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Robert Taylor's Blog

By Robert Taylor | Agent in Atlanta, GA
  • HUD Homes

    Posted Under: Home Buying in Atlanta  |  July 10, 2013 11:50 AM  |  148 views  |  1 comment
    Buying a HUD home is a great way to get a foreclosure.  In general they are in decent shape and are priced right to sell. 

    If you are an owner occupant you even have an increase over investors since investors have to wait 30 days before they can bid on a HUD property, and with the way that this market is going homes aren't lasting 30 days. 

    Although I still recommend getting an inspection HUD does do a nice job of telling you what they have found to be wrong with the property too.   This is what they call the "ESCROW" funds. 
    If a home needs repairs, for example: if a new AC compressor is needed, new carpet, and a wall repair - HUD will ESCROW $3300 for these items. 

    Now this is where a lot of people get confused.  That doesn't mean that HUD is going to give you $3300 towards the purchase of this home.  What it means is that if you are getting a loan your lender will increase the price to include $3300, which will be paid to the vendors who complete your work.  This is just an example and might very from property to property as to how much you are given based on the HUD formula for each item. 

    For some reason, people think that it is free money that they are going to be getting for repairs when in fact it is money that you are borrowing.   Luckily, you are borrowing it over a 30 year period at a 4% interest rate so it is a matter of a couple of dollars a month on your mortgage.  The good thing is that you get to make sure you have brand new items for your home. 

    If you are a CASH BUYER than you will just be paying for the repairs yourself. 

    The biggest draw back with HUD properties is that if you over bid on a property in order to make sure you get it you have to bring the amount of the difference to closing.  So, for an example, you have been approved for $100,000.  You see a home on HUD that is $75,000 and you love it.  You bid $77,500 because the market is tight and homes are selling.  In addition to whatever amount your lender is requiring for a down payment you will need to bring the additional $2500 since FHA will not allow you get a loan for the overage. 

    HUD allows 15 days for an inspection, which is 10 days more than most Sellers! Giving you amble time to have all of your inspections completed.   They also allow for a 45 day closing period, which should be plenty of time for your lender to get the necessary documentation needed to secure your loan. 

    If you do need additional time you do have to file an extension at a cost of $150 per 15 days. 

    HUD has recently announced that it is going to allow Buyer to choose the Closing Attorney. Previously Atlanta properties were closed at the offices of hesitate and Price. They always did an excellent job and I would suggest them for any client since they know the ins and outs of HUD closings. 

    If you ever need assistance or would like to place a bid on a HUD property don't hesitate to contact me at: 

    Morris and Raper
    1718 Peachtree Street, Suite #276
    Atlanta GA 30309


  • Pricing Your Home To Sell

    Posted Under: Home Selling in Atlanta  |  June 27, 2013 7:35 AM  |  198 views  |  No comments
    The Atlanta Real Estate Market is shifting and Seller's are begining to list their house again FOR SALE, and although prices aren't at the highes they were in the mid 2000s they are getting better and better each quarter. 

    Every Seller thinks that their house is worth more than the home next door, and why wouldn't they; afterall, they do have the cutest baby! 

    And just because your home has an extra bedroom than your neighbor has doesn't mean that it is going to sell for more.  It could have more living space, a better kitchen, nice bathrooms, updated mechanicals etc. It could be a different style of home, better features. 

    Agents want to seel your home. That is how they get paid. When an agent performs an CMA for your property they just don't pick random numbers out of the sky. They compare sales in your neighborhood and take certain factors into consideration before recommending a price. Sometimes that price isn't the ball park you want to be in and other times it is a dose of realtiy for you. 

    A few months ago I had a potential client ask me about listing her home. It was a very nice home, but her expectations were $20,000 higher than what the market would bear for the place. Some people don't like honesty so she didn't hire me, and went with another firm.  As the months go by I have seen the listing drop in price month and month.  It is now finally at the price it should be at.  3 months later.  By now, that listing has been on the market that everyone who is looking has seen it and it is an outdated listing. 

    Some agents will take a listing at any price. I am not one of those agents. I will give you an honest assessment of the value of your home and if you want to take my recommendation and list with me I would be happy to do so.   If you are ever in need of a FREE MARKET ANALYSIS for your home do not hesitate to contact me. 

  • Cash Buyers

    Posted Under: Home Buying in Atlanta  |  May 29, 2013 6:18 PM  |  186 views  |  No comments
    I get a lot of people who call me about property and one of the very first questions I ask them, "are you paying cash or are you financing?"  If they have to think about it for more than a second I know that they are financing and have not been pre approved.   

    I wrote of the importance of getting pre approved in a previous post so I thought that I would explain what paying CASH means when buying a home. 

    First off let me tell you that it doesn't mean that you are going to get the home for 1/2 off. To a Seller (95%) of the time if the Buyer is paying cash or if the Buyer is financing it is the same because they get the money at the closing table either way. 

    What CASH allows you to do is close quickly on a property, and this is an advantage to some property owners, but keep in mind that most of the homes on the market are either short sales - which aren't going to close quickly anyway, REOs/Foreclosures/HUD homes, which it doesn't matter to them how they get the funds. 

    Also, when you are asked are you paying CASH this mean are you paying cash for the entire purchase. Not that you have a 5% down payment or even a 20% down payment.  CASH means that if a property is listed for $50,000 than you have $50,000 in the bank to pay for it. 

    Today's market is getting very competitive and the days of getting a home for cheap are slowing disppearing.  That doesn't mean that it isn't still a good time to buy.  Your Real Estate Agent should be honest and forthright with you to bring your expectation down to reality. 

    If you ever need assistance with the home buying process don't hesitate to contact me at 404-604-0971.  


  • Renting A Home

    Posted Under: Rentals in Atlanta  |  May 14, 2013 3:01 PM  |  193 views  |  No comments
    The internet is one of the greatest tools for Real Estate, and it is also one the easiest ways for some one to scam you when you are looking for a rental. 

    Take a few steps to protect yourself from internet scams. 

    1. If it sounds too good to be true - it is.
    2. Those long winded emails that you get from someone when you answer an ad on Craigslist aren't real.  No agent has time to sit and write 4 paragraphs about a home and tell you how lucky they are to have found someone like you........ if you get something like that just delete and move on. 

    3. Never send any money without looking at a home. 

    4. Be honest on your application.  A good property manager/owner is going to run a credit check and background check.  You know if you have been evicted. You know if you have been arrested or not! They will to. Just be honest and you might just get approved. 

    5. You will need a security deposit to move into a home.  You will need access to these funds within 24 hours after you have been approved for a home to hold the home. 

    6. You will need first month's rent to move into a home. In addition make sure you build up some savings so that you can move without breaking your bank.  

    I hope these tips have helped, and feel free to contact me if you have any questions, or am ever in need of assistance with a rental purchase. 

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