Friday, March 21, 2014

March Market Update...


Is your home competitive or compelling? Competitive means your property is priced and shows “as well as” the other competing homes currently on the market.  Competitive feedback sounds like “nice home; just started looking; wants to see other homes”, etc.   However, if your property is compelling then it stands out from the rest of the crowd.  Buyers don’t want to leave the driveway, and instead of receiving feedback you receive an offer!  Right now about 1/3 of the homes that sell are doing so in the first 30 days (buyers are demanding homes that are priced to compel.)  So… is your property priced to be competitive or compelling???

Here’s some current market stats you may find interesting.  Currently there are almost 1,700 homes and condos on the market in Stark County.  On average, only about 200 properties sell each month, which means that only the top 12% of the market is selling each month.  In other words, your listing has to be in the top 12% of the market to be sold!  If there are 50 competing properties for your listing and only the top 6 sell a month - is your home in the top 12% of homes regarding price and condition?  We are in a very crucial season with a lot of buyer activity and now is the time to seize this market.   Please always feel free to call us with any questions or concerns….

Your Realtor,

Jose Medina

Tuesday, March 18, 2014

How to apply to lower your Property Taxes...

Super Charged Learning! 

Saturday, MARCH 22, 10:00 -12:00 p.m.
Learn How to Apply to
Lower Your Property Taxes

We all want save money - Come Learn How!

A representative from the Stark County Auditor's Office will discuss how to complete the application form to have your property taxes reviewed for a reduction. 

Please bring you current tax bill and your property card from the Stark County Auditor's website. 

Auditor Forms will be provided.

A Notary will be present to complete your application.

 $10 Pay at the door.  Cash, check or credit card.

All Revision Requests are accepted only once a year.  This year's deadline is March 31...
So do not delay in registering for this event!

Advance Registration for this seminar is requested,
but not required.
  
North Canton Branch
of the Stark County District Library

189 - 25th St NW
North Canton, OH  
10:00 am - 12:00 pm

To Register for this Class
call Dan Quinlan at
Red Rock Real Estate
330-456-ROCK (7625)  

Stark County Real Estate Investors Association
 SCREIA LOGO

Tuesday, March 4, 2014

"Rent to Own" explained...

Entering into a "Rent to own" or "Lease Option" contract basically means you're renting a
home just like any other rental. However, as part of the contract you have the option to buy the home at the end of the lease for a predetermined price.  Renters are required to pay an option fee to the seller (which is a set amount that will be applied to the down payment when the home is actually purchased by the tenant.)  A portion of the tenant's monthly rent will also be applied towards their principal balance.


 For example, if a home is worth $100,000.00 and rent is $800/month, then the seller may
require a $3,000 option fee up front and agree that  $100/month of the rent payment go towards the purchase price balance. That would mean that at the end of a 12 month contract, the tenant would have their $3,000 option fee and another $1,200 ($100/month x 12 months) as a down payment on the agreed upon purchase price of $100,000.00.  The tenant would then need financing to purchase the home for $95,800.00.  Please note that if the tenant should decide NOT to purchase the home at the end of the contract period, the seller retains the option fee.  

Renting to own can appeal to people with little to no savings for a down payment, or people with bad credit or no credit.  It is also an option for those who do not qualify for traditional mortgages or may have lost their homes to foreclosures.  It can be a great way to get into a desired neighborhood or school district in a timely manner, while affording the renter time to build their income or repair their credit.    

 Some points to consider before entering into a rent to own contract...

1)  All terms are negotiable.  Be sure that the purchase price of the home agrees with the current value of the home.  It is likely that the option fee will be 3% - 5% of the agreed upon purchase price.
2)  Most rent to own contracts will require the renter to purchase the home in 1 -2 years.  Many contracts will extend another year to the renter with a 4% escalation (this percentage could be higher or lower) on the original agreed upon purchase price of the home.  
3)  A renter can walk away from the purchase at the conclusion of the lease, but they will lose their down payment.  
4)  Most rent to own contracts state the the tenant is responsible for all repairs needed (even throughout the rental period).
5)  Make sure that all terms are understood and agreed upon before signing a contract.