Slot homes in Denver

What the heck is a slot home?

Slot homes have been defined in Denver as a group of attached homes that are usually arranged perpendicular to the street they are on. Several of these have been built in the neighborhoods along the light rail that stretches along 11th Avenue from Denver to Jefferson County. Builders have built some slot homes that obviously do not fit within the architectural characteristics of the neighborhood. This has caused a lot of concern from the home owners in the neighborhood. The local TV Station 9News even did a report recently in which I was interviewed about the development of these slot homes. You can check it out here – 9News Story While the story primarily focuses on the negative aspects of the project and how the current homeowners are upset, here is my side to the story –

First of all, I want it to be known that I want to help anyone in this neighborhood. Whether they are looking to sell their home and buy a home somewhere else or even if they want to stay in their home. Some homeowners do not want to move because they have their house paid off, or prices are too expensive anywhere else in Denver, and I want to help these people make their houses more efficient so they are not paying out the wazoo for utility bills! I do know a few developers that would love to move forward buying up more of these homes and leveling them to make way for profitable town home projects (slot homes). The advantage to the homeowner is that they are able to sell without having to worry about the stress of inspections, appraisals and being pushed out. Several of the developers for these projects are even willing to allow the homeowners to stay in the home and rent it back while they search for a replacement property! There are obvious pluses and minuses to both sides of this story. Check out my video blog below to see what I’m talking about.

Keep an eye out!

Your next property could be hitting the market today!

3 Best Practices to help you find your dream home

You have heard it a million times by now if you are thinking of making a move: “The inventory is lacking and it is really hard to find a home you want to buy!” Or you say: “I do want to move, but I’m not going to list my house until I find a house worth buying!” In this fast-paced market, you need a Realtor that is looking out for what you want and able to move quickly and efficiently to increase your chances of getting the house of your dreams. This breaks down into several steps:

  1. Buyer consultation first! You may be thinking that you want to hit the ground running and look at as many properties as possible since they don’t last on the market very long. This is the easiest way to waste your time and energy! The key to a successful purchase is actually taking a step back and really honing in the search into the things that are extremely important to you. Sitting down with a Realtor at their office should help define a clear plan and goal so that when the right house hits the market, you have a strategy in place to hit the ground running and lock up that home!
  2. After the buyer consultation, you should have several methods of finding homes. Not only are you going to go out and drive neighborhoods, but you will probably be searching several different public websites looking for possibilities as well. Hopefully the websites you are searching on are accurate and up to date so you don’t fall in love with a house that is under contract already or sold recently! If you have a great Realtor, you will also have an automatic search set up and the Realtor himself/herself will be scouring the MLS, previewing properties and contacting other agents in your preferred neighborhoods to find houses that may not even have hit the market yet.
  3. Once you find a home, you need an agent that can show you and your offer in the absolute best light. There are many strategies that help with this and a great Realtor will have many tools in their tool belt to go with your offer to increase your chances of getting it accepted. The Denver real estate market is user-competitive and having a concise and thoroughly completed offer package is crucial! Make sure your Realtor goes over your offer with a fine-toothed comb to make sure that the message is clear that you want that home. Don’t be afraid to put a lot of your cards on the table (not all of them – you want to be able to negotiate later)!

Please contact Justin if you are not already working with a top-notch Realtor and getting the results you want.

Contact Justin Phillips today to see what an award-winning Realtor can do for you!

Top five tips when building your home

Your perfect home does exist!

Our real estate market is crazy right now!

I showed a property the other day that was listed for $374,500 and over the weekend they received 24 offers bidding all the way up to $450,000!! Like I said – CRAZY! It is a very hard pill to swallow that you are going to have to overpay that much for a house! Buyers are also sometimes waiving their right to ask for things to be fixed from inspection and possibly coming up with extra money to cover any shortfall in the appraisal! If you have time on your side as a buyer, you may want to consider building a home instead. There are a lot of advantages to building a home as opposed to buying a “used” home.

Building your home is not an easy process by any means, but does give you the ability to lock in a price for a house and finish it the way you want. I would definitely recommend working with a Realtor that is very experienced with new home construction when speaking to your builder. There are a lot of steps and risks when building, so it is crucial that you have someone looking out for your interests when facing off with a builder. Having recently built my own home with a builder, and having been an architect, I love helping people during this exciting and challenging process!

First, you are going to have to use the builder’s contract. This is not written with your best interests at heart. It is written in complete favor of the builder. It is a big commitment to build a home, so it makes sense that the builder will need to protect themselves from all the wishy-washy buyers out there. On the other hand, if they don’t do as instructed you have to know your options and what is going to happen with any deposits you have provided. It can be hard to stomach a lost deposit, but that will always be better than buying a home you are not happy with and paying for it for the next 30 years!

Second, it will help to know all your options. The design center (where you pick all of your finishes and some structural options) can be very overwhelming! Sometimes you are faced with a design consultant that does NOT have a great sense of your style. A lot of the structural and finishes options will need to be selected fairly quickly so they can be ordered and installed without delaying the build.

Third, make sure you observe, document (pictures and video) and ask lots of questions. This is your biggest purchase and you are paying a premium for everything to be new. I took a lot of videos and pictures of my house during construction to make sure I knew where all the pipes and wires were located in the walls for future decorating and remodeling projects.

Fourth, manage your expectations. There is a shortage of sub-contractors (masons, electricians, plumbers, framers, etc.) for hire right now in Colorado. The ones hired by the superintendent may not jive with your standards. Let them do their job and then point out the issues as they arise. I am not an expert on their methods, but I do know what the finished product should look like. Also, don’t worry if the construction site looks like a dumpster exploded. Subcontractors are notoriously messy with their excess materials and lunch remains, but the general contractor that oversees the project should be hiring several different clean up crews towards the end of the process to make sure everything is finished correctly.

Fifth, embrace the warranty! Once you have closed on your new home, had some sort of orientation and are beginning to feel settled, you will notice certain things the builders have forgotten or done incorrectly. Make sure you are well-versed on how to submit warranty requests and communicate with the warranty department and allow them the time needed to get those items fixed. Some builders have a great quality control department to help mitigate some things you might typically find wrong with your new home, and some obviously do not! Builders and contractors are human, but definitely need to take care of the things that you expect to work in your brand new home.

There are several other things to think about when building a home. Please reach out to me if you have come across anything with your new home or are thinking of building a home and aren’t sure where to start. As a former architect and an 11-year Realtor, I really enjoy helping people make the most of their new home construction!

Down Payments for a house

What do you think you need to put down to purchase a house these days? 20%? 10%? On average people were putting down 11% in 2016 to purchase a home. That means that while several people did put down 20% or more, just as many people were putting down 5% or less! If the amount of down payment is holding you back, definitely talk to your lender about what programs are out there to help you qualify and get into a house now, so you can stop paying the mortgage for someone else!

Jonathan Smoke, realtor.com®’s chief economist writes in his latest column, “the millennial dreaming about homeownership needs to get this message: They need a FICO score of at least 639 and enough for a 5 percent down payment (that is, if they don’t qualify for the other programs with lower payment options). In that case, they’ll need to save about $3,500 to buy in the typical American town.”

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Hiring a Realtor

Ask your Realtor lots of questions!

Ask your Realtor lots of questions!

Every good consumer knows that getting the best person to work for you, it is necessary to shop around. Here are some questions that you can ask when interviewing Realtors to decide who will best help you reach your goals.

  • How long have you been a Realtor?

While it helps to pick a seasoned professional, keep in mind that older is not always better. An agent that has been in the business for 20 years, may be so set in his ways, that he isn’t using new technology and may actually hinder your real estate goals. Also, don’t discount brand new agents either. New agents may offer a fresh perspective as well as having a well-qualified mentor watching their every move to make sure you are well taken care of.

  • What is your average List-Price to Sales-Price ratio?

A real estate agent should know his market well enough to be able to negotiate down the price for his buyers while negotiating up the price for his sellers.

  • What is your best marketing plan for selling my home or what strategies do you have to help me buy a home?

A strong marketing plan for a seller will help them sell their home faster and for the most money. Sellers should ask:

  1. What sets you apart from other listing agents?
  2. What is your online marketing strategy?
  3. What printed advertisements do you use?
  4. How many listings do you have typically?
  5. What is your availability for showings, open houses and answering my questions?

Buyers should ask:

  1. How will you search for my new home?
  2. What is the process for purchasing a home?
  3. What strategies do you have for submitting offers?
  4. How competitive is the market and how do you handle multiple offers?
  • Do you have any references?

Make sure those references aren’t related to the broker and that you can contact them.

  • What are the top three things that set you apart from your competition?

This should be an easy question for the broker, but make sure their answers are qualities that you value most in a Realtor.

  • Will you help with the contracts?

There are a lot of contracts and agreements in real estate and it really helps when your agent knows the contracts inside and out. It helps also if your broker can send you the contracts before you need to sign them.

  • How is your referral network?

There are a lot of people involved during a real estate transaction as well. Ask your Realtor if they have a good referral network and trusted professionals they choose to work with the most and why.

  • How much do you charge?

All fees are negotiable in real estate. Ask how much the real estate agent charges for their services and who pays them. In Colorado, the seller typically pays both brokers in a transaction.

  • What kind of guarantee do you offer:

If you sign an agreement to hire a broker, and then find that it is not a good fit, can you cancel the agreement? You need to make sure your broker will provide you the best service they promised or you should part ways. Has the broker ever had a client cancel an agreement before?

  • What else do I need to know that I haven’t asked?

Buying or selling a home is a very big event in your life. Make sure your broker is taking the time to educate you and really listen to your needs so they can better help you.