You finally found that perfect home. You have spent months searching the internet and your Realtor has shown you so many homes that you can’t remember one from another.
You knew the minute you walked in the front door that this is the one. The floor plan is perfect and the kitchen is exactly what you want. Stainless steel appliances, maple cabinets and your favorite color of granite counter tops. You want to make an offer so your Realtor calls the seller’s agent to find out if this home is still available. Oh No, there are 4 other offers but the seller has not accepted anything yet. What should you do? The asking price is really low, even for a bank foreclosure. None of the other homes that you looked at in this price range even come close. Maybe that’s why there are 4 offers. Here is a list of things that I have learned over the years that have gotten many offers accepted.
• Don’t get greedy! This is the number one deal killer. The offer should be a win for the seller as well as the buyer.
• Bank foreclosed homes are usually listed at close to the bank’s bottom line. Don’t offer a low ball price. If you do not think the home is worth the asking price then move on and look for something else.
• Don’t ask the seller to make repairs if the home is being sold “As Is”. You will have a due-diligence period if your offer is accepted to check for costs to repair.
• Put your best foot forward. If your credit is great and you are putting down 50% your offer may carry more weight than one with a higher offering price.
• Agree to use the seller’s Title Company. This may not seem important but it is.
• Present a full approval letter with your offer. Use a local lender if possible.
• Do not ask for a long escrow period. The sooner you can close the better.

I hope these tips will help. The object of all this is to get the home, not find out what the seller is not willing to take. Your offer needs to be realistic. The banks are already taking a big loss on these foreclosures. Time is running out. This is your window of opportunity.

Las Vegas leads the nation in bank owned foreclosures and for good reason. For many years, Las Vegas has been the fastest growing city in the nation. Investors have been buying homes here for years and when the economy went into the cellar, many walked away from homes that are now worth about half of what they were purchased for. Las Vegas Homes are considered to be one of the best values in the country and with the interest rates at record lows, the timing is perfect. This is a list of very common mistakes that buyers make when trying to purchase a home here. You probably have heard the expression “nothing worthwhile comes easy”. The Las Vegas real estate market is a good example.

• Unrealistic view of the availability of bank owned homes
Many of the clients we work with are under the impression that there are 1,000’s of properties that they will be able to choose from. When you narrow your search down to a price range and plug in all the amenities that you want, along with the area of town that you like, the choices are less than expected.

• The homes in Las Vegas are not selling so I’ll make low offers
The nicer homes in Las Vegas are selling and the really nice ones are getting multiple offers. About 50% of the offers are cash offers. Bank owned foreclosures continue to drive the market and are about 75% of the current sales.

• Don’t understand how to negotiate with the banks to get an offer accepted
You really do need help and should do your homework so you really know the value of the home. Just because a home is listed at a certain price, does not mean that is the value. Many of the foreclosures sell for more than the asking price and are well worth it.

• Get discouraged and give up when they make several offers and don’t get anything
Be patient and good things come to those that wait. Most of our clients do make several offers before they get the one they want. If it’s not meant to be, it’s not meant to be.

• Only look at the numbers and not the total picture
You have heard this many times, it’s all about location. Las Vegas is no exception. The city is very spread out and prices vary a lot. Spend some time researching the area you like. Go to the local shopping centers and restaurants and get a realistic feel.
Have fun, Las Vegas has a lot to offer.

About 75% of the Buyers that we are representing are homeowners and not investors. They are looking at their home purchase as a long term commitment and not a quick turn investment. This is a great time to be in the market for a home. Bank Owned Foreclosures will continue to lead the market in sales for some time to come. Keep an open mind and realize that many of these homes will need repairs. Many are missing appliances and fixtures. Here is a list of things for you to consider when shopping for one of these bargains.

• Make a detailed list of all items that need to be replaced or repaired.
• Go to Lowe’s or Home Depot and find out how much it will cost.
• Have your Realtor include a one year home warranty and have the seller pay for it.
• You will have a due-diligence period to inspect the home. Use it wisely and get a home inspection.
• Many of the Bank Owned Homes that are in good condition are getting multiple offers. Be realistic and reasonable if you want your offer to be accepted.
• Most of the Banks sell these homes “As Is”. Your offer could get rejected if you ask them to make repairs.
• Ask for a short close of escrow period. The bank will like you.
• Get Pre-Approved for a loan, not Pre-Qualified.
• Read all the home owners documents over during the due-diligence period.
• Stay in your comfort zone. (price range).
• Remember, when you make an offer on a property, it should be a win-win for all parties or as my dad used to say, “ take some and leave some”.

If you are interested in taking advantage of one of the many true bargains in the Las Vegas real estate market, the time is now. June has always been one of the busiest months in Real Estate for the Las Vegas area and when you combine this with the current economy, it’s the perfect time to buy. We specialize in representing Buyers and pride ourselves on getting our clients offers accepted. The vast majority of our sales at this time are Bank Owned Foreclosures. We take each home on an individual basis and negotiate the lowest possible sales price. This does not mean that every home in Las Vegas is going to sell for a set price per square foot. Location or Area is key, as in any city, and homes in the more upscale communities are more expensive. Most of our clients tell us that the price is not there only concern. If they have children, schools are a major consideration. The convenience of living close to work is also at the top of the list. Many of Our clients tell us that they are looking for a home that blends with their lifestyle and is more than just an investment. If you would like a free list of all the current Las Vegas Foreclosures that meet your criteria, email us at deserthomes1@cox.net.
We will do your homework and make this a profitable experience.

You finally found the home that you really like. It is in the right school district for the kids and within 5 minutes from work. The back yard is perfect for your two dogs and room to ad that pool that you have always dreamed about. After three days of negotiating, your offer is accepted and escrow will be opened tomorrow. How can you, as the buyer, be certain that this home is structurally sound and in good mechanical condition? Most Real Estate Contracts in Nevada have a due diligence period. 10 days due diligence is very common. This means that the seller is agreeing to let the buyer check the property out and if there are problems, the buyer can cancel the contract and get all earnest money returned. What are some of the most important things to look for in an inspection?

• Condition of the foundation. Any major cracks or shifting
• Roof structural condition. Any signs of water damage or mold.
• The air- conditioner and heating units. Do they cool or heat to the right temp?
• Condition of the plumbing. Any signs of resent repairs or water damage.
• If you have a pool, get a licensed pool inspector to check for leaks and repairs.
• All mechanical items, dishwasher, washer-dryer, microwave, stove, etc.

Make sure that the home inspector gives you a detailed report in writing that explains any problems or items that need to be repaired. Most inspectors will provide pictures of items that you can email the seller. It is very common for the buyer to ask the seller to make repairs needed before the close of escrow. If the repairs are minor, the seller should be happy to agree. These inspections are not free and it is the responsibility of the buyer to complete them in a timely manner. A normal inspection will run about 350.00 but well worth the piece of mind that your investment is in good shape.

As I’m sure most of you know right now, the market is turning around in Las Vegas. The phone is starting to ring again and our clients that have been just looking are writing offers. Bank owned foreclosures are continuing to dominate the market and are about 90% of our sales. We are seeing a great deal of activity in the market below 300k. Homes that sold for 450k to 475k are now under 300 and buyers are snapping them up. We reported to you last month that we saw an increase in activity in this market but this month is even stronger. Buyers know that supply and demand will drive the prices up and multiple offers are common place on the better properties. There was an article in the Review Journal news paper last week that said if you want to buy a bank owned foreclosure, plan on offering 10 to 20k above asking price. Although they are correct in many cases, we advise our clients to take each property on an individual basis. I showed a property today in Summerlin that you can use as an example. My clients met me at 5pm at the home and there were 4 other agents with clients touring it. This home is listed at 215,900, bank owned and in great shape. All the appliances are in place, 2,000 sq.ft, single story with a pool and spa. This home has been on the market 4 days and it has multiple offers already. My guess is that this home will sell in the 235,000 range and will be a great buy for someone. We advise our clients to look at the total picture and not just the asking price. Our clients did not want to go over 220,000 so they decided to keep looking. I think it’s a good idea to set a limit and not go over it. Here are some other things to consider in your search.

• If the property has been on the market for several months and there are no offers, offer less than the asking price.
• Bank owned foreclosures set their asking price low to compete in a 30 days to sell it scenario.
• The majority of the foreclosures will need repairs and appliances. Do your homework on costs.
• Area is everything. Homes in popular upscale areas will sell for more and have more offers.
• BPO’s are done to set the asking price. Find out what they are and how they arrive at the price.
• You make the final decision. If you get out bid, don’t get discouraged, find another property.

Foreclosures are by far the most requested properties that our buyers want to see in this current market. These bank owned properties can be real steals as long as you educate yourself and realize that a low price is good but should not be your only concern. I’m sure you have all heard that “you get what you pay for”. If there are several bank owned homes in an area that you are looking in, go through all of them. Many of these will need major repairs and many won’t. You may actually get a better deal on a home that is priced a little higher but has all the major appliances and is in “move in” condition. Not everyone wants to spend the time and money to fix up a home. Take your time and look at all your options before you decide on the best value for your money. As I have said many times in the past, your timing could not be any better. If you are planning to take advantage of the first time home buyer incentive (8,000.00), your home should be in escrow before the end of October. You may need up to 60 days to close your escrow and this program ends December 30. Here are the things to consider when buying a foreclosure.

1. Do the comparable sales in the area justify the price you are willing to pay? If the home is priced much lower than the comparables and there are several other offers, this home probably will sell for more than asking price.
2. Are you willing to buy the property “ As is” ? You will have to sign a disclosure that you give up all your rights and accept the home in its current condition. You will have a due-diligence period and we highly recommend that you have a home inspector check the condition of the property.
3. Are you willing to keep the property 3 to 5 years? Most experts agree that the market will take at least this long to recover.
4. If the property is damaged or in need of repair, can you do the work yourself? If you can, you will save money and have control of the project. If you need to hire a contractor, your costs will go up dramatically.
5. Will the property appraise for the type of loan you can afford? If you want an FHA loan, the flooring will need to be completed as well as all appliances installed. Conventional loans will be an option but will require 20% down compared to 3.5% for FHA.

The main purpose of our Real Estate Blog is to share relevant information with the reader that hopefully will help them in their search for a great bargain. Why else would you be spending your valuable time reading this unless you felt you could learn something that would help you down the road. I will do my best to share some of the more important things that I feel will put you in the right position to get the right property. In my opinion, it is not enough to research all the best buys, have your agent do all the comparable sales, and arrive at the price you want to offer, only to find out a week later that your offer was rejected. Not only was your offer rejected, the property was sold to a buyer that made an offer two days after you did and for less money than what you offered. How can that happen? It happens daily in this market mainly because the offers that look the best to the seller are the ones that get accepted. The best offers are usually the highest sales price but not always. If the property is bank owned and you are asking the bank to do any type of repairs, this is can be a deal killer. If you ask for an escrow period longer than 30 days or ask the seller to pay for appraisals or home warranties, the seller most likely will not take you serious. The key words in purchasing bank owned properties are “as is”. These sellers are already losing a lot of money on these homes and want the least amount of liability possible. Here is a list of 8 things that I have found to be important that will help you get the property you want.

1. Find out if there are other offers on this property before you have your agent write your offer. If there are multiple offers, the seller is required to disclose this information.
2. If there are multiple offers, and you feel this property is a great buy, then make your highest and best offer first. This does not mean you should get into a bidding war. Set a limit that you are willing to spend on a property and stick to it.
3. Many of the best bargains sell for more than the asking price. Don’t think that if you pay more than asking price, you are paying too much. Find out the true value which in many cases has nothing to do with the asking price.
4. If the property you want is in need of major repair, get a professional to give you an estimate before you make an offer. Your real estate agent should be able to arrange this or point you in the right direction.
5. If the property has mold or water damage, get an expert to evaluate the actual condition. In many cases, mold or mildew can be cleaned up easily.
6. Be patient; don’t fall in love with a particular property and wind up overpaying. There are a lot of “fish in the sea”.
7. Don’t get greedy; put yourself in the seller’s shoes and make your offer a win-win for all concerned. Remember, the best overall offer will be the one that gets accepted.

Current market conditions are really what everyone is interested in. Statistics say that 50% of the buyers that are ready to buy a home now are waiting to see if the market will drop more. We have seen a lot of positive signs that this market is turning around quickly. Sales in Clark County have increased by 70 % since this time last year. As we have mentioned in our blog over the last few months, if you are serious about buying a home, now more than ever, is the time to buy. Prices are remaining stable but the inventory is selling faster and we are seeing multiple offers.
The really good deals seem to be selling for more than the asking price. The best advice we can give our buyers is to look at the total picture, not just the price. Many of the banks that own these foreclosures are listing their properties extra low to create a type of bidding war. As buyers, you need to be aware of this practice and act accordingly. Pick your price range and area of town you prefer and ask your agent to show you all the homes that meet your criteria. As you start to go through these homes, you will find some that stand out and look like better buys. Narrow you search down to several of the “better buys”. Give yourself more than one option in case you get out bid when you make an offer. Keep a positive attitude and understand that you are not the only one looking for a bargain. Here are a few tips that we hope will make this process less painful.

• A low sales price is not your only concern. Area of town, condition, and age are key.
• If the appliances are missing, do research on cost to replace. We will help you.
• Paint and carpet are an easy fix. Take measurements and check prices.
• If you are a “do it yourselfer”, you can save a lot of money.
• Schools are important to most buyers with children. Research the areas noted for good schools.
• If you are buying this home as an investment and are going to rent it out, make sure the area is noted to rent well.
• An FHA loan may be your best bet. Find out if this home will qualify.
• Remember, the seller will take the highest offer. Offer your highest and best if you really like the property.

Sales are up again for June with 4,762 properties sold. This is a good sign that our market is in the first stages of the recovery. The buyers that have been sitting on the fence for the past year are starting to come out of the woodwork. If you are in the market for a home, your timing could not get much better. The prices continue to set record lows but I will tell you that the better properties are getting multiple offers. Multiple offers on properties will start the process of price increases. Supply and demand have always been a major factor that increases prices. Multiple offers mean that demand for the better properties is high and many of our buyers are offering more than the asking price. Don’t let this discourage you or make you think that if you pay more than the asking price, you are paying too much. The prices are ridiculously low and a lot of the homes on the market are selling for less than half of what people paid for them. Let your agent do the homework before you decide what to offer. Many of the bank owned foreclosures are listed at a lower than usual price to generate interest. The banks know full well that the home is worth more and are counting on buyers bidding up the price. This strategy seems to be working well and will be something that you need to be aware of if you are going to buy in this market. Here are a few other things to consider in your search for the perfect bargain.

• Bank foreclosures are “As Is” so be cautious.
• Get a good home inspector to completely check the structure. This is done during the due-diligence period.
• Just because the home has a low price doesn’t mean that it is a good deal.
• Get a pre-approval letter before you even start looking. You can’t make an offer without one.
• Get an agent that is willing to show you all the homes in your price range and criteria.
• Stay in the price range that your loan officer recommends. Don’t get “ house poor”.
• Have fun and don’t get greedy. Things could be worse, you could have bought 3 years ago.