Will my closing take place on time?
February 7, 2013 By Ilona
You’re psyched to either buy or sell a home and you enter into a contract to purchase. You get through the negotiation and settle on the details. Finally it’s time to move forward with all the steps to closing. The closing date is defined in the purchase contract. You’re excited, you make plans for that date. Then you look at your agent and say…will my closing take place on time? (Don, don, don) The short answer is…Probably not.
What? What do you mean probably not?? Well, the truth is the ENTIRE process of purchasing a home is so much different today than it was just a short 5 years ago. The most dramatic change is of course with the lending process. However, even cash sales are having trouble closing on time lately.
When I started in real estate in late 1996, the purchase contract was legal size paper front and back. Yep, just 2 measly little pages. Today the purchase contract is 10 pages long! That doesn’t even include any addenda or the required Residential Property Disclosure. It’s a litigious society out there and the basic contracts are the proof!
While the current North Carolina Offer to Purchase and Contract does have a spot for a specific closing date, there is also a provision that extends that date by 14 days provided that all parties are moving forward with their best efforts and the delay is being caused by no fault of their own. Frankly, most delays truly are no fault of the parties, but rather the outside vendors…namely the lender.
For the first time in 18 months, I had a transaction actually close on time last week. It was a cash transaction and there were 50 days to make it happen. Keep in mind, most offers are written with a 30 to 45 day due diligence period and then another 10 to 15 days to closing. That’s a 60 day time frame to get it all done and even still most contracts are exercising the 14 day auto extension to make things happen.
Below is a list of the most common issues that come up causing potential delays in closing.
- Negotiation of the home inspection items takes longer than usual. Most buyers won’t move forward on any other diligence (appraisal, survey, etc) until this part of the process is complete to save the unnecessary expense if an agreement can’t be made.
- 7 days before closing the buyer decides to open a new credit card account at a store to take advantage of the 10% off, or some other new credit is opened at the last minute…this means underwriting to stop and ask questions, generally causing a 2 to 3 day delay.
- Appraisers are very backed up and some appraisals will take 2 to 3 weeks to complete. Now, even the lender has very little if any control as to who is even chosen for the work. Leaving the entire transaction at the mercy of the appraisers schedule.
- Employment has to be verified, then re-verified, then triple verified! Hope the entire HR department doesn’t get the flu!
- Doing a Jumbo loan? The amount of paperwork required is maddening. Be prepared to account for EVERY SINGLE penny you have. Not kidding! Last minute bonuses from work will cause the underwriter to stop and ask questions.
- Buying a condo? Be prepared for a minimum of 25% down or else a full review has to be done on the condo project. This will easily take a week, just for that process. Nothing else can be done until that’s complete.
Each of these are examples of actual circumstances that caused delays for many transactions over the last few months. The job of the real estate agent has changed over the years. We spend 85% of our time actually getting the deal closed. Make no mistake…having a good agent on your side WILL help your closing successfully take place. The days of easily being able to sell by owner are most definitely behind us.
I don’t say this lightly…yes, it is good job security. At the same time it is also a lot more risky. Everything truly has changed. Agents are finding that we are spending tremendously more time engaged in the closing process due to the increased liability, increased regulations, increased buyer demands and decrease of flexibility sellers can afford.
Best Buys on the Outer Banks for the week of February 4th
February 5, 2013 By Ilona
Contact Me About Any of These Properties!
January Snapshot for the Outer Banks
January 30, 2013 By Ilona
After coming off such a strong year in 2012, I’m sure you’re wondering how things are going so far in 2013. Here’s a snapshot of what’s been happening on the Outer Banks for January.
- Surprise! No news to report on the Mid-Currituck Bridge
- Actual Surprise – It SNOWED! It’s all gone now, but it was fun for a day
- The Great White Shark Mary Lee was cruising around Hatteras
- I was named Beach Realty’s 2012 Agent of the Year
- Sales for January have been STRONG. Over 50 properties CLOSED so far
- Over 200 properties have already had a price adjustment in January
- Nearly 200 new listings came on the market
- When priced correctly multiple offers are coming in!
- When priced correctly properties are selling within 30 days of listing
Last year I predicted the sales for 2012 would increase 15%. The actual number was 21%! It was even better than I thought. This year I predict a similar trend. With the activity in the market so far we should easily exceed the number of sales over last year again. I also predict we will see a stabilization in pricing…no real movement up or down.So here’s the question…how can I be of help to you this year? What is your strategy for making the most of the 2013 market? What are your thoughts on how this year is going to play out? I’m interested to create this dialogue with you, so I can be sure to provide you with the most relevant information.
Stay warm and talk soon!
Best Buys for the Week of January 28, 2013
January 28, 2013 By Ilona
Contact Me About Any of These Properties!
2012 Agent of the Year
January 23, 2013 By Ilona
Beach Realty & Construction / Kitty Hawk Rentals
2012 Agent of the Year – Ilona Matteson
Ilona Matteson, associate broker for Beach Realty & Construction / Kitty Hawk Rentals was named the company’s agent of the year for 2012. Ilona was licensed in the late 1990’s and became sales manager for Beach Realty in 2002. In 2006, she moved to Richmond, VA and was affiliated with a national coaching company where she excelled as a one-on-one coach for real estate professionals. The allure of the Outer Banks brought her back to the beach and she resumed her career in real estate sales. She quickly became a top producer and attributes her success to hard work, discipline and an in-depth knowledge of the local market. Along with her successful career in real estate sales, Ilona Matteson also offers training and coaching to the sales team at Beach Realty & Construction.
Sales Manager Beth Urch says, “Ilona is an integral part of the Beach Realty sales team. She brings a level of integrity and professionalism to the business that her clients and peers appreciate. She is a valuable resource for our sales team and is instrumental to the company’s success.”
You can reach Ilona Matteson in the Duck office of Beach Realty & Construction / Kitty Hawk Rentals at (252) 261-6600 or email [email protected].
Beach Realty & Construction/Kitty Hawk Rentals is a full-service real estate company offering an attractive and ethical environment for licensed real estate professionals to realize a successful career. For more information about joining the Beach Realty Sales team contact Sales Manager, Beth Urch at (252) 261-3815 or [email protected].
The Secret Formula
January 22, 2013 By Ilona
It’s been a while since my last personal blog. That’s for many reasons. First, I hate to write. Second, I have been busy. Third, I hate to write. (See Adam, it’s not just running I hate.) I’m sure I could have found the time if I really wanted to. I just didn’t make it a priority. It’s interesting what we CAN do when we make it a priority.
Last night I graduated I think my 5th or 6th Bootcamp. I’ve lost track. After getting into a routine with Charlie and letting my hip injury heal I decided to get back in and signed up for the Night Camp. Wow, what a great decision! All through the holidays I had something more to keep me on track. And I actually did a pretty good job!
For the two months I took off I gained no weight! I was thrilled. I was also worried that I had lost my momentum and this next camp would be like starting over. Boy was I wrong. It’s a combination of mental and physical breakthroughs. After running the half marathon, I actually believe now that I AM a runner. That was step 1, belief. Step 2, physically doing it, came on the first night of the camp when I look around at mile 2.5 and I’m still in the front group. I was amazed. Normally I’m the first person of the back group. The front group always a good 100 yards in front of me. Not this time. I was the last person in the front group! Woo Hoo!
That alone gave me a shot of confidence so big I felt I could take on the world! Not to mention, I’ll never get tired of hearing how skinny I look when I see someone I haven’t seen in a few months! That’s a good booster there too. So with this renewed confidence I saw myself doing things with ease that 6 months before I struggled with. My physical ability had gone to the next level.
Now, the most important lesson here is this…it started in my mind first. The truth is, I was probably physically capable of many of these tasks 2 months ago, but I didn’t believe it yet. It took my mindset shifting before I really broke through. Now I see why it was so important to Matt that I run that half marathon. I’m just going to have to get him a keychain that says “you were right again” as I keep finding myself saying that to him. One day, I’ll stop questioning and just start doing!
So back to the lesson…all of my mentors, all the self help books, even the bible talks about how (whatever you want to do) is not possible if you can’t first believe it can be done. You have to believe it to achieve it. I’ve known this for years, yet still didn’t apply it in my fitness life until now. I’ve been telling Charlie for months now that he has two choices…he can believe he’s going to live or believe he’s going to die. Everything else will respond to and fall into whatever belief he chooses. Ever notice how it’s always so much easier to give advice than take it?
For the second time this month I was given an achievement award. Last night Adam surprised me with the Honor Graduate dog tags. Earlier this month I was awarded Agent of the Year at Beach Realty for 2012. In both cases I really worked hard. I really wanted to excel. I made it a priority to do so. And I believed it could be done. So there you go folks. There’s the “secret” formula for success.
This year I plan to lose 30 pounds. I will fight in an amateur kickboxing fight. I will earn a yellow shirt, (maybe even a black one) at Bootcamp and I will sell 40 houses on the Outer Banks. How can I be sure? Because I will follow the formula.
- I will work HARD. It won’t be easy. If it was easy, everyone would be doing it.
- I’ve set goals I really WANT to achieve.
- I’ve made a schedule that allows the work required to be a priority.
- I have no doubt these things are possible if I follow 1 through 3.As with any great achievement, it isn’t done alone. I want to thank those who helped me get there and also say, I’m counting on you big time this year!
- Matt Costa – Head Coach and my Fight Trainer
- Adam Swansen – Bootcamp Coach and fitness “Pusher”
- Jay Bowman – Bootcamp Coach and all around Inspirational Guy
- Re – Bestest Friend and excellent cheerleader
- Lisa – Best Friend and excellent cheerleader
- Ann Baker – Best Real Estate Coach EVER!
- Kimberly, Jean, Beth and Kari – Beach Realty Gals and Lifeline
- Mom – Well, that’s obvious – the giver of life and creator of my moral foundation
- Charlie – For your patience and courage. You inspire me every day to keep going!
Best Buys for the Week of January 21, 2013
January 21, 2013 By Ilona
Contact Me About Any of These Properties!
Beach Realty’s Agent of the Year for 2012
January 17, 2013 By Ilona
Congratulations once again to
our Sales Team for an incredible year!
Special recognition for our
Agent of the Year Ilona Matteson!
Best Buys for the week of January 14th
January 14, 2013 By Ilona
