Realtor tips for buying, selling homes

Buying a home is one of the biggest financial commitments people can make. Owning a home can be the ticket to a secure financial future, or it could very well end up pushing some into financial ruin.

Spring is the prime time for people to buy and sell homes. For those who are thinking about taking that leap into homeownership, here is some advice from experts such as Edward A. Mermelstein, co-founder of the international real estate law firm Edward A. Mermelstein & Associates in New York.

• Study: Buyers must do their homework. Review the closing numbers of comparable homes in the neighborhood. That information can be found on Web sites such as Zillow.com, Propertyshark.com and StreetEasy.com. Mermelstein points out the numbers available generally trail the market by three months.
• Credit: Clean up the credit score before applying for a mortgage, the experts advise. A bad credit score may not just affect your rates, but could prevent you from getting a mortgage.
  
• Go low: Mermelstein suggests buyers offer 10 percent to 15 percent below the current market price. Pricing is generally based on contracts signed three to four months before the listed price and don’t necessarily reflect the most current real estate climate.
  
• Get pre-approved: Buyers should get the mortgage pre-approved, Mermelstein recommends. You will not only know what the purchase parameters are, but you might be able to negotiate a better purchase price because you can close with more certainty and more quickly.
  
• Background check: Check the reputation of the builder and sponsor of a new home. This information can be obtained by the Better Business Bureau or by an Internet search. Ask friends who have used the builder.
  
• Title search: Be sure that any new additions or construction to an existing home has been properly filed with the local municipality and has been approved.
  
• Inspections: Buyers must always do an inspection. Hidden problems, such as mold or termites can torpedo the value of your home.
  
• Hire a lawyer: Mermelstein suggests buyers call your local bar association and ask for a recommendation.
  
• Understand homeownership: Be honest about what owning a home is going to cost you. Homeownership costs include not just the price of the home, but utilities, maintenance, taxes and insurance, according to the Greater Harrisburg Association of Realtors. If you’re buying an older home, it’s even more important to consider maintenance costs or repairs. Can you afford to replace a roof if needed in five years?
  
• Understand forms: Make sure the seller’s property disclosure is properly filled out and that you understand every entry on it, according to the Greater Harrisburg Association of Realtors.

If you’re selling

Selling a home can be a big undertaking and difficult to do in a housing market that is not as robust as it once was.

Still, sellers can do plenty to attract buyers and get the right price for their homes. The Greater Harrisburg Association of Realtors and Keith Sealover, an agent and owner at Keller Williams of Central Pennsylvania in Camp Hill offer sellers the following advice.

• Remove clutter: Place extra “stuff” into storage, according to the association. Buyers want to imagine their furniture in our home. That’s difficult to do if your home is too cluttered.
• Price it right: That means pricing a home at its true market value, according to the association. Price is everything. If you do not price your home correctly in the beginning, it will sit on the market and not sell. Real estate agents can help people put the proper price on their home.
• Clean everything: The association suggestions cleaning the outside of your house, too. Clean up leaves, refresh mulch, trim bushes and trees. Mow the lawn.
• Show plan: When a showing is scheduled at your house, make sure you clean up the house and leave. Cage animals or take them for a walk. When someone is viewing your home, you only have one chance to make a first impression. That starts the moment they drive up.
• Make repairs: Residential homebuyers almost always buy on emotion, Sealover said. That means if the carpet needs to be replaced, replace it.
• Go neutral: Lighter, brighter and boring is better for the resale of a house, Sealover and other real estate agents say. That way, people cannot object to the colors that are there.
• Model showing: To maximize the sale opportunity, Sealover advises sellers to make their home show like a model. That means keeping up curb appeal.
• Right time: Sealover said the midstate housing market has bear periods and bull periods. Sellers who want to get the best price for their homes want to put them on the market during the bull period. That’s the period between February and June, he said. May is the peak of the bull season, he said. The midstate housing bear market generally is between Thanksgiving and New Year’s. Timing can make the difference on price.

  By SHARON SMITH, The Patriot-News