Offer Accepted: Now What??

So you've submitted an offer on a house, and it has been accepted. Congratulations! Now, how do you make sure the deal closes on time, as painlessly as possible? If you have a good real estate agent, you can count on him to guide you through the process.
Visit my website's Lake Wylie area Preferred Service Providers to find recommended service providers. Read your purchase contract carefully, as it will contain key dates and action required. In general, though, this is what is required of the buyer:
1) If you're not paying cash, the first thing you need to do is apply for a loan! Loan application should usually occur within 3 days of signing the purchase agreement. It's best to contact at least three mortgage financing companies. The mortgage company is required to provide an "good faith" estimate of closing costs within 3 days of your application.

2) Select a closing attorney. Your real estate agent can send over required documentation that will be needed for the attorney to perform the title search and begin preparing closing documents. It is best to give the attorney as much time as possible, setting the appointment 3-4 weeks ahead of closing date. In today's market, loan applications can take a bit longer than they did a couple of years ago, especially for larger loans.
3) Schedule a home inspection, to be completed 2-3 weeks prior to closing. A home is one of the largest investments you'll make, so it is important to know everything you can about the condition of the house. If there are any necessary repairs or safety issues, you'll want to give the seller enough time to resolve these issues before closing. It is important to understand that "cosmetic issues" (paint peeling, worn carpet, rips in the wallpaper) are not required to be fixed by the seller, unless specified in the contract. Safety issues and other required repairs generally are the responsibility of the seller, unless otherwise specified in the contract (for instance, when a property is sold "as is"). You will want to attend the home inspection.
4) A wood-infestation survey (CL-100) is required by lenders. Some home inspectors can perform this duty, or can refer you to a qualified inspector. This should be completed 2 weeks prior to closing.
5) It is recommended that a survey of the property be made. The surveyor will verify property lines and make sure there are no infringements or other issues.
6) Occasionally there is need for a structural inspection, lead paint risk assessment (if property is built before 1978), well and septic inspections, or other environmental tests.
7) Your lender will set up an appraisal of the property.
8) Insurance: You will need to arrange for homeowner's insurance and let your lender know your provider information. Most lenders will pay the homeowner's insurance premiums out of an escrow account.
9) Home Warranty: Check the purchase contract for information about the home warranty. In some cases, the seller will provide a home warranty. For new construction, builders usually provide a year warranty. If no warranty is provided by the seller or builder, you may want to consider purchasing a home warranty to cover defects and repairs for a limited time.
10) Utilities: Contact utility companies a couple of weeks ahead of time to arrange services to be transferred to your name as of closing day.
11) Review HUD settlement statement: The day before closing, you should receive a copy of the settlement statement providing actual closing costs. You'll need to bring cash or a certified check covering the amount due from the buyer. Throughout the closing process, make sure there is good and timely communication between you, your lender, your real estate agent, and your attorney. Quick response to inquiries on everyone's part will help the closing go smoothly!
For all of your Lake Wylie Real Estate needs, visit my website. Sign up for free property updates, access buyer and seller resources, and explore homes and communities through virtual tours!

What to Look for in Waterfront Property on Lake Wylie

When in the market for waterfront property, the first rule to know is that all rules are out the window! Literally!

Evaluating a house or building lot based on “cost per square foot” or “cost per acre” just doesn’t work with waterfront property. Instead, property price is impacted by factors such as view, water depth and clarity, number of shoreline feet, whether or not a dock is allowed and the size of dock allowed, access to the property by water, shape of the lot, and neighborhood.

In general, waterfront property nestled in a cove is less expensive than a comparable property with a “big view”. Cove property, however, usually offers more privacy and more “calm water” for swimming. You need to decide what factors are important to you, and how much you’re willing to spend.

Restrictions play a big part in the price and use of a lot. Lake Wylie restrictions can be complicated considering that the jurisdiction of the lake falls under two states, three counties, eight cities or municipalities, as well as the federal Army Corps of Engineers and Duke Power. Depending on the area and jurisdiction, the buffer (required space between the lake and any building) may be 50’, 100’, or even 200’ from the 570 line.

Be careful not to make costly mistakes resulting from not knowing the lake or restrictions. For example, a lakefront home may have an outstanding view, but insufficient water frontage to meet minimum requirements for a dock. Or, a lot may be on a beautiful point with water on three sides, but because of set backs there may not enough room to build a house or install an adequate septic system. In another case, a property may be in an area of the lake that is shallow or has a shoal and difficult to maneuver when the water is lower than optimum level. Knowledge of these considerations is critical!

When buying or selling waterfront real estate, it is best to work with a real estate agent who specializes in lakefront property. An experienced waterfront agent will be familiar with the conditions in each area of the lake, will be very knowledgeable about Duke Power’s Shoreline restrictions, and will be able to guide you through each consideration unique to lake property. So when you’re ready, call in the specialist! Lake Wylie Waterfront Real Estate

Square Footage - Understanding What's Included!

When comparing homes that are very similar in style, location, and level of finish, it is helpful to use square footage as a comparison factor. Real estate listings qualify square footage in a variety of ways: heated square feet, finished square feet, heated living area, unfinished square feet, unheated square feet, just to name a few! Depending on the region of the country, the terminology varies even more. In Florida, for example, you may encounter ACSF (air conditioned square feet.) It can become a bit confusing!

There are standard real estate guidelines used by realtors and appraisers for defining and measuring square footage in a home. Advertised square footage in real estate ads or on the multi-listing service should adher to these guidelines. Knowing these guidelines will help sellers understand how their home is measured, and will help buyers understand what is included in advertised square footage.

First of all, Finished Living Area is space intended for human occupancy. It must be heated by conventional, permanent systems. (Portable heaters would NOT qualify.) It must have floors and ceilings made of materials generally accepted for interior construction. Finally, it must be directly accessible from another finished area. If you had a finished laundry room only accessible from the garage, for instance, it would not be counted in finished living area. An enclosed porch would not be counted unless it had a permanent heating system.

Square footage for a home is calculated based on exterior walls. If possible, one measuring a home would measure the outside of a home, then subtract any unfinished areas (such as an attached garage). Sometimes it is not possible to measure from the outside, and so interior measurements are made. In these cases, the standard is to add 6" for an exterior wall, and 4" for an interior wall to calculate total square footage.

To qualify as living space, the ceiling height must be at least 7 feet. Often in bonus rooms or A-frames, upper level rooms have slanted roofs. In this case, only areas with at least 5' high ceilings are counted, as long as at least half of the room has a minimum of 7' ceiling. Any portion of the room with less than 5' ceiling is not counted in living area square footage.

Hallways, closets, and pantries are counted if they are part of the functional living space. If the furnace, water heater, or similar items are located within a small closet within the living area, that square footage is counted. However, if the furnace, etc. are in an unfinished "mechanical room" in the garage or basement, that area is not counted in finished living area.

Unfinished square footage should include those areas that are under roof and could be finished out for additional living space. This definition usually includes unfinished basements, or unfinished rooms above a garage (as long as it is accessible by a permanent staircase). A garage should NOT be included in the "unfinished living area". Generally, unfinished square footage descriptions should be clarified in the "comment/remarks" section of a listing.

If you have questions about the square footage calculations used on a property, ask your real estate agent for clarification. Finally,remember that cost per square foot is just one measure. Level of finish, upgrades (granite countertops, whirlpool tubs, etc.), condiditon of the home, location and/or view, and other qualitative measures need to be considered as well.


For all of your real estate needs, visit Lake Wylie Real Estate for property searches, newcomer information, community links, and virtual tours.

Negotiating on a New Construction

Have you ever been in the market for a new home, and found one that was almost perfect, but not quite close enough? Perhaps the carpet or flooring wasn't quite what you had in mind. Or the light fixtures just weren't your style. Maybe the dining room was too small, and if you could just remove the wall and open it up to the living area, it would be fine.

The truth is, when you're buying a house, everything is negotiable! The builder may, if requested, be willing to make structural or cosmetic modifications to change the house to fit your needs. I've seen builders move walls, open up areas, add walls to separate an oversized bonus room into two smaller rooms, change the direction of staircases, and more.

Light fixtures? Easy. Add some built-in bookcases? Can do. Turn the deck into a screened porch? Why not. Add a basement? Well . . . that one might be tricky. Within reason, the builder may be willing to change things that you may think are fairly major. Of course, the cost to make the changes are quite negotiable as well. We're in a buyer's market right now. There are over 200 new homes on the market in Lake Wylie area alone.

While there are many homes to choose from, sometimes it is difficult to get everything you want: school district, yard size, bedroom configuration, neighborhood amenities. Decide what's most important to you. Then, when you find a house that is close to your specifications, don't be afraid to ask for modifications, if it makes the difference between "deal" and "no deal." Before you stop considering a home because of its "imperfections", have your realtor discuss any concerns you might have with the seller. Ask the builder if those hindrances can be overcome by modifications. Most builders, you will find, can be very accomodating!

It is very helpful to the builders to hear your feedback. They'd MUCH rather consider making changes, rather than have buyers simply disappear.

Visit my website for more Lake Wylie Real Estate Buyer Resources. You can also search for all real estate in Charlotte and surrounding areas. For all of your real estate needs, call on The Lake Wylie Man!

2008 Waterfront Sales - A Year in Review

What can we say? 2008 was a year to develop patience . . . patience as we recovered from a record-breaking drought, followed by what can only be described as a "crisis" in the mortgage industry, followed by crazy gas prices like we've NEVER seen before, followed by economic challenges that we haven't experienced in years.

Number of homes sold on Lake Wylie were down 43% vs 2007, and number of waterfront lots sold was off by 60%. Properties that DID sell stayed on the market twice as long as the average waterfront property sold in '07. Not exactly a year for a realtor's "brag book"!

And yet . . . even in the midst of storms, rainbows do appear. Did you know that of the Lake Wylie waterfront homes sold in 2008, twenty percent (10 homes) were $1 million+ properties? That's a record, folks! As a comparison, in 2007, MLS reported only 9% (8 homes) sold for over $1 million.

More good news - - with the drop in mortgage rates and price adjustments on some of the properties for sale, fourth quarter sales began to bounce back, doubling the number of waterfront properties sold in 4th quarter 2007!

Buyers have never had so many lakefront properties from which to choose. There are currently 175 building lots and 117 waterfront homes listed on MLS! There is a good selection of lots under $300,000, with the majority of lots listed for between $300k and $450k. Homes listed are at a nice variety of price points, from the "summer places" for under $500k, up to the waterfront estates over $1 million.

The lake looks gorgeous right now, with water levels at "full pond" and rain conditions back to normal. Gas prices are manageable, back to rates where people feel like they can take the boat out on a warm spring day without breaking the bank.

All in all, we're very blessed to live in such a beautiful place. Lake property will continue to be a solid investment and just a wonderful way to live. Please visit my website, http://www.thelakewylieman.com/, and see what's offered on Lake Wylie right now. Let me know if I can be of service to you!

David Coone

The Lake Wylie Man

For more blogs on Lake Wylie living, Lake Wylie real estate, and resources for waterfront homeowners, visit my website!

Waterfront Sales Update - December '08

A tough year for Lake Wylie waterfront real estate is drawing to a close. With economic uncertainty, wild stock market swings, and challenges within the mortgage and banking industry, we've certainly had a year like no other in recent memory!

Number of waterfront homes sold on Lake Wylie is down 45% vs 2007; vacant lot sales are down 64%. Currently there are listed 160 waterfront lots for sale on the Charlotte MLS, and only 17 listed lots have sold this entire year to date! Of those that have sold this year, most have been "premium" lots (priced over $400,000). In fact, the average price paid for a waterfront lot in 2008 was $417k- - quite a jump from recent years. This can partly be explained by a reduction in lots bought by builders for spec homes - - usually lots priced under $400k. Builders have had a tough time getting loans for spec property with the tightening of the mortgage market.

Waterfront sales for homes have actually seen an increase in average price paid as well - - up 10% from 2007. About 20% of the homes reported sold on MLS were priced over $1mm, the most ever in a year.

On the other end of the spectrum, many buyers have been "bargain hunters" in 2008. Excluding new construction, final price paid for waterfront homes in 2008 was just 83% of the original asking price. Foreclosures and short sales have definitely had an impact on lake sales

this year.

Buyers have been cautious, taking their time and looking at more properties. Internet activity on my website (buyers searching) has been strong, but there's no rush to commit. It pays to be ready on both the buying and the selling side, however. Great waterfront properties are always in demand, and when priced properly, they WILL sell. Several homes that have sold this year were on the market less than a month! Check out my website to see Recent Lake Wylie Real Estate Sales.

If you're in the market to buy or sell, let me know if I can be of service to you. Especially in these market conditions, having a waterfront specialist will make all the difference!

Thanks for reading my blog. Visit my website for advice on What to Look For in Lake Wylie Waterfront Property, Lake Wylie real estate search, and virtual tours for Lake Wylie property.

Lake Wylie Waterfront Sales Update thru 7/31/08

As summer begins to wind down, it’s a good time to take a look at what’s happening with Lake Wylie real estate sales. With all of the media headlines, it should come as no surprise that the waterfront real estate market is challenging this year! Despite the decline in sales overall, there are a few positive news items to report:

• Average price for homes on the lake are actually UP year to date: $834k vs $721k in 2007! (That doesn’t mean that the price on the average house has jumped 15%, by the way - - the increase comes from more sales at higher price points.)
• To date in 2008, eight homes have sold for over $1 million. That compares to six homes during the same period in 2007.
• 27% of waterfront homes sales were in the $1mm+ category in 2008 so far. In 2007, only 11% of homes sold had sales prices over $1 million. Likely explanation – the mortgage crunch is hitting the mid-market ($500-999) the hardest.
• Waterfront lot sales in new developments (Hands Mill, Somerset at Autumn Cove) are hitting the radar. Four lots have closed in Hands Mill, with a couple more pending. Several lots are pending sale in Lake Wylie’s new Somerset at Autumn Cove development.

Now that I’ve dazzled you with the good news, I’ll present the data that is not quite so rosy. In fact, year to date sales for waterfront homes are down 55% year-to-date, and waterfront lots are down 60%.

What we’re seeing on the lake this year, mainly, are “bargain hunters”. Aggressive price cuts are being seen both on and off the lake. I was driving through a new development (homes in the $400-$500’s) a couple of weeks ago, and signs were everywhere advertising “$50,000 price reduction!”. On the lake, homes this summer have sold for 84% of their original asking price. In some cases, homes were simply priced too high at first. In other cases, sellers needed to move the property.

During June and July 2008, 16 waterfront homes sold on Lake Wylie. Those homes had been on the market for an average of 217 days, and sold for 84% of original price. Contrast that with 2007, when 25 homes sold, 90% of original price, and days on market just 104.

For undeveloped waterfront lots, the story is much the same. Year-to-date, lots are selling at just 81% of original price, and have been on the market an average of 420 days, significant declines in performance vs previous year. Only two lots sold in June/July of 2008, for 75% of original price. The waterfront lot market has been affected by a cutback in sales to builders (as their current inventory is too high), tightening of the mortgage market, and general economic factors.

Conclusion? If you need to sell, price your property as aggressively as you can. It helps if you price it right coming out of the chute. Properties that sold for less than 90% of original price were on the market an average of 254 days. Properties that sold for more than 90% of original price were on the market just 104 days (less than half!).

If you want to buy, there are some excellent values on Lake Wylie right now. Call me or visit my website for a complete selection.

To read more blogs about Lake Wylie real estate, please visit my website, http://www.thelakewylieman.com/! Call David Coone at 803-493-2924

Source: Source for chart data: Charlotte MLS, sales as reported 1/1/08 thru 7/31/08.