Tag: orlando realtor

Choosing an Orlando Realtor, Technology Vs. Experience

Posted on by Jenny Zamora

Choosing an Orlando Realtor

The younger generation is all about using the latest technology available to communicate socially as well as promote their career no matter what profession they are in. Young Orlando real estate agents especially rely on using the latest technology thinking that this will give them some kind of edge over more experienced Orlando Realtors. This couldn’t be further from the truth. I think it’s better to have a balance of both the old and new school way of doing things. But if I had to pick one way or another, I would go old school strictly because more experienced agents are just that…more experienced.

 

There’s just no substitute for good old-fashioned “been there, done that” experience. It’s kind of like the soldier that’s worked his way up the ranks through being on the battlefield as opposed to another soldier with the same rank spending all of his time inside of a classroom. Which one would you rather have at your side in a real situation? I don’t know about you, but I will pick the battle-tested soldier every time!

 

Lately, I see newer real estate agents that are really skilled at using the latest technology but they lack the basics of what it really means to be a really good real estate agent. I’m talking about what to do when you’re face to face with a seller or buyer on an appointment. Learning how to do a good old fashion presentation of what services they can offer as a real estate agent and not just how many real estate apps you have on your smartphone or how many likes you have on your Facebook Fan Page. At the end of the day, those aren’t the most important things that will enable someone to become a quality real estate agent.

I’m always hearing about RE offices having training courses where newer agents that are tech-savvy teach older agents about technology. I think this is a great idea for older agents that want to get up to speed on the latest real estate tools and technology. However, I think it would also be beneficial to have the more experienced agents teach newbie agents about the basics. I would even go so far as to not allow any i phones or computers of any kind during the training to really get the point across that it’s not all about technology. Why not have new agents go out on a ride-along with the more experienced agents, then discuss what could’ve been done differently to make it a more successful appointment.

 

The Best Option is Hiring an Experienced Orlando Realtor That is Also Tech-Savvy

I’ve been an Orlando real estate agent since 2005, and when this whole wave of new technology hit the real estate profession, I learned very quickly that I would need to keep up with it or it would hurt my business. In our brokerage “Orlando Realty Consultants” technology is absolutely essential because of the number of clients that we have. We have systems in place to help us streamline our business as well as keep things organized and running smoothly.

Real estate buyers and sellers these days are very demanding and they have every right to be.  After all, buying or selling a house is one of the most important transactions that will occur in someone’s lifetime. The real estate software that we use in our company enables us to communicate often and easily with our clients keeping them in the loop with almost daily updates of what’s happening with their house. We also have a tool on our website that makes it extremely easy for buyers to search out homes that are for sale throughout the state of Florida from the comfort of their own homes…Just like a pro!

 

So I think that when you’re looking for a real estate to handle your home buying or selling needs, try to find one that is not only experienced but is also familiar with the technology. By doing this, you will have the best of what both worlds have to offer to make your experience far more pleasant while striving to achieve your real estate goals.

 

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Cash Incentives for Short Sales Continue

Posted on by Jenny Zamora

 Cash Incentives for Short Sales

It appears that new short sale guidelines that have been put into place continue to make it easier for distressed homeowners to get relocation assistance after completing the short sale on their distressed property. Mortgage companies Freddie Mac and Fannie Mae have launched a new short sale program allowing the homeowner to complete a short sale and receive cash incentives without missing any mortgage payments….It’s about time!

I don’t know why this hasn’t always been the case. I believe that as long as the homeowner can prove a valid hardship, then why force them to miss payments if they’re willing to work with the bank sooner than later. For one thing, the lender loses less money. Why would you want the homeowner to miss at least one or two payments before allowing them to start the process if they’re willing to start the process while continuing to make the payments? I think that if this were the case then there would be a lot less distressed homeowners doing a strategic default.

[HAFA] The Home Affordable Foreclosure Alternatives Program provides distressed homeowners with cash relocation incentive of $3,000.00. The problem is that the guidelines have several restrictions that many times kept distressed sellers from getting the assistance they so desperately needed.

B of A, The nation’s largest loan servicer offers the HAFA program in addition to several other in-house programs. Its most popular program is the “Cooperative Short Sale Program” which has an “Enhanced Relocation Assistance” that ranges anywhere from $2,500 to $30,000. Just this past year we were able to qualify 3 of our Orlando short sale clients for the $30,000.00 cashback at closing. Bank of America has recently launched the enhanced program on a national level. This program applies to pre-approved short sales, these are short sales that are started without there being an offer to purchase. The amount of the incentive is based on the value of the home.

 

WILL YOUR LENDER COOPERATE?

There are some who will tell you that banks would rather take a house to foreclosure or modify the loan than approve a short sale. This just isn’t true, it costs a lender a lot of time and money to take a house through the foreclosure process and at the end of the day, it’s just a numbers game.

The truth is that short sales net lenders twelve to twenty-five percent more than they would make from foreclosure because of the time and money that it takes to not only regain control over the property, but to make any repairs, market and finally resell the house. And as far as loan modifications are concerned, over half of them default within the first year then ultimately turn into short sale or foreclosure.

Lenders have finally figured this all out and that’s why they are constantly streamlining there process and continue to create enticing offers to help out distressed homeowners. By completing a short sale, a distressed homeowner can avoid going through a foreclosure and limit the damage done to their credit.

 

 

 

Realtor in Orlando, FL

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The Root of All Short Sales is a Valid Hardship

Posted on by Jenny Zamora

 

A borrower’s hardship still remains the main criterion in order for a lender to approve a short sale on a home. The simple explanation or definition of “hardship” is when someone is in “a state of affliction or misfortune” meaning that the borrower has gone or is going through something in their life whether it’s personal or financial that has affected their ability to continue paying their mortgage. There could be countless reasons that someone could be going through hardship but there always seems to be a handful that we hear about over and over again.

Working as an Orlando short sale realtor for the past 8 years, I’ve heard hardship stories that have literally brought tears to my eyes. However, listening to some of these stories has only fueled my passion for wanting to help these people that are going through a valid hardship. I also help investors that are facing foreclosure on their Orlando investment properties for whatever reason, but there’s a world of difference between losing an investment property or two or three as compared to face losing the home that you live in with your family.

Generally speaking, it’s much harder to get a short sale approved on investment property, than it is on someone’s primary residence. The truth is that some lenders are just not interested in approving a short sale on a property unless there’s a legitimate hardship at the root of it. OMG!… Does this mean that some of these loss mitigation negotiators actually have compassion for people that really need and deserve it? I’m happy to say that, yes it does. In my experience, the majority of loss mitigation reps will actually read the hardship letter and factor it into their decision of whether or not to approve a short sale.

Here are some of the main reasons why people are facing financial hardship.

1. Reduction of income

2. Loss of employment

3. Medical problems

4. Divorce

5. A death or serious injury in the family

6. Having to relocate because of employment or school.

7. Business going under

8. Drug addiction

Financial hardship alone, however, is just not enough to get a short sale approved. The biggest reason is that the home must be worth less than the full payoff of the mortgage. If not, then the home could typically be sold as a traditional listing providing that there’s enough equity to cover the closing costs of the transaction.

Here’s a basic example that can be used as a template to create a hardship letter.

Dear Lender,

I’m writing this letter to explain why I am no longer able to continue making my mortgage payments to you.

[Here is where you want to write about your personal hardship in detail]

Also, current market conditions in my area have significantly deteriorated causing my home to be worth substantially less than what is owed on my mortgage balance. As a result, I’m asking that you please consider allowing me to sell my house as a short sale.

Kindest Regards,

Distressed homeowner.

Cash Back to the Seller at Closing

Assuming that all of the other criteria of the lender are met to proceed with the short sale, the borrower may also be eligible for relocation incentives from the lender. Programs such as HAFA [Home Affordable Foreclosure Alternatives] will actually pay the seller anywhere from $3,000 to $30,000 back at the closing depending on the situation.

 

 

 

 

Orlando short sale expert

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Home Renovations That Draw the Highest Price

Posted on by Jenny Zamora

 

Investing your money into a property that you intend to resell can potentially earn you a nice profit. However, not all home improvements will guarantee you a profit. It’s crucial that you know where to invest your money so that it will increase the resale value of the home when you go to sell it. Throughout the years, I’ve rehabbed 300+ Orlando homes and through my own experiences both as an investor as well as an Orlando real estate agent,  I’ve compiled a list of home renovations which have given me the best return on my investment dollars.

 

Here are the top renovations that you can add to an investment property that will get you the highest return on your money.

The Kitchen- The kitchen is the most used room in the house and should be one of the main focal points of a re-model. Quality cabinetry, counter tops and appliances are a must in a kitchen. No home buyer will want to buy a home and have to remodel their kitchen when they move in so I suggest not cutting any corners when it comes to the kitchen. Don’t get me wrong, I don’t mean that you should get gold plated fixtures and top of the line appliances. However, you shouldn’t buy the cheapest materials either. Try to stay somewhere in the middle price range. I like to go to the large hardware chains and see what’s on clearance [usually at the front of the store]. By doing this, you should be able to get some high end materials for mid range prices.

The Bathrooms- Bathroom remodels come in at a close second to remodeling the kitchen. They are the second most used room in the house and should be updated on any remodel. A new vanity, toilet and fixtures are a must unless the existing ones are in “like new” condition. There’s no bigger turnoff to a potential buyer than a dirty and out dated bathroom. It doesn’t have to cost you a fortune especially if you do some shopping around just like you should do for the kitchen. Any money that you can save on a remodel means more money in your pocket when it’s time to sell.

The Floors- The floors of a home is usually the first thing a potential buyer will notice as soon as they walk in.  If the house has tiled floors and they look half way decent, then I will usually just have them cleaned by a tile cleaning company. A good tile cleaning company will clean the tile as well as the grout joints leaving the floor looking like new. However, if the tiles are in bad shape or they look tacky then you have no choice but to remove and replace them. If there’s carpeting, then 99% of the time it should be replaced with either new carpeting or tile. There’s a myth that tile is much more expensive than ceramic tile but this isn’t always the case. And even if it is a bit more expensive than carpeting, it might be worth the extra expense to have tile instead of carpeting. In my experience buyers will always prefer tile over carpet.

Paint- There’s nothing that will yield a higher return on your money than a fresh paint job. A new paint job will brighten the entire house as well as hide minor imperfections on the walls. It’s important to stick to neutral colors when painting a house that you intend to sell. Some investors make the mistake of using too many colors thinking that it will somehow impress a potential buyer but this couldn’t be further from the truth. Just because you think that you have great taste in interior design, it doesn’t mean that it’s true. Not only that, but if a potential buyer doesn’t like the colors on the walls this could be enough reason for them to not make an offer. My suggestion is to stick to one or 2 colors for the entire interior of the house. I like to paint the walls off white and the trim pure white. By using only one or two colors throughout the whole interior the house will look new, elegant and best of all… it’s much cheaper for labor as well as materials.

 

 

 

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Mistakes to Avoid when Flipping a House

Posted on by Jenny Zamora

 With Orlando Real Estate in high demand again, experienced investors are taking advantage of these almost perfect conditions for rehabbing houses. Even new investors are turning out in record numbers to try and cash in on flipping a house. Rookie investors will always make mistakes on their first re-hab property just like I did when I first started back in 2004.

Here’s a list of the most common mistakes made by rookies when flipping a house and how to avoid them.

Trying to make a NON-DEAL into a DEAL

Some investors allow themselves to be caught up by emotion. They want to buy an investment home soo badly that they rush and end up buying a house that’s over-priced because they let their emotions take over. When trying to flip a house for profit, let cold hard facts take the lead, not emotion.

As a rule of thumb which has served me well over the years is to never, ever buy a house for anything more than 70% of the home’s repaired value. Paying more than this amount can lead to smaller profits or even a loss.

Underestimating your budget for repairs

home repairs

This is usually the most common mistake made by new investors. Another rule of thumb that I use when rehabbing a house is to take the amount of how much you think it will cost to repair the house and add $5,000.00 to it. Someone that has never renovated a house before will always underprice the cost of repairs needed to get the house ready for the Orlando Real estate market. You should always enlist the help of a general contractor to give you an accurate amount of what you will spend on the renovation. You need to factor this amount into your offer before making your bid.  

Trying to do the work yourself

New investors tend to fall in love with the idea of themselves doing all the work. They picture themselves remodeling the bathroom, painting the whole house, re-doing the landscaping, etc. and they will be done inside of a week, just like on their favorite house flipping show. Trust me, it’s best to let the pro’s handle the majority of the work load. Your time will be better spent looking for the next deal.

Taking too much time to complete the repairs

For each month that you own the property there is another month of carrying costs that you have to pay. Between the mortgage, insurance, property taxes and utilities it can add up much faster than you think. Carrying costs will not only take a monthly chunk out of your profits but can also cause you to take a loss. When you sign an agreement with your contractor, make sure that he commits to a deadline in black and white. You can also try to squeeze in a clause that charges your contractor a daily fee for everyday that the project goes past the deadline. This will keep your contractor motivated to finish the job on time and keeping you on track to get the home back on the market A.S.A.P.

Trying to Sell it on your own

Some newbie investors tend to think that they can sell the property on their own to avoid paying realtors commissions. Big mistake! You should list the house an experienced Orlando realtor that has a proven track record in working with investors. A realtor will not only fight to get you the highest price possible, but they will also assume the responsibility of making sure that everything gets done smoothly… or they don’t get paid.

Your goal as an investor should be to buy a house at the right price that you can quickly then turn around and sell for a profit. You should never let your emotions involved and become attached to any home. Always be willing to walk away from a potential deal, especially when it’s a NON-DEAL.

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