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Beverly Fast Sinclair CRS, GRI

How to sell your home to first-time home buyers

A federal tax credit of up to $8,000 is nudging many Americans into buying a home for the first time, good news for those trying to sell one.

Selling a home in today's market isn't easy but it can be done, especially with a home selling team as dedicated as mine. To get a first time home buyer to submit an offer on your home it must stand out from the competition, including homes in your area for sale and also in neighboring cities with similar pricing. One thing going for a seller is that a home buyer will have an easier time picturing themselves in a well maintained lived in home than a vacant fixer upper foreclosure. New buyers are skeptical to buy a home that needs a lot of work. Sellers certainly don't need to remodel their kitchen but they should make sure their home shows well. The number one concern of first time home buyers is affordability. Only 7% said first-time buyers were looking to purchase fixer-upper homes that they could buy on the cheap and renovate.

Assuming you've priced the home correctly, here are five ways to lure a first-time buyer:

1) Maintain and stage: A home that has been lived in and taken care of will be much more appealing than a vacant foreclosure. If someone is living there the landscaping will be alive and the home will have a warm feeling.A fresh coat of paint, decluttering and the removal of unpleasant odors can go a long way to making a good first impression. Be careful to not over renovate and lose money in your investments. Some fixes are just not worth it.

2) Mention up front that you'll help pay closing costs: Generally, there's a good chance they'll ask for closing cost help anyway, but it might pay off to be proactive and offer it at the beginning.

3) Offer a home warranty: First-time buyers are often coming from a rental, and they are used to calling a landlord when there's a problem. To help them more easily transition into homeownership, provide them a warranty that covers major systems when problems arise.

4) Offer mortgage protection: The plan will make several months of mortgage payments in the event that the buyer becomes unemployed.

5) Don't snub low offers: Buyers know prices are falling and thus are trying to get your price lower than listed. If they come with an extremely low offer don't blow it off, think about where they are coming from and counter it. A low offer is better than no offer at all. Maybe through negotiations the price can come back up.

Housing Construction Up in May

Permits rise too; both are signs that the real estate market is healing.

Construction of new homes jumped in May by the largest amount in three months, an encouraging sign that the nation's deep housing recession was beginning to bottom out. The Commerce Department said Tuesday that construction of new homes and apartments jumped 17.2 percent last month to a seasonally adjusted annual rate of 532,000 units. That was better than the 500,000-unit pace that economists had expected and came after construction fell in April to a record low of 454,000 units. The better-than-expected rebound in construction was the latest sign that the prolonged slump in housing is coming to an end, which would be good news for the broader economy. analysts don't expect a quick rebound in housing, since the economy is still shedding jobs and home prices are falling in many places, making people hesitant to commit to buying a new home.

The jump reflected a 7.5 percent rise in construction of single-family homes, the third consecutive increase in this critical segment of the market. Construction rose 11.1 percent in the Midwest.

Overlooked Signs the U.S. Housing Market is Turning

In San Francisco, a 1,600-square foot rancher listed for $179,000 drew multiple offers last month with a high of $210,000 in cash. The panicked buying- fueled by buyers' fear they'll miss out on firesale prices- belies the doom-and-gloom evoked by recent reports of rising mortgage delinquency rates and foreclosure activity. The U.S. housing-market turnaround has started in the nation's hardest hit markets. The median home price is expected to continue rising at a healthy clip in months ahead since it's now at the level of nine years ago, before the bubble began inflating. Total sales closed in March showed flourishing demand, the fourth best on record. The specter of rising foreclosure- born now of the recession rather than just overleveraged subprime borrowers- is the wild card in future health of the U.S. housing market and the economy by extension. Most important for gauging the strength of the nationwide market is how conditions are improving in the most-depressed regional markets. With those markets now stabilizing, banks are no longer anxious to dump real estate owned properties fearing they'll get appreciably less three months from now for their foreclosed properties. The new goal: to maximize the value of supplies in hand rather than unload it helter-skelter and torpedo the housing market like thye did while they were shell shocked by the devastation they'd wrough. Banks also will be less likely to want to part with their "toxic assets" knowing the most-scorched, still-serviceable mortgages will be the most valuable on a credit-risk markup once the economy recovers.

Quick & Easy Crime Deterrents

If your heading out on a summer vacation or just want to feel a little safer in your home here are some crime deterrents sure to put your mind at ease.

When your at home:

  • Neighborhood watch: these meetings can be a valuable method for sharing information and spreading the word of recurring incidents. Members are likely to be much more aware of warning signs that can help prevent crimes. It's also a good way to meet your neighbors.
  • Security systems: home monitoring devices can help alert authorities of break-ins and allow response teams to be dispatched quickly. If you cannot afford a security system, placing a security companies sign in your yard is an effective and economical approach.
  • Dogs: canines remain one of the most effective ways to prevent crimes.Even smaller dogs can be great ways to scare off criminals by barking and alerting you of trouble. If you don't have a dog, simply posting a warning sign or leaving a dog bowl at your doorstep can work.
  • Exterior lighting: bright lighting outside the entrances will prevent most criminals from attempting to enter your home. Motion sensors along your side yards will startle any trespassers and will also alert you by grabbing your attention.
  • Panic button: if you car has a car alarm, keep your keys handy. Triggering your car's panic button is a great way to frighten off someone who is lurking on your property or attempting to break-in.

When you on vacation:

  • Short term: leave a radio or TV on; have a neighbor park in your driveway; give a key to a trusted neighbor or relative and refrain from leaving it under the mat; leave lights on for the evening; make sure the stove, range top and irons are off, have neighbors pick up your mail and newspaper.
  • Long term: use timers on lights, TVs and stereos at random times; hire a house-sitter to watch your home; ask neighbors to remove flyers and packages; turn your phone's ringer to low so a burglar will not be alerted of your absence; arrange for yard care; stop incoming mail and newspaper.

Yard Staging Tips to Impress Potential Buyers

Your front yard is the first thing the buyer will see when they drive up to your house so make it look as good as possible. If you are preparing to put your home on the market that means that you not only have to stage your home's interior but also spruce up your yard.

  • Baby the lawn. Find high quality weed killer with lots of micronutrients to kill growth before its starts. Test the pH of your soil and spread lime if its below 6 or gardener's sulfur if its above 7. Set your mower high to reduce stress on the grass and cut down on needed watering.
  • Trim the overgrowth. Prune any branches that touch the house, cover windows or block a path.
  • Splurge on mulch. New mulches that retain color throughout the season cost more but its worth it for a good first impression. Get finely stredded mulch for the visual appeal.
  • Edge your flowerbeds. Don't bother with plastic edging, simply tie a string between two sticks and follow the line with a sharp flat-edged spade pushed 4-6 inches into the soil.
  • Power wash everything. Cobwebs, mold, and dirt accumulate on decks, flowers and patios, but can be cleaned up with just one use of the power washer. Just be sure not to get the water under siding where moisture can cause damage.
  • Plant annuals. Perennials are wonderful if your building a long term garden but they are expensive and tend to bloom for short periods of time. For color and impact add annuals that don't require a lot of care such as impatiens, petunias, and geraniums. Potted followers and hanging baskets brighten dull spots in a yard, plus you can take them with you when you move.
  • Plant a garden. If you have a sunny corner a small raised bed with veggies or herbs can suggest your yard is useful as well as pretty. But stay away from plants like corn that suggest barnyard.
  • String a hammock. Nothing suggests an easy life like a hammock. If you dont have two close trees spring for a hammock stand.
  • Create conversation areas. Draw attention to a birdhouse by placing two colorful chairs and an end table facing it.