I had a friend email me today needing advice. She stated that their neighborhood was changing and it was time to move. They have lived there for years and raised their family and wanted some advice. She stated they have savings plus the equity from their home and wondered what they should do.

I told her that it was an excellent time to buy because the inventories are high, prices are reduced, interest rates are low, and with the tax credits, her savings and equity she will be able to  have a nice home with an affordable mortgage.

Her next step was to meet with a lender to decide how much of a mortgage she could afford and then she will know what price range she could focus on.

I advised her to go looking in different neighborhoods she was interested in to get a feel of the area and what she liked.  She and her husband want to move closer to his job.

While she was doing this, start boxing and dejunking and leave only furniture and a few decorative items in her home.  It was a perfect time to donate to the Deseret Industries and other organizations as well as throw away items as she cleaned closets and shelves and other storage areas.  When I moved, we rented a storage unit for a month and a half.  I had everything in boxes and labeled the boxes for easy unpacking.

She wanted to know if she should sell her home first or find a home first.  I advised her that I could refer her to a good agent with Coldwell Banker (she doesn’t live near to me) to list her home and to consider the agent’s recommendations and price it exactly right because it will sell promptly.  With the tax credits, first-time  homebuyers are looking and buying too. 

She asked if she should sell it on her own.   That would be okay but how would she know how to price her home? And she would need to be available to show during times people want to see it.  I think it is safer, personally, to list because of the safety issue.  I wouldn’t want to show my home alone if I was the only one home.  There is also a big security issue with belongings.  This day and age is so uncertain. 

Then she asked my opinion about offices that charge a flat fee.  Homebuyers have changed over the years and not very many find their homes in the newspapers anymore.  Most of my contacts come from other online sites Coldwell Banker pays for its clients.  Ksl.com might sell homes, but realtors use it to find For Sale By Owner listings.  The office might charge a flat fee but I don’t know how much a client gets or how professional the agent will be.  A good agent will help price a home correctly.  Open houses aren’t as popular as they once were.  Homebuyers prefer to shop online and take a tour of a home at their leisure.  I don’t know if this service is offered either.

And…be prepared for some stress.  There are always some bumps that pop up and need to be dealt with.  A good realtor will help smooth those out before they get started and out of control.