My team & I belong to each multi-list along Western PA, so we have access to details in markets from Lake Erie all down to West Virginia. Here are the trends that we’re seeing right now in Allegheny, Beaver, Butler, Lawrence & Mercer counties.

Congratulations, Lawrence County… you’re the oddball area this week! All the other trends in the other counties are consistent with one another. You, however, are throwing the trends for a loop.

All across the board the average sales price of homes are up. Just this last week, Lawrence County experienced the largest jump with the average sales price increasing 31%. Coming in at a very distant second is Mercer County at only 9%. This could be because Lawrence County had the biggest drop in inventory. So, with fewer homes in this area, buyers are willing to pay a little more because of the lack of supply.

We talked before about the median listing price being the better number to look at when reflecting sales price. When looking at Lawrence County there, it’s still up, but only by 3%. This is an indication that there was a house or two that likely skewed the average. In Mercer, Beaver, Butler & Allegheny – we see double-digit increases in the median sales price ranging from 14 to 28%.

Here’s something I haven’t seen yet! I usually report that Mercer County has the most meager listing price versus selling price ratio. That’s NOT the case this week! It’s up 6%! In Mercer County, homes are selling for about 3% over asking price on average!

The rest of the areas I’m monitoring have all experienced a decrease in this ratio, & the average listing price vs selling price is under 100%. This means that, besides in Mercer County, buyers have been a little more successful in negotiating down off of the asking price, on average.

Are we finally seeing the beginning to the end of the seller’s market? Only time will tell!

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

My team & I belong to each multi-list along Western PA, so we have access to details in markets from Lake Erie all down to West Virginia. Here are the trends that we’re seeing right now in Allegheny, Beaver, Butler, Lawrence & Mercer counties.

All across the board, there are signs that the spring market has SPRUNG! Just last weekend, between just 2 of my team members they cinched up 5 deals in a 72-hour period. (That’s a lot of numbers in once sentence.) Basically, it means that most experienced agents are busier a hungry mosquito in a nudist colony.

Another sign of the typical spring market is a boost in inventory. Butler county’s inventory just experienced a 167% hike. Hang on tight, buyers – things just got interesting! Many of our own buyers were so frustrated by the limited options that they took a step back from house hunting. We’re reaching out to our buyers with new options & opportunities so that they can decide if it’s the right time for them to get back in the game.

In each of the counties I monitor, the average listing price vs. sales price has either remained constant or has experienced a slight dip (not much… 2-3%.) This is telling us that sellers have to negotiate a bit on their selling prices.

Gone are the days where the listing price was just the starting point. Buyers no longer have to be throwing financial fists before they even enter the ring. Buyers have more options, & sellers are needing to bend just a touch to have a chance against the increasing inventory (aka competition.)

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020

Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

In one of my recent blogs, I mentioned that I could offer SO much more information on inspections. Well… good idea, past self! Let’s do that today!

Inspections include ANY testing that you’d like to have done at a property. The buyer has a timeframe to get the property evaluated & make a decision as to if or how they’d like to proceed with their purchase.

Types
There are a lot of different types of inspections you can elect. The basic one that most people refer to is a home inspection. It’s the primary-care-physician of inspections. It’s a top to bottom physical of the house looking at basic structural & mechanical items.

My team & I strongly recommend that each of our buyers at least gets a home inspection. There’s a lot of controversy with multiple offer situations as a buyer waives their right to a home inspection in hopes of gaining the upper hand during negotiations. Ugh… this is really big decision & a conversation to have with your Realtor so that you fully understand this potentially huge risk.

If a home inspection is your general PCP, then the other inspections are like your specialists: your gastroenterologists, your ophthalmologists… For example, if the home a buyer is purchasing has a well, then you can elect a well & water inspection. I think that’s a prudent idea – let’s make sure that you’re not gulping down water laced with e. coli out of your kitchen tap. “The best part of waking up isn’t listeria in your cup…” (Credit to my husband who came up with that little diddy as I was practice reading my content.)

Septic systems can cost a homeowner tens of thousands of dollars. If you’re buying a house with a septic system, I think it’s worth the cost of the septic inspection to ensure that it’s in good working order.

I could go either way on a radon inspection. On one hand, homes in PA tend to have a higher radon concentration than other areas in our country. It’s likely due to our rocky subterrain. About 50% of radon testing results I see are higher than the 4.0 pCi/L. So, there’s a decent chance that the radon in a home may be high which is definitely something that should be addressed.

On the other hand, if you are a buyer in a competitive offer situation, your goal is to make your offer as appealing as possible. Sellers will obviously be attracted to offers without a litany of tests for their home to pass. So, if you’re looking to waive any inspection, the consequence of a high radon test can be addressed relatively easily & inexpensively. So, if my buyers wanted to waive a radon inspection, I’m pretty confident that it’s less than a $2,000 fix, & I’m not putting them in a position that they’ll have to use up Johnny’s college fund getting it resolved.

A pest inspection looks for more than just termites. In our pavilion we have the fattest, cutest & busiest wood-boring bees. They are fat & cute, but the amount of damage they do is incredible. A pest inspection pays specific attention to any wood-destroying insects in & throughout the property.

Those are just some of your options when it comes to the types of inspections that we typically see & explain on a sales agreement.

Timeline

Buyers: When you write an offer on a home, you’ll have … typically… 7-15 business days to get your inspections done – whatever is negotiated. If you’re in a competitive offer situation, get those bad boys tied up as quickly as possible – put 7 days. If inspectors are backed up, you’re getting every inspection under the sun, 15 days would give you a lot more flexibility.

Keep in mind that this timeline is when you make your response to the seller. Sooooo, if your response is due on Friday, you need to get your inspections NO LATER than Wednesday. This will allow the 24-48 hours for the report to be available.

Obviously when it comes to contractual timelines & your inspections – the sooner the better! Getting them done quickly frees up the rest of your timeframe to get quotes if you should need them.

I highly recommend that you attend the inspections otherwise you’re going to receive a 60-page report – complete with close up pictures – that is going to make your heart drop. If you went off of this report by itself, you’d think that your “dream home” is going to be falling in on itself the next time anyone sneezes within 10 feet. Be there. Listen to the inspector. Ask questions.

Prepping the Home

Sellers: Before a home inspector comes in, you may want to take a few minutes looking at your home with a different set of eyes.

Make sure that you move the bags of baby clothes away from the water heater. Your kid is 16 now… seriously just take them to Goodwill & get them out of the house. The inspector needs to have access to mechanical systems. Clear a path under the kitchen sink so that the plumbing can be easily seen.

If the house is vacant – MAKE SURE THAT ALL OF YOUR UTILITIES ARE ON! This is a biggie. That’s like my kid walking up to his math teacher & saying, “Hey… I know we’re having a math test today, but I don’t want you to ask me any addition problems. You’re just going to have to take my word for it – my addition skills are 100%.” Nope. That’s not going to fly. As a Realtor, I’m not going to be calling up an inspector & say, “Hey… I know we’re having the inspection today, but the seller didn’t turn on the main water valve. You’re just going to have to take their word for it – the pipes are 100%.” Those utilities all need to be on & ready to go.

I put together a checklist for my sellers – I give them room-by-room suggestions so that their house is ready well before that inspector pulls into the drive. There are things to look for in your kitchen… a few things to check outside… If you text me at 724-888-9020 I’m happy to share that information with you, too.

Pre-Inspection

Sellers: You don’t have to wait for a buyer to come along & for them to surprise you with this 60-page report. You can get a pre-inspection before you list your house, & I HIGHLY recommend it. Getting an inspection on your home prior to listing does 3 things for you:

1. You can address concerning items prior to putting it on the market. There may be a little mold in the attic that you never knew about. No worries – get it addressed, & you’re ready to go! If a buyer finds mold on their inspection, they’re most likely going to ask you to have it remediated anyway OR the word “MOLD” is scary enough that many buyers terminate the deal.

2. You can include the entire inspection report as part of the information you disclose to potential buyers. This means that you’ve taken this information into consideration when setting the price. The buyers cannot renegotiate on information that you’ve provided to them prior to them making the offer.
3. If you provide an inspection report to the buyers, they are less likely to get their own inspection. You’ve eliminated a lot of unknowns for the buyer, & you can progress with the transaction & circumvent negotiations on surprise repairs that show up on the report.

Inspectors

A good Realtor will never feel that an inspector is a “deal-killer.” I love a good inspector. I want an honest inspector who evaluates the condition on a home fairly so that our clients can be very well informed on what they’re buying. Plus, with good information, it gives me a chance to flex my negotiation skills so that we can approach the seller with helpful details. It’s these very details that helps to keep the deal together yet gives us the most potential to free up some resources for the buyers to address concerning issues. That’s the goal, but…

Not all inspectors are created equal.

If I was creating my own worst nightmare of an inspector, I’d make sure that he was a complete alarmist who refused to answer any questions after the fact & who would slip my clients an electrician’s business card – his nephew’s business card – on the way out. Seems oddly specific, huh?

Realtors work with inspectors all the time, & we know who is helpful & who is inflating issues in hopes of getting repeat business. My team & I have a handful of inspectors that have proven themselves over several years to be professional providers of excellent information.

We love inspectors who point out things to be aware of but who also give an idea of what is normal wear-&-tear versus an issue that needs immediate attention.

We love inspectors who patiently talk through what they’re looking at so that our buyers get an intimate introduction to the very crevasses & bowels of their soon-to-be family home.

We love inspectors who, when we get the reports, can & are happy to answer questions days later.

We love inspectors who give us thorough reports!

Reports

Speaking of reports, it’s that very document that gives buyers license to renegotiate. Verbal information doesn’t mean a thing – it has to be documented to carry any weight.

When a buyer receives a report – it’s important that it’s shared with their Realtor. Per the sales agreement, the results of any tests or inspections done on a property are shared with the seller.  If we are negotiating on any surprising information, referencing those details in the report is key.

It’s also important to know that, a house cannot “pass” or “fail” an inspection. A house may be perfectly sound & has one dripping faucet. That would not be a “fail.” There are so many different things that are evaluated, so the inspector – for each & every item – will say if it’s in great working order, may need some love soon or needs immediate attention.

Saying a house “failed the home inspection” is akin to a straight-A student failing one test & they get “failed out of school.” Just like kids are evaluated on each subject separately, items in a home inspection report are also evaluated separately. The house – in its entirety – doesn’t “pass” or “fail.”

There’s a lot more to know, but a good agent will never keep you in the dark when it comes to all of your options.

SUPPLEMENTAL VIDEO CONTENT ON THIS TOPIC:
Pre-inspection: benefits for sellers! – YouTube

Inspection Perfection

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

As a Realtor, I could write a book about all the craziness I’ve seen in this business. Man, am I glad that we moved the clocks. Having an extra hour of daylight is very valuable to Realtors. Otherwise, we’re oftentimes pulling up to strange homes in the pitch dark.

One day, I was meeting clients at a home late in the evening – well after dark. I get to the house a little early, & when I pull up – all the lights are off. I look ridiculous waiving my hands the entire time I’m shuffling up the driveway to the front door. I’m trying to trigger any motion sensors anywhere & have no luck.

I pull out my phone & turn on the lame flashlight & start looking for the lockbox. Nothing on the front door. I blindly make my way around the side of the house – nothing on the side door. I eye up the shadows lurking along the tree line in the backyard. I find my way into the back door & sigh some relief as I find the kitchen light switch.

I’m casually flicking on lights as I maneuver through the house, the only thing keeping me company as I make my way from room to room is my own humming of a cheerful Greatest Showman tune.

I have one more light to turn on – the one in the back bedroom. The bedroom furthest down the hall & away from the kitchen light. The same hall which, of course, offers a single burnt-out lightbulb. I have since put my phone in my pocket & just eye my way into the deepest recesses of the home.

I turn into the room & start feeling up the trim & adjacent wall on either side of the door. No switch, but I catch a glimpse of a familiar rectangle oddly on the side wall halfway back into the room.

I stride over, push the top button of the old-time light switch & a single bulb turns on. As I turn, that yellowed light highlights the half dozen nude torsos that line the corner & back wall of the bedroom.

They weren’t real people – just very realistic mannequins! I was not in any danger; however I was a good 6 seconds of my blood-curdling scream before I was able to convince myself of that fact. Good times…

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

Knowing about preapprovals are just as important for my sellers! 80% of buyers who want to see your home can’t afford it that means that 8/10 times when you prepare your home for a showing – it’s for someone who is just curious, not serious.

When I explain this to my sellers, I ask them if they would like to request that appointments are accommodated only for buyers who have shared a preapproval letter with their Realtor. I have yet to have a seller not take me up on this.

This is your personal home – you should have control over who goes traipsing in & out. You can absolutely set some standards to ensure that those coming in have the financial capability of purchasing your property. Your Realtor should support you with that & help to set those standards for other agents to follow.

Okay, seller… let’s say that you’ve mandated preapprovals for appointments, you’ve received some decent showings & now you’re getting an offer – or TWO!

The sales price is just one of 13 pages of terms on a sales agreement. They offer a pretty penny for your home – but looking at the preapproval letter will help you determine if that offer is going to stick to the closing table.

Here’s the 3 things that you need to be looking for when you’re evaluating your buyer’s mortgage:

1. You need to see that preapproval letter. It needs to accompany the sales agreement to show you that they are financially capable of the purchase. There’s no such thing as a verbal preapproval – you need the document.

2. Does the lender on the preapproval letter match the lender stated in the offer? If not – you need a preapproval letter from THAT lender. The lender needs to match & the mortgage terms need to match what’s on the preapproval.

3. If the lender is online-only OR an out-of-state lender, so those 2 red-flag lenders that I warned buyers about, you can absolutely ask the buyer to get preapproved with a lender that you or your Realtor trusts. Now, the buyer can still proceed with the lender of their choice, but at least you have some additional assurance that you got a 2^nd pair of eyes on things & a second opinion saying that they’re good to go.

Looking at these things will help to protect against an unqualified buyer taking up time that could be spent on someone more serious.

That’s why preapprovals are important for not only buyers but for sellers as well.

SUPPLEMENTAL VIDEO CONTENT ON THIS TOPIC:
Why Get Preapproved

2 Types of Lenders to Stay Away From! – YouTube

Your Lender’s Reputation – YouTube

The difference between a BANK & a LENDER – YouTube

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

There are 3 common real estate terms that are very commonly misunderstood & misused. Both buyers & sellers mistakenly use these terms interchangeably:

Assessment
Appraisal
Inspection

Knowing the difference is key & can save you some boucou bucks in the process.

Around March, you have to pay attention to your mail. Important tax docs are coming in & a lot of them can be confusing. My mom called me recently (HI, MOM!) Amidst her Pioneer Woman magazines & regular junk mail, was a tax-related document. She called me pretty upset because this document stated that my parent’s home was assessed for an amount that was ridiculously below what their home would sell for on the market.

She made a common mistake that many many many people make. They get their ASSESSMENT value & APPRAISAL value confused.

Here’s an easy, albeit slightly off color, way to remember that assessment is related to taxes: Paying your taxes is a pain in the ass…essment.

You pay your taxes based on a formula of your property’s ASSESSMENT value. That formula takes: Your property’s assessed value x millage for that area = property taxes

So ASSESSMENT has everything to do with TAXES & NOT the value of your home for resale.

Sellers: If your home is worth a million dollars but the assessed value is $70,000 – which number do you want your taxes based off of? A lower assessed value means lower property taxes.

Buyers: If you notice that a home is for sale & the assessed value is a fraction of that price – that’s a very good thing! Keep in mind, however, buyers that when you purchase a property, that can sometimes trigger a re-assessment of that property. It’s almost like the property tax people are hanging around the property tax office eating sour gummy worms & they get notified that someone just bought the house on Martin Ave. in Ellport. “Y’know… that reminds me, we haven’t raised the taxes on that Martin Ave. house in a while. Let’s go ahead & do that!” I think that’s how exactly how it works…

In short, ASSESSMENT value has to do with your taxes & NOT the fair market value of a property.

SUPPLEMENTAL VIDEO CONTENT ON THIS TOPIC:
Assessment vs. Appraisal

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

An inspector evaluates the CONDITION of the home. They provide written information on the structural & mechanical integrity of the property. Most people when they talk about an inspection are referring to a basic home inspection. Does the air conditioning work? Are the windows functional? Are there GFCIs in the appropriate places near water in the kitchen & bathroom – all those sorts of things.

However, there is a litany of other inspection options:

Pest Inspection: looking for wood-destroying insects like termites or carpenter bees.

Water Inspection: if there’s a well, you should probably have the water tested & have the well pump evaluated.

Radon Inspection: radon is a poisonous gas that seeps up through the earth. In Western PA -about 50% of the homes that my buyers have tested test high for radon – it’s just the nature in this area. Realtors in Florida rarely test or even suggest testing for radon. It’s not something Floridians have to worry much about in that area.

Those are just a few examples, & an experienced agent can guide you on your options.

If my buyer wants to waive their inspections, that’s my trigger to have big conversation with them. Most of the time they say something like “Oh, my Uncle Ralph went to the open house, & he built a shed once. He gave it a good once-over & said that home is solid. We’re good…”

If my buyer insists on waiving their inspections – I ask them to sign something saying “My awesome Realtor, Katina, whom I trust & has never steered me wrong told me that a home inspection is important. Alas, I am deciding to go against her stellar advice & rely on the fact that my Uncle Ralph, who has been sober for 4 months now & has built a wonky shed 20 years ago, told me I don’t need one.”

Just so you know, a house cannot “pass” or “fail” an inspection. A house may be perfectly sound & there’s one dripping faucet. That would not be a “fail.” There are so many different things that are evaluated, so the inspector – for each & every item – will say if it’s in great working order, may need some attention soon or isn’t working at all or needs immediate attention.

Saying a house “failed the home inspection” is akin to a straight-A student failing one test & they get “failed out of school.” Just like kids are evaluated on each subject separately, items in a home inspection report are also evaluated separately. The house as entirety doesn’t “pass” or “fail.”

Buyers: Here’s my advice for you when it comes to your inspections:

1. Ignore Uncle Ralph. Get one. The $400 you spend on a home inspection is worth every penny for that information. This is the biggest investment you’ll make in your life, you need to know what you’re buying.

2. Be present when the inspector is there. You’re going to get a 60-page report that will make you feel that the house is coming apart at the seams. Not everything is a big deal, & a good inspector is going to be able to highlight the big concerns. These are items that an experienced Realtor is going to help you negotiate through or even may be reason enough to terminate the deal. Most items are going are usually minor items that are normal wear-&-tear of a home of that age.

Sellers: You can get a pre-inspection report before you list your house, & I HIGHLY recommend it. Getting an inspection on your home prior to listing does 3 things for you:

1. You can address concerning items prior to putting it on the market. There may be a little mold in the attic that you never knew about. No worries – get it addressed, & you’re ready to go! If a buyer finds mold on their inspection, they’re most likely going to ask you to have it remediated anyway OR the word “MOLD” is scary enough that many buyers terminate the deal.

2. You can include the entire inspection report as part of the information you disclose to potential buyers. This means that you’ve taken this information into consideration when setting the price. The buyers cannot renegotiate on information that you’ve provided to them prior to them making the offer. So, you can address concerning items before listing, you can use this information to take a lot of items off of the negotiation table later on in the middle of the transaction.

3. If you provide an inspection report to the buyers, they are less likely to get their own inspection. You’ve eliminated a lot of unknowns for the buyer & you can progress with the transaction & circumvent negotiations on surprise repairs that show up on the report.

SUPPLEMENTAL VIDEO CONTENT ON THIS TOPIC:
Pre-inspection: benefits for sellers! – YouTube

Inspection Perfection

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

An experienced agent is going to be able to tell exactly how serious a buyer is by asking just one question: Are you preapproved? I often hear this response from buyers, “I’ll get preapproved if I like the house.”

My team & I just did a Facebook live on this very subject. If you’re on Facebook – check out Real Estate – Here & Happy to Help to hear about my team talking on the subject of preapprovals on February 22, 2023 or you can go to: https://fb.watch/jyIXE2DpJo/

Of all the calls we get to see a home, 80% of these prospective buyers either can’t get preapproved at all or can’t get preapproved for enough, to get the home they’re asking about. 80%, 8 out of 10 calls are buyers who can’t afford to buy.

This piece of paper protects us, too. Think about it – Realtors are meeting perfect strangers in vacant properties all the time! Our job is dangerous, & this piece of paper – this preapproval – weeds out those with less honorable intentions.

So buyers…I’m going to give you the skinny with the What, so what, now what for preapprovals:

What is a preapproval?
As my teammate Karen has labeled it best – your preapproval is your shopping pass. It is proof that you’ve had a very brief conversation with a lender, & they have deemed you a viable buyer. With this preapproval, my team & I know not only what your buying power is but the type of loan that you’re qualified for – equally important.

When you get preapproved – Any good lender will take a peek at your credit, your income & your assets those 3 things – credit, income & assets – to determine not only your buying power but which loan program would be best. A lender’s responsiveness NOW – during this preapproval process – is an indication as to how responsive they’ll be throughout the entire home-buying process. If you’re working with a lender & are waiting days or weeks for a preapproval letter – you need to find a different lender.

A good lender will be able to think outside of the box & really come up with a great scenario to help you move forward.

That’s the “What” of a preapproval – SO What does that mean?

So What
As I mentioned, the preapproval tells me 2 things:

1. First off & most obviously, we need to know the AMOUNT of the loan
2. It also tells us the TYPE of loan that works for you.

There are certain loans that are location specific.
There are certain loans in which the condition of the home is going to be more important.

If I know that you’re a buyer preapproved with a USDA loan, & you’d like to see a $36,000 property in New Castle. That’s not going to work. I need to educate you on the areas & price range that we need to focus on for your loan type.

I do not want to tempt you by showing you $400,000 homes when you can only buy up to $150,000. Once you see a modern kitchen with stainless appliances & granite countertops and a refrigerator that orders your groceries & paints your toenails, you’re going to terribly disappointed when you find out you can’t afford it, & we walk into a house you CAN afford with avocado-colored appliances & four generations of wallpaper.

It’s not fair to you or the seller opening their home to you. Many times sellers spend hours cleaning up their home for a showing, relocating the pets, postponing the baby’s bedtime, they’re hanging out in the car with screaming kids to give you your privacy.

– What is a preapproval letter: it’s your shopping pass

– So what does it do:
1. It shows us you’re actually interested in buying a house & not a criminal looking for an easy target
2. It validates your price range
3. It tells us what homes will work for your loan type

Now What
You’re ready to house-hunt which means that you need to be preapproved. Not all lenders are created equal.

You’re going to get a mortgage maybe a handful of times in your life. Realtors work with lenders on a daily basis. We know which ones are good & responsive. We know which ones are MIA when crunch time hits. Your realtor will be able to guide you.

A good lender is local. A good lender is accessible. A good lender will give you their cell phone number. A good lender is available at 11 pm on a Saturday when you’re competing with another buyer to get your dream home & you need to run numbers.

Steve Janoski at GRA (cell: 724-612-0561) is my personal go-to for when I purchased my most recent home & when I refinanced. We have a lot of mutual clients, & his preapproval letters are as good as gold.

Lenders to avoid would be online lenders & out of state lenders. Online lenders & out of state lenders.  Online lenders aren’t giving you their cell numbers. Online lenders cannot be reached at crunch time. Out-of-state lenders often aren’t familiar with the specific & local taxes & practices in our area. In my experience, if you’re working with an out of state lender – that’s when you’re going to get those last-minute closing cost surprises. That’s when the numbers that you are working with at the beginning of your transaction become drastically different than the numbers we end up with when you’re at the closing table. I hate real estate surprises just as much as my buyers do. We can help to avoid that by working with local lenders.

Those 2 things should be a red flag for your realtor but ALSO a red flag for the sellers who are considering your offer.

SUPPLEMENTAL VIDEO CONTENT ON THIS TOPIC:
Why Get Preapproved

2 Types of Lenders to Stay Away From! – YouTube

Your Lender’s Reputation – YouTube

The difference between a BANK & a LENDER – YouTube

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

This is the term that you’re looking for when you want a value on your home. The appraisal report comes from an impartial 3^rd party.

I just took an appraisal course for my broker’s license, & I do not envy the job of an appraiser nor do I pretend to fully understand all that goes into a complete appraisal. Please know that it goes well beyond looking up other recently-sold homes.

When a Realtor provides you with a pricing analysis of your home – this is NOT an appraisal. If you called me & say, “Hey, Katina… can you pop over to my house & give me an appraisal or an idea of what it’s worth?”  If you ask for an “appraisal” – that’s my trigger to explain some key differences:

• Realtors & appraisers are 2 different people with 2 different jobs.
• I provide a pricing analysis for free for my potential sellers. Appraisals are not free.

There are 3 basic reasons an appraisal would be ordered for a property:

1. The seller needs an official valuation of their property. They just may be curious, they may be settling a divorce or an estate, they may be using their home as some sort of collateral, they may be trying to figure out how much equity they have in the home to borrow against. A seller can order & pay for an appraisal whenever they would like, & it’s likely a few to several hundred dollars for an appraisal report.

2. The buyer is getting a mortgage, & the lender wants to make sure that the home is worth at least what they are loaning on it. In this instance, the words “impartial 3^rd party” are key. The buyer, even though they are paying for it, doesn’t have control over who the appraiser is. The seller doesn’t have control over picking the appraiser. Neither of the Realtors can weigh in on this decision. The bank or lender can’t pick them either. The lender orders the appraisal by some magical system that procures anonymity & random selection. The appraiser goes to the property & provides a report about 10 business days later with the valuation. If the appraised value meets or exceeds the agreed-upon sales price of that home – you’re good to go!
3. A buyer can get an appraisal on a property even if they’re paying cash. They can include an appraisal contingency into their offer saying “Hey, I’m willing to pay $X cash for this home SO LONG AS an appraiser validates this value. The buyer then hires an appraiser to provide the report. Even though the buyer selects the appraiser, the appraiser is still acting as a neutral party to come up with an objective value.Sellers:
   Sometimes, sellers want to get an appraisal on their home before listing it to confirm their asking price. Please know that this appraisal is only good for your information at that very moment. The appraisal that the seller pays for will not be counted as the one the bank/lender takes into consideration when confirming the loan value.

   Even if you pay for an appraisal & the value comes in at $300,000, for example. Once you have a buyer, their lender is going to require their own separate appraisal that is geared for that buyer’s loan type. If that appraisal comes in at a value of $290,000… then there’s a $10,000 discrepancy on the value that needs to be ironed out. This is where an experienced Realtor can help explain your options & the best way forward.

   Buyers:
   Just like many people confuse the words assessment & appraisal, just as many buyers confuse the goal of an appraisal with the goal of an inspection. Those are very different as well. There’s been more than one occasion when I’m writing up an offer for my buyers.

   I start to explain their inspection options, “You can get a home inspection which is about $400…” & the buyer interrupts me: “Oh, Katina – we don’t need an inspection… the bank will send out an appraiser.”

Big red flag! I halt everything & go into a deep dive of the difference. An appraiser may (Key word: MAY) flag some concerning structural items if these conditions affect the value of the home, but the goal of an appraiser is to come up with a VALUE, not CONDITION.

SUPPLEMENTAL VIDEO CONTENT ON THIS TOPIC:
Assessment vs. Appraisal

I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com

As a Realtor, I could write a book about all of the craziness I’ve seen in this business. Let me tell you about a little house that that still has me scratching my head.

A few years ago, on a usually warm spring day, I pull up to a quaint ranch home in a perfectly tucked neighborhood just outside of Monaca. I arrived a few minutes before my appointment, & admired the adorable English-garden feel of the front flowerbeds as I worked my way up to the door. The lockbox in which the door was hung lead into a sunroom adorned with wicker furniture & floral-printed cushions. A floppy, overbrimmed sunhat had been precariously hung on the back of a thatched chair.

Before my client arrived, I zipped through the home getting my bearings & flicking on the lights. As I pulled open the curtains, streams of late-afternoon sun highlighted the brightly colored walls of each room.

The kitchen- a bright sunflower yellow. Fiesta wear & a collection of tea kettles – never meant for an open flame.

The living room – lavender – overwhelming yet pale at the same time. White distressed miniature tables tucked in the corners. Floral prints framed & perfectly placed in line with white door trim.

The master bedroom – periwinkle on each wall as well as the ceiling. A matching blue bedspread peppered with petite white flowers.

My client arrived, & even she, too, commented that it was as if each corner of each room was staged by a team of English-accented, tea-drinking grannies.

We work our way down to the basement where we see a throng of floral wreathes – rows upon rows – so many that each exterior door could have been decorated with a different one each month without repetition.

They were, however, hanging on a pegboard wall, & on that wall was a little tiny knob. Upon closer inspection, that tiny knob seemed to open a not-so-tiny door. My client was reading the label on the hot water tank, I called her over, “Laura, there must be extra storage space behind here!” Being ever so careful not to disturb the collection of floral garlands, I turned the knob & tugged the door open a bit. There wasn’t enough light in the basement to spare for this secretive space. I tugged the door a big more, reached for my phone & shone the light inside.

What I expected was a collection of teddy bears or plastic totes of quilting scraps or anything else that matched the grandma-esque cottagey vibe. But what I saw was not any of those things. What I saw through the crack of light was a large tree stump – one from a tree that could have been 100 years old. It was flat, stable & came up about knee high. & there right in the middle of this stump, pitched at a 45-degree angle was the handle of a full-sized ax that was driven right into the center.

What the heck?! Why did this granny cottage have a hidden room in the basement?! Why did this hidden room look like it was made for beheading chickens or dismembering bodies?

Needless to say… the death room wasn’t mentioned in the property description.

If you ever need help selling an English cottage with a beheading room – I’m Always Here & Happy to Help!

Katina Hunter

Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com
www.HereAndHappyToHelp.com