5 Types of Easements That Every Homeowner Should Know

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Did you ever cut through a neighbor’s yard as a kid? You knew you weren’t supposed to be on their property, but it was so much easier to sneak through their yard than to walk all the way around. 

Most homeowners (understandably) don’t want unexpected guests on their property, and they certainly don’t want anyone messing with their home or yard. But in the case of easements, homeowners don’t really have a choice.

What is an easement?

An easement is the right that someone has to use someone’s land for a specific, legal purpose. For example, your home might sit on top of some pipes that are used by the municipal water company. If something happens to those pipes, the company has every right to tear up your land to fix them, even though you technically own the land that they’re on.

A few things to note:

  • When your property passes over to the next owner, the same easement rules apply.
  • If companies reach out to you for an easement, they’ll likely offer to pay for disrupting your land.
    • If you don’t want them to use your land and they don’t back down, the case could end up in court.
  • Companies will most likely fix (or pay someone to fix) any land disruption as needed.

The 5 Types of Easements

There are several types of easements that exist. Whether you’re a current homeowner who hasn’t dealt with this yet or a potential first-time homebuyer, it’s good to know about each one.

Utility

Utility easements are the most common. Gas lines, electric lines, drain and water pipes stretch all across the country like a subway system. It’s pretty common for people to own a property with a utility easement.

A company might also request access to your land solely to drive to their location. For example, you might live next to a plot of land with a gas line beneath it, and the easiest way to get to it is to drive over your property. In this instance, someone from the gas company would likely survey and talk to you before it happens.

Necessity Easements

Sometimes companies need access to your land suddenly and without having anything in writing. For example, a gas line leak poses a safety threat and requires immediate fixing.

Right of Way

Sidewalks are the most common example of right of way easements. Even though a sidewalk is built on your land, an outside company has access to it. A company might need access to a line running beneath your sidewalk, or they simply might need to repave the entire block.

Private Easements

Property owners sometimes sell easements to other companies. As a modern example, some internet companies might come survey your land and hope to purchase an easement to lay a fiber optic cable. A renewable energy company might reach out to people with lots of land who are located in an ideal spot.

Keep in mind, if you sold a private easement to someone, it’s your responsibility to tell the next homeowners of your house that you did so. 

Prescriptive Easement

A prescriptive easement is when someone needs access over another person’s land for a set period of time, usually for driving over their land. 

If a person is driving over your land for some type of job or work and doesn’t have an easement set up with you, this is technically considered trespassing. Even someone who puts a fence over your boundary is trespassing, unless they have an easement. Prescriptive easements vary in length from state to state, but usually last for 10 or 20 years.

How do I know if there are any easements on my property?

Call public officials or utility companies. Ask a utility company if there are any easements on your property, or contact city hall for county land records for more information.

Ask before you buy. Find out from the sellers if they have any easements, or check with building contractors or land sellers if you’re planning to build.

Know that you might be subject to an easement of necessity. Even if you don’t have any easements on your property, someone might have a right to it at some point if it’s out of necessity.

No matter where you’re at in your buying (or selling) journey, gaining knowledge on easements is definitely an asset. While easements can be an inconvenience, they are oftentimes a necessity to helping life function as normal.

Buying or Selling a Home As-Is

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We all know (or can easily figure out) the concept of buying or something “as-is.” I’m about to try selling my bike as-is for $25 — it works well, but needs some tuning up, the tires are flat and I don’t have a bike pump.

Maybe you’ve seen someone with a “For Sale” sign in the front windshield of their car, parked on the side of the road. There very well might be nothing wrong with it, but the seller thinks they can get a better deal than taking it to a used car dealership by taking matters into their own hands.

When we buy or sell something as-is, that “something” is to be sold and purchased in the state that it’s currently in. But for a massive investment and asset like a house, how does this process work?

Selling a House As-Is

The process of selling as-is is pretty simple. The only real differences from selling the traditional route are:

  • Your listing includes “as-is”
  • If you lived at this house, you have to disclose any/all known issues
    • If you inherited the house, it was a rental you hadn’t lived in, or if it was a bank-owned property, your disclosure requirements are waived.
  • The house doesn’t have to be empty when you move out

With all that in mind, here are some pros and cons to selling as-is:

Pros

You don’t have to clean your house. This is perhaps the biggest benefit to selling as-is. Homeowners with tons of stuff don’t have to clean through and sort everything — they can literally leave their house and its belongings for the next person. This is also beneficial for homeowners who are grieving the loss of a loved one — going through everything can be extremely painful.

You don’t have to fix things up. If that roof has needed replacing for several years but you’ve just never had the time or funds to do so, you don’t have to. Even minor cosmetic issues don’t have to be spruced up.

You might sell faster. Those who invest in real estate are often looking for motivated sellers. There’s a good chance you can get connected with a buyer who’s ready to close in 30 days, with no inspection necessary (this is especially true if you sell with RealtyHive!).

Cons

Your house is almost certainly going to sell for less. All the as-is benefits come with a price. When passing the torch of a rundown house to the next buyer, they won’t go for the property if they can’t afford both the house and the necessary renovations.

Buying a House As-Is

The most important thing to note with buying a house as-is involves inspections and offers. You can still put a home inspection contingency in your offer, but know that the sellers are not obligated to fix anything. This contingency solely protects you from having to purchase the house if, after the inspection, you change your mind about buying. 

For example, you might find out in a house you’re interested in that there’s major foundational damage and termites. You realize the costs are way too high and fixing things would take longer than you’d like. You’ll lose a few hundred bucks on the house inspection, but it’s better than being locked into a home purchase that you later regret.

Pros

You can get a massive deal. Undoubtedly, this is why people buy homes as-is. You could save tens of thousands (and then some) by going this route.

You might love the appeal of a fixer upper. Looking for a major project or love the idea of a house with potential? Buying a house as-is provides that exact opportunity.

You could close faster. With traditional home sales, you might submit one of 20 offers. It could be a few months at least, between submitting an offer and the closing date. Buying as-is can drastically speed up the process.

Cons

You will almost certainly have to deal with lots of issues. Hoarding houses, structural damage — the gamut of home issues runs from moderate to nightmarish when buying as-is. While you could stumble upon an incredible deal with very little to fix, the chances are slim. 

For this reason, including home inspections in an offer letter is necessary, unless you’re completely confident in taking on anything that comes your way. At the very least, consider taking a friend who’s got an eye for home improvement with you to walk by or through the property. 

You might pay more than you bargain (or budget) for. A low price is rarely what you’ll end up paying to make a place liveable. Buying as-is might seem like a steal, but you definitely run the risk of unforeseen costs.

No matter if you’re looking to buy or sell as-is, RealtyHive is the place to go! We list properties from highly motivated sellers and connect them with highly interested buyers — think of us as an as-is online dating service. Fall in love with a new property or our selling process today.

Interior Lighting Design Tips to Increase Home Value

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Our real estate team recently had a lightbulb moment about a very important aspect to interior design. We’ve featured this topic in blogs about staging or renovation, but it’s time to shed some light on one of the most important parts of your home. 

In case you haven’t guessed yet, we’re talking interior lighting design. Not only does the right lighting improve your quality of life, it also adds value to your home. Find out the importance of light and how you can make some lighting-specific home improvements — we promise you they’ll make a difference.

The Importance of Light

Have you ever worked in a space with fluorescent overhead lights and gotten a headache? How about after staring at a screen for too long? What’s your mood after staying in a dark room for too long?

Light affects everything from our mood to our physical well-being. It’s often the reason (even if subconsciously) why people jump to sell or rent out your property versus why they pass it by. Far too often, we overlook lighting and take it for granted as a convenience instead of a necessity. 

The truth is that lighting is like food. Highly processed food and overexposure to bright lights can both make us feel a bit wonky. Natural light and healthy ingredients have the opposite effect. Trying out a new recipe is usually as exciting as installing a new, modern light fixture. With both lighting and food, we feel our best when we’re intentional with how we use it.

Interior Lighting Design Tips

The lighting changes you can make could be part of a bigger remodel project, or could cost under $30. You can pick and choose which lighting changes will add the most value to your home. It’s like we said: as long as you’re intentional, you will see the benefits from updating your lighting design!

Update your fixtures.

Budget: $$-$$$

While there are definitely some pricey options out there, you can find some beautiful, modern full-room light fixtures for less than $300 — some as low as $50. Hiring a professional to install them will add some costs, but adding a new bathroom or kitchen light fixture isn’t as costly as you might think. Plus, it definitely adds some value.

When people walk into a room and see a cool light fixture, that’s usually one of the first things they comment on. You’ll love the modern look, and it will also help you when you’re ready to sell your home. Potential buyers will immediately notice updated fixtures, which piques their interest in the property as a whole.

Bring in some natural light.

Budget: $-$$$

Natural light doesn’t just look amazing and add massive value to a home, it also saves you money. The less you leave the lights on, your energy bill (and wallet) will thank you. Natural light provides more scenery and vistas and less reliance on the artificial.

Not to mention, we live in a selfie culture. This writer knows a friend in Minneapolis who specifically chose to rent out a place because of its natural light, despite having to pay more. Many millennials and Gen Zers want to show off their home and their life. Adding more natural light is a huge benefit to your home’s overall value (and can attract a wider renting or buying demographic).

But how do you add light? Here are a couple ways that range from cheap fixes to remodel overhauls:

  • Hang mirrors
  • Paint walls a lighter tone, in cool or neutral hues
  • Install larger windows
  • Put in a sliding glass door
  • Install window treatments that allow for light to pass through while maintaining privacy

One thing to keep in mind: it’s also nice to block out natural light when you want (especially if you’re like this writer whose bedroom has east-facing windows). Look into some blackout curtains to make daytime Netflix binges or naps as enjoyable as possible.

Switch out lightbulbs.

Budget: $

Your lightbulbs might be clashing with the room they’re in and you don’t even know it. But when it comes time to sell, you can bet that at least one potential buyer will feel like things are off. 

WIthout having to massively overhaul your space, simply look at the tones in a specific room — are they warm or cool? Whatever the answer, update your bulbs to LED ones that match accordingly. Soft white or warm white are good in warm spaces (such as the living room or bedroom), regular LED bulbs for cool areas (such as the bathroom).

Consider dimmers or colorful lighting.

Budget: $-$$

Both these ideas are a bit more fun, but might add a ton of dimension to your home. Dimmer switches range from $50 to $200 but add a massive convenience to any space they’re in. 

Colorful lighting is a growing trend and, when done right, can be a perfectly subtle way to impact the mood of a room. In fact, some people say that certain light colors can impact not just the mood of a room, but the mood of a person. Cool colors are said to increase productivity; warm colors provide a sense of calm. Who knows — maybe a simple lightbulb switch in your home office could drastically change your at-home job performance!

All of these interior lighting design tips can make an incredible difference in your home. But if your home is currently something resembling a cave or a 17th-century dungeon, maybe it’s time to look for something a little… lighter. Check out our RealtyHive listings to find some gorgeous homes for sale (with amazing lighting interior design to boot)!

Should You Buy a House During the COVID-19 Pandemic?

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We live in a time where almost every plan is being put on hold. Weddings, graduations, vacations, scheduled surgeries, and even basic human interaction are all at a standstill (and for good reason) due to coronavirus. But does the same logic apply for buying a house?

At RealtyHive, we have many tools at our disposal and we intend to use them to help our clients and partners through this. Often, some of the biggest opportunities are masked as challenges. We believe that if pursued in a safe and smart way, the same can be said for buying a property.

Why You Should Still Look Into Buying a House

The idea of a regular part of life (like buying a house) might seem strange, if not selfish during this time. After all, millions of people in this country are experiencing job insecurity — is buying a house show a lack of tact or compassion?

Absolutely not. In fact, buying a house can help others, as long as you still keep safety guidelines in mind. While feeling guilty might feel natural, you still have every reason to be proud and excited about the prospect of buying a house. Here are some reasons why home buying is still a good idea:

Buying through a time-limited event is social distance-friendly.

Our bidding process is almost exclusively online. With a time-limited event, you can wait until the day of the event, submit a bid online along with a letter of intent. If your bid is accepted, you buy the property as-is. No crowded open houses or shaking of hands necessary.

Mortgage rates are at historic lows.

The 30-year and 15-year fixed-rate mortgages dropped 15 and 14 points (down to 3.50% and 2.92%), respectively. If your job is safe (or if you don’t rely on a job for income), you might not find a better time to buy. Purchasing a house right now could save you thousands of dollars in the long run.

You might be significantly helping someone out.

Our listings come from highly motivated sellers. A seller might be desperate to get out of the city, or maybe they experienced the painful, awful nature of losing their job during this time. Regardless, they’re wanting (or needing) to sell. No matter their motivations, sellers will likely be thankful that someone is buying their property.

It’s like Corona (the beer) during this time. There’s nothing wrong with Corona beer, and yet they lost millions due to a highly unfortunate and bizarre name similarity. Their company undoubtedly wishes that people would buy their beer, business as usual. The same is true for house sellers. They might have a perfect home up for sale that would normally sell quickly, and the only reason it’s not being bought is because people are afraid to act during these unusual circumstances.

We all still need places to live.

Buying food is a necessity. Getting enough sleep is essential. Having shelter is a basic need. Especially if you’re on track to buy a house as it stands (and have no foreseeable job changes), why put things off? Buy your house now and have even more space to shelter in place.

RealtyHive has the resources you need to safely buy a house and reach your goals. As scary as these times might be, moments of joy still exist and should not be overlooked. Babies are still being born. Couples are still getting engaged. High school seniors are getting college letters of acceptance. Some people are still even getting new jobs. As long as it’s done safely with a social distance (and financially sound) mindset, you not only can still buy a house, you should.

Understanding the Basics of Home Mortgages

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When you’re starting out in the real estate world, mortgages are one of the first things to learn about. They seem super confusing (after all, why is there a silent “t” in there?!), there are lots of different types, so where should you begin?

Welcome to the Real Estate 101 class where today, we’ll cover the mortgage basics. You don’t need to take notes (unless you want to). Sit back, relax, sip some coffee, and find the answers to frequently asked mortgage questions right here.

What is a mortgage?

Put simply, a mortgage is a loan. The median house price in the US was $226,800 in 2019. Very few people have that kind of cash laying around (and even if they did, their home purchase would have to be a wire transfer, but that’s another story). Most people wouldn’t be able to afford a house outright until their 40s or 50s, which is why mortgages exist.

Just like a car loan, a home mortgage allows you to pay off your house over time. You can reap the benefits of home ownership (such as having your own place and not paying rent to someone else) without having to put hundreds of thousands down upfront.

Do you have to get a mortgage to buy a house?

No, but most people do. Even if you have enough money upfront, no one can buy a house with outright cash. This is a massive transaction, so don’t expect to bring duffel bags full of cash to a homeowner and call it a day. If anything, expect account transfers, wait time, and, as always, lots of paperwork.

You will more than likely need a mortgage to buy a house. This involves having a good credit score, pre-approval from a lender, and final loan approval once the house you’re looking to buy has been appraised (and the house value matches up with what you’re requesting to borrow).

What happens to your mortgage when you sell a property?

How to sell a house with a mortgage

  1. Get a quote from your mortgage lender regarding your current payoff.

    See how much is left on your balance.

  2. Find out if you have a prepayment penalty.

    This sometimes exists if you’re selling your home after owning it for less than 5 years.

  3. Continue your mortgage payments up until closing day.

    You might still have a final payment on closing day.

  4. If you end up owing on your mortgage on closing day, the proceeds of the sale will go towards covering it.

    A new buyer doesn’t “take over” your existing mortgage.

  5. Any additional profits after paying off the mortgage and other seller’s fees are yours to keep.

    This money is usually deposited into your account or goes to your next property if you’re buying and selling at the same time.

How do home equity loans and refinancing affect your mortgage?

Both refinancing and home equity loans offer homeowners the chance to convert their home’s equity into money that they can access.

While your first mortgage is for buying your property, a home equity loan is like a second mortgage. If you owe $200k on your mortgage but your house is worth $250k, you have access to a nice $50k that you can use. When you use that money to renovate or improve your house, you can even claim it on your taxes for a refund.

Cash-out refinancing is when you replace your current mortgage with a bigger one. Instead of taking out a second mortgage (like a home equity loan), you just have one big loan. The difference between your new loan and what you owe on your house is money that goes straight to your pocket (or as a wire transfer). That money can be used for anything.

When considering cash-out refinancing vs. home equity loans, it pays to do your research. And remember, this is money that you’ll still owe. You could risk foreclosure if you don’t continue making timely payments.

This concludes our Real Estate 101 class for the day, but all questions can be posted for our “professors” to review. One thing that we can all take away from today’s lesson: it doesn’t matter if you’re looking to buy a house or are preparing to sell — the more you know about mortgages, the better.

How to Hire a Realtor Before Looking at a Home

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They keep your best interests in mind. They have experience in the area, and can help you find a property that you might not have otherwise found. Not only that, but since Realtors’ commissions are typically paid by the sellers, finding an agent to help you buy a house won’t cost you a dime.

It’s pretty clear to see why you need an agent before buying a house, but today we’re backing it up a step further. We’re here to tell you that even before you look at a house, even before you tour the place, you need a real estate agent. Here’s how to make that happen.

See the agent’s number on the “For Sale” sign? Don’t call it!

We’ve all seen those signs outside of houses with a Realtor’s headshot and phone number. But as a buyer, that’s not the number you want to call. That number is for the listing agent, the agent that has the seller’s best interests in mind.

It might not be a big deal, but do you really want to work with someone who doesn’t have your best interests as their top priority? You want to hire a buyer’s agent to help you find your dream home.

Put your needs first (and stick to them).

Far too often in the real estate game, we see buyers choosing agents as a favor to someone else. This can quickly end up working unfavorably for the buyers. Your sister’s friend might work out great, but if you get the sense that she’s not the right fit, it’s OK to find someone else. Your 65-year-old Realtor neighbor might be a lovely person, but not your first choice as an agent if you want to communicate via FaceTime or WhatsApp and they lack that technical knowledge.

Buying a house is possibly one of the biggest investments you’ll ever make. While doing favors for others is a nice gesture, finding the right agent for you is truly the biggest favor you can give yourself. Trust that you deserve it!

Just like trying to find the right outfit for a wedding, you want a seller’s or buyer’s agent who’s a good fit. Here are some considerations to help you put your Realtor needs first:

  • First time buying? Talk with someone you know and trust who’s worked with a Realtor to buy a house. Find out what they liked, disliked, and what (if anything) they’d do differently.
  • Know your schedule. A lot of agents do real estate work part-time, usually working another job elsewhere. As you’re looking for agents, make sure you find someone who can meet on your schedule.
  • Make a list of priorities. Is experience more important to you, or are you fine with someone with less experience who’s a hard worker? What do you want communication to look like? Keep this list with you as you’re finding a Realtor.
  • Find someone in the area. Wherever you’re looking to buy, it’s critical to find an agent with knowledge in that specific location. No worries if you don’t know of anyone — find a referral agent through Cashifyd (and get cash back in the process!).

As soon as you’re ready to look at houses, it’s time to act.

Houses in a lot of places go fast. If you wait until you find a house you love in a highly desirable area and then reach out to an agent, it’s almost a guarantee that the house will go to someone else. Finding an agent beforehand expedites the process. 

When you go to a Realtor first and then look at houses, they’ll already have administrative stuff on file (such as a buyer agency agreement and proof of loan pre-approval). This puts you on the fast track to see the property — the sellers know you’re serious. 

And, bonus, your agent will know your schedule and is on the lookout for great houses for you. Having a second set of eyes helps you find a house faster. You might even find a dream house that you otherwise wouldn’t have spotted through searching on your own.

If you’re in this stage and the time to act is now, work with RealtyHive to find an agent and to purchase your dream home! We have a network of highly qualified Realtors you can rely on. Best of luck in finding your perfect house!

What Does Buying in a Time-Limited Event Look Like?

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Most of us know (or at least have a general idea) how the traditional house-buying process works. But what happens if you’re looking to buy in a time-limited event? Are things drastically different? Should you plan on walking up to the house with briefcases full of cash like something out of a Scorsese film?

The good news is it’s a lot simpler than you think, and many things stay the same. You have two options when it comes to time-limited events.

Time-Limited Event Option #1: Offer Before or After

One option that buyers have is to make an offer before or after an event takes place. In this case, you go through the same process as a traditional home purchase. Contingencies, home inspections, showings — it’s all the same.

But just as is true with the traditional process of buying a house, the seller can reject your offer. And in terms of financing, it’s good to note that certain loans (such as FHA or USDA loans) might not qualify for various properties. Any houses up for sale in a time-limited event that don’t meet certain requirements (like having lead paint or not having a working furnace) won’t be approved.

Time-Limited Event Option #2: Wait Until the Day Of

The day of the event, you can place a bid and submit a letter of intent. On our site, this is found in the “documents” tab of the property. You’ll be able to see bids from other interested buyers. If your bid is accepted by the seller, you’ll buy the property as-is.

A few things to note:

You won’t get any inspections and cannot write any contingencies.

In a time-limited event, you’re purchasing the property as it currently stands. While you can schedule an appointment to look over the property before the event, you can’t get an inspection and you can’t back out if you suddenly see a ton of issues with the place. If your bid is accepted, it’s final.

Sellers choose which bid they want to accept.

In most auctions, the largest amount of money offered is the winning bid. The property will go to that highest bidder. This is not the case with a time-limited event.

In TLEs, sellers get to review the offers and have the final say (one of the many reasons a TLE is so beneficial for selling property). They might choose the highest bid, but they might also go with whatever seems like the best offer.

Based on the above scenario, you can see why a seller would be motivated to go for a lower bid price if it means less hassle.

Benefits to Buying in a Time-Limited Event

When buying with RealtyHive you gain access to:

  • A marketplace of motivated sellers
  • An opportunity for cash back at closing
  • A chance to purchase before auction event
  • The potential for an expedited closing process

Ready to get your feet wet? Look through our listings and place your bid (or pre-event offer) today!

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Top 5 reasons you NEED an Agent when buying a home

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Thanks to the internet, you can learn almost anything. While this is a great benefit, there’s a huge difference between knowing how to technically do something and knowing how to do it well. YouTube is filled with fail videos that prove the difference between knowing how to do something versus having the expertise to do it well. Buying a property is a much bigger commitment and investment than trimming your bangs, for example, but the consequences are similar. In either case doing it yourself can work out well or can cost you significantly more time, money, and heartache than you intended. Here are the top reasons to hire an agent when buying a home.

They Have Your Best Interest In Mind

The absolute best reason to have an agent assist you in buying a home is that they are licensed professionals who have a contractual obligation to put your best interests first. While an agent who is listing the property you’re interested in can draft up all the documents you’d need to complete the purchase, they are in fact, working for the seller. Having an agent working for you will mean that they are negotiating on your behalf and trying to do what is best for you, even if it results in a lower commission for themselves.

They don’t cost you anything

As the buyer of a property, you generally don’t pay anything for the using the services of your real estate agent. Property sellers are the ones who pay all agents in a transaction. Some sellers will price their home higher to account for these costs, but negotiating the final sale price is part of what an agent can do for you.

There’s a lot at stake

In most cases, buying real estate is going to be the largest, most expensive purchase you’ll ever make. How can you be sure you’re making the right choice and not getting suckered into buying a Money Pit home? What happens if you accidentally transpose the address and on paper, you just “bought” a home that the owner wasn’t selling? Having an agent representing you means that you’ll get sound recommendations on things like what kind of inspections you should have and who should do them and the errors and omissions insurance carried by real estate brokerages covers you in the event of a typo.

They do this every day

For most people, buying a house is a few-in-a-lifetime experience. The day you sign the closing papers will be a day you clearly remember, but for your agent, it’s likely just another day. While your agent will be excited for you, for them it’s business as usual, which is great news for you! This experience means they know how to handle unusual circumstances and they know what to look out for to make sure you’re getting a fair deal. In a straightforward transaction this experience might not seem that important, but this knowledge will be invaluable for situations that pop-up without warning.

They have tools you don’t

How do you know if a property is fairly priced? While the internet has some good tools for consumers to use, real estate agents have access to a lot of information that isn’t publicly available. They can tell you when the home you’re looking at was last sold and for what price, what comparable homes are going for in the area, and how this property stacks up. This can help raise red flags and let you know what to dig into more. For example, if the same home has been sold three times in the last two years or if a home sold for dramatically less than it previously had, you’re going to want to find out why.

Ready to get started? Find a top-rated local agent who will give you a cash back credit at closing by checking the newest RealtyHive program, Cashifyd.

What Do Real Estate Agents Do (And Can They Really Help)?

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You’ve got Zillow, Trulia, RealtyHive, and countless other online real estate databases these days. So what exactly is the point of a listing agent? Are they still relevant, particularly if you’re selling your house?

Spoiler alert: The answer is yes. But we’re going to dive into this topic with full transparency, weighing the pros and cons of hiring an agent.

Wait a minute — what’s a listing agent?

A listing agent is a real estate agent who works directly with sellers. A selling agent (more colloquially known as a buyer’s agent) works with people trying to purchase a home. Those who are new to buying and selling houses tend to use “real estate agent” as a blanket term. All the same, it’s good to know the distinction.

So with that being said, in a world where everyone seems to put their house up online, why should you consider working with a listing agent?

Listing Agent Pros

Agents have more experience.

Unless you also have your Realtor license, an agent has experience and connections that far surpass the average seller. They might know buyers’ agents who are helping someone find their dream home (and that dream home could be your current property). They know the region specifically in terms of selling a house, not just in a “this is where the grocery store is” type of way.

Agents can set the right price.

Knowledge of the region aside, are far more experienced in setting the right price. An appraisal tells the value of your property, but an agent knows how much it can likely sell for. They calculate other sold properties in the area to get you the most bang for your buck. 

Not to mention, they’re highly motivated to do so since they’re paid on commission. The more your home goes for, the more they get as well. 

Agents are like personal assistants.

Imagine a world where you never had to go through emails or make calls and someone else handled all the minutiae of your life. Now take this dreamy scenario and make it real by hiring a listing agent. Phone calls, paperwork, scheduling, house showings, stagings — the best listing agents are borderline superheroes for the work that they do.

Agents market your property.

Oftentimes, simply uploading house pictures that you took on your iPhone to a real estate database is not enough. Agents will actually market your property to ensure that it sells (and again, for the right price). Not having to worry about marketing saves you time and maybe even money — a proper marketing job might get you more on your home’s sale.

Listing Agent Cons-iderations

One thing to note — these situations might be cons for some, but pros for others. It’s up to you to decide if working with an agent is worth it. Take these “cons” as questions to think over. 

Are you OK with paying commission?

A lot of sellers are reluctant to pay a 6% commission to their listing agent. And, fair, you want to make as much as you can from selling your home.

That being said, many people think this is reasonable trade for the hassle of going the FSBO route. As we mentioned, you might get more for your home with the help of an agent than from flying solo. 

Is your agent doing anything that you couldn’t do on your own?

If you have a great agent, the answer to this is a resounding “yes!” A not-so-great agent and, well, you might be paying for something that you could have handled by yourself.

A way to find the answer to this question is to ask some questions of your own:

  • Do you know anyone who’s worked with a listing agent in your area? If so, would that seller recommend them?
  • Does your potential agent have a sound marketing strategy in place?
  • What’s their experience level?
  • Do they help with staging (great agents will)?
  • What can you expect from them (or what do they say you can expect from them)?

Can you take on some of the tasks but get help with others?

Sometimes you can work with low-fee or flat-fee agents who can do certain tasks (like draft up paperwork) but not everything. You could find someone who takes on the aspects of house selling that you consider least desirable.

If that’s more up your alley, consider working with RealtyHive. While we do have a network of agents, we understand that not every seller wants to go that route. We provide marketing for sellers and if your house doesn’t sell in a time-limited event right away, you don’t have to pay any fees. Whether you go with this option or are in search of an outstanding listing agent, we wish you the best of luck!

How Much Renovation Does Your Property Need?

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From healthy eating to getting enough sleep to certain yoga poses, we’re always trying to find the right balance. But in the world of home renovation, how much is too much? What is the “just right” amount, and how much should you expect to spend?

If you’ve debated renovation for awhile now (or have never thought of it until this moment), let this post serve as a guide to help you on your journey.

Type of Property

The amount of renovation (and the subsequent cost to renovate) depends a lot on property type:

When you’re the primary resident:

Your renovations might be the most substantial in this instance. After all, you’re likely living in your house for awhile and especially if you plan on staying for the next decade or so, it’s important to keep things current with the times.

The average homeowner spends nearly $50,000 on an entire home renovation. Here are a couple cost breakdowns for rooms that are most frequently remodeled:

RoomAverage Cost to Renovate
Bathroom$10,000
Kitchen$25,000
Basement$20,000

Keep in mind, these prices vary greatly based on where you live, but this is nonetheless a good way to start thinking about project costs.

When you rent out the property:

Your remodels will likely cost less than renovations for your own home. Tenants don’t want (or need) all the embellishments that you’d add to a personal home remodel. They’re staying temporarily, and they want to picture themselves in your property — too many details or renovations can be overkill.

Some common renovations to keep a rental property fresh include:

  • Installing new countertops
  • Replacing carpeting (or ripping it out entirely)
  • Repainting walls
  • Adding built-in storage or shelving
  • Refinishing hardwood floors
  • Putting in new fixtures

Each of these renovations helps maintain your property’s relevancy and, as a result, its desirability. They also add value to your home. But these examples also approach things more at a foundational level, ensuring your property lasts for years (and renters) to come.

When you flip the property:

Similar to renting out a property, you don’t need to go overboard on home renovations when flipping a house. For example, while you might dream of a steam room-type shower in your personal bathroom, this is probably too extravagant (and not cost-effective) for a house you’re going to sell.

That being said, you could end up spending more on remodeling when trying to flip a house. Since the point of flipping is taking a home that’s in poorer condition, fixing it up and making a profit, renovations for flipping houses are often more severe (and pricier). Here are a few examples of projects that are both costly and necessary:

Remodel ProjectAverage Cost
Fix cracks in the foundation$300-$600 for small cracks, $15,000+ for severe damage
Replace roof$8,000
Repipe house$4,100

Property Size & Older Homes

Condos and apartments will cost significantly less to remodel than full-scale houses (about $25 to $100 per square foot). Victorian and older homes usually cost more to fix up because they have more issues needing work. Depending on the extent of the remodel, you could pay double the price to renovate an older house than one built in the last 30-50 years.

We mentioned this in a previous blog, but don’t forget that you can get grant money to fix up older, historic homes. If the fear of lots of zeros following a dollar sign is holding you back, know that you might not have to pay as much as you’re thinking.

Area Where the Property Is Located

As we mentioned, your region drastically impacts how much you’ll pay for renovation projects. But area also impacts the amount of renovation you should consider. Remember, no matter if you’re selling down the road or trying to rent the place tomorrow, you want remodeling to be worth the price.

People living in tech-industry cities like Boulder or Austin will likely find higher rent (or high-priced listings) reasonable. The jobs pay higher, and cost of living is greater. If you upgrade your small-town, rural Ohio house to the point where the average person can never afford to rent or buy, you’ve gone too far.

When to Not Renovate at All

If your budget can in no way cover renovation costs and loan repayment is out of the question, if you’re at a point where it’s more cost-effective to sell than to fix everything, or if you need to move away faster than you can complete these projects, it’s time to sell. More specifically, it’s time to sell with RealtyHive. 

We take properties just like yours and put them in time-limited events. This encourages faster selling and takes the worry and stress out of your hands. Plus, you don’t pay any fees until your home sells! Look through our listings to get an idea of what we do, and sell with RH today.