Metro Detroit Relocation tips

 Whether you are moving to Metro Detroit, out of Michigan, or just in state it is stressful if you are not prepared.

1. Get rid of things you don't want to move.  No sense moving items that will stay in boxes for years.  No sense paying to move stuff to have it sit in a box.  Have a garage sale or give it too charity.  You will get a tax deduction for those items.
2. Get lots of boxes before hand.  Go to your local fruit market or buy them at the local moving store. Get lots of packing materials.  If you have breakables you never have enough old newspaper.
3. Get organized.  Get large colored markets or colored tags so you can mark boxes where they can go.  For example Red tags for kitchen, blue for the kids bedroom, orange for the living room.  Label the boxes with what is in them.  Label them on the top and one side so you can see what's inside from anywhere.
4. Take valuable papers, valuables, electronic chargers, and any other important paper work with you.  Don't pack them in the moving truck.  Anything that you might need before the truck arrives.  Some of the things you might want to take with you ................your phone book with all your new important phone numbers, home closing papers, check books, bank account info, new school information, etc.
5. If you have pets, pre-plan where they are going to stay, or how you are going to travel with them.  Do they need updated shots?  Do they have id tags?  Do you have their lease, food, dog bowls, and collar in your car?
6. Have you contacted the new school for what is needed for your kids?  Get their shots updated for the new school.  Have their school transcripts with you.
7. Make a list of all the things that need to be done.  A Things to do list and when they need to be done will make your life easier.  Triple space the list so you add more things to do between.  Don't be afraid of redoing your list.

Buying Metro Detroit real estate or selling a Michigan home is crazy enough without adding moving to it.  Every preparation you can make before hand will help make your Metro Detroit Home move  a breeze.

My thought of the day is

"The secret to a genuinely peaceful world is within us.
We can make it so, if we all start now.
Right now, pledge to do acts of kindness each and every day
Be gentle, kind, caring, and loving
Always smile. Laugh!
Learn. Teach. Above all, be patient.
Share, be part of a team, and be fair.
Listen. Sing. Play. Be the music.
Hug someone.
Remember the ultimate goal of true unity...
And the world will live as one."

Amanda Beadle written in the 10th grade 

I got a call today from a home buyer. He was looking at million dollar lake front homes.  He had cash money.  But he wanted to offer $500,000 on the home.   What are you crazy?  You are going to be wasting your time.  You don't want to insult the seller so he won't negotiate at all.  You want to buy the house right?

Here are the latest statistics on 10 Metro Detroit lake front homes in the million dollar to 1.5 million dollar range in the last six months

Listed price                         Sold Price

1,150,000                         1,060,000

1,169,000                         1,169,000

1,250,000                         1,175,000

1,350,000                         1,125,000

1,098,000                         1,080,000

1,199,900                         1,075,000

1,995,000                         1,500,000

1,595,000                          1,300,000

1,500,000                         1,305,000 

1,950,000                         1,400,000

I haven't seen anybody accept a 50% below offer.  If you notice the above prices most of the homes went for about 10% or less.  There are a two that went for 25% & 27% less. 

As your buyers agent I will put in whatever offer you want on a home.  But if you look at the statistics of all the latest Metro Detroit lake front homes none sold for less than 27% off.  So you would be better to put in a 35% or 37% below list price offer if you are trying to steal it.

Many of the other buyers would have just laughed at you.  50% below offers will not get the home you want.  If you want a Metro Detroit home ( whether it is lake front or not, or $100,000 or $1,000,000) sometimes you may have to pay a little more than 50% off the listed price.

My thought of the day  

Simple Friends and Real Friends

When buying Metro Detroit Real estate it is important to look at the basement.  When looking at Michigan foreclosures it is especially important because they sometimes steal parts of the house.  It is not unusual for furnaces, water heaters, or copper plumbing to be missing.

Here are some items to look for:

• Is there standing water?
• Are there stains on the ceiling tiles?
• Is it copper or galvanized plumbing?
• Is the furnace there?  Has it been updated? Or is it old? 
• What is the electrical panel like?  Is it fuses or electrical breakers?  How many amps is it?  Is there room in the box to add a circuit?
• Is the water heater there?
• Are the basement windows block windows or glass?
• Is the basement walls block or a poured wall?  I believe a poured wall is a better basement.  It is easier to fix cracks and rod holes in a poured concrete wall.
• Is there evidence of water leaks on the wall?  Is paint bubbling or peeling?  A sign of water leakage?  Look at paneling or wood work to see water stains.  Are any woodwork that is warped?  Again a sign of water damage
• Is there mold in the basement?
• Is there a sump pump?
• Has the basement been recently painted?  May be a way of covering up old water stains.
• Are there floor tiles loose and coming up?  Sometimes this is a sign of water leakage
• Does it smell musty or moldy?  If it smells that way it may have mold or water isssues.

 Mold on drywall.

Sometimes basements are drywalled, paneled, or painted that covers up signs of water damage.  Look for other signs like a fan plugged in. 

So when buying a metro Detroit home check out the basement carefully and be sure to hire a home inspector.  The $300 or $400 cost of a home inspection will sometimes save you thousands 

Michigan Property tax information

When closing on Metro Detroit Real Estate you will notice on the first page of the HUD Settlement paper (the page with all the numbers) tax pro-rations

The tax pro-rations are the money the buyer owes the seller for the unused portion of Michigan property tax that the seller has paid.   In Michigan Summer tax bill is sent out on July 1 and the Winter tax bill is sent out on December 1.  In most Michigan counties the summer tax bill is the bigger bill.  In most Michigan counties the tax bill is paid forward.  So the winter tax bill is paid on Dec 1 2007 and covers from Dec 1 2007 until Nov 30 2008.

To explain this easily lets say the summer property tax bill is $2400 and the winter property tax bill is $1200.  Let's say we are closing October 1 2008.  So the seller paid the summer tax bill ($2400) as of July 1 2008.  So breaking it down each month  is $200.  (2400 divided by 12 = $200)  So if the seller paid the in July and we are closing in October, the seller will have used up  3 months of his money ( July, August, September)  So the buyer owes the seller 9 months of the unsed summer tax money.  9 months times $200 = $1800

The Michigan property tax pro-rationsfor the winter tax is figured the same way.  The seller paid the winter tax on Dec 1,2007.  So the seller has used up taxes all the way to October 1,2008.  So the Seller used Dec, January, February, March, April, May, June, July, August, September.   So the seller has used up ten months.  So the buyer only owes the seller 2 months of the unused taxes.  So the winter tax bill was $1200 divided by 12 months = $100 a month.  So the buyer owes $200 for the winter property taxes.

So the total Michigan property tax pro-rations the buyer owes the seller as of October 1, 2008 is $1800 (summer tax) and $200 (winter tax) for a total of $2000.

For more on closing costs, Michigan mortgages,  Metro Detroit mortgages, or fighting your Michigan property tax assessment, understanding your Michigan tax bill

Are you looking for the best home deal?

Dollar for dollar I am seeing colonial homes going for some great prices.  A 1000 square foot ranch in many  Wayne County and Oakland county cities are still fetching $125 -150,000.  Though in cities like Dearborn Heights, Garden City, Redford, Garden City and Westland MI you can find ranch homes for less.  In some cities you can find bargain Metro Detroit ranch homes 900 -1000 square foot as cheap as $70,000.

Colonial homes in many cities are a steal.  The question for you is can you afford to move up to a higher price range.  Most Metro Detroit colonials start in the 1700 square feet range.  I am seeing bargains up to the 3500 square foot colonial homes.  Today I was pricing out a clients home.  I was looking through recently sold Farmington Hills colonial homes.  The range I was looking at was 2600 -3000 square feet.  Here are some of the bargain Farmington Hills colonials I saw:

•  2900 sq ft Farmington Hills foreclosure that sold for $220,000
• 2868 sq ft Farmington Hills foreclosure that sold for $207,000
• 2793 sq ft fully updated Farmington Hills colonial home for $270,000

Here is a Metro Detroit colonial home that had an updated kitchen, updated bathrooms.  A beautiful Farmington Hills colonial.  A colonial that was completely updated and ready to move in for less than a $100 a square foot!  Now that is a Metro Detroit real estate bargain!

You can find bargain colonial homes in Canton,  Livonia real estate, and even in Plymouth Michigan

Feel free to search over 60,000 Michigan homes for sale or email me  to get your personalized list of Metro Detroit Foreclosures  info@RussRavary.com