You are buying a second home: this will be more than a sizeable investment — by any measure, it’s a considerable personal achievement as well.
That second home may be a family retreat, a vacation property you will be renting out (at least part time); or a pure income-producing rental. When a realistic appraisal says that you won’t be able to devote much time and attention to your new holding, the way to fill that gap is to locate an experienced local property manager.
As you will learn, it’s a specialized field. According to the latest studies, the median income for property managers nationwide tops $80,000 per year — a pretty trustworthy real world indicator that what they do has substantial value. If your second home is going to do duty earning additional income, the last thing you want is to face a commitment that competes with your full-time profession. Yet when tenants experience problems, dealing with them right away is a ‘stitch in time’ that does more than fostering good will. It can wind up saving money!
Your new property is a business, and like any, needs cash flow supervision. A vacation home, for instance, may from time to time incur unforeseen end-of-stay housekeeping costs which could require an extra payment. Your local property manager will handle this kind of problem for you (in fact, he or she probably made sure your rental contract foresaw this in the first place!).
Whether or not you buy your second home for profit, you want it to be more of a joy than a burden. A professional property manager delivers insulation from the smaller details, and corresponding relief from the stress of 2 am phone calls, maintenance worker no-shows, and all the other day-to-day management details.
If you are fortunate enough to be in a position to buy or sell a second home in the area, I offer the kind of first-tier real estate service that will get you what you are looking for. Contact me anytime for reliable property manager recommendations — Evansville has some of the best! You can reach me on my cell phone 812-499-9234 or by email Rolando@RolandoTrentini.com
If you are readying your home for sale this spring or summer, one of my favorite tactics to set your property apart from other area listings is to order a pre-inspection. If you’re not familiar with the term, a pre-inspection is a less detailed, less expensive visual inspection designed to report major conditions certain to be noted in the final. Why add this extra expense? Won’t buyers ultimately get their own inspection?
Yes, they will. But the purpose is not to replace a final inspection — it’s to attract more offers and hasten a final sale by minimizing re-negotiation.
Picture yourself as a prospective buyer. Listings which headline the availability of a pre-inspection report automatically seem to be offered by someone who is proud of their property’s condition and unafraid of what the final inspection will reveal. To skittish prospective buyers, it serves to lessen the “fear of the unknown” that can make buyers hesitate before writing an offer. If there were a formula, it would look something like:
Eliminating objections = Attracting more offers
Pre-inspected listings let you document major conditions that have either been addressed or left for the future owner to remediate as he or she sees fit. By noting how your asking price includes precise dollar allowances for named conditions, you display openness and conviction in the basis for your pricing. Local listings written after a pre-inspection are a lot more likely minimize last-minute re-negotiation: if you have ever been asked at the last minute to knock off $20k from an accepted offer, you know the value of that.
It is worth noting that any serious defects that a pre-inspection identify must be disclosed, for better or for worse. But fear of a major discovery shouldn’t dissuade you: any major defect will certainly be discovered by the buyer’s inspector. The old saying applies: knowledge IS power. You also have the option to repair the defects and let the buyer know that repairs have already been made.
If you plan to add your own property to the local listings any time this year, my job is to see that it brings you top dollar. Contact me today to talk over the way we will get that done! You can reach me on my cell phone at 812-499-9234 or email Rolando@RolandoTrentini.com
Local Housing Inventory
David R. Leopold, owner of Pillar to Post Home Inspection in Fairfield County, Conn., says home sellers and their real estate professionals have an important role in preparing for a home inspection to help ensure it goes smoothly. Leopold offers up some of the following tips in a recent article in RISMedia, including:
1. Don’t hide what isn’t working: If an appliance isn’t working, leave a note that indicates what isn’t working and how you’re getting it fixed. Don’t try to conceal defects because it can make the inspector start to view you as dishonest and wonder what else you’re hiding.
2. Make things accessible: Ensure the location of the attic and crawlspace are identified and easy to access. Don’t make a home inspector move your belongings in order to gain access.
3. Check the lightbulbs: If a lightbulb isn’t working, the inspector will need to determine if the fixture is inoperable. Save them time by making sure all the lightbulbs in the home operate, including those in the crawlspace, attic, and furnace rooms.
4. Note septic systems: If you have a septic system in the yard, be sure to leave a sketch that includes the location of it. It’ll avoid home inspectors, buyers, and real estate professionals having to conduct prolonged searches for it, Leopold says.
5. Keep appliances clear: Don’t leave dirty laundry in the washing machine or dryer because the inspector will need to test the appliances, and he doesn’t want to have to pull out dirty clothes in front of everybody, Leopold says. “Also, make sure your oven and stovetop are clear and clean, so we can easily test them without setting off the smoke alarm,” he adds.
Source: “Ask the Experts: What Should Home Sellers Do to Prepare for a Home Inspection?” RISMedia (April 16, 2013)