Charlotte, North Carolina Real Estate Blog and Housing ArticlesRecently posted or modified blog posts by tag - Buyershttps://www.housesincharlotte.com/blog/Copyright HousesInCharlotte.com2023-09-27T09:21:19-07:00tag:housesincharlotte.com,2012-09-20:4579The Home Buying Process - 6 simple steps<img src="https://assets.site-static.com/userfiles/1188/image/Blog_Graphics/Blog_Buying_a_Home_in_six_simple_steps.jpg" width="800" height="450" alt="The Home Buying Process - 6 simple steps" title="The Home Buying Process - 6 simple steps" />
The 6-step home-buying process in Charlotte, NC
Buying a home in Charlotte can be overwhelming. If you are new to the area or if it's your first purchase, there's a lot to know. To this day, I remember my first home purchase in 1996 as if it were yesterday. Though there were a few bumps in the road, what I remember most was my lack of understanding of the whole process as it was going on. I’m someone who likes to have control over things and that was more than a little uncomfortable for me. So, years later and now that I’m a REALTOR®, I try hard to educate the consumer, especially <a href="https://www.housesincharlotte.com/about/realtor-reviews-charlotte-nc/" target="_blank">my own clients</a>.
While you’ll find lots of articles about this topic, I wanted to write one that's (hopefully) easier to digest. So here are the simplified steps to buying a home in Charlotte.
1. Find a local and trusted Realtor
A licensed REALTOR®, acting as your buyer’s<a href="https://www.housesincharlotte.com/blog/what-is-a-buyers-agent-and-why-do-i-need-one/" target="_blank"> agent</a>, will be your best friend during your home-buying process. Not only do they have a fiduciary responsibility to protect you and your best interests, they understand the process from beginning to end and can connect you with the best mortgage providers, attorneys, inspectors, and so on. Your buyer’s agent is your lifeline during the process and will hold your hand all the way through so getting one early on is the best way to go. If you don’t already know a good Realtor, <a href="https://www.housesincharlotte.com/about" target="_blank">let us help you find one</a>. Most articles you read will tell you that the next step (getting pre-approved) is actually the first thing you need to do but if you know a good Realtor, chances are that they already know an excellent lender.
2. Get Pre-Approved
The mortgage pre-approval process involves connecting with a mortgage person or your bank and allowing them to review your credit, work history, job situation, debt-to-income ratios, etc, and evaluate your ability to qualify for a home loan. If you can’t qualify for a mortgage or currently afford to make an all-cash offer there really isn’t any sense in continuing your home search until you’re financially ready.
3. Search for Homes!
Now that you’re pre-approved for a mortgage, know how much you can afford, and are comfortable spending, it’s time for the real excitement...<a href="https://www.housesincharlotte.com/property-search/results/">finding a home</a>! Some of the main considerations in your home search should include location, proximity to work, area amenities, size and style, schools, etc. Speak with your Realtor about this as well and allow them to give you some insight into all of these important factors. Once you and your Realtor have come up with a good “shopping list,” so to speak, it’s time to go view some homes in person. And don’t worry, your buyer’s agent will schedule appointments. Each home you go through will be a learning experience so don’t rush the process. You’ll start to notice things you do or don’t like in a home, will be sharing your feedback with your Realtor, and will eventually “just know” when you’ve found the right home.
4. Make an Offer
So, you’ve found the home that you’d like to live in, have been pre-approved for a mortgage, and have a great Realtor representing you. It’s time to make an Offer to Purchase and negotiate terms. An Offer to Purchase is just that...it’s an offer to a seller with specific terms in a legal document to purchase their home. Besides the 16 pages of legal jargon, the contract includes various negotiable items such as price, earnest money and due diligence fees, and dates. The seller can accept your offer, reject it, make a counteroffer, or simply not respond. Now, prior to making an offer, you’ll want to have a good idea of what the home is really worth. Your Realtor will help you with this part by studying comparable sold properties and using their knowledge of the area to help come up with what they feel is a “good, fair, price” (as I like to phrase it).
5. Do your Due Diligence
Congratulations, you’re now under contract! But the work isn’t over; and as a matter of fact, it’s just beginning. In order to complete your purchase, there are several things that need to be done:
Consult with your chosen mortgage person, provide them a copy of the contract, and pretty much do whatever they ask of you
Schedule closing (your Realtor likely knows a good real estate attorney and can arrange this part for you)
Schedule inspections (ask your Realtor to explain the various types of inspections you should consider) and later deal with negotiating over necessary repairs pending the results of the inspection(s).
Schedule a survey (if desired or required by the mortgage provider)
Arrange movers
Obtain homeowners insurance
Line up utilities
Verify that the Closing statement is correct and make any final changes
Complete a final walk-through of the property
6. Close on your New Home!
Here you are 30-60 days later and the closing date has arrived. You’re in the attorney’s office with your Realtor, feeling excited and maybe a little nervous at the same time, and it’s time to sign the papers. Your closing will take about 30-60 minutes typically. After that, you'll just need to wait for the deed to 'record' so that it to be official. There's a good chance that you won't be allowed to have the keys until the deed records so you'll want to account for that when scheduling the movers. Congratulations on being a new homeowner!!<br /><br />My goal in this article was not to explain all the nuances involved in the home-buying process - there are many! - but instead, break it down into something a little more manageable and easier to grasp. Let your Realtor/Buyer’s Agent focus on all the little details so you can focus on finding the perfect home. If you’re thinking about making a move, contact me. I’d like to get to know you a little bit, find out what you’re looking for, and help you in any way that I can. You can <a href="https://www.housesincharlotte.com/about/realtor-reviews-charlotte-nc/" target="_blank">read what some of my past buyers have had to say here.</a>
<img src="https://assets.site-static.com/userfiles/1188/image/Blog_Graphics/Chad_Blog_Signature.jpg" width="800" height="143" alt="Chad Hendrix Real Estate Blog" title="Chad Hendrix Real Estate Blog" />2023-03-29T06:00:00-07:002023-09-14T04:55:09-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:15972Charlotte Real Estate Market Report - Housing Market Data Spring 2023
I talk about the Charlotte NC Housing Market as it stands through the end of February 2023 and go through a series of easy-to-understand graphs showing: -
Median Home Prices in Charlotte over the last 3 years and trends
Average Price per square foot of homes in Charlotte
Number of showings per listing
Months worth of inventory/supply
In this video, I explained the current state of the Charlotte real estate market while also giving some honest advice if you're looking to purchase a Charlotte home or if you're considering selling yours.
<img src="https://assets.site-static.com/userfiles/1188/image/Blog_Graphics/Chad_Blog_Signature.jpg" width="800" height="143" alt="Chad Hendrix Real Estate Blog" title="Chad Hendrix Real Estate Blog" />2023-03-20T08:56:20-07:002023-05-03T09:01:23-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:8131Do You Need a Real Estate Agent When Buying New Construction?<img src="https://assets.site-static.com/userfiles/1188/image/Blog_Graphics/Why_you_need_a_Realtor_when_buying_New_Construction.jpg" width="800" height="450" alt="New Construction Buyers Agent" title="Charlotte New Construction Buyers Agent" />
If you're thinking of purchasing new construction in the Charlotte, NC area (or in any location, I'd imagine), here are a few things to consider and some things that you may or may not know. And please trust me when I tell you there isn't one bit of fluff or sales talk here. I'm here to help educate you and hopefully make you a more informed Charlotte new home buyer.
Yes, You Need Representation When Purchasing New Construction.
<a href="https://www.housesincharlotte.com/blog/what-do-realtors-do/" target="_blank">"Buyer's agents"</a> are real estate agents that represent the home buyer in a home purchase. A real estate agent becomes your buyer's agent once you sign a buyer agency agreement with their firm. Once that happens, they will have certain <a href="https://www.housesincharlotte.com/blog/what-are-the-duties-of-a-buyers-agent/" target="_blank">duties</a> to you that all work towards protecting your best interests during your home transaction. The concept of buyer agency has been in existence in the real estate world for at least 25 years now, but not everyone realizes that you need your own representation when purchasing New Construction Homes as well. A buyer's agent is there to protect you, so make sure you have one. Here are some things that your buyer's agent may do for you during your new home purchase:
Help advise you on neighborhood, location, picking the right lot, upgrades, plan modifications, etc.
Helping review and understand builder contracts and maintaining paperwork.
Advising you on the importance of independent home inspections, connecting you with a proven inspector, and helping you decide which inspections to consider (pre-drywall, final, radon, etc).
Connecting you with a good lender and attorney if you choose not to work with the builder's preferred lender and attorney.
Provide you professional guidance and have someone in your corner along the way.
and more...
The Sales Representative Represents the Builder, Not You!
When you walk into a model home or sales trailer, you're typically met by the New Homes salesperson or their assistant if they happen to be off that day. These folks are usually true professionals and will welcome you with open arms. Their job is to sell you their product, a new home. They are also very knowledgeable about the product, can be great resources on the surroundings, know much about the construction process, etc. Personally, I LOVE working with new home sales reps because they are specialists at what they do and make my job easier. But again, they are representing the builder, not you.
A new home sales rep won't necessarily advise you against purchasing one of their lots that may back up to a power line or won't bode well for future resale if you're unknowingly spending too much on upgrades, fight for your behalf if the construction personnel doesn't deal with issues you come across, etc. You should always have your own representation. They have theirs; you should have yours.
The Builder pays Your Agent.
For a builder to put their homes for sale on the MLS, they must offer some form of compensation to buyer's agents. That's an MLS rule. The MLS (Multiple Listing Service) is a powerful tool because that's the main database of homes for sale across any given region. Once a home goes on the MLS, that data can then trickle down to all the real estate companies and agent sites (like <a href="https://www.housesincharlotte.com/new-construction-homes-in-charlotte-north-carolina/">the one you're on right now</a>, for instance) as well as the national portals like Zillow, Trulia, and Realtor dot com. You can see what a massive amount of exposure that can bring to a builder. But they have to offer compensation to get this kind of exposure. So, when a Realtor says, "The builder pays us," that's what they are referring to. With that said, why would you NOT bring your own representation?! It's free! :-)
You Won't Get a Better Deal by Showing Up Without an Agent.
It would be natural to think that a builder might save money if you showed up unrepresented. And then perhaps they can give some of that 'would-be' compensation back to you in the form of extra upgrades or a lower price perhaps? Well, it doesn't work that way. The builders already have that compensation built into their budget, and if you don't bring your own representation, they'll pocket it, so to speak. The truth is, I have great relationships with the new home sales reps out there, and I'm sure they'd tell you the same thing about me. In a new home deal, everyone is typically working towards the same goal, and that's to get you to the closing table with a smile on your face.
Important! Mention Your Real Estate Agent When You First Register.
When you walk into a new home sales office, they'll typically ask you to register. They'll ask for your contact information, how you found them, the agent's name (if you have one), etc. Hopefully, by now, you're convinced that you need your own representation, and if so, also know that you need to put your agent's name down during this registration process. While many builders may not have a problem with you doing so at some point down the road, others DO have an issue with it. A few builders have a rule that if you don't register your agent at the first visit, they'll refuse to compensate them, leaving you the option of paying your Realtor yourself or going in with no representation. Neither sounds like a great option, does it? <br /><br />
In Conclusion, If you're considering buying new homes in Charlotte or the surrounding areas, I suggest you reach out to me as early as possible, and let's start with a friendly conversation. If you've already started looking around and have visited the Charlotte area's new home communities, that's okay too. Let's pick up where you currently are and go from there. But you should always have a great Realtor by your side whether you're buying new or resale, and I'd like to be that person possibly. <br /><br />I'm Chad Hendrix, Owner and Broker in Charge of Hendrix Properties, and I sincerely hope you've gained valuable insight from reading my article. You can fill out the contact form below to connect directly with me or <a href="tel:7047374400">Call me at 704-737-4400</a> for a friendly, NO-pressure conversation about your needs.
<img src="https://assets.site-static.com/userfiles/1188/image/Blog_Graphics/Chad_Blog_Signature.jpg" width="800" height="143" alt="Chad Hendrix Real Estate Blog" title="Chad Hendrix Real Estate Blog" />2022-05-05T08:29:00-07:002023-09-27T09:21:19-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4254Homeowner Associations (HOAs) Can Be a Good Thing<img src="https://assets.site-static.com/userfiles/1188/image/Thinking_of_buying.png" width="800" height="800" />
Quite often, I have people contact me who are looking to relocate to the Charlotte area. With many of them, one of their main criteria is "I don't want to live in a neighborhood with a home owner's association!" Except in cases where I already know that they have a huge RV to park, have a couple of horses, multiple dogs, weld out of their back yard and need that shop, etc, I always wonder if they're simply misinformed. Who wouldn't like a homeowner's association? Not only do they help to protect the neighborhood's quality of living but they also help to protect the value of your home.
If you were trying to sell your home, how do you think a prospective buyer would feel if they rode up and noticed that your immediate neighbor had 6 cars in their driveway? Or if their door was painted hot pink and shutters were orange? Or maybe they had a car sitting there on cinder blocks? What if they came inside, looked around your home, went out back and noticed that your neighbor had a clothes line in the back yard and grass that was 2 feet high? What impression do you think that prospective buyer would have of your neighborhood as a whole? How will the general public feel about your neighborhood and how will they describe it to others?
It's easy to dislike homeowner associations because in a sense, they tell us what we can and can't do. Nobody likes to be told what to do. I received a friendly letter from my neighborhood HOA a couple of years ago for blowing a little grass out in the street and having some overgrown hedges. Man, was I irked by that! However, they were completely right. My yard was looking terrible at the time and I should have blown the cut grass back into my own yard.
If you're searching for a condo, townhome, or single family with neighborhood amenities, chances are there is a homeowners association to care for the grounds. Your monthly, quarterly or annual fee goes to cover maintenance on the swimming pool, keep the playground safe for your children and freshen up the neighborhood entrance. Fees vary depending on many factors including neighborhood size and the type of amenities available for residents.
<img src="https://assets.site-static.com/userfiles/1188/image/aerial-aerial-shot-architecture-667221.jpg" width="4000" height="2250" />
You've heard the saying, "give 'em an inch and they'll take a mile". Well, HOAs have to set limits and stick by them. Sometimes that makes them the bad guys but these guidelines, also known as covenants, are there to protect us and the homeowner association board members do their best to uphold them. If you ever end up in a neighborhood where the HOA "gives up", you'll be able to see the clear difference. I could take you to many right now and also show you how those home values have trended downwards over the years. The homeowner association is also there to maintain the entrances to the neighborhood and common areas. They're not going to maintain themselves, ya know?
Learn to like your homeowners association and respect what they're there for and don't be afraid to live in a neighborhood with an HOA. They're not there to rule your life, just to make sure you maintain a little uniformity with the other homes. And if you're eyeing a possible neighborhood to move to, ask your Realtor and they should be able to give you a copy of that particular neighborhood's covenants before you make an offer. You are legally entitled to receive this information with an accepted offer on a home.
Keep in mind that breaking HOA rules is more than a 'slap on the wrist.' Your neighborhood HOA can go as far as evicting you from your home for lack of payment or failure to comply with the regulations.2019-09-04T12:59:00-07:002020-12-19T15:07:57-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4746How To Choose The Right Buyer's Agent<img src="https://assets.site-static.com/userfiles/1188/image/BuyersAgentSkills-01.png" width="800" height="420" alt="Buyers Agent" style="vertical-align: middle;" />
When you’re looking to purchase a home in Charlotte the most important thing you need - besides the funds to purchase it, of course! - is a good buyer’s agent. We’ve covered what makes a good buyer’s agent, but now let’s talk about how to choose one. And not just any Charlotte realtor...the right one for your needs.
First of all, what really makes a “good” buyer’s agent? Well, an agent who’s organized and detail oriented can make for the smoothest transaction possible. Someone who’s personable and easy to get along with can make your purchasing process more enjoyable, especially as you’re riding around with them for hours on end looking at homes. An agent with experience can recognize potential problems before they arise and know exactly how to handle them should they come up. And one of the most overlooked factors: an agent that’s readily available at most times of the day provides you with a little more confidence in the process. Real estate is a 24/7 business!<br class="kix-line-break" /><br class="kix-line-break" />Wouldn’t it be great to find a buyer’s agent in Charlotte with ALL of those qualities? Well, here’s how to do it.
Ask around. If you’re buying a house in Charlotte, ask your friends or co-workers who are homeowners which broker they used and what they thought of their experience. Do they feel that he/she was attentive to their needs, available when they needed them, and walked them through the <a href="https://www.housesincharlotte.com/blog/seven-steps-to-buying-a-home-in-charlotte-nc/" target="_blank">home buying process</a>?. And specifically, would they recommend them to you?
Search online for a local agent. Get a feel for their website. Is it professional? Does it offer <a href="https://www.housesincharlotte.com/communities/" target="_blank">helpful resources about your local real estate market</a>? If a broker doesn’t pay much attention to their own site, you have to wonder whether they’ll pay attention to your home search.
Contact a few agents. As you’re browsing for Charlotte area homes online, don’t be afraid to reach out to agents and chat with them. Tell them what you’re looking for and ask them about the area. It’s a great way to see what kind of rapport you have and whether or not they sound like someone you’d trust to spend time with. When you’re ready, you can also let them show you a home or two so you can meet them face to face.
<br class="kix-line-break" />It’s critical you trust your agent to act as your fiduciary and be your biggest proponent. After all, that’s what they’re there for! A good buyer’s agent in Charlotte will make you feel listened to, important, and they’ll never make you feel like you’re being “sold.”
<br />If you’d like to speak to one of our top-notch buyer’s agents, call us at 704.737.4400, <a href="https://www.housesincharlotte.com/contact/" target="_blank">send us a quick email</a>, or <a href="https://www.housesincharlotte.com/about" target="_blank">explore our agent directory</a> and contact one of our proven Charlotte area Realtors directly. We’re all very excited for the opportunity to help you and earn your trust!
2019-04-02T06:52:00-07:002020-07-02T05:28:25-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4745Do Home Buyers Pay Realtor Fees?<img src="https://assets.site-static.com/userfiles/1188/image/Blog_Graphics/customerkeys.jpg" width="800" height="420" alt="ClientKeys" style="vertical-align: middle;" />
The answer, quite simply, is NO. There is no charge to a buyer to have a Realtor on their side. In a nutshell, <a href="https://www.housesincharlotte.com/blog/what-is-a-buyers-agent-and-why-do-i-need-one/" target="_blank">buyer’s agents</a> are paid by the seller. When a homeowner decides to sell their home, the listing company they choose will charge them a fee, usually a percentage, that is due when the home sells. In return, the listing company will advertise on the MLS that they are offering a percentage of their fee to whoever ultimately brings the buyer. For example, if the listing company’s fee is 6%, they may offer to give half their fee, or 3% of the total selling price, to whoever brings forth a buyer. So, as long as the home you ultimately purchase was listed by a real estate company that offered buyer agents a certain commission, your buyer’s agent will be paid via the seller and their listing company.<br class="kix-line-break" /><br class="kix-line-break" />What if there was no commission offered to the buyer’s agent? What about “for sale by owner” situations in which a seller tries to avoid paying out commissions? Well, while quite rare, these can arise. In that case, a buyer’s agent still needs to get paid for their hard work, right? One option for the buyer is to negotiate his/her commission into the price of the home. For instance, let’s say you fall in love with a For Sale By Owner home with no commissions offered. If the agreed-upon purchase price is $100,000 and your buyer agency agreement states that your agent is to be paid 3% of the gross purchase price, you could pay the seller $103,000, and the seller could then pay the agent their $3,000 commission netting the seller the same $100,000 they had agreed to. Just make sure that by doing so, you’re not raising the home price past what it will appraise for.<br class="kix-line-break" /><br class="kix-line-break" />For a more detailed explanation of how Realtor commissions work, feel free to check <a href="https://www.housesincharlotte.com/blog/how-do-real-estate-agents-get-paid/" target="_blank">our helpful piece on how real estate agents get paid</a>.
No matter the situation, a good buyer's agent is well worth their commission, so don’t be hesitant about reaching out to one of <a href="https://www.housesincharlotte.com/about" target="_blank">our Charlotte buyer’s agents</a> to get started. Or, if you’d like to read what others have said about us first, <a href="https://www.housesincharlotte.com/about/testimonials/">check out our testimonials here.</a>2019-04-02T06:26:00-07:002023-09-27T09:20:50-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4578What Is A Buyer's Agent and Why Do I Need One? <img src="https://assets.site-static.com/userfiles/1188/image/BuyersAgent.jpg" width="800" height="420" alt="Buyer's Agent Charlotte NC" style="vertical-align: middle;" />
Do you need a buyer’s agent? Of course, you do! Here’s why.
What is a buyer’s agent?
A buyer’s agent is a licensed Realtor who works on behalf of the buyer through the process of purchasing a home. The fiduciary relationship between the two parties is established when the buyer and agent both sign a “Buyer Agency Agreement,” which goes into detail about the buyer’s agent’s duties to you, how they’ll get paid, the duration of the contract, and what their role will be throughout the process.
What is a buyer’s agent good for?
A buyer’s agent wears a lot of hats. They walk you through the process from day one, which is particularly important if you’re a first-time buyer. From there, they’ll bring you up-to-date listings that match your specific criteria (and no, you can’t always find them on your own using Zillow or Trulia.) They’ll negotiate with the seller on your behalf and help you figure out ways around sticky issues with the contract, costs, or closing dates. A buyer’s agent is your ally, and their duty is only to you.
What does a buyer’s agent actually do?
Some of the most important duties of a good buyer’s agent include:
Learning your needs in a home
Guiding you through the complex <a href="https://www.housesincharlotte.com/blog/seven-steps-to-buying-a-home-in-charlotte-nc/" target="_blank">home-buying process</a>
Advocating for your best interests along the way
Educating you on current market conditions
Showing you the pros and cons of various areas or neighborhoods
Evaluating comparable properties to help you decide a property’s worth
Negotiating favorable contract terms for you
Connecting you with professionals such as attorneys, inspectors, etc.
Preparing written contracts and other addendums
Scheduling and managing inspections, surveys, closing, and other important milestones
Attending closing with you to ensure everything goes as planned
<br />How do buyer’s agents get paid?
That’s the best part! It typically costs buyers nothing to use a buyer’s agent. Under the currently accepted broker arrangement in nearly every U.S. city, buyer’s agents are actually paid by the seller. Say your buyer’s agent charges a 3% commission fee for their service; at closing, the seller will pay their own agent’s fee out of the proceeds, then also pay the buyer’s agent, too. For buyers, there is no financial downside to using a buyer’s agent whatsoever.
An interesting note: twenty years ago, there was no such thing as a buyer’s agent! At the time, there were only listing agents who represented the seller. If you were interested in a home, you’d call the listing agent directly and navigate the buying process with no one specifically looking out for your best interests. Imagine that! Thankfully, today’s buyers have a better advocate available.2019-03-01T09:49:00-07:002023-04-08T05:28:10-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4352Charming Home For Sale in Springfield, Fort Mill SC<img src="https://assets.site-static.com/userfiles/1188/image/Blog_Graphics/JustListed_1823ShadowLawnCt-01Front_1_1.jpg" width="800" height="420" alt="1823 Shadow Lawn, Springfield Fort Mill" title="1823 Shadow Lawn, Springfield Fort Mill" style="vertical-align: middle;" />
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We just love our latest listing located in the popular Springfield Golf Community of Fort Mill, SC. 1823 Shadow Lawn Court is situated on a quaint street and just a short walk from the neighborhood playground. The rocking chair front porch welcomes you inside this spacious, 5 bedroom and 3 1/2 bath home.
<br />With over 3050 square feet, you won't be lacking for space. Open concept design allows the gourmet kitchen to be the central hub. There's also a formal dining room and Flex room (which can be used as extra Living space or a Home Office), located off the foyer to allow for a little more privacy. The sleeping quarters are located upstairs and include a well-appointed master suite, 3 bedrooms, and a large bonus room or 5th bedroom with walk-in closet and full 3rd bath. The morning sunrises can be enjoyed from the screened rear porch or cozy up by the fire on your custom paver patio with built-in seating. This home sits on almost a third of an acre so there's lots of room to play and enjoy your yard.<br /><br />Springfield boasts spectacular amenities including multiple pools, tennis courts, a clubhouse, fitness center, playground and of course, the <a href="https://www.playspringfield.com/" title="Springfield Golf Club Fort Mill SC" target="_blank">Springfield Golf Club</a>. This championship 18 hole course is situated on a beautiful treelined and picturesque terrain. One of the best features of Springfield is its proximity to the <a href="https://www.ascgreenway.org/" title="Anne Springs Close Greenway" target="_blank">Anne Springs Close Greenway</a> across the street. This 2100 acre nature preserve allows for hiking, mountain biking, kayaking, picnics, horseback riding and more! <br /><br />If you're thinking about selling your home in the Charlotte, Lake Norman or Fort Mill area, <a href="https://www.housesincharlotte.com/contact/" target="_blank">contact</a> me today. <br /><br />2019-01-25T07:32:00-07:002019-08-15T04:32:20-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4446Why Don't More Charlotte Homes Have Basements?<img src="https://assets.site-static.com/userfiles/1188/image/Basement.jpg" width="800" height="420" alt="Basement Updated" style="vertical-align: middle;" />
Well, that's a pretty good question, actually.
According to the US Census Bureau around 795,000 new homes were built in the U.S. in 2017 and of those, about 204,000 had partial or full basements. That's a lot! If you've spent any time in the Charlotte area (or anywhere in the South) you've probably noticed that not many homes have basements. Why is that?
There are a couple of reasons. <br />The first and most overarching is the frost line. The frost line, or the depth to which the ground freezes during a hard frost, is important for home builders to know because a foundation built above the frost line can move, break, and become unstable as the ground expands and contracts. Local regulations always require footings of a new home to be built below the frost line for a specific area: In Mecklenburg County, the frost line is 6" and footings must extend 4" below that. So what does that have to do with basements?
In the north, the frost line is much deeper, sometimes up to 6 or 8 feet, not inches! Since builders already have to dig to these depths to legally put down footers it makes sense to go a few feet deeper and build out a basement which ads livable square footage to a home. In the South, basements simply cost more to build than they do in colder climates.
Another factor for basement builders is the water table. Adding a basement to a home within an area with a low water table sets it up for constant flooding and moisture problems. It makes much more sense to build a basement into dry, solid soil. Southern cities like Charlotte generally lie lower than many other areas although of course, underground water issues vary from house to house.
Lastly, if a house sits on bedrock rather than soil or clay it becomes prohibitively expensive to add a basement. At that point not only does a dig have to occur, but the operation also becomes an excavation. And bedrock is one of the most stable foundations you could hope to build a home on to boot!
All that being said, there are plenty of <a href="https://www.housesincharlotte.com/basement-homes-charlotte-nc/">Charlotte homes with basements for sale</a>. They're certainly not impossible here, they're just less common than in some other parts of the country. If you've got questions about basements, crawlspaces, or any other new home feature simply give us a call!
In the meantime, browse the following list of basement homes for sale in Charlotte:
2018-09-30T12:57:00-07:002020-12-19T15:06:48-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4586Real Estate Fiduciary Duties<img src="https://assets.site-static.com/userfiles/1188/image/HowYourAgentShouldWorkForYou-01.png" width="800" height="420" alt="Real Estate Fiduciary Duties " style="vertical-align: middle;" />
When you enter into an agreement with a real estate agent, the agent becomes a fiduciary. A fiduciary is a person who holds a legal or ethical relationship of trust with one or more other parties. Real estate fiduciary duties, in simple terms, define how an agent should work on the behalf of a client.
The <a href="https://www.nar.realtor/sites/default/files/handouts-and-brochures/2014/nar-fiduciary-duty-032213.pdf">National Association of Realtors (NAR) identifies six main duties of a real estate fiduciary</a>:
Loyalty
Confidentiality
Disclosure
Obedience
Accounting
Reasonable care
Loyalty
This simply means that an agent should always be working for your best interests, not anyone else’s or their own. This also means avoiding any conflicts of interest. An agent’s duty of loyalty prohibits him or her from accepting employment from any person whose interests compete with or are adverse to, yours as the buyer or seller. An example would be for an agent to purchase a property listed with his or her company then immediately sell it for a profit.
Confidentiality
It’s imperative for an agent to keep a client’s information confidential. The information that should be kept confidential would include anything that might impact your bargaining position. An example would be disclosing to a buyer that a seller, represented by that agent, needs to sell quickly. This, however, does not include an agent disclosing material facts concerning the condition of a property. To do so would constitute a misrepresentation and would impose liability on both the agent and the seller.
Disclosure
An agent is obligated to disclose to his principal all relevant and material information that the agent knows and that pertains to the scope of the agency. Material facts are those that if known by the seller or buyer may have caused them to change their minds.
Obedience
Your agent must obey your instructions. These instructions must, of course, be legal and in accordance with your contract.
Accounting
Your agent must account for all documents and funds related to the transaction. There must be reporting of all the pertinent documents and financials.
Reasonable Care
The phrase is open to interpretation; most often being defined in a courtroom. The NAR describes it as a “duty to use his superior skill and knowledge while pursuing his principal’s affairs. This duty includes an obligation to affirmatively discover facts relating to his principal’s affairs that a reasonable and prudent real estate broker would be expected to investigate.” It's akin to the professionalism expected by patients of doctors or clients of attorneys.
Do agents ever fail in their fiduciary duty? Unfortunately, yes. Not living up to these duties can cause lots of problems for all parties. As an agent, it's important to hold oneself accountable and focus on the best interests of clients.
Many breaches of fiduciary duty can occur around full disclosure. And it's not limited to the property itself. A client shared a story about her first home purchase and the breach that occurred. The situation revolved around the state DOT planning to expand a road near the townhome the individual purchased. The DOT did not have imminent plans to begin the road work, but this part was disclosed. What wasn’t disclosed was that many of the units within the neighborhood had already been purchased by the DOT. This meant that when she was ready to sell years later, the property value had decreased. The listing was less desirable. Had she known the DOT already owned many of the units, she would have decided not to purchase.
Stories like these are probably too common. Trust is an important part of the agent-client relationship. That's why we work so hard to do everything right. If you’d like to learn more about how we will work for you, <a href="https://www.housesincharlotte.com/contact/" target="_blank">send us a note</a>.2017-08-09T14:28:00-07:002019-03-01T15:31:17-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4583Everything You Need to Know About HOAs<img src="https://assets.site-static.com/userfiles/1188/image/HOA1.png" width="800" height="420" alt="Charlotte NC HOA" style="vertical-align: middle;" />
HOAs are an increasingly common fact of real estate.
HOA stands for “Home Owner's Association.” The term is often used as shorthand to describe the monthly/annual dues paid to said association (i.e. “The HOAs at this place are high!”) Many developments in and around Charlotte are HOA-governed.
What are HOAs, Exactly?
Great question! HOAs are usually formed when a developer builds a <a href="https://www.housesincharlotte.com/charlotte/">multi-family residential property neighborhood</a>. This kind of "property" can manifest in several ways: A condo building; a townhome complex; and even a planned neighborhood of single family homes. The Home Owner’s Association (specifically, the HOA bylaws, a lengthy set of provisions for the community) provides structure to the community, outlining rules and regulations as well as a financial strategy for maintaining common spaces like pools and even roads. Typically, a development company will retain control over a community’s maintenance and management until enough units/homes are sold and then transfer control to the HOA.
<img src="https://www.housesincharlotte.com/uploads/agent-1/WhatDoHOAsDo_HPBlog-01.png" alt="" width="750" height="272" />
What Do HOAs Do?
They do a lot of things, all (ideally) in the <a href="https://www.housesincharlotte.com/blog/homeowner-associations-hoas-can-be-a-good-thing.html" target="_blank">best interest of the greater community</a> good.
CC&Rs: This stands for “<a href="http://www.hgtv.com/design/real-estate/what-you-need-to-know-about-hoas" target="_blank">Covenants, Conditions, and Restrictions.</a>” It’s a set of rules enforced by the HOA that govern the community. They can dictate everything from the paint color on your home’s exterior to your ability to renovate. They can even specify whether you can park an RV in your driveway or how many pets you can own in your property.
HOA Budget: The budget, funded by your HOA dues (more on that in a minute), is designed to cover everything commonly used by the community. If you live in a multi-family building, things like utility bills for the hallways, elevator service, and landscaping might be covered by dues. If you live in neighborhood or townhome community, your dues might cover a security gate, a resident-only pool, or dog clean-up stations. All this is outline in the HOA’s bylaws.
HOA Board: All HOAs are governed by an elected board. The bylaws dictate how and when elections take place, but the board is ultimately responsible for making decisions for the future of the HOA. The board likely has its own private meetings outside of regular community-wide meetings. Unpaid board members, almost always residents of the community themselves, do the legwork of sourcing new vendors (i.e. a new maintenance staff), budgeting for the current year and the future, and enforcing community rules (like evictions, notices, and warnings.) The board has no legal power over residents in a community, but when residents defy the rules they can be taken to court or evicted.
<img src="https://www.housesincharlotte.com/uploads/agent-1/HOACost-01.png" alt="" width="750" height="272" />
What About Those Dues?
Dues make or break a successful HOA. The amount you might pay towards dues – typically monthly – varies widely. In a <a href="https://www.housesincharlotte.com/charlotte-condos-townhomes-for-sale/" target="_blank">Charlotte townhome complex</a>, for example, your dues might be $348 a month. In a Manhattan high rise, your dues could be $1,440 a month! It all depends on the building and needs of the community. Your dues cover all current maintenance and, crucially, contribute to a rainy-day fund known as “reserves.”
Reserves are literally reserved money. In many cases, HOAs will hire an outside accountant to perform a “reserve study” to determine exactly how much money should be in the fund to cover all feasible repairs for decades to come. The reserve fund likely has several hundred of thousand or even millions of dollars in it at any given time.
When you buy in an HOA development, you’ll ask what the dues are currently. It’s impossible to know if the dues will go up in the near future, but there are a few red flags to look for. For example, if the reserve fund is low (ask!) and a major repair is needed, owners might face an unexpected “special assessment” of hundreds or even thousands of dollars. If there are a lot of vacant or unsold units in the development, ask whether those units are still funding their dues. Over time, nearly all HOA dues will go up to keep up with inflation.
<img src="https://www.housesincharlotte.com/uploads/agent-1/WhyBuyinHOA_HPBlog-01.png" alt="" width="750" height="272" />
Why Buy in an HOA?
For most people, HOAs are a blessing and a curse. The rules and regulations surrounding them can protect homeowners from noisy neighbors or giant McMansion additions, but they can also feel restrictive. While dues are often a tough pill to swallow on top of a mortgage (in most cases, they’re rolled into the mortgage), they provide for common amenities like fire pits, covered parking, and pools that many homeowners wouldn’t be able to afford on their own.
It’s important when buying in an HOA community to know exactly what you’re getting yourself into. <a href="https://www.housesincharlotte.com/about/" target="_blank">Your realtor</a> should ask the seller’s agent for the management company’s information; from there, you can obtain a copy of the CC&Rs to read, hopefully find out more about reserves and dues, and even learn whether the HOA is involved in a lawsuit or if there are any pending assessments being levied on residents.
2017-06-06T13:39:00-07:002021-01-01T10:26:35-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4580Understanding Due Diligence and Earnest Money on the NC Offer to Purchase and Contract<img src="https://assets.site-static.com/userfiles/1188/image/UnderstandingDDandEM_NC-01.png" width="800" height="420" alt="Due Diligence & Earnest Money in NC" style="vertical-align: middle;" />
A no-nonsense review of due diligence and earnest money in the NC Offer to Purchase and Contract
In 2011, the <a href="https://www.ncrec.gov/" target="_blank">North Carolina Real Estate Commission</a> introduced a revised Offer to Purchase and Contract (always seeking to protect consumers) and with that, a new term called "due diligence." Well, change doesn't come easy, and this new concept and contract came with its own challenges for many NC Realtors either. However, once you understand it, it's pretty cool and is definitely designed to protect both real estate buyers and sellers.
Prior to 2011, "earnest money" was the only money that was paid upfront.
Earnest money was put in place primarily to show "earnestness" from the buyer and as a way to compensate the seller for their lost time and opportunities (from other prospective buyers) if the buyer "flaked out." As long as everything went fine and the deal went to closing, the earnest money would be credited back to the buyer at closing and everyone was happy. However, things don't always go smoothly. Buyers and sellers were sometimes left out in the cold. Let me explain...
See, the earnest money would be returned to the buyers if their financing fell through for any reason. This could be due to the loss of their job or many other reasons related to their debt to income ratios changing, or even a mistake by their lender.
Now, this is where the big problems came for the sellers. Their home had been off the market (while under contract) for three weeks to a couple of months waiting for this deal to close. Then at the last minute, the buyer's financing fell through, and the seller would be left standing there with nothing to show but hardship, lost time, lost opportunities, etc. And the buyer would be on their way with their earnest money in hand. You can probably imagine how devastating this could be to sellers.
On the flip side, sellers were not the only ones that could be hurt.
Buyers could also get their earnest money back if inspections had been done (the buyer's cost) with requests for repairs, and those requests were not met. Great for the buyer, right? Well, not exactly. See, while the buyer had a right to back out of the contract AND get their earnest money back, they were still left with lost time and the cost of the inspection ($550+). Additional costs may have also been incurred with a lender-ordered appraisal ($350+), survey ($500+), or any other arrangements or incurred costs. The buyer could "stick in there" and continue on, but they're left with one or more things that will eventually have to be fixed on their dime.
Well, to help remedy these situations and others, the NC Real Estate Commission developed a revised Offer to Purchase and Contract in 2011. The new offer still implemented earnest money but also introduced a "due diligence fee" and "due diligence period."
The due diligence fee is the amount paid by the buyer directly to the seller, which the seller deposits and keeps.
If the deal closes, the buyer will have that amount credited back to them at closing. But either way, that amount upfront is the seller's to keep. In addition to the due diligence fee, there is an agreed-upon due diligence period. The DD fee allows the buyer to conduct "due diligence" at the buyer's expense (inspections, appraisals, review of documents, survey, financing, obtaining insurance, etc) within the due diligence period and gives them the right to back out for any reason. The kicker is that, if they're going to back out of the contract for whatever reason, they need to do so prior to the end of the due diligence period. Otherwise, they will not only have lost their due diligence fee but also their earnest money that was put up (and held in escrow). This is because, with the new contract, there is no longer a financing contingency. If the buyer backs out prior to the end of the DD date, they will at least get their earnest money back.
With the new contract, the buyer is given more freedom, and the seller is protected from being left empty-handed at the last minute if financing falls through.
Strategies for dealing with and negotiating the due diligence and earnest money amount
As a NC/SC buyers agent
When representing the buyer(s), I want the DD fee and earnest money amount to be as low as possible without insulting the seller or giving the appearance that we're wasting people's time. The lower the amounts, the lower the risk of loss for my buyer. In addition, I want the DD period to be extended out as far as possible. The longer the period, the longer my buyer has to do his/her due diligence and feel comfortable that everything will be just fine with their loan, etc.
What if inspections are done, and my buyer is responsible for the cost of those inspections then the seller says, "I'm not fixing anything so you can just take your earnest money and go"? Well, because of this, I DON'T always order inspections right away. I might have inspections scheduled two to three weeks out. Then if the seller refuses to fix one or more things, at least they've got a few weeks invested with their home being off the market and might be more inclined to work with the buyer to resolve the repair issues. In addition, this gives my buyer more buffer room to get comfortable that his/her financing will be secured. Hopefully, they have a really good idea of the likelihood of their financing going through prior to having inspections, appraisals, and surveys ordered. If that's the case, then they've only really lost the due diligence fee.
It's very important to ALWAYS keep track of this DD date (I put it in my calendar with reminder notifications). If more time is needed, go back and try to negotiate a date extension with the seller (they'll usually work with you if you've been proactive) PRIOR to the DD date ending. If you don't then you can risk the earnest money as well.
Also, please note, prior to ever even submitting the initial offer for my buyer, I've already asked the listing agent many questions and probed the best I can. I try to find out the seller's motivation for selling so I can determine how eager they are. I also inquire whether the seller will be prepared for the repair requests that will likely be coming their way. I do my own due diligence so to speak.
As the listing agent
When representing the seller, I want the DD fee and earnest money amount to be as high as possible. This says to me that the buyer HAS some cash, is serious (earnest) about making this work, and is willing to risk higher amounts. And of course, if something does happen, my seller will be compensated just a little bit better. Also, I want the due diligence period to be as short as possible. A shortened DD period gives me confidence in the buyer's willingness and abilities to make things happen. It shortens the length of time that my seller's home is off the market should the deal fall apart.
Please note, the greater the amount of the DD fee, the longer the due diligence period my seller might entertain. The smaller the amount of the DD fee, the quicker my seller will want to see the buyer conducting their due diligence.
Hopefully, this provides clarity on the subjects of due diligence and earnest money. I know that it can feel complicated and sometimes not fair depending on what side of the transaction you're on but it makes a lot of sense if you can get to that point where it's a win-win. If you have any questions, ask your Realtor. If you're not satisfied with what they're telling you, you may then reach out to their broker in charge. If you're not satisfied there, you can always try the NC Real Estate Commission but it should never really get this far. Just make sure you understand all the terms going on. I wish you the best!!
(Update: As of December, 14th, 2020), this entire article still applies exactly as it did when originally written. - Chad H) 2017-05-20T10:24:00-07:002021-11-08T06:52:35-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4581An A to Z Guide for Getting a Mortgage in Charlotte<img src="https://assets.site-static.com/userfiles/1188/image/Mortgage.png" width="800" height="420" alt="Getting A Mortgage in Charlotte " style="vertical-align: middle;" />
Buying a house is complicated enough. The mortgage process only makes things harder.
We help dozens of clients navigate the complexities of buying a home in Charlotte on an annual basis; mortgages are usually the most treacherous part. The mortgage process is most likely to hold up - and even sink - an eventual sale.
Are you <a href="https://www.housesincharlotte.com/blog/seven-steps-to-buying-a-home-in-charlotte-nc/" target="_blank">buying your first home in Charlotte</a>? Or maybe you're back on the market again? Here's a quick primer on the steps behind getting a mortgage in Charlotte, from pre-approval to closing fees.
Choosing a Lender
Let's start with some facts: Charlotte's real estate market is white-hot which means you've got more competition from other homebuyers than you've had in years. For that reason, most sellers prefer to see a pre-approval letter along with your offer, especially in cases of <a href="https://www.housesincharlotte.com/blog/how-to-win-in-a-multiple-offer-situation-when-buying-a-home/" target="_blank">multiple bids</a>.
The first step in the mortgage process, then, is choosing a lender. This can feel overwhelming! <a href="https://www.housesincharlotte.com/blog/what-is-a-buyers-agent-and-why-do-i-need-one/" target="_blank">Talk to your Realtor</a> about whether they work with any preferred lenders. If not, you've got a couple of options: Traditional big-bank lenders (think: Bank of America), smaller boutique lenders (sometimes local, some national), and other (wholesale lenders, etc.) Remember, there is a difference between a Mortgage Lender and a Mortgage Broker. The company that actually makes the loan is the Mortgage Lender while someone who works in a "middleman" capacity to find you the best loan rates and specifications is a Mortgage Broker. If you're totally new to the game, a mortgage broker might be a good place to start to get a sense of your options. It's always a good idea to talk to multiple lenders before you decide which to use. Factors to consider:
Interest Rates: These can vary dramatically from lender to lender; sometimes smaller lenders offer more competitive rates to compete against big retail lenders.
"Programs": This is what mortgage lenders call the various types of loans they provide. There are dozens out there including FHA loans, VA loans, ARMs, and more.
Closing Schedule: Lenders will typically be able to tell you how quickly they can help you close. In a hot market like Charlotte, speed is of the essence for many sellers.
Pre-Qualification/Pre-Approval
There's a huge difference between being pre-qualified (good, but not official) vs. being pre-approved (all but official). When a seller sees that you're pre-approved for a certain amount they can feel good that your loan will come through. This can be a definite plus in a hot seller's market. If you know you want to buy a home sometime in the near future, go ahead and get a pre-qualification letter from your lender to get started. If you know you want to buy a house (or even a specific house), tell them you want to start the pre-approval process.
Pre-approval requires a lot of documentation from you. Everything from your credit history to previous loans to your employment status is subject to review, and the more complicated your finances, the more complicated your pre-approval process. Your lender can walk you through exactly what they'll need from you during the process. Once you're pre-approved, you'll receive an official "Pre-Approval Letter" you can share with sellers.
Application & Loan Estimate
Once your offer is accepted by a seller you can officially put in an application for a loan. If you've already been pre-approved, this process shouldn't be that complicated. Once your application is processed and the lender decides to offer you a loan, they'll present you with what's called a Loan Estimate. By law, lenders have to provide you with this 3-page document within three days of your application (if accepted) and it will outline the explicit terms of the loan, from the interest rate to a breakdown of your closing costs. If you accept the Loan Estimate, your loan application moves on to the processing phase where more information is collected by the lender. This process generally takes anywhere from two weeks to two months; it's important that you/your Realtor stay in constant contact with the lender's representative to monitor the progress and ensure the loan is on track to be issued by your set closing date.
What takes place during processing?
A full credit check is performed on you and/or your spouse or co-signers
Any remaining documentation is collected including tax docs, salary information, bank statements, and more
The lender hires an independent/in-house appraiser to do an appraisal of the property you intend to purchase. If the house "appraises" for less than the amount you plan to pay for it, you may not receive the full amount of the loan requested
Closing
Hopefully, you'll get news at least a few days before closing is scheduled from your lender that everything is approved. Congratulations! You've been issued a mortgage. All relevant files will be transferred from your lender to the closing attorney's office and you'll find out exactly how much money you need to bring to closing with you. The document that outlines all the final closing costs is called the Closing Disclosure. At closing, you'll bring a cashier's check, several forms of ID, and check all loan documents carefully. Then you'll sign about 100 documents! Plan to stay for a couple of hours.
Now you own a house! Technically, your lender owns the house and you're making payments towards the property, eventually owning it outright once you pay your mortgage off. It's an exciting - if not draining - process. The good news is, Charlotte has many excellent boutique mortgage lenders and several large retail mortgage lenders, too. 2017-05-11T10:31:00-07:002023-04-14T05:22:14-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4577Do I Need an Agent if I'm Buying a New Construction Home from a Builder?<img src="https://assets.site-static.com/userfiles/1188/image/Model_home_open.jpg" width="800" height="420" alt="New Construction Charlotte NC Agent" style="vertical-align: middle;" />
About 10% of all homes sold in the U.S. are new construction.
We've all seen them: The big roadside billboards touting "From the high 300s!" and "Move in for only $1,500!" with balloons and a banner telling you the model is open. Here in the Charlotte market, they're on the rise. Builders are racing to keep up with the demand for new, tricked-out homes all over our area, from Ballantyne to Davidson and beyond.
<a href="https://www.housesincharlotte.com/new-construction-homes-in-charlotte-north-carolina/" target="_blank">New construction</a> has a lot of advantages. It's more predictable, has longer warranties, and doesn't come with some of the logistical hurdles of owner-to-owner home sales. But all too often, clients come to us scrambling to find an agent to represent their best interests when they're way too far down the rabbit hole already.
So, do you need an agent if you're buying a new construction home from a builder?
Why People Decide NOT to Use a Buyer's Agent for New Construction
One of the most common reasons people decide not to use an agent when buying new construction is a foundational misunderstanding of how buyer's agents are paid. Remember, when you're the buyer, you don't pay your agent anything! The seller pays the buyer's agent's fee, and that's true even if the seller is a new construction builder.
Some people think they can negotiate for a better deal with the builder if they aren't using an agent...after all, that's less money the builder has to pay to Realtors, right? For the most part, this is a non-starter. Reputable builders love working with buyer's agents because they help transactions close smoothly and professionally. They want to keep the real estate community on their team, so they will rarely offer any kind of "deal" to buyers just because they don't have an agent.
Unfortunately, when you don't have a buyer's agent, you're only shortchanging yourself.
Why Do You Need an Agent to Buy From a Builder?
For the same<a href="https://www.housesincharlotte.com/blog/what-is-a-buyers-agent-and-why-do-i-need-one/" target="_blank"> reasons you need a buyer's agent </a>at any other time! A buyer's agent is there to work on your behalf which means different things in different transactions. When buying a new construction home there will probably be more time spent ironing out paperwork and financing and build deadlines than working with an inspector or an architect, but it's time spent nonetheless.
As a buyer, you need someone on your team. A buyer's agent helps you determine the fair market value for the home you're buying and holds the builder's feet to the fire when they get behind schedule or try not to "include" something that was specified in your contract. They'll also do all the same things they do in a regular transaction like help you obtain financing, attend clthe osing with you, and even help get your current home sold in the meantime.
Best of all, having a Realtor by your side can help you get a better deal, even from a builder. New construction <a href="http://www.inman.com/2015/04/10/save-big-on-new-construction-secrets-your-buyers-should-know/" target="_blank">builders don't like to reduce the listing price</a> on a home because it can impact future sales...a buyer's agent can help you find other ways to save like asking for closing costs or having a bunch of upgrades thrown in. Working directly with a builder can feel intimidating for many buyers; having an agent will help.
When to Involve Your Buyer's Agent
If you remember one thing from this article, make sure it's this: Bring your buyer's agent to the new construction home site every single time. Most importantly, the FIRST time! If you're a potential home buyer driving around and you see a sign for a great new neighborhood ("Model Home Open Today!"), call your agent! If you walk into that model home and shake hands with the builder's representative without your buyer's agent present you've already lost your chance to be represented. You can still work with a buyer's agent, of course, but you'll have to pay their fee yourself.
Wouldn't you rather have the builder pay it for you?
Hendrix Properties has represented dozens of <a href="https://www.housesincharlotte.com/about/testimonials/" target="_blank">home buyers in Charlotte</a> purchasing new construction. Give us a call before you're ready to start looking!2017-04-20T08:02:00-07:002020-07-02T05:25:34-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4569What to Know About Owning a Home With a Pool<img src="https://assets.site-static.com/userfiles/1188/image/Pools.png" width="800" height="420" alt="Owning a Home With a Pool NC" style="vertical-align: middle;" />
Did you know there are over 10,000,000 swimming pools in the U.S.?
Pools are one of the most requested <a href="https://www.housesincharlotte.com/luxury-homes-in-charlotte-nc/" target="_blank">luxury items</a> by homebuyers, and here in Charlotte, pools are hot. Of course, many of the area’s planned neighborhoods offer community pools to residents, and plenty of the city’s <a href="https://www.housesincharlotte.com/charlotte-condos-townhomes-for-sale/" target="_blank">apartment, condo, and townhome complexes</a> have pools.
Pools can be a wonderful thing! They’re great fun for kids and have a tendency to bring neighbors together. But before you jump to make an offer on a <a href="https://www.housesincharlotte.com/homes-with-pools-in-charlotte-nc/" target="_blank">house with a pool in Charlotte </a>(or anywhere!), you should consider a few things.
The Cost of a Home Pool
Home pools can be a liability. That’s not to say they’re not worth it, but they can be expensive in more ways than one. For example, most insurance companies <a href="https://www.allstate.com/tools-and-resources/home-insurance/swimming-pool-insurance.aspx">recommend</a> you up your liability coverage by as much as $200,000-$400,000 if you have a pool which can raise your premiums substantially. Property insurance should also cover your pool in case it’s damaged in a storm or other natural disaster.
It’s important to think about personal liability when it comes to a home pool; they’re statistically very dangerous. For example, a personal umbrella liability policy might be worth the money if you plan to allow neighborhood kids and your children’s friends to swim in your pool. Many insurance companies require that you build a four-foot fence around the perimeter of your pool to maintain coverage.
And remember, pools don’t maintain themselves. You’ve got to regularly service, clean, and treat your pool, even if it’s saltwater. The average cost for pool chemicals per month is nearly $90. Be sure that investment is worth it! Analysts say the average American pool owner spends over $1,000 an hour enjoying their pool because they use it infrequently.
Can You Build a Pool?
Want to build your own pool? Before buying a house with a backyard big enough for a pool or investing in one at your place, know the basics. The average cost to build an in-ground pool is over $21,000, and that doesn’t include maintenance. Here are the <a href="http://www.bhg.com/home-improvement/outdoor/pools-spas/types-of-pools/" target="_blank">basic in-ground pool types</a>.
Fiberglass Pools: Made by a manufacturer and come in one piece. Flexible and cost-effective.
Concrete Pools: The most sturdy but most costly to build. It can be customized to any shape or size.
Lap Pools/Spa Pools: Long and thin, usually made of concrete, taking up minimal room.
Saltwater Pools: Expensive to build, but maintenance is less costly and avoids excessive chemicals.
It’s also imperative that you know the restrictions! If you live in a neighborhood governed by an HOA, you may have to approve your pool build, or you may not be allowed to build one. You might also find restrictions on the shape or size of your pool and directives on whether or not it can be above-ground. There might be noise restrictions in your neighborhood that prevent you from using your pool whenever you want.
City Restrictions for Residential Pools
The city/county you live in probably has a pretty robust set of regulations regarding building pools, too. You can’t just dig a hole in the backyard and fill it with water. For example, Charlotte Mecklenburg requires you to build a fence around your pool with an alarm. There are also restrictions on things like drain covers, outlet systems, and even how wastewater from the pool is handled. It can be complicated!
In Charlotte, residential pools must:
Receive a building permit and plumbing permit
Submit an application to the Mecklenburg County Health Department
Be surrounded by a fence at least 48” above grade and that raises no more than 2” off the ground
Comply with the water circulation requirements of Section AG 106 of the NC Residential Code
Be treated or drained at the end of the season to prevent unsanitary conditions from forming
Are you looking at <a href="https://www.housesincharlotte.com/homes-with-pools-in-charlotte-nc/" target="_blank">houses with pools in Charlotte</a>? We get it...pools are great! We've worked with a lot of pool-friendly buyers over the years so we've got experience navigating the complex issues these home features can present.<br /><br />Here is an updated list of Charlotte homes with pools for sale in case you'd like to browse:2017-04-06T09:16:00-07:002023-09-16T06:26:27-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4566What to Know About Owning a Historical Home in Charlotte<img src="https://assets.site-static.com/userfiles/1188/image/Dilworth_neighborhood_Charlotte1.jpg" width="800" height="420" alt="Dilworth Charlotte NC" style="vertical-align: middle;" />
The United States is a relatively young country, but as one of the original 13 colonies, North Carolina is home to some of the “oldest” places in America.
Here in the Charlotte area, homeowners are often running into unplanned issues with historical designations, preservation regulations, and local laws. It can be hard to know the difference between a “historical landmark” and just an old house – we’re going to break down the basics for you so you know where to start.
If you’re buying in some of the more historic parts of Charlotte – Dilworth, Myer’s Park, Plaza Midwood – you definitely need to know what you’re walking into as you search. Historical homes can be beautiful, but they can also come with a lot of strings attached!
The National Register of Historic Places
The <a href="https://www.gsa.gov/real-estate/historic-preservation/historic-building-stewardship/national-register-of-historic-places">NRHP</a> acts as the umbrella organization for all things “historical” in the United States. The NC arm of the organization is known as the <a href="https://www.ncdcr.gov/state-historic-preservation-office">NC State Historic Preservation Office</a> and is responsible for setting state-specific regulations.
Overall, the National Register of Historic Places includes over 85,000 buildings, structures, sites, and districts, about 3,000 of which are here in NC. Of those, about 500 are “historic districts” which are broad swaths of land that include everything from properties to commercial buildings. Wilmore, for example, is one of <a href="http://charlottenc.gov/planning/HistoricDistricts/Pages/Home.aspx">Charlotte’s historic districts</a> – further designated as such on a local level by the City Council.
The Power of Designation
So here’s the rub. The National Register of Historic Places works hand-in-hand with local governments to designate and regulate historical districts, landmarks, and buildings. Broadly, the NRHP makes recommendations to local governments about what should be controlled and protected, but it’s up the city to enforce preservation laws.
Most of Charlotte designated historical sites have already been named so. Of course, a city can ask the NRHP to designate a new landmark, district, or building, but it’s hard to do so once it’s already full of property owners who object. If your home sits inside a designated Historical District but is NOT a protected landmark individually, the interior of it is yours to do with as you wish. The exterior, though, is often where homeowners run into issues when they decide to add a garage, paint the house a new color, or update the windows, for example.
But That Sounds Like a Hassle!
Well, yes, it kind of is. If your house sits inside a historical district you’ll likely have to get permission from the <a href="http://landmarkscommission.org/">Charlotte-Mecklenburg Historic Landmarks Commission</a> to make any substantial changes to the outside of it, or “material alterations,” as they’re called. As long as your changes fit within the historical character of the house (i.e. if you’re not trying to paint your craftsman neon yellow), you likely won’t run into any huge problems, but it all depends on the specific person(s) who are reviewing your request.
The real constraint is time, since the commission only meets every month or so to review applications. This can make a renovation feel like it’s dragging on forever. Some more minor changes (fence repair, gutter replacement) can be approved by administrators as quickly as five business days while others (home additions, new garage door) must be set forth toward the board. If deemed acceptable, your change will be awarded with a “Certificate of Appropriateness” and can move forward.
The Plus Side to Owning a Historical Home
The good news is that some renovations, including those that essentially just “fix” what’s broken about an existing home, don’t have to be approved at all. Here is a <a href="http://landmarkscommission.org/designated-historic-landmarks/">really, really great document from the City of Charlotte</a> about the approval process, design considerations, and specifics to area homes.
But! There’s an upside! Although it can be a hassle to change a historical property, you can rest assured the character of your house and in fact, your neighborhood if you live inside a historical district, will stay intact. The designation will be considered during public planning (i.e. you won’t get a new highway running through your front yard) and you might even get up to a 30% tax credit on your property taxes!
What Should I Do Now?
If you want to see if your house or the house you’re considering buying has been designated as a landmark in Charlotte, <a href="http://landmarkscommission.org/designated-historic-landmarks/">use this list</a>. Be sure to talk to your Realtor about what the designation – either of the home or its neighborhood – means for your ownership of the home. There are plenty of companies working in Charlotte that specifically deal with renovating historic properties, so they’re also a good place to turn for guidance on cost, timelines, and ability.
Want to talk more about buying or owning a historical home in Charlotte? There are a lot of things to consider, so it may take a little time to research. Give Chad Hendrix a call today to dig up the information you need in order to make an informed purchasing decision. It’s worth the time.2017-02-14T09:48:00-07:002020-07-02T05:31:02-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4540What is a 'Mixed-Use' Development (and Why Does Charlotte Love Them?)<img src="https://assets.site-static.com/userfiles/1188/image/waverly_charlotte_2.jpg" width="800" height="420" alt="Waverly Charlotte NC" style="vertical-align: middle;" />
It's one of the terms du jour in real estate right now: <br />Mixed-Use Development.
You have seen it abbreviated as "MUD" and you've almost certainly seen it mentioned in the news or in your local neighborhood meeting. But what does it mean, and why do there seem to be so many popping up in Charlotte?
Birkdale Village, one of the most popular Mixed-Use Developments in the Charlotte area
In short, a Mixed-Use Development is a feature of urban development that blends commercial, residential, social, and sometimes industrial uses into one congruent area. They're generally defined as being more pedestrian-friendly than other car heavy parts of town, and the most common iteration you see nowadays is a large commercial shopping promenade topped with residential, multi-family housing (think: <a href="https://www.housesincharlotte.com/huntersville-nc-homes-for-sale/birkdale-village/" target="_blank">Birkdale Village</a>.)
It's important to remember that there is no unilateral definition for the term. A MUD property in Minnesota might have different parameters and requirements under zoning laws that one here in North Carolina. And in some cases, neighborhood and city restrictions can also impact the layout, density, and use of these kinds of developments, too.
The myriad benefits of Mixed-Use Developments on growing cities have been much touted. They're said to create stronger community bonds, encourage more walking and biking, and reduce the distance between work and home leading to shorter commutes. People who love them say they're a great solution for those looking for walkable, multi-family housing with less maintenance than a single family home. They're also instrumental in some communities in making sure lower-income residents have easy access to commercial businesses such as grocery stores and doctor's offices.
But why so many MUDs in Charlotte?
Well, for starters, Charlotte is a flourishing city. Mixed-Use Developments are the easiest way to accommodate dense urban growth, and a lot of Charlotte's explosive building over the last decade has been centered around infill properties. MUDs are also highly conducive to rental as opposed to ownership properties because of the height and density that naturally comes with them. As a young, fast-moving city, Charlotte's still having trouble keeping up with demand for rental properties even though it seems like a new apartment building is going up on every corner.
Waverly, a new MUD in south Charlotte featuring David Weekley homes
Some of the most interesting Mixed-Use Developments in the Charlotte metro area contain many elements of a successful urban neighborhood. For example, <a href="https://www.housesincharlotte.com/south-charlotte/waverly" target="_blank">Waverly</a>, located at I-85 in south Charlotte, blends dozens of desirable brand-named stores and restaurants with affordable apartment rentals and owned homes by national builder David Weekley. Likewise, several large Mixed-Use properties are currently being developed in some of the most desirable parts of town, like <a href="https://www.housesincharlotte.com/south-charlotte/dilworth/">Dilworth</a>, to accommodate the need for more affordable housing. Residents love being able to live in income-restricted properties, and builders love the tax benefits they receive from building such developments. It's a win-win.
Would you like to live in a mixed-use development in Charlotte? Does the appeal of walking to restaurants and stores outweigh the smaller square footage and added traffic?
Tell us your thoughts on these developments in the comments or over on Facebook! We'd love to hear from you.2017-01-03T09:52:00-07:002020-12-06T15:09:23-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4538What's the Difference in a Townhome and a Condo?<img src="https://assets.site-static.com/userfiles/1188/image/COndo.jpg" width="800" height="420" alt="Condo Charlotte NC" style="vertical-align: middle;" />
Do you know the difference between a townhouse and a condo?
The former conjures up images of rows of two-story brick apartment complexes...we've got a lot of them here in Charlotte! The latter could refer to anything from a glass box on top of an Uptown skyscraper to a hip Southend loft, right?
Well, kinda.
The real difference between a townhome and a condo is all about semantics.
Townhomes are actually defined by their architectural styles. Townhomes can actually either be owned or rented. Generally, a townhome is sort of like a condensed single-family home. More often than not, townhomes are multiple stories, and usually, the living area is on one story while the bedrooms are on the other(s). Townhomes may or may not have an attached yard space, and they may or may not have access to shared amenities like a pool, tennis courts, etc. Usually, townhomes are part of a large community comprised of a bunch of townhomes, but they can be part of a single row of townhomes, too. Townhomes usually have front and back access and windows on both sides of the building.
Condos - or "condominiums" if you want to get technical about it - are defined by being owned. The term refers to a property in which the owner is responsible for everything inside the walls but not for shared spaces like hallways, exterior, etc. The easiest way to think about a townhome is like an apartment, but not one you rent. Condos are more typically units, and they don't usually have both front and back exposures like a townhome. You see them most often in medium- to large-sized buildings that stack condo on top of a condo, each sold to a different individual. Once owned, some buildings allow condos to then be rented out, but if that happens, they become two different things. They're a condo to the owner and an apartment to the renter. Still following?
Here's the rub: A townhome can BE a condo.
Yup, that's right. Some townhome developments are built with the very intention of selling those townhomes to individual owners. In that case, they're condos, too! The owner owns a condo and a townhome, depending on what they want to call it. A townhome is never just a townhome; it's either a condo or an apartment.
Let's break it down:
Townhome: Defined by its architecture<br />Style: Often two-story, living space on one level/bedrooms on another<br />Yard: Usually<br />Garage: Individual or none<br />HOA fees: Yes, if owned<br />Shared space: Sometimes<br />Landscaping: Sometimes your responsibility, sometimes paid by HOA dues<br /><br />
Condo: Defined by ownership<br />Style: Townhome, apartment, loft<br />Yard: Rarely<br />Garage: Usually shared<br />HOA fees: Yes<br />Shared space: Typical amenities include sports facilities, walking paths, garage space<br />Landscaping: Typically handled and paid for by HOA
If this seems to be the style of living you desire, explore all current <a href="https://www.housesincharlotte.com/charlotte-condos-townhomes-for-sale/">Charlotte townhomes and condos for sale</a> here and let us know when you're ready to start your journey.2016-12-19T09:24:00-07:002023-08-06T04:52:00-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4539How Often Are Property Tax Rates Assessed in Charlotte?<img src="https://assets.site-static.com/userfiles/1188/image/PropertyTaxAssessment_CLT_HPBlog-01.png" width="800" height="420" alt="Charlotte NC Property Taxes" style="vertical-align: middle;" />
If you live in Charlotte, you enjoy some of the lowest property taxes of any major city in the country.
That's great news! The property tax rates in Charlotte probably won't stay this low forever, but homeowners here have enjoyed historically affordable property taxes relative to other parts of the country and even in North Carolina as a whole. Here's what you need to know.
Property taxes in the Charlotte area are "locally-assessed" which means they're collected by the county you live in. This holds true for all neighboring counties: <a href="https://www.housesincharlotte.com/mecklenburg-county-real-estate/">Mecklenburg</a>, <a href="https://www.housesincharlotte.com/cabarrus-county-real-estate/">Cabarrus</a>, <a href="https://www.housesincharlotte.com/iredell-county-real-estate/">Iredell</a>, <a href="https://www.housesincharlotte.com/gaston-county-real-estate/">Gaston</a>, etc. If you live in Charlotte proper, you will pay both Charlotte-Mecklenburg County taxes and Charlotte city taxes as part of your overall tax bill each year. Property taxes pay for a number of important civil services like parks, public schools, and even emergency services.
What is taxed, and how?
"Property taxes" pertain to all the real property you own. This includes raw land, your home, and (separately) items you own, like cars, boats, and motorcycles. The amount you pay in property taxes is based on the assessed value of your home and the current tax rate. How do you figure out what you'll pay?
To determine your county taxes, divide the assessed value of your home by $100.00, then multiply that result by the current tax rates. The result is your annual county tax payment, which you'll then add to your city taxes and additional fee services such as sewer taxes.
Or, if you don't want to do all that math, go to the <a href="https://property.spatialest.com/nc/mecklenburg/#/" target="_blank">Charlotte property tax website </a>and enter your address.
But how does the county know how much my house is worth?
Well, that's the big question. A lot of homeowners wonder if their homes are assessed accurately, and some think the county overvalues their property, which causes them to pay more in taxes. How often are home values reassessed for property taxes in Charlotte?
By North Carolina law, property values must be reassessed at least every eight years. Sometimes the county chooses to assess them outside of this schedule, but this is rare. The last property tax assessment we had in the Charlotte area was in 2011, and the assessed values are expected to stay the same until 2019. In general, reassessing property taxes in Charlotte is a big deal! For example, <a href="http://www.charlotteobserver.com/news/politics-government/article9245489.html" target="_blank">in 2014 the city paid an independent review committee</a> to "revaluate" the homes assessed in 2011. This resulted in hundreds of tax bills and tax rebates for homeowners whose homes had been either under- or over-valued.
If something like this is happening, you'll hear about it on the news, but be sure to ask your Realtor if you have questions about property taxes in Charlotte.
What criteria does the county use to decide the value of your home?
According to the Char-Meck government:
The County Assessor's Office also keeps track of ownership changes, maintains maps of parcel boundaries, keeps descriptions of building and property characteristics up to date, keeps track of individuals and properties eligible for exemptions and other forms of property tax relief, and, most important, analyzes trends in sales prices, construction costs, and rents to estimate the value of all assessable property.
What can you do if you think your property's value has been assessed incorrectly? You can place an appeal with the county tax office, but you have to do it before you get your tax bill - if you're worried about your assessment, you need to stay on top of property tax reassessments and know your home's new "value."
Property taxes are officially "due" on September 1st of every year, but they're not late until January 1st (or a few days later, depending on holidays - the city will be clear on the exact date your payment is late.) When you sell property in Charlotte, you'll either be credited or debited with your portion of the property taxes, depending on when the sale takes place.
It sounds complicated, but having a knowledgeable Realtor helps! If you've still got questions about how your Charlotte property taxes will affect your home purchase or sale this year, give us a call. 2016-12-12T09:40:00-07:002023-09-16T06:21:15-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4518Why a Boutique Real Estate Firm is Better than a Big Shop<img src="https://assets.site-static.com/userfiles/1188/image/architecture-buildings-business-331990.jpg" width="800" height="420" alt="Boutique Real Estate Firm " style="vertical-align: middle;" />
We know you've got a lot of options when choosing a real estate agent.
So, what's better...selling or buying a home through a big, national brand real estate firm or going with a smaller shop? It's a fair question. Each option offers its own benefits and drawbacks, and what's right for you might not be right for your neighbor or your best friend.
We may be a little biased, of course, but we do think it's better to go with a boutique real estate firm than a big shop. Here's why.
The Internet Has Leveled the Playing Field
Back in the day, Realtors had to work in a central office to exchange information on which listings were available, what their clients were looking for, etc. Obviously, the more agents in an office, the more information could be exchanged. This is no longer the case. The internet - specifically, the online Multiple Listing Service - has given everyone the same access to the same information, as long as they are an accredited Realtor. It's no longer a disadvantage to work at a small real estate firm, or even as an independent real estate agent.
Big Box Shops are "Charging" You for Things You Don't Use
Maybe you used the same big real estate firm for your last two moves, paying a standard 6% commission rate on each home sale. When you work with one of those agents, that commission rate is likely set in stone, and they may even get a smaller portion of it than an agent at a smaller firm will (because that big firm has to pay for that big office and that big billboard and those big training classes), meaning they're stretched thinner and less likely to fight for every dollar on your behalf. Conversely, a smaller firm's commission structure might be more flexible for favorable to you, as a consumer as well as to the agent themselves.
You Want Better Customer Service
Most big real estate agencies have quotas and sales goals like any other large scale business. This kind of pressure can put agents under pressure that's not doing you any favors - making them take on more clients, sell/buy homes quicker, and generally providing a lower level of service to a higher number of customers. At a small shop, agents are more likely to have independence and trust, and they're less likely to be constrained by quotas. That translates to better service for you, and a more personalized approach to real estate.
Rely on Experience, Not the Status Quo
At most big firms, there are a set roster of mortgage brokers, banks, inspectors, and so on that everyone "uses" for their transactions. This kind of "nepotism" can cause both sides to get a little lazy, falling back on habit rather than working in the best interest of the client. At smaller firms, agents are less incentivized to go with the flow and instead are rewarded by working with the best professionals in a number of fields. Not only that, but they feel more responsibility to the small 'brand' name than they might to a big box firm, so they're likely to work even harder to maintain a solid industry reputation.
That's just our two cents! Of course, Hendrix Properties is a <a href="https://www.housesincharlotte.com/about/" target="_blank">boutique real estate firm in Charlotte, NC</a>, so we're a little partial to the small agency mindset.
Want to talk pros and cons of a boutique agency? Give us a call. We're here to chat.2016-11-28T14:30:00-07:002020-07-02T05:32:55-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4512How to Plan Your Move to Charlotte, NC<img src="https://assets.site-static.com/userfiles/1188/image/HowToMovetoCharlotteNC.png" width="800" height="420" alt="Plan Your Move To The Charlotte NC Area" style="vertical-align: middle;" />
So, you’re moving to Charlotte.
Congratulations!<br />You’re about to land in one of the fastest growing cities in the country, and you’re going to love it here. We’ve got professional sports teams, outdoor recreation, a booming business industry, and gorgeous neighborhoods to boot.
If you’re feeling a little overwhelmed at the prospect of a move to Charlotte, let us give you a few pointers. After all, we live here and also help people <a href="https://www.housesincharlotte.com/communities/">relocate to Charlotte</a> all the time; we know what we’re talking about.
Step One: Living Arrangements
You should know that it’s almost exactly the same cost to rent or own in the Charlotte area. The median rent for a one-bedroom is just over $1,000 a month, but with mortgage rates at all-time lows, many are considering purchasing instead. If you’re renting, you can probably use a large rental site such as Rent.com to find the perfect place. If you’re buying, you’ll want to work with an experienced Charlotte buyer’s agent to find the best deal in the right area.
Once you decide whether you’re renting or buying, you’ll need to <a href="https://www.housesincharlotte.com/communities/">choose a neighborhood</a>. Not only will you want to consider Charlotte’s most popular infill neighborhoods like <a href="https://www.housesincharlotte.com/south-charlotte/dilworth/">Dilworth</a>,<a href="https://www.housesincharlotte.com/south-charlotte/myers-park/"> Myers Park</a>, <a href="https://www.housesincharlotte.com/south-charlotte/sedgefield/">Sedgefield</a>, and of course, <a href="https://www.housesincharlotte.com/uptown-charlotte/">Uptown</a>, you’ll want to think about whether outlying neighborhoods and suburbs like <a href="https://www.housesincharlotte.com/ballantyne/">Ballantyne</a>, <a href="https://www.housesincharlotte.com/fort-mill/">Fort Mill</a>, <a href="https://www.housesincharlotte.com/davidson/">Davidson</a>, or <a href="https://www.housesincharlotte.com/mooresville/">Mooresville</a> are options, too. Factors like commutability, schools, and cost-of-living should all be considered.
Step Two: Moving Checklist
Moving to another city means you’ve got to familiarize yourself with the local utilities, schools, streets, and more. Here are a few things to check off your list before you plan your move:
Power: Within the city of Charlotte, you’ll use Duke Energy for power. Call them (800.777.9898) at least two weeks BEFORE your move to ensure your power’s on when you get there.<br /><br />
Gas: Your residence may or may not use gas – some multi-family buildings don’t – for anything from electricity to cooking to hot water heating. Piedmont Natural Gas is Charlotte’s gas provider – call them (800.752.7504) at least a week before moving to set up service.<br /><br />
Telephone/Internet/TV: You’ve got options! Depending on where you’ll be living, check with AT&T (888-757-6500), Time Warner Cable (877-566-4TWC), and even Google Fiber to see if you’re covered. It usually takes a few days to get a technician to come out, so call before moving day.<br /><br />
Water/Sewer: The vast majority of homes in Charlotte are on city sewer and water (as opposed to well water or a septic tank). Water and sewer services will be billed to you directly each month but you’ll need to contact the water department (704-336-7600)about a week before you move to switch the name on the account.<br /><br />
Trash Collection: For most CLT residents, trash collection is included in your property taxes. Your building or home should have a dumpster or trash can(s) already, but check here for your pickup day.<br /><br />
US Postal Service: Before you move, don’t forget to <a href="https://moversguide.usps.com/icoa/home/icoa-main-flow.do?execution=e1s1&_flowId=icoa-main-flow" target="_blank">officially change your address with the USPS</a> so they’ll forward mail from your old address to your new one in Charlotte.
You’ll also want to consider property taxes, changing over your driver’s license, and getting your kids enrolled in school, if applicable.
Step Three: Plan Your Life in CLT
Now that you’ve got your move underway, figure out how you’re going to enjoy your life in Charlotte! We’ve got something for everyone here, from a <a href="https://www.mecknc.gov/ParkandRec/Parks/Pages/default.aspx" target="_blank">massive parks system</a> to dozens of festivals and events to several professional sports teams. And if you like outdoor recreation, know you’re only a short drive away from hiking, mountains, and beaches.
Ready to move to town? We’re your <a href="https://www.housesincharlotte.com/communities/">relocation experts in Charlotte</a> and we’re excited to help you start your new life in the Queen City. Call us today to get started.2016-09-05T12:06:00-07:002020-08-27T05:09:16-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:45116 Reasons You Don't Need a Buyer's Agent (And Why They're All Wrong...)<img src="https://assets.site-static.com/userfiles/1188/image/ReasonsYouDontNeedaBuyersAgent.png" width="800" height="420" alt="Do You Need A Buyers Agent Charlotte Real Estate" style="vertical-align: middle;" />
There’s a pervasive myth out there that buyer’s agents aren’t really necessary. After all, can’t you find your next home on Zillow, use LegalZoom to print off all the documents you need, then let your closing attorney take it from there?
We see all too many buyers coming to us after-the-fact, mid-transaction, or for their next home purchase in the wake of a disastrous buy, hoping to recoup some of the financial and psychological losses incurred through a bad experience without an agent. Don’t let this happen to you.
Here are six reasons people might tell you there’s no need to work with a buyer’s agent – and exactly what you should ignore them all.
<img src="https://www.housesincharlotte.com/uploads/agent-1/FindYourHomeSearchingOnline.png" alt="" width="750" height="82" />
1. You can easily find your dream home by searching online.<br />Let’s start with the big one. Sites like Trulia, Zillow, and Realtor.com are great resources, to be sure. In fact, <a href="http://www.realtor.org/reports/highlights-from-the-2015-profile-of-home-buyers-and-sellers" target="_blank">42% of buyers</a> start the home-searching process by looking online. Unfortunately, there are so, so many reasons you can’t rely on the information you find on large housing sites: out-of-date listings, incorrect estimates, and improperly described or marked listings are just the beginning. The only truly accurate source of information about homes for sale in your area is the MLS, and only a broker can grant you access.
<img src="https://www.housesincharlotte.com/uploads/agent-1/NegotiatingIsSimple.png" alt="" width="750" height="82" />
2. Negotiating is simple if you’re good at haggling.<br />Maybe you’ve got a strong stomach for negotiations…that’s a great start! Then it won’t be hard for you to swallow your emotions when it’s down to the nitty-gritty of going under contract. But what most buyers working on their own don’t consider is what they can’t possibly know without experience undergoing many other home negotiations. For example, maybe the seller needs to stay in the house past the closing date you want – do you know how to negotiate a seller possession addendum into the contract? And do you know what options you have if you’ve reached an impasse over something “small,” like a $1,000 difference in <a href="https://www.housesincharlotte.com/blog/understanding-due-diligence-and-earnest-money-on-the-nc-offer-to-purchase-and-contract/">due diligence monies</a>, or even closing costs? A realtor does.
<img src="https://www.housesincharlotte.com/uploads/agent-1/DueDiligenceIssues.png" alt="" width="750" height="82" />
3. You can handle any issues that come up during due diligence.<br />If something happens during the due diligence period – maybe a survey that shows encroachments or a bad inspection report – are you willing to walk away from the home if you can’t get it sorted out? In some cases, we’ve seen sellers be very hardline with buyers they know aren’t working with an agent simply because they don’t think they’ll get much pushback. A qualified buyer’s agent is always on your side and they’ll do the uncomfortable, tense back-and-forth on your behalf. Buying a house is stressful enough without having to become a de-facto lawyer, too.
<img src="https://www.housesincharlotte.com/uploads/agent-1/CheaperWithoutAnAgent.png" alt="" width="750" height="82" />
4. It’s cheaper to buy without using an agent.<br />Well, this is just a misunderstanding. In actuality, it costs buyers nothing to use a buyer’s agent! That’s right: having someone represent you and your best interests comes at no charge to you under the current broker commission arrangements in the U.S. When a property is listed on the MLS, the listing agent will list a % of the commission that will be paid to the buyer's agent. This amount is already agreed to on the listing agreement. In most cases, if a buyer decides to purchase without the help of a buyer's agent, they are not only unrepresented but more than likely, the listing agent will end up with any extra commission.
<img src="https://www.housesincharlotte.com/uploads/agent-1/GoodAtMultitasking.png" alt="" width="750" height="82" />
5. You are good at multi-tasking and can handle all the moving pieces.<br />There are a LOT of moving pieces in even the simplest real estate transaction. Between the inspector, appraiser, survey company, radon and/or gas survey, mortgage brokers, real estate attorneys, and seller’s agent, you’re looking at many, many points of contact from the get-go. As a buyer, do you know exactly when to schedule each meeting, or how long to wait on results before pestering a third-party? Additionally, if something comes up like a high radon reading or a structural crawlspace issue, would you even know who to call to get an estimate of repairs quickly? Your buyer’s agent does.
<img src="https://www.housesincharlotte.com/uploads/agent-1/YouKnowWhatYoureDoing.png" alt="" width="750" height="82" />
6. You know what you’re doing and the internet can tell you anything you don’t know. You think.<br />The best part about working with a qualified buyer’s agent? They wear a lot of hats for you. Not only are they your fiduciary, but they’re also your analyst, your consultant, and your therapist all rolled into one. A good agent will be straight with you if they think you’re getting a bum deal or leaving money on the table, and they’ll also tell you when it’s worth letting an issue go to save the sale. It’s easy to become overwhelmed when dealing with complex, life-altering decisions; your real estate agent is there to help take the burden off your shoulders.
Make sense? <br />Buyer’s agents might seem superfluous but they’re one of those things you don’t know you really, truly need until it’s too late. Many buyers don’t realize they can’t bring in a buyer’s agent midway through a transaction – once they connect with the seller’s agent without an agent of their own, the seller no longer has to pay their agent a fee down the road.
Don’t leave money on the table or take on more stress than is necessary. Contact a qualified local buyer specialist – like us! – today to find out why you really do need an agent. Friends don’t let friends buy houses without them.
2016-08-23T11:26:00-07:002019-02-23T06:54:25-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4509What Millennial Home Buyers are Looking for in Charlotte<img src="https://assets.site-static.com/userfiles/1188/image/MillennialHomeBuyersinCharlotte.png" width="800" height="420" alt="Charlotte Millennial Home Buyers" style="vertical-align: middle;" />
Millennials are, without a doubt, the next big thing to happen to the housing market. Though they make up only 14% of the U.S. population, <a href="http://www.realtor.org/field-guides/field-guide-to-millennial-home-buyers" target="_blank">millennials</a> account for nearly a third of the potential homebuyers out there. For Charlotte, their impact is magnified.
National news sources and real estate organizations alike are calling Charlotte one of the <a href="http://www.realtor.com/news/trends/where-the-millennials-move-to-in-2016/" target="_blank">hottest real estate markets in the country for millennials</a>. That’s good news for sellers, who’re happy to have additional buyers in the pool, and for developers – if they’d ever start building more homes in Charlotte for entry-level buyers.
What, exactly, is a millennial home buyer in Charlotte looking for in what will likely be their first house?
<img src="https://www.housesincharlotte.com/uploads/agent-1/Millennial_Affordablehomes.png" alt="" width="750" height="250" />
Ultra-Affordability
Obviously, millennial buyers are coming to the table with less cash than their retired counterparts but today’s millennials have unfortunately <a href="http://www.charlotteobserver.com/news/business/article72806477.html" target="_blank">saved less for a down payment</a> than any other generation in history. That means they’ll be relying on unusual mortgage packages and properties eligible for FHA financing. For private sellers, enticing millennial buyers with options like seller-financing, rent-to-own, and paid closing costs is a worthwhile investment.
<img src="https://www.housesincharlotte.com/uploads/agent-1/Millennial_OlderHomes.png" alt="" width="750" height="250" />
Older Homes
Yes, millennials have a reputation for loving their USB charging outlets and cutting-edge quartz countertops but did you know that statistically, they’re more likely than any other generation to buy an older, previously lived-in home? The biggest factor is affordability. Millennials tend to be on one end of the spectrum or the other: they want lots of space and yard in their first home (they plan to live in it for decades) or they want something small and centrally located. The ones looking at older homes don’t mind doing renovations but as time turns, millennial renters looking to buy out of Charlotte’s high-end apartment-style living may be less apt to make aesthetic compromises.
<img src="https://www.housesincharlotte.com/uploads/agent-1/Millennial_WalkableAmenities.png" alt="" width="750" height="250" />
Walkable Amenities
As we mentioned, <a href="http://www.ibtimes.com/millennial-housing-2015-walkability-wins-out-cities-grow-suburbs-urbanize-new-2033779" target="_blank">millennials in nearly every market say walkability is a huge concern</a>. In Charlotte, public transportation projects like LYNX and the Streetcar are helping connect far-flung neighborhoods, and public works like B-Cycle allow for painless commuting for the eco- and calorie-conscious. But millennials in the Queen City want to live, work, and play in an urban setting; they want to be able to <a href="https://www.housesincharlotte.com/blog/charlottes-7-most-walkable-neighborhoods/" target="_blank">walk to shopping, dining, and retail</a> from their homes if possible. That’s why areas like Southend, Plaza Midwood, and Dilworth are currently such hot rental markets. Sellers who previously may have had trouble unloading a too-close-to-the-road or awakened-by-nightlife property may be in luck with millennial buyers.
Of course, millennial home buyers in Charlotte want the same things any other cohort of millennials wants, too. They love high-tech home features, responsive design, and open floorplans well-suited for entertaining. They like light, great design, and space that can be used to work from home, house a guest, or serve as a playroom.
Are you a millennial looking at <a href="https://www.housesincharlotte.com/property-search/search-form/">houses for sale in Charlotte</a>? A professional buyer’s agent with experience in the Charlotte market can help you make the most of your money. <br />Call us today to find out why you should be working with a buyer’s agent…for free.2016-07-05T11:14:00-07:002019-02-23T06:30:29-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4475How to Win in a Multiple Offer Situation when Buying a Home<img src="https://assets.site-static.com/userfiles/1188/image/WinMultipleOfferSituations.png" width="800" height="420" alt="Win A Multiple Offer Situation" style="vertical-align: middle;" />
What do you do when you're actively in the market to buy a home, come across one that you absolutely love, make an offer, and find out that you’re in the middle of a bidding war? Or maybe several people made offers, and now you’re scrambling to even have a place at the table? Bidding wars are not uncommon in the Charlotte real estate market which is currently considered to be a seller's market). In cases like these, sellers may simply accept the offer that looks most attractive to them or they may come back to all parties and say, "We are currently in a multiple offer situation. Please submit your highest and best offer no later than X-0'clock tomorrow."<br /><br />Any buyer who’s found themselves in this situation and lost out on a great property knows the pain of feeling unprepared. Here are seven strategies that might just help your offer stand out over the others.
<img src="https://www.housesincharlotte.com/uploads/agent-1/DontFocusOnPrice.png" alt="" width="600" height="315" />
Don’t focus solely on the purchase price. <br />While home sellers want money in their pockets as much as the rest of us, it's important to remember that the actual purchase price is only one component of an offer. If you can afford to offer full asking price or even a little more, that's certainly a positive place to start in a situation in which you anticipate multiple offers. But if you come in initially with an unreasonably high offer, the seller might actually see a red flag because the home may not appraise for that much, causing roadblocks a few weeks down the line. Have a good idea of what the home is truly worth based on recently sold, similar properties and the advice of your buyer’s agent and then consider offering a "good, fair price."
Offer a higher due diligence amount. <br />I've written more extensively about <a href="https://www.housesincharlotte.com/blog/understanding-due-diligence-and-earnest-money-on-the-nc-offer-to-purchase-and-contract/" target="_blank">due diligence </a>in the past but in short, due diligence money is a certain amount of money that you pay to the seller upfront in exchange for a period of time in which to conduct all your homework. You might call this "putting some skin in the game." The money is paid directly to the seller and is theirs to keep if your offer is accepted. If the transaction proceeds all the way to closing, it will be credited back to you, the buyer. However, if you back out of the transaction for any reason other than the seller breaching the contract itself, you will not get that money back. Buyers typically offer a lower due diligence amount because they’re scared of the possibility of losing that money. That risk can be mitigated by getting a good feel for the sellers: speaking with their agent, getting some reassurance that they’d be willing to negotiate repairs, taking a good look around the home for any signs of serious problems, etc. If you’re willing to offer more due diligence money than others, you’ll be more attractive to the seller. The move shows you’re serious and also reassures the seller that IF you were to back out, they’d be compensated a little more for their lost time and any troubles.
<img src="https://www.housesincharlotte.com/uploads/agent-1/ShortenDueDiligence.png" alt="" width="600" height="315" />
Shorten the due diligence period. <br />The due diligence period, often 2-5 weeks, is the amount of time you’ve allowed yourself to get your inspections, survey, and appraisal is done, to get reassurance from loan officer that your loan will be secure, and so forth. Perhaps you found another home you like better, lost your job, found out you’re being transferred with your job, didn’t like the inspection results, etc. Per NC law, you can back out of the purchase for ANY reason whatsoever prior to the due diligence period ending and you’ll still get your earnest money back. Once the due diligence period ends, if you decide to back out for whatever reason, both your earnest money and due diligence money are forfeited. While you’re doing your due diligence, the seller is kind of held hostage so to speak. They know that at any time before the DD period ends, if you back out they’ll have to start all over. From that perspective, a shorter DD period will ALWAYS be more attractive to a home seller. Carefully think about how much time you really need to do your due diligence and shorten it as much as you can so that the risk of lost time is cut a little shorter for the seller.
Consider offering a higher earnest money deposit (EMD). <br />Earnest money is a second amount put up in addition to due diligence money. EMD is held in escrow, either with a real estate company or attorney and will be credited back to you at closing. You will also get it back if you withdraw from the contract prior to the end of your due diligence period - remember, you paid for that right via your DD money. Should you decide to withdraw from the contract after the DD period ends, you’ll forfeit this EMD money as well. This extra money can be looked at by a seller as reassurance that you’re very invested in seeing the transaction come to fruition. If you were the seller, wouldn’t you want as much reassurance as possible?
Have solid financing in place. <br />When you present your Offer to Purchase, you’ll include either a proof of funds from your bank (if you’re paying cash) or a pre-approval letter from your mortgage company or bank to show the sellers that you’re capable of purchasing their home. You’ll also be indicating on the Offer whether or not you’ll be getting a loan and if so, the details. While the contract is not contingent on these details, it’s still your “statement” to the seller that you can complete the purchase. It goes without saying that a full cash deal will be the most attractive to the seller because they know no issues with the loan process will stymie things. But, if you’re putting down 10-20% on a loan, that’s also very attractive because it shows that you have saved some money and will likely be a solid loanee and may have fewer issues obtaining financing. Additionally, a good pre-approval letter from a reputable lender is also a plus.
Offer an attractive closing timeline.<br />This might be the least important of all seven tips because many sellers aren’t worried about the difference between a three week close or a six week close, depending on their circumstances. But, if they do have extenuating circumstances requiring them to sell like a move for a job or the upcoming school year starting, a quick or slow close might be very attractive to them. Have your buyer’s agent reach out to the listing agent and see if they can find out when the seller would ‘prefer’ to close. If they have a preference, try and satisfy that. In more cases than not, listing agents won’t give too many details on closing preferences so as not to show the seller’s hand if they’re anxious to sell (and, therefore, negotiate more), but it’s worth asking.
<img src="https://www.housesincharlotte.com/uploads/agent-1/HaveaGreatRealtor.png" alt="" width="600" height="315" />
Have a <a href="https://www.housesincharlotte.com/about/">great Realtor</a> by your side. <br />Let’s call this an intangible, but if your buyer’s agent is professional in manner, submits nice, clean documents that aren’t crooked or scanned-in by appearance, has a great attitude, and acts as though they’re working hard for you, that can absolutely make your offer stand out in a crowd. It can indicate to a seller that the transaction won’t be held up by incompetence, poor organizational skills, or other factors out of their control. Not to mention, everyone likes to be around friendly people, right? So, if two offers are the same but one Realtor is more likable than another, might that make a difference? You betcha.
So, let’s pretend for a minute that YOU’RE the seller. You know your home is going to be a hot property because you’ve staged it, had professional photography taken, priced it right, and hired a great Realtor. In addition, you've already moved to another home and prefer not to drag the process out. You decide to list it at $230,000 (and you question whether or not it would appraise for any more than that) on April 15th. Within an hour of putting it on the market, agents are clamoring to make appointments with their clients to see it. After two days of showings and offers coming in, you decide to stop further showings and invite all interested parties to submit their “highest and best.” You get the following seven offers. Which one(s) would YOU find the most appealing? Do you go with the highest offer? The shortest closing period? The largest Earnest Money deposit?
Offer #
Offer price
closing costs wanted
Net Sales Price
DD offered
EMD offered
Money down
Warranty? (about $500)
DD date
Proposed Closing Date
1
$235,100
$0
$235,100
$500
$1,000
20%
N
May 4
May 18
2
$235,000
$0
$235,000
$1,500
$1,000
5%
Y
May 10
May 22
3
$225,000
$0
$225,000
$700
$1,500
CASH
Y
April 29
May 4
4
$230,000
$2,500
$227,500
$1,000
$2,000
5%
Y
May 15
May 23
5
$232,500
$0
$232,500
$500
$2,500
5%
N
May 18
June 8
6
$230,500
$2,500
$228,000
$250
$1,000
0%
N
May 18
May 24
7
$230,000
$2,000
$228,000
$1,000
$2,300
20%
N
May 19
May 31
Please let us know your thoughts in the comments below. Which of these do you think would be more appealing to a typical home seller in this scenario? Now, take your thoughts and see if you can apply them to your own multiple offer situation if you happen to find yourself in one. And, as always, feel free to call us if you’d like to chat about your home buying needs.2016-04-05T13:39:00-07:002019-03-01T11:30:50-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4459What Is An Encroachment? <img src="https://assets.site-static.com/userfiles/1188/image/Neighborhood.jpg" width="800" height="420" alt="Neighborhood" style="vertical-align: middle;" />
Encroachment
It's a word that can strike fear into the hearts of buyers and sellers everywhere, and quickly sabotage a property sale. But what does it mean?
In real estate, an encroachment is defined as when "A structure from one property extends over the property line of another."Seems pretty simple, right? Well, encroachments can be real deal breakers even if they don't adversely affect anyone's quality of life. There's actually a statute of limitations on how long someone has to claim an encroachment on their property and what the consequences are if they're proven correct.
So, how do encroachment's happen? Usually as a result of an improperly-performed survey or incorrectly drawn property lines. They can also be caused by unpermitted or "lazy" building work that simply assumes where property lines lie. Sometimes encroaching structures can be as large as a house, garage, or shed, and sometimes they can be a superfluous structure like a driveway or a fence. In most cases, homeowners don't even realize they're encroaching on their neighbors' land until they try to sell their home and a property survey reveals the issue.
And did you know, for example, utility companies (like Duke Energy) are allowed under certain circumstances to "encroach" on your property with things like power lines for utility easements?
What should you do?
First and foremost, you should have a property survey done on any property you own before making external improvements. If you're looking to buy, you need a property survey done before closing on the home in question as well. If an encroachment is found, immediately bring it to the attention of your real estate attorney.
You should also talk at length with your real estate broker about encroachments. They can help you understand the nuances of NC's many laws and statutes surrounding these issues and give you direction on how far to push a specific issue. An encroachment doesn't have to break a sale - but it is something that should be addressed early on.2015-05-07T07:32:00-07:002020-07-02T05:30:34-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4452How Do Real Estate Agents Get Paid?<img src="https://assets.site-static.com/userfiles/1188/image/adult-american-business-1059122.jpg" width="800" height="420" alt="Real Estate Agent " style="vertical-align: middle;" />
Well that's the million dollar question, isn't it?
Before I even get into this, I want to clarify and stress that there is NO standard or set commission structure. Real estate commissions are negotiable, not set by any government or organization, not agreed upon by local boards, etc. Every company has its own policies and can charge whatever they choose to charge. And even within certain companies, agents may also even have the flexibility to charge what they want as well. In addition, the structure of payment may differ from one region to the next. There is absolutely NO price setting in real estate.<br /><br />In this article, I’ll be discussing how listing agents and buyers agents typically get paid as is fairly customary in the Charlotte, NC region and I’m sure much if not most of the rest of the country as well.
How do listing agents get paid?
So let's say John and Jane Seller want to sell their home. They can go one of three ways. They can try and sell their home without a listing agent (“for sale by owner” or “FSBO”), they can sell their home using a “discount real estate agent or discount broker,” or they can go the “full service” route.
With the full-service route which is essentially what you get when you hire a traditional real estate agent to help you find a home, agents will often charge between 5-7% (let’s just say 6% for the sake of simplifying it but again, there is NO standard) of the purchase price. With that 6%, the listing company (the seller's agent) is expected to help with pricing, preparing home to be shown, marketing it, contract negotiation and handling, etc…full service. Now, out of that 6%, 3% of it is typically offered to whichever company procures/brings the actual buyer. Example. John and Jane agree to list their home with ABC Realty for 6%. The home will be listed at $200,000. ABC Realty offers to compensate whichever company brings the buyer 3% of that (ABC Realty decides what to offer buyers agents but 2.5-3% is often seen). Pretend Realty comes along with one of their buyers who loves the home and buys it. n this example, ABC Realty grosses $12,000 (6% x 200K) and out of that, turns around and pays/compensates Pretend Realty $6000 ( 3% of 200K just as they publicly offered on the MLS), leaving ABC Realty with $6000 for their share. The contract to list the home was between the sellers and ABC Realty and that’s why initially ABC Realty received the entire 6%.
Now, what if ABC Realty had not only listed the home but found the buyer for it too? <br />Well, since the listing contract was for 6%, ABC Realty would make $12,000 and would not need to pay any of that out to another company because it was ABC Realty who found the buyer and not another real estate company. In many cases, there may be an agreement within the listing contract that addresses this. If ABC Realty lists the home AND finds the buyer for it as well, the total commission will be 5% instead of 6%, hypothetically.
It’s important to note here that payment always goes to the real estate company. <br />From there, the agent for each company is paid based on whatever agreement they have with their brokerage. People often think that the Agent makes All of that 3% or 6% or whatever but they’re actually only getting their “split” which could be much less. There could be referral fees on top of that which could reduce the agent’s portion to an even lower amount.
If John and Jane Seller went the discount broker route, they might have an agreement to pay a flat fee to the listing agent + an amount to be offered as compensation to whoever brings the buyer similar to the full-service route. <br />Using a discount broker often means that the seller pays a flat fee such as $500-$995, for instance, to have their listing placed on the MLS but they may be limited to only that service while having to provide their own photos, negotiate their own contract, etc. Being that most listings on the MLS are offering to compensate buyer agents 3%, the sellers may still offer that as well in an effort to compete with other listings even though they’re trying to save money on the listing end of it. <br /><br />In cases where the sellers are trying to avoid paying to list the home altogether and sell it themselves by going “for sale by owner”, they’re not agreeing to pay anything to a listing company. However, they may or may not still be offering to compensate a buyer’s agent if they bring a buyer along which is typical in real estate transactions.
How do Buyer’s agents get paid?
Buyer’s agents are typically paid when they help a buyer find and purchase a home. The vast majority of the time, they are paid by the listing company representing the seller of the home that their buyer purchases. In our market, you’ll most often see listing companies offering 3% to whoever brings the buyer and therefore, that’s what the company who brings the buyer usually makes. The actual buyer’s agent gets their “split” from there.
What if a buyer agent’s client buys a home in which the listing agent was only offering 2.5%?<br />Well, that depends on the agreement the buyer’s agent had with the buyer client. In some cases, the buyer’s agent may not have an actual agreement with the buyer but instead is simply showing them homes and acting as a “subagent of the seller”. In that case, this agent is probably limited to only receiving the 2.5% or whatever was offered by the listing agent. (If you're being shown homes by an agent but you haven't signed anything this is probably the arrangement you're under.)<br /><br />In most cases, however, an agent and a buyer will have a “buyer agency agreement” which is essentially a contract for representation between the agent and buyer. In this case, the compensation is spelled out right in the contract. Take a look here at what our contract says:<br /><br /><br />COMPENSATION OF FIRM.
(a) Firm acknowledges receipt of a non-refundable retainer fee in the amount of $_________________which shall 0
shall not 0 be credited toward any compensation due Firm under this Agreement.
(b) Buyer agrees that Firm's fee for services hereunder shall be in the amount of 3% of gross purchase price
("Fee") (Insert dollar amount, percentage of purchase price, or other method of determining Firm's compensation for each type of
property the Buyer may purchase, such as resale, new construction, land/lot and/or unrepresented seller. Do not insert N/A or a
zero ($0)).
(i) Firm shall seek the Fee from a cooperating listing firm (through the listing firm's offer of compensation in MLS or
otherwise) or from the seller if there is no listing firm, and Buyer agrees that Firm shall be entitled to receive same in
consideration for Firm's services hereunder.
(ii) If Buyer purchases property where the compensation offered by the listing firm and/or seller is less than the Fee, or where
no compensation is offered by either the listing firm or the seller, Buyer and Firm agree that Buyer will pay the difference
between the Fee and the compensation offered unless prohibited by law. Firm will timely inform Buyer if the
compensation offered is less than expected.
<br />Now, in this example, the agreement stated that the buyer’s agent would be paid 3% for his/her services. Since the cooperating listing firm (see i.) was only offering 2.5%, technically the buyer owes the buyer agent’s company an addition .5%. However, you’re very likely to see that amount just slide and for the buyer’s agent to be content with whatever was offered through the MLS and cooperating listing firm.
I hope this gives a little clarity to understanding how real estate agents get paid. It can be confusing! Still have questions about how real estate agents do what they do? Call us. We love to talk shop.2014-12-17T14:35:00-07:002020-07-02T05:27:47-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:440821 Things You Can Do to Your Home to Prepare for Your Home Inspection<img src="https://assets.site-static.com/userfiles/1188/image/apply-blue-brush-221027.jpg" width="800" height="420" alt="Preparing Home Prior To Inspections " style="vertical-align: middle;" />
When selling your home, there are 3 important parts of the of the process that can often become hurdles.
The initial negotiations over price and terms
The buyer's loan process and securing a loan
The home inspection process in general.
In this article, I'd like to address the home inspection process and things that can be done to make this big step go a lot smoother.
Once a buyer and seller go under contract on a home, the buyers will typically schedule a home inspection (either on their own or through their Realtor) to be done withing the first 2-3 weeks. Once the inspection is complete, the buyer will usually come back to the seller with a list of items they're requesting to be fixed, replaced, or looked into. As the seller, wouldn't you like that list to be really short and painless? Also, don't you any buyer would be relieved when the report is initially given to them and instead of umpteen pages of "problems", it's actually much less?
Well, here's what you can do to make your life and your transaction a little easier and more secure. Be proactive and address issues around your home before the inspector even shows up!<br /><br />Below is an incomplete list of things you can do to prepare for the real estate home inspection based on things commonly found on inspection reports. Take matters into your own hands! Based on my years of experience, it's always best to do these things before you even put your home on the market as part of the staging process.
<br />Home Exterior
1. Ensure all trees and bushes are trimmed away from the home. <br />2. Remove mulch or dirt from contact with siding by 6 inches or so. Also, while you're at it, ensure all grading is sloped away from the home.<br />3. Clean gutters of leaves and debris.<br />4. Wash all exterior windows and even skylights if you're able. Inspectors will want to be able to check windows for broken seals, and if windows are dirty, they'll often suggest that windows need cleaning so that proper inspection can be done. <br />5. Give your trim a fresh coat of paint (preferably before putting your home on the market), and make sure that any rotten wood is properly replaced and that all necessary caulking is done to prevent water penetration. (Trust me, this is so common to see on inspections that it's truly refreshing when there are no issues.)<br />6. Look for any holes in the siding and make sure they're patched or caulked. Lawnmowers can often throw rocks into the siding, which creates holes. Check gaps where certain pipes/hoses enter the home to ensure they're properly sealed to prevent intrusion by water, insects, etc.<br />7. If you have brick steps, make sure all masonry is pointed up.<br />8. Ensure any rails along steps or porches are secure and sturdy.<br />9. If you have any gates, they should latch properly.<br />10. Remove any excess wood (firewood, scraps) from too close to home, particularly if it's in contact with the exterior.<br />11. If you haven't had an HVAC checkup or inspection lately, you might consider having your installer out for a general checkup. It may also put the buyer at ease to know that you're taken steps to make sure those major systems are in good working order.<br />12. Check to ensure the crawlspace is dry and a proper vapor barrier is in place.
Home Interior
13. All doors should shut and latch properly, and all locks should easily engage. Some WD-40 might come in handy for any tight locks.<br />14. Check for loose receptacles and tighten them.<br />15. Test all smoke and carbon monoxide detectors to ensure they're in safe working order.<br />16. Secure all stair rails and railing along the catwalk if applicable. These should never be loose or wobbly.<br />17. Replace any burned-out light bulbs, make sure all lights are working, and test any ceiling fans while at it.<br />18. Look for gaps in caulking, particularly near sinks and showers/tubs, and re-caulk where necessary. You should probably consider re-caulking the shower/tubs to have fresh, clean caulk. Buyers will eventually be using that same shower, and they'd much rather not have to look at dingy, dark, mildewed caulk from prior owners.<br />19. Take a look at every window in the home. Look for broken seals (cloudiness, moisture between panes), and cracks in glass, and ensure that all windows open and shut properly with no loose tension springs.<br />20. Go to each bathroom and ensure all faucets are secure, hot/cold handles produce appropriate temperature water, and that toilets are secure to the floor.<br />21. Replace air filters throughout the home. A dirty air filter can often indicate how well the home was taken care of, so don't give buyers a reason to assume otherwise.
While doing these things won't mean a spotless inspection report, you'll surely cut way back on what an inspector may find. It will also cut back on the work you'll need to do later in the transaction, show some pro-activeness on your end, and hopefully help to put the buyer at ease!
I'd love to hear any thoughts from you and especially if this list actually helped you along in your own transaction. What did I miss? What minor issues have you dealt with in past home inspections?2014-08-05T13:58:00-07:002023-08-09T05:46:17-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4406Do Surround Sound Speakers Stay When A Home Sells? A Lesson On 'Fixtures'. <img src="https://assets.site-static.com/userfiles/1188/image/SpeakersLivingRoom.jpg" width="800" height="420" alt="Speakers Living Room Fixture" style="vertical-align: middle;" />
Imagine this:
You're a home buyer. You've found the home you want to move into, are under contract to buy this home, and at the final walk through or even after closing, you discover that those cool surround sound speakers in your (new) living room are missing! Instead of the speakers you dreamed would make for some epic movie nights, you see this instead:<br /><br />
Wait! What?!
Your first instinct is probably that you've been wronged and that the sellers should have left the speakers because they were considered "built-in," right? Well, not exactly. This is certainly a gray area for many buyers because common sense tells us that speakers hanging from the wall are built-in fixtures. But, are they? Are they built-in according to the eyes of the law? Well, I am NOT a lawyer but I do read the NC Offer to Purchase and Contract carefully for all my clients and the following is what the latest version of the contract (as of 7/2013) says about Fixtures:
"FIXTURES: The following items, if any, are deemed fixtures and are included in the Purchase Price free of liens:range/stove/oven, any built-in appliances, light fixtures, ceiling fans, attached floor coverings, blinds, shades, drapery rods and curtain rods, brackets and all related hardware, window and door screens, storm windows, combination doors, awnings, antennas, satellite dishes and receivers, burglar/fire/smoke/carbon monoxide/alarms, pool and spa equipment, solar energy systems, attached fireplace screens, gas logs, fireplace inserts, electric garage door openers with controls, outdoor plants and trees (other than in movable containers), basketball goals, storage sheds, mailboxes, attached wall and/or door mirrors, fuel tank(s) whether attached or buried and including contents, if any, as of Settlement, landscape and/or foundation lighting, invisible fencing including all related equipment, lawn irrigation systems and all related equipment, water softener/conditioner and filter equipment and any other items attached or affixed to the Property, EXCEPT the following items which are leased or not owned by Seller or which Seller does not intend to convey:______________________________________ "<br /><br />
While it makes sense to "assume" that built-in speakers will stay, there's no mention of them on the contract. Because of that, if you expect to keep built-in speakers or anything else for that matter, it's always best for it to be written into the contract in the Personal Property section which simply reads:
"PERSONAL PROPERTY: The following personal property shall be transferred to Buyer at no value at Closing:_____________________________ "<br />(You may consider writing in "2 black Sony rear surround sound speakers" just to be safe, for instance.)
<br />
All in all, a couple of speakers aren't likely going to set my new buyers who recently found themselves in this situation back too much and from what I've seen, most stereo equipment nowadays comes as a package so I advised them not to fret. At least they've got a beautiful home that is wired for surround sound...that's most definitely considered an upgrade!
2014-07-17T09:34:00-07:002020-07-02T05:25:55-07:00Chad Hendrixtag:housesincharlotte.com,2012-09-20:4403What You Need To Know About HOAs<img src="https://assets.site-static.com/userfiles/1188/image/HOA.jpg" width="800" height="420" alt="HOA Community" style="vertical-align: middle;" />
What's an HOA?
HOA stands for Home Owners Association and essentially, an HOA is a legal entity formed by the builder/developer of a residential neighborhood or complex. The purpose of an HOA usually includes several duties such as maintaining common areas, raising money for development repairs, and generally creating and enforcing rules which must be followed by everyone who lives within the community.
Pretty simple, right?
HOAs are, at their core, designed to be good for a neighborhood. They're not meant to make a profit or to keep people from living the way they want, but they're also there to protect the investment and lifestyle of the other members of your community. Keep that in mind.
Whether you're buying a brand new condo, a lived-in townhome, or even a freestanding home in a planned development, your property may be subject to homeowner's association fees. These can range anywhere from $150 to $1,000 a month and those dues may be used to cover a variety of different things: signage for the neighborhood, elevator maintenance, lawn care, keeping up the tennis courts, etc. It all depends on the home and the development.
If you're thinking of buying a property that's subject to an HOA, here are the things you should be paying special attention to before you sign (and sign and sign) on the dotted line...
Covenants, Conditions, & Restrictions: Otherwise known as CC&Rs, these are the rules of an HOA that are most likely to affect you directly. They can prohibit you from parking a boat in your driveway, for example, or keeping more than two pets in the home. They may impact future plans for an addition or a backyard fence, so read them through very carefully.
HOA Bylaws and Budget: Just because you're not on the board doesn't mean you shouldn't be aware of how your HOA is managed! Know how officers are elected as well as how long they can serve, and know what the intended annual budget is for the HOA each year. You and a real estate attorney should discuss whether the HOA has allocated enough reserve funds for unexpected community repairs; if not, you may get stuck with an assessment when a storm takes down the entry gate.
Meeting Minutes: Meeting minutes from HOA gatherings will give you a little indication as to whether your HOA is being over or under-managed. You don't want overreach when it comes to new rules and regulations on your property but you want to be sure the elected board is looking out vigilantly for the development's interest.
You'll also want to consider whether or not you can afford the HOA dues! $250 a month may not seem like much now but consider the sum as part of your mortgage and be sure you disclose the HOA fees to your mortgage broker, too. Consider the implications HOA fees will have on the sale of your property down the road - your buyer pool may be more limited. Conversely, some people love the assurance of an HOA-run neighborhood because they can be confident their community will be well-kept and rules adhered to.
Questions about HOAs?<a href="https://www.housesincharlotte.com/contact.php"> </a>We know, they can be tricky.<br />Give us a call today to talk about your future home purchase and get the answers you need. 2014-07-11T12:29:00-07:002023-01-11T06:08:20-07:00Chad Hendrix