Today we will be sharing the best ways to raise the value on your home. We will be talking about the best methods for estimating the value on your home and the worst methods for trying to get your home’s value. I will be sharing stories of clients who have used smart strategies on their mortgage financing to help get them the home AND the mortgage they love.
Welcome to Real Estate Mortgage Shoppe. Let me know what part of real estate or real estate financing interest you. Let’s stay connected. Subscribe for our weekly podcasts with show notes at www.JoGarner.com
To your success,
Jo Garner, Mortgage Loan Officer (901) 482-0354 Jo@JoGarner.com
_____________________________________________________________________
WELCOME TO REAL ESTATE MORTGAGE SHOPPE!
Good morning, Memphis! Welcome to our internet listeners and podcast listeners across the 50 states! You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Officer. You can connect with me at www.JoGarner.com. Our general topic is HOW TO BUILD VALUE ON THE HOUSE YOU LOVE-QUICK TIPS ON YOUR MORTGAGE AND APPRAISAL. Subscribe to get our weekly blogposts with podcasts at www.JoGarner.com. Call us while we are live at (901) 535-9732 Today is August 4th, 2018.
REAL ESTATE AND MORTGAGE TOPICS FOR THE DAY
Today we will be sharing the best ways to raise the value on your home. We will be talking about the best methods for estimating the value on your home and the worst methods for trying to get your home’s value. I will be sharing stories of clients who have used smart strategies on their mortgage financing to help get them the home AND the mortgage they love.
INTRODUCING TOM KING, APPRAISAL EXPERT
Back in the studio we have our real estate appraisal expert, Tom King of Bill King Company. Tom knows every street in Shelby, Tipton and Fayette County TN. He is a skydiver, an Elvis fan and this week was working at the election polls. Tom, tell our listeners about yourself and what you do for your appraisal clients. (Tom has about 1 minute or more to talk about himself and the type of appraisals he does for his customers )
TRAVELING ON THE JOURNEY TO HOMEOWNERSHIP
(Jo) What do you say when someone asks you what you do for a profession-or what do you do for a living? Of course, I am a mortgage loan officer, but I get to travel. When my client chooses me to be their lender for life, I get to be on their journey to homeownership as their lender, making sure they get the exact right mortgage and terms. I get to be part of the steps my mortgage customers take in life to get closer to their life’s dream.
IT’S NOT ALWAYS LOVE AT FIRST SIGHT-THE SHASTA’S STORY
Sometimes the house that is perfect for you isn’t love at first sight. Back in the spring a young couple, we will call the Shastas, found a house in walking distance of a family member who could help them care for their very young children. As a bonus, the house was in bike riding distance to their work place too. The time, energy and money this house would save them was enormous.
The challenge? The house had not been updated and had old lighting fixtures, drab colored paint and not enough storage space. The other challenge? Other families were lined up to make an offer on the home to buy it—competition. How could they overcome the odds to have this house as their own?
Here is what the Shasta’s did. They purchased the home for the full price the sellers wanted and paid their own closing costs so that they could beat out the competing offers from would-be buyers. Since they were living close to supportive family, they got plenty of help replacing the old lighting with modern recessed lighting, put in stylish ceiling fans, chose paint that made the house positively pop, and they built some nice looking shelving where needed.
The Shasta’s invited me over last week to see the finished improvements to their home. It seemed like I was walking into a brand new house! They were happy, their children were happy! Over a period of a few months the Shastas had converted a home that wasn’t really what they wanted into a home that they were proud to own.
For the Shastas, the value in the home they bought was more in the fact it was close to supportive family members and their work which freed up hundreds of dollars per month in child care expenses and transportation costs. They were able to add even a little more value to the home by updating the home’s lighting, fixtures and adding storage space.
Tom King, from your appraisal expertise, can you share some other ways homeowners, homebuyers and home sellers can add value to their homes?
Tom King shares several ways to add value to your home if you are staying or selling. Tom shares a few stories as examples of people who have added value to their home before they sell and after they have moved into the house.
1. Updating the kitchen –granite countertops, updated fixtures ……appliances (if homes in the neighborhood will support the value for these improvements)
2. Updating bathrooms..
3. Adding heated space to a home (if comparable sales of similar properties will support value)
_____________________________________________________________________
Ways to add value by increasing the chance of getting a higher price from a buyer if you are a seller—
4. Improve curb appeal by cleaning up landscaping, cutting lawn and trimming shrubs and adding a little color with some flowers
5. Cleaning the home inside and decluttering (basic staging)
6. Creating light in the home
7. Strong Wi-Fi reception
8. Fresh paint with neutral colors
(Jo) You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Officer. What do YOU want to accomplish with your mortgage? Make your plan. Let’s work your plan if the deal works for you today, let’s do it today. When we come back Tom and I will be sharing great tips about your home’s value and the financing too.
2nd segment after 9:15 break: The Look Back Memphis Trivia Contest is sponsored by John and Jennifer Lawhon of Lawhon Landscape (901) 754-7474 the Lawhon’s can help you plan your landscaping if you have a BIG, BIG project or a smaller project . The Lawhons are giving away a $25 gift card to the first person with the correct trivia answer. If you know the answer to our trivia question, call us at 901 535 WREC 901 535-9732.
TRIVIA ANSWER : KIDNEY-SHAPED
TRIVIA QUESTION: A few months after Elvis Presley purchased his home at Graceland in Memphis, TN, he had a swimming pool installed. What’s the shape of the pool at Graceland?
This is a multiple choice trivia question. The shape of the pool at Graceland—is the answer:
A. Heart-shaped B. Rectangular shaped C. Guitar shaped D. Kidney shaped.
_____________________________________________________________________
QUESTIONS ANSWERED BY Tom King:
1. What are the best things to do to a home to raise the most value?
A. Updating the kitchen –granite countertops, updated fixtures ……appliances (if homes in the neighborhood will support the value for these improvements)
B. Updating bathrooms..
C. Adding heated space to a home (if comparable sales of similar properties will support value)
2. What are some things you can do to a home to attract higher price offers from buyers if you are selling your home?
A. Improve curb appeal by cleaning up landscaping, cutting lawn and trimming shrubs and adding a little color with some flowers
B. Cleaning the home inside and decluttering (basic staging)
C. Creating light in the home
D. Strong Wi-Fi reception
E. Fresh paint with neutral colors
F. What are the most inaccurate ways to estimate the value of your home? Worst methods of assessing value on your home—
A. -Asking a neighbor (neighbor is working in his lawn and comes over to talk about values in neighborhood)
B. -Calculating what you paid for the house and what you paid for improvements. The value of your home may be much more or much less than the amount you have paid into it.
C. – Tax assessment which can be based on comparable sales from a long time ago
G. What are the most accurate methods of estimating the value of your home?
Most accurate methods of assessing value on your home—
A. -Ask an experienced realtor who regularly works in your neighborhood. The realtor can show you comparable sales in the area. The realtor can also show you nearby homes that are currently listed on the market and the number of days they average on the market before selling
B. -The price your house actually sells and closes with a buyer
C. -A licensed real estate appraiser completing a recent appraisal
D. What is the best way to appeal a low appraisal value on your home? (See Real Estate Tip of the Week)
_____________________________________________________________________
TOPICS COVERED BY JO GARNER, MORTGAGE LOAN OFFICER:
1. What are some tips you offer homebuyers on getting the right mortgage to buy the home they love?
A. If you think you may sell the house in a few years and move away, consider the advantages of getting an assumable mortgage so that if rates go up in the future as predicted, you can offer the lower rate and lower house note in exchange for getting a higher price for your home. Government FHA loans, VA loans and USDA Rural Housing loans are assumable as long as the new borrower qualifies with mortgage company servicing the loan at the time.
B. Make sure the house payment is comfortable for you from the beginning and make sure you leave yourself some emergency funds in the bank after buying your home. You can fix up an ugly house but you can’t fix up ugly financing.
Some of the financial gurus encourage homeowners to keep their house payment, including the taxes and insurance, mortgage insurance and association fees , under 30% of the gross income per month. If you add payments on cars, student loans, minimum payments on credit cards and other bills you have to pay, the total other bills PLUS the house payment should not exceed around 41% of the gross income.
Mortgage software tends to approve borrowers for payments much higher than suggested limits suggested by well-known financial experts. So, it is up to YOU to determine your budget. Take a look at the last few bank statements and credit card statements. Tally up what you are spending each month and add in bills you have to cover once or twice a year like insurance and car tags. Look at your income before taxes are deducted and after. What can YOU personally pay on a house note comfortably?
C. Buy a home that has not been updated in a couple of decades that sits in a neighborhood of homes that have been updated. Buy this home at a price below the going prices of the surrounding updated homes. Over time, and as your budget permits, update the kitchen first, then the bathroom and so on. With a little help, you could do what the Shasta’s did with their home. I told their story in the early part of the show.
Here is another story I shared a few weeks ago about a couple, Mr and Ms. Kenner (not their real names) who gradually upgraded and added features to the home they purchased until they could eventually make the home everything they wanted.
Jerry Kenner and his wife had a few tough breaks in life with health issues and helping their adult children get to a place where they could support themselves. What they really yearned for was a house with a sunroom, a deck, a small pool and a not-so-small workshop for Jerry.
The Kenners’ challenge- There was no such house available on the market and nothing anywhere even similar in the price range they could afford without putting a lot of money down. But they would never be able to have this dream come true in the little house where they had raised their children for so many years. .
The Kenners’ Strategy- The Kenners’ realtor really listened to what they wanted but knew their financial limits. The Kenners had prioritized the things about the house were the most important to them and given their wish list to their real estate agent.
Since the Kenners were now empty-nesters, they could buy a home outside the crowded city neighborhoods with not so many strict covenants and restrictions and zoning rules. Their agent helped them find the perfect house in a more rural area with enough space so that, over time using money the Kenners gradually saved and using some of their home equity line of credit money , Jerry and his wife could build their sunroom one year, the deck and the small swimming pool another year and the not-so-small work shop too. But Jerry opted to build the workshop first.
D. There are some bargain priced homes still out in the marketplace but many of them need repairs and quite a bit of fix ups to meet most mortgage program guidelines. We can talk about a renovation and repair mortgage to accomplish the financing on this type project.
E. If you own a condominium, make sure the condo association board maintains the condominium project’s FHA approval and the Fannie Mae or Freddie Mac conventional loan approval. If the condominium project does not have an FHA approval status or conventional approval status, buyers will need to put more money down or not be able to use traditional mortgage financing. The more a buyer has to pay down and the more difficult it is to finance the condominium unit, the lower buyers are generally willing to pay.
_____________________________________________________________________
REAL ESTATE TIP OF THE WEEK
(Tom King talks about using the increasing value time factor to appeal low appraisals in rising value markets):
_____________________________________________________________________
ANNOUNCEMENTS:
Talk Shoppe offers free networking & education to anyone interested in real estate or in business. Talk Shoppe meets every Wednesday 9A-10A CT at Pinot’s Palette 8225 Dexter Rd Cordova, TN. This Wednesday August 8th, 2018 Shoppe presents: Wardell Seals with “Heartbeat-CPR, a most entertaining introduction to learning about current CPR practices.” Do you remember the song “Staying Alive” by the Bee Gee? Wardell will show you how to remember proper CPR procedure to the tune of that song.
Talk Shoppe events are free thanks to advertisers like Peggy Lau, Independent Representative with World Ventures. Peggy can show you how to enjoy first-class vacations one-of-a-kind travel community at a fraction of market costs. www.ipoa.dreamtrips.com
Are you looking for a way to promote YOUR business with the power of a team at below market costs? Check out Talk Shoppe’s advertising package at www.TalkShoppe.com or call me at (901) 482-0354.
2. Welcome to Elvis Presley Fans coming to Memphis to celebrate Elvis week at Graceland.
3. Thank you to Chad Irwin, Mortgage Manager of the Memphis Office at Evolve Bank and Trust for sponsoring today’s episode of Real Estate Mortgage Shoppe. If you are looking for a successful mortgage career in the Memphis area or anywhere in the country, contract Chad or me. (901) 482-0354.
4. Subscribe at www.JoGarner.com and you can get our weekly blog posts with podcasts conveniently in your inbox.
5. Real Estate Mortgage Shoppe reminds you to MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, DO IT TODAY.
SPECIAL NOTE: REAL ESTATE MORTGAGE SHOPPE RECOMMENDS THAT YOU CONSULT WITH A FINANCIAL, LEGAL OR OTHER CERTIFIED, LICENSED PROFESSIONAL BEFORE ACTING OR INVESTING ON ANYTHING YOU HEAR OR SEE FROM THE CONTENT ON THIS SHOW OR BLOG POSTS. THE INFORMATION WE SHARE ON REAL ESTATE MORTGAGE SHOPPE IS GENERAL IN NATURE MEANT FOR GENERAL EDUCATIONAL PURPOSES ONLY. ALL EXAMPLES GIVEN FOR ILLUSTRATION PURPOSES ON REAL ESTATE MORTGAGE SHOPPE USE FICTIONAL CHARACTERS AND DO NOT REFLECT REAL PEOPLE OR ACTUAL DETAILS IN ANY OF THE SITUATIONS.
_____________________________________________________________________
QUOTE CORNER:
Elvis Presley: “Do what is right for you, as long as it don’t hurt no one.”
Elvis Presley: “Values are like fingerprints. Nobody’s are the same, but you leave ‘em all over everything you do.”
_____________________________________________________________________
REJOINDERS:
1. Chad Irwin, Mortgage Manager for the Memphis, TN office Evolve Bank and Trust (901) 260-1480
2. Eric Eurich, Germantown, TN Kaizen Award-Winning Focal Point Business Coach
3. Marx Sterbcow, New Orleans, LA The Sterbcow Law Firm
Transitional Music: “Hound Dog” Elvis Presley; “Good Luck Charm” Elvis Presley; “Rags to Riches” Elvis Presley; “Memphis” by Johnny Rivers for the Look Back Memphis Trivia Contest
_____________________________________________________________________
ABOUT TOM KING:
Tom is a well- respected and sought after appraiser in Memphis, Tennessee. He is a second generation appraiser with 40 years of experience. He has been elected to the Memphis Area Association of Realtors Board of Directors three times.
Tom is a certified residential appraiser in Tennessee. He have appraised over 20,000 homes in his career. A graduate from the University of Tennessee with a degree in real estate, Tom is also a Certified Relocation Professional (CRP). Tom also has vast experience in dealing appraising real estate for pre-listing sales, cash buyers, divorce settlements, estate settlements. (901) 487-6989
_____________________________________________________________________
ABOUT JO GARNER-MORTGAGE LOAN OFFICER:
WHAT DO YOU WANT TO ACCOMPLISH WITH YOUR MORTGAGE?
www.JoGarner.com (901) 482 0354 jo@jogarner.com twitter @jogarner NMLS# 757308
“Whatever YOUR personal priorities are, my job is to help you get the mortgage terms that will give you bragging rights when you talk about it and help you score on hitting your goals .”
As a mortgage loan officer, my job is to help you get to the benefits you want from your financing terms. What is most important to you? I can help you find the financing terms that will help you get to what you want. What is your comfort level on a house payment? How much are you comfortable paying down,? What type of financing do you need to get the house you want to buy or refinance?
Different clients have different priorities in life—some are buying their first home with very little down payment funds. Some are recovering from medical challenges, divorces or preparing to send children to college and some are embarking on a long term goal of buying properties to build rental income.”
Jo Garner is a mortgage officer with extensive knowledge in tailoring mortgages to her customers who are refinancing or purchasing homes all over the country. She offers conventional, FHA, VA or other loan programs for refinancing and purchases.
Jo can help you look at rent vs buy, when it makes sense to refinance, how to get the best deal on your home purchase financing.
Jo Garner has been in the real estate/financing business for over 20 years. She got her start in Portland, Maine where she first began her real estate career. She received her real estate education from the University of Southern Maine and was personally mentored in San Diego, California by Robert G. Allen, author of Nothing Down, Creating Wealth and The Challenge.
On moving back to West Tennessee in 1987, she went into business buying and selling discounted owner-financed notes secured on real estate. In 1990 Jo went to work for a residential mortgage company and has been a mortgage loan officer for over 20 years. Her goal is to offer excellent, affordable service to her customers, tailoring the loan programs to the specific needs of her clients.
In addition to her work in the mortgage field, Jo Garner is the primary sponsor and founder of Talk Shoppe in Memphis. www.TalkShoppe.com She was also the editor of Power Shoppe, a free weekly e-zine designed for real estate professionals and others indirectly connected to the real estate industry and currently publishes on her blog www.JoGarner.com.