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Home Buying Tips

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best real estate mobile apps

The Best Mobile Real Estate Apps of 2021

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Great technology can go a long way to help you find your dream home. Although you may have an agent website for the home search, most of us want a great app for the smartphone to help us find the home we want. The smartphone is the go to device to search and find home. But before you go download any old real estate app, it’s good to know that there are a few different types to consider and more importantly the tools and information they provide can be critical to help you find, tyour, and decide to buy that dream home. So whether you’re on an active house hunt, looking for an investment property or want to put your abode on the market, take a look below to learn more about (and download) the what I think are the best real estate apps available today.

Best for Buying a Home – Realtor.com

Realtor.com is, not surprisingly, the official search portal for the National Association of Realtors. One benefit of using its site is the close relationship realtors have with the Multiple Listing System (MLS) that provides data feeds used by most sites on this list. Because of the special relationship, however, Realtor.com is often updated a little faster and has a wider range of listed properties. There are also mortgage calculators, home affordability, rates.

Why I like it: The homes on the app are truly what is available. The ability to search by location, and to get the time and driving instructions to me make it the most useful of the apps. Its also easy to share any home you find by text, or email. Its still the standard for me to recommend for house hunting. The only knock is realtor.com has decided to not have a home value tool like Zillow for active listings

Best for Homeowners: Zillow

Zillow is arguably the best known real estate app, and for good reason. Zillow was a pioneer in online home value estimates​, the Zestimate, and tells users estimated home values, past sale prices and more for virtually every home in the United States. If you are a homeowner, you can create an account to track your estimated home value over time and insights into a potential sale price if you decide it’s time to move.

Zillow App – Good but Not Great

Why I like it: While the the big miss for Zillow is the homes for sale data isn’t necessarily active or currently for sale nor updated in real time. The feature

You Probably Think There Should Be More Apps…

You wouldn’t be wrong but I think if you have both these apps you probably have what you need to be successful for buying or selling a home. Realtor.com’s app is the best for home search. Zillow is the best as a homeowner to keep track of your home values. Although these apps are free they are heavily an ad platform for agents, lenders, and real estate pros.

Think aggressive not lowball when you buy a home

How to Make an Aggressive Offer To Buy A Home

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It’s only natural for home buyers to want the very best deal possible… and in some cases, that might mean making an offer well below its listing price. There is a fine line between what is a low ball offer and what is an aggressive offer.

There is a real estate myths that if you’re in a buyer’s market, you should always make a low offer. If you’re in a seller’s market or face a lot of competition, it’s almost never advisable.

Regardless, you should never make a lowball offer, you should be making an aggressive offer in any market. No one, especially the agents, want to negotiate a lowball offer can be treacherous, and there are really no right and wrong ways to handle it. Even in a buyer’s market, a lowball offer can insult the seller, and may result in the Seller passing on even responding to your offer.

How to make an aggressive offer.

Here are some general guidelines.

  • Study the market. Whether its a buyer’s or seller’s market, its important to understand where there are many sellers or few sellers. The higher the price the fewer the buyers so be aware of what homes you are looking at are selling quickly or not. Location matters and be aware how that impacts homes selling times. Your agent should be able to guide you whether you can be aggressive buying a home for the price point your looking at,
  • Find out the seller’s motivations. This isn’t always possible, but if you’re working with an agent, you can request that they try to find out why the seller is looking to move from the seller’s agent. If the seller’s agent is facing a lot of time pressure and needs to get the place sold ASAP, that puts you in a much better position to push for a better price.
  • Make a good, strong offer. Even when you’re writing an aggressive offer, you want your offer letter as appealing and reasonable as it can be. That might mean looking for little ways to entice the Seller to negotiate the price and terms… for example, you might waive certain repairs, or shorten the contingency period. Quick Tip for a Seller’s Market: A quick close (21 days) and a seler can remain in possession for a period of time at no cost can often save you money or get a favorable counter offer.
  • Remember, you can counter the counteroffer. Your first offer is highly unlikely to be accepted by the seller in a Seller’s market but may be accepted in a Buyer’s Market. You’ll probably receive a counteroffer, but remember, you can then make a counteroffer of your own. Make sure you work closely with your agent to again understand the issue with your offer when you receive a counter offer from the seller. From my experience little things that are not necessarily related to the offer price can be worked out when time is taken to understand the counter offer. Time isn’t your friend when negotiating so you should try to complete any negotiation within 72 hours if possible.
  • The Listing Agent is the Key.  If you have hired the right agent, he should be able to talk to the listing agent, understand the seller’s motivations, get the information on the pricing the selling agent recommended for the house versus what the Seller listed the property at. Some listing agents will sell your aggressive offer, some won’t. Some sellers are willing to look at a fair offer, some are not. Bottomline, a good listing agent knows whether an aggressive offer can be accepted. Do your homework on the Listing agent for success.

These are just a few steps to consider as you make an offer price is below “asking” or sales price.

Making an Aggressive Offer: What isn’t effective or doesn’t work

  • Don’t make a lower offer just because you can’t afford to buy the house. If your aren’t qualified to buy the house and your lender hasn’t approved you for a large enough loan,the listing agent is going to believe you can;t buy the house and more often than not he is going to help you win the home and get your low offer accepted.
  • Don’t assume that making a cash offer will make your lower offer more appealing. If the homes in a neighborhood you are looking to buy are selling quickly, cash won’t necessarily get you a discount unless there are other more compelling terms.
  • Don’t be a Buyer who just makes low offers. The agents in your market know Buyers who are “lowballers” in the luxury market we talk and when there are few buyers looking at multi million dollar houses we know who you are.

One Last Thought

Use an aggressive offer to save you money but to win the house. An aggressive offer is more than the price. A good buyer’s agent will know how to sell your aggressive offer. More importantly make sure you chose an agent who will aggressively sell you as the best buyer in any market or price range.

How to make a winning offer to buy a home

How to Make a Winning Offer to Buy a Home

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We’ve all been there including myself. You see the right home at the right price online. You rush over to the open house, its swamped with buyers. You want the home and want to make a great winning offer. How do you win the home? If you’re buying in 2020, your offer to purchase will likely be up against offers from other just as motivated buyers. Learn ways you can make your offer stand out from and be the one that gets accepted.

Please note these strategies are intended for a hot seller’s market and negotiations with multiple competing offers. Market conditions and strategies will change over time. Every offer is unique. In no way should this article be treated as legal advice or as a substitute for the advice you should be seeking from your attorney or buyer agent. 

Ways to make your offer better with a loan

Submit a pre-approval not pre-qualification letter with the offer

This is basic if you are buying a home with a loan. A pre-qualification letter isn’t going to win in a multiple offer situation in fact you might not even get a response from the seller with one. In a seller’s market you need a pre-approval letter and not from an internet lender who sent an email saying you are “pre-approved.” Find a reputable bank and letter to provide you this critical item.

Shorten the time period in the purchase contract for loan and appraisal contingencies

The typical timeframe in the California Residential Purchase agreement is 21 days for this contingencies/conditions to be removed. Buyers can get more than pre-approved for a loan. If you can get fully approved subject only to the bank appraisal and clear title, consider getting a loan commitment letter.

Ask your lender to email and call the listing agent after you make an offer

This simple touch makes a difference and inspires confidence in the seller that you will perform and close the purchase since the lender is good and you as a buyer are solid.

Finance only 80% of the purchase if you can

Not only are you showing the buy you have more money to buy the home, but you can also look and see if your lender will waive the appraisal contingency for the purchase. Waiving the appraisal contingency will help show the seller you are a stronger buyer.

Review any reports, disclosures, and inspections the seller has made available

Get pre-sale inspections, reports, and disclosures if available prior to making an offer

If available these reports can help you streamline what you need to do to purchase the home. You may be able to shorten timelines, pay for items or seller costs, remove contingencies, not pay for your own inspections (accept the seller reports/inspections will save you money). Also makes you a savvy and smart buyer to the seller because you didn’t ask them for an inspection they already paid for.

Make the terms in the offer stand out

Find out when the seller’s preferred date and write it into the offer.

In a competitive situation you want to do all that you can to reasonably address the seller’s preferred terms. Giving the seller their preferred closing date is a great way to tip the scales in your favor. 

Pro Tip: Find out the seller’s preferred date and close 5-10 days early and offer the seller to remain in the home after the close and at no cost. In the end this wins more often than not. The seller isn’t moving until the home is sold, they have the money from the sale, the seller have the time to move out and at no cost.

Make a 1%+ earnest money deposit with your offer

The California residential purchase agreement allows up to 3% of the sales price for a deposit subject to liquidated damages. The typical earnest money check is about 1% of the offer price. Make your offer stand out by submitting a higher than average earnest money amount. Including a check with your offer should be sent as well.

Include proof of funds with your offer

Showing the seller, you have all the money available to purchase the home helps validate you as a strong buyer. You can do this with a letter from your lender saying that proof of funds has been provided or verified or send over a redacted (hide the account numbers) bank statements. More importantly if you are financing over 95% of the home purchase with a loan, showing the seller you have more cash available will help them not discount the seriousness of your offer because of the loan terms.

Waive the appraisal contingency if possible and you are comfortable doing so

If you have an 80% or lower loan amount to the sales price often the lenders can waive the appraisal contingency. Work closely with your lender to see if a waiver is available prior to making an offer. If you waive the appraisal contingency and the bank still requires an appraisal for the loan. If the home doesn’t appraise for the loan you may put your deposit at risk if you don’t complete the purchase.

Consider modifying the appraisal contingency for the loan

If the home doesn’t appraise that you will bring the additional funds to close. This is a risk to the earnest money deposit you made to purchase should you not perform. This strategy should be discussed with your agent.

Don’t make the buyer pay for a home warranty

If you want a home warranty purchase it, if not don’t ask for the seller to provide one anyway. You will learn about the home during your inspections and even if the expense of a warranty makes sense.

Don’t make your offer contingent on the sale of your current home

Instead, work with your lender to get pre-approved for financing which doesn’t require you to sell in order to buy.

Pay for closing costs

Closing costs and other extra fees affect the seller’s bottom line and could cause you to miss out on your dream home. Another option is to increase the offer price to pay for any closing costs. Discuss with your lender if you are buying with a loan if this is allowable.

Add an “escalation clause” or “writing first and countering last” to the offer

An escalation clause is a real estate contract, sometimes called an escalator, that lets a home buyer say: “I will pay x price for this home, but if the seller receives another offer that’s higher than mine, I’m willing to increase my offer to y price.”

In theory, an escalation clause is fairly simple. In practice, there are a lot of details involved with this clause. Again, you should really discuss this strategy with your agent

Shorten contingencies if possible

As much as possible, shorten each contingency deadline (financing, inspection, etc.) to the fewest number of days possible. Talk to your buyer agent about an appropriate number of days for each contingency. The type of property you are buying also should be taken into consideration. For ex, a property on acreage with easements, a private road may not be in your best interests to shorten your investigations.

Purchase the home and property “as-is” subject to inspections

If the property doesn’t have any inspection reports or disclosures available before you make an offer this is a risk. However, a diligent effort on your part can establish the condition and quality of the home and if there is deferred maintenance you need to repair. Showing the seller, you will take the home “as-is” and not request repairs with a financial contribution from the seller make you a stronger buyer. Again, this should be discussed with your agent and you should be comfortable making an offer with this condition.

Write a letter to the seller

Sellers want to like the future owner

Create a connection with your sellers by writing a thoughtful letter. For example, if the sellers raised their family in their home, write a letter which explains why their house is perfect for you and your family. Have everyone in your family sign the letter (the kids with crayons), and include a family photo. Most buyers choose not to write a letter, but very often it’s the personal letter that’s the deciding factor in a multiple offer situation. 

Make the first offer

First offers win more often than not

The first offer has the biggest impact to the seller. In general, there is psychology at play here. The seller is always unsure if the house will sell quickly and for full price. Although there may be competing offers the first offer will be the most impactful. It shows commitment since usually the buyer knows the market, see the home as soon as they can, and quickly submits an offer. These are all signs that the Buyer is very committed to completing the purchase and buying the home

Why Your First Offer is Always Your Best Offer

Final Thoughts

Very often it’s not just the price that determines the best offer. Usually it’s about the offer as a whole, the overall tone of the negotiation, and who the seller trusts are the best fit for their home. That’s why it’s so important to work with an experience local buyer’s agent who sets a positive tone during the negotiation while working with you to assemble a great fair offer.  

Please note these strategies are intended for a hot seller’s market and negotiations with multiple competing offers. Market conditions and strategies will change over time. Every offer is unique. In no way should this article be treated as legal advice or as a substitute for the advice you should be seeking from your attorney or buyer agent. 

Create a great checklist to buy home

Making A Home Buying Checklist Is Key To Finding The Right Home

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For homebuyers, it’s helpful to create a list to keep focus on your search fo home. The list should be 5-8 non negotiables for your search. Some potential elements to include in your chart include:

  • Location
  • Price Point
  • Bedrooms, Baths, and Size
  • Age/Condition
  • Features/Amenities

The criteria on the Home checklist can change but should really the criteria that matters for you to find and tour homes you want and not use your time looking at “everything.” Focusing on finding and touring the right home that meets your checklist, will prepare you to make an offer when you find the right one.

What to Include on Your Home Checklist

There are a number of factors you might consider for your wants and needs checklist. Here are some examples of criteria I recommend on your list:

  • Location. Desired school districts, proximity to work, and closeness to friends or family is a big need for most home buyers.
  • Price Point. Naturally, you’ll want to consider price. Getting your finances or pre-approved for a mortgage can help you determine just how much you can afford to spend on your next home.
  • Bedrooms. Bath, and Size. Chances are, you have some idea of how many bedrooms you will need, whether or not you require room for a home office, etc. Knowing the square footage of your current home can help you better estimate the space requirements of your new place.
  • Age/Condition. You may be searching for an older home you can spruce up and make your own. Or, you may want something that’s newer and in good condition.
  • Features and Amenities. Things like a pool or a big finished basement may or may not factor into your thinking, but they are at least worth considering.

I recommend you create the checklist with your agent. That way you will be able to see if the criteria on your list as criteria can be delivered by the home search your agent should and will provide.

questions to ask the home inspector for the most information

The Best Questions To Ask The Home Inspector After The Inspection

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A standard part of the process for buying a home is for the Buyer to hire a home inspector to get a property inspection. The home inspection report is often the key report that describes the current overall condition and quality of the property of the home is being purchased. The home inspector or licensed contractor will inspect and check every major component and/or feature. More often than not a home inspector will discover issues, imperfections or problems that the homebuyer would want to know about. It’s also a good idea to even inspect brand new construction since items will be addressed by the builder or the new construction warranty.

Buyers should attend the inspection, along with their agent, to go over Seller provided disclosures, and reports. The Buyer’s can ask the home inspector to look at specific disclosure items of interest that the Buyer want to understand if its a major, minor or perhaps not an issue. At the end of the home inspection, the Buyers should be present to ask the inspector for a quick review of the issues found, and to be able to ask any questions that come to mind.

Here are some basic questions that can help you get everything you want and need out of this key inspection report.

What to Ask at Your Inspection

  1. Are there any major issues with the property? It’s not uncommon for inspectors to uncover a lot of small problems…but remember, not all of them have to be fixed right away! You may have a few tiny, cosmetic issues that can easily be placed on the back burner for a good long while. It doesn’t hurt to ask your inspector what the truly pressing items are. These items need to more often than not be addressed by the seller and to your satisfaction fixed before you complete the purchase..
  2. Are there any safety hazards?  If your inspector finds any safety issues they should be address and repaired by the Seller. These issues put you and the occupants of the house at risk. Some safety issues are fire hazards, electrical hazards, water leaks, or even slip and fall hazards.
  3. Can you recommend an expert to help with this problem? Sometimes, your inspector may discover a major, systemic issue with the house…for example, a heating or cooling issue, a plumbing problem, or an electrical failure. The inspector might find an issue that you have no idea of how to address. Don’t hesitate to ask for a referral or recommendation to look at the issue further.
  4. Did the inspector find issues due to deferred maintenance? Deferred maintenance items are a big indicator of whether the Seller took care of the home while owning it. Your inspector may see some little signs of trouble that could point toward bigger problems down the road. Ask the inspector what most likely caused the issue. Just because a house “looks” good doesn’t mean the house has been well cared for.
  5. How much will these repairs cost? Might be an obvious question but you should be careful asking this question. You may see some repairs that obviously need to be made but that doesn’t mean the inspector can address the repair and the actual cost.

After the Home Inspection

The home inspector and their report is a valuable resource to find out and learn the condition and quality of the property you are buying. That being said it’s important to take your time reviewing the information from the home inspection. You should work closely with your agent to gather more information about any issues found. What you may think is a major issue can be addressed through communication with the Seller/Seller’s Agent. The Seller may be able to clear up the issue or have it addressed. Most likely you will want further inspection by a licensed contractor to look at any major items discovered and to give you a real cost to address. Your agent should be able to request any items of concerned found by the home inspector to be addressed by the seller. A good agent will help you manage the home inspection issues and concerns quickly and to your satisfaction. They should also be able to help you get the Seller to address any issues to your satisfaction as well.

What is a move-in ready home

Do You Want a Move-In Ready Home?

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If you’ve spent much time browsing real estate listings, you’ve probably noticed some properties describing and marketing the home as move-in ready. The perspective Buyer is hoping and believes when a seller’s agent lists their property as move-in ready, there won’t be any work required before the buyer can move in and make themselves at home.

But what, more specifically, should be a Buyer’s expectation for a move-in ready home? Is it just marketing for the home, or does it really mean there is nothing to be done?

What Should Expect of a Move-in Ready Home?

The first thing to understand is that this is not a legal definition; technically, any seller can list their home as move-in ready, regardless of its true condition. Buyers can’t take it as an ironclad guarantee, then, but most of the time, homes that are marked as move-in ready genuinely are.

So what should a Buyer expect for a move-in ready home? Simply it should be ready for occupancy, without any repairs needed first.

Please find a simple checklist to help you determine if the house whether described or not is move-in ready. Here are things I believe you should expect for a move-in ready home, and in no particular order:

  1. Electricity.  You should expect that there is proper electrical power; that all the wiring is up to code; and that older outlets or switches have been replaced.
  2. Plumbing.  All the household plumbing should be in good working order. It should be up to code, and there shouldn’t be any obvious or significant leaks anywhere on the property.
  3. Roof.  The entire roof, gutters, and downspouts are in good shape, and still has several years left in it. For instance, you may have a 30-year-old roof on the house, and while it may not be leaking right now, its days are probably numbered. Such a house wouldn’t be characterized as move-in ready.
  4. HVAC. The home should also have heating and cooling systems that work properly and have a few years left in them. If the air conditioning unit is just a year away from needing replacement, the home shouldn’t be labeled as move-in ready.
  5. Kitchen. When it comes to the kitchen, the key trait is functionality. A kitchen may need some aesthetic updates, and that doesn’t keep it from being move-in ready. However, a move-in ready kitchen should have a kitchen where the outlets and all the appliances work the way they’re supposed to.
  6. Bathrooms. Again, the thing to think about here is utility, not aesthetics. The bathrooms should all be ready for normal use, which means the toilets should flush and the drains should be unclogged. Cosmetic issues aren’t deal-breakers per se.
  7. Flooring. So long as the flooring is reasonably clean and free of any warping or buckling, it can qualify as move-in ready.
  8. Paint. It’s not required that a home have fresh paint but the overall painted surfaces are in good serviceable condition. There shouldn’t be peeling or chipped paint everywhere. A bigger bonus of walls are free from nails and touch up has been done.

This short list should go a long way to help you determine if property condition is indeed move-in ready whether described or not in the listing. Condition is a factor in buying a house, Buyer’s shouldn’t perform any home inspections because a home because it looks good, but it certainly inspire confidence that the home is maintained.

buying a home with a septic system

Buying A Home With A Septic System

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The Home has a Septic System…..

If you or someone you know recently purchased a home with a septic system, or are considering purchasing a home that uses a septic system, there are a number of things you need to know and consider in advance. Here’s a quick overview on septic systems, how they work, and what maintenance a homeowner needs to know:

Rural Properties Typically Use Septic Systems

In South Placer looking at rural homes for sale it isn’t unusual to find a septic system to be used to dispose of the liquid waste. A well designed and running septic is nothing that should concern a future homeowner. Just make sure you get the information you need and proper inspections to make sure its in good operating condition before you buy the home.

How It Works

Here’s the short version: A pipe drains all of the wastewater from your home and deposits it in a watertight underground tank. This is where solids (called sludge) settle to the bottom, and floatable materials (called scum) rise to the top. Both sludge and scum remain in the tank and are periodically pumped out by a professional septic service technician.

There is also a middle layer made up of liquid wastewater (called effluent), that drains from the tank into a buried drainfield in your yard, which helps the wastewater disperse into the soil. The soil in your yard filters out any contaminants, and the beneficial bacteria in the soil break down organics in the wastewater to use as plant food.

Here is a deeper dive into how aseptic system work:

Bacteria are what makes a septic system work. They break down waste, leaving water clean enough to safely percolate down into the earth. The whole system is designed to keep bacteria healthy and busy. Some live in the tank, but most do their work in the drain field.

1. All waste flows to the septic tank.
2. Watery waste, called “effluent,” fills most of the tank. Anaerobic bacteria begin breaking down the organic material in the effluent.
3. A layer of sludge falls to the bottom. Sludge is composed of inorganic solids and the byproducts of bacterial digestion.
4. A layer of scum floats to the top. Scum is primarily composed of fats, greases and oils.

The septic tank acts like a settling pond. Greases and oils float to the top. Heavier solids sink to the bottom.
5. A filter prevents most solids from entering the outlet pipe.
6. Effluent flows to the drain field.

The drain septic field provides a large area where bacteria can thrive and treated water can seep into the ground.
7. Holes in the drain septic field pipe allow effluent to seep into surrounding gravel.

Gravel around pipes allows water to flow into soil and oxygen to reach bacteria.
8. Aerobic bacteria in gravel and soil complete decomposition of the waste.
9. Clean water seeps down into the groundwater and aquifer.

It's a cafeteria for bacteria

The Septic System is Completely Separate

Both the potable water source for your home (a well, city line, etc.) and your septic system are completely separate from each other. The septic system is intended to disperse contaminated water back into the ground as a means of filtering it, but that effluent water does not come in contact at any point in time with your drinking water.

Types of Septic Systems

The only difference between types of septic systems is the size of the drain field and the soil in a home’s yard. For example, liquid waste sometimes encounters difficulty in dispersal when it is drained into clay-rich soil as opposed to sandy soil. When that occurs, the drain field will need to be large enough to handle the volume of effluent the average family generates. To prevent the possible clogging of a septic system, it is essential not to use toilets or sinks as a disposal for dental floss, coffee grounds, cat litter, paint, chemicals, or other non-biodegradable materials. However you should be aware that septic systems that need to be more “engineered” because of soil conditions are more expensive to maintain, repair or replace.

What Maintenance do I need to do with a Septic System?

The system system tank will need to be pumped every so often. The periodic pumping of a septic tank must be handled by professionals to remove the accumulated sludge and scum. How often the tank needs to be pumped depends largely on how large the tank is and how much wastewater the household generates. A three-bedroom house will most likely have a 1500-gallon septic tank that needs to be drained every three to five years, though depending on the waste generation and soil conditions, it may need to be done annually.

In addition to pumping, the tank should be regularly inspected for any leaks or clogs. The telltale signs that the system may be clogged include bad smells and slowly draining or gurgling fixtures. Also, it is very important to avoid the use of septic tank additives, which claim to break down sludge and scum within a septic tank to reduce for pumping. Studies have shown these additives can actually damage your septic system, resulting in a costly repair.

How Much Does It Cost?

There are several factors that go into determining the cost of draining your septic system, including tank size, drainfield size, and distance for hauling away waste. Pumping a 1500-gallon tank might cost somewhere in the $400+ range depending on the specific circumstances of the job based on your home’s tank size, location, and access to pump.

Before Buying a Home with a Septic Tank and System

You need to understand the septic system for the home you are purchasing.

  1. You should inquire and ask for what the Seller knows about the system including the last time it was pumped and if any repairs were made to the septic system.You should go to the county or county website to research what septic system was installed at the property.
  2. You should go to the county or county website to research what septic system was installed at the property. Make sure you get the complete design including the location of the septic field and any reserve field. Septic tanks are sized based upon bedrooms in the home. Also note the age and type of septic system design. Please note the distance from the home and the well if there is one.
  3. You should schedule an septic tank pumping and inspection. On the contract to purchase your agent can request that the Seller perform this pumping and inspection. I recommend that this step be done prior to the close of escrow and unless its is available as a pre-sale inspection report you should not accept a report over 6 months old.

Inspections can give you important details about the condition of the home’s septic system but is often limited to the tank, You should walk the leach field and make sure there are no shrubs, trees, or pasture animals on the leach field.

Quick Tip: Adding a bedroom to the home? Adding a bedroom may require you to increase the capacity of the septic system. Planning to put in a pool, garage, granny flat, etc?... Its critical to understand the septic system design or you may be faced with an expensive cost to move the tanks and or leach field to accommodate the pool or garage you were hoping to add.

An Old Septic System or one Needing Repair can be a Big Expense

Even a well-designed and installed system can need replacement after 25 to 30 years, and replacement costs can vary widely. Most experts state a basic gravity-feed septic system can cost as little as $4,000 to replace, but if your system requires electrical or mechanical parts of function correctly, the replacement cost can range anywhere from $15,000 to $35,000. Replacing a Septic Tank

If you are looking at rural property it makes sense to make sure your real estate agent can help you understand buying a home with a septic. A septic system can be a big issue if you don’t do your homework before you complete the purchase of the home.

Learn more about buying a home with a well

Learn More About Buying A Home With a Well

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Wells Don’t Have a Water Bill…

In South Placer, wells are the water supply to the residence found in rural and off-grid properties. Newer subdivisions in South Placer rural areas more often than not will have a public or private water agency provide treated water for the homes. In Loomis for example, Cambridge Estates, Sierra De Montserrat, MOnte Claire, etc the Placer County Water Agency (PCWA) provided service so the new homes built could connect to the local public water system. Let’s help you get the information you need when evaluating a Loomis or South Placer rural property with a well.

home with a well

If you’re looking to buy or found a rural and or new home off-grid or in an area that isn’t served by the public water system, you’ll need to know a bit about wells. Although this subject can seem intimidating for those who are unfamiliar with well-water systems, there are only a few points you need to keep in mind to ensure you’re making a well-informed (agent humor) purchase. I also recommend working with an experienced real estate agent who buys rural or off-grid properties to help you decide if a home with a well is not an issue. 

Water Wells Need to be Tested

Well Water Needs to Be Tested for Drinkability

The most pressing issue a buyer needs to investigate is the safety and purity of their future home’s water. Since the same water source (aquifer) could be accessed by many homes spanning a wide distance, what affects a nearby home may affect your home as well. Its important to note the animals, farming, and commercial business near your property with a well.

However the real validation of your well is a production and potability test of the well on the property your considering to purchase. If you are luck the Seller will have done a pre sale well test for you to look for. Again you shouldn’t rely on any tests older than 30 days or you see a holding water tank on the property (water tanks are usually an indicator of a well that cannot produce over 1200 gallons in a 4 hour period. In Placer County, the water is tested for potability (bacteria). Wells can also be tested for PH, hardness, turbidity, minerals, metals, radon, and volatile organic compounds but it is usually optional. Again your agent should be able to help you device which tests you need.

Test the Output and Production of the Well

Even if the well water itself is deemed safe for drinking, there can be issues that will affect its usability in your new home: namely low storage capacity and low flow rate.

Luckily, testing for these is simple. In general, wells store about 1.5 gallons of water per foot, so if you find out the well depth, pump depth, and water level, you’ll be able to figure out what the capacity of your well is.

Flow rate, the measure of how much water per minute is being pumped from the well, can be calculated based on the number of gallons the pressure tank stores before the pump starts and how long it takes the pump to turn on and off. Regulations require homes to have a flow rate of between 3 to 5 gallons per minute, but it’s best to find a home with 6 to 12 gallons per minute.

Verify Your Well is a Safe Distance from Septic Tank and Leachfield

Homes that require or use a well for water for the property usually will also make use of a septic tank for waste storage and disposal. Placer County requires a minimum distance of 100 feet distance all wells need to be in relation to any septic system. This prevents septic water effluent or a septic system failure from reaching the well and contaminating the water supply with harmful materials. The Placer County Building Department or the Seller should be able to identify both where the well and any septic system is located. Checking the original well permit for the properly is another key piece of information since there is a well drillers report and a potability (drinkability) test done after the well was drilled and capped.

Avoid Hand Dug or Shallow Wells

The two major types of wells are drilled and bored wells. Most shallow and hand dug wells don’t penetrate bedrock or granite and are more susceptible to groundwater and soil contamination As a buyer you may have to manage and maintain the potability of the water. Also the production of the well may be inadequate in the future and you might be facing the expense of putting in a new well for your water supply.

There is More Than Just the Well to Look At When Buying a Home

The average well will last for about 30 to 50 years, but if the well is producing water satisfactorily you can proceed with the purchase. From my experince wells may start experiencing issues anytime, most likely the pieces and parts of the system that gets the water into your house. Be aware of the age of the well pump, the motor relay, pressure switch, and pressurized water tank. Check out the condition of the water lines to the house from the well, as well as the electrical power from the house to the well. When the test is being done for the well test and potability, have the well testing company inspect the rest of the system and give you a bid to replace it. I’ve lived in Loomis for 17 years on a well and I’ve replaced the entire system that supplies the water to the house. The only thing I haven’t replaced is the well itself.

Quick tip: Another consideration with rural property is irrigating the property. Is your well for the water to the house also used to irrigate the property? Used to supply water to livestock or animals? Most wells aren’t going to have the size and capacity to pump the water you need to supply water to a 1+ acre property. They may however have the production or output but you might need the well tester to test the production with his pump rather than the well pump.

Final Thoughts on Buying a Home with a Well

Wells on rural properties are a proven way for getting potable drinking water to the house. It shouldn’t be a deal breaker if you take your time and get the time to understand how water is supplied to the property and the home(s). Its critical to also inquire about how the property is irrigated since in South Placer and Placer County we have irrigation water available from the Placer County Water Agency and Nevada Irrigation District which may be already at the property or there is availability of irrigation water being brought to the property (this isn’t simple and might be expensive, but in general it’s a good thing if irrigation water is available).

Water is one of the biggest issues t understand when buying rural property in South Placer. I recommend you make sure to get all the information you need about how water is deliver to the property, how much, and if to you house is it safe to drink. Again I can’t recommend this enough, about working with an experienced real estate agent who buys rural or off-grid properties to help you decide if a home with a well is not an issue for purchase. 

Make offers that win

How To Make An Offer That Wins In A Seller’s Market

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It’s Not Just The Price…

Buyers are facing an uphill battle to buy a home in this current market. Having a plan to succeed is critical and knowing what to do to create an offer that makes you the early favorite in the current multiple offer market.

Its really important  to understand that the best offer is a combination of things and not necessarily the highest price. Also your offer can be amended after its is sent to make it more appealing as you understand more about what the seller needs to sell are.

How To Make A Winning Offer:

Here are steps that help.

  • Learn the market.  It’s important to understand the inventory of the homes you want to buy. What are the recent sales? How many offers were made? Did the sales price over the list price?.  Your agent should be able to guide you about the local sales.
  • Find out the seller’s motivations. This is key and really important. If you’re working with an agent, you can request that they try to find out why the seller is looking to move from the seller’s agent. If the seller’s agent is facing a lot of time pressure and needs to get the place sold ASAP, that puts you in a much better position to push for a better price. Don;t be afraid to pick up the phone and call if you don’t know.
  • Make a good, strong offer. Even when you’re making a winning offer, you want your offer as appealing and reasonable as it can be. The information you found out from the seller or seller’s agent can help. Use that information in your offer  to make your offer better. For example, you might waive certain repairs, or shorten the contingency period. Quick Tip for a Seller’s Market: A quick close (21 days) and a seller can remain in possession for a period of time at no cost can often save you money or get a favorable counter offer.
  • Don’t count on a “Multiple Buyer” counter offer. Your first offer is highly unlikely to be accepted by the seller in a Seller’s market but may be accepted by modifying the terms of your initial offer or more importantly trying to convince the seller’s agent to make an acceptable offer work with your offer. Make sure you work closely with your agent to again understand the issue with your offer when you receive a counter offer from the seller. From my experience little things that are not necessarily related to the offer price can be worked out when time is taken to understand the counter offer or addendum. Time isn’t your friend when negotiating so you should try to complete any negotiation within 24 hours if possible.
  • The Listing Agent is the Key.  If you have hired the right agent, he should be able to understand the seller’s motivations, get the information on the pricing the selling agent recommended for the house   Bottomline, the  listing agent is the gateway for your offer to be accepted. In the end selling your offer to the listing agent.  Do your homework on the Listing agent for success.

Making an Winning Offer: What is effective and works

  • Having a pre-approval letter that is 10% more than your offer price. If the home comes down to negotiating a higher price and your approval letter can;t support the higher price, you won’t win the house.
  • Buying the home as-is, and not requesting repairs. If the seller knows that their bottomline isn;t going to change after they are in contract that is helpful for them to decide to choose your offer..
  • “Clean Offer” Making the deal more complicated isn;t helpful. Stick within the current time periods for getting things done. Unless you have information that the seller wants inspection times shortened or, keep the offer “clean.”

One Last Thought

A winning offer is more than the price. More importantly make sure you have an agent who will aggressively sell you as the best buyer and is equally focused on helping buyers as well as sellers.  

My Offer is accepted

What Happens After Your Offer is Accepted

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You’ve found the right home at the right price. You submitted an offer, and it has been accepted. Now you are “under contract.” What happens next? Your agent that helped you win the home will manage the timeframe for performing the inspections and contingencies to help complete the purchase or advise you the cancel the purchase offer shpi;d there be any deal breakers. Here are the major items in the process from “contract to close” for a successful purchase.

1. Follow up with your lender if purchasing with a loan

Hopefully your lender already knows the offer has been accepted. However, you need to sync up with your lender and make sure the loan contingencies can be completed by the contract timeframe (typically 21 days after an accepted offer for the loan contingency in California). A conversation with your lender should get the ball rolling and make sure any documentation needed for approving your loan is being worked on. The home appraisal is one of the pieces the bank will need for the loan approval. A home appraisal helps determine how much your home is worth. The appraiser is typically chosen by your lender and scheduled by the lender.

2. Get the earnest money to the escrow company, review disclosures/reports

Your agent should be making sure the “earnest money” or deposit is given to the escrow company within 3 days in California after the offer is accepted. Your agent should also be working with the listing agent to get all the disclosures and reports available for the property. The disclosures and reports are key to helping you determine the condition of the home you are buying and useful for helping you further investigate any issues with your future home.

3. Schedule the home inspection

Inspections are highly recommended to help find any underlying issues that may affect the value of your home and how much work it needs. Even if you have a pre sales inspections including the home inspection, you should make time to review the report on the property with your agent.

4. Get Quotes and purchase home insurance

You are required by law to get home insurance when you purchase a home. Escrow will need to have proof of insurance prior to the close of escrow. Don’t let this be a last minute item, if you do it now you will be able to shop around to find the best deals.

Pro Tip: Bundling your home, auto, and other insurance can save you money.

5. Follow up/purchase a home warranty

Home warranties help protect you if large ticket items—like appliances—fail after you have bought the home. If you purchase a home warranty plan before closing, it will be included in your closing costs. Sometimes, the seller will purchase a home warranty plan for the buyer.

6. Completing the purchase

At this point, you will be roughly 14-21 days since you accepted the offer. You should have: be approved for you loan, have a home appraisal, completed any inspections, reviewed disclosures and reports, requested any repairs, and should be ready to either complete the purchase or cancel the contract. Let’s assume everything is a go and you are ready to complete the purchase. You should be working on your move to the new home. In parallel to your actual move, the real estate professionals will be working hard to get the purchase closed. You typically will see the following happening: The seller will usually ask for a release of all contingencies, and your lender will get the loan documents into escrow for signing. The seller will be signing documents to transfer the home to you. You will be signing all documents you need to transfer and purchase the home to you, bring the rest of funds and depositing into escrow that are needed to close. Once everything is done, correct and reviewed by the Escrow company for seller and buyer, the house will released for recording and transferred to you as the new owner by the escrow and title company

7. After closing

You should be transferring utilities as soon as possible into your name for the new home. Security is a big concern so you should be rekeying the home and looking ar home security and automation options as well. This is also a good time to find contractors for any work you may need or want. Hiring a maid service, pool service, and lawn service is also done after you move.

Pro Tip: Ask the Seller who they use to work on the house while they owned it. It’s often a good idea to retain the home pros that worked on the home and learn more about how and what maintenance is being done. The listing agent is often a good resource to ask if you are looking for recommendations as well.

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