The Contents of an Offer to Purchase

Purchasing Real Estate

The offer as an outline of intention on purchasing (when there is a 2 part process to purchase)

Price

Asking price is a marketing tool. Value is established by the most recent sales in the neighborhood of similar homes w/ the same amenities, size, and condition. Value is in the eye of the beholder--the buyer. Value is not established based on how much it was purchased for by the current seller or by the amount of money the seller has invested in the property

Asking price may be above the real value or below value. It is usually in the vicinity of the value but it isn’t the be-all, end-all. The best possible pricing for a seller to get the highest price is to be slightly below value. If there are 3 properties with similar characteristics priced at 100k, and the 4^th property comes on the market for 97k. Which property would you want to see first? The lower the price the more interest with the larger pool of potential buyers (which can drive the price up)

Some information should be taken into consideration as you make an offer:

Are there any offers on the table? Has there been an accepted offer on the property?

Do not ask, “How long has it been on the market?” – Your agent can tell you that, when you sit down to make an offer-- It has nothing to do with what the sellers will accept or the value and is immediately seen as a clue that you are attempting to negotiate the price down and you’ll make the other party defensive.

In some cases you can offer an additional amount to have toward “closing costs.” The typical buyer’s costs are: title insurance for both the buyer and the bank, attorneys’ fees, bank appraisal. Incorporating costs into the mortgage may be helpful if you want to put most of your available money toward the down payment and won’t have a lot of money available at the closing. At the closing (day you buy the property and “close” the deal) you will also need to bring money for “pre-paids” You will pay the interest on the loan for the next month. So ,if you close on Dec 20^th , you would pay interest from Dec 20-January 30 on the loan and your first mortgage payment would be February 1. You will also need to escrow taxes. The lender will want ¼ of the annual taxes put into an escrow account so that it is available for the next tax period.

Terms and Conditions

Things to consider:

The seller’s time frame and situation and use it to your advantage:

v When are they looking to close?

v If it is a family in need of finding suitable housing, you may want to know that going in.

v If it is vacant, you may save some money on price with a willingness to close sooner than later (the sellers have carrying costs and if you can close earlier you can cut the price by the money they will save – we can start with an offer that is lower with an outside closing date..then negotiate the date to an earlier date this will allow you to counter terms not price)

Typically your offer will include “contingencies” time frames to allow you to secure a mortgage and to insure that the property has no major issues that will need to be addressed (termites, foundation issues, problems with the systems and structure) When making an offer it is essential that you know what you are looking at.. what you see is what you are making an offer on.. broken window, peeling paint, the one outlet in the dining room are things that you should be aware of when you make an offer.

Mortgage contingency

v The mortgage contingency allows an “out” of the contract if you cannot get a loan.

v You can remove the contingency and still get a mortgage

v You can ask for typically 3 weeks from the final contract to purchase to get a mortgage

v In the event you are confident that a mortgage company will give you the mortgage you could remove the contingency and improve your offer (this is good when you are competing against investors or have multiple offers) – it is risky but if you have a good pre-approval with a huge amount down, It can allow you to compete with a higher offer that has a mortgage clause

For instance:

Offer 1: 305k, close in 60 days, mortgage amount of 90%

Offer 2: 300k, close in 45 days (property vacant) and no mortgage contingency

Those offers are very close and may be worth taking the 300k offer. In today’s market when mortgages can be difficult this will be appealing.

Home inspection contingency

v The inspection is a time to reconsider your offer.

v Having a licensed professional home inspector go over the property point of possibly backing out or renegotiating your original offer

v You typically have a week to complete a home inspection

v You could have the inspection but NOT make it a “contingency” but use it to get more information. In the event you do want “out” of the contract and do not have a clause to protect you, you would lose your 1000. Offer deposit.

v If you are in a competing offer and you don’t want to increase your offer price you can remove this contingency or add a dollar amount, “if there is more than $10,000 worth of work, then I want to reconsider my offer

Even in a buyer’s market there are times when you want to structure your offer in a favorable light to the seller. Your goal is to get your offer accepted. There are instances when you want to protect yourself but improve your offer without improving price or when there are competing offers.

Pest, radon and lead inspections:

Pest- can be discovered as you have a regular inspection (ask your inspector if they will do a “preliminary” pest inspection, if they will and they find signs, they will suggest you get a full pest inspection)

Radon- #2 leading cause of lung cancer it costs between $1000-1500 on average to add a ventilating system to mitigate radon. You should test for radon, especially if you have finished basement space or live below grade. Radon is a natural occurring gas that is produced with the breakdown of rock, primarily granite. Circulating air mitigates radon.

Lead paint exists in properties built before 1978. It is a hazardous material that causes brain damage; in particular, to children, who are more at risk because of their size and nutritional needs. Never sand paint unless you know it is free of lead. The presence of lead in a property will not affect the value. Most sellers will not renegotiate the value of a property because there is lead paint. An offer that requires that the buyer test for lead paint is a more cumbersome offer, you can always test for lead paint and not make it a “contingency”. If it is a serious worry or concern, buying property just for your information.

All contingencies are cumbersome for the seller. They are to protect the buyer and allow the buyer an “out.” If a buyer is not capable of getting a loan or is not happy with the detailed information on the property, they may want to get out of the deal; but many buyers use the contingencies as an out when they have “buyer’s remorse.”

Buyer’s remorse is just that-- a second thought on whether the property is the right decision. Having 2^nd thoughts is a natural reaction. It happens all the time. If you were talked into buying the property by your real estate agent or a partner or friend you may have more of the feeling that you made the wrong decision. It is an important decision and you should have moment to pause. It is essential that you have as much information about the property in order to make the best decision. Having a Realtor who is familiar with the location and is experienced with the process and real estate who is a trusted advocate --is worth their weight in gold. A trusted consultant will guide you effortlessly through the process and offer you opportunities the entire way to allow you to make the right decision.

NEW PRICE 215,000 | 91 Bynner Street # 8, Boston, MA 02130 | Beds: 1 | Baths: 1/0 | Sqft: 500

Text me at 61-293-8002 for open house NEW PRICE "Sunny Top Floor Corner 1Br With 9 Ceilings & Private Deck.Completely Renovated Bath & Kitchen. All New Electric. Refinished Hw Floors Throughout. Eat-In Kitchen W Granite, Dw, & Stainless Range.Br Has Nice Views To Horizon. Low Condo Fee Of $190 Includes Heat & Laundry Fac. In Prof Managed Bldg. 2/3 Owner-Occupied & Pet-Friendly(With Few Pets). Basement Storage W/Bike Room. Great Jp Location Near Pond, T, & Longwood.

Perfect Pied A Terre

Perfect spot in Jamaica Plain, near Jamaica Pond....

• Sunny Top Floor 1 Bedroom
• Brand new bath and Kitchen
• Refinished oak floors throughout
• Private deck off of Living room
• Brand new updated Electric
• All new paint throughout
• All new light fixtures
• Low condo fee of 190 (includes heat and hot water, plus free laundry in the basement
• Private storage in basement
• walk out basement with Bike storage
• 7 out of 11 owner occupied
• Pet friendly (but few pets)
• Easy overnight parking on the street
• walking distance to everything
• Near to public transportation, Pond, Longwood Medical Area
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Neighborhoods of Jamaica Plain

There are many neighborhoods within Jamaica Plain. Here is a map provided by the Jamaica Plain Gazette that shows the basic outline of the different neighborhoods. The price ranges vary depending on the neighborhood.

The most expensive properties are found in the Sumner Hill, Pondside and Moss Hill neighborhoods, The least expensive would be Egelston and Hyde Square.

For a first time home buyer looking for a condominium in the $300,000 range or lower you would find roughly 900 square feet in the South Street, Forest Hills and Parkside neighborhood. This would be where the typical triple decker condo would exist. A single family in the 400-600 range in the Woodbourne neighborhood or maybe a few streets in the Arboretum neighborhood (Jamaica Street, St Rose Street, St Joseph St) You may also see a single family on McBride or a few others in the South street neighborhood.

The Brewery neighborhood (Brookside) is up and coming and has a lot to offer now that the neighborhood is home to Bella Luna and The Milkyway, as well as, Oola's Cafe and Mike's Gym. For an unlimited education on the neighborhoods and the streets of Jamaica Plain. I'd be glad to chat with you and fill you in.. look back for more information on the neighborhoods as I feature one each week.

Sunny Tree-top Condominium with Downtown Views

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• 80 Aldrich Street, #2,
• Sunny 2 bedroom
• renovated kitchen
• extra large living room
• formal dining room w/built-in
• low condo fee of $150
• pantry w/laundry
• wonderful location between Rossi Sq and W.Rox
• lovely detail and wood floors
• $299,000
• Great views from front deck
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Centre and South Street Redesign

Click on the link above to see the last presentation given July 2010

Why You Should Buy NOW

Miss Laura's on South Street

Went and had my hair cut today... love this little funky shop in JP on South Street... way hip and down to earth and affordable. Good vibe and you can't go wrong.

Affordable kitchen Renovation

Here is our gutted kitchen. We brought it to the studs.

Insulated with new walls

Cabinets going in

more cabinets and walls

Still haven't uncovered the cork floors, lots of lighting to add, some water hook-ups and cabinet pulls... ceiling needs more plaster, etc...

Over all this kitchen was very affordable:

Ikea cabinets: $2850

Appliances: $3000

Cork floor: $750.

Quartz counter: $2700

Sink: 250

vent fan: 290

faucet: 150

Insulation and walls: still figuring out

Labor: still figuring out but should be about $5k

We expect the total to be $13000.

Making Your Own Green Cleaning Supplies is Essential for Environmental Sustainability

Environmental Sustainability is critical if we are to keep our planet alive and be healther. The amount of cancer has risen to 1 in 3 since the introduction of over 80,000 different chemicals and products into our lives since WWII.

We need to focus on prevention as much as finding cures when it comes to our health.

Stop using chemicals and return to pantry items to do the cleaning that you need.

Stop buying plastics and Click on the link for a full information and everyday recipes for cleaning in your home.

This was a wall of a property I sold that was an estate sale. Clearly a smoker lived here. The images left behind on the wall from years of smoking left a lot to the imagination. This could have been 3 sibling portraits as babies or high school graduates.

First Time Buyer? HGTV is looking for you in Boston

MY FIRST PLACE, HGTV’s hit series, is coming back for an eighth season and we’re looking for first-time homebuyers (and their agents!) in the Greater Boston area RIGHT NOW! We are looking for fun, high-energy people who are just starting the home-buying process for their first place and would like to share their story with HGTV! Our goal is to capture all the trials and tribulations of looking for, bidding on and buying your first place. Taping takes place this spring and summer. Ideal candidates will be enthusiastic buyers with a great story to tell and a desire to share their experiences. Singles, couples and families are all invited to apply! Candidates (including realtors) who complete taping of a My First Place episode will receive a DVD copy of their show so that they can relive their first-time home buying experience for years to come!

If you want more info or application - let me know and I'll send you the contact info.

The Beginning of a New Kitchen

89 for a Walk Score... not to mention.....

Mary Hannon Prudential Unlimited Realty 617-293-8002 26 Custer Street #1, Jamaica Plain, MA Isn't It Romantic? 2 bedroom decorated in soft tones with private patio for intimate dining, woodburning fireplace for cool evenings and.... 2BR/1BA Condo offered at $345,000 Year Built 1905 Sq Footage 802 Bedrooms 2 Bathrooms 1 full, 0 partial Floors 1 Parking Unspecified Lot Size 2,300 sqft HOA/Maint $132 per month DESCRIPTION Just move in! This sweet 2BR condo is located in a beautifully kept 2 family house on a side street off of South, and is primed and ready to be yours. The layout is welcoming as you enter the LR w/fireplace. The kitchen was completely renovated in 2005 and is well designed with gorgeous granite and stainless. Washer and dryer are right outside the amazing bathroom w/calming ocean colors and glass details. Every bit of this condo was carefully planned, and has been meticulously care for- Live blocks from markets, shops, restaurants, Library, Public Trans, cafés, parks, etc….Low condo fee. First OH Sat 3.20 and Sun 3.21 see additional photos below PROPERTY FEATURES - Fireplace - Hardwood floor - Tile floor - Living room - Dishwasher - Refrigerator - Stove/Oven - Granite countertop - Stainless steel appliances - Washer - Dryer - Laundry area - inside - Yard COMMUNITY FEATURES - Fitness center - Swimming pool(s) - Tennis court(s) - Playground OTHER SPECIAL FEATURES - Blocks to Arboretum and Jamaica Pond - Blocks to Markets, Cafe's, Shopping, Restaurants - Blocks to Bus / Train - Gut Renovation in 2005 - Spa Bath w/jacuzzi, glass bricks - Large well appointed eat-in-kitchen - Living room w/bay window - woodburning Fire Place ADDITIONAL PHOTOS Photo 1 Photo 2 Photo 3 Photo 4 Photo 5 Photo 6 Contact info: Mary Hannon Prudential Unlimited Realty 617-293-8002 For sale by agent/broker Equal Opportunity Housing Posted: Mar 17, 2010, 6:54pm PDT

'City Feed's Values & The Value of City Feed'

'City Feed's Values & The Value of City Feed' It is a win-win for the community to pay a little more for better local products and have an inviting community setting to enjoy good coffee and conversation and buy items that you can be sure are supporting our local economy. Its worth every dime. Thanks City Feed!

A Stately Adams Colonial on the Arborway

66 Arborway

Above is a link to the virtual tour and photos of this rarely available home on the Arborway.  Stately Colonial is in the Georgian family of architecture and known as an "Adams Colonial".  This home has every update you need for the structure and systems:  New roof, new exterior paint, updated electric with 200 amps, new wiring and a back up generator, seller has rebuilt the large front patios and has added patios in the back of the house with flower beds and a new composite deck off of the dining room.  The landscaping has been thoughtfully designed to offer 4 seasons of gardens and plants.

This property is easy to show but will be appointment only. Please call me for a private showing.

Sustainable Location for this 3 bedroom Victorian Condominium

A perfect location in Boston, you can walk, bike, commute via public transportation to everything... 2 blocks from Jamaica Pond, 1 block to Centre Street shops and restaurants, 39bus to Longwood area or a short walk to the Orange line.  Step up to your top floor with 3 bedrooms, formal living and dining room with pocket doors, foyer and eat-in-kitchen w/pantry plus in unit laundry.  6 closets and good size storage downstairs.  Petite private deck off of kitchen. Park your car on the street (no permit) and forget about it.  Classic style in one of the Greenest neighborhoods in Boston.

291 Lamartine Street, Jamaica Plain, Victorian Mansard Three Family

A Fabulous Condominium Conversion opportunity

On a corner lot in the heart of JP.  You have 3 bedroom, 2bedroom, and 1 bedroom units.  1st floor has high ceilings, crown molding, huge eat-in-kitchen, formal living and dining rooms,  2nd floor unit has 2 bedrooms and large living room, dining room and kitchen, 3rd floor unit has 3 rooms, large eat-in-kitchen, living room and bedroom....

Property needs cosmetics but has been well maintained. Nice size corner lot and parking in the rear off of Biltmore.

 

Community Action Committee for the Centre/South Street Redesign in Jamaica Plain

JP Centre Street sure has been changing over the years.  The first time I really saw it was in 1980.  I thought it was one of the ugliest neighborhoods I'd seen.  Not much on Centre street for me... Woolworths was the best store I could see... there were grates and trash and lots of hard surfaces, seemed like no trees and just concrete. My first thoughts were, "gee, I hope I never have to live here".  I was in High School living in a lovely suberb of Boston after leaving Miami, Florida where I grew up as a child.  I thought Boston was beautiful, with red brick buildings, maple trees, cobble stone streets and acorn lights and stores with awnings and big glass windows with delightful displays... Centre Street had some brick, beat up empty trash cans, again...big metal grate fronts on the stores, no real shops that I could see... there were some drug stores, convient stores, a men's clothing store... a couple of fast food type places. Not much to speak of that stands out now.  There was grid lock in the street, not many people walking around. It seemed like a place to drive through. 

In 1985 I left western Massachusetts to relocate in my first apartment ($550  a month including heat)  with my boyfriend, Greg. We had another friend from high school that was willing to go in on an apartment.  Greg was an art student at Mass Art, working as a guard at the MFA. Chris, was taking time off from Columbia University to find himself and was working at an ice cream shop in Cambridge.  I was taking time off from college as well and was 19 in April when I moved to JP.  The trolleys were still running down Centre and I lived on St John Street. No car. Small salery working 4 days a week at the MFA. The grocery store that I could easily access was Flanagan's the now CVS across from the location of the 1st JP Licks on Centre where South Huntington Splits.

More to come on this blog entry but to see what the thoughts are on redesigning Centre and South Streets... check out the link....above.

I'm now a GREEN Designate with the National Association of Realtors

No other Jamaica Plain Realtor has this designation. I've been educated on green building and green improvements to assist my clients with financial gains and health benefits and working toward creating a sustainable community...

Realtor Code of Ethics

It takes very little to become a Real Estate Sales Agent in Massachusetts. Not all sales agents are Reators. Here are the code of ethics that a Realtor must follow. I've been a realtor since 1998.

Massachusetts Housing Data - Monthly / Quarterly / Annual

Massachusetts Housing Data - Monthly / Quarterly / Annual

Tax Credit Information

Here is a link that will give you information on the deadlines and income restrictions and circumstances that offer the tax credit for buying real estate. You have until April 30, 2010 to have a signed purchase and sale and can not close any later than July 1, 2010. Now if only the inventory increased so that you could actually find something you like... to sign up to receive automatic on line information for new properties and price changes. Email me.

Casey Williams Joins My Team

I'm Very Excited to announce a new addition to my team, Casey Williams. She brings a lot to the team with her creativity, energy and can-do attitude. Casey has worked in several JP locals since moving here in 1998. She's a local artist who also DJ's around town. Casey will assist with showings, paperwork and communication.

Spring Cleaning and Green Ingredients

2010 Wish: Green Cleaning
Green cleaning refers to cleaning techniques that are less caustic.
Usually it takes a while for the government to catch on to a good thing. The private sector is often ahead of government, especially where there is a profit to be had. I wonder why government is so far ahead of the private sector when it comes to green cleaning.
Green cleaning refers to cleaning techniques that are less caustic. They hurt the environment less than other traditional techniques and they hurt humans less as well.
Before modern products dominated grocer's shelves, a lot of simpler, less caustic products were available. Vinegar comes to mind. Many people from Europe still use vinegar to clean just about everything, and it works. Now, its regarded as one of those environmentally green products.
The federal government now has a green purchasing policy concerning its office buildings. There are various organizations that have certified products to be "green," and under the federal program these products are preferred.
The government observed that one of the benefits of its program is that it leads to a healthier indoor air quality for its work force. This is particularly important because Americans spend about 90 percent of their time indoors and according to some studies, indoor air quality can be much more contaminated than outdoor areas.
The feds are trying to convince other governments to follow their lead. As benefits they cite the following: promotes a healthier work environment, improves safety for janitors, reduces an agency's overall environmental liability, and it helps create a larger market place for cost effective green cleaning products.
In August 2007 New York State took a very bold move in the right direction when the Governor signed an executive order requiring that whenever feasible all New York schools must use green cleaning products.
The program is well underway. And the State takes this very seriously. Today, school children and school employees have drastically reduced exposure to the harmful chemicals that had been used for day to day cleaning.
In certain instances, the older products are still being used because effective alternatives have not been identified and in some cases, because so much of the less toxic material is needed that there is not net gain.
But the New York schools are very green today. That's New York. Here is a really good question: why isn't this being done in every school district across the country? Should only New York students have a cleaner environment?
We need to reduce the exposure of children and staff to harsh cleaning agents. Every school district in the US, without exception, needs to follow New York's lead. Why not attend local meetings and start making this demand.
To do this, read a lot of the literature that exists about New York's experience. Also, read information distributed by the certifying agencies that label certain products as green. There has been a lot of shared experience to date, and you should have this information with you when you make your pitch.
Frankly, you can't lose. The chemicals often cost the same as those now in use. And there is no reasonable debate as to the attributes of this approach. We need activists to go out and start making this happen all over the US.
Ultimately, when will be able to go to the local supermarket and have a large selection of nontoxic, capable cleaning supplies for use at home? The feds and New York are right about this. Its time that every household enjoys the same potential.