Charleston SC Metro Real Estate: September 2007

The time to buy in the Charleston metropolitan is now!  Why?  Inventory is up, and interest rates are going down.  This is the perfect mixture for a buyer's market. 

New home construction and resale are competing for your business.  New homes are "giving the farm away" at most places, offering great deals and free upgrades up to $40,000.  In turn, resale home owners are dropping their prices, paying closing costs for the buyer, and adding incentives such as home warranties to entice the buyer.  

On top of this, the Federal Reserve has decided to drop interest rates this week in hopes of stirring the economy.  Rates were cut by .5%.  MarketWatch reported that, "This is the first cut in the federal funds target rate since June 2003. The funds rate is at its lowest level since May 2006."  These rates may not last long as the inevitable fears of inflation will most likely soon follow such a drastic cut in rates.  

If your even remotely interested in buying a home in the Charleston, SC metro., give me a call.  I can walk you through the entire process.

For most people, buying a home for the first time can be quite strenuous.  The  paperwork, the legal jargon, and the prospect of a huge hole in their pocketbook that comes with owning a home can be quite daunting.  But, perhaps the most stressful thing about buying a new home is the overwhelming sense of fear and anxiety that one feels throughout the entire process.  This fear and anxiety can be attributed to several things but mostly to the buyer's sense of not knowing what is going on. 

Far too often real estate agents rush a customer or client through the stages without ever giving an overview of what is going to happen.  This leaves the buyer (especially if they are a control freak like myself) feeling confused and overwhelmed.  This can be eliminated by simply giving the buyer a step-by-step process of how everything usually works. 

THE REAL ESTATE PROCESS

1. Agency - great time to discuss agency if you have not already done so.  Agency is the cornerstone to the rest of the process.
2. Mortgage Application - this is essential to complete before you start previewing houses.  This is how we assess the buying power of the buyer and determine what price range to search within.
3. Home Search - the MLS is an essential tool to view homes.  Narrow down the amount of homes to be previewed by looking at the pictures and information provided.  Don't get 20 homes that fit your needs and go look at all of them.  Narrow it down as much as possible.  This is the hardest part for the buyer.
   
4. Find Home/Write Contract - What is a ratified contract? Understand "buyer's remorse."   "It happens to everyone."
5. Negotiations - how to get the most for your money.
6. Ernest Money - be prepared to bring ernest money  to  show the seller that you are serious. How much?
7. Inspections - Home Inspection, Termite Inspection, Lead Paint: how much does it cost and who does it? Do you really need the inspections?
8. Appraisal - General Rule is that the lender's appraisal is sufficient.  Should you get one if you are not financing?
9. Closing - what to bring?  How much money to bring?  Prepare to sign a lot of paperwork!