Fairfax County VA Home Search Website Blog

Today’s home buyers have a big advantage over buyers from a decade ago:  the internet.  You can search for homes for sale online, find pricing data and instructions on how to buy a home.  So, why would you possibly want to hire a Fairfax County Virginia real estate agent to help you buy a home?

Here are four surprising and not-so-surprising reasons why hiring one of the Fairfax County Virginia real estate agents will maximize your time and money when buying a home:

1. Paperwork – Today’s real estate contracts run 10 pages or more, and will take you hours to read, comprehend, process and file. One miniscule mistake or omission could land you in court or cost you thousands.  Experienced agents handle the paperwork and legal issues for you, minimizing your hassles, headaches and anxiety.
2. House Hunting – It’s a jungle out there! Navigating through the short sales, foreclosures and thousands of homes for sale can be overwhelming.  Your agent can streamline that process for you by sorting through the trash and finding the gem that meets all your needs and budget.
3. Goal Achievement – When you have an expert working on your team and looking out for your best interest, you won’t have to settle for less. A professional agent is by your side every step of the way helping you achieve your goal.
4. Price Advice – Your agent can help you determine if a property you’re interested in is worth the asking price and give you advice on how much to offer for the home.  She or he will also negotiate the price and terms for you to get you the best deal possible.  Experienced agents have honed their negotiating skills through years of practice in many types of real estate markets and with a wide variety of personalities.

Want to hire a professional, skilled and experienced Fairfax County Virginia real estate agent?  Give me a call today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com to learn more about how I can help you achieve all your real estate goals.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

You know that you can lend money to your child to help him or her buy Fairfax County Virginia real estate.  But you’d like to explore some of the other financial arrangements to determine which option is the most advantageous for you and your child.

Here are four additional ways to help your child buy Fairfax County Virginia real estate:

1. Give the down payment as a gift.

Before deciding whether to make the money a gift, consider what moral message you may be sending.  You don’t want your child to develop a sense of entitlement and take for granted that he or she can come to you any time they need money.

If you decide you do want to give part or all of the down payment as a gift, consult with your financial adviser to determine the amount you can give away without incurring tax liabilities.

2. Co-sign the bank loan.

This could be all the help your child needs to get a mortgage. It might make sense if he or she is close to graduating college and already has a job lined up or has a solid but irregular income that would disqualify her or him from getting loan approval.

However, there are big risks associated with co-signing a loan. You’re responsible if your child fails to keep up payments, which means the bank will come after you for the money. If your child is late with a payment, it impacts your credit score. If you want to get another loan for a home or some other big expenditure, you may find the co-signed loan uses up your borrowing ability.

Before co-signing a loan, get legal and financial advice.  Also, if your child is married, be sure to have his or her spouse sign the loan and any other written documents that provide the terms of your agreement.

3.   Set up a shared-equity arrangement.

In this arrangement, everything is open to negotiation.  Typically, a written contract spells out that the child (as the homeowner) is responsible for mortgage payments and gets the tax deduction that comes with it, and you (as the investor) are responsible for providing the down payment.

Some of the conditions you’ll want to agree on before finalizing the agreement are who pays the property taxes, whether or not your name will be on the loan and when the investment will be paid back through either selling or refinancing the Fairfax County Virginia real estate.

Because of the flexibility inherent in this type of arrangement, it’s crucial to involve your lawyer and have a document drawn up that spells out everything in detail.

Set up a lease-to-own agreement.

Basically, you buy an investment property and rent it to your child.  You can set the terms of the agreement, but here’s how lease-to-own arrangements typically work:

The renter is buying the right to purchase the house later for a given price.  There’s often a large upfront option fee of 1% to 3% of the home’s purchase price.  Or, the option fee can be added to the monthly rent. Usually, some or all of the option fee is credited as a down payment on the purchase of the house.

During the rental period, you still own the home and are legally responsible for it, but your child maintains the property as his or her own. Be sure to have a legally-reviewed contract signed by all parties involved.

If you’re interested in purchasing Fairfax County Virginia real estate for your adult child or as an investment, I can help.  Give me a call today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com for more information.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

You’ve reviewed your finances and have decided you can afford to and want to help your child buy Fairfax County Virginia real estate.  Is lending the money to your offspring your best option?  Here are some questions to consider when making this decision.

1. Will you need the money later?
If there’s a chance that you might need the money to live on at some point, lending the money to your child is a better option than giving it to them.  You can always forgive part of the loan later on, if you find you don’t need the money to live on.

2. How much should you lend?
Depending on your financial situation, you can lend part or all of the down payment or part or all of the purchase price of the Fairfax County Virginia real estate.

If you have enough money to lend the entire mortgage amount, consult with your financial planner to determine if this is the best option for you. Lending the entire amount often offers you more income than you’d get from a bank and gives your child an even lower interest rate than he or she would get with a traditional mortgage.  It also allows your child to deduct the mortgage interest because the loan is secured by the property.

3. Who will receive the mortgage payments?
Decide if you want to receive the monthly mortgage payments or if you’d prefer to have a third party service the mortgage.  If you want to know more about employing a third party to draw up the mortgage contract and accept the monthly payments, look into companies that handle intra-family loans.

4. How much interest should you charge?
As part of the loan agreement, you’ll want to charge an interest rate equal to the IRS-approved Applicable Federal Rates (AFRs). The AFR is the lowest interest rate you can charge without causing any unwanted tax complications.  Work with your financial and legal experts to ensure the loan agreement is in the best interest of both you and your child.

Let me help you find the Fairfax County Virginia real estate that meets the needs of you and your child and get it at a great price.  Call me today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

With appealingly-low home prices and historically-low mortgage rates, you know this is an ideal time to buy Fairfax County Virginia real estate. What about your adult child who doesn’t have the down payment needed to buy his or her first home? Should you help him or her take advantage of this opportunity?

Many parents are asking themselves this question. According to a survey done by the National Association of REALTORS®, 36% of first-time buyers received help with their down payment from family or friends – typically parents – in 2010.  That was up 28% from 2009.

Can you afford it?

The first thing to ask yourself is whether you can afford it. Are you on track to reach your financial goals for retirement? If you are not, you cannot afford to help your child buy [city] real estate.  Additionally, some financial experts suggest that you should not tie up more than 3% to 5% of your assets in family loans.

Are you prepared to lose the money?

Your offspring may fully intend to repay you, but his or her ability to do so could change quickly in today’s financial environment.

To reduce the possibility of your child falling behind on payments or defaulting, create a contingency plan.  If the amount you’ve lent is small enough, you might decide to give it to them as a gift. If not, work out a schedule of repayment. For instance, you could reduce the monthly payment. Just make sure you get some type of payment on a regular basis, even if it’s only symbolic.

Will your other children be accepting?

Your other children should know that you are providing this aid, if you intend to also help them financially, and if not, why you made that decision. If helping one of your kids finance a home will cause a major rift in your family, you may not want to move forward with it.
Can you do the deal and then back off?

Helping your son or daughter buy Fairfax County Virginia real estate can be a positive for all of you. But you don’t want to be the type of parent who helps and then spends the next decade dictating how to decorate the home and dropping in to visit any time you please.

If you’d like to find a home to purchase for your child, I can help.  Give me a call today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com for additional information.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

You’ve taken the leap, purchased Fairfax County Virginia real estate as rental property and become a landlord.  Congratulations!  Now, you have to decide who’s going to manage your rental property… you, a resident manager or a property management company.

Hiring a property management company can be expensive.   To help you determine if that’s the best business decision for you, here are some instances in which you may want to hire a property management company for your Fairfax County Virginia real estate:

• You have many properties and rental units, and you don’t have time to do it all yourself.
• You live far away from your rental property.  Many problems that arise with rental properties need immediate attention.
• You don’t want the hassle of having employees.  Hiring a resident manager or others to help with your Fairfax County Virginia real estate means dealing with all the hassles of having employees such as hiring and firing, supervising, providing a safe work place, supplying equipment needed to do the job and paying payroll and employment taxes. Property management companies are independent contractors, not employees, so you avoid all those hassles.
• You don’t want to screen potential renters.  A management company can screen potential renters and handle any problems that arise with tenants.
• You don’t want to manage the property.  If you don’t like handling the day-to-day operations of rental property or you prefer to spend the time building your business, a property management company can take care of everything for you.
• You can afford it. Fees charged by property management companies vary depending on the type of property (commercial versus residential), the number of properties and units you need managed, the area in which your properties are located and the services that are included. To give you a ballpark idea of the cost, the average property management fee is about 4% to 12% of monthly rent.

Need help finding a property management company or ready to buy Fairfax County Virginia real estate to use as rental property?  I can help.  Give me a call today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

As the need for home loan modifications has increased, so has the number of home loan modification scams.  Like all scams, they aren’t always easy to detect.  To help you identify loan modification scammers, here are five things to watch out for:

1. Asking for payment up front. This can be masked as a house payment, insurance payment or a deposit. No matter what they tell you it’s for, do not give it to them in advance of work being performed and contracts being signed.  If you do give payment up front, at best, you’ll pay for work that could have been done for free through other non-profit organizations or loan modification assistance programs. At worst, no work will be done, you’ll never see your money again, and you’ll no longer have time to save your Alexandria VA home from foreclosure.
2. Guaranteeing a loan modification. Legitimate lenders and HUD officials never guarantee they can do this for you.  They only tell you they will do their best to help.  Do your research.  Type the name of the company into a search engine along with the word scam.  The results may surprise you.  Call the Better Business Bureau to see if the company has any complaints against them.
3. Telling you to send your mortgage payment somewhere other than to your lender. Never ever send your Alexandria VA home mortgage payment to anyone other than your mortgage lender. As soon as you have trouble making your monthly payment, contact your mortgage lender.
4. Offering government-based loan modifications. Government agencies do not make calls like this. Contact your mortgage lender and ask whether you qualify for any government programs to prevent foreclosure.
5. Asking you to give out personal or financial information.  Do not give this information over the phone or the internet without verifying this is a company you are familiar with. Don’t click on a link sent to you in an email – find and type the web address in for yourself. Don’t give info to someone who initiates a phone call to you – look up the number yourself and call them.  Most scams happen via the phone or the internet; however, some scammers visit you at your home, so don’t give your information to anyone knocking on your door, either.

You can learn more about how you can protect yourself from loan scams at LoanScamAlert.com.

If you’d like to talk about options for selling your Alexandria VA home (whether as a traditional sale or a short sale), I’d be happy to help. Give me a call today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

More than likely, you’ve cooked dinners, you’ve played games and you’ve made thousands of memories within the personally decorated walls of your home — and now you think you’re ready to move on. No matter the reason for selling your Fairfax County Virginia real estate, getting emotional is normal. However, you need to keep those emotions in check, because they could be detrimental to closing the deal.

Emotional calls constantly get sellers in troubling situations that make them regret their split decisions. A snide remark, too-low offer or fixer-up request can strike a personal cord, but you need to set your feelings aside in order to do what’s best for your financial future. Below are emotional mistakes that can stop negotiations and put you in housing hot water!

• Overpricing faux pas – Just because your sweat is worth a lot to you doesn’t mean that your property’s value will reflect the years of hard work, cleaning, upgrades and love you’ve put into it. Do your research. If there are comparable houses in your neighborhood at lower price points, reduce your listing price so that you’ll be a contender for buyers.
• Negative negotiating – Even though you may not want to entertain low offers, listen to your Fairfax County Virginia real estate agent. He or she has been through hundreds of negotiations and is your best bet for closing the deal at a fair price.
• Personal injuries – Don’t let buyer biases get to your personal ego and cause you to reject a potential purchaser all together. Remember, you are selling this house and moving on; they’ll be able to do whatever they want once they own it anyway.
• Mourning the sale – The memories go with you, so don’t have any second thoughts. Concentrate on making new happy moments in your future home.

Don’t let sentimental seller’s syndrome cause you to blow a fuse, have seller’s remorse, or worst of all, lose a sale. Eliminate emotions from the sale process in order to draw in buyers, get your money’s worth and sell quickly.

If you need help selling your Fairfax County Virginia real estate, call me at 703-909-3939 or email me at Steve@HomeSearchWebsite.com for more information.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

Buying one of the Arlington VA homes is both easier and harder these days. Yes, it’s a buyer’s market, which implies prices are lower, but it also means there are tons of homes for sale that you have to weed through to find your jewel.  Purchasing a home is a lot easier when you know how to be a savvy home buyer.

Follow these five tips to get the Arlington VA home of dreams with less hassle and at a great price:

1. List your home before looking for another home. Contracts contingent on selling your existing home complicate the buying process and reduce your chance of getting a great bargain. Sellers are often unwilling to give any concessions if they have to wait for you to sell your home.
2. Get pre-approved for a loan.  Sellers prefer to negotiate with buyers who are pre-approved for a loan large enough to purchase their home.  The pre-approval may save you money because you’ll have more leverage to negotiate a lower price.  Additionally, you’ll save time by looking exclusively at homes within your price range.
3. Ignore easy-to-change design issues. If the shag carpeting isn’t your style, you can easily change it after purchasing the home. Don’t like wallpaper? Remove it after you own the home. Envision what the home can look like with your personal touch.
4. Get a professional home inspection. Buying a home is one of the biggest purchases you will ever make, so be sure the structure is in good condition. During a home inspection, a qualified inspector takes a thorough, unbiased look at the property. The home inspection contingency is one you do want in your contract.
5. Make a serious offer. Listen to the price guidance your real estate agent provides and make an offer that won’t offend the seller. Most sellers expect an offer lower than the asking price, but they don’t want to feel insulted. You’ll get much closer to what you want to pay for the house if you treat the seller like you want to be treated – with respect and courtesy.

If you’re ready to buy a home or condo in Arlington VA, let me help you get it at the best price and with as little hassle as possible.  Give me a call today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com to get started.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

Real estate has a language of its own, and I don’t just mean phrases like closing costs, short sales and foreclosures.  What I’m talking about are buzz words used to advertise Alexandria VA homes for sale.

When you understand the typical meaning of these code words, you’ll be better able to determine which Alexandria VA homes for sale are worth looking at in person.

• Cozy: Look at this home if you don’t mind a much smaller than average home.
• Rustic: If you want a home in the country (or one that looks like it should be in the country), take a look at this one.
• Move in Ready: Usually means it’s vacant.
• Starter: It’s smaller and less expensive than average homes in the area.  If you’re in the market for a starter home, this is the phrasing you want to look for.
• Needs TLC: It probably needs more than just a little work.  If you don’t mind that, check it out for yourself to see how much work it really needs.
• Handyman’s Special: Needs more work than TLC, which probably means you’ll need to hire professional contractors to get at least some of the work done.  If you like the home, have a home inspection to find all the problems and then negotiate for a good price.
• Investor Special: Best use of this property is to rent it out.
• Investment in Land: If there’s a house on the land, this means you’re probably wisest to tear down the home and rebuild.
• I’m Beautiful Inside: The interior is nice, but something about the exterior is unappealing.  It could be something easy to fix like old siding and cracked concrete or something impossible to remedy like being on a busy street.
• Honey, Stop the Car: This is a must-see home, if it fits your budget and needs.

If you’re looking at Alexandria VA homes for sale, let me help you crack the code.  I’ll help you find a home you’ll love and use my negotiation skills to get it at a great price.

To get started with your home search, give me a call today at 703-909-3939 or email me at Steve@HomeSearchWebsite.com to schedule an appointment.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939

In the recent downturn of the economy, many homes nationwide as well as homes and condos in Arlington VA have taken a dive in value. As a result, they may not be the nest eggs that potential retirees were hoping for. Now, retirees need to know their options and what to do with their homes and condos in Arlington VA.

If you find yourself in this predicament and aren’t sure what to do, speak with your financial expert and review the following options for your financial future so that you can retire on time — and enjoy it!

• Wait it out. Most retirees want to try this tactic and are hoping that the housing market will rebound. However, if your property’s upkeep costs, such as taxes, insurance and utilities, continue to rise, you might need to consider other options.
• Pay down the mortgage.  If you have the extra dough, start investing in your property by paying off your mortgage faster. You’ll build more equity and soon see that extra money each month going straight into savings. To come up with some extra money to pay down your mortgage, you could refinance to take advantage of lower interest rates, or cut back on consumer spending. Whatever your plan, just know that most financial experts agree that you should not stop contributing to your retirement fund or take money out of your retirement investment accounts to be mortgage free.
• Sell and downsize.  If you’re still living in the home in which you raised your children, chances are it’s probably too large for your retirement life. Consider selling and downsizing, especially if you have a good amount of equity built up in your current property. You could have your newer, smaller and cheaper home paid off quickly, and could start contributing more to your retirement fund.

Whatever your current financial situation as you approach retirement, consider all of the options. Retirement is for relaxation — which is hard to do when you’re stressed about monthly finances.

If you’re weighing your retirement options and want to see at what price point homes and condos in Arlington VA are currently selling, call me at 703-909-3939 or email me at Steve@HomeSearchWebsite.com.

Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939