Peter MacIntyre

It means that a septic system (for the sewer) can't be installed because of soil conditions.

Property has to absorb water (Perk) in order to have a septic tank installed. The tank requires a "drain field" in order to empty its contents.

To perk a lot, you dig a hole, fill it with water and count the time it takes to drain. If it drains too long then it doesn't perk.

A septic system is basically a series of pipes underground where your waste water drains into. If the soil is too hard to let it drain, the system will not work.

However, depending on where you live, the Health Department, may allow other systems like a sand mount system such as raised engineered system.

Light Bulb Moments for Buyers and Sellers:

• #1 Rule for Real Estate Investing -Buy the ugliest (cheapest) home on the nicest neighborhood you can find. Do not be distracted with new carpet and fresh paint on a Flip when there are 10 For Sale signs on the street. It will make the difference if you are laughing or crying when you go to sell.

• Sellers- "Housekeeping Pays." You better believe that Buyers see that dirt and clutter and start mentally reducing the price of the home....click click click. They are calculating their time & suffering as they picture themselves scrubbing and finding hair balls. It can add up to tens of thousands

• Sellers- Make sure you leave the home completely for showings and give the buyers some breathing room. Do not linger in the backyard and do not park across the street and sit in your car with binoculars!

• Buyers - If you are planning to get approved for a mortgage..... Keep a paper trail on your finances. Keep documentation or a ledger of major cash deposits, shuffling of funds from different accounts, file your tax returns. There will be a test at the end. Just Joking

• Buyers- Making multiple offers is not cheating! If you offer on 2 homes and get them both, you still have to bottom line the acceptance to solidify the binding contract. The likelihood of you getting both homes, (especially in the current trend of "LowBalling") is highly unlikely. Like winning the lotto while being struck by lightening.

• Buyers- 50 cent on the dollar offers on foreclosure properties are going in the trash. This is a huge nasty rumor that people are stealing these properties from the banks. Foreclosures are priced under market value to invoke a feeding frenzy and drive in competing offers, which in turn drive up the final sale price OVER asking!

• Sellers- Do not "over improve" your home for the neighborhood. You have to love where you live, but do not throw money into a home thinking you will get more for it than what the homes down the street are selling for. Sure your home is special but the sold comparables are what the appraiser is going to use to determine the value.

BOTTOM LINE - WHAT IS IT GOING TO COST TO BUY A HOME?

First and foremost- you do not pay the agent. The seller pays the brokerage fees.

Secondly, Down payment is different and completely separate from your "CLOSING COSTS". For example on FHA (most typical first time home buyer loan program of choice)...you (buyer) will be required to bring a minimum of 3.5 % of the sales price to closing as your down payment.

Now a buyer, who is financing the purchase by obtaining a mortgage loan, will have typical loan origination fees, escrows and closing fees better known as "Closing Costs." These should typically be 3% of the sales price (unless you are buying a home with high taxes)...if you find your closing costs are disproportionate...that may be a red flag that you are getting ripped off. Take note- It is to your advantage to get a "Price Quote" (some form of a Good Faith Estimate) from SEVERAL mortgage lenders and let it be known to them that they are competing with the next guy. In fact, give them the quote cfrom their competitor to BEAT. Back to the topic, these closing costs will consist of loan origination fees, tax escrows, tax prorations, title insurance, home owners insurance, recording fee, closing fee & appraisal fee. So if you are following me, on a home purchase of $100,000, you will need $3500 down payment and you should expect to pay about $3000 in buyer closing costs.

This brings me to Seller Concessions. This is when you ask in your offer for the SELLER to pay your closing costs ....it is also termed seller concessions. This allows you to bring less money out of pocket to closing. But keep in mind, this expense is coming off of the seller's bottom line price. If you offer $100,000 and ask the seller to pay the maximum of 6% seller concessions that actually translates to only $94,000 on paper. That is before they foot the bill for the brokerage fees, transfer taxes and on and on.

This is important to remember when you find yourself in a tight negotiation situation like bank foreclosures that have multiple, competing offers. If you want the seller to pay your closing costs, in some markets, you have to inflate the asking price and put the closing costs on top. Ex. Hot property asking $100,000. You want seller to pay 6%. You offer them $106,000 with seller paying $6,000 in buyer closing costs. JUST MAKE SURE THE PROPERTY WILL APPRAISE!

Recently our real estate office, MacIntyre & Cowen- REMAX Real Estate in Lansing, MI was contacted by the Lansing Police Department to gain access to one our vacant listing in Lansing's Southside. Needless to say I was skepical when I received the call but ultimately compelled to do the right thing and get involved. After permission from the absentee owner and checking that everything was on the up and up, our office agreed to give exclusive access to property to the local authorities. The intended use was for a one week stake-out to catch an eluding felon. Lansing police had received a tip that a man who had escaped from custody in August, and had numerous weapons charges outstanding, was hiding out in a nearby home. Police considered the man armed and very dangerous The police were able to set up survelliance and collect intel to bring down the criminal at large. Late last Thursday night, after a two hour stand off, the fugitive armed with an assault rifle and wearing a bullet-proof vest, was captured.

The MacIntyre & Cowen office was honored by the Lansing Police Department with a visit to the office and a gift of gratitude for our cooperation and assistance in the matter. Peter MacIntyre and Eleanor Cowen, Associate Broker/Owners were thrilled with the result. Pictured is the MacIntyre & Cowen office staff. Visit the website at www.pmachomes.com

Greater Lansing, MI residents...if you are not a home owner, you should be. There has never been a better time to buy in Michigan. Historically low interest rates and home values makes your monthly payment peanuts compared to what you are paying in rent. Not to mention 2011 promises an onslaught of phenomonally priced bank owned homes and short sales coming down the pipeline.

Don't think it is possible for you? Do you hear about all this money, programs and grants out there available for home purchases and do not know where to find it! Here is your Financing/ Available Buyer Program 101 Course!

Rural Development is still a Zero Down Loan Program. Bonus- This is not a Credit Score driven program, so you may still qualify if you have less than perfect credit history! Below is the RD eligibility area map. Anything in the yellow highlightedarea and beyond is an eligible area for Rural development financing.

Also plug in specific property address to the Rural Development site here: http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do

VA Loan- Zero Down Loan -Armed Forces Veterans and current Military Service Members are in a great position when they decide to purchase a home. They have access to Low Interest VA Loans that enable them to buy a home with no down payment and no mortgage insurance.

City of Lansing Down Payment Assistance- Assistance in the amount of 6% of the Sales Price is available to each income eligible household for down payment and reasonable closing costs incurred in the purchase of property located within the Lansing city limits. Visit: http://cityoflansingmi.com/pnd/development/Dev_down_payment_assistance.jspF

FHA Financing- Minimum credit score is generally 620 middle score. Although there are lenders and program guidelines where this can be flexible. Minimum down payment required is 3.5% of the purchase price. Perhaps you do not have any money? FHA allows you to receive "Gift Funds" from friends or family for your down payment.

MSHDA Down Payment Assistance - This program requires a 1% buyer contribution of the total sale price. Available to households with up to $108K annual income (depending on family size and location of property.) Sales price limit of $224,500

Visit : http://www.michigan.gov/mshda/0,1607,7-141-45866_45870-175332--,00.html

Fannie Mae HomePath Financing / Buyer Incentives- Fannie Mae offers Rehab Loans on foreclosures that are distressed and do not qualify for traditional financing due to poor condition. They also offer incentives such as 2 yr home warranty, No Appraisal, No Mortgage Insurance and 3 % down payment, rather than the required 3.5 % for traditional FHA. Sometimes Fannie Mae will also contribute to pay Buyer's Closing Costs.

Visit: http://www.homepath.com/financing/index.html

Please contact MacIntyre & Cowen-REMAX to get started. 517-999-2675.... Greater Lansing's # 1 Sales Team 3 years running. No one sells more properties in the area. Our knowledgable agents and friendly staff look forward to hearing from you today. We can provide you information and access to ANY home in the area. Visit us on our website at www.pmachomes.com and www.shortsalealley.com