Lee Morof's Real Estate Blog

Real estate has come a long way over the years, and its communication and marketing strategies have developed and morphed into the institution it is today. It might be helpful to appreciate real estate’s history in order to better sell your North Woodward home in Oakland County Michigan. So, in honor of Memorial Day this month, we’ve compiled an outline of some of real estate’s major moments.

• The National Association of REALTORS® – Founded in 1908, this organization still strives today to uphold the ethical integrity of the real estate industry and profession.
• Condos – In 1960, the first condominiums were built, which opened up an entirely new niche for real estate agents to dive into.
• The Fair Housing Act – Passed in 1968, this Act outlawed discriminating against race, sex, religion or national origin when selling your property.
• Tax Reform Act – This Act was passed in1986 to encourage people to become property owners by giving them a tax deduction on mortgage interest.
• The World Wide Web – We all started to be connected in1990. Now this revolutionary technology provides buyers and sellers with more information at their fingertips than was ever thought possible. Promoting your North Woodward home on the Internet is now a crucial part of every marketing plan.
• The Man Cave – In 2004, Urban Dictionary uses this phrase and suddenly everyone is classifying space within their houses for men to relax and do “manly things.”
• Facebook – While this social media site launched in 2004 was originally intended to connect college students, it quickly expanded across demographics. It is now an effective marketing tool for real estate agents to reach out to their clients and potential buyers and sellers.

If you’re ready to sell your North Woodward home in Oakland County Michigan, I can help.  Please call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

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These days, over 80% of all home buyers begin their search for homes online. So it’s crucial to market your Royal Oak Michigan home for sale by owner online to reach as many potential buyers as possible.

An Internet listing of your home gives buyers 24/7 access to your home. Unfortunately, a poorly executed Internet listing can hurt rather than help your home sell.  Here are six tips to effectively market your Royal Oak Michigan home for sale by owner (FSBO) online:

1. Upload the best possible pictures.  Make sure you use a good digital camera.  Cell phone cameras will not work for this purpose.  You want great quality pictures for potential buyers to see all the glory of your home.
2. Include photos of your home’s best features. Whether it’s a great view, the best lawn, a 2-story stone fireplace or a kitchen fit for a gourmet chef, make sure you show its best assets.
3. Provide information that buyers want to know.  They want to know everything. Information on the neighborhood, school system, and proximity to shopping will all entice a buyer to your Royal Oak Michigan home for sale by owner. Buyers also want to know the details about the home itself: Number of bedrooms and bathrooms, room and lot size, style of home, sales price, description of HVAC, amenities and upgrades.
4. Create a virtual tour of your home.  A picture is worth a thousand words, but a video or virtual tour is even better.  It allows potential buyers to see everything without having to step foot inside your home. Best of all, it can make them want to see more.
5. Print out flyers from your online listing.  Include all the necessary information and pictures. Put the flyers in a box in your front yard for people driving or walking by. Leave them in a prominent spot in your home, such as a kitchen counter or entry table, for potential buyers who visit your home.
6. Promote your home on multiple real estate sites.  List your home on as many real estate sites as possible. Here are a few of the top sites: Zillow.com, Craigslist, Google Base, Bargain Network and Kijiji (which is a classified site from eBay).

When you’re ready to turn all this work over to a real estate agent, I’ll implement my comprehensive plan to market your home both online and offline.  Give me a call today at 248-514-2640 or email me at info@NorthWoodwardHomes.com to get started.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney 
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

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Whether it’s your mother, mother-in-law or grandmother’s Royal Oak Michigan home for sale that needs work, make the effort this Mother’s Day to give her your time and make a few quick improvements. Fixing up a Royal Oak Michigan home for sale can be overwhelming, especially if costly repairs are needed.

To give you some ideas, here are six fast and inexpensive improvements that will have your loved-one’s Royal Oak Michigan home for sale looking better and selling faster:

1. Neutralize the rooms. Your father might take pride in his fly-fishing-inspired man cave, but potential buyers may not love it. Pack away as much of the fishing memorabilia as dad will allow, and brighten the room by painting it a neutral color.
2. Add lighting. Modern track lighting can help brighten a space and is relatively cheap and easy to install. Even a few inexpensive floor lamps can dramatically improve the look of an otherwise dull or dreary room.
3. Hang art. If your mother’s house has nothing but blank walls, consider buying some cheery and inexpensive art. A few pieces can help a space feel homier and make buyers feel more comfortable.
4. Give the kitchen a facelift. You don’t have to completely renovate to get buyers to see a kitchen as an attractive feature instead of a potential project. Instead, replace the most worn-out appliances, paint the cabinets or invest in better countertops.
5. Improve curb appeal. Hard work and a little bit of money can really improve a property’s curb appeal. Plant bright flowers, trim the hedges and add new mulch. A weekend of work can make a huge difference — and your mother will love you for it.
6. Pay attention to bathrooms. Even one really appealing bathroom can help sell a house. Add flowers, paint the walls, or if you can afford it, re-tile. Bathrooms are small, but important spaces!

Give the best gift this Mother’s Day — time, labor and motivation — to get her Royal Oak Michigan home for sale sold quickly!

If you would like additional suggestions for home improvement projects that help a home sell faster or for more money, please call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

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There is still an opportunity to profit by buying short sale houses in SE MI, but you need to know how to proceed in order to achieve success. Here are four steps to follow to increase your chances of success when buying short sales:

Step 1: Hire a short sales expert.

Hire a real estate agent who has experience helping people buying short sales. You need someone who can find short sale houses in SE MI for you and help you through the complicated process. Although the short sale process has gotten better over the last few years, it’s still a slow and frustrating process.

Step 2: Have your finances in order.

If you’re buying with cash, fabulous! Otherwise, visit a lender and take the steps necessary to finance a short sale. Many short sale banks want to close within 30 days of short sale approval. Ask your lender up front if they can guarantee a 30-day closing. If they cannot, you may want to consider finding a new lender.

Step 3: Move quickly.

When you find a short sale you want, move quickly.  With any luck, you’ll be the first to submit a market value offer. Lenders look for offers that are reasonable and equal to market value. To make your offer even more attractive, eliminate as many contingencies as possible.

Step 4:  Negotiate with the bank.

Banks don’t enjoy taking a loss, but short sales remain a necessary evil for lenders.  Be firm, polite and patient.  Don’t ever be forceful or rude.  Lenders are busy and overworked, and they want to see you as somebody who is minimizing the damage and the hassle of the bad debt.

If you’re interested in buying short sale houses in SE MI, give me a call today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
www.NorthWoodwardHomes.com

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Just because you can buy a Royal Oak Michigan home for sale does not always mean that you should.  It’s important for you to consider if it is better for you to own or rent a home.

Here are five reasons you might want to rent:

1. You may be moving within five years. It usually takes five years to break even on your home purchase or investment.
2. You don’t want the responsibilities associated with being a homeowner.  It can be expensive and time consuming to maintain a home.
3. You have a bad credit report.  If your score is below 620, you will not get a good interest rate.
4. You have a high debt ratio.  A high debt ratio means you may not qualify for a loan to purchase a Royal Oak Michigan home for sale.
5. You have job instability.  If your job is not secure, it’s not a good idea to buy.

Here are four reasons you might want to buy:

1. You want to build equity.  The longer you own your home the more equity it will build. When you pay rent, that money goes down the drain.
2. You get a tax break when you deduct mortgage interest.
3. You want the emotional satisfaction of owning your own home in Royal Oak.
4. It’s an investment. With low interest rates and home prices, buying investment property is a wise decision.

If you are ready to buy one of the Royal Oak Michigan homes for sale or purchase investment property, call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
Call:  248-514-2640
www.NorthWoodwardHomes.com

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When considering whether you should purchase Southeast Michigan real estate, you want to take into consideration the five-year rule. That’s the minimum number of years many experts believe you need to own a home in order to break even on it when you sell it.  Some experts are now suggesting seven years, but in this article I’ll be talking about the five-year rule.

What happens if you own your Southeast Michigan home for less than five years? Often, you’ll lose money because:

1. You pay thousands of dollars in closing costs each time you buy Southeast Michigan real estate. That money does not build equity or increase the value of your home in any way.
2. In the first five years of your home loan, a much higher percentage of your monthly mortgage payment goes toward interest than toward paying down the principal of the loan balance.

How do you beat the five-year rule?

1. Purchase a property you intend to fix up and rent it out at a rate equal to or higher than the mortgage payment.
2. Buy towards the lower end of what you can afford, and make extra payments to pay down the principal.

Why own for five years minimum?

1. After five years, due to the structure of amortized mortgages, the cost of owning a home equates to the cost of renting.
2. The five-year mark is where you typically start to build equity in your home.
3. Rental prices continue to rise; eventually your mortgage payment could be less than a rent payment.

If you’re interested in learning more about home ownership and want to look at Southeast Michigan real estate for sale, call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney 
RE/MAX Showcase Homes, Birmingham, Michigan
Call:  248-514-2640
www.NorthWoodwardHomes.com

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Whether you’ve decided to purchase a new home or list yours for sale, you’ll need to hire an experienced Southeast Michigan real estate agent. Selling and buying homes can be stressful, so you need to be able to trust and rely on your Southeast Michigan real estate agent to do what’s in your best interest, even if they’re acting as a dual agent.

While ‘dual agent’ might be a confusing term, it’s quite simple — the real estate agent is working for both the buyer and the seller of the home. As both parties will have a lot at stake, this could be perceived as a conflict of interest. Below we’ve outlined some of a dual agent’s obligations.

• An agent should disclose dual agency – As soon as a real estate agent realizes that a buyer is seriously interested in a property on which they have a signed contract, they should immediately be honest with both parties about the possibility of dual agency.
• Dual agents should represent both parties fairly – real estate agents are ethically obligated to treat both the buyer and the seller equally should a dual agency occur.
• Dual agents cannot disclose personal information – A dual agent cannot tell the other party about any personal issues associated with the selling or buying of the house, such as a divorce or financial distress. This is important because one party should not have the upper hand during negotiations.

If two Realtors within the same agency represent the buyer and seller, the transaction is still considered a dual agency. It’s completely normal to be a little wary of a dual agency when it comes to selling or purchasing a home with a Southeast Michigan real estate agent. However, it is fairly common, and as long as all parties are treated equally, it usually works out quite well.

If you’re getting ready to sell your home or purchase a new one and have questions about working with a dual agent, please call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com for more information.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney 
RE/MAX Showcase Homes, Birmingham, Michigan
Call:  248-514-2640
www.NorthWoodwardHomes.com

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Mobile devices have joined desktop computers in helping us search for Bloomfield Hills real estate.  Below are the top apps for your Android, iPhone or iPad:

1. Trulia Real Estate for iPads. Designed specifically for iPad, Trulia HD makes finding your next home easy and fun. Search for Bloomfield Hills real estate for sale or rent with full-screen interactive maps, neighborhood-specific details, high-resolution photos, and more.
2. Zillow Real Estate. Find home values, Rent Zestimates, homes for sale, homes for rent and more as you walk or drive through neighborhoods using the Zillow iPhone App or Zillow Android App featuring built-in GPS technology, plus a mortgage calculator.
3. Realtor.com. It is possible to find your dream home without surprises and heartbreak. Trust the official REALTOR.com® App for your iPad, iPhone or iPod Touch – the most accurate and most up-to-date real estate mobile search experience.
4. Real Estate Genie SP. Did you ever wish you had your own Genie to assist you in your real estate decisions? This app from Apple contains a financial calculator designed for real estate; extensive loan amortization, mortgage payment and refinance tools; and balloon payment and capital gain analysis for selling property.

If you prefer to have a professional do the searching for your Bloomfield Hills real estate (or at least help with the searches), give me a call me at 248-514-2640 or email me at info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
Call:  248-514-2640
www.NorthWoodwardHomes.com

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You’ve probably heard the terms real estate agent, broker, REALTOR®, listing agent and buyer’s agent. But do you know what they mean and the differences between them?

Here are the definitions of terms you may encounter on your Bloomfield Hills real estate agent search:

1. Real estate agent: Agents are licensed sales people. They are not real estate brokers. In fact, they must work for an employing broker and cannot work independently. An agent works under the broker’s guidance and legal protection. Real estate agents are required to undergo education pertaining to real estate law and ethics.
2. Real estate broker: A real estate broker has more education than an agent, they can work independently, and they can hire other real estate agents. While many of the responsibilities of an agent and a broker are interchangeable when it comes to customers, the role and qualifications for each are incredibly different. Typically, a broker is more of a manager for a real estate company. Brokers have to undergo more extensive education than agents in relation to business management.
3. REALTOR®: Not all agents are REALTORS®. A real estate agent becomes a REALTOR® when he or she joins the National Association of REALTORS®.  The term “REALTOR®” is a registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® and abides by its strict Code of Ethics.
4. Listing agent: They are also known as seller’s agents because they represent the seller.  A listing agent can be a real estate broker, a real estate agent and/or a REALTOR®
5. Buyer’s agent: Buyer’s agents represent the buyer. They can be a real estate broker, a real estate agent, and/or a REALTOR®

Basically you want to find out which side the Bloomfield Hills real estate agent you are talking to is on — the buyer’s or the seller’s.  Then you will understand where their loyalty lies.  You always want someone on your side that will look out for your best interests.

If you’re looking for a Bloomfield Hills real estate agent to help you buy or sell a home, please contact me. I’d love to be considered for the job. You can reach me at 248-514-2640 or info@NorthWoodwardHomes.com.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
Call:  248-514-2640
www.NorthWoodwardHomes.com

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Are you unsure about buying Southeast Michigan real estate in Oakland County? Warren Buffet was recently quoted as saying, “If I had a way of buying a couple hundred thousand single-family homes…I would load up on them and… take mortgages out at very, very low rates…it’s a leveraged way of owning a very cheap asset now, and I think that’s probably as attractive an investment as you can make now.”

Homeownership in the United States is dropping and we are becoming a society of renters, according to a Morgan Stanley Housing Market Insights report.  Why is this happening?

• It’s harder to get mortgages: Banks have made it more difficult for people to become homeowners. If they have marginal credit or small down payments, they won’t get approved.
• Some have a fear of buying: The economic and real estate market collapse caused many people to fear buying a home. Many who could buy Southeast Michigan real estate right now are sitting on the sidelines waiting for the market to recover. If your credit is good and you have the money for a down payment, all reports are saying, do not wait!

Here are a few tips to help you make the most of this real estate market:

• Act now: Savvy investors know the market has started to recover. If you wait for the media to say it’s ok to start investing in Southeast Michigan real estate again, it’ll be too late.
• Earn rental income: If you buy a second (or third or fourth) home or a home you don’t want to live in, rent it and generate income. Large investors are saying single-family real estate is the way to go right now.
• Take advantage of low prices: Prices have fallen dramatically in a lot of markets, while rental rates are increasing.

To find single-family investment properties or your own new home, call me today at 248-514-2640 or email me at info@NorthWoodwardHomes.com. I’ll help you find the property that meets your investment goals.

Lee Morof
Associate Broker/Certified Distressed Property Expert/Attorney
RE/MAX Showcase Homes, Birmingham, Michigan
Call:  248-514-2640
www.NorthWoodwardHomes.com

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