WHITE BIRCH PROPERTIES
Realty Executives of Kansas City
Are you selling your home and reviewing several offers? Congratulations! You’re well on your way to getting as much as possible out of what is likely your largest asset. But when it comes to picking an offer, sometimes it’s important to take a step back and recognize that your bottom line shouldn’t be your only consideration. In many instances, the terms a potential buyer includes in the offer also play an important part. They can underscore how many hurdles you’ll have to clear to reach the closing table in a timely manner. So every seller should carefully review an offer—beyond the dollar amount—before settling on a buyer. To help you navigate all this, we’ve outlined four important factors that home sellers should look for in an offer. Here’s everything you need to know about choosing the best one.
Research your preferred financing method
As a seller, you probably have an offer amount in mind that you would like the buyer to meet or exceed. But remember, a buyer needs to prove that he can afford to make the purchase—no matter what numbers are thrown around in an offer. If the buyer intends to get a mortgage, there should always be a pre-approval letter included in an offer on their lender’s letterhead. And if a potential buyer makes a cash offer, ask for proof of funds before accepting it. This proof will usually come in the form of a bank or investment account statement. Each should show that the buyer has the funds necessary to complete the transaction.
Need to sell your home in a hurry? Then you may prefer an all-cash offer. This type of offer usually involves less risk and a shorter escrow period as cash eliminates waiting for a buyer’s full mortgage approval. But seller beware: All-cash buyers have negotiation power. And they will generally want something in return for bringing a bag of money to the sale. For instance, they could offer you less than the asking price. So be sure to weigh the cons against the pros before accepting an all-cash offer over a buyer with a mortgage.
Look for a larger earnest money deposit
Next, you may want to pick an offer with a sizable earnest money deposit, also known as a good-faith deposit. This is a sum of money that a buyer entrusts to the seller’s brokerage firm to prove that he is serious about purchasing the home. A deposit that’s worth 1% to 2% of the sale price is normal, but the higher the deposit, the stronger the offer. The buyer’s earnest money deposit goes toward the down payment if they eventually close on the home. On the other hand, if the buyer breaks the contract and walks away from buying the home, you can potentially keep the deposit as a consolation.
Consider fewer contingencies
In real estate, contingencies are benchmarks buyers set that need to be met for the transaction to continue moving forward. For example, many buyers will want to include an inspection contingency in the purchase contract. This means the buyer will need time to have your home inspected. And if any issues are found, a buyer might ask you to make repairs before he will close on the home. With an appraisal contingency, a satisfactory appraisal of your property must be conducted. If the appraisal doesn’t match the agreed-upon price of the home, you and the buyer will have to reach a new number before settlement. The caveat here is that anytime a contingency can’t be satisfied, the buyer has a chance to walk away from the purchase with his earnest money deposit in hand. Obviously, from a seller’s point of view, the fewer chances the buyer has to exit the transaction, the better. With that in mind, it’s a good idea for you to select an offer that has the fewest contingencies from the start. Choosing an offer with minimal contingencies is just as important as the sale price. That’s why cash offers are often accepted, even at lower sales prices. Sellers see a cash offer as removing a lot of the risk of the transaction falling apart due to a buyer’s inability to get financing or the appraisal value coming in below the sale price.
Opt for an ideal closing timeline
Finally, consider your optimal timeline for heading to the settlement table. Moving out is a lot of work, especially if you’ve lived in the home you’re selling for a while. To that end, you’re going to want to ensure that you choose an offer with a closing date that suits your needs. Timing is everything. While a quick closing is desirable to many sellers, some need more time to move. In that case, even an offer that has a lower sale price may be more desirable if the timing works better for them.
Homeowners in cold-weather climates face icy conditions, blizzards, and other cold-weather storms. Beyond barring you from being able to leave your home, severe cold weather can threaten your home’s structure and your safety. It’s important to take preparatory measures and invest in the resources you’ll need to deal effectively with winter’s challenges before it gets into full swing.
Understand the threats of severe cold weather
Blizzards: Storms with heavy winds and large amounts of snow accumulation can cause roof or other structural damage and leave you isolated.
Ice storms and ice dams: Ice storms coat structures, trees, power lines, cars, roads and virtually everything else with ice. As the ice melts, large chunks can fall and cause injury to anyone below. When ice melts during the day and then re-freezes at night, ice dams—which block water from flowing in the gutter—may form. This condition can force water back under the roof line and cause leaks.
Sleet or freezing rain: Combinations of snow and freezing rain may cause slippery conditions and coat roads, sidewalks and driveways with ice when temperatures drop.
Protect yourself from severe cold weather
The Federal Emergency Management Agency (FEMA) recommends that homeowners have shovels on hand, as well as melting agents such as rock salt. Some of the new, more environmentally friendly deicers include calcium magnesium acetate and sand to improve traction. Be sure to stock up early in the season, as these agents tend to be in short supply during periods before a well-publicized storm.
FEMA also advises you have enough fuel to maintain heat in your home, as well as a backup heating source: firewood if the home has a working fireplace or a generator to power heaters in case of power failure. However, use caution as these can represent fire hazards when not used correctly. Be sure to follow directions explicitly and keep a fire extinguisher. Some generators and fireplaces also require proper ventilation, according to the Institute for Business and Home Safety—so follow directions carefully and keep them away from curtains or other flammable items.
Stock up on extra blankets, warm clothing and enough food/water to sustain your family in case of a few days of isolation. And a transistor radio with fresh batteries can help keep you updated on news and information in case of a power outage.
Protect your home from severe cold weather
Before winter, there are some precautions you can take to protect your home from the ravages of severe cold weather storms.
Winterize your home: Check shutters, siding and other exterior materials to ensure they’re secure, says retired contractor, home improvement expert and writer John Wilder of Jacksonville, FL. High winds, ice and moisture from winter storms can easily strip off such outside elements if they’re loose.
Be sure that gutters are clear of debris and walkways are even—and don’t represent tripping hazards that can be exacerbated with snow or ice. Caulk drafty windows and apply weather stripping to doors, both inexpensive strategies that can keep heat in your home. Air sealing can help you save about $350 in energy costs or one-third of your average annual heating and cooling costs. The average annual home energy bill is about $2,200, according to Energy Star—of which about $1,000 represents heating and cooling. An assortment of air sealing materials and tools—including silicone foam, caulk, aluminum flashing for flues and additional insulation—will run roughly $100 to $350.
Winterize pipes: Be sure your pipes, especially those exposed or in unheated areas like crawl spaces, are wrapped in insulation to prevent freezing and bursting. Also, learn where your water shut-off valves are so you can turn off the water supply in case of a leak. Six feet of insulation can cost anywhere from $7 to $17; it’s available at most home improvement stores.
Trim tree branches: Branches that overhang roofs or areas where you park your car—or which are simply overgrown—represent a risk to structures, vehicles and people. Keep trees trimmed and remove those that are weak or sickly to prevent them from falling on or near your home. Tree trimming and removal pricing varies greatly, and you may have additional restrictions if you live in an historic community—or if the trees are close to power lines.
Check with your municipality about any regulations and contact your local Chamber of Commerce, municipal offices or contractor rating sites like merchantcircle.com or angieslist.com to get the names of reputable pros. Tree trimming and removal can be dangerous, so don’t attempt it on your own unless you’re experienced.
By keeping your home in good repair and stocking up on the supplies you’ll need before the rush for rock salt and shovels begins, you’ll be as ready as possible to tough out the storm.
Summer is here and you’re spending more time outdoors. For most of us, this still means primarily in our own backyards. Personal outdoor space has never been more popular and if yours could use a little sprucing up, here are the hottest trends for 2021.
Outdoor Kitchens – This trend is going nowhere. Ever since the first built-in BBQ showed up, homeowners have loved cooking outdoors. Choose from a simple pizza oven to a full chef’s set-up with multiple ovens, refrigerators, cooking spaces, and bar.
Edible Gardens – While home gardeners have enjoyed seasonal tomatoes and herb pots for decades, the rise of sustainability trends have increased the attention on home-grown, organic fruits and vegetables. Any small space can be transformed to grow your favorites.
Privacy Structures – Creating some private outdoor space is relatively easy. Simple strategies, such as a large, well-placed umbrella or planter containing tall grasses, can carve out some private outdoor space. Another trend is using larger furniture, such as covered daybeds or gazebos have made a strong return to the pages of design magazines.
Front Yards – With the lockdowns and restrictions of the past year, front yards have made a comeback. As people have enjoyed the ability to socialize with neighbors and friends as they pass by, not only have front porches become more popular but adding a patio or sitting area in the front yard has topped the garden trends this year.
The warm weather is back. This is a great time to explore the many ways to enjoy your outdoor space. From simple weekend projects to large-scale remodels, the trend toward using the outdoors to supplement indoor living space is here to stay.
Repainting a room is one of the easiest ways to freshen the décor while changing the feel of the room. The hottest design trend this year takes this to a whole new level. Color-blocking techniques are dominating magazines and social media with vivid color palettes and bold geometric patterns, turning the traditional painting project into something special.
Color-blocking takes many forms—everything from a simple way to differentiate one space from another by changing the wall shade, to artistic pairings that would feel at home in a modern art gallery. Your style most likely falls somewhere in between. The common theme is to try something new while changing the feel of the room.
Before you start your project, take time to consider the desired final look. Consider the relationship of your chosen colors and how each plays a part in the design. Bright shades create a sense of energy while softer tones are calming. Use blocked color to trick the eye into adding or subtracting space using light or dark colors. Color-blocking can also be used to draw attention to architecturally interesting elements, such as a curved entrance or crown molding.
This weekend is a great time to update your space by trying something new and modern. Choose traditional color palettes and subtle shapes to compliment your current design or go bold and completely change the room. Any home décor style can benefit from the techniques of color-blocking with a little imagination, masking tape, and a paintbrush.
Remember the feeling of walking into your favorite restaurant and looking forward to a nice meal in a great atmosphere? With the shutdown of indoor dining around the country, social media has been flooded with beautiful pictures of homemade food. Now it’s time to bring that same enthusiasm to your dining room décor and complete the transition to a true restaurant-quality experience.
Add Texture – Looking for a bistro feel? Add some fuzzy pillows and a cozy (preferably washable) floor rug to draw attention to the space.
Change Up the Seating – Have you noticed that more and more restaurants are using non-conventional furniture in their dining rooms? Adding some armchairs, stools, or benches to the dining room will have a big impact.
Gild the Room – One of the easiest ways to bring elegance to your dining room is to add a gilded mirror. Keep an eye out for these and other special touches at garage sales and some décor stores.
Mix and Match – Take an eclectic approach to your dining room. No need to use matching chairs or place settings.
Add Ambience – Keep an interesting vase full of fresh flowers on your table, add soft lighting or candles, and play ambient music over speakers to remind you of your favorite restaurant or bar.
Offer those delicious meals a special place to be enjoyed by adding a few simple touches to your dining room. Even with more time at home, there’s no reason we can’t enjoy a “dining out” sense of elegance.
