offers

5 Things a Homebuyer Shouldn't Say to a Seller's Agent

Dan Rafter — Wed, 06 Jun 2018 08:30:23 +0000

You're touring an open house and the real estate agent running the event walks over to say hello. What should you say in return? Well, you can say hello right back. But other than that, it's best to stay pretty much mum.

The agent at an open house is a seller's agent. This individual is paid to represent the best interests of the people selling the home — not yours. If you say too much, you run the risk of accidentally providing them with information that he or she can use against you if you make an offer and eventually enter negotiations to buy their client's home.

What should you never say to a seller's agent? Here are five conversation gaffs to avoid during an open house.

1. How much you love the house

You might think it's natural to tell the agent at an open house how much you love the home you are touring. This, though, can be a big mistake when it's time to negotiate a final sales price if you decide to make an offer.

Think about it: If the seller's agent knows that you absolutely love the home, they might be less willing to advise the current owners to lower their asking price. After all, you've already told the agent that the home is a great fit. They might even figure you'll be willing to pay more because you like the home so much.

Don't say anything to the seller's agent about how much you like the home, even if you really do love it. Don't confess that the backyard is perfect for your children. Don't say how much you love the renovated kitchen. And don't mention that you can already imagine relaxing in the spacious living room. Keep these thoughts to yourself to avoid giving your seller's agent any extra ammunition during future negotiations. (See also: 20+ Questions to Ask During an Open House)

2. How soon you need to move

Never let a seller's agent know that you're getting desperate to find a home. This, too, can give an agent inside information that could be used against you.

If you tell an agent that you absolutely need to move in the next month, that agent might tell his or her clients that they should hold out for a higher final sales price. After all, you're desperate to move. The seller's agent might rightly assume that you'll be more likely to accept a higher sales price if it means getting into a new home quickly.

3. How much you're willing to spend

You likely have an upper limit for how much you can afford to spend on a home. Keep that limit to yourself. Absolutely never share it with a seller's agent.

Say you can afford to spend up to $300,000 on a home. Don't comment to the agent that you're excited the house is listing for $290,000 because it's $10,000 under your budget. If the sellers know that you can afford to spend more, they may not be as willing to lower their asking price during negotiations.

Share your budget with the agent representing you — your buyer's agent. But make sure it's a secret that the seller's agent never learns.

4. Personal details

Maybe you're looking for a home because your company transferred you to a new location. Maybe your family is growing. Maybe you've gone through a divorce and you need to downsize.

Keep these personal details to yourself. If you share them with the seller's agent, the information you've spread might once again come back to haunt you during negotiations.

For instance, maybe you need to move because you're having a baby and once that baby arrives, you won't all fit in your current home. Armed with this knowledge, the seller's agent might advise his or her clients to hold firm on their asking price. They know you're backed into a corner. You need to move to find space for your expanding family, and they have the space you need.

5. Any financial problems you're having

You want sellers to view you as a serious buyer. If you share financial struggles with the seller's agent — a past bankruptcy, a low credit score, mounds of credit card debt — you might do the opposite. If the home's sellers think you have financial problems that might prevent you from qualifying for a mortgage (assuming you haven't prequalified), they'll be less willing to enter into serious negotiations with you.

If you've had financial hiccups in the past, keep them to yourself. You don't want sellers to think they'll be wasting their time by accepting an offer from you. (See also: Everything a First-Time Home Buyer Needs to Buy a House)

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This article is from Dan Rafter of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Sell Your Home in a Seller's Market

Dan Rafter — Thu, 22 Feb 2018 10:00:06 +0000

Planning to sell your home soon? That's good news, because the odds are good that you'll be trying to move your home in a seller's market — one in which demand for homes outpaces the supply.

But just because demand might be higher this spring doesn't mean that there won't still be challenges to selling. The price you set remains critically important. So does staging your home so that it looks its best.

Selling a home in a seller's market means that you might be fortunate enough to receive multiple offers. This also means that you'll have to decide which offer is best — not always an easy task — and that you might need to move quickly. You may even have to rent a space to live while you search for your next home.

Yes, selling a home in a seller's market is preferable to doing so in a buyer's market. But you'll still need to take certain steps to succeed.

1. Set the right price

Listing your home at the right price is still key for selling quickly, even in a seller's market. Just because the market is hot doesn't mean that buyers will rush to pay more than fair value for your home. Setting a price that's too high could mean that your house will sit on the market for months, even as your neighbors' properties are snapped up.

If you are working with a realtor, they will study what are known as comparables, or comps; these are the sales of similar homes in your neighborhood. Your agent will show these comparable sales to you, along with the range of prices that these homes sold for.

Maybe five homes similar to yours sold in the last month. The lowest price fetched by these homes might have been $200,000, while the highest might have been $285,000. From this information, you can determine that your home's asking price should fall somewhere in that same range.

Where exactly it falls depends on several factors: How old is your home? Has its kitchen or bathrooms been renovated? Does it have a larger yard? Does it sit on a busy street or a quiet side avenue? How well have you maintained it over the years?

Pricing at the higher end of the scale can work in a seller's market, as buyers don't have quite as many options. You might be able to squeeze out a few extra dollars in profits.

2. Be willing to tinker with price

Maybe you priced your home at the top of its feasible range. But now you're not getting any offers. It might be time to drop your price.

Lowering your price could bring a new flurry of activity to your home, and might be the key to finally getting an offer. This is especially true in a seller's market, where there are plenty of buyers touring a limited number of properties.

You might lose some profit by selling at a lower price. But that lower price will attract more showings and more offers. You might even see a bidding war develop for your home, with more than one buyer attempting to snag it.

3. Stage it

Staging a home — removing excess clutter, rearranging furniture so that rooms look bright and spacious — will provide the best first impression for buyers. You might think that this isn't as important in a hot market, but bad first impressions hurt, even when sellers don't have as many options to choose from.

You can stage your home on your own or you can work with a professional. Your real estate agent might even offer professional staging to you. Whatever you do, don't ignore this important step in selling a home. Don't let all those buyers out there lull you into thinking that you don't have to showcase your home at its absolute best. (See also: 8 Ways to Stage Your Home Without Hiring a Pro)

4. Analyze your multiple offers

The absolute best result when selling a home is to receive more than one offer. If you're fortunate, you'll get into a bidding war in which multiple sellers try to outbid each other to win your home. But handling a bidding war and multiple offers does take some skill. You'll have to work with your real estate agent to make counteroffers and to determine which offer is the best.

Say you receive three offers. You can counteroffer with all three potential buyers, hoping that your final sales price goes even higher. Of course, you run the risk of turning buyers away if you try to get that price too high.

You'll eventually have to determine which offer to accept. You might think that the highest offer is automatically the best, but this isn't necessarily the case. Maybe the highest offer you receive comes from buyers who haven't even been approved for a mortgage yet. You might accept their offer only to see your sale scuttled when they don't qualify.

Or maybe one set of buyers is offering more money, but also needs you to move quickly. The money you spend renting a place to live while you are closing on your new home might be higher than the extra money these buyers are offering.

Consider all factors when juggling multiple offers: the price being offered, the strength of the borrowers, and any additional requests that potential buyers are making.

5. Be ready to move quickly

You might sell your home more quickly than you'd expect in a seller's market. This means that you might have to move more quickly than you had anticipated.

You may be able to negotiate a later move-out date, but some buyers need to be in their new homes by a certain day. If you don't want to lose those buyers, be prepared to move earlier than expected. This means paying for a short-term rental while you look for your new home, or staying with friends or family. You'll have to decide whether the inconvenience of renting outweighs the possibility of losing out on a potential sale.

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This article is from Dan Rafter of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Should You Sign Up for That Store Credit Card?

Jason Steele — Fri, 17 Feb 2017 10:31:23 +0000

Shop at enough chain retailers and you'll eventually be offered a chance to apply for a store credit card. Often it comes with a tempting discount on your purchase, and maybe even a promotional financing offer. But how good are store credit cards, and should you get one?

Benefits of Store Credit Cards

Store credit cards do have some upside to consider.

Get Discounts

Retailers usually offer a discount on your day's purchases when you apply for their credit card right at the register. If you are making major purchases, the savings could be significant. In addition, many store credit cards promise to send you coupons and advance sales notices throughout the year.

Earn Rewards

Another benefit that a store card may offer is a rewards program that lets you earn points every time you buy something from the store. Rewards are often in the form of credits toward future purchases. The best store cards offer rewards or discounts of up to 5% of the amount spent.

Build Credit

Retail credit cards typically have much lower qualifications for approval than other credit cards. If you have a poor credit score or a limited credit history, you might be able to qualify for a store credit card before you can be approved for other cards. In this way, retail credit cards can help you build a credit history from scratch, or rebuild your credit after financial setbacks. (See also: How to Use Credit Cards to Improve Your Credit Score)

Disadvantages of Store Credit Cards

Now, the downsides.

High APR

While it's easier to be approved for a store credit card, it will likely have less competitive interest rates than other cards. While the average credit card has a standard APR of about 15%, it's not uncommon to find store cards with rates in the high 20s or even the 30s.

Limited Use

A store credit card may not be part of a larger payment network such as Visa or MasterCard, either. If so, then you will only be able to use your card for purchases at that store and its website, not at other merchants.

Lower Rewards

Retail credit cards may not even offer very strong rewards programs. Some store cards offer rewards valued at just 3% or 4% of your spending, which is not much higher than you could expect from one of the most competitive reward credit cards. Also, a store card's rewards will usually be in the form of store credit, which is never as valuable as cash back rewards.

Opportunity Cost

You always have to consider the opportunity cost of applying for a retail credit card. Since you can't practically apply for every credit card you are offered (and even if you could, too many applications hurt your credit score), you have to consider if a store credit card is a better deal than the best offers available elsewhere.

For example, another credit card could offer you a sign-up bonus worth far more than a one-off discount on your day's purchases. And a store credit card rarely has a rewards program that's as good as the most competitive reward cards. Additionally, there are credit cards available directly from banks that feature 0% interest on new purchases. That's superior to the promotional financing offers available from most store credit cards.

When It's Okay to Sign Up for a Store Card

If you find that you are consistently buying from one particular store, it may be worthwhile to consider whether rewards and discounts from its store credit card will put a dent in your regular spending there. But don't impulsively agree to signing up at the register for a one-time discount. Smart spenders don't just consider their purchases carefully; they also choose their payment options wisely.

This article is from Jason Steele of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

7 Ways to Save Loads of Money Using Credit Cards

Jason Steele — Wed, 15 Feb 2017 10:30:23 +0000

For many people, credit cards are simply a payment method. But savvy users take advantage of the additional benefits and services that only credit cards offer. A credit card may give you cash back, free travel, insurance, and other services worth hundreds or even thousands of dollars a year. Check out some of the most significant ways you can save money by paying with credit cards. (See also: 4 Reasons You Should Always Use Your Credit Card to Pay)

1. Get an Interest-Free Loan for a Large Purchase

If you can't afford something, it's always best to either forgo it or save up for it before making the purchase. In some cases, however, you don't have the option of waiting. Your refrigerator dies just when you need a new transmission, or your dentist orders a root canal, stat. If you are disciplined, you can swing free financing on that fridge or dental work by getting a credit card with a promotional 0% APR on purchases. These cards allow you to make new charges and carry a balance with no interest for an introductory period — in some cases, as long as 21 months. After that, your purchases will be subject to the card's standard interest rate. As long as you make your payments on time and clear your balance within the intro period, you'll stay out of debt. (See also: The Difference Between Store Credit Offers and 0% Credit Cards)

2. Get a Break From Interest on Debt

Sometimes bad decisions in the past continue to haunt us. Interest that continues to accrue on current debt makes it even harder to make up for those bad decisions. Once you've decided to put your financial life back in order and create a debt repayment plan, one of the best tools you can use to help pay off debt faster is a balance transfer to a card offering an intro 0% APR. These offers allow you to take a break from your interest charges so that you can devote 100% of your monthly payments toward paying down the principle. These interest-free offers can last up to 21 months, giving you the time you need to finally pay off your debt. (See also: When to Do a Balance Transfer)

3. Earn Cash Back

Are you diligent about paying off your credit card bill each month? If so, getting a cash back card is a no brainer. You can get a card that gives a flat rate percentage for all purchases, allowing you to get unlimited cash back. Or you can get a card with a higher return for the category that you spend the most in. For example, certain cards offer big cash back rewards for groceries. There's no reason you shouldn't get rewarded on your everyday expenses.

4. Get Free Travel

You can score hundreds of dollars worth of free travel by using a travel rewards credit card that gives you points or miles every time you use the card — again, assuming you clear your credit card balance every month. There are different types of travel rewards cards. Some allow you to use rewards to get a statement credit for any type of travel purchase you make on the card. Others let you transfer points to airline or hotel loyalty programs so you can claim award flights and stays. Many offer valuable sign-up bonuses that can get you free flights fast, and money-saving travel perks such as free checked bags and even exclusive airport lounge access. The best travel rewards card for you depends on your travel preferences and habits. Need more advice? Check out our favorite travel rewards cards.

5. Use Free Travel Insurance

Credit cards can be essential when you are traveling not just for their security and convenience, but because they include important insurance. For instance, you can decline your rental car company's expensive optional insurance and use your credit card's collision damage waiver policy instead. Some credit cards also have coverage that reimburses you for additional expenses in the event that your trip is delayed or canceled, your luggage is lost, or you're hurt while traveling. Just be sure to check with your card issuer to find out which policies your card has, and what they cover. (See also: 6 Types of Travel Insurance Your Credit Card Includes)

6. Protect Your Purchases

Many credit cards come with valuable purchase protection policies that repair or replace your purchase if it's damaged or stolen, typically within 30–90 days of when you buy the item. In addition, most cards offer extended warranty programs that add up to two years to your manufacturer's warranty. That can save you a bundle on expensive service plans. (See also: How Free Extended Warranties Work on Credit Cards)

Some cards even offer return protection policies, meaning they'll accept your return if the store won't. You'll need to ask to make the return within 90 days of purchase, but that's still longer than many stores allow for refunds.

All this is included as long as you pay for the purchase with a card that offers these features. (See also: 14 Awesome Credit Card Perks You Didn't Know About)

7. Get a Price Match

Not only can your credit card protect your purchases from theft or damage, it may also provide price matching services. If the price goes down on a purchase you made (within a specified amount of time), your card may reimburse you for the difference. Different cards have different policies, but usually you don't have to do anything more than submit a claim. Sometimes the card will even track prices for you and automatically issue you a credit for the price difference. (See also: Citi Credit Cards and Benefits)

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This article is from Jason Steele of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

5 Things Your Real Estate Agent Wishes You Knew

Dan Rafter — Mon, 21 Mar 2016 10:01:08 +0000

Buying or selling a home is a complicated process. And you can make it even more challenging when you make some of the more common buying or selling mistakes.

Just ask your local real estate agent. You can bet that the agents selling homes in your community have seen plenty of mistakes from both first-time buyers and sellers, and those who have bought and sold homes several times.

What does your real estate agent wish you knew before starting your home search? What mistakes does your agent wish you knew to avoid when listing your home? Here are five of the biggest. Avoid these missteps and you'll make your agent happy. More importantly, you'll make the buying or selling process an easier one. (See also: Don't Let These 6 Home Décor Flaws Ruin Your House Hunt)

1. Looking at Homes You Can't Afford Leads to Disappointment

The biggest mistakes that buyers make? They waste time touring homes that are out of their price ranges. Then, when they have to look at homes they can actually afford, they're disappointed. That $180,000 home doesn't have the same modern kitchen or sprawling master bath as that Colonial listing for $300,000.

The best way to avoid this mistake is to get pre-approved for a mortgage loan before you start shopping. During the pre-approval process, you'll submit documents such as copies of your last two paycheck stubs, your last two years of tax returns, and your most recent bank account statements to a lender. That lender will study these documents, run your credit, and let you know exactly how large of a mortgage loan it will give you. You can then use this information to visit only those homes that you can afford.

You can also use your pre-approval letter to prove to sellers that you can qualify for a mortgage. If you get in a bidding war with other buyers over a home, sellers are more likely to choose a buyer who has already been pre-approved for a mortgage.

2. Pricing a Home Too High Never Works

Sellers want to get the most profit out of their homes. That's understandable. But too many of them try to list their homes for a price that's too high for the market. They hope that at least one buyer will make a higher offer. And if one doesn't? Then they can simply lower the price.

But this is a flawed strategy. Buyers today won't make an offer on a home that is priced at $250,000 when other homes in the neighborhood are selling for $200,000. Instead, they'll ignore the higher-priced home. Sellers, then, will see their homes languish on the market for months before finally lowering their price. By the time they do, buyers see that the home has been sitting on the market for months. They'll naturally start to wonder what's wrong with the property, and might be hesitant to tour it.

The better move? Listen to your real estate agent. Your agent will show you the sales prices that similar homes in your neighborhood have fetched. You can then set the right asking price: One that attracts offers and leaves you with a solid offer.

3. You Can't Rush Buying a Home

Buying a home takes time. Your agent knows this. Unfortunately, too many buyers don't.

Some buyers simply have unrealistic expectations on how long it will take them to buy a home. Then, when the process takes longer than they expect, they tend to get desperate. They might make offers on homes they don't truly love just to speed the process along.

The better approach is a patient one. Give yourself plenty of time to find your new home. If you need to move by the end of the summer, don't start looking on June 1. Instead, start looking March 1.

4. You Can't Turn Away Showings and Expect the Best Offers

Selling a home is not the same as living in a home. When you're selling, you need to keep your home clean at all times. Spotless. You can't let dishes pile in the sink or clothes overflow in the laundry room. You need to clear out extra furniture and personal mementos to make your home look as spacious as possible.

You also need to be willing to leave your home whenever your agent calls with news that buyers want to tour it. This can be inconvenient. But it's important to show your home to as many potential buyers as you can. It's the only way to receive the highest number of good offers for your property.

So don't refuse a showing, even if it comes at the last minute. Yes, it's a hassle to give your home a last-minute vacuuming and then to head off to the mall for the day. But it's a necessary step to getting that home sold.

5. You Can't Take Low Offers Personally

It's easy to get annoyed when buyers make a lowball offer for your home. Buyers might offer you $150,000 for your home that's listed at $250,000. But don't get mad — simply make a counter offer. If the buyers refuse to go any higher, then you can refuse their offer.

Don't give in to the temptation and cut out the buyers prematurely. Yes, their offer might be annoyingly low. But that doesn't mean that they won't eventually make a counter offer that will work for you. If you let your anger cut off negotiations too early, you might never get that solid offer.

Have you made these — or other — real estate mistakes? Let us know in comments!

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This article is from Dan Rafter of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Nintendo giving away free non-slip jackets for Wii remotes

Paul Michael — Tue, 02 Oct 2007 05:27:08 +0000

Recently a very good friend of mine told me about a mishap that involved his 8 year old son, a Wii remote and a large, expensive flat-screen LCD TV. Needless to say he wasn't happy. And it turns out he's not alone. Several people have reported problems with the Wii remotes, and as my wife recently got one I've also been a little concerned. Fortunately Nintendo is a great company. They have invented a rubber non-slip jacket for Wii remotes, and they're giving them away free to current owners of Wii systems.

This comes direct from the Nintendo website :

Wii Remote Jacket Accessory Offer

Nintendo is now including the Wii Remote Jacket for the Wii Remotes in all new hardware being shipped. For Wii owners who purchased their systems prior to this addition, we are offering to send free Wii Remote Jackets for their existing Wii Remotes. If you would like to request a Wii Remote Jacket, please start by completing the information form below.

If you have already submitted a request and want to check on the status of your order, please click here.

Latin American users - Please click here for information for your region.
Usuarios de América Latina - Por favor haz clic aquí para obtener información para tu región.

Please note, we will begin shipping Wii Remote Jackets on October 15th, 2007. Once your Wii Remote Jacket has shipped, you will receive a confirmation email from Nintendo. After that point, it may still take another 5 to 10 days for delivery depending on your location. Please do not contact Nintendo regarding your Wii Remote Jacket order until after that time period has passed.

You can also call Nintendo customer service at 1- 866-431-8367. I'm putting my call in first thing in the morning. I just can't get the picture of a smashed widescreen TV out of my head!

This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Junk Mail revenge part 1 - Make fast cash reselling junk mail.

Paul Michael — Mon, 09 Jul 2007 20:13:14 +0000

If you're anything like me, you hate opening your mailbox to see a whole pile of junk mail waiting for you. Credit Card offers (more on those in part 2 of this series ), fake checks from mortgage firms, endless reams of useless coupons and, of course, the trusty 1lb envelope of garbage from ValPak. But a friend recently told me of a hidden gem inside the ValPak envelope. A gem that's worth at least $20.

The voucher that's like Wonka's golden ticket.
Inside ValPak envelopes (depending on your zip code) is a voucher from Northwest Airlines. It looks something like the picture below (I apologize for the poor quality, it's the best pic I could find anywhere on the web).

Now, what this voucher does is give the redeemer anywhere from $25 to $100 off of a Northwest Airlines flight. Great, if you happen to be in the market for a flight. If you're not, which is probably the case, you'll trash it. But using the mighty reach of eBay you can find hundreds of people who desperately want to save cash on a flight. And that means quick money for the smart eBayer.

Making the quick buck(s).
All you have to do is list your Northwest Airlines voucher on eBay. As you can see, completed listings (for eBay novices, those green prices are the final SOLD price for the item) are averaging $20-$25.

That's cold, hard cash for a voucher that was sent to you free in the mail. List the item for a starting price of around $18.99 and give FREE shipping (it's just the cost of a stamp anyway). You may also want to do a Buy It Now option for $19.99. It's all up to you.

Get vouchers from friends, make even more money.
Most people will be more than happy to give you their ValPak envelopes, if they haven't already dumped them in the garbage. You could get 5 or 6 NWA vouchers and sell them in seperate auctions, or list them as "5 available" in one auction. Either way, that's at least $100 lovely dollars from something that used to be a pain in your butt.

Now, prepare for something you've never experienced before in your life. Get ready to be happy to see junk mail in your mail box. Next time, starting the Junk Mail war.

This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Rejoice - it's Haagen-Dazs FREE SCOOP DAY.

Paul Michael — Fri, 11 May 2007 00:16:52 +0000

Can I say, right here and now, I love free anything. But free ice-cream? Thank you, thank you (although Ben & Jerry's is my personal fav - Cherry Garcia, oh baby).

Anyway, on MAY 15th, from 4pm to 8pm, rush along to your local Haagen-Dazs store and you can try a scoop of one of their two new exciting and delicious flavors. Either Cinnamon Dulce de Leche or Sticky Toffee Pudding (yes please). You don't have to buy anything, just stand in line and wait for you big old scoop of creamy truthiness.

To find participating stores near you, click here. And as this is one of those 'participating stores only' kinda deals, it may be wise to give them a call first. But that's the over-cautious Brit in me.

Enjoy your ice-cream, you lucky dogs!

Photo by The Stock Exchange. Please note. Photo is for fun. You will not get that much for free, no matter how much you cry about it.

This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread: