Is It More Expensive to Sell with VA Financing?
Wednesday, 13 March 2013
Question: “I’ve heard it’s more expensive to sell with VA financing. Can you explain?” Answer: Happy to. VA (aka Veteran or G.I.) financing is a government program and has certain rules. Most are to ensure that veterans only buy homes in good condition. The downside is that these rules can cost homesellers and discourage some
- Published in Q&A - Home Financing Questions
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Why You Sign the Buyer’s Offer in a Counter-Offer
Tuesday, 12 March 2013
Question: [Question from one of my homeseller-clients who is making a counter-offer to an offer we received.] “Gary, I don’t agree to the buyer’s offer. So why am I supposed to sign it when I make a counter-offer?” Answer: Great question! In a legal sense you are rejecting the offer when you make a counter-offer.
- Published in Q&A - Home Selling Questions
How Are FICO Scores Measured?
Wednesday, 06 March 2013
Question: “I’ve been working again now for 6 months, so my FICO score should be improving…” Answer: While having a job means you have more money to pay your bills, it does not directly impact your FICO or credit score. FICO scores measure 5 things: 35% Payment history 30% Amounts owed (as a % of
- Published in Q&A - Home Financing Questions
Can’t Do a Tax-Deferred Exchange on Your Principal Residence
Tuesday, 05 March 2013
Question: “I’d like to sell my Clairemont condo and buy a little house in P.B. An agent said I could do a tax-deferred exchange and buy another home without paying any taxes. Is that correct?” Answer: A little knowledge can be dangerous. The agent was trying to help, but applied rules for investment property (“tax-deferred
- Published in Q&A - Home Selling Questions
How to Know if You’ll Profit from a Flix-and-Flip
Wednesday, 27 February 2013
Question: “How much under-market do I need to buy a home to make money on a fix-and-flip?” Answer: There’s no simple formula, because of all the variables: Financing Fix-Up Cost Fix-Up Time Added Value Market Time Negotiation Transaction Management Appreciation – Financing – Obviously, you want to get a loan at the lowest cost possible
- Published in Q&A - Home Investing Questions
That Offer You Got in the Mail Could Be a Scam
Tuesday, 26 February 2013
Question: “I just got a letter in the mail from someone who says he wants to buy my home. I’m a little suspicious. Do you think it’s legit?” Answer: Some are legit, others not. While it could be real, often it’s an investor looking to buy your home way under value. A client called me
- Published in Q&A - Home Selling Questions
Can You Avoid Taxes with a Fix-and-Flip?
Wednesday, 20 February 2013
Question: “I’d like to start buying fixer-upper homes and reselling them for profit by exchanging them, so I can avoid taxes…” Answer: I know you’re not asking a question, but I have two important comments for you… #1: There is HEAVY competition for “fix/flip” properties like you want to buy. Last week a man came
- Published in Q&A - Home Investing Questions
When in Doubt, Disclose on Your San Diego Home
Tuesday, 19 February 2013
Question: “Last year I had a plumbing leak that led to mold in my laundry room. A mold remediation company handled everything and the mold test came out 100% clear. Do I still need to disclose it when I sell my home?” Answer: Definitely. The law says you must disclose anything that could “materially affect
- Published in Q&A - Home Selling Questions