This is the 3rd in a series on what it takes to sell your home in Portland Oregon. We’ve discussed pricing, why homes don’t sell and incentives to entice buyers.  NOW, remember when you were just a “kid” and playing house was so much fun….”just for pretend”!???  “Real life” and our “imaginary worlds” can be worlds apart!  Real life is a madhouse with kids and dogs and friends and roommates and stacks of papers and dishes in the sink and underwear on the floor and un-made beds and stacks of laundry and jobs and commitments and no time!!!  Our imaginary world, unfortunately, is the one that the buyers want to see.  That’s the world where we have time to sit at our bistro table and sip coffee while we read the paper every morning in our sunny kitchen nook.  It’s the one where the dog doesn’t shed and the children obediently pick up their rooms and hubby doesn’t throw his dirty laundry in the vague vicinity of the laundry basket and you’ve not left your unmentionables peeking out from underneath the bed.  It’s also the one where everyone cleans up after themselves and the dust bunnies miraculously disappear and the refrigerator spills get mopped up by the refrigerator fairy…..and….somebody stop me before I end up at the funny farm strapped to a chair!!! 

But, I digress!  I’m quick to commit to the top three (in my book) of elements of a successful real estate sale:  location, price and condition.  And, as I always point out you can’t really do anything on the selling end to change the current location (that was decided when you purchased), you absolutely have to price almost “better than right” and condition includes attempting to get your home in the best condition financially possible and, then, staging until you almost don’t recognize your own home.  Remember:  it’s no longer about your “stuff”, its about selling the framework that holds your “stuff”.  You are trying to convince someone else, generally a complete stranger, that they too can love and enjoy this house and make it THEIR HOME.  Staging is so important to the actual sale of your home in Portland Oregon that it is definitely worth the inconvenience of “pretending for awhile”.  It also could be worth bringing in an outside resource.

Arlene Lord is a designer extraordinaire and principle at Mosaik Design .  But, has also been successfully helping sellers re-evaluate their home and its allure to the potential buyer.  As Arlene says:  “put your stuff away.  You will have an opportunity to bring your stuff out later in your new space”.  It will like Christmas, Hanukkah, Kwansaa and your birthday all at once as you unload your boxes in your NEW home.  ♥ . 

If you are looking for a timely sale and feel the need for a professional consultation or a half or full day of staging help and rearranging (I have seen her work and it’s outstanding), please contact Arlene at 503-502-7205 or arlene.lord@gmail.com

• Mortgages are pretty straight-forward.  Not many options, so choices are simpler.  You have 30-year fixed, 15-year fixed, a few ARMs (adjustable rate mortgages) and occasionally another option.  But, the exotic loans of a few years ago are a thing of the past, so less confusion!
• Interest Rates are still VERY Low!  How long will they last?  I certainly don’t know.
• The new Good Faith Estimate guidelines (mostly) protect consumers.  But, the fact is they will protect the consumer from sleasy loan officers.  All fees are disclosed upfront and that amount must stay the same or you will be given up to 7 days to think about it!
• Tax Credit has been extended and EXPANDED!  The tax credit for first time home buyers has been extended till April 30th and the repeat home buyer tax credit  has implemented. 

Change is hard, but the new direction will be good news to the mortgage industry and the consumer!  Appraisers are under a lot of scrutiny, underwriting is a nightmare and if you get a loan you feel like you just got “vetted” for public office!  But, all this new direction in the mortgage and housing industry will ultimately make for a saner housing market…..someday!!!!!

Potential House Hunters Still Busy With Holidays

When comparing the week of December 14-20 with the week prior, the number of times an RMLS subscriber (could be a Realtor or appraiser) opened a lockbox decreased 2% in Washington state and 7.2% in Oregon.
  

Washington

Oregon 

HAPPY HALLOWEEN!!!!

I’m being just a touch facetious with my statement that we need MORE challenges in our already challenged local Portland, Oregon housing market.  After housing prices taking a beating, our retirement accounts depleted and our consumer confidence in the toilet we could use a little less ”problem” and a little more “solution”.  However, the banking industry in an effort to “pendulum” back from the days of giving away money for mortgages with nary a care in the world, has enlisted some very strict new lending regulations to complicate the process.  Here’s a synopsis:

Highlights of new Regulation Z (Mortage Disclosure Law – MDIA) changes:

1)   Initial Disclosures  -  must be sent to borrower within 3 business days of loan application.  Loan Application is defined two ways.  For refinances, it is from the date of actual application and credit-pull.  For purchases, it is the later date of either the initial application, or when an actual Sales Contract is signed by all parties and submitted to the lender.

2)   Closing Date  -  earliest it can happen (signing) is 7 business days from the time the Initial Disclosures are sent.

3)   Appraisal  -  Cannot be ordered until 3 business days AFTER the Initial Disclosures are snail-mailed to the borrower.  There is not this wait time for my company … read on for how I can expedite this timeline and order the appraisal immediately.

4)   Fees Collected  -  Credit report fee may be collected immediately at application, but appraisal fee cannot be collected until 3 business days AFTER the Initial Disclosures are mailed to the borrower.  Again, I don’t have to wait for this either … see below.

5)   Appraisal Review  -  Borrower must receive a copy of the Appraisal a minimum of 3 business days PRIOR to signing final docs at closing.

6)   APR Changes  -  if the APR changes (up or down) by at least 0.125% during the process, there must be a Re-Disclosure of the Good Faith Estimate and Truth-in-Lending statements.  If a Re-Disclosure is required, the borrower must have 3 business days to review before final loan documents can be signed. 

7)   Mail time  -  if any of the above are snail-mailed to the client, the old-fashioned way, then add 3 business days per document that is mailed.  After 3 business days, it is considered received by the borrower and the review timeline starts.  This is a key point that will affect your timing, depending on the lender used.

I am definitely NOT suggesting that the mortgage industry did not need some serious revision.  But, I’m just not sure that making acquiring the money for houses more difficult and lengthy to obtain for well-qualified and serious investors is the answer.