Your dream home the one that just makes your heart soar and imagination race.

Now comes the hard part – the offer. Often referred to as the art of negotiation this can be an intimidating moment. If your offer is too high – you will be kicking yourself for years that you paid too much, too low and you risk offending the current owner and losing the chance to own your dream.

This is where research comes into play – you must know the housing market you are buying in. Your Denver real estate agent is a good sounding board. Things to think about

• Is this a Buyers Market or Sellers Market – In a buyers market sellers are often a little more flexible in what they are will to accept to sell their property. In a sellers market there are more buyers than sellers making it a competitive market.
• How long has the property been on the market? Is it currently vacant? This may also indicate a motivate seller.
• Comps – your real estate agent can provide you with a list of recent sales in the neighborhood. The comps will show selling price, length of time on the market and how it compares to the property you are looking at.
• Sellers Motivation – Life changing situations can also determine the mindset of a seller. Does the owner already have their next dream property lined up? Have they recently lost a job? Are they empty nesters? Your realtor may have valuable input on this.
• Your situation also comes into play – do you have a conditional offer, meaning you have to sell your current home first? Or can you offer a flexible closing which can be considered quite valuable in some cases.
• And lastly, your own motivation. How badly do you want this property? Can you wait for the next one? Do you need a place in a certain time frame? Are you willing to walk away if your number is not accepted – or will it haunt you for months that you let it slip through your fingers?

You want to purchase a house that will be your home, and the price you pay for it will impact your future payments. Current interest rates mean that a $10,000 increase in price represents an extra $50-60 month on a 30 year mortgage.

Post from: Urban Synergy Realty, Denver Colorado Real Estate, Denver Colorado Homes for Sale

Getting Your Offer Accepted

The first is timing. If you’re using high-interest, short-term private money to finance your flip, then you must be certain that you will be able to complete the necessary work and resell the house as quickly as possible; otherwise you may flop by paying too much interest.

Next, you’ll want to find the right property. That means first of all knowing the market. If your property won’t sell, you’re going to flop. Study the community and learn what the buyers are looking for, and, more importantly, what they’re willing to pay for. This will also help you when it comes to fixing up the property for the flip. You want to spend the least amount of money possible in order to maximize your profit. There’s no sense in adding expensive luxuries if buyers aren’t willing to pay for them.

Choosing your property also entails knowing all the costs involved. Interest payments, closing costs, and agent commissions are important to consider, but they’re not the only costs to think about when you’re flipping a house. You’ll want to get estimates for any repairs and/or upgrades you’re going to do. Avoid properties that have major plumbing, electrical, or heating and air problems. Fixing these will cost you dearly in both money and time, and might just turn your flip into a flop.

Once you find the right property, you’ll want to pay the right price. It’s a buyer’s market, so don’t hesitate to make a low offer, and if the seller turns you down, don’t give up. Just because the seller says “no” today doesn’t mean he won’t say “yes” tomorrow. Keep watching the property – The longer it’s on the market, the better the chance that the seller will drop his price. And have your funding in place. A buyer ready to close is a buyer with a significant edge when it comes to bargaining.

You have your property, now you need to prepare it for sale. Keep in mind the issue of timing – You want to flip as soon as you can when you’re using private money. If there are repairs and upgrades you can do yourself, you will obviously increase your profit. But you must assess your abilities realistically. Trying to do something you aren’t qualified to do can cost you a lot of time and money.

Keeping these simple considerations in mind will help you flip your property successfully. But if you do flop, make it a learning experience. Today’s flop can always lead to tomorrow’s successful flip.

Post from: Urban Synergy Realty, Denver Colorado Real Estate, Denver Colorado Homes for Sale

Flipping Properties- Flip or Flop?

The real estate market is very, very bad. We all know that. But many people are still selling their homes, even in this buyer’s market. What differentiates the people who are selling from the people who can’t sell? Here are a few tips on selling your home in a buyer’s market.

1. Make sure you have a good real estate agent. In today’s market, having a good real estate agent to really promote your home is more important than ever. Make sure you find a real estate agent with plenty of experience and good connections.

2. Clean your house – and I mean CLEAN. To sell your home in a bad real estate market, your house has to shine even more than it would in a good market.

3. Now’s the time for painting and minor repairs. Similarly, while you may not notice the scuffs, chipped corners, and dents, a potential buyer certainly will notice.

4. Price your home competitively – for what it’s worth now, not in the future. It’s hard to accept the reality that in today’s real estate market, our home might not be worth what we thought it would be when we first bought it. Heck, it might not even be worth what we originally paid for it! Nevertheless, in pricing your home for a bad market, you have to accept these market realities.

5. Add a home warranty. Home warranties on appliances, furnaces, and air conditioning units might be worth the added investment. That way, a buyer looking at your home has the added security of knowing that there’s a warranty on what he or she is purchasing.

The bottom line is, don’t give up hope. Just because the real estate market is bad right now doesn’t mean it’s impossible. You can still sell your home in a buyer’s market – it just takes tenacity and a few simple improvements to your home.

Post from: Urban Synergy Realty, Denver Colorado Real Estate, Denver Colorado Homes for Sale

Selling Your Home in a Buyers Market