refer them out because they do a good job...and give better deals. Just like in Real Estate... referrals are the name of the game. :-)

Lawn supplies

...did you come from an apartment? Well, most likely now you have a yard. You will need a lawnmower to start with. There will be other lawn equipment that will follow...weed eaters, trimmers, wheel barrels, shovels, and a myriad other things that come with having a yard.

Appliances

...don't forget that washer, dryer, and fridges don't come with the home. If you don't already have these appliances then you may also be purchasing a washer, dryer, and/or a fridge. Just please, please, please wait until AFTER you get keys for the home before you go purchase these things.

Curtains/Blinds

...if your new home doesn't already have some then this may be on your 'to buy' list. Sometimes even if your home does have some, you may want new ones. Honestly, I have had very good luck with curtains at places like Target, or Fred Meyer, or even Wal-Mart. I think I've gotten all my curtains from Target. They have blinds as well.

House Cleaner/Carpet Cleaner

...when a home is vacant you know exactly what you're going to be walking into when your buyers agent (hopefully me LOL) gives you keys, but... when the home is owner occupied, you don't. Yes, you can and will do a walk thru of the home before closing, but it will still be occupied. In many cases, when the home is owner occupied the (soon to be) previous owner doesn't vacate the property until day of closing, or sometimes even a couple of days after closing. With cases like this, you really don't know what condition the home will be upon closing. We have to have faith that the (soon to be) previous owner will leave the home in a clean condition, but sometimes...well, sometimes, they don't. Also, one persons idea of clean is not another persons idea of 'clean'. :-) Many times, whether the home is vacant or owner occupied, a buyer will book a professional carpet cleaning, or house cleaning after closing....simply for peace of mind.

Insurance

...wait..you already have insurance, don't you? Well...yes, you have mortgage insurance, title insurance, and homeowners insurance, but what about earthquake insurance? You don't...

When I purchased my home my homeowners insurance included earthquake insurance. About 10 years ago though we received a letter that no longer would homeowners insurance include earthquake insurance....why? Because we live in the #1 high danger area for earthquakes. Because of that earthquake insurance must now be purchased separately. So, AFTER you buy your home, call your insurance company and add on earthquake insurance. Cost isn't too much, but it is important....just in case.

Toilet Seats

Yeah, I know you probably didn't think of that, but really....if it were me, I would change out the toilet seats when you buy your new home. Why? Well, since now you are thinking about it....I'm sure you can see why. LOL Toilet seats are not expensive, and really...having new seats just makes you feel better! :-D

As we've talked about, once you hire a Realtor to help you with your home adventure, you are ready for the 'fun' part.....LOOKING AT HOMES! :-) This is always an exciting time for buyers, and it should be! Every home you pull up to has the possibility to be 'the one'....The one you make an offer on, the one that you buy, the ONE that becomes YOUR HOME...and it is very exciting. For the sellers though, it is very stressful because currently it is THEIR home, and they're leaving so that strangers can come in. As a Realtor, we are trying to make this as easy as possible for both the buyer and seller, but we need help... especially right now...

We are in the world of COVID, and it has changed how we look at homes.

For the homeowners (sellers), we are asking that the home be available to show, that the home be clean, nothing of value is being left out, all medicines are put away and out of sight (not left in bathrooms or kitchen cabinets), anything that a seller wants excluded from the sale is noted, that sweet pups are either removed or kenneled, that sweet kitties are noted as inside only or inside/outside ok, and that please, please... homeowners (sellers) be gone for showings. Selling your home means opening up your home to strangers. Please note that anytime a Realtor shows your home, that Realtor is responsible for the buyers they bring into your home. If you have any COVID concerns, please bring them up with, and talk about them with your Realtor. As always, there is more to it than this, but that is a different class....and email. You can always call me for more information when you are selling your home.

For the buyers....it gets a bit more complicated... before we go house shopping, we are asking that you have a pre-approval letter with a solid lender, we are asking that you do not look at homes above your price range, we are asking that you have thought about the Top Three things you want in a home (so we can show you homes that have those items you value most), and that you help us help you.... We are currently in Phase 2 which means that we can't have more than 3 people (including the Realtor) in the house at a time, and yes, masks are currently required when we are showing homes. Many homes will request that we take off shoes so be sure to wear easy on/off shoes.

When a Realtor opens the lockbox to show you the home, we are taking responsibility for everything that happens from that moment on....until we lock up the house and put the key back into the lockbox. As I say all the time... Real Estate is NOT like HGTV... you don't just get to wander the home while your Realtor sits outside... we must be with you at all times when touring your potential new home. Sometimes this can be like herding cats, but we understand your excitement... just please, please as you are touring the home, and we know you have your family with you, please...we must all stay together. Don't make me sing to you here.....

As cool as those toys look, I'm sorry but the kiddos can't play with them, and sorry...but you can't jump on the beds either. It's ok to open cupboards, and closets, but we can't open dressers, or go through someone else's personal items. Touring a home is a VISUAL thing....sorry. However, yes, you can use the bathroom....usually.. sometimes we do have requests from sellers that bathrooms are NOT used. I showed a home last week where the sellers literally taped the toilets shut on days they were showing. I thought it was funny...

When we are looking at homes, often we have more than one home to look at, and many homes are owner occupied so your Realtor makes appointments. We do the best we can to make sure we have enough time to look at the homes, but we need to stay within our timeframes as the sellers are waiting to come home after we leave, or there are other Realtors waiting to show the home. I promise we are not trying to 'rush' you through the home...we are just trying to stay within the timeframes so that you can see the other homes on your list.

Looking at homes is exciting, and many of you will send your Realtor a long list of homes to go see, but what you don't know.....yet...that looking at homes is exhausting, and they quickly starts to blend together. Don't look at more than 6-8 in one appointment. I've had clients look at up to 10 at once, and that is a lot. We can do it....just be prepared. Your Realtor should give you a print out for each home we see, so be sure to take notes on each of the houses because they will blend together and you will not remember what you liked, or didn't like, about the first couple of homes by the time we get to the last couple of homes. :-)

With the real estate market being so crazy right now, it's important that if a home comes up that you like, that you let your Realtor know as soon as possible so we can make an appointment for you to see it. Many homes are receiving multiple offers and go pending within a few days. Your Realtor should be sending you a list of homes as they come on the market for you to check....drive by the homes...check out those neighborhoods....and let's make an appointment to go see the inside of the home.

Do not trust Internet photos! Realtors hire professional photographers for our listings for a reason. Smile Internet photos are a lot like internet dating...you don't know what you're going to get when you get there

Like the neighborhood, but not sure about the house? Let's at least go check out the inside! You never know as you can't judge a book (or a house) by its cover.

ASK QUESTIONS!! For heavens sake...this is a home you are thinking about buying... ask questions! As your Realtor, we are here to help! If we can't answer your questions, we can at least set up in the right direction to get those answers.

Buying a home is a very emotional experience. Your Realtor is here to point out pros/cons, and to help you.... Trust your heart, but use your head... or your Realtor. :-) Remember that we work FOR you.

As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one. Real Estate is not really about houses, it is about relationships. Your agent, and your lender work for YOU. You drive the bus...we are merely GPS to help you get to your goals. Like the classes, this weekly blog email is to help you with your home adventure. The goal is to be informative and non-promotional. :-) We are, however, hoping you will call and want us to help with your adventure.

If you have any questions about this, or something you have heard...or if you would like me to help you with your home adventure, please call, email, text, or facebook me anytime. I am, as always, happy to help!

Thank you again for your business and your referrals!! ...and thank you for referring these classes to your friends, family, and co-workers.

. ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...

Information is power, and as always...May the odds be ever in your favor out there.... If you are looking for a real estate agent, I would love to be able to help you.

If you have any questions, or comments please get a hold of me anytime. You can call, text, email, or even facebook me. Please remember that while I mean these emails/blogs to be helpful, and educational, I am still hoping that you will call, or email me as I would be honored to help you with your home buying, or home selling adventure.

Upcoming Topics:

What if I don't have a Down Payment?

How do I hire a Realtor, & do I have to sign anything?

Heating Types (but I want AC)

Last Week: Can you buy a home with ZERO out of pocket?

Have a great day, and I will talk to you soon,

;-D

Tracie DeMars

Real Estate broker

Re/Max - Van Mall

360/ 903-3504 cell

360/ 882-3600 fax

www.traciedemars.com

traciedemars@aol.com

“Interested in free and non promotional home education classes? Go to www.learningtobuyahome.com or www.freesellerclasses.com for local upcoming home BUYER and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.”

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."

- Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

Let's talk about CLOSING COSTS!   Upcoming Free (& non-promotional) Home Buyer & Seller Classes:   Until further notice, all classes are going to be held virtually due to the Coronavirus. Please email traciedemars@aol.com, or cberglender@gmail.com for a link & password to the classes.   Thank you!   Home Buyer Classes: Saturday, May 9th, from 9am-11am Saturday, May 16th, from 12pm-2pm Tuesday, May 19th, from 5pm-7pm Saturday, May 30th, from 11am-1pm Seller Classes: Saturday, May 16th, from 9am-11am Thursday May 21st, from 5pm-7pm If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know....       Good morning...  or afternoon?  I have lost all sense of time, and dates.  It's a weird time in our lives right now.  A few weeks ago when I wrote up the 'Forbearance and what it really means' blog, I thought that we would all be back to 'normal' by now...whatever 'normal' is...  However, I think we can all agree that 2020 is the year that time forgot, and here we were all excited about holidays falling on weekend days...   Chris & I are getting used to the virtual classes, and people seem to like them.  It is a shorter time frame though so there are things we simply do not have time to cover, and that's why I need to step these up again to at least every other week instead of just once a month as I've been doing.  Please, if you have any questions, send them over to me, and I will be happy to help!  Chris and I are both still working.  I am still showing homes, and writing up offers, but showing homes is a bit trickier right now as we do want everyone to be safe, and we have to work within the guidelines that we have been given.  Who says an old dog can't learn new tricks???   Just a quick message...  usually about now we would be having our Client Appreciation Event where we THANK YOU for your friendship, your referrals, your continued business & support...and well, just for being part of our lives!  We LOVE YOU.  Let's be honest...that's not happening this year, so be on the lookout for a little something-something from me and Chris Berg in your mailbox in the next few weeks.  When you get it you just have to tag us on the social media of your choice...Facebook?  Instagram?  ...and maybe leave us a glowing review somewhere??  We miss you!!                                                 I want to go over Closing costs this time, and 'hopefully' I will be able to get a short video out on this too.  I am working on that one...  Let me know what you think!  Closing costs are an important part of the home buying (or selling) process, but no one really knows what they are, are often how much they're going to be....and why is that?  Well, first you need to know that there are 28 people involved in the purchase/sale of a home.  You will most likely only ever see four of them.... your lender, your agent, your inspector, and your title officer at the end.  You'll hear a lot about appraisers, and underwriters, but that is a different blog.  Everyone has a job to do in the transfer of the property from the seller to the buyer....and everyone needs to get paid.  Your buyers agent is FREE  (don't get caught by 'buyers agency fees' as those are not common), but that may be the only free thing you get.  Seriously... you don't have to pay for a buyers agent!  There is your good news.  :-D     So what the heck is closing costs then?  Lots of people talk about closing costs, but most people don't understand what they are...or how they're paid. Closing costs have two separate parts really...1....the part associated with your loan, and 2...the part associated with the title company and changing the ownership of the home to you..      One thing you need to know is that closing costs are not set...in other words...one persons closing costs will not be the same as another persons closing costs.  Why?  Because ...1....every person has a different loan based on their credit scores, type of loan, amount of home buying, amount (if any) of downpayment, what day they're closing (keys) on, interest rate, APR rate, lender they're using (some have more fees than others), etc...  See how complicated that can get?     So what about the second part?  Well, that can differ as well based on the title company since not every title company charges exactly the same for their individual costs.  Then there is also the costs for the property taxes of the home, time of year you are buying based on when the taxes are due/have been paid, cost of your home owners insurance, amount of loan interest, and more.  Even more confusing, yes?         Ok...now I know you are thinking that this weeks post is pointless then, but really, I have a point!  :-)  My point is that closing costs are variable based on you, your loan, your lender, your (soon to be) new home, and on the title company.  So how do you figure that out?  Well, really no one can figure out HOW much your closing costs are going to be until you have an accepted offer on a home...then we can figure out what your closing costs will be because you will have a home to base numbers off of, a loan chosen, a lender, and the title company picked out.  Most numbers in real estate are a guesstimate until you have all the pieces in place...all the ducks in order...so to speak.      When you are getting pre-approved, your lender will base all your numbers on a guesstimate...what we think your costs are going to be.  Most times lenders, etc will guess high so that the numbers will come in smaller and more affordable for you.  It is always better to look like a hero than a zero!  :-)   I know, I know...still not very helpful is it?  I am sorry.  Closing costs are as individual as you are.  However, 98% of buyers will request the seller to pay for 2%-3% of their closing costs.  Where does that number come from though as even this number changes depending on the person, their loan, the home involved, etc.       Well, to start...  a FHA loan requires 3.5% downpayment.  FHA is the most common loan type for buyers as it is very forgiving, and easier for the majority of folks to get pre-approved for.  There are some loans, and yes, grants too, that can take care of that down payment for you....meaning a ZERO down loan for you, the buyer.  There are some additional fees to using these down payment assistance programs that is part of your closing costs.  There is also a zero down USDA loan that has other fees associated with it.   On average, the costs between title, loan, lender, taxes, interest, insurance, etc....run about 2%-3% of the homes purchase price....rarely does it run more.    When listing a home, I (and many other agents) include at least some seller paid closing costs to the sales price of the home.  This is done because so many buyers request those from the seller, and this way it isn't a surprise to the seller.  So, yes, some sellers will pay for your closing costs when buying a home...of course, that depends on if there are other offers involved.  In a multiple offer situation the seller may not pay any closing costs.  One thing you need to know though is that if you ask for 3% in closing costs, and the lender only needs 2%, you don't get that other 1%....it goes back to the seller.  You can't get cash back from buying a home....unless you are having your earnest money &/or appraisal fee returned to you...this happens if you are using a loan that covers your costs and fees.  Usually your appraisal is part of your closing costs (but paid for at time of appraisal), and your earnest money is applied toward your down payment, or your closing costs.     Again, 85% of the time a buyer will request some of the closing costs to be paid for by the seller.  The other 15% of the time a buyer will pay their own closing costs so they don't have to finance them.  Right there is the REALITY of closing costs.  The seller never actually 'pays' for your closing costs... the buyer is financing them into the purchase price of the home...adding the closing costs to their loan.  The seller is merely accepting less than the purchase price so that the buyer can do this.  If you remember ANYTHING about this email...that is what you should remember.So, if a buyer has their own down payment, the lender can also help pay closing costs, and this can be done a couple of different ways.  If a buyer is using one of the down payment assistance loans or grants, or the USDA loan, the lender can't help pay those closing costs.  The buyer can use their earnest money towards these though.  Not asking a seller for help with closing costs does make for a 'stronger' offer, but let's be honest...that isn't always an option for a lot of people.  However, if able to do so, sometimes people will use the zero down loan or the down payment assistance loans, and use the money they have for their own closing costs, but asking the seller for help with closing costs is quite common.  Really it depends on many things.   In short....buyers responsibility for closing costs are:* Lender's Title Insurance Policy* Half of the escrow fee* Home Inspection (paid for at time of inspection)* Recording fees* First year Homeowners Insurance Premium* First year Flood Insurance (if applies)* Pro-rated property taxes* Appraisal fee (paid for when appraisal is ordered)* Survey fee (if required)* HOA fees (if applies)* Pro-rated HOA fees (if applies)* Lender fees;  appraisal fee (see above), credit report, loan origination fee, pre-paid interest, private mortgage insurance  All of these fees can change depending on the title company, the lender you've hired (closing costs can differ between lenders as some charge more & some charge less), the home insurance company you are using, the home inspector you've hired, the appraisers and what they're charging (and if you need a rush), etc.. Let me see if I can't make that part a bit easier... I am going to give you 2 loans to choose from, and we are going to PRETEND that I am loaning you $1,000 for a year First loan is 0% interest.                           Second loan is 5% interest. What loan do you want?  The 0% one, right?  Most people (in the class) always choose this one, but frankly, there's not enough detail here for you choose a loan, so let's take it a step further....  I have to charge you (the buyer) closing costs.  Closing costs is to pay for all those 28 people that are involved in the purchase/sale of a home.  The seller has their own portion of closing costs to pay as well.  On 'average', the closing costs for the seller are going to be about 8%-9% of the purchase price.  Yep... there's a cost to buy a home, and a cost to sell a home too.                                                                    First loan at 0%                                        Second loan at 5% Remember...closing costs....     Bank one charges $200                                Bank two charges  $100 So, what happens a year from now?  How much of your money do I have a year from now when you come back and pay me back my $1000 that I loaned to you?  Well....let's break that down...  Remember that the original $1000 doesn't count because it was already my money.  I loaned it to you, and now you are paying it back to me...                                                                                    First loan at 0%                                                                  Second loan at 5%       Closing costs....      Bank one charges $200                                             Bank two charges  $100     Interest...  Bank one has   0%                                                        Bank two has      $50                            ----------                                                                         ------------ How much of your money do I have?                            With Bank one I have  $200                      Wit          h Bank two I have $150

So with bank one it's going to cost you 20% to borrow that money for a year, & with bank two it's going to be 15%...   which one is better now?   This is a very simplified example, but you get it.  There is a lot more to closing costs & buying a home than just interest rate.  You could have an amazing, unheard of interest rate, but the costs to get that rate could end up being astronomical, and not worth it over the length of your ownership.  Remember that interest rates are NOT controlled or governed by the lenders....it is by the GOVERNMENT.  All lenders are very close to each other because the interest rate is not in their control.  Realistically speaking it is how much they are going to CHARGE you for the loan and the interest rate that is going to matter.   as always....I am available for questions...as is Chris Berg with Cardinal Financial (cberg@gmail.com or chris.berg@cardinalfinancial.com & 503-320-0925 cell)       One last thing you need to remember is that a real estate agent is not a sales person.  It is not our job to 'sell' you anything.  We are assistants, advisers, guidance, and help.  You should not feel as if your agent is trying to sell you a home, or anything else, our job should be to help you in getting the home you want.  This being said remember that you do not get T-Bone steaks for the price of hamburger...Look ONLY at homes within your budget.  ALWAYS ask questions, and expect answers without a lot of lingo.  I was always told that if you can't explain something in a way that the other person can understand clearly, it is because you don't understand it yourself.  :-)             Information is power, and I hope that I am able to help you.  Good luck, and as always...May the odds be ever in your favor out there....  AND If you are looking for a real estate agent, I would love to be able to help you.                                                                                                                                                   As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.   If you have any questions about this, or something you have heard...or if you would like me to help you with your home adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help! Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   .   ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...   Upcoming Topics: Can you buy a home with ZERO out of pocket??What are the costs of buying a home?  ALL of them??Buyers Agency...what are they really, and do you have to sign one? Last Month:  What does forbearance really mean?   Have a great day, and I will talk to you soon, ;-D Tracie DeMars Real Estate broker Re/Max - Van Mall 360/ 903-3504 cell 360/ 882-3600 fax www.traciedemars.com traciedemars@aol.com “Interested in free and non promotional home education classes?  Go to www.learningtobuyahome.com or www.freesellerclasses.com, for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” "Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."   - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

How Long is the Home Buying Process.... aka...When do I get Keys???? Home Education Information & Classes for Buyers & Sellers...

Upcoming Free (& non-promotional) Home Buyer Classes:

Thursday, March 12th, from 5pm - 8pm (ish) Marshall Community Center, Conference room 1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College)

Saturday, March 21st, from 11am-2pm (ish) ​ Vancouver YMCA, conference room 11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave).

Monday, April 6th, from 5pm - 8pm (ish) Marshall Community Center, Conference room 1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College)

Saturday, April 11th, from 9am-12pm (ish) Marshall Community Center, conference room 1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College)

If these class dates and/or times don't work for you, please let us know. We understand that you have lives, and families, and work. We will work something out that works better with your schedule. Just let us know.... ....we also have home seller classes available too...look for link on top of website

Happy March & Daylight Savings Time!

Spring! It's coming! I can feel it... and so an the plants, and the trees. My daffy's are blooming, and the market is absolutely crazy. The real estate market runs on a pretty basic pattern...unless something out of the normal happens. The best time of year to be a seller is February through early June. The best time of the year to be a buyer is June - August, and again, October - January. So, why is this? Well, the majority of potential buyers use their tax refunds for down payments and/or closing costs, and most people get their tax returns starting in February. Most people who are thinking about selling don't put their homes on the market though until after spring break. This is why the market is so brutal right now. There are more buyers than there are homes for sale. It will ease up a bit about mid-April, but still be pretty crazy. Once kids start getting out of school in June, the market changes again. The summer has more homes for sale, and less buyers so it's a good time to be a buyer, but not too bad of a time to be a seller either as the market picks up again when kids go back to school in September. In September & October we see folks buying hoping to get in before the holidays. After Halloween the market dies because of the holidays & the weather, but that is a great time to be a buyer. This is the most common cycle we see in real estate but things like the teacher strike we saw a few years ago can disrupt the cycle.

Now, honestly, the best time to buy or sell a home is when it is the BEST time for your family. I can give you all the information, but ultimately, you need to decide when it is the best time for your family to make THAT move. So, what's your first step? Talking to a lender about how much you are pre-approved for. There's nothing a realtor can do for you until we know what price range you are looking at. This can also determine when is a good time for you to be out there on the house hunt. What if you are selling & buying? Well, then you want to start with your Realtor to see what your current home is worth, and what you would be looking at after selling. Then you would go to your lender to get pre-approved...just like we had just talked about.

So, one of the questions we get a LOT is how long is the home buying process? Of course, what people really want to know is when do they get keys? So...when does this all happen? The home buying process is sometimes super short, and sometimes takes a long time. On average, most people write an offer on one of the first 6 homes they see. Weird? Not really if you think about it.... when you get pre-approved you have an idea of the home you are looking for. Your Realtor is going to do everything they can to help you find that home. First, we are going to hope that the home you are hoping to find is in your price range, but if it is... we're going to find it. Now, sometimes, it can take longer....especially depending on the time of year. The real estate market ebbs and flows and runs on a pretty cyclical nature. There are times of the year where it's better to be a seller, and times of the year when it is better to be a buyer. How long it takes to get a home under contract really depends on these factors. However, what happens after the home is under contract....

Once we have a home under contract with an accepted offer, that home goes PENDING (Congratulations!). This is when things really start moving. A copy of the signed around purchase & sale agreement goes to your lender and to the escrow/title company. The escrow company opens escrow on the home, and does a title search. The lender will call you to come in and sign your lending documents. Now that you have a home under contract, the loan application, and process can begin. On your end, we need to schedule the home inspection. We have 10 days to have the home inspection completed and to request any repairs. Once the inspection process is complete, the appraisal process begins. Remember that the home inspection is for your information, and the appraisal is for the banks information. Once the appraisal is in, the file goes to the underwriters again for their approval. Once we have the underwriters approval, closing documents are ordered. You will receive an email asking you to acknowledge receipt of the closing documents. From receipt of the closing documents you have 3 days before you can sign at title. Everyone always ask, "when is my signing appointment?" We don't know...yet... You see, once the title company receives the documents from the lender, they have to balance those papers, and numbers, and information with the lender to verify that all the information is correct. Until they are 'balanced' with the lender, they can not set up the signing appointment. Once this is all done, the title officer will call you for a signing appointment. Yay! Signing appointments are often same, or next, day. The title officer will also let you know how much (if anything) you need to bring into signing with you. Signing & closing gets mixed up quite often, but they are totally different steps. Signing is when you meet with the title officer at the escrow office to sign acceptance of the loan, and of the property you are purchasing. You will receive copies of everything you have signed and get sent home....to wait.... Why? Because now we move on to the last step in your home buying process, the closing.

Once you, and the seller have signed, all the paperwork goes back to the underwriters to sign off on, and then to the lenders to fund. After funding happens, you will probably get a call from your lender letting you know it's all done. Ok, well, they are all done. We, however, are not... Once funding happens (and this is when the banks get their monies), all the information goes back to the title company. The title company then sends the necessary information to the courthouse to record your sale. Recording is closing...this is when the home becomes yours. Recording happens during business days from 10am-12pm & from 3pm-5pm. Once the home records in your name, the title officer calls your Realtor to let me know that you are recorded. Congratulations!! NOW I can call you to meet up for those magical KEYS!!

One thing to mention...your lender, and your Realtor....we do NOT give out your information. We value your privacy. Recording on a home purchase, or sale, is matter of public record though. You WILL start getting tons of crap mail, and calls because it is public record. If you are not sure about anything you are receiving, please call your lender, or Realtor, we can let you know if it is spam, or something you need, or help you get information on where to ask.

So, how long does this take? Depending on your loan type, and the speed that you can get your information to your lender, and the speed we can get inspectors and appraisers out, anywhere from 3 weeks to 6 weeks to get from accepted contract to keys. Average is about 40 days. I've got one right now that we are closing in 2 weeks!!! I've got another one that just received keys that went into 6 weeks because the appraiser called out a repair. Wait, hold the phone!!! That can happen???? Why, yes, it can...but that is an email for a different day. :-D

Thank you, as always, for reading this. I hope this helps you this week! Please, if you have any questions, please feel free to call, email, text, or even facebook me anytime. I am always here to help!

Information is power, and I hope that I am help you! Good luck, and as always...May the odds be ever in your favor out there.... If you are looking for a real estate agent, I would love to be able to help you.

I hope that explains this a bit, but if you have any questions, or comments please call or email me anytime! Please remember that while I mean these emails/blogs to be helpful, and educational, I am still hoping that you will call, or email me. I would love to help you with your home buying, or home selling adventure! :-)

As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one. Real Estate is not really about houses, it is about relationships. Your agent, and your lender work for YOU. You drive the bus...we are merely GPS to help you get to your goals. Like the classes, this weekly blog email is to help you with your home adventure. The goal is to be informative and non-promotional. :-) We are, however, hoping you will call and want us to help with your adventure.

Thank you again for your business and your referrals!! ...and thank you for referring these classes to your friends, family, and co-workers.

....disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...

Upcoming Topics: What's the difference between Inspection & Appraisal?

Last Month: Showings...what you need to know

Have a great day, and I will talk to you soon, ;-D Tracie DeMars Real Estate broker Re/Max - Van Mall 360/ 903-3504 cell 360/ 882-3600 fax www.traciedemars.com traciedemars@aol.com

“Interested in free and non promotional home education classes? Go to www.learningtobuyahome.com, or www.freehomebuyerclasses.com for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.”

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be." - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

New Year...New Home...Maybe?  How/Where to Start? Real Estate Education Upcoming Free (& non-promotional) Home Buyer Classes:     Saturday, January 11th, from 9am-12pm (ish)             Marshall Community Center, conference room             1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Monday, January 13th, from 5pm - 8pm (ish)        Marshall Community Center, Conference room       1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, January 25th, from 11am-2pm (ish) ​       Vancouver YMCA, conference room       11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave).                                                                                            If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something o ut that works better with your schedule.  Just let us know....                                                                                  ....we also have home seller classes available too...link on left on website                  Remember...with reservation...we will throw in lunch, or dinner!  :-D ~~~~~~~~~                                                                     Happy New Year!   First I want to thank everyone for attending the Client Appreciation events!  Frozen II, and Star Wars:  The Rise of Skywalker was pretty awesome, and we loving hosting these events for you.  Just our way of saying Thank You for allowing Chris Berg & I to be a part of your home adventure.     Happy New Years!  :-)  2020  Is it just me, or was 2019 a bit bipolar?  It was a bit of a rough year, but now we move forward, and every day is a new start...thankfully!  You know, I remember being told that that time goes by faster as you get older.... I am here to tell you that it really is true.  I guess we all need to listen to Dr. Who, and to stop blinking!!!  ....sigh...      I hope you had a wonderful Christmas with friends, family, and food.... holiday food really is the best.  With the new year starting though, a lot of folks start thinking about new things, and resolutions.  I'm not a fan of resolutions... unless they are to eat more bacon, read more books, crochet more blankets, or help folks buy (or sell) a home.... those are about the only resolutions I can keep!  Do you have resolutions?  Do you keep yours?     The holidays are really about family & home, I think.....having friends & families over for the holidays, or going to someone else's home for the holiday celebration...add that to the new year, and new beginnings and many people start thinking about the next big step.  Is it time for a new home?  Maybe your current home is too small for your family now, and it's time for  a bigger home?  Maybe your family has become smaller and it's time for a smaller home?  Or are you renting your current home, and want to be a homeowner? Purchasing a home, whether it's your first home, or you've owned homes before, is one of the four BIG steps we take in life.  What most folks don't know is where to start, and what questions do you need to ask yourself?  What questions do you ask a lender? A Realtor?  What about classes?  There are SO many right now (it's because it IS the beginning of the year), but how do you KNOW which one is going to give you the best information?    There are definitely some questions you should ask....Let's start with questions to ask yourself....  Bonus Answer.... What if I have a home currently, but want to get a new home?    I bought my first home in 2001.  It was an amazing time for my family, and while we made quite a few mistakes in the purchasing of the home (we went through a builders representative and didn't have our own Realtor), it was still exciting.  I started working for a builder shortly after we moved into our new home, and boy...was that an education.  A few years later we thought about selling, and buying a new home, but were not sure how that would work.   I mean....how do you buy a new home if you are IN the old home?  How would that work?  So we didn't.... we stayed, and that was ok as I was leaving the builder and working real estate outside of the builder by then...and it was best to stay put as the market was starting to slide...hello recession.  I started teaching home buyer education classes because I remember how lost I was when I purchased my first home.  I mean...  believe it or not, but I did take a class before I bought...it was a very LONG class, and they used a booklet that made ZERO sense to me, so it was no help whatsoever.  I wanted to teach classes that made SENSE, and that used the paperwork that people would actually see when buying a home....that was 15 years ago.  About 7 years ago, as the market was heating up from the recession, I had a client call me asking this very question...  HOW do they buy a new home when they own a home already?  How do they sell their current home?  What about paperwork? Agents?  Fees?  Marketing? How do they set up, or handle showings?  How do they sell, and buy at the same time?  So....  we came up for a class for that too.  www.freesellerclasses.com, for upcoming classes, and YES, THE FOLLOWING ANSWERS STILL APPLY TO YOUR SITUATION TOO.  You can always call me with questions too...  I'm always here to help... #1...  Do you have a steady income? When you decide it is time to try to buy a home, a lender is going to want to see a steady income.  Have you been on your job for at least 6 months?  Were you working before that?  Was it in the same industry?  If you weren't working before your current job, were you in school?  Were you in school for the occupation you are in, or something similar?  Are you self employed?  Do you have at least 2 years of 1099's and tax records to prove your income?  These are all questions a lender will ask, and need answers to.  Want more information on this part?  Contact Chris Berg at Cardinal Financial for answers.  He can be reached at Chris.Berg@cardinalfinancial.com, 503-320-0925.  Don't let the 503 number fool you....he is local.  :-)Owning a home is usually a bit more expensive than renting.  With the rising costs of monthly rent, your rent and mortgage payment may be about the same, but owning does have a few more expenses.  When you rent, and something breaks, or has an issue, you call your landlord, or rental management company, and eventually things get repaired.  When you own a home, YOU are the landlord, and so you need to budget for those home repair issues that will come up.  Take $20 from each check and have it automatically deposited in a credit union or financial institution of your choice.  Do not have a check book or card for this account.  This is your home maintenance fund.  You know I love the home warranty, and remember that you can continue it year after year.  Use this fund to pay for that next year of the home warranty.  However, remember that the home warranty does not cover roofing, windows, walls, flooring, or siding.  This account should also be used to maintain and take care of those items as well.  #2...How much debt to you have?This is a big one.  We all have debt, and don't get me wrong....I think Dave Ramsey is a good guy with many excellent ideas, but there is one area that he preaches that actually hurts you in the pursuit of buying a home.  The idea of a cash based living style is wonderful, but when it comes to buying a home this will actually hurt you.  Strange as it is, having NO credit is worse than having BAD credit!  Some debt is actually good....not a lot...but some.  A lender will base the amount of your pre-approval on how much income you have vs how much debt you have.  Your mortgage payment can only be a certain percentage of your disposable income which, in a nutshell, is your income minus your debt.  Some debt is good because it gives you a history of payments.  Are you credit worthy?  Do you pay your debts?  Do you pay those debts on time?  Are you reliable?  Too much debt is bad because the ratio of your debt to your income is too high.  When you are applying for a mortgage, that is (for some of us) the largest debt we will ever carry.  How do lenders know if you will pay back that debt?  They will look at your credit score...which is determined by how well you pay your current debt.  This kinds of leads me to our next question. #3...  What is your credit score?Ah yes...the dreaded credit score!  In the upcoming weeks we will spend some time talking about credit scores...the good, the bad, and the ugly.  For right now though, a credit score is based on your credit history.  It tells the lender a story about your reliability of repaying your debt.  Frankly, at some time, we all have credit issues...or at least most of us do.  Many moons ago, when my husband and I were in the early years of our marriage, we had 'issues'.  We had 2 young children, and a ton of medical debt.  When our son was a baby, we declared chapter 7 bankruptcy.  At the time it was the only thing we could do.  My husbands wages were being garnished, and we couldn't even afford diapers.  We were, in a word, BROKE...and only going broker.  So, we made the decision to go bankrupt.  It was, looking back at it, really the best decision we could have made.  After the discharge, we took it upon ourselves to learn about how 'this' all works.  I think they should teach budgeting, and credit in schools.  This lack of understanding gets a lot of young adults in trouble....of course....just like everything else here this is just my opinion  :-)  So, we learned, and we made better decisions, and choices.  We learned to live within our means.  We learned to stock up, and save.  We went back to school to better ourselves, and our situations so we could provide a better life for (at the time) two children.  Our oldest daughter, and our son in law had a baby this year, and like most young couples they are broke. I guess it is where most of us start. She *barely* remembers what it was like when she was very young.So about that Credit Score....A credit score is based on what type of credit you have, if you make your payments on time (late payments ding your credit score), how much credit you are carrying, and if you pay off your credit in a timely fashion.  Do you have a car loan?  Do you make the minimum credit payment, or more?  Have you paid off a debt?  If you have paid off a credit card....don't close the account because closing the account can hurt your credit score.  Cut up the card if you want, but keep the account open.  Do you have high credit balances?  Lenders don't like to see this because if you have high credit balances it means you have less credit to draw on in case of emergency, and let's face it, we all have emergencies sometimes.  In short, a credit score is based on your past credit history, and lenders use this number to determine how risky it is to loan to you.  With lending...it is all about risk.  They prefer to loan money to individuals with reliability.  They don't want to loan money to individuals with a high risk...someone who most likely won't pay back the money.  So what can you do if your credit score is somewhat, less than stellar?  Call your lender, or call Chris.  They can go over your credit report with you, and point out the areas that you need to address.  They can, and should, actually HELP you to understand your credit report, and should be able to give you some steps to take to better your credit score.  Is it hard work?  Yes...but the end result is absolutely worth it.  It may take some time, but if you do all the steps, we can....and will...help you find a home.  What is 'good' credit?  Most loans will want to say a 'mid-score' of at least 620.  There are three credit scoring companies, Equifax, Transunion, and Experian.  The lender will use the middle score of the three.  The better the credit score, the lower your interest rate for some loans as they have determined you have less risk. With a few loans, you can go as low at 580 on your credit score, but there are some 'hiccups' with that.  The majority of loan programs, especially the loan programs that help home buyers with downpayment will require a 620 mid score to loan money to buy a home.     #4... Do you have a down payment?  Do you need help with one?There are still a few 100% loan programs for those without a down payment, but there are a few strings for these.... mainly location, or being a member of the military.  Surprisingly, you don't have to be a first time home buyer for these programs.  What if you are a first time home buyer thought?  Well, there is quite a few down payment grants & loans out there that can help with that.  Yes, there really is!  Many lenders, and classes will talk about one...maybe 2, of them...but there are some grants to help with your down payment too.  No lie...  There are also other ways to come up with a down payment....401k, 'gifts', tax refunds, etc.  All of these options (and the pros/cons of each) are discussed by Chris Berg at the free & non-promotional home buyer education classes. However, and this is VERY IMPORTANT, remember that you do need money for a earnest money deposit, the home inspection, and the appraisal though.  Anyone who tells you that you don't need any money to buy a home is blowing smoke.... *and I'll let you finish that*   #5....  Have you taken a home buyer education class?Buying a home, whether you have a home already, or are a first time home buyer, is a tense, exciting, thrilling, fun, and yet scary time for everyone.  These classes are about 3 - 3 1/2 hours long and will go over the entire real estate process & what the papers all really mean to you.  The lender will go over the entire loan process including closing costs, down payment loans/grants, and the loans (including the 100% loans), the pros & cons of each (not just the good stuff, but the things you really do need to know too) , credit (and help to get you there), interest rates, and more.  The real estate portion will help you understand the steps, the questions to ask a Realtor, inspections, appraisals, earnest money, and what all those papers involved in an offer really mean.  The classes are free, non-promotional, and taught at community centers for your convenience.   Before you talk with a Realtor, or a lender, and definitely BEFORE you sign any papers with either a Realtor or a lender... TAKE A CLASS.  A home buyer education class should be your first step....not the last one.  When you call to rsvp for a class.... ask how long the Realtor and lender have been teaching classes.  Ask how long the Realtor has been licensed.  Ask where the classes are being held at....are you going to a lender office?  A real estate office?  What will they go over?  There's nothing wrong with taking more than one class too..  Buying (and selling) a home are some of the biggest things that you will ever do.  The only thing that will cost you more money is having a child....and wouldn't it have been nice to have a handbook for that?  :-D                         Information is power, and I hope that I am able to help you.  Good luck, and as always...May the odds be ever in your favor out there....  If you are looking for a real estate agent, I would love to be able to help you.                                                                             As always....this is just a quick overview.... please remember that your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.  If you have any questions about this, or something you have heard...or if you would like me to help you with your home adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help! Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   .   ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...   Next Week:   Interview Questions to hire a Realtor, or How long is the home buying process aka WHEN do I get keys?                             Last Week:   Winter time & buying (or not) buying a home                                                                              Have a great day, and I will talk to you soon,   ;-D   Tracie DeMars   Real Estate broker Re/Max - Van Mall   360/ 903-3504 cell   360/ 882-3600 fax     www.traciedemars.com traciedemars@aol.com “Interested in free and non promotional home buying or selling classes?  Go to www.traciedemars.com or www.learningtobuyahome.com, for upcoming classes, or facebook: Tracie DeMars Real Estate for my home adventure education blog.  Classes are now available for home owners thinking about selling their home.  Links are on the left. ""Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."       - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

Winter Time, and Best Time to Buy a Home...

Upcoming Free (& non-promotional) Home Buyer Classes:

  ...we also have home seller classes available.  Link on left on website page

Saturday, November 16th, from 11am-2pm (ish) ​       Vancouver YMCA, conference room       11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave).

Saturday, December 7th, from 9am-12pm (ish)       Marshall Community Center, conference room       1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College)

Monday, December 9th, from 5pm - 8pm (ish)        Marshall Community Center, Conference room       1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, December 14th, from 12pm-3pm (ish) ​       Vancouver YMCA, conference room       11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave).

If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know....                                                        Remember...with reservation...we will throw in lunch, or dinner!  :-D ~~~~~~~~~

Happy Veterans Day...

 I want to take a quick moment to thank our veterans... those who have served, and those who are serving.  I appreciate the sacrifices you have made, and are making.  I have many clients, friends, and family who've served, or are serving, and I've had many tell me that the hardest part is being so far from family & home.  Home..it's a powerful word....and for many folks one of the reasons why they do serve.  So...thank you...

 Now, today is November 12th...and like many I am enjoying the new Disney+!  Oh my, so many movies that I a remember as a child, and when my older kids were much younger... Blackbeard's Ghost, Pollyanna, Bedknobs & Broomsticks, and so much more.  It's a glorious thing!    Don't forget about the Client Appreciation Event coming up for 11/23 from 3pm-6pm (or thereabouts) for Frozen 2!  Chris Berg buy out the entire theater for these events a few times a year to say, Thank you, to our clients.  We appreciate you!  Now...Frozen 2 is sold out in the general area, but there are some seats available in the 21+ area, and we are going to start rsvp'ing for Star Wars IX in December!!  Thank you for your business and for your referrals...  

So, this week, let's talk about the current market for a quick moment.....I know that it's gray and dreary, and everyone has the holidays on their mind, but honestly, if you are even 'thinking' about buying a home....NOW is the best time.  Yes, there are not a whole lot of homes on the market, but the market is not as competitive as it is during the spring time.  Remember that from offer to keys it will take about 6-7 weeks.  The market tends to pick up and start getting crazy again right about late February/early March-April when folks start getting their tax refunds.    

Now...please remember that my magic wand is broken, and the magic 8 ball exploded all over my house with the coming holidays... so no one really knows what is going to happen.   Typically in an election year we don't see a whole lot of movement with interest rates, or any major changes that could disrupt the economy.  Seattle and the Portland Metro are still very solid markets, and we are still in a sellers market, but it isn't as strong or fierce as it was a few years ago.  We are still seeing multiple offers on homes in certain price ranges, but for many other homes we are seeing sellers paying some closing costs for the buyers.  What will happen for the coming year though?  This is a lot like foretelling the weather right now... as it really depends on when things happen.  Most industry sources do say that home prices should start plateauing though.  This doesn't mean that the home prices will not go up...they just shouldn't go up like last year.  They should steady out. As people see the change in the market coming, more homeowners should put the home on the market so they can begin their move to their new home, and this will help all the price ranges see more homes on the market. So, yes, there aren't as many homes on the market right now than there will be say around...spring break... the homes that are on the market though are solid sellers.  

 Yes, prices are still going up, but not as much as they were the past few years, so let's talk about how all that works.  I bought my old home in late 2001, with a 6.875% interest rate....don't feel bad, or shocked....in a 'healthy' market, a 'normal' interest rate would be about 7%.  We were THRILLED to be under 7%!   We sold that home in 2017, and it was harder than I thought it would be.  It was our first home, and we had lived there for 16 years.  It was the craziest thing, but did you know that when our buyers purchased our home for the $285,000 it was worth, with the 3.5% interest rate.... our mortgages were almost THE SAME!   Wait...I'm not (that) crazy...it's economics.  Yes, they bought it for more than I owed, but with a much lower interest rate.   That equaled my lower owed amount, but higher interest rate. How crazy is that???  Now, here's the crazy part... in 2016, my old house was only worth about $245,000, and right now, that same home is worth $330,000! NUTS!!!  My mother purchased a home in the 80's for $70,000, but her interest rate was 18.375%!!!   ....now that is crazy!!    The point of this is that while yes, prices are going up, the interest rates are still really low, so you can purchase more home.   When this changes, and interest rates rise it doesn't mean that home prices will immediately start dropping, they should start leveling off ...it will take a bit of time to balance out though.  

  I have clients asking me if they should just settle then on a home, and frankly this is a tough question.   No, you shouldn't 'just settle' on a home, but you may have to adjust either the type of home you want, the location, or be able to go up in purchase price to get what you want.  Please remember that this most likely is not your last home, but your home for the next 5-10 years....that's the average.  Know what your top 3 things are that you need in a home.  Whether you are buying a home, or selling a home...it is exciting, scary, fun, and frustrating.  It's a lot like a roller coaster, or driving down Mill Plain during rush hour,....or during that last month of pregnancy. I tell you....there's a reason I don't drink often.....I'm afraid once I start that I won't stop!  ;-D  (just kidding)  Buying and/or selling a home always going to be a a roller coaster when you're on the ride.  We're here though to help...that's what we do.

 When you are looking for a home,  you need to consider more than just the house.  You are also buying the neighborhood, the schools, the property taxes, the local parks, the neighbors, and the local infrastructure.  The home needs to 'fit' you like your favorite pair of pj's. For example....this last weekend I had a client look at a home that she liked.  On paper it was everything she said she wanted, and she couldn't find anything against the house that would cause her to not want to write an offer. So why was she hesitant?  Because this home was that sweater or shirt that looks good on the rack, and so you try it on.  It fits ok, and it looks all right, but there is just 'something' that is 'off' with it.....you can't figure it out either.  Sometimes you buy it, but never wear it, and sometimes you put it back.  Buying the 'right' home is a lot like that.  You can, and will, see homes you like, but they just don't 'fit'.  Put that home back.  Sometimes you see an item of clothing on the rack that you really don't know about....but you try it on anyway and BAM!  you look AMAZING!  Some homes don't look like much from the outside, but you get inside and they are amazing.  Remember that internet home photos are a lot like internet dating....you never know what you are going to see when you get there, and many agents hire professional photographers for a reason.  I can always tell which photos an agent did themselves, and who hired someone.   Finding the 'right' home is like sliding into your favorite jeans, or boots.....there is just something about it that 'fits'.  I see homes I 'like' all the time, but just because I like it doesn't mean it fits.  If you are obsessed with a home that you have seen though.   You really like the home, and you keep going back to the pictures, and driving by the house.....that's the 'right' home....even if it was one of the first homes you saw, or it was something you didn't think you wanted, or weren't sure about.  That home is that sweater/shirt/shoes that you just weren't sure about....until you tried it on.  Darling, you look AMAZING!   Trust your instincts....this is YOUR home, and YOUR mortgage.    With rents going up so much lately you can buy for about what your renting...or close to it.

  What is the best time to buy, or sell?  Whenever YOU are ready.  Sometimes waiting makes sense, and sometimes it really doesn't.  I am a firm believer that the right home will always be ready when you are, and that it will all fall into place.  Remember....your agent works for you.   YOUR agent isn't a salesperson.  We shouldn't be trying to 'sell' you on anything.  YOUR agent works for YOU....not the other way around.  When you hire an agent you are hiring a representative; someone who should be looking out for your best interests. Always ask questions. We do this all the time, and we love it, so use our knowledge to your advantage.  There really is NO stupid question in real estate. There is always learning opportunities, and that is goes for us as well.   If i can't answer your question; I will help you find someone who can.  We're in this together.  

Don't forget though... that the first step in ANY adventure is education. Take a home buyer class, or a home seller class....that's what they're there for.  

Information

is power,  and as always...May the odds be ever in your favor out there....

 If you are looking for a real estate agent, I would love to be able to help you.  

If you have any questions, or comments please get a hold of me anytime.  You can call, text, email, or even facebook me.  Please remember that while I mean these emails/blogs to be helpful, and educational, I am still hoping that you will call, or email me as I would be honored to help you with your home buying, or home selling adventure.

   As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.   Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   ....disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...   Upcoming Topics:

Winter Home Maintenance & things to look for...

Last Week:  Delayed Possession...what is this madness?

Have a great day, and I will talk to you soon,  

;-D  

Tracie DeMars  

Real Estate broker

Re/Max - Van Mall  

360/ 903-3504 cell  

360/ 882-3600 fax  

www.traciedemars.com

traciedemars@aol.com

“Interested in free and non promotional home education classes?  Go to www.freehomebuyerclasses.com for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.”

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."    

  - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

Buyers Due Diligence

Upcoming Free (& non-promotional) Home Buyer Classes:

Thursday, October 17th, from 5pm - 8pm (ish)        Marshall Community Center, Conference room       1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, October 19th, from 12pm-3pm (ish) ​       Vancouver YMCA, conference room       11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave).

Saturday, November 2nd, from 9am-12pm (ish)       Marshall Community Center, conference room       1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College)

If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know....                                                                                  

....we also have home seller classes available too...link on left on website

                 Remember...with reservation...we will throw in lunch, or dinner!  :-D                               ~~~~~~~~~

Happy Autumn  

FALL!!!    HappyHallowThanksMas!  The last 3 months of the year are my favorite.  I love the argument between Pumpkin Spice or Apple Cider (Apple Cider is the best by the way followed closely by all things peppermint). I love the colors, the smells, the holi-daze, the weather, and the coziness of it all.  I have a body made for winter clothes.

 I know.. it's strange, but I love gray days that make you want to snuggle in with some hot tea, and a good book, and I love those clear fall days where the sky is so blue & the colors on the trees are so bright...  Ok... I'm waxing poetic here, so I better stop while I'm ahead.

 We do have an exciting event coming up though...2 of them actually....  Winter Client Appreciation Events!  

In November we will be hosting Frozen 2 & in December... well, it's STAR WARS time!!  Chris Berg and I will be limiting tickets to 6 tickets please unless you have talked to me or Chris Berg about it first. We are excited to see you soon!!  :-) ...and Thank YOU.. Thank you for your referrals!  Thank you for recommending us, or the classes to those you know (and on Facebook too), and THANK YOU for letting us to be part of your home adventures. We appreciate you so much

Now...on to our weekly home buyer education!  I know I said we are going to talk about what happens AFTER the home inspection, but first I thougt we should talk about about Buyers Due Diligence, and why this is so important for you.     I saw a very interesting home this week that was right across the street from a cemetery.  Now, that wouldn't bother me, but for some folks...that would be a BIG thing.  My clients liked the land but did not like the house...the house was ...  interesting.  It was a 1925 home, that had been 'worked' on over the years, and probably not professionally.  When I am showing homes to clients, I get asked many questions about the home....some I can answer and some I can't.   Some of the answers we can find out, and some...well, you never really 'know' a home until you are the one living in it.  So, what are some questions I can not answer... is the home haunted?  Um....I don't know?  Has there been a violent crime in the home or in the area?  Um...I don't know?  Believe it or not, that isn't considered a relevant fact when listing the home as it doesn't actually affect the home.  

  When selling a home, the seller (and sellers agent) is only obligated to disclose known material facts about the home on the sellers disclosure, and this is only  about the home during the current sellers ownership.  So what is a 'material fact'?   A 'material fact' is considered to be something that structurally affects the home.  The sellers disclosure is about 6 pages long and the seller is 'supposed to' disclose all known facts about the home on it.  However, if anyone has teenagers you know how often 'supposed to' gets done.  Some sellers will disclose ALL facts about the homes....even those items that have been repaired, some sellers will only disclose those items that they haven't gotten around to fixing, and some sellers just have no idea about anything in their home.  Of course, this is why we do a home inspection.  It isn't that you can't trust the sellers, but when it comes down to it, most sellers don't know anything about their home.  This is called 'Buyers Due Diligence'.  A buyer does have some responsibility for doing some research on the home, and area, that they are wanting, or trying to, buy in.  If your buyers agent knows anything about the home or area then we have to legal responsibility to disclose it.  In Washington, all sellers are required to fill out the 6 page sellers disclosure on their own.  Their Realtor can not do it for them, or help them fill it out.....however, if the seller is a bank, or it is an estate, or an investor then there won't be any sellers disclosures, or if there is, most questions will be answered with "don't know". For every question on the sellers disclosures, the sellers have 4 choices to answer...  "yes, no, don't know, or NA", and every question must be answered....no empty boxes.  When you receive a copy of the sellers disclosure though ...remember to take it with a grain of salt, and hire a good inspector.  Many sellers now will even just put a majority of 'don't know' answers on the sellers disclosure so as to not have any liability.  The majority of sellers aren't trying to 'hide' anything about the home, they just truly don't know.  A realtor will hand the sellers disclosure to their client, the seller, and that is it.  We, real estate agents, can not help the seller fill out the sellers disclosure at all.  If you have any questions regarding anything on the sellers disclosure, your Realtor can request more information (if there is any) from the sellers through their sellers agent.  Make sure you also address any concern you have regarding the homes condition to the home inspector you hire.  He (or she) should be able to help you with that.  The inspector I usually refer out encourages the buyer to walk with him during the home inspection so that the buyer is part of that inspection.  I like to call it a 'crash course in homeowning'.  

By the time he is done with the inspection, my client usually knows more about the home than the current owner does!  I can't stress it enough....ask questions!  You are paying for the home inspection, so walk around with the home inspector, ask questions, learn about what the inspector is checking, and be a part of the home inspection.

  Sometimes, but not often, we will see sellers purposely try to hide something. This sucks.  I had this happen recently with a client. The home in question had been on the market for about 5 months...with 3 different Realtors, and had been pending 2 times before with sale fails. Ok...red flags...3 different Realtors in such a short period of time? Two prior sale fails? hmmm... I asked the current Realtor why the sale fails, and he said there were financing issues.  Ok, sometimes that happens.  I have had that happen on listings of mine too.  Current Realtor was very eager for an offer,and called me about closing costs, etc. My clients liked the home, and the listed price was attractive.  It did need some cosmetic work, but that was ok, for the price and the closing costs. Fast forward to home inspection, and the home passed with flying colors.  Only things that came up was a recalled electric panel (common for the age of the home), and lack of insulation under the home.  Insulation under the home is not required for the age of the home, and was something my clients were willing to do later. The recalled panel would need replaced prior to appraisal as that is something that most likely would be called out.  Where the big issue came was during the sewer scope...  the sewer line from the home to the street had a 35 ft 'bend' in it.  Sewer lines need to go down 1 inch for every foot for optimum flow (yay...the things I know that are weird to know), and due to land settling, etc...this homes sewer line had a dip in it before it went to the street. Ok....it's not like the seller could have known this right? Well, normally I'd agree with you, but in this case he DID KNOW!  Plumber asked us if we knew and we said no (because how would we?)  Plumber then goes on to say that,"well, that's weird, because the seller knows. This home has had a recent sewer scope already done.  There's some paint lines in the street that looks like they were scrubbed off."   Uhhh....what?!  I send this information to the sellers agent (who has no idea),and he assures me that if they knew it would have been on the sellers disclosures (it wasn't). Sellers agent calls his client and then calls me back. At this point both the sellers agent & I know the seller is full of it because the seller told his agent that there was nothing wrong with the sewer line....because he had the city come out and check it a couple of weeks ago and they hydro jetted it. That all of this was just the plumbing contractor and my clients trying to get more money out of him.  Honestly folks, that was our first indication that this deal was going to be hairy & scary...  We requested the recalled panel to be replaced and the sewer line repaired. The seller sent his agent a bid for the sewer line repair that was dated a full 3 weeks BEFORE my client made their offer. When the seller was with Agent #2, and during the 2nd sale fail.  Sale failed because of financing issues...my tush..  

My clients loved many things about the home, and except for the sewer line (and that it needed paint and flooring), it was in excellent condition with a newer roof and new windows. It also had the yard & 2 living spaces that my clients wanted. So, we persisted. Seller did have the panel switched out (with much grumbling).  It cost the seller $700 more than it should have because he tried to go 'cheap' and had to have it redone. The sewer line failed the sewer scope. . at least twice.  The bid that the seller presented was for $10,000 to repair the line.  So now my client had a choice....  do we back out? Do we require the sewer line to be repaired? What do we do? At least one of the previous buyers had backed out because the seller refused to repair the line.  Discussion time...  many of the homes we were looking at with this price range were either smaller and in good condition, or needed a new roof soon (about $7,000 estimate), or new windows (about $5,000),or similar. The sewer line is currently working.  Does it need to be under surveillance? Yes. Will it need to be corrected at some point? Yes. Does it need to be done right now? No.  For my clients they decided to go with the evil you know vs the evil that they may find in another home.  This home was in excellent condition with many things already done (like the new roof, windows, & now a new electric panel)...the only thing that will need to be done will be the sewer line. One thing vs many possible things at a different home.  So I spoke with the sellers agent (who was very dismayed to find out his seller had been lying to him), and they offered a split of the repair cost. What this means is that we had a $10,000 sewer line repair bid. The sellers offered another $4000 in closing costs to offset that repair.  I called my clients lender to ask if my buyers could use all of those closing costs (whatever isn't used is returned to the sellers), and they could!  My clients accepted that compromise as this freed up some money for my clients to do what they wanted to the home to move in... those cosmetic things that they didn't have to put off now.  In the end it worked out.  Of course...that was until closing day....but that is a story for next week....  

 It's not often that seller will blatantly lie on a sellers disclosure.  Most of the time it is something that the sellers don't know about that shows up on a home inspection, or a sewer scope.  However, that is why we do inspections...  because of the things that people don't know, don't think about, and rarely...try to hide.  As I said in my last email... buying a home is a lot like buying a used car.  Most of the time it is all good, but occasionally...occasionally... you find those folks who are trying to get away with something.      Your realtor will help you find out as much about the home as possible.  Your agent should be present at your home inspection, and so should you.  However, whether or not the home is haunted or not, we really can't help you with.  Whether or not there has been a violent crime in the home or area is another thing that we really can't help you with, but we CAN help you by providing some places where you can do some research.  Has anyone died in the home?  Again....I don't know..., but if it is an older home, and/or an estate?  Maybe you should leave out some milk and cookies occasionally?  

  What about that new building being built in the neighborhood?  Your Realtor probably doesn't know what it is, and honestly we shouldn't guess.  That is something that a buyer will want to do some research on.  Is that garage conversion permitted?  Call the city/county.  Your Realtor will help you find the information, but when it comes down to it, because of past legal problems, we are now limited on the extent that we can delve into everything....but we can help you get there still.  It is weird, but there it is.  There is a lot your Realtor can, and will do for you, and we will do all that we can to make sure that you are getting the best customer service possible.  Your Realtor should help you to make sure that you are performing your buyers due diligence to make sure that you won't get any unexpected surprises later.  I am a huge fan of talking with neighbors....neighbors are a great source of information on a home.  :-)  Please remember that you are not just buying the home, you are buying the neighborhood.  One of the questions I always ask my clients is if they have thought about the area they want to move to?  Have they looked into schools, if that is important.  Have they considered locations regarding work, or family/friends?  I encourage my clients to drive around, and check out the neighborhoods they're interested in.  Drive by the homes you are interested in seeing, look at the neighbors, yards, parks, cars, etc...  check out those things that are important to you.  Vancouver doesn't really have a 'good side', or 'bad side'...Clark county has a lot of 'pocket neighborhoods'.  In a two mile radius you can have million dollar homes, new developments, 'sketchy' neighborhoods, and established 'homey' neighborhoods.  Clark County has something for everyone!   What are you looking for in a home/neighborhood?  What are your top 3 things you want (not counting price)?  As a realtor we can not 'steer' you towards, or away, from any neighborhood.  Our job is to help you find the best home we can, in your price range, that fits what you want.  As an agent, I will help you get all the information I can, or direct you to places that can help you get that information.  For example....census.gov is an excellent site to check out neighborhoods, and schools.  Check it out!  

  So...buyers due diligence....talk to neighbors, walk around the home, and neighborhood... and write down a list of questions.  Ask your inspector about these questions to check out.  Ask your real estate agent to help you find out some answers to these questions, or if they can't find the answers, help you find some places where you can do some research or ask questions.  Your Realtor is here to help you!  Remember that your Realtor works FOR you.   Make sure you know what you are getting into....and any questions?  ASK!  ...and keep asking until you get answers!   As always, if you have any questions, please call or email me...I am always here to help.  :-)  Remember...I am a real estate broker, and I look forward to helping you on your home buying adventure...and assisting you to get those keys.  :-D  Whether you are buying, or selling your home, my goal is to be the real estate broker you think of.  I really want to help you with your first time, and every time.  I believe that real estate is about relationships.....and no...that is not a shameless plug!  LOL   I hope this helps you this week!  Please, if you have any questions, please feel free to call, email, text, or even facebook me anytime.  I am always here to help!  

Information is power, and I hope that I am help you!  Good luck, and as always...May the odds be ever in your favor out there....  If you are looking for a real estate agent, I would love to be able to help you.  

I hope that explains this a bit, but if you have any questions, or comments please call or email me anytime!  Please remember that while I mean these emails/blogs to be helpful, and educational, I am still hoping that you will call, or email me.  I would love to help you with your home buying, or home selling adventure!  :-)

   As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.  

If you have any questions about this, or something you have heard...or if you would like me to help you with your home adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help! Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   ....disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...   Upcoming Topics:What happens AFTER the home inspection?

What do I need to buy a home,

What if I don't have a Down Payment?

Pre-Approvals...what, why... and the importance of getting one

Debt to Income Ratios....What is this?

Last Week:  Home Inspections & seller disclosure

Have a great day, and I will talk to you soon,  

;-D  

Tracie DeMars  

Real Estate broker

Re/Max - Van Mall  

360/ 903-3504 cell  

360/ 882-3600 fax  

www.traciedemars.com

traciedemars@aol.com

“Interested in free and non promotional home education classes?  Go to www.learningtobuyahome.com or www.freehomebuyerclasses.com for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.”

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."    

  - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

Holy Price Reductions!  (home education for Buyers/Sellers) Upcoming Free (& non-promotional) Home Buyer Classes:

Saturday, August 17th, from 9am-12pm (ish)       Marshall Community Center, conference room       1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College)

Tuesday, August 20th, from 5pm - 8pm (ish)        Marshall Community Center, Conference room       1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, August 24th, from 12pm-3pm (ish) ​       Vancouver YMCA, conference room       11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave).

If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know....                                                                                  

....we also have home seller classes available too...link on left on website

                 Remember...with reservation...we will throw in lunch, or dinner!  :-D                               ~~~~~~~~

Happy Sunday!Sweet Summertime....  Sorry about the email/blog silence lately...  in June, Chris Berg and I started a radio ad on 102.3 & 620, and they needed some analytics from the running of that for awhile.  We didn't want to mess it up with analytics from the email/blog.  It's been so weird not sending this out for awhile though.  Always remember that if you ever have any questions you can always email, call, or text me anytime.  I am always here to help.  I also have all of these on the blog page at www.learningtobuyahome.com too.  You can also browse through those too.

Now... the Clark County Fair starts this Friday!   The fair runs from Friday, August 2 through Sunday, August 11th.  Chris Berg and I will be at the Clark County Fair again this year... because we are crazy.  Please, stop by and say, "hi!" to us... it is the one thing that keeps up sane while we are there.  It's a long 10 days and we will be there EVERY day.  I will be at the booth (inside the cool big exhibit hall, second booth to the right of the main doors) from 10am-4pm, and Chris will be there from 4pm-10pm....  EVERY DAY.  So, please... stop by... talk to us... help us preserve what little sanity we have left.... AND … tell us you saw/read this post AND we have something pretty cool for you. Why? Because I went a little crazy on the promotional items, and I need to get them out of my garage so I can park in there again before the weather starts to turn.  Help a gal out...  

 So this week let's talk a bit about the market...  I've have a few people ask me if the market is starting to 'turn'... and my answer is a mixed bag.  First things first....it's summer, and weather has a LOT to do with real estate, which is kind of weird, but there is a reasoning behind it.  The BEST months of the year to be a buyer is always going to be the winter months of November, December, and January.  There are couple of reasons for this ….  weather (cold, crappy, rainy, and sometimes snowy), and the holidays.... not many folks want to be out looking or selling during the holidays.  Because of these reasons, home typically 'sit' on the market for a bit longer.  This is good for buyers because it gives people time to think before jumping on a home and making an offer, and because the market is a bit 'softer' during these months, there are less multiple offer situations and more sellers are willing to pay some closing costs.  The down side of these months is that there aren't usually as many homes for sale on the market....this is an upside for the seller, as there is less competition for the seller.  The second BEST months of the year to be a buyer are JULY and AUGUST...  why?  because again....it's HOT, and surprisingly the hotter it is the less people are out looking at homes.  People want to go the lakes, rivers, and beaches when it is hot....they don't want to go look at homes.  Also, there is less buyer competition during these months because it is summer, and during that time of year there are additional childcare costs, getting ready for school costs, and vacations.  One of the pluses about the summer months over the winter months is that there is usually a lot more homes for sale during these months.  The craziest time of year to be a buyer is always during February through June as this is usually the busiest time as people have tax refunds to use for down payments (if you don't have one though there are programs to help with this), and closing costs.  February and June can go either way....depending on the year, but during this time there tends to be less homes on the market and a LOT more buyer competition so more multiple offers, homes sell for more than listing price, and sellers are less likely to pay any closing costs.  

 So what if you have a home to sell, and need to buy one too?  The summer and winter months are your best friend too.  The spring might be easier to sell, but as a buyer you will have a more difficult time with that 'sell my home first' contingency (more about this on an upcoming blog). The summer and winter months will give you a more solid buyer, and availability to purchase your new home with being contingent on the sale of your current home.     Does this explain the price drops you are seeing?  Yes... the market is always on steroids during the spring, and when people list during the summer they see this, but as the home sits on the market for a bit longer, the price drops start happening. For buyers this is good....  multiple offers are difficult for everyone, and many buyers need some closing costs assistance. If you are a buyer.... go look at homes when it is hot as hades out there...  it is a good thing!  

 The home market really follows interest rates  Interest rates went up for a bit, and the market softened a bit.  Interest rates dropped again recently, and that has helped some buyers with the amount they're pre-approved for.  Remember that you are pre-approved for a monthly home payment (not a purchase price).  The monthly home payment is directly related to interest rates....so as rates go up, a buyer is pre-approved for less.  I'm talking to my buyers right now, and reminding them that the home they purchase is really a 7-10 year home.  The market has been going up for quite awhile, but it's not skyrocketing like it was.    We see many more homeowners following the interest rates, and seeing home prices start to soften, so we are seeing more home inventory hitting the market....again... this is a good thing as it will ease up the low supply/high demand that caused home prices to skyrocket.    Please remember a couple of things....I might have been called a witch a time or two, but my powers of seeing the future are not very good. My magic wand is a hit and miss, and that silly 8 ball lies to me quite frequently.  All we can do is listen to the economists, watch and follow the trends, and rely of past economic predictions.

 Good news is that YES, due to higher inventory and lower demand and this infernal heat, we ARE seeing price drops.  We are also seeing sellers assisting with buyers closing  Is there a crash coming?  Not that anyone sees....no...  What the economists are talking about is a 'market correction'  where rising interest rates control the skyrocketing home prices.  When that is coming is anyone's guess though....   Please remember that your home is just that...your home.  While it is an investment...it's an investment in your future.  Owning a home is a long term investment.  

 Now for those of you who love this heat....  I am too fluffy, pale, and my hair is too frizzy for this kind of madness.... :-)

  I hope that explains this a bit, but if you have any questions, or comments please call or email me anytime!  I am here to help...

Your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.  

If you have any questions about this, or something you have heard...or if you would like me to help you with your home adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help! Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   .   ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...   Upcoming Topics:

Rules to seeing homes (for Buyers & Sellers)

Contingencies, Rentback, and Pre-Possession (oh my!),

Buyers Due Diligence, &....What happens after an offer is made?

Last Week:  What's in a mortgage & 'escrow'?

Have a great day, and I will talk to you soon,  

;-D  

Tracie DeMars  

Real Estate broker

Re/Max - Van Mall  

360/ 903-3504 cell  

360/ 882-3600 fax  

www.traciedemars.com

traciedemars@aol.com

“Interested in free and non promotional home education classes?  Go to www.learningtobuyahome.com for l

ocal upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.”

"Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."    

  - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

What’s in a mortgage payment & what is ‘escrow’? Home Buyer & Home Seller Educations

www.learningtobuyahome.com

  Upcoming Free (& non-promotional) Home Buyer Classes: Monday, June 17th, from 5pm - 8pm (ish)        Marshall Community Center, Conference room       1009 E McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, June 22nd, from 12pm-3pm (ish) ​       Vancouver YMCA, conference room       11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave). If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know....                                                                                  ...www.learningtobuyahome.com for seller class schedule....                  Remember...with reservation...we will throw in lunch, or dinner!  :-D ~~~~~~~~~Happy Sunday~ It's supposed to be in the 90's this week?  Blech....  I know that some people love the heat, but I may be too fluffy for the heat.  Thank goodness for Air Conditioning this week.  So, Chris and I get asked about closing costs all the time.  What are they?  How much are they?  What are they for?  How can you plan for them?   Buying a home will be the largest purchase you ever make.  The only thing that will cost your more than buying a home is having a child.  :-)  Like a child, you have to take care of your home though, and there is more to home ownership than most people realize.     Every month you pay bills, and your mortgage payment will most likely be your largest monthly expenditure, but what is it?  We will talk about how a mortgage payment works soon, but this week, let's talk about the five parts of a mortgage payment.   Now...what is all in your payment?    There are four parts to your mortgage payment...it is called a PITI payment.  What that means is Principal, Interest, Taxes, and Insurance.  For example, if my payment was $2000, my principal/interest portion would be about  $1300 a month, and the other $700 a month would be put into an escrow account.  Out of this account comes the homeowners insurance payment once a year, and property taxes are also paid from this account twice a year.  All of these fees are wrapped into the monthly mortgage payment.  Anytime you are using a FHA, or any government type of loan like RD (USDA), or the downpayment assistance programs & grants (like Home Advantage), these fees must be wrapped into the mortgage payment.   If you don't have a 20% down payment (like 99.9% people), then your mortgage payment will actually have FIVE PARTS with the fifth part being Mortgage Insurance. Another insurance that 'could' come out of the escrow payment is flood insurance.  If you live in a flood plain (I used to), then you will be required to carry flood insurance.  Flood insurance would be wrapped up into your mortgage payment, and be deposited into your escrow payment for a payment once a year.   So what's an escrow account?  Your escrow account, as mentioned above is the account that holds the money taken from your mortgage payment every month to pay for those parts of your mortgage that are NOT principal and interest.  Every year your mortgage company will evaluate your escrow account to be certain that they're collecting enough to pay for these items.  As property taxes go up (or down) based on home value, your home owners insurance should also change to cover your homes value.  If your values are going up, then the amount you need in your escrow account will also need to increase.  You will receive a letter from your escrow account every year to update you whether you have enough in your payment to cover escrow, or if you have too much in your escrow account.  If you have too much in your escrow account then you might receive a check, and new payment amount.  If you don't have enough forecasted in your account, then they will ask you to mail in a check to cover the difference, or your mortgage payment will be adjusted to cover the difference.   Mortgage Insurance vs Homeowners Insurance Mortgage insurance is different than home owners (sometimes called, Hazard) insurance.  In a nutshell, mortgage Insurance protects the lender in case you default on your loan, and homeowners insurance protects you & the lender in case something happens to the home....ie.. a fire, a tree falling on your home, a car driving into your home, burst pipes, etc.   Homeowners Insurance   Now, please remember, you do choose your insurance company!  One of the things I suggest to clients is to contact their insurance company after they make their offer and to do a couple of things...(1) Has there been any water of fire claims in the past 3-5 years on this home?, and (2) How much would the insurance be for this home?  Average homeowners insurance is about $500-$700 a year....again, it is wrapped up into your monthly mortgage payment so it is NOT another extra expense.  You do get to choose your company, and many companies will give you discounts for 'bundling' your policies...like, home, car, life, etc.  It doesn't hurt to call around for quotes.  Once you choose a company, you will want to request that your insurance agent send over an 'insurance binder' over to your lender. Property Taxes  Taxes are decided by the county, and are usually paid twice a year. You may get a copy of the tax bill, but again, it is paid by your mortgage company out of your escrow account.  I always get phone calls when these bills come out.  :-D  No worries...it is just for your records, and I encourage your phone calls!!  :-)  Please remember that 'Tax Assessed Value' is NOT market value.  Property taxes are assessed every year, but based off of sales from a year to two years prior.   Principal & Interest   Now...your principal and interest portion of your mortgage payment.  As we know a portion of your mortgage payment every month goes toward the principal amount that your borrowed to purchase your home, and a portion goes toward the interest that the lender is charging you.  In the beginning of your loan the smaller amount goes toward principal, and the larger portion goes toward interest...this eventually switches.  We all know the wisdom of making an additional payment every year on your mortgage to reduce your loan time.  Some banks will offer to take your payment in two week portions, and make your additional payment for you.  Honestly I don't advise this.....before you think I am crazy, this is the reason why....the bank actually holds your money and makes your additional payment at the end of the year.  This isn't the best way for you, really....  I always pay between $25-$100 extra on my mortgage every month depending upon our finances that month, but apply it directly towards my principal borrowed amount.  At the end of the year I have made that extra payment directly towards my principal, which is less money I can be charged interest on!  This will shorten my loan length considerably.  In the end I actually pay MORE on the principal amount than I would have if I had just made one extra payment.  My suggestion to all my clients is to take that $20 from each paycheck and put it into that credit union far away (with no debit card or checkbook for) that is for your home repairs that are needed as a homeowner.  If you just put at least $25 per month extra toward your principal loan amount you will also be shortening your loan time.  This sounds like a lot...but really is it?  It is a trip to McD's (for my family anyhow as we have 2 adults, a third grader, and either my adult son, and/or my adult daughter and her husband, and baby.), or a couple of Dutch Brothers trips a month...but it will help you in the long run immensely.   I won't lie... I love my Dutch Bros though.  :-)   So there are the 5 parts of your mortgage payment...Principal, Interest, Taxes, and Insurance...both Mortgage & Homeowners.....all tidily wrapped up into one payment every month..  Yay!  I kept it shorter this week!  :-D  It's like going to the grocery store, and only coming out with the items you went in for....ok, who am I kidding...that never happens!              Information is power, and I hope that I am able to help you.  Good luck, and as always...May the odds be ever in your favor out there....  AND If you are looking for a real estate agent, I would love to be able to help you.                                                                            As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.   If you have any questions about this, or something you have heard...or if you would like me to help you with your home adventure, please call, email,  text, or facebook me anytime.  I am, as always, happy to help! Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   .   ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...   Upcoming Topics: 55 things not to do when buying a home.                                  When is a pre-approval not a pre-approval?Last Week:  Types of Realtors & Compensation...explained Have a great day, and I will talk to you soon,   ;-D   Tracie DeMars   Real Estate broker   Re/Max - Van Mall   360/ 903-3504 cell   360/ 882-3600 fax   www.traciedemars.com   traciedemars@aol.com       “Interested in free and non promotional home education classes?  Go to www.learningtobuyahome.com, for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” "Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."       - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

Types of Realtors & Compensation (home buyer/seller education)

Upcoming Free (& non-promotional) Home Buyer Classes:   ...we also have home seller classes available.  Link on left on website page Saturday, May 18th, from 11am-2pm (ish) ​       Vancouver YMCA, conference room       11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave). Thursday, May 30th, from 5pm-8pm (ish)       Marshall Community Center, conference room       1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, June 8th, from 9am-12pm (ish)       Marshall Community Center, conference room       1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know.... ....we also have home seller classes available too...link on left on website                                                             Remember...with reservation...we will throw in lunch, or dinner!  :-D ~~~~~~~~~ Happy Spring...errr....Summer?  Thank you to everyone who attended the Client Appreciation Event last Saturday!  It was a great turn out ... even if it was a week after Avengers:Endgame came out!  :-)  Chris Berg, and I appreciate you all for coming to visit and watch a movie with us.  Our next Client Appreciation movie events are going to be this Winter for Frozen 2 (c'mon...it will be great!  Just 'let it go') & for the new Star Wars: The Rise of the Skywalkers movie!!  I can't lie... I am really excited for this next one!  :-D  We hope to see you there! Before I jump into this week (ish) topic I want to get some feedback from you, if possible....  I only email those who requested this blog/email, but I have been getting asked why I haven't been sending them out.  Well, I have been, but it appears that they're not being received by the emails?  I am not a techy person... my 9 year old probably has better tech skills than I do, so I'm trying a new avenue to get these emails to you.  If you are getting this email, can you let me know? If I know that at least 'some' people are getting it, I am going to assume (yes, I know what that means) that everyone else who doesn't respond is getting it too.  :-)  Not sure how, or if, this is going to work, but I'm always game to try!!   Secondly, as briefly mentioned at the movie event, the banners that Chris Berg & I use for the community events like the Clark County Fair & the Home & Garden Show...and for the movie events is old and tired.  We are in the process of getting new ones, but we need help with the top banner parts for the Home Seller Classes & the Home Buyer Classes.  Any ideas for us?  You can email me at traciedemars@aol.com, or email Chris Berg at chris.berg@cardinalfinancial.com.  What taglines do you have for us?  Make us laugh!  If we choose your tagline for the banners we will have ahhhhmazing gift(s) for you!  What is it?  Ummm...not sure yet, but it will be ahhhhmazing.   So, the topic this week, and last week, and probably next week is education.  Ok, I know every week is about home buyer/seller education, but this week we are going back to the beginning.  So last email we talked about some the True/False statements that I've been hearing from clients, and emails, and random strangers, and we cleared that up. This week we are going to talk about agency.  Who works for whom, and what it means, and how Realtors get paid.   A quick recap of the types of Realtors is probably in order first though.... There are 3 types of Realtors:  The Sellers Realtor:  This is the Realtor hired by the seller (or builder) to represent the seller (or builder) with selling the home.  Their job is to market the the home, or community.  Their main job is to represent the SELLERS (or builder) to the 'best of their ability'.  This includes experience, education, and knowledge.  The Sellers/Builders Realtor works for them.  Now,...  there is a LOT more to selling a home than just sticking a sign in the yard. Honestly, any fool can stick a sign in the yard to sell a home...but 'representing the seller/builder' is different.  There is pricing based on active, pending, and sold homes.  There is niche marketing...who is most likely to buy that home, or in that community, and how do we reach them?  What about showings?  Discussions on how to get the home ready.  What does the home need?  What would be important to buyers?  Is the home up to appraisal?  Is there staging that will be needed?  Is the home show ready?  What would a buyer/buyers agent be looking for & at?  Are there any repairs that need to be done prior to going on the market? Is it time to set up the photographer?  What kind of photos will show the home best?  There's signage, and marketing, and getting the word out. Have we discussed showings? Showing times and availability?  Private belongings?   Have we discussed security?  Part of the Sellers Realtors job is to get the sellers home, and the sellers themselves, ready to go on the market and for showings.  This is just getting ready...  Once we are on the market, and after we get an offer (or more)...  well, there's more there that the sellers Realtor now needs to handle to facilitate the timelines that are part of the sale, and to help with the transfer.  We need to talk about the appraisal.  When that happens, and what if it comes in low?  That's a whole other kettle of fish.  What about if the seller is selling their home to purchase another one?  When do you look at homes to purchase?  Juggling the sale, and the purchase of the new home, and the timelines for both... well, that is just part of what a sellers Realtor does.  What it boils down to is that the Sellers Realtor protects and represents the seller.  A builders Realtor who sits in that model home is the Sellers Realtor.  Their job is to facilitate the sale of the homes for the builder, and yes, to protect the Builders Best Interests. As always, I can not tell you what to do, but it is my opinion that you should ALWAYS have YOUR OWN representation.  When you use the builders Realtor, that builders Realtor first concern is the builder.  It's come to my attention this week, that one of my clients went to the builders model home to 'check it out'.  She told the builders Realtor that she was working with a Realtor already.  The Builders Realtor told her (my client) that if she was interested in the home that she needed to 'write the offer with her so that she (my client) would have a chance since there were "other people interested in this home".  Ok... Builders Realtors are paid by the builder to sit in the model home, and to represent them.  If you bring in your own Realtor they still get paid.  If you don't bring in your own Realtor, then they get paid more.  Why?  Who does that Realtor represent?  Yes, the Builder.  If the buyer has no representation of their own... who do you think comes out ahead?  yep... the builder.  In this particular case, my client called me after she had had time to think and asked me what she should do.  I don't really have an answer for her.  She is in contract on a home with another Realtor... I can not get involved.  I can not advise another Realtors client.  She asked if she could cancel that contract, and write it up with me...  sorry.. not the way it works.  Here's where it gets sticky(ier)... my client has a home to sell.  She asks me about that.  I have all her information.  We talked about selling it last year, but she wasn't ready yet.... we knew she wanted a new home this time, and the new developments hadn't started yet.  However, yes, I can help her sell her home.  Until... yeah... Builders agent calls her...  Builders agent now (of course) wants to help her sell her home too.  Remember..who does this gal work for originally?  Long story short, but my client (who is no longer my client) calls and says she's sorry.  She wanted to use me, but she didn't want to lose this home, and the builders Realtor is pushing to sell her home so that it will help with her purchase and she doesn't want it to be 'awkward'.  Home is now on the market for $15,000-$20,000 less than it should be.  Who is that Realtor helping again?  When going into a Model Home, tell the Builders Realtor that you do have a Realtor, and then call YOUR Realtor to do anything further...or better yet... call your Realtor and let's set up a time where we can go together to go see some model homes.  We will take care of the sign up sheets.  Remember we are here to help.  When you work with a Sellers (or Builders) Realtor, you are really just representing yourself.   So what is the Buyers Realtor job?  A buyers realtors job is to assist the buyer with getting the best home they can in the price range they are pre-approved for.  To work WITH the buyers lender to keep things moving, and to assist the lender with any information they need for the buyers loan.  It's important that the buyers Realtor and lender work as a team for the buyer.  A Buyer's Realtors job to work with the buyer from finding a home to getting those magical keys.  There's home inspection, and repairs.  There's the appraisal... what happens if it comes in high, or worse.. what happens if it comes in low?  What are your options?  What are the legal reasons to walk away?  What happens to earnest money?  Wait!  We still need to discuss earnest money, and timelines.  What happens after the appraisal... who is handling what?  A buyers Realtor job is the represent the buyers to the best of their ability, experience, education, and skills. To work with the buyers lender, and yes, with the sellers Realtor to keep the transaction on track and running smoothly.  When is key transfer?  Possession?  Have we talked about utilities?   Even when working with a builder, having your own representation is important.  Who do you call AFTER the deal is done?  If something goes wrong with the home?  What happens if you can't get warranty out there?  Who is representing you?  A buyers Realtor can also help you negotiate with the builder.... we may not be able to get money off, but sometimes we can get things switched out, or some closing costs, or other advantages that you wouldn't have been able to get otherwise.  What it boils down to is that the Buyers Realtor represents and protects the Buyer I did say there were 3 types of Realtors, right?  So what is the 3rd type of Realtor?   This is the 'dreaded' Dual Agent.  So....remember the Builders Realtor from above?  The Builders Realtor is the SELLLER's Realtor, right? As soon as the Builders Realtor writes up the contract for the Buyer on the home they are selling...now they are a Dual Agent.  A Dual Agency is someone who is representing the Seller & the Buyer on the Same Home.  WHO does the Dual Agency Realtor really represent??? Example...  I know a Realtor who when she lists home, does all she can to find that home a buyer...  Ok, that is her job, right?  Well, yes...of course it is...but she does all she can to bring the buyer HERSELF to the listing.  In this case, she represents the seller (seller agent), and the buyers (buyers agent) and is helping the sellers find a new home too.  So... she took ONE client and transformed that into how many?  Who is she really working for?  How does that work?  WHO is she representing here?  Do you see the possible issue and conflicts here?   If you are married...let's pretend you are now getting a divorce...  Let's say your soon to be ex hires a phenomenal lawyer... I mean, a REALLY good lawyer.  Would you call that lawyer to help you with the divorce too?  No...of course, you wouldn't.  Why?  Because it is Dual Agency!  Ah ha...  ephiphany moment there.  Also, because legally (with attorneys anyhow) you can't do that.  In real estate, dual agency is not illegal..it's just my opinion that it is unethical and immoral.  In some states, Dual Agency is illegal, but in Washington and Oregon it is legal.  You do have to be informed about it, and to sign a paper agreeing to the dual agency.  However, most folks will sign something agreeing to it and have no idea what they signed.  It makes me sad.Dual agency is trying to play both sides.  You can't serve two masters.  Remember Anakin Skywalker?  He tried to serve 2 masters too, and how well did that work out for him?  Just saying...   Compensation:So how do Realtors get paid?  It is a myth that sellers pay both agents.. they do not.  A seller, as part of their contract with their Sellers Realtor, will talk about and agree on a commission rate.  This is called SAC or Sellers Agency Commission.  The SELLERS REALTOR will then offer about half of that to the Buyers Realtor.  This is called BAC, or Buyers Agency Commission.  The Sellers Realtor pays the Buyers Realtor.  A Buyers Realtor is free to the Buyer.  So how come it is this way?  Well, it used to be that there was only one type of Realtor.  A Realtor would list the home and people would call them to buy the home.  So that was the only Realtor that got paid.  Well, unsurprisingly, people were getting taken advantage of.  A Realtor is educated on the laws, and contracts having to do with the sale of homes and the transfer of such.  In general... the public is not.  The more years, or homes a Realtor sales, typically the more knowledgeable we are.  The more you do something, the better you know it, right?  Well, unsurprisingly, there were many people who felt they were taken advantage of by this practice.  They were upset and sued people, and realtors, and the realtor associations.  It was a lopsided practice to say the least.  Out of all of lawsuits, and claims came change...in the form of ... Buyers Realtors.  This way the sellers (or Builders) have their own representation with the Seller (or Builder) Realtor, and the Buyers have their own representation by the Buyers Realtor.  It did stand that the fee that the Sellers Realtor was being paid stayed, but they were now sharing it with the Buyers Realtor.  That is how a Buyers Realtor is free.  I always tell my clients that when you buy your home that I'm free (YAY!), but when you sell your home ... well, you are paying me, but when you buy your next home I am free again (YAYYYYY!!)  ... so 3 homes for the price of one?  :-D Gross vs Net.  I know you all get this one... You ever look at your check and wonder what happened to your check?   In real estate, we are paid gross commission.  We do not get paid weekly, monthly, bi-weekly, or anything like that.  We only get paid if keys get transferred....that's it.  Because we are commission based, that is our gross pay...before taxes or anything else like:  before broker splits, before marketing, before board and association dues, before office bills, before transaction fees, before franchise fees, before business insurances, before miscellaneous office fees,  before all of the other costs of doing business like flyers, signage, photographers, cards, gifts, events, gas, extra vehicle insurance, and of course...taxes which run about 25%-35% of our gross checks.  Because we are self-employed we do not get employer healthcare, employee matched/retirement accounts, paid vacations (any vacation we go on is a working one.  Most of my photos while on vacation show me still on the phone and I have to set up Realtor friends to help me out if there is something I can't handle while I'm gone), we don't get weekends off, nights off, maternity leave (I wrote up an offer while in the hospital with my youngest, Harley, and she went to her first home inspection at 4 days old), no bereavement pay/leave, no sick pay, or any type of company car.  We never get to 'shut off', and we are always on call.  We are a 24/7 industry.  You call, we answer...or we call back as soon as we can.  That's how we stay in business.  We LIVE for your referrals.  We want to build that relationship/friendship with you.  We are hoping you will call with any questions or any real estate needs you have for ...well... forever...     Ok... I apologize...that was a lot of information this week!  Any questions?  Anything you heard that you are not certain sounds 'right'?  Call, email, or text!  I'm hot and cranky (heat is not my friend...my hair you know!  It's a frizzy mess right now)... so you know I will tell you how it really is.  LOL...  at least I'm funny, right?    Remember that this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is more about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.   As always...both the home buyer & home seller classes are Free and Non-Promotional.  After teaching these classes for 14 years, we are not there to promote ourselves, or any 'special' agenda like some classes, and while we certainly hope you will call Chris or I, or both of us, to help with your home adventure, that certainly isn't the main focus of the classes, or of these emails.  If you have any questions about this, or something you have heard... or if you would like me to assist you with your home adventure... please call, email, or text.  We are here to help.   Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   .   ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings... Upcoming Topics: Delayed Possession... What is this & what does it mean to you Interest Rates (information from Chris Berg,Cardinal Financial) What do I need to buy a home, Hiring a Realtor...questions to ask, What if I don't have a Down Payment? .....  &....Debt to Income Ratios....What is this? Last Week: Home Buying/Selling True or False?   Have a great day, and I will talk to you soon,   ;-D   Tracie DeMars   Real Estate broker   Re/Max - Van Mall   360/ 903-3504 cell   360/ 882-3600 fax   www.traciedemars.com   traciedemars@aol.com       “Interested in free and non promotional home education classes?  Go to www.freehomebuyerclasses.com for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” "Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."       - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

Property Taxes (the elephant in the room)   Upcoming Free (& non-promotional) Home Buyer Classes:   ...we also have home seller classes available.  Link on left on website page Saturday, March 16th, from 11am-2pm (ish) ​       Vancouver YMCA, conference room        11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave). Monday, February 18th, from 5pm-8pm (ish)        Marshall Community Center, conference room        1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, March 30th, from 10am-1pm (ish) ​       Marshall Community Center, conference room        1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) If these class dates and/or times don't work for you, please let us know.  We understand that you have lives, and families, and work.  We will work something out that works better with your schedule.  Just let us know.... ....we also have home seller classes available too...link on left on website                                                               Remember...with reservation...we will throw in lunch, or dinner!  :-D ~~~~~~~~~ Happy Daylight Savings time aka National Napping Day~   After the nastiest of the last couple of weeks... what a gorgeous day!!!  ...and did you hear?  It's supposed to hit 60 degrees this week?  It's like a heat wave!  WooHoo!  Is it?  Could it be?  Spring may finally be coming...and I know we are all excited, right?  Spring also means that we have a Client Appreciation event coming up.  We will be hosting Avengers:  Endgame the first Saturday of May...yes, a week after it opens, but we are still excited, right?  If there is a different movie that you think we should host....we still have time to change it!  :-D  Let me, or Chris Berg (chris.berg@cardinalfinancial.com) know.  We are always open to suggestions.   Ok, now to be honest with you, this is NOT the email I was going to send out this week.  There was some craziness that has been going on with social media the last week or so, and I wanted to talk about it...and I might send it out next week, but I am not sure that right now is the best time for it.  I mean...it is always a good time to talk about protecting yourself and to talk about agency, but I think I need to have that blog read by an outside source to make certain it is clear and not just venting.  You know what I mean... You spend time typing something up, and then read what you typed, and think, "oh crap...do I sound crazier than what I am talking about?"  Yeah... I better make sure first.   So, instead  we are going to talk about something else that has been all over facebook recently.... surprise... we are going off topic *gasp*.  Let's talk about the elephant in the room...Property Taxes (insert scare music here).   As you know from previous posts, a mortgage payment is one payment for you, but then it is broke down into payments within that payment. There's your actual loan amount (principal) with interest.  Your interest doesn't change (unless you refinance), so this amount is always the same, but over the course of your home ownership you pay less on interest and more towards principal. Then there is the amount that goes into your 'escrow' account.  From your escrow account is paid a couple of things... Insurances (mortgage, hazard, flood) and property taxes.  Most folks have some mortgage insurance and this is the cost to secure the loan....it protects the lender.  Your hazard insurance is another term for homeowners insurance.  This is the insurance you carry to protect the property if something outside of your care, custody, and control were to happen to the home.  It's a lot like car insurance in that it is there to protect the asset from damage and to correct, or fix, that damage, and to bring the asset (in this case, the home) back to original (before the damage) condition.  For example, if your home catches fire, you wouldn't have the money to fix that damage, but with hazard/home insurance, you would be able to correct the fire damage with only the insurance deduction out of pocket.  Flood insurance is only required if you are in a designated flood plain, and if you have it will be paid from the escrow account as well.  Then there is the amount that goes toward paying your property taxes.  The amount needed in your escrow account to pay these items can change, and as it does, your monthly mortgage payment will change too. Every year you will get a statement from your escrow account letting you know if you are paying enough into that escrow account.  In a market upswing, where your home is increasing in value, is going to usually mean you will have a deficit in that account and you will either A) have to send an additional check for $XX amount to deposit into your escrow account and your mortgage payment will now be $XXXX.xx, or B) you can spread that amount over the next 12 months of mortgage payments and your mortgage payment will now be $XXXX.xx.  I receive calls on this every year, and that is ok.  I am always here to help!    Property tax payment dates are weird.... they're due on April 1 (pay period from January 1 thru June 30), and again on October 1 (pay period from July 1 thru December 31).  They can be paid in full on April 1, or split with 1/2 due on April 1, and half due on October 1.  I've seen escrow statements with either option paid by the bank.    Remember that every year your escrow company will assess your escrow account to make sure you have enough in there, or if you have enough projected to come in via your monthly payments, to pay your insurances and taxes.  If you have too much (in a declining market), you will receive a check with the option to mail it back and your payments become XX amount, or to keep the check and your payments will be XX amount....or... (and this is the case for the past couple of years now), it is projected by your escrow company that you will NOT have enough and you have one of two options ... you can send a check to the escrow company and your payment will be XX, or you can increase your monthly payments to XXX to cover the difference.  Yes, I know that I just repeated myself, but it bears repeating.  Yes, your mortgage payment amount WILL change every year.     Every year the Clark County Assessors assess the value of the home for taxes.  As your home value increases, so do your property taxes.  One thing to note is that they will use information that is available based on sales average from a year or so ago for that area.  This is not current information.  Tax assessed value is not market value... I will repeat... TAX ASSESSED VALUE IS NOT MARKET VALUE.  We are in an escalating market... (aka sellers market), and home values are still going up.  This is why tax assessed value is not market value because the market is always moving and changing...ebbing and flowing... and your taxes are the same for that period.   "For every pro...there is a con, and for every con...there is a pro" (I will give a gift card to the person who can tell me what song that line is from) ....while this is a fun song from one of my favorite Disney movies (hint, hint) it is true nonetheless.  As your market value increases, so do your property taxes, and as the market declines and values go down, so will your taxes.  As your market value increases, so does the amount you need to insure your home against catastrophe and calamity, you might want to be prepared for that.  This can also increase (or decrease) your monthly payment amount.   It really is a case of, 'you can't have your cake and eat it too'....  everyone loves it when their home values go up, but no one likes it when their property taxes do.  I get that.  My property taxes went up a lot last year, and they will this year again as I added on to my home so now there is more to tax.  It sucks...  I get it.  However, everyone hates it when they see their home values go down...but they like it when their taxes do.  Taxes go down when home values go down, but we wouldn't see that right away.  Sigh.... can't win for losing, right?   Be prepared though... as home values increased significantly again last year (2018), taxes will go up again next year.  The higher values jump in a year... so do your property taxes.  2016 & 2017, we saw a sharp increase in home values.  Home values did increase again in 2018, but not as much in percentage as they did the two previous years.  As an industry we still expect to see an increase in home values this year, but again, not as much as a percentage as 2016/2017, and maybe not as much as last years either.  As an industry, the thought is that the rising interest rates will help the market to 'balance out'.  Of course, as I've often said...  my crystal ball is broken and the Magic 8 Ball often lies to me.        I'm always available to answer your questions, so feel free to reach out to me anytime.  :-)       Remember that this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is more about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.   Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  All home buying adventures should START with the Home Buyer Education Classes. Don't talk to lenders/agents until after the classes so you know the questions to ask, what all the paperwork means, and fully understand the process.   As always...the classes are Free and Non-Promotional.  After teaching these classes for 14 years, we are not there to promote ourselves, or any 'special' agenda like some classes, and while we certainly hope you will call Chris or I, or both of us, to help with your home adventure, that certainly isn't the main focus of the classes.  If you have any questions about this, or something you have heard... or if you would like me to assist you with your home adventure... please call, email, or text.  We are here to help.    Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers.   .   ..disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings...  Upcoming Topics: Delayed Possession... What is this & what does it mean to you Interest Rates (information from Chris Berg,Cardinal Financial) What do I need to buy a home, Hiring a Realtor...questions to ask, What if I don't have a Down Payment? .....  &.... Debt to Income Ratios....What is this? Last Week: Is Big Brother Watching?  Well...maybe...  Have a great day, and I will talk to you soon,    ;-D    Tracie DeMars    Real Estate broker     Re/Max - Van Mall    360/ 903-3504 cell    360/ 882-3600 fax    www.traciedemars.com    traciedemars@aol.com         “Interested in free and non promotional home education classes?  Go to www.freehomebuyerclasses.com for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog.” "Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."        - Shel Silverstein, American poet, cartoonist and composer, (1930 - 1999).

[traciedemars]

  Upcoming Home Buyer Classes (free and Non-Promotional) Tuesday, August 1st, from 5pm-8pm (ish) Marshall Community Center, conference room 1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Thursday, August 17th , from 5pm-8pm (ish) Marshall Community Center, conference room  1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, August 19th , from 9am-2pm (ish) Marshall Community Center, conference room 1009 E. McLoughlin Blvd, Vancouver WA (kitty corner from Clark College) Saturday, August 26th, from 11am-2pm (ish)   Vancouver YMCA, conference room   11324 NE 51st Circle, Vancouver WA (corner of SR500 & Gher Road/112th Ave) While we appreciate RSVP's, walk ins are always welcome  With rsvp's we will feed you though... :-D If these class dates & times don't work...please let us know.  Upcoming Home Buyer (& Home SELLER classes too) dates & times are available at www.learningtobuyahome.com, or at www.traciedemars.com.; Just follow the links!

Hi! Happy Sunday!   Oh my gosh....we are going to DIIIIIIIIE this week!  I tell you....we are not set up for this type of weather they keep predicting! Multiple 100+ degree days?  Ok....who was praying for that hot weather again?  You and I need to have a talk... I am WAY too pale for this type of weather!!  This all being said (or yes, I'm complaining about) it's also FAIR week coming up!  This is why there is a 'break' in the class dates & times.  Don't forget that Chris Berg (with Pinnacle Mortgage) will be there as we are every year. I will be there EVERY day of the Clark County Fair from 10am-4pm, and Chris will be there every evening from 4pm-closing.  We are the 2nd (or 3rd) booth to the right as you enter the exhibit hall.  Stop by and see us....mention that you read my emails for a 'special' prize/gift.... it will make me feel better anyway.  :-)  The Clark County Fair starts on Friday, August 4 and goes through Sunday, August 13 I'll be honest with you.... I really struggled with what I was talking about this week. I've had some really good questions this week to talk about, but sometimes I just am not sure what to cover.  So, stay cool this week, and stay hydrated! So, I received a text this week from one of my clients that had a question about earthquake insurance...and whether or not it was necessary or 'worth it'.  She had quite a few comments on her question as well, and while I read them...I was surprised how little people understand insurances.  Now... I'm not an insurance guru...far from it.  I am a real estate guru, and happy to share what I know.  :-) I do know a little bit about insurances. When you are buying a home,  there's lots of insurances involved, and some you should think about after you buy your home.  I thought that I'd take a little bit of your time to talk about them...  I will try not to drone on, but let's be honest...  I do like to talk...even if it is by email!  LOL Mortgage Insurance...  This is insurance that is paid as part of most peoples mortgage that is an insurance to protect the bank if you were to default on your home loan.  This insurance is actually part of your mortgage payment so while it isn't an 'additional' insurance, it is there, so I'm including it.  Nice thing is that, like real estate taxes, your mortgage insurance is tax deductible!  Hey...it's the little things that count.  :-)  Mortgage insurance can be removed from your payment once you have 20% equity in your home.  This equity can be what you have paid down from your original mortgage and/or as the market values go up....so does how much equity you have in your home.  Every loan is different though....some require you to hold the mortgage insurance for a couple of years at least, and some mean you have to refinance your home loan to get that amount removed.  This is an excellent question for your favorite lender. Hazard Insurance (aka Homeowners Insurance) This is the insurance that is paid (again) as part of your mortgage payment that goes into escrow.  This is an insurance that protects you, and the lender, in case something that were to happen to your home that is (and remember these words) outside of your 'Care, Custody, and Control'.  With homeowners insurance, those are the Big Three words...  if damage is outside of your Care, Custody, and Control', you could have a homeowners claim, where your homeowners insurance can help you.  However, homeowners insurance is a lot like car insurance... you have a deductible, and if the damage is a maintenance issue....you don't have a claim, or if the damage is less than your deductible... you probably aren't going to call in a claim.  As a buyer,  you need to call around to insurance companies to find one that works best for you.  The first place to start is usually with your car insurance company since most insurances will 'bundle' your insurances, and give you a discount.  Once you have chosen a home insurance company, you will request that insurance company to send a 'binder' to your lender.  You can't close without a homeowners insurance policy for the home you are buying.  Everyone has hazard insurance as part of their mortgage payment, and most people will have mortgage insurance as well.  You don't chose the mortgage insurance company though...it's just ...there.  :-) as a note...  this is different than a home warranty.  A home warranty is something every buyer should get, especially for that first year.  A warranty doesn't cover windows, wall, roofing, floors, or siding...but it does cover plumbing, electric, built in appliances, water heaters, heating, and there are other items you can include as well.  Three ways to get a home warranty are to ask the seller for one, ask your agent for one, or pay for one yourself.   There is a co-pay every time you use it, but it's a lot less than the repair.  I like Old Republic Home Warranty, but there are also other good companies out there as well....like First American, Fidelity, American Home Shield, etc.  So what about 'other' insurances? Flood Insurance... For 20 years, I lived in Woodland.  We moved there in 1997.  Most people remember the flood of 1996, but did you know that wasn't a 'natural' flood?  The company who runs the dams, well, someone wasn't paying attention.  That year we had a really good snowpack, then had a warm week of almost 70 degree weather, and then it started raining.  Now, normally, the dams let out water to keep levels in the dams at the best levels, but that year...well, something didn't happen the way it was supposed to.  They (the company) went through the town and told people that they were releasing water, and they had 30 minutes.  Now, please remember that at the time, we didn't live in Woodland, but my mother in law did, and she had a person come to their door to warn them.  In 1996, when most of Woodland flooded, many people did not have flood insurance, and had to go through FEMA for reimbursement. This took forever, and in many cases, people did not get paid out what they thought they should.  It created a huge problem for the insurance companies, and raised insurance rates. Now, flood insurance is required through most of Woodland as most of Woodland is in a 100 year flood plain.  As part of your closing costs is the flood search.  Every home has to be researched as to whether or not it is in a floodplain, what type of flood plain, and whether or not flood insurance is required. Surprisingly, there are areas of Clark County where flood insurance is required.  We have lots of water around here.... and that may be the discussion for next week.  Yes, we are in our 'dry' time, but...as we know, that is not often the case.  Flood insurance was required for my old homes mortgage because we were in the flood plain.  This insurance was part of my mortgage payment, and went to escrow, where it is paid out once a year. Earthquake insurance.. When we bought our old home in 2001, earthquake insurance was part of our standard homeowners insurance policy, but with the risks now predicted for our area regarding earthquakes, your standard homeowners insurance policy no longer carries earthquake insurance. We carry a separate earthquake insurance policy...why? Because it's cheap, and it's always better to be safe than sorry. This is an additional policy that is NOT paid as part of my mortgage.  I pay this out of pocket once a year.  This is an insurance you might want to look into, and purchase, after you get keys. It is surprisingly affordable. Umbrella policy....  An umbrella policy is an 'extra' policy that covers you over what your homeowners/hazard limits are.  I've always carried an umbrella policy for a couple of reasons.  In my old home, I lived on a sloped driveway, and while we asked the neighborhood kids not to ride their bikes, skates, boards, scooters, etc, on our driveway; we know that they did so when we weren't home.  There are so many pros to be a home owner, but one of the cons is that you are liable for anyone on your property.... invited or not.  If one of these children fell and broke an appendage on my property... well, that is why I have home owners insurance, but what happens if the claim is more than my insurance limit?  Well, that is where my umbrella policy kicks in.  What happens if someone slipped and fell on the sidewalk that was in front of my home?  Same thing.  I also carry an umbrella policy because I have 2 big dogs, and because I often have folks in my car when showing homes....just in case.  Like your vehicle policy, your homeowners insurance has a limit.  I 'may' be a bit paranoid, but owning a home does have risks...  let's say we get snow and/or ice one year (hey! it happened quite a bit last winter!), and someone slips on the sidewalk in front of your home...they 'could' sue you!  If some moron comes inside my fenced property, and one of my 2 idiot dogs (who would probably lick them, and then lead the burglar into my home) did something crazy like bite or scratch the idiot inside my fenced property...believe it or not...but that trespasser could sue me.  Now... my philosophy is that if someone I do NOT know is inside my FENCED property...I would HOPE that one of my 2 stupid dogs would actually...oh, I don't know... protect the property?  Now, frankly, my 2 dogs are hopeless.  They are sweet, loveable, and goofy.  In our house, I would be more concerned about our 3 cats....especially our female cat, Opie,  than those two furry idiots.  :-)  The cats are pretty shady... True story....  Sometimes, you will see a 'beware of dog' sign...please don't do it.  By putting up a sign like that you are saying that your dog is dangerous, and if your dog did bite someone, that sign is an admission of guilt.  Long story short... the umbrella policy is to cover your tush in case a claim goes above, and beyond, the limit of your standard car & homeowners insurance policy.  Again...It's always better to be safe than sorry... Umbrella policies are something you might want to talk to your insurance agent about after you buy your home.  It is not included as part of your homeowners insurance policy, and won't be paid as part of your mortgage.  It is a policy that you would have to pay yourself.   Insurances are to protect you (or the lender) in case something were to happen to the property that the lender has an interest in, which is your home.  The insurances are there to return your property back to pre-damaged condition.  Just like your car insurance, there are deductibles involved, and different types of insurances that you can piece together for each policy.  It is good to have a relationship with your agent; someone you can ask questions to, and get reasonable answers.  I know that internet insurances are sometimes cheaper, but just like real estate, relationships give you the ability to have someone you know help you with the process, and the answers.  :-)   As stated above...I am NOT an insurance guru...just a real estate guru.  There are lots of different policies, and lots of different insurance companies.  Ask your favorite insurance agent what policies might be best for you, and what coverage you need.  If you don't have one, and you have some questions... let me know..... I always know a guy/gal who can help you.   Information is power,  and as always...May the odds be ever in your favor out there....  If you are looking for a real estate agent, I would love to be able to help you. If you have any questions, or comments please get a hold of me anytime.  You can call, text, email, or even facebook me.  Please remember that while I mean these emails/blogs to be helpful, and educational, I am still hoping that you will call, or email me as I would be honored to help you with your home buying, or home selling adventure!  :-) As always....this is just a quick overview.... again...and I can't say this enough...please remember that your agent is NOT a salesperson, and should not be acting like one.  Real Estate is not really about houses, it is about relationships.  Your agent, and your lender work for YOU.  You drive the bus...we are merely GPS to help you get to your goals.  Like the classes, this weekly blog email is to help you with your home adventure.  The goal is to be informative and non-promotional.  :-)  We are, however, hoping you will call and want us to help with your adventure.  Thank you again for your business and your referrals!!  ...and thank you for referring these classes to your friends, family, and co-workers. ....disclaimer...if you have already purchased a home, or would no longer like to receive these emails, please let me know and I will be happy to remove you from any further mailings

Upcoming Topics:Mortgage vs Rent Water...water everywhere... what about water under my home? What do I need to buy a home, Hiring a Realtor...questions to ask, What if I don't have a Down Payment? .....  &....What does an Agent do for me? Last Week:  Pre-approvals, what why, and how to get one

Have a great day, and I will talk to you soon, ;-D Tracie DeMars Real Estate broker Re/Max - Van Mall 360/ 903-3504 cell 360/ 882-3600 fax www.traciedemars.com traciedemars@aol.com

Interested in free and non promotional home education classes?  Go to www.freehomebuyerclasses.com for local upcoming home buyer and home SELLER classes, or facebook: Tracie DeMars Real Estate for my home buyer education blog. "Listen to the mustn'ts, child. Listen to the don'ts. Listen to the shouldn'ts, the impossibles, the won'ts. Listen to the never haves, then listen close to me... Anything can happen, child. Anything can be."  - Shel Silverstein, American poet, cartoonist and composer, (1930 -1999).