Home is where the Real E$tate is by Fergus

Depending on where you are looking in the Metro DC area, a parking spot is worth its weight in gold or more specifically $40 to $50K. When it comes to parking there is some confusion about the differences when it comes to ownership.  In a condominium , the difference between deeded parking and assigned parking is significant. A deeded parking space is primarily under the control of the unit owner, while an assigned parking space is under control of the condo or homeowners’ association, the latter of which can in extreme cases be changed or even eliminated without the unit owner’s consent.  The owner of the space has the right to use, sell, or rent it out and I know a number of people in the DC who do. Legally, a deeded parking space is generally appurtenant to the unit, which defines it as being attached to the unit, but that does not mean it is physically attached or has to be. A deeded parking space is highly desirable in the event of a home sale since ownership is transf...

QUALIFICATION TO PURCHASE Please note that this is what the buyer can expect at time of writing. All conditions are subject to change.  INTRODUCTION The first thing a serious buyer should do when looking for a home is talk to a lender about pre-qualification since it will give them a sense of what they can afford. When the buyer is ready to purchase a home they will need to seek what is called 'pre-approval' which is a more detailed and thorough process, and involves such things as a credit check. Ultimately, without a pre-approval letter from the lender in an amount that covers an offer price, the would-be seller will not have the assurance they are looking for. In the DC metro area, a pre-approval letter is typically required when making an offer.  1. Upon ratifying a contract to purchase a home, the buyer will need to make an official loan application as well as to provide any outstanding financial documents that may be requested. Once the interest rate is locked, the lend...

When comparing different real estate loans, it of course behooves one to take a proper look at their circumstances. Here are some factors to consider when comparing real estate loans and or how to qualify for a home purchase: Interest Rate Compare the interest rates offered by different lenders. A lower interest rate can save you money over the life of the loan. As a rule of thumb, I recommend working with a local lender who understands the local market but there have been some instances in which clients have found a better rate with a national lender or someone they have worked with previously.       When rates are higher, as they are now (June '24), the buyer pool is typically lower which can be a positive as far as pricing and negotiation. Regardless, one of the things you can do from the onset is to look into buying down the rate . Ask your agent/representative to look into whether or not the seller might want to give a credit to buy down the rate which upon acce...

When it’s time to make an offer the first thing one needs to do is to discuss the offer terms with their realtor.  Your  realtor is expected to negotiate these terms on your behalf, but keep in mind that a successful negotiation is contingent on the type of market you are operating in and the type of home you have decided on. In the case of multiple offers or a hot market your room for negotiation is limited. Here are the key items to consider.  Offer price  Work with your realtor to determine your strategy whether it’s starting low, somewhere in middle or going for broke. Your realtor should pay close attention to the comps, specifically recent solds in the area, inventory notwithstanding. The longer a property has been on the market the better, and the more eager the seller is the better. For my part, I make a habit of contacting the seller’s representative to find out within reason as much as I can, but one should not forget that the seller’s agent has an oblig...