Buyer's often find themselves watching a property for a price reduction. Although getting the best deal possible when purchasing Dallas real estate is important, it is not the only factor that determines monthly payments on a home. Rising interest rates nearly diminish the positive aspects of waiting for prices to drop.
Most people are familiar with the basic trends in real estate that have been affected by the United States economic crisis. The listing prices of homes have been steadily declining over the past couple years. This has put people looking to purchase Dallas real estate at an advantage over those trying to sell. People have best described this as a buyer's market due to the low property prices and reasonable interest rates. However, the decline in prices is stabilizing while interest rates are beginning to inch up. It is becoming more and more popular for investors to make offers on properties, sometimes sweeping the property away from home buyers. Could buyers begin loosing their advantage? Today, properties that are correctly listed at a reasonable asking price are not being reevaluated and reduced as often. These are some of the factors that prove lower Dallas real estate prices are not always worth the wait.
A real estate Appraisal is not the same thing as a Comparative Market Analysis (CMA). A real estate Appraisal determines the market value of the property, which is an estimate of the sale price of the house. An Appraisal is mandatory when you are borrowing money from a lender to purchase a home. An Appraisal is done by a specially trained and experienced individual known as an appraiser.
On the other hand, a Comparative Market Analysis is used to determine a reasonable asking price based on the selling and listing prices of comparable real estate. This is conducted by the real estate agent listing the property. The sole purpose of a CMA is to help the real estate agent advise the sellers when trying to come up with an appropriate asking price. This is different from an appraisal because a Comparative Market Analysis helps determine the actual asking price, where as the appraisal reveals the property's actual value. Appraisers usually use similar research on comparable properties as a factor in determining the property value.
Here are some myths and facts to help you lean more about the Appraisal of your Dallas real estate.
1. Myth: Some people may think that making sure the buyer does not overpay is the main goal of an appraisal.
Fact: People buying and selling real estate can gather resourceful information from an appraisal. However, the appraiser's intended purpose is to provide protection for lenders. An Appraisal is required before the lender approves a buyer's loan.
2. Myth: Appraisers determine the property value by multiplying the price per square foot by the square footage of the property.
Fact: Appraisers determine the value of Dallas real estate by other characteristics too. Things they take in to consideration include the location, proximity to desirable destinations, school districts, quality and condition of the property, selling prices of comparable real estate, and other relevant qualities.
3. Myth: Anyone involved in real estate could conduct Appraisals.
Fact: States regulate the requirements for Appraisals to obtain a license. Obtaining a license usually includes taking courses, passing an exam, and possible hours of experience.
4. Myth: There is never an obligation to educate buyers on problems with the home found by the appraiser.
Fact: The appraiser is required to notify buyers of problems when the buyer is applying for a mortgaged insured by the Federal Housing Administration. For other types of mortgages, the appraiser is not required to disclose potential defects.
5. Myth: If an Appraisal is done there is no need to obtain a home inspection on your Dallas real estate.
Fact: As mentioned earlier the purpose of the Appraisal is to protect the lender. This does more for the people selling the Dallas real estate. Where as, home inspections are meant to educate buyers on the state of the home and its major elements.
Get a no obligation Comparative Market Analysis on your Dallas real estate
Sometimes people have to sacrifice purchasing their dream home for a less perfect home in a better location. The buyer and family's quality of life can be affected by their surroundings and features a neighborhood has to offer. Choosing the best neighborhood is just as important as finding the perfect home. Neighborhoods have numerous characteristics to consider when trying to make the right choice.
One of the most important things to look in to is the quality of schools in the area. Compare various public schools within a school system; some may be better than others. In order to keep all options open, also take a look at private schools in the area. Even if you do not have kids that will attend school, it is still a good idea to pick an area with good schools to help with reselling Dallas real estate.
Another crucial characteristic of a neighborhood to research is the crime. Contact the local police office to find out crime trends, types, and rates. Go online to find out if there are any sex offenders living near by. Do not judge a book by its cover, just because a neighborhood looks well kept and charming does not mean there are not any crime related issues.
For financial reasons, check in to the property values of homes in the neighborhood. Find out if theDallas real estate values in various areas have been increasing or decreasing. If the neighborhood is in an up and coming area the value of the property is likely to go up. Where as, if the area is going down under, the property value will probably follow. See if there are any future construction and development projects to take place. Alterations to the surrounding area could drastically change the property value.
Next thing to take into consideration is the neighborhood's proximity. Make sure the location is a reasonable distance to work, school, and other frequented destinations. Convenience always makes life a little easier. Having grocery stores, pharmacies, hospitals, and other places of interest and importance easily accessible will make a big difference in every day life.
Other things to consider when choosing a neighborhood relate directly to the neighborhood it's self. Just as buyers have preferences in things they are looking for in a house, there are also preferred characteristics to look for in neighborhoods. Neighborhoods could have numerous features to offer such as, gated communities, nice sidewalks, large lots, parks, restaurants, safe roads, trees, landscaping, community recreational facilities, civic leagues, and golf courses. Keep in mind that a neighborhood may have neighborhood fees as part of a home owner's association. Be sure to pick neighborhood features that best fit the lifestyle of you and your family.
Choosing a neighborhood can be just as difficult as finding the right piece of Dallas real estate. Finding the perfect home in the right neighborhood may be even more of a challenge. Do your homework, research the area and prioritize features that are most important to you and your family.
Learn more about Dallas real estate at TexasHomeCentral.com.
There were 3,239 foreclosed homes in Collin County with an average sales price of $206,001 with 642 new foreclosed homes in July 2009, according to RealtyTrac.com. Foreclosed homes sold 15% less than other homes with the average sales price for all Collin County and Dallas homes being $242,160.
Collin County and Dallas Foreclosure Activity and Home Price Index
Collin County and Dallas foreclosure activity increased dramatically in July with 139 more foreclosures than in June. At the same time, the Home Price Index remained relatively unchaged from June.
Collin County and Dallas foreclosure activity is based on the total number of properties that receive foreclosure filings - default notice, foreclosure auction notice or repossession notice - each month. Home price appreciation is based on month-over-month percentage change of the Home Price Index. The Home Price Index is calculated from home sales records.
Collin County and Dallas Foreclosure Geographical Comparison
Collin County Dallas foreclosure activity is 0.06% lower than national statistics and 0.09% higher than Texas figures.
Collin County and Dallas Foreclosure Activity by Month
The significant increase of Collin County and Dallas auction and bank-owned activity in July indicates we will see many more foreclosures in the coming months.
Are you or someone you know behind on your mortgage payments and facing a Dallas foreclosure? You do have options. A short sale may be the answer to saving you, your family and your home. As a Certified Distressed Property Expert (CDPE), I have the skills and knowledge to help save you your home and your family. Give me a call for a private consultation
Good schools, low crime, parks and recreation, cultural activities, community events, and lots of kids...these are all things you would want if you are raising a family. Plano TX has all this and more, which is why it has been ranked among the top 10 American cities as the ‘Best Place to Grow Up', by US News And World Report. Here is what they have to say about Plano TX...
Plano, Texas: With 7,000 faculty and staff members serving 55,000 students in this Texas community, the Plano Independent School District has achieved national recognition for its strength. The Department of Education has handed 24 of its schools National Blue Ribbon Schools of Excellence awards, and 99 of its seniors were named semifinalists in the 2008 National Merit Scholarship Program. "We have a wonderful park system here in our community that has always been very much focused on youth sports, whether it is soccer or baseball or basketball," says Mayor Phil Dyer. Meanwhile, the community's less costly lifestyle-median home prices are just $213,900-means there should be enough cash left in the budget for the 50-minute trip to Arlington, Texas, for a Dallas Cowboys game.
Learn more about Plano TX and how you can live here by visiting TexasHomeCentral.com.
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