Trying to sell a home in Grand Rapids, Michigan has not been easy for the past few years due to the crisis in the manufacturing sector, the mortgage industry implosion and the glut of homes which deluged the market within the past 24 months. 

Selling a home without help as an Unrepresented Seller presents some additional challenges.  In a conversation with an experienced mortgage broker, this past week, I was surprised to learn about some unique criteria which are now pre-requisites for homeowners who are selling their own homes.

According to this source, she indicated that many area lenders are now requiring at least 2 appraisals on any home purchased directly from a home owner.  This additional expense is due to the fact that much of West Michigan is now considered a Declining Market. 

Thus homes sold by Unrepresented Homeowners aka FSBO's are scrutinized more closely because they represent a higher risk to investors. This is also why title/escrow costs are often higher for Unrepresented Sellers.

The designation of Declining Market has two significant implications for all home owners in West Michigan.  First of all, many lenders are looking more closely at ANY HOME which has been on the market for over 6 months even if the location has not been designated a Declining Market.  If a home has been on the market for some time, (in West Michigan, our average was between 9-11 months in many areas) the lender may require that the buyer put a deposit of 5% or more down for a mortgage. Unfortunately, many buyers today are unprepared or unable to come up with additional funds.

In addition, areas which have been designated as Declining Markets may experience this added burden on ALL HOMES regardless of how long they have been listed.  This contributes negative leverage to the drag that Foreclosures and Short Sales have already had on home values.

There are some lending options which may diminish the impact of these additional fees and these should be explored with an experienced lender PRIOR to placing a home on the market.  The government programs such as the FHA have really been much needed source of stability in these times. Now, more than ever...it's important to have a Strategy in place to Sell your Home.  Unfortunately, today...simply getting a Buyer to sign a purchase agreement will NOT guarantee you a seat at the Closing table.

If you'd like a referral to a highly qualified lender or need to discuss some options to successfully market and sell your home, please contact Audu Real Estate.  We are available to discuss the current Market Conditions in your specific neighborhood in the comfort and convenience of your home.

Copyright 2008 Audu Real Estate All Right Reserved

 I love cooking and entertaining!  Creating the menu for an event is a delicious process for me.  It's a succulent blend of  aromas, stimulating the creation of delectable plated combinations celebrated  and enjoyed with family and friends.  I have discovered that one of the most challenging menu items to serve my guests is fish.   Many people seem to have a love/hate relationship with seafood.  A comment I have heard when fish on the dinner menu is "I never liked fish, but I loved the way you cooked it".

Selecting a whole fish or fillet properly is the most important element in making a great tasting dish.  

Characteristics which are indicative of the freshness of a catch include the smell or odor emanating from the fish, the dullness of the eye, and the color of the blood in the veins, cavities and gills.  If supposedly fresh fish has a fishy odor, this usually indicates that it has been around for awhile and is beginning to decompose.  Similarly, dullness of the eye, and a dark color to the blood on the gills may be additional warning signals that no amount of creative presentation can resolve.

In some ways, selling real estate has similarities to the proper selection and preparation of fish.  Often, the first mistake in making a great meal  starts with a poor quality choice.  I've done this before, hurrying through the grocery store, I have hastily chosen a filet or whole fish and had it packed without inspecting it carefully and thoroughly.  Sometimes, it has been on sale and the temptation of a good deal has made me too forgiving of flaws. 

A successful real estate transaction is also directly related to selecting the right client to work with.  Real estate practioners often make poor selections for a variety of reasons.  Sometimes, it is desperation, thinking we may never have another client.  Other times, the trouble signals, like a bad fishy odor are obvious from the beginning...unrealistic expectations, suspicion and a lack of trust, inability to obtain financing or a lack of motivation to name a few.  But we soldier on, ignoring the flashing red warning signals and the lingering disonance of unease.

If a fish fillet is properly handled and carefully selected, not much more needs to be done to create a wonderful meal.  In fact, smothering a piece of fish with heavy sauces or excessive spice detracts from the flavor.  The best enhancers will delicately compliment the natural flavor of a fillet.  Generally, the longer the fish has been out of the water, the more doctoring up it will require to mask the deterioration in flavor and texture.

Similarly, the best clients are not necessarily those from whom one can earn the largest commission.  Some of my most memorable transactions have been with individuals who were buying their first home and truly appreciated my services . The most stimulating transactions have been with clients who had to overcome immense obstacles and challenges to secure a sale or purchase of a home.  This is what has continued to make my real estate career a profession I find invigorating!

The most satisfying transactions have occurred when I have chosen with care, taking the time to interview and understand what a potential client really needed before determining if our journey together would be a good fit.  This can be time consuming, but I've found it's  more efficient and effective to spend a couple of hours at the beginning of the relationship than to waste countless hours and gas in fruitless and ultimately futile activity.

Creating fulfilling transactions does not require excessive doctoring up with all kinds of flash and fizzle.   Rather success is based on the tried and true basics like trust, communication and mutual respect.  When we invest time and attention to making a good judgement about a potential relationship in the beginning, the result like well prepared fish can be a delectable feast.