Tag: real estate

Whiteboard Topics: Seller Confusion When a Lake Home Doesn’t Sell

Posted on Chris Melton

Sellers often get confused when their lake home doesn’t sell. Asking questions helps to get rid of the confusion, but some questions are better than others. Glenn Phillips, CEO of Lake Homes Realty, discusses questions to avoid asking when your lake home doesn’t sell.

  1. “How Many Views?” Sellers ask how many views their property has, but this can be deceptive. There’s no good answer to this question for sellers. If a property has millions of views, they’ll wonder why it hasn’t sold. If it doesn’t have any views, they wonder why it’s not getting exposure. The only number of views that matters is the one that buys the property.
  2. “Can We Promote It ‘Better’?” Some agents promote homes better than others, so this can be a valid question. However, if the property is populating in the MLS and other websites, the consumer knows it’s there; they just aren’t willing to buy it.
  3. “Have an Open House?” Buyers for lake homes typically come from some distance away. This means they won’t arrange their weekend around your open house schedule. They know if your home is for sale and they’re coming into town, they can see it.
  4. “Should I Change Agents?” Has your agent properly promoted and priced your home and given sound advice? If they’ve done all this, you probably already have a good agent. Once they bring the buyers, it’s on you to get the negotiating going.
  5. After Exposure, Price Fixes Everything. When asking yourself why your house hasn’t sold, the answer is almost always the price. An appropriate price will answer all of these questions.
  6. Be the Best VALUE. This doesn’t necessarily mean the lowest price, but being at a price that people are willing to invest in your home. Buyers are ready to buy lake homes but aren’t willing to overpay.

Talk with your agent when confused about why your lake house isn’t selling. Every agent would bring a buyer if they knew one that would get a transaction. An unsold home always boils down to price. Visit lakehomes.com to connect with expert lake agents ready to help get your home sold.

What Are Closing Costs?

Posted on Glenn S. Phillips

There are lots of things that need to be taken into account when you are planning to buy or sell a property. One of those things is known as closing costs. It’s something that first-time buyers may not be aware is required. And seasoned buyers and sellers may not realize can vary greatly from state to state.

Closing costs come from a variety of fees and often overlooked expenses. So what are these closing costs?

There are lots of factors that need to be taken into account when it comes to closing costs. These can include inspections, loan fees, government recording charges, and title charges. These costs are generally covered by the buyer, although there are also instances in which the buyer can ask the seller to cover some part of the closing cost fees.

To help provide you with a clearer picture of closing costs, we will go into more detail.

Real Estate Closing Costs
pen and glasses on closing cost documents

Closing costs can change according to the area and the type of transaction performed. However, in general, the things that comprise closing costs are:

• The cost of conducting surveys
• Inspection services fee
• Appraisal services fee
• Title search fees
• Title insurance
• Closing service (including notary closing services)
• Courier and Funds transfer/wire fees
• Loan origination fees
• Assessments
• Payoffs of unresolved liens and taxes
• Mortgage and deed preparation costs
• Document Recording Fee (including electronic recordings, or “eRecordings”)
• Other

Buyer’s Fees

In general, the majority of the fees included in closing costs are part of the buyer’s deal. This is why buyers generally have to take responsibility for the payment of closing costs.

Closing costs vary according to the state, type of agency, and transaction. All buyers should acquire an estimate of the closing cost fees they are liable to pay to avoid surprises at the end of the deal. Lenders are required by law to give you this, also known as a GFE (good faith estimate).

Seller’s Fees

When it comes to sellers fees, they don’t have to worry about closing costs as much as the buyer. The only thing they will be required to do is take care of the loan payoff costs, agent’s commission, associated penalties, notary fees, homeowner association fees, and transfer taxes.

Payment Options

When it comes to closing costs, the majority of the fees fall upon the buyer. These are the ones who usually have to decide how to pay it. They can choose to pay it outright through wire transfer or with a cashier’s check. They can also choose to negotiate with the seller to cover some part of the costs in a sale. Also, some lenders offer loans with the closing costs rolled into the mortgage. This option will almost always cost the buyer more in the long run, as they will end up paying interest on these items.

Many buyers and sellers are confused about the closing costs and the types of fees included in them. If you face any confusion, you should never hesitate to ask your mortgage broker or your real estate agent to explain any fees to you.

Whiteboard Topics: Pricing Your Lake Home To Maximize Suffering

Posted on Zac Parnell

Are you in the process of selling your lake home? If so, one thing you want to avoid is the stress and suffering that can follow by not taking proper steps for a smooth process. Two main reasons lake homes typically don’t sell are lack of exposure and price. Lake Homes Realty CEO Glenn Phillips explains how to maximize this suffering; that way, you can hopefully avoid these mistakes when pricing your home!

After Exposure, Price Fixes Everything – This refers to the price at which the house is sold. 

  1. Overprice: If you think of pricing the house because of things you put into it or anything along those lines, think again. That has nothing to do with the market; these are simply wants due to emotional attachment.
  2. Planning “The Haggle”: If you plan to go high so the buyer offers lower, resulting in a middle-ground number you’d still be happy with, you should reconsider it. Our data tells us that homes that are appropriately priced come in at the list price or slightly above. If it’s overpriced, they tend to drop significantly over time.
  3. “Test the Market”: Generally when people test the market, they never figure out how they are going to score it. What is the test? Is it one week? Two weeks? Testing the market usually ends up being an excuse to overprice, and the test almost always fails.
  4. DOM (Days on Market): The longer the home sits on the market, the longer it becomes a problem for consumers. 
  5. “Death Spiral”: Consumers are more informed now than at any other time in history. The more things you use, the more likely you are to be caught in this death spiral that is hard to escape. 

Nobody wants to maximize their suffering when it comes to selling. If you stick with these different steps, it’ll definitely happen. One of the best ways to avoid this is to price appropriately. If you aren’t sure the best way to go about that, reach out to a lake agent at LakeHomes.com. They would love to be involved in the process with you.

Whiteboard Topics: Don’t “Price In” Memories When Selling A Lake Home

Posted on Zac Parnell

Living life at the lake provides fun, laughter, memories, and more! Even when it comes time to sell, memories will be made in the process. Glenn Phillips, CEO of Lake Homes Realty, goes into detail on why you shouldn’t price in those memories when selling.

  1. “Gateway to Memories”: People buying these lake homes can already picture their own memories that they will be making at the house. Buying a lake home doesn’t come from the need of simply having shelter. It comes from the desire to have these amazing experiences that come along with it.
  2. Whose Memories?: You, as the seller, have important memories at that lake home. While they are important to you, they aren’t that important to the buyer. The buyers are wanting to create their own memories. However, you have an emotional attachment as the seller, making you think it has more financial value. Try to separate that due to the buyer not having that attachment.
  3. Selling? Depersonalize (and Protect!): You have many things in the house that bring memories. You might want to put these things away; that way, it gives buyers a different feel to the home. You should also protect those valuables. You don’t want something happening to them while buyers look at your home.
  4. Buying is Desire: You want to do things to where you aren’t pricing in memories. However, make it a way for the buyers to imagine creating their own memories in the house.
  5. Selling is a Business Transaction: Think of your lake property as a stock. If you bought a stock at a certain price, it doesn’t necessarily matter. At the end of the day, it’s what the market says it’ll pay. You can always enjoy the memories later and not price how you feel depending on the memories.

Pricing a lake home can be difficult, especially when you begin to think of all the memories made there. If you’re still struggling with this today, reach out to one of our lake market experts at LakeHomes.com. They know the ins and outs and would be more than willing to help you in the process. 

Whiteboard Topics: 5 Negotiation Tips For Lake Home Real Estate!

Posted on Zac Parnell

When you think of selling a lake home, or any home for that matter, you probably think of negotiating. Whether you’re great at it or if your skills could use a little practice, it’ll probably come into play. Lake Homes Realty’s CEO, Glenn Phillips, goes over 5 key tips for when the time of negotiating arrives.

  1. Any Offer is Better than NO Offer!: Don’t get upset because somebody made a low offer. The people you should be upset with are the ones who didn’t make an offer at all. Having a low offer just means you have some started. 
  2. Don’t Get “Stuck” on Single Points: In negotiations, don’t let one thing hold you up. You should let it ebb and flow.
    • Agent Commission: You want an agent who brings their value. 
    • Seller’s Compensation: If the buyer has made an offer and wants some compensation to help cover costs, figure out how that fits in. 
    • Closing Costs: Similar to the seller’s compensation, find out how this will fit in with the negotiations. 
    • Personal Property: Is there a boat, interior decor, whatever it might be, there is a way to find opportunities to help make the other party happy.
  3. Cash Only Means Less Closing Risk: If the buyer makes a big deal about it being a cash offer, from the seller’s perspective, cash offers only matter if it is de-risking the deal. If you’re selling, you’re getting cash from somebody regardless. 
  4. Restructure Offers: Being able to find ways to work with the offer or make it mutually beneficial can help more than people might realize. 
  5. Be Creative: You can come up with some angle for a home that people might not think of. There are plenty of ways to be creative to help everyone.

Negotiating is something that comes along with buying or selling a home. However, if you take these tips into consideration, it can truly help with the process. As always, if you’re looking for more information regarding negotiating or have any other real estate questions, reach out to one of our lake experts at LakeHomes.com.

Whiteboard Topics: Is My Agent The Reason My Lake Home Has Not Sold?

Posted on Zac Parnell

Has your house been sitting on the market for some time? Have you also been questioning if it’s the price, the exposure, or maybe even the agent you’re working with? When it comes down to it, it could be the agent, or it might not be. Glenn Phillips, CEO of Lake Homes Realty, breaks down the 2 main reasons your house might still be on the market.

  1. Exposure: Is your property known? Are people able to find it on the market? If the property has been on the market for a minute and nothing seems to be moving, you need to look at the exposure and see if your agent has done what they need to.
    • A) Quality Staging & Photos?: You need genuine, quality photos. Not photos that can be misleading for potential buyers.
    • B) On The MLS?: You can’t sell a secret. If you’re not willing to make your property be viewed by the public, more than likely, it’ll be harder for it to sell. 
    • C) Syndicated?: After your home is on the MLS, it being on other portals can significantly help with this. This will help reach a much wider audience.
    • D) On LakeHomes.com?: We’re members of MLSs all across the country and can extract data to put it on there. Listing homes with us, in turn, makes it a featured property on our website.
  2. Price: If you’re utilizing all the above steps, the only other reason for it not selling is price. Price fixes every other problem besides exposure. It fixes location, repairs, water lines, location on the lake, etc.
    • A) Getting Offers?: If you’re getting offers, your agent has done well. It might not be the offer you want, but what you see in the value of your home. 
    • B) Getting Showings?: If you’re getting showings, then your agent is getting people in the door. Ultimately, this also means the exposure is working. 
    • C) Agent Getting Questions?: Again, this means the exposure is working. This comes back to your agent doing a good job, but it is coming down to price.
  3. More Exposure Never Fixes Price: Just because you try to market better does not mean this will take away from it being a price issue.

The bottom line when it comes to selling, price fixes most things! When selling a lake home, it is key to have an appropriately priced home, along with good exposure tactics. If you would like guidance or even someone to ask questions about this, contact one of our lake experts at LakeHomes.com today!

Whiteboard Topics: Selling A Lake Home. Should I Replace the Roof First?

Posted on Zac Parnell

There are many things that you should do when selling a lake home. It could be some updates around the house or even some bigger tasks to enhance curb appeal. However, you might be wondering if replacing the roof is worth it. Lake Homes Realty’s CEO, Glenn Phillips, discusses whether this task needs to be done.

  1. Your Lake Home Needs a New Roof: Does your home actually need the roof replaced or is it just something you think needs to be done? Sometimes it might just be something you only believe is necessary.
  2. New Roof Does NOT Increase Value: Some people might think if you replaced the roof you can add more money to the price. It doesn’t really work that way. Buyers are expecting a functional roof when looking for a home.
  3. Old Roof Decrease Value: However, on the opposite side of things, having a roof that does need replacing or isn’t really functional will decrease the value of the home. Just because a new one doesn’t bring up the value doesn’t mean an old one can’t drop it.
  4. Lenders May Require a New Roof: After a home inspection and appraisal, these lenders might require a new roof to be added. This lowers the risk of the asset.
  5. Your Choice – Spend or Discount: When everything boils down to it, it’s ultimately your choice. You either spend the money on a new roof if needed or discount the price due to not replacing it.

At the end of the day, you might have more questions similar to this. One of the best ways to obtain this information is by reaching out to an expert at LakeHomes.com. They would love to provide the assistance you might need!

Whiteboard Topics: What To Really Ask A Lake Real Estate Agent

Posted on Zac Parnell

Someone’s real estate journey is more than likely going to warrant some questions. Even if you might have a good chunk of knowledge when it comes to real estate, the lake market can be different. Before you start any process of buying or selling, you should think about some questions you might have. Luckily, Glenn Phillips, Lake Homes Realty’s CEO, discusses what you should really be asking your lake real estate agents.

  1. Which Agent…: Questions along these lines are some you might think you need to ask or get an answer for, but in actuality, they aren’t the important ones.
    • A) Has The Most Listings?: You might think finding the agent who has the most listings is the agent you want to work with. However, just because an agent has many listings doesn’t mean they’re being sold. You can find an agent who has a lot of listings while also selling those listings.
    • B) Do I Personally Like?: Everyone likes someone with whom they can get along, but that doesn’t mean that’s the agent for you. While you should find someone you can get along with, it’s more important to find an agent who will help guide you through this big transaction.
    • C) Has an Office Nearby?: This point is something that matters to sellers on occasion. But when it comes to buyers, they don’t necessarily care. Buyers are able to search online and don’t need an office to go into. A buyer wants to see the house, not an office.
  2. Questions You Should Answer:
    • A) MOST Capable of Helping Achieve MY Goal?: One of the most important questions that should be answered is which agent will help you with your goal. You’re the one making the transactions and your goals are what’s important.
    • B) All Agents the Same?: Not all agents are the same. You should be looking for the ones who are equipped to handle your needs and what you are looking for.
    • C) Focused on Lake Real Estate?: Similarly to the previous point, find the ones who have the focus. Working with a lake market expert is what you want during this process. Any other agent you should exclude. Lake agents know the ins and outs that other agents simply wouldn’t know.
    • D) Can Prove a Pipeline of Out of Town Buyers?: If the agent can show you that they have people coming from out of town to buy, you should keep note of that. This is a good thing as it brings people from outside the local market looking and buying.

Simply put, certain questions are more important to ask a lake agent. You might think you’re asking the correct ones, but some of them require a lot of expertise. If you’re ready to start asking the questions, reach out to a lake expert today at LakeHomes.com. They would love to help you on your real estate journey.

Whiteboard Topics: Lake Home Real Estate Expectations For Fall 2024

Posted on Zac Parnell

Summer is winding down and so is the height of lake season. As we head into the fall and winter months, you might be wondering what the lake home real estate market is going to look like. You might be asking yourself if it is a good time to buy or sell, should you wait until warmer weather, or just how everything looks. Lake Homes Realty’s CEO, Glenn Phillips, breaks down how things are looking as we head into these cooler months.

  1. Inventory Growing (Selection!): Going into the fall, the inventory is growing. This is a good thing because ultimately you have more selection. While there are still plenty of overpriced homes, slowly these prices could drop as inventory continues to increase.
  2. Mortgage Rates “Sort of” Irrelevant: There have been discussions about the dropping of mortgage rates. However, these are almost irrelevant when it comes to lake real estate. More than half of the transactions the agents at Lake Homes Realty do are done in cash. This has more to do with the buyers’ sentiment towards mortgage rates. Most of the time, lake home buyers can typically afford the mortgage.
  3. Buyer Demand Strong but Hesitant: The traffic coming to LakeHomes.com is there.
    • A. Discretionary: The buyers aren’t buying unless they really see what they are looking for.
    • B. Selective: Price is one of the biggest things buyers have been selective on.
    • C. Distracted (Election, Holidays): Every 4 years the buyer population gets distracted due to the election. Not to mention holidays when more people are busy with many other things. This can result in a slower rate of buyers.
  4. Realistic Transactions Move Quick!: The lake homes where pricing is realistic are moving quite quickly. The growing inventory tends to be the ones that aren’t priced accordingly.

As we continue to make our way into the fall season, just remember you can still buy and sell. If you’re planning on selling, price properly. If you’re looking to buy, the inventory is growing, so keep looking. As always, there are plenty of lake real estate experts always ready to help. If you would like to connect with one today, head over to LakeHomes.com to find one for you!