USDA Rural Development Expands to Lansing KS Real Estate

USDA Rural Development Expands to Lansing KS Real Estate

Beginning May 6, 2014, buyers in the Lansing KS real estate markets, as well as, Gardner, Dodge City, Garden City and other nearby communities may be able to take advantage of the Guaranteed Rural Housing (GRH) Loan Program.  The zero-down payment and up to 102 percent financing are popular benefits of GRH versus FHA loans.  In a nutshell, the GRH includes:

• ·         30-year fixed rates
• ·         Flexible credit and qualifying guidelines
• ·         Less expensive than FHA loans
• ·         No limits on sources or amount of gifting to pay closing costs
• ·         Streamlined credit approval with credit scores of 640 +

There are several excellent reasons to find out about real estate in Lansing and the surrounding areas that is suitable for the needs and goals of today’s home buyers.  For more information about opportunities for home ownership in the Lansing KS real estate market, contact Shelly O’Boynick, Broker Associate RE/MAX Realty Suburban at 816.830.3370.

Background

The GRH Loan Programs were created to help rural communities become self-sustaining, re-populating, and prosperous.  They are initiatives sponsored by USDA Rural Development.  The USDA also seeks to promote the conservation and restoration of private working lands, and hence water resources, promote agricultural production, and increase food security.  Therefore, larger parcels are eligible.

The agency targets communities with populations under 10,000.  Lansing and these other communities have surpassed that limit.

Enter the 2014 Farm Bill.  The definition of “rural” has been changed in this new legislation.  Communities of 25,000 to 35,000 residents are able to claim they are “rural in character.”  Homebuyers may be eligible for USDA Rural Development loan programs until the census in 2020.

Eligibility

The USDA Rural Development mortgage programs cover rural acreages.  There may be existing homes or vacant acreage with plans to build a home.  There may be outbuildings on the properties as well.  These homes must be used as principal residences.  There are some income restrictions.

Shelly O'Boynick
Realtor, Broker Associate
RE/MAX Realty Suburban
12701 W. 87th Street
Shawnee Mission, KS 66215
cell-816.830.3370
www.ShellyOBoynick.com
email ShellySellsRealEstate@gmail.com

What are Unacceptable Conditions when Selling Kansas City Homes?

What are Unacceptable Conditions when Selling Kansas City Homes?

Unacceptable conditions in the Kansas City homes market are those discovered during a home inspection and/or an appraisal.  Inspectors and appraisers inevitably find “unacceptable conditions,” even when inspecting brand-new homes in Kansas City.  They are par for the course. 

The Residential Estate Sale Contract used by the Kansas City Regional Association of Realtors defines an “unacceptable condition” as any condition identified in the written inspection report prepared by an independent qualified inspector of the buyer's choice.

After the unacceptable conditions are delineated, the buyer has a few options.  The buyer may accept the desired Kansas City real estate in "as is" condition.  The buyer can also decide to cancel the contract.  Most Kansas City homebuyers take a middle route.  They offer to renegotiate the contract.  In modern times, most negotiations are based on a sort of goodwill.  Sellers try hard to sell the home in good order and buyers understand that real property is composed of thousands of elements that could be perfected.

How do the parties negotiate the repairs?  Some contracts limit the dollar amount for repairs of unacceptable conditions.  However, many a closing has been postponed or canceled because this limited dollar amount is based on estimates.  Estimates are notoriously too low when compared to the actual charges.

The seller has a certain number of days (usually five) after he/she receives the buyers offer to renegotiate a resolution for unacceptable conditions.  If the allotted time passes and a new agreement has not been reached by the buyer and seller, or the buyer has not communicated a written willingness to accept the property "as is," then either party may cancel the contract by written notice after the renegotiation period expires. Review your contract for specific terms and details.

In conclusion, unacceptable conditions may not be unacceptable at all to a buyer who earnestly wants or needs to close the deal in a timely manner.  On the other hand, depending on the severity of the problems outlined by the inspector and/or appraiser, unacceptable conditions may be a deal breaker.

Also see our article entitled, "How Pre-Listing Home Inspections Benefit Sellers in Kansas City."

Shelly O'Boynick
Realtor, Broker Associate
RE/MAX Realty Suburban
12701 W. 87th Street
Shawnee Mission, KS 66215
www.ShellyOBoynick.com

cell-816.830.3370

email ShellySellsRealEstate@gmail.com

Pre-Listing Home Inspections Benefit Sellers in Kansas City

Pre-Listing Home Inspections Benefit Sellers in Kansas City

Sellers of Kansas City homes:  Get a home inspection and use it to your advantage.  In fact, the Home Inspection Report can actually be used to market your Kansas City real estate. The strategy has helped many sellers of Kansas City homes to achieve their goals in a timely manner. 

How?  For one thing, a pre- inspection will remove the last-minute scrutiny that unwinds all of the agent's hard work.  So Kansas City real estate agents will consider property with a pre-listing inspection to be a good risk.  They will more readily suggest your home to potential buyers in the Kansas City home market.  Combined with a good price and available financing, a favorable home inspection adds transparency to the listing. 

We are speaking here about having a home inspection completed before the home is put on the market or as soon as possible thereafter.  If sellers wait until an interested party the inspection, they leave themselves open.  Remember, the buyer wants to find reasons to negotiate lowering the price.  Worse yet, defects revealed after the buyers are ready to buy could send them running. 

On the other hand, if the seller orders the home inspection and fixes any problems or repairs, then major obstacles to the smooth sale and closing are eliminated.

A seller’s inspection also adds confidence and protects the seller from unreasonable terms during negotiations.  The inspection adds transparency, an important element if the seller wants to sell the property AS IS.  Even if the buyer orders a second inspection, it will not uncover additional major defects or deal breakers. A seller’s home inspection also comes in handy in the case of a lawsuit. 

The focus of a home inspection is on the structural integrity of the property.  The inspector goes over the electrical systems and plumbing, the heating and air-conditioning, the foundation, the roof, wells and the septic, and evidence of environmental problems such as asbestos, mold, and fungus.  Sellers can also order additional tests for bacteria in the water, carbon monoxide, radon, and other well-known toxins.

A highly experienced, certified professional will best accomplish the task.  Inspectors do not judge the home design and cosmetic details.  The inspector tests the mechanicals and appliances, materials and condition of the property.  Once problems become known, they can be solved.  As an overwhelming majority of buyers do not want a fixer upper these days, sellers who take seriously the repair list are doing themselves a favor.

Shelly O'Boynick
Realtor, Broker Associate
RE/MAX Realty Suburban
12701 W. 87th Street
Shawnee Mission, KS 66215
www.ShellyOBoynick.com
cell-816.830.3370

email ShellySellsRealEstate@gmail.com

Purpose of Staging a Home for Sale in Kansas City

The purpose of staging Kansas City homes for sale is to make them appealing to buyers. After completing the cleaning, de-cluttering, repairing, and painting, sellers of Kansas City homes are ready to think about staging.  Staging is one of the top home improvement measures available to owners of properties in Leavenworth, Lansing, Leawood, or Olathe. 

Well-staged real estate Kansas City sells more readily and fetches a higher price.  Owners of Kansas City real estate can accomplish staging themselves or hire a professional staging company.  Staging can cost anywhere from $500-$5000, depending on the size of the home and what additional items need to be procured or rented.  Whatever the cost, the investment in staging will bring great returns.

Home staging professionals such as Elizabeth Weintraub from About.com create an appealing ambience in each home.  Weintraub explains staging as a way to make the house look bigger, brighter, cleaner, warmer, and more loving.  To accomplish this end, the staging professional employs a series of techniques that lure all five senses into action.

Professional stagers use a number of methods.  They arrange furniture in small groupings.  They add soft fabrications such as silk and lamb’s wool.  Thoughtfully, they accent shelving, mantels and bookcases with unique accessories.  Knickknacks or collections are carefully arranged with one item, three items, or five.  Each room has one specific purpose—the office, entertainment room, guest room, etc.

Staging involves more than a method.  It takes an artist's eye to stage a home.  Optimally addressing each room takes a sixth sense, vision, and creativity.  Remember, the end result must be simple and not eccentric.  The decor must woo the right buyer by making him/her feel at home and comfortable.  Homeowners can experiment by strategically placing items such as mirrors, plants, silk flowers, area rugs, lighting, Afghans, pillows, baskets, loveseats, and ottomans to achieve the desired outcome. 

The bathroom decor helps the buyer to feel pampered and relaxed.  The kitchen could use pops of color and maybe a bowl of fresh fruit.  One creative gentleman filled the atmosphere with the sweet aroma of homemade jam before showing his condo! 

Designers also stage the exterior of the home by strategically placing seating areas, plants or flowers, and possibly setting the picnic table with colorful settings.

Shelly O'Boynick
Realtor, Broker Associate
RE/MAX Realty Suburban
12701 W. 87th Street
Shawnee Mission, KS 66215
www.ShellyOBoynick.com
cell-816.830.3370

email ShellySellsRealEstate@gmail.com

Buying vs. Renting Homes in Kansas City- Leavenworth to Olathe

Buying vs. Renting Homes in Kansas City - Leavenworth to Olathe

There are many reasons to buy Kansas City homes and reasons to rent.  The benefits of buying versus renting real estate in Kansas City are relative, depending on a person's needs and goals.  Those who can afford to purchase their condos or homes in Kansas City weigh several factors including the financial aspects of the equation.

When comparing the financial aspects of buying versus renting, it is important to compare apples to apples and oranges to oranges.  Using this rough equation, a quick estimate of the financial picture can be determined:  Look at the cost of purchasing one home in the same neighborhood as renting a similar home.  To determine the price-to-rent ratio or P/R ratio, simply divide the price of the Kansas City home by the yearly cost of rent.  If the number is less than 20, it may be a better financial decision to purchase. 

Money is only one factor to weigh.  Many people do not purchase a home to make money or to save money.  There are other advantages to owning Kansas City real estate – from Leavenworth in the northwest corner to Lansing homes and Johnson County real estate in Olathe. 

Homeowners take pride in ownership.  Owners gain certain freedoms such as the ability to paint the walls whatever color they choose or change out the cupboards, install a gourmet kitchen or modify the property in other ways.    They also develop relationships in their neighborhoods and gain a certain amount of confidence and stability from being familiar with their surroundings.

For some people, a few major reasons make renting a better than buying.  What are the future plans?  How long does the buyer envision staying in the home?  And finally, does a person really want the responsibilities of maintaining a home, paying property taxes, and being tied to a mortgage payment for a long period of time? 

The primary deterrent to buying is a debt and/or lack of savings.  In Oprah Magazine’s May 2011 article, financial expert Suze Orman says "If you have credit card debt and haven’t saved for a sizable down payment, you are not yet ready to own."

Orman also talks about the financial risks of buying a home and selling it within 5 to 7 years.  She explains that when you sell a home, you should plan on paying the full agents fee, closing costs, the cost of moving, and other expenses.  She says that the property will evaluate at approximately 3 percent annually.  So do the math.  When buying, plan to stay in the home long enough to recoup the costs of moving.
Shelly O'Boynick
Realtor, Broker Associate
RE/MAX Realty Suburban
12701 W. 87th Street
Shawnee Mission, KS 66215
cell-816.830.3370
www.ShellyOBoynick.com

email ShellySellsRealEstate@gmail.com

How to Prepare Kansas City Homes for the Market Part 2

During Part 1 on this subject, we suggested creating helpful checklists months ahead of putting a Kansas City home on the market.  Also we spoke of the important projects of de-cluttering and staging.  Sellers must also take care of as many major and minor home repairs before listing real estate in Kansas City. 

Smart sellers of Kansas City properties obtain a pre-listing inspection of the home and repair anything else that surfaces.  The home will sell most quickly and at better price if it looks well-maintained from the get-go.  Homes that are sold in “as is” condition move quite slowly on the Kansas City real estate market.

Let’s go over some basic repairs.  Depending on the season of the year, homeowners can tackle the outside elements or the inside elements first.  Examine interior and exterior paint on the walls and trim.  Perhaps the front door could be painted one of the new neutral colors that complement the trim on the home's façade. 

As your Kansas City real estate agent, I may suggest the entire exterior repainted, and with good reason.  The colors should be neutral.  Not only walls but wood floors, cabinets, doors, woodwork, and built-ins may need to be refreshed.  A good hardware store can refer products for this purpose. 

Decide if the flooring is in good condition or if it somehow dates the home.  Hardwood floors are very popular these days.  Fortunate property owners may discover that the old carpeting covers pristine wood floors.  For example, the old shag carpeting styles from the 1970s and 80s deter from the property value as do certain colors.  Damaged linoleum and floor tiles, counter tiles and backsplash tiles must be replaced.

Any leaks in the home need to be fixed.  The plumbing and plumbing fixtures, toilets, tubs, showers, hot water heater, washing machine, icemaker, air-conditioner, and other water-bearing elements in the home should be examined for leaks.  Be sure all appliances are in good repair and remove others.

The roof shingles must be in good repair.  Examine carefully the roof tiles, especially around seams where the roof is pitched.  At the same time, clean out the leaves from the gutters.  Run a hose down the gutters and downspouts to be sure they do not leak.  Seal all of the seams on the gutters if they leak.

Look at the garage floor.  Hardware stores sell compounds that can remove oil drips from cement.  Consider washing the walls in the garage and/or applying a coat of fresh paint.

Shelly O'Boynick
Realtor, Broker Associate

RE/MAX Realty Suburban

12701 W. 87th Street

Shawnee Mission, KS 66215

www.ShellyOboynick.com

cell-816.830.3370

email ShellySellsRealEstate@gmail.com

How to Prepare Kansas City Homes for the Market-Part 1

How to Prepare Kansas City Homes for the Market—Part 1

Anyone planning to put a Kansas City home on the real estate market this year should start preparing now.  Sellers of homes in Kansas City can create checklists and begin now to ease the stress later.  Two levels of preparation to accomplish before listing the Kansas City real estate include:

1) Removing excessive possessions and simplifying

2) Home maintenance and repairs

First, take a step back from the Kansas City property.  Leave the neighborhood and return, imagining you are looking to buy a house.  Pull up in front wherever the guests would park and walk up to the front door.  All the while, note eyesores and things that may be out of order. 

Does the landscaping look sharp?  Perhaps make note that you would like to put a few pots of colorful petunias along the walkway near the porch.  Is the area outside the door clear and the door in good shape?  Step inside.  How can you improve the entry?  The front of the house and the entrance are the places where first impressions are formed.

The next job may be the most difficult for those who have lived in one place for a long time.  Tour the home room by room and note the unneeded possessions.  Each closet and storage area will need to be attacked by the organizer within you.  All clutter must go.  Unused possessions and outdated clothing must go.  Broken furniture or appliances that have been sitting around in the garage need to be discarded or given away.

Now inspect the living areas in full daylight hours.  Perhaps organize yourself by room.  Open all the blinds and curtains, turn on all the lights.  Make a list of all the little tasks that need to be done before your home is put up for sale.  Inspect the walls and ceiling, the light fixtures and switch plates, the floors, doors, and windows.  Assess the condition of the curtains, draperies, and blinds.

Some sellers automatically hire a painter to put a fresh coat of paint everywhere.  Smokers need to use a special paint formula to cover nicotine.  At the least, repair holes in the walls and paint, replace broken tiles, and thoroughly clean the woodwork.  Consider having the carpets cleaned before posting the for sale sign outside.  Determine if the carpet is worn and possibly install brand-new carpet in a neutral color.

Correctly staged properties sell more quickly and fetch a better price.  Staging means showing with minimal and tasteful furniture only and perfect accessories so that potential buyers can readily imagine themselves in the home.  Think Spartan but add spark.  

Shelly O'Boynick
Realtor, Broker Associate

RE/MAX Realty Suburban

12701 W. 87th Street

Shawnee Mission, KS 66215

www.ShellyOboynick.com

email ShellySellsRealEstate@gmail.com