Category: Orlando Realtors

Orlando Realtor Explains The Kick-Out Clause

Posted on by Jenny Zamora

Orlando Realtors are highly aware that no homeowner likes to sign a contract that’s contingent on a potential buyer selling their primary residence. Most homeowners won’t be approved by any lender to purchase a new home without first selling the one that they live in anyway.

Many people that are planning a move like to know where they’re going to live before they put their own residence up for sale. This can be tricky because no homeowner in their right mind will want to take their home off the market to wait and see if the interested buyer is able to sell their home first.

Enter the “kick-out” clause

A “kick-out” clause is a contingency that allows a buyer to terminate the contract if they aren’t able to sell their primary residence first. This contingency also entitles them to get their deposit fully refunded. However, the “kick-out clause also benefits the seller.

Sellers don’t want to take their homes off the market only to be stuck waiting around for a buyer that may or may not close. It’s because of this reason that under the “kick-out” clause, sellers are allowed to continue marketing their property for sale while the potential buyer tries to sell his or her primary residence.

contracts

The “kick-out” clause from the seller’s side allows the seller to continue marketing the property and if another qualified buyer steps up, the sellers are required to give the original buyers a certain period of time [usually 3 days] to either remove the contingency [proceed with the contract] or they must withdraw themselves from the contract.
Read the fine print

Even if the potential buyers are faced with the three-day kick-out period and decide to proceed with the contract anyway, they may still be able to get out of it because they can’t get financing for the purchase. Most all standard contracts include a contingency that allows the buyer to terminate the contract if they can’t get a loan to purchase the home.

This can get kind of messy for both buyer and seller. Even if the buyer removes the sale contingency and wants to proceed with the purchase, it’s highly unlikely that a lender will approve a home loan until their primary home gets sold first. In a sense, the seller gets the short end of the stick because the potential buyer can still walk and keep their deposit and everything has been a waste of time.

Sellers Beware!

If a seller finds themselves in a situation like this they should include some very specific language to protect themselves. Something if the buyers are presented with the 3-day kick-out period and wish to delete the contingency and proceed with the original contract, they must demonstrate to the sellers [to the satisfaction of the sellers] that they are able to qualify for the loan. In most cases, the buyers don’t have the funds to proceed with the purchase.

Fair to Buyers and Sellers

If you look at it from the buyer’s point of view this agreement is fair as long as the seller doesn’t abuse it, like by using the agreement to get out of the contract because they received a higher offer from a third party.

For sellers, it’s also a fair agreement because even though they have a signed contract, they can continue to market the house. They even have the right to take back up contracts when offered. Sellers should make sure that their real estate agent continues to go full speed on the marketing of the property even after you’ve signed the first contract.

If you need help buying or selling a home in Orlando call us today at 407.902.7750

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Orlando Resale Homes Compete With New Homes

Posted on by Jenny Zamora

When putting your Orlando home on the market, be sure to research your competition to establish an accurate listing price. Some homeowners are discovering that even if they have a relatively “newer” home, the brand new homes in the area are creating some serious unwanted competition for their pre-owned homes.

The Pointe in Hunters Creek is a perfect example of this. While all the other homes located in Hunters Creek are not exactly old, they are having to compete with brand new homes that haven’t even been built yet. Not only that but with a new home, buyers can choose the model, layout, colors, etc. which is a huge bonus because homeowners won’t have to do a single thing once they move in, except go grocery shopping.

Homeowners in Hunters Creek that were planning to sell and move away are now having to lower their listing price in some cases in order to sell. Sellers that find themselves in this situation would be wise to research what’s going on around them with new homes as well as resale homes before determining a listing price.

It’s just human nature that someone would prefer to live in a brand new home over one that’s been previously lived in. If you had a choice of buying a used car or a brand new car of the same model for exactly the same price, which would you choose? [oooh… and that new car smell!] It’s a no-brainer!

If you find yourself in a situation where you’re competing with newer homes check these tips to help you maximize your possibilities of selling for the highest amount.

Go do a walk of one of the new home models. I should warn you that when you walk through a new home to compare it to your own home, you will either get depressed or motivated. You’ll find that everything looks and smells brand new and the decoration of the home is exquisite. Now go home and see what you can do to make your house look and feel “brand new”. Initially, you may feel overwhelmed and not know where to start,… just relax and keep reading.

Begin by cleaning and de-cluttering. I’ve found that less is more when you want to make a house feel bigger. Next, you should paint the interior, and keep it simple and elegant. I recommend off-white on the walls and bright white on the trim, stay away from dark colors. Finally, change out your floors if needed or shampoo them at the very least. By providing a clean slate, you can allow potential buyers to visualize the house and how they would decorate it.

Find out what incentives the builder is offering. Is the builder offering custom paint choices or a free deck? Now, I don’t recommend offering to paint the house with their custom colors or build them a deck, but you might consider offering a $3,000 allowance for decorating. It’s just another option in lieu of just dropping the price outright.

Don’t blame your Orlando real estate agent!

Think of the Orlando real estate market like any other market. The agents don’t control the price of the homes, the sellers and the buyers do. Even though your home might be the nicest one on the whole block because of all your time and effort, it doesn’t necessarily mean that you’ll see a return on that investment. A house is only worth what a buyer is willing to pay for it. Regardless of upgrades and amenities.

Maximize your curb appeal. See what you can do to make the front of your house look the best that it can. Sometimes it’s just a matter of cutting the grass, trimming the trees, and adding a few flowers with fresh mulch. Many buyers won’t even go in the house if they don’t like the way it looks from the outside.

Give the buyers what they want. Buyers are expecting that clean, new and fresh feeling when they walk in, not the lived-in feeling. If your goal is to sell your Orlando home for the highest price, give the people what they want!

For more helpful advice on how to compete with new homes when you’re selling your home, visit us at https://orlandorealtyconsultants.com/sellers/  or call 407.902.7750 to speak with an Orlando listing specialist.

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You Sold Your Orlando Home, Now What?

Posted on by Jenny Zamora

Congratulations! After months of having strangers walk through your home with your Orlando listing agent, you finally got the offer that you wanted and the closing went off without a hitch. No, it’s just a matter of handing over the keys to the new owner and turning the page on this chapter of your life…or is it? Hold your horses for a minute. There are some things you need to do to avoid any potential problems that may arise from the sale of your house down the line.

1-   Make copies of ALL the paperwork that was related to the closing, especially the docs that you signed. You may be tempted to toss this stuff in the trash to avoid more clutter, don’t do it! Not yet anyway… Once tax season comes around, your accountant will need these papers to document the expenses as well the proceeds of the sale. Even after tax time, you should save these docs somewhere just in case you get audited.

2- If your property was sold via short sale, hopefully, your Orlando short sale realtor was able to get any deficiencies waved and even get you some money back from the bank for relocation costs. Either way, it went down, keep records of these papers as well.

3- Keep a record of improvements and repairs that you’ve made to your home. If you did the work yourself, don’t forget to add the cost of your time. No one is expected to work for free, not even in their own home. The IRS will allow you to factor in what you’ve spent on your home however, you need to supply the receipts on everything you’ve spent on the home in order to use this tax provision.

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4- Keep up with local tax laws. Tax laws are always changing and if you’re aware of them, you can avoid losing money. Recently, a new tax law passed that allows you to….never mind, it just changed. You get the point.

5- Take your time in buying your next home. Depending on what your situation is you should take your time in finding your next home. Make sure that the home and the location that you choose, meet your family’s needs. Many people choose to rent for a few months so that they don’t feel pressured into buying. This also allows them to see if the area they choose is everything they need it to be.

6- Keep your current financial situation in mind. Are you able to downsize? Is there a baby on the way? Did you get a promotion? Did you get a divorce? Be realistic with your situation, selling a home is an opportunity for a new beginning. Don’t start off by buying a house that will be constantly struggling to afford.

7- Think about the Realtor you will hire. Your Orlando listing agent did a great job in getting your house sold. That doesn’t mean that you should hire the same realtor to help you buy, especially if you’re looking to buy in a different area. The best real estate agents specialize in a specific niche or area of the industry.

Real estate agents like myself are listing agents in Orlando. We specialize in getting the highest dollar amount for Orlando homes in the shortest amount of time. Orlando short sale specialists, however, specialize in doing short sales and know everything there is to know about short sales. They also have to stay on top of the latest changes when it comes to the short sale industry. Finally, there are buyer agents. These agents specialize in finding the right home for potential home buyers. Their job is to find you a home based on the criteria that you give them.

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TOR 010: How To Interview A Realtor To Sell Your Orlando Home

Posted on by Jenny Zamora

In today’s episode of the TOP ORLANDO REALTORS podcast, I’ll be going over some tips on how to interview a listing agent when you need to sell a house.

You’ve finally made the decision to sell your Orlando home and you’re ready to hire a realtor,… Now it gets real.

Hiring the right realtor is a crucial step when listing your house for sale. Hiring the wrong agent can turn your home selling experience into a nightmare

With over 8,000 active real estate agents in Orlando and picking a good one can be a task all by itself.

  • When interviewing an agent, you have to ask the right questions
  • Are they part-time realtors?
  • How many homes have they sold in the past 6 months?
  • What’s your marketing plan to sell my Orlando home for top dollar?
  • Do you have any references?

These are just a few questions that you should ask the agent you’re about to hire. Hit play on the MP3 player above to hear everything you need to know about how to interview a real estate agent.

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Orlando Home Buyers Get A Head Start

Posted on by Jenny Zamora

Summertime is the busiest season of the year when it comes to buying and selling Orlando real estate with Spring coming in at a close 2nd place. Most families prefer to move when their kids are on Summer break so they don’t interrupt the school year. Real estate savvy homeowners that want to sell, will usually wait until the end of Spring before putting their home on the market. They know those homebuyers will be out in large numbers scrambling to try and get their families moved into a new home before the school year starts.

Buyers’ competition can get pretty fierce once the Summer has begun but there are a few steps you can take to avoid the home buyers rush.

  • Get your financing in order. It’s important that you are pre-approved for a loan before you go house hunting. This way you’ll know exactly how much you can afford to pay for a house. It also shows sellers that you’re serious about buying.
  • Hire an experienced Orlando real estate agent before summer arrives. Interview two or three buyer agents and once you choose one inform him or her exactly what you’re looking for.
  • Be ready to pull the trigger. Your Realtor should be showing you listings as soon as they hit the market. Don’t wait! if it looks appealing to you, go see it and bring a contract with you just in case.
  • Don’t sweat the small stuff. If you hate the layout or the location, you should probably keep looking but if you’re turned off by the ugly carpets and tacky paint job, don’t be! Painting and replacing carpet is relatively cheap to do so just try to imagine the house as it would look using your colors.
  • Let your Orlando Realtor do their job and listen to their advice when it comes to how much you should offer on a house, especially in a seller’s market. Don’t risk losing the house of your dreams because you tried to get an allowance to change the carpets. You’ll regret it!

Getting started early and avoiding the rush is key to giving yourself the best chance at finding the right house for you and your family. If you’re looking to buy a house in Orlando, be sure to use our FREE Home search tool and with just a few clicks, you’ll be searching the MLS just like a pro from your own home.

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