Real Estate Tips and Information by Karen List

Buying and Selling Homes in Santa Clara and Alameda County

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Will This Ever End???

September 12th, 2017 · Uncategorized

For this home I just sold in Fremont for $915,000, I was the agent for the buyers. This is my 3rd sale with this couple! In order to buy this home, they needed to sell their current townhome, so this transaction was contingent on that sale.

This sale was challenging from Day 1. The buyers saw this home at an open house when I was in ENGLAND for a trip due to a death in the family. So, not the ideal timing, but I jumped through hoops and made this happen…which partly required that I stayed up all day and night, since there is a big time difference. Fun times!

This is a brand new home and it was still under construction when the buyers saw this home. We made an offer with a 30 day closing and then the builder said he may need more time to finish up the home. In the meantime, we were selling their townhome and as noted in my last story, we had a transaction fall through, and then back in contract that next day, but it did cause a closing delay on that side.

Well, on this side of this transaction, it made no difference, because the builder was causing a delay longer than the delay of our situation for the townhome they were selling. Jugglinig both transactions with the situation on their townhome and then the delay of this new home being built was quite the juggling act.

The other frustration was there was no key box to this home, and access was darn near impossible. The listing agent was mostly completely unresponsive for our entire transaction and his assistant was better, but typically clueless of what was going on at any given moment in our transaction. We showed up one day, when they had apparently made arrangements to let us in, and we could not get in, they had miscommunicated and simply dropped the ball and left us standing there with no access and a wasted trip.

Otherwise to see and get into this home, we literally basically had to go when contractors were present and hope for the best. Even on closing day, there was question where a key would be for us to access their new home that they just bought! It all worked out, and by the time we got to the timeframe we were supposed to meet, they did pull it together and the builder met us with the keys and remotes, but it was an unknown on CLOSING day until about 2 hours before I was suppposed to meet the buyers to give them keys to their new home they owned! Wow!

The other major frustration to this transaction is that we found out late in the game that PG&E had not turned on the gas and they were quoting out 3 weeks to get to the home! So, we are all ready to close, we are signing final papers, all is finally winding down, and then we find out we can not close the transaction because there is no gas and we get a date of 9/14 as the only commitment PG&E will give to turn on gas, unless they have the time to go sooner. So, literally, we could potentially wait for weeks to close, and sit around just waiting for PG&E because everything else was done and ready. Luckily, PG&E did find the time to go out before 9/14, but it did still cause a delay and we could not close as quickly as both the buyers and seller wanted.

So, we are waiting around for PG&E who is quoting us up to 9/14 to get to the home, then we get an email Thursday that they can go by on Saturday. So, we get all prepared to line up everything to close on Monday. Then, Friday morning at 8:20am, we get an email from title that PG&E made it out Thursday afternoon, and the buyers REALLY wanted to close that day so that they could have the home over the weekend. We all jump through hoops, running around in a frenzy to make this happen for the buyers, and fund and record the same day, on Friday, so they can have the keys before the weekend. Hooray! We pulled it off!

This was one of those transactions that just mentally went on forever, and every day is a question mark, working on it every day for months, and then all of the sudden, it closes and it’s done! Little warning to finally close, just every day waiting for answers, and then…wa la…DONE! And I am like…Wow, I have so much time on my hands now that this transaction is closed! What do I do with myself??? Ha ha, just kidding.

Just Sold in Fremont for $915,000!

Just Sold in Fremont for $915,000!

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Are You Preapproved or Not Preapproved….THAT is the Question!

September 5th, 2017 · bay area, buying a home, Gilroy, home for sale, home seller, homebuyer, real estate, real estate advice

For this home I sold in Gilroy for $642,500, I was the agent for the seller. This client also bought this home with me as a short sale, back in the foreclosure/short sale market of 2012. Wow, how things have changed since then! It’s like another dimension thinking back to the days when there were so many foreclosures and short sales…and how the market is just so insane today!

We initially accepted an offer from a family that seemed super excited to get this home. They paid over the list price, seemed really eager and enthusiastic, and the buyers and sellers had some things in common. Maybe about 10 days after acceptance, I get a call from the buyer’s agent, that the buyers did NOT qualify for the loan at the purchase price. They got a ‘counter’ from the bank for a lower amount on the loan. This was SHOCKING since these buyers had a preapproval letter, I talked to the Chase loan officer BEFORE we accepted the offer, who said they were SO qualified and were going to be no problem at all, they had good credit, their ratios were good, blah, blah, blah. This just seemed to come out of the blue! These buyers had 10% down payment and no cushion money to bring to the table, they could only qualify for what the bank let them borrow, and that was it.

We went round and round trying to come up with a solution and at the end of the day, the buyers frankly just ended up getting cold feet, feeling they were in over their head, stressed that they were pushing their budget, the wife was pregnant, they didn’t feel they had enough cash left over for repairs, etc, etc. Basically, the bad news from the bank took them on a downward spiral to Stress City, and at that point, nothing could really revive their enthusiasm for this home. These buyers did have a loan contingency in place on their contract, so they did have the right to cancel since they could not get the loan they were told by Chase would be ‘no problem.’ The seller was even willing to sell the home for the price these buyers could afford, using the ‘counter’ loan from the bank, but these buyers were just mentally exhausted and there was just no resurrection that could be done at that point. We had a solution, but the buyers were just not on board. “A” for effort on our part, but…not so much on their part…

So, we moved on to Buyer #2, and Buyer #2 was a very smooth transaction. The buyers were VERY easy to work with and we closed on time. These buyers were also 10% down. This offer was from an agent that has been around a very long time and that I know, and the buyers were using his loan officer, which was comforting after dealing with the chaos from Buyer #1’s loan officer. So, I felt really confident with this agent and his loan officer successfully closing this deal.

I have to say, I don’t know what some of these loan officers are doing these days. I don’t understand how you go from a preapproved buyer…to a buyer that is not actually approved…it’s unbelievable. As careful as I am, checking the preapproval letters and calling the loan officers BEFORE my clients accept an offer…and being told ‘it’s all good’ and ‘great buyers, very well qualified’…and then not…just crazy!

Just Sold in Gilroy for $642,500!

Just Sold in Gilroy for $642,500!

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Critical Error by Loan Officer, Killed the Deal!

August 29th, 2017 · appraisal, bay area, buying a home, condo/townhome, home for sale, home seller, homebuyer, Market News, Market Update, real estate, san jose home

For this townhome I sold for $600,000 in San Jose, I was the agent for the sellers. I have a bit of a history with this townhome. I sold this townhome to the sellers when they bought about 3 years ago as their buyer’s agent, and at that time, I was the listing agent, also working with the previous seller, and ended up being a dual agent. I had been working with these clients at the time they were buying and when I got the listing for this home, they were interested. To top it off, I sold this home to the previous seller as her buyer’s agent as well! I have sold this home 3 times now over the years.

This listing was a major roller coaster. We had 6 offers and chose a buyer that was supposedly super solid. The buyer came in strong in price and terms, waived loan and inspection contingency, and had a Wells Fargo commitment letter, preapproved and underwritten preapproval. The best and strongest preapproval letter a buyer can obtain. The buyer was a single mother, teacher, with kids. She had an amazing letter that she wrote to the seller and her kid even drew a picture! It seemed like a dream come true for both parties and she was the right choice and a sure thing. We were quite confident with this transaction and had no concerns whatsoever.

I get a call from the buyer’s agent maybe a week or more into our transaction, and come to find out, the lender had made a huge error and had NOT input the $497 HOA dues into the equation of qualifying the buyer, even though, BOTH the buyer AND the buyer’s agent SPECIFICALLY told the lender that the dues were on the higher side and wanted to make sure all was good, and the lender gave the buyer and agent the green light. Come to find out, the lender had input $150 for HOA dues, $347 LESS than the true HOA dues, which totally threw off and whacked out the buyer’s numbers in regard to the debt ratio and mortgage payment. With that huge of an error, not only did she not qualify for the contractual price, but she didn’t qualify anywhere NEAR our contractual price.

As you can imagine, stress set in for all parties. The sellers for Snow were already in contract for a home to buy. At the end of the day, the transaction was just not savable, the buyer couldn’t qualify anywhere close to where we needed to be to make this happen. Technically, from a contractual standpoint, the buyer had WAIVED her loan contingency. She did have an appraisal contingency, but the home appraised, so technically, she had no out of the contact to get her deposit back. ┬áSo, from a contractual standpoint, she breached the contract and the seller had the right to keep her deposit.

Thankfully, the sellers are just amazing people! Such sweet and good hearted individuals and they specifically told me that they were NOT going to take this buyer’s deposit. And, they gave her entire deposit back to her, the sellers didn’t ask for a dime, nothing, gave the entire deposit back with no question at all. That is ONE LUCKY BUYER!!!! She got off the hook with no drama!

Ok, moving on to Buyer #2. We had 6 offers, so we went back to get the next best offer we could get from the remaining 5 buyers for price and terms. The next buyers were very excited to get a 2nd chance and buy this home. In fact, I called this buyer’s agent, I believe the day this buyer was giving birth! So, this couple was having a baby AND buying a home!

These buyers waived ALL contingencies and I personally talked to the lender and asked that they had the $497 HOA dues in the equation. I assumed the other lender had it right, being that both that buyer AND buyer agent asked their lender, but this round, I asked to make sure. That last buyer was 1 in a million, it’s HIGHLY unusual for a lender to make such a critical mistake, but now I was on high alert.

Overall, this transaction was quite smooth and seamless, although, this one had a hiccup too, but thankfully a hiccup that could be resolved. These buyers were using a lender out of the area, and I got a call from the buyer’s agent that the property did NOT appraise for the contract price. We were both in shock because the Buyer #1 appraisal had come in higher than this contract price, and there were plenty of comps to support value. Come to find out, the appraiser had input the WRONG square footage, and had the home SMALLER than it really is, and did the numbers based on the smaller square footage, and THAT was why it did not appraise.

Well, that made the buyers and buyer’s agent not comfortable with that lender, so they switched over to Wells Fargo, got a new appraisal, which DID appraise for contract price, and closed it up with Wells Fargo, so all was good. I didn’t even want to bother the sellers with this hiccup, because I knew it was handled, and didn’t want them to worry over nothing, especially after the tragic events with Buyer #1. It was a crazy couple months, but in the end, we got er done.

Just Sold in San Jose for $600,000

Just Sold in San Jose for $600,000

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The Fairy Tale Sale…

July 17th, 2017 · appraisal, bay area, buying a home, first time buyer, home for sale, home seller, homebuyer, Market News, Market Update, real estate, san jose home

For this home I sold in San Jose for $755,000, I was the agent for the seller, who was referred to me by a lender I worked with a few years ago. The seller has owned this home for over 35 years and it’s been a rental for many of those years. At the time the seller decided to sell, there were tenants living in the home, paying WAY under market rent. The tenants had HUGE furniture and it just did not show well at all for various reasons. So, I advised the seller have the tenants move out before putting the home for sale if he wanted to get top dollar. He gave an incentive to the tenants if they moved out early, and it really did jump start their search for another place and they moved out quickly.

Once they moved out, the home looked just as bad, if not worse, mainly just minus the HUGE furniture. I advised if the seller wanted to get top dollar, he should do some things to clean it up and make it pop a little more for advertising and marketing of the home. Not big ticket items, but things like paint and carpet and some new interior doors, some things that would make it look cleaner and newer. I never advise sellers to remodel kitchens and bathrooms right before selling, because typially that’s just not the best return on investment to do those upgrades right as you are about to sell your home. So, just get it as clean and sparkly as possible with lower cost items to help the home shine. Definitely, the vacant and staged home with the things completed that I suggested made all the difference in the world. The home was barely recognizable once it was staged and cleaned up, and we didn’t do a ton of work, just some basics.

We received about 9 offers on the home and got WAY over the listed price. Initially, I thought the best offer would be buyers that had a large down payment and a very clean offer. We actually even accepted an offer that I felt was a ‘done deal’, well much to my surprise, within hours of accepting the offer, the buyer’s agent contacted me that his buyer had made 2 offers at the same time, he got BOTH of the homes, and he was going to choose the other home because it was closer to work. So, I guess the ‘done deal’ was not so ‘done’ after all.

Well, God must have stepped in, because in the mean time, before I even had a chance to contact the seller to explain what happened, the seller reached out to me first! He had reviewed the offers in more detail at home and read the letters that buyers wrote to him. One offer in particular just tugged at his heart. The offer was actually the highest offer in price, but the buyers only had 5% down payment, although, they waived ALL of their contingencies. They waived the loan, inspection, and appraisal contingency. Apparently, they had made about 25 offers on homes and kept losing out because of their 5% down payment. The buyer’s agent had been working with these buyers for I believe about 1.5 years and they just were not being considered due to the high levels of competition they kept facing. The buyer’s agent had written a note and also the buyers wrote a really nice letter and sent a pic of themselves, and the seller was really won over by this couple. Their offer was higher than the offer we accepted, but their 5% down was a bit concerning for appraisal purposes, although, the buyers said they did have cushion money in case the home did not appraise.

So, the seller and I had a long discussion about this offer and I explained the risks, the main one being that if the house did not appraise, and the buyers did not have enough cushion money to cover the difference, we would be in a bad situation. Technically, since they waived all contingencies, their deposit would be at risk if they did not close the transaction. And, I for one, would really not want to take a first time buyer’s $22,000. That would just not be good at all. Basically, I told the seller that he needs to understand that if the home does not appraise, we are going to be back to the drawing board if they don’t have the money to make up the dif. And, I told him that I don’t even want to be in a situation in which the deposit would be taken if they could not pull it off, because I surely don’t want to take $22,000 from a buyer that pulled together 5% to buy a home. I told him if he’s agreeable to renegotiate and we could come up with a solution if the home didn’t appraise and they didn’t have enough money for the dif, then let’s go for it. If he can go into this knowing that we may need to come to the table with a solution to the price, then let’s do this. He agreed he would never want to take a first time buyer’s deposit, and that’s not the goal here, the goal is to close, and if adjustments needed to be made, we would find a win-win situation. Well, praise God, the home appraised!

The transaction itself was super smooth, smoother than some of the higher down payment buyers. The buyer’s agents were awesome, the lender was awesome, the buyers were awesome, the seller was awesome, and overall, it was just a wonderful transaction where all parties were excited to be working with each other and everyone was thankful for each other. All parties were super excited about this sale and we even closed in about 23 days! 23 days with 5% down buyers! In fact, on closing day, the seller handed the keys to the buyers himself. He wanted to meet them and they wanted to meet him. They took pictures together, we drank champagne, they went out to lunch for 3 hours, the buyers invited the seller to their house warming party. It was like a fairy tale. In 22+ years in the biz, I have never had a seller hand over keys to the buyers directly. Often, they don’t even meet!

And, to end this story with a final bang, the seller took me and the gal that referred me to brunch! Hint, Hint: I’m always up for a free brunch or lunch. :)

Just Sold in San Jose for $755,000

Just Sold in San Jose for $755,000

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I Wish They Were All This Easy…

June 20th, 2017 · 1031 Exchange, bay area, buying a home, condo/townhome, home for sale, home seller, homebuyer, investor, Market News, Market Update, real estate, real estate advice, san jose home, selling a home

For this townhome I just sold in San Jose for $535,000, I was the agent for both the buyers and the sellers! I typically am not a fan of dual agency, but for this case, it just made sense for both clients and worked out. The sellers found me on the internet, they had seen that I have sold other townhomes in this community. And, the buyers walked in to my open house and was not working with a buyer’s agent. The sellers have owned this townhome for many years as an investment property. And, the buyers were looking to buy this townhome also as an investment and rent it out. Both the sellers and buyers have bought and sold many homes in their day, so they are both very seasoned when it comes to buying and selling real estate, so really, this was just all business and very straight forward, which is really why I was willing to be a dual agent for this particular case.

Another reason I was ok with being a dual agent is because we didn’t have a ton of offers. I didn’t have multiple buyers asking me to be their agent, and I didn’t have a lot of offers being written by buyer agents, which would have made it an even harder decision to be a dual agent. If there were a lot of offers and/or mulitple buyers asking me to be their agent, it gets really awkward. There was one other offer, but that buyer had more contingencies, and the sellers actually netted out a little better with my buyers.

The transaction itself was super smooth and seamless. I was dealing with pros on both sides here. There was an assessment that was just going into affect right as we were selling, which was over $8,000. The buyers were willing to pay for the entire assessment as part of the deal at the price of $535,000. The buyers bought in ‘as is’ condition, we had a short closing, they waived contingencies, and it was just a super easy transaction. For the buyer’s side, this was a 1031 exchange that was also seamless. Both parties were great and everyone was happy. Yay!

Just Sold in San Jose for $535,000!

Just Sold in San Jose for $535,000!

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Truly Meant To Be…

June 6th, 2017 · bay area, buying a home, homebuyer, Market Update, san jose home, Willow Glen

For this home I sold in San Jose (Willow Glen) for $1,285,000, I was the agent for the buyer. This is my 3rd transaction with this client! The search for a home was a long one for this buyer because she needed to sell her townhome in order to buy a home, and in this market, that is a really hard sell, to get a seller to accept an offer from a buyer that needs to list and sell their home in order to buy. But, the moon and stars were lined up for this one!

Initially, when I reached out to the listing agent, she told me that it was an absolute 100% ‘NO’ that her clients would take an offer contingent on my buyer selling her townhome that was not even listed yet. Well, an open house weekend later with no acceptable offers after the weekend, she was a little more open to it…lol. :) The listing agent told me that she knows my reputation in the industry and she had confidence in me to make it happen and convinced her clients of this. No pressure there.

With the grace of God and my power of persuasion and reputation, basically guaranteeing the listing agent that she has nothing to worry about. I will put my entire reputation on the line to make this happen and get my client’s townhome sold and we WILL close on time, the sellers accepted our offer. Again, no pressue at all, just my entire rep on the line and all parties depending on ME to make this all happen!

When I say that the moon and stars lined up just perfectly, they REALLY did! From getting this offer accepted, to getting my client’s townhome on the market, getting her townhome sold, the lining up of both transactions, both transactions were extremely smooth with no hiccups on either one, and at the end of the day, we even closed EARLY on this home! Things could not have gone more perfectly. My client said this process was SO smooth and easy and was definitely MEANT to be!

Just Sold in San Jose for $1,285,000

Just Sold in San Jose for $1,285,000

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Strategy is Key…

May 23rd, 2017 · bay area, buying a home, condo/townhome, first time buyer, home for sale, home seller, homebuyer, Market News, Market Update, real estate, san jose home

For this townhome I just sold in San Jose for $830,000, I was the agent for the seller. I actually sold this townhome to the owner as her buyer’s agent back in 2012 when she bought it as a short sale when the market was inundated with short sales and foreclosures. She more than doubled her money now that the market is so hot in just 5 years! Times sure have changed!

Another townhome just like her model was pending and had multiple offers, so we felt pretty good about selling her home with multiple offers as well. The seller found a home she wanted to buy, which required us to get this home on the market ASAP. About a week before she was going to list her home, another of the same model came on the market. We weren’t too concerned since there were plenty of buyers and enough buyers for both that home and her home. Plus, we figured that one would go pending before our open house weekend.

Well, it appeared that buyers wanted to see her home before moving forward with this other home, which was maybe good, we weren’t sure, because that townhome ended up NOT going pending before our open house weekend, and not only that, but 1 more of the same model came on the market the same week we did, and it ended up that all 3 homes that are the exact same model, but different condition and upgrades were all on the market at the same time and all 3 had open houses the same weekend.

Luckily for us, we were the nicest home, great location, and we also priced the home the most aggressively (we listed the lowest price of the 3). We had 2 buyers that wanted to make pre-emptive offers, and both buyers were really aggressive. We made the decision to review the 2 offers because we didn’t want to push our luck, knowing there were 2 other townhomes with the exact same model and also just right around the corner. We went with the buyer that had a fabulous offer with a price we figured we probably would not have received anything higher by waiting, plus this buyer waived ALL contingencies (no loan, no appraisal, and no inspections), and gave the seller a FREE rent back. And, both the seller and I agreed that was the right decision to take this great offer and not get too greedy and then have anything backfire by waiting for an offer date.

In fact, the other 2 homes didn’t do as well as us, we got the highest price over the others, partly because this home truly was the best and nicest one, and most nicely remodeled, so it should have sold for the highest price. But also the other 2 homes just didn’t sell as fast. And, we didn’t have time to mess around, because the sale of her home was contingent on getting the home she wanted to buy, so we were really under the gun to make this happen.

The transaction itself was super smooth and seamless, typical for a transaction in which the buyer removes all contingencies upfront. Those deals typically go pretty well.

Just Sold in San Jose for $830,000

Just Sold in San Jose for $830,000

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When You Make an Offer on a Home…Make Yourself Available!

May 16th, 2017 · bay area, buying a home, campbell home, Duplex, home seller, homebuyer, investor, Market News, Market Update, real estate, real estate advice

For this duplex I just sold in Campbell for $1,105,000, I was the agent for the seller. I worked with this client over 15 years ago when he sold another duplex in Willow Glen. This property had been in their family for over 60 years! This property was really unique, very few duplexes like it come on the market, and the location is very desirable, walking distance to the Whole Foods shopping center and Ebay, and really close to the Pruneyard. So, it’s a unique find for sure and it was very apparent how desirable this ‘one of a kind’ duplex was when we got about 30 offers! Yes, 30!!! Offers ranged all over the place, from 1 offer under list price (have no idea WHAT they were thinking) to many offers at various degrees over list price. 2 of the offers were super close in price and terms, both cash offers, both waived ALL contingencies of the contract, both buyers owned another property in the neighborhood. It was a super tough call between these 2 buyers and both were super aggressive buyers.

We basically went back to both the 2 highest offers and asked for their best price, 1 of the buyers came back with a higher price, and the other buyer was not reachable at the time. That buyer’s agent said he was out playing golf and he wasn’t able to get a hold of him. The buyer that did come back with a higher price told us that this duplex would be for his family, not a typical rental. The seller was a little more intrigued by the thought of the property not simply being an investment, and that the buyer’s relatives would live there, because the mother of the seller lived there for many years, so one side of the duplex had been owner occupied by his mother for many years. The other buyer was apparently just a straight investor that would likely rent out both units.

The 2nd contender’s agent asked us to wait and not make a decision until he was able to reach his client, but hours later, he was still nowhere to be found. The seller decided to go ahead with the 1st buyer that came back with a higher price. The seller signed all the papers, I was ready to give the signed offer to the buyers, and I got a text from contender #2 with their higher offer. And, it was actually higher than the offer the seller just signed, but I had not delivered it yet. The seller took just minutes to think about it, and said we should stick with the offer that was just signed.

The seller did have the opportunity to go with the higher offer from the buyer we hadn’t heard from for hours, since we had not delivered the signed contract yet, but at that point, it had been hours since we reached out to that 2nd buyer, we had no idea if or when we would hear back, the seller had just signed the offer from the buyer who kept in contact, and that was also the buyer that was buying for relatives, and the seller felt inclined to stay with that decision, he felt he had given them a commitment at that point, so he stuck with his decision.

The transaction itself went pretty smoothly, the buyer was all cash, there were no contingencies to the sale, so it was basically a done deal. The sellers were so thankful that we went with their offer because they said they really needed this property for the relatives, and they knew that the seller declined a higher offer in the end, that they actually took the seller and I to a very nice lunch! That’s a first in my 21+ year career! I guess the moral of the story is…When you make an offer on a home, wait by your phone until a decision is made or you may lose it!…If the 2nd contender would have been around when we reached out to him, there could have been another outcome, since his 2nd offer was higher than the other buyer, the seller may have gone with that buyer if he would have responded quickly. Who knows for sure though? The buyer who bought the duplex was super aggressive and may have come back again, but it’s harder to say how things would have turned out if that buyer would have been reachable during the decision making.

Just sold in Campbell for $1,105,000!

Just sold in Campbell for $1,105,000!

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Finally Our Luck Has Changed!

May 8th, 2017 · Uncategorized

For this condo I sold in San Jose for $555,000, I was the agent for the buyer. This was a long and frustrating search for my client. It was just one disappointment after another and it took close to a year for his luck to change. But, when his luck changed, it REALLY changed for the better! This buyer really liked 2-3 communities in which listings didn’t come up on the market all that often, and when they came up, there was fierce competition, in which buyers were waiving ALL their contingencies and paying top dollar. The buyer wasn’t in a position to waive all contingencies, the potential risks of his particular situation was that in which he just wasn’t able to waive the appraisal contingency, but the competition, unfortunately for him, was waiving them all and then beating him out consistently. He was even looking into communities with litigation to try and avoid some of the competition for those buyers that were turned off by a community in litigation.

Even for this condo, actually, the same thing happened. He faced mutliple offers and the highest and best offer waived all the contingencies and beat us out. So, we were back to square one, yet again. I got a call from the listing agent that the buyer who was in contract just lost his job and was unable to complete the purchase, and she wanted to know if my client was still interested. I said absolutely ‘YES’ and there you go…we were able to slip in as the next buyer and get it! The buyer had written a pretty compelling letter and I had also explained the frustration of the search for this client’s first home, and how we haven’t been able to catch a break.

Apparently, that info we discussed intially stayed with her, so rather than going back on MLS, going through the whole bidding war again, and/or reaching out to other buyer’s agents, she only came back to me to put this together. The client was in shock. It was so crazy to be rejected, then to get a second chance and actually get the offer through after all he had been through.

The transaction itself was super smooth and went so well. After the horrendous search for a first home, once he locked that condo in contract, from there, everything went so easy. When I say his luck changed, it changed drastically, he was also able to lock in a lower interest rate than he had been quoted, which saves him a lot of money. And for the icing on the cake, towards the end of the transaction, we got news from the HOA that the litigation has been settled, which was off the chart good news! Once that litigation is settled and all said and done, values in this community will just sky rocket. There is only ONE lender that we know of that can even give a loan with a HOA in litigation, and of course, the rate is higher. There is less of a buyer pool with communities in litigation, since many buyers don’t want to buy in a community with litigation, and/or can’t find a lender that will do the loan, and/or don’t want to have a higher interest rate for an undertermined amount of time while the community is in litigation.

Once the settlement paperwork is finalized, the buyer will be able to refinance for an even better interest rate. Once the buyer’s luck changed for the better, he was just showered with blessings from there onward. After all the headache and heartache, this ended up being a fabulous ending…and beginning in his new home.

Just Sold in San Jose for $555,000

Just Sold in San Jose for $555,000

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The 3rd Time is a Charm…

April 11th, 2017 · Uncategorized

For this home I just sold in West San Jose for $1,130,000 with Moreland Schools, I was the agent for the sellers who were referred to me. They are retiring and moving out of the area. They have lived in this home for over 25 years, raised their kids there, so this was a very emotional sale for them, as you can imagine.

This sale was a little rough on the sellers, in that this was their one and only home for over 25 years, and they were emotional about it. One thing I can say for any seller selling their home that they are very attached to, is the best thing a seller can do, is to basically stay away when it comes to showings and buyers checking out the home. It was hard on them to see a ton of buyers going through their home. I think if the seller is not really witness to the showings and open houses, and how hectic they get, and how many buyers waltz through and make all their comments, it is just better.

In this case, the seller was home for a number of the showings and also for both days of open houses, they showed up a little before the open houses were finished, so they just saw a ton of activity and lots of buyers looking around, checking out their home, and chatting about it. If the seller isn’t around for this, and don’t realize all the traffic that comes through, I think it’s actually less stressful on the seller. So, key note to sellers, it’s better to not be around for showings and open houses for your own sanity.

We received 13 offers on this home! The sellers picked the highest and best offer, one that was the highest in price and WAIVED all contingencies, and the agent was really pushing her client to get this home. Sounds like the right choice, and a no brainer, right?

Well, about 4 hours after the sellers signed the offer, the buyer agent calls me and says that the buyers want to go back and see the house in the morning BEFORE they will turn in their deposit check. And, then proceeds to tell me that they don’t really remember the house. WHAT????? Your clients just made an offer for over $1 MILLION DOLLARS and WAIVED ALL CONTINGENCIES and they do NOT remember the HOUSE???? Are you freaking kidding me???? So, you are saying, they just go around town making offers randomly on homes they don’t even remember???

I thought I was going to lose my mind. Long story short, they decided NOT to go back to the house, decided they got too caught up in the moment, and REFUSED to turn in the deposit check and walked. Ok, AGENTS and BUYERS, I want to make this VERY clear to you…It is NOT cool to do that! And, I also want you to know, that is a BREACH OF CONTRACT! If you write an offer and it gets accepted, and you WAIVE ALL contingencies, but you decide to get cold feet and walk, and refuse to turn in the deposit, that is a BREACH of CONTRACT! Technically, the seller can come after you for the deposit, just FYI, in case you don’t know or your agent doesn’t know. I’ll just school you now.

The lucky thing for the buyers who pulled this stunt, is that it’s just really not worth the time and effort if you have 12 other offers. It’s a headache to go after these types of buyers, so it’s just easier to move on to the next. But from a technical standpoint, if the sellers were upset enough, they could halt everything and go for that deposit for BREACHING the contract.

So, we moved on to the next highest and best offer, explained what happened and how ridiculous it was that the agent and buyers would do this to us. That agent assured me that his buyers were serious and even explained the situation to his client, his client said to move foward and said he was happy to get this opportunity. And, what happened? He did the same thing!!!!! Are you kidding me??? What alternate universe did I just get trapped in???

Well, I guess the 3rd time is the charm, we went to the next highest and best offer, and those were our golden buyers and agent. Those buyers truly did love the home and were excited to get the opportunity to buy it. So, we sold the home for $135,000 OVER the listed price, the buyers WAIVED all contingencies, gave the sellers a FREE rent back for 30 days, bought in ‘as is’ condition, and the agent and buyers were just a pure pleasure to work with on the transaction. The buyers even wrote a really nice letter to the sellers, which really did the trick in choosing those buyers that really showed us their commitment to the home with their lovely letter.

It was a rough road for the sellers for both the process of seeing so many people go through their home during the week before open houses and also during the open houses, and then going through the offer process, with not 1, but 2 flakey buyers, who apparently, don’t understand the purchase contract and their agents, who apparently, didn’t explain the purchase contract to them properly. But, we got through it, and the sellers are moving to a beautiful area up North into a beautiful home where they are retiring, with a lake view. So, in the end, everything worked out.

Just Sold in West San Jose for $1,130,000!

Just Sold in West San Jose for $1,130,000!

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