These days, finding a really good mortgage seems like a daunting process.  With all the negative press surrounding the industry the thought of finding the best choice can be scary.  Your Summit NJ real estate agent won’t be able to give you legal counsel or financial advice, but he can point you to some excellent resources.  Here are a few to get you started.

HUD-Approved Counselors
Making an appointment with a HUD-approved mortgage counselor is a good idea, especially for first time home buyers.  Their services should either be very reasonably priced or free.  Don’t fall for any pay-up-front scam artists.  A counselor can walk you through the various types of loan and teach you about the pros and cons of each one.  He can help you understand concepts like points and closing costs as well as interest rates and how each one will affect your monthly payments.  It’s important to go into this process with a proper education.  A good counselor can provide it.

Credit Reports
Your credit score will be a major factor in determining what interest rate you qualify for and in some cases, what type of loan.  (Some lenders specialize in working with only high- or low-risk buyers.)  Knowing your score will help you judge your readiness to buy.  You are entitled to a free report from all three major credit reporting agencies once each year.  You can go to www.annualcreditreport.com to request your report.

Mortgage Brokers
You can go to your local branch bank and talk to a loan officer about a mortgage.  Most banks have several options.  However, all of these will originate from the same lender.  If you are turned down or do not get the rate you want, you will have to start over with another bank.  Shopping around this way can be time consuming and discouraging.  Mortgage brokers offer many different types of loan from a variety or providers.  You may be able to find a better loan without the hassle of crafting a new application or each one.  Ask around for references and try to find a local broker.  It’s best to work with someone who knows what is required in your particular area.

At the end of the day, the choice is still yours to make.  Use all the resources at your disposal to make an educated decision.  The best thing you can do is take the time to shop around, compare rates and features and learn everything you can.

When you think about it, what could be more obvious than realtors joining hands with an organization like Bridges for a clothing drive?!Bridges, a local non-profit organization founded in 1988 by suburbanites Geoff and Ginger Worden and based in Summit, NJ, supplies food, clothing and toiletries to the homeless taking shelter under the bridges of New York City, Newark and Irvington.   Home buyers and sellers alike are frantically looking to clear out their closets before moving, so what more logical service could we offer them than a place to drop their gently used but unwanted belongings and know that they will be safely delivered into the hands of the homeless in our area.  Bridges provides the vehicle for pick-up and delivery from our storage space at Claremont Corporate Center to their facility for sorting and then on to the homeless who can use the donations. If you would like to make a clothing donation to Bridges you can schedule your drop of with CRG by calling (908)343-2122. Clothing should be contained in a black garbage bag and labeled “BRIDGES”.  Please bring all donations during normal business hours to Claremont Realty Group’s office on the first floor of the Claremont Corporate Center at 535 Springfield Avenue and we will store in our basement for the next scheduled pick up/delivery.

Advice abounds about preparing a home for sale.  There is no shortage of information of how to get your primary residence looking good for the listings.  But is the process any different for preparing a rental or investment property for resale?  There are several similarities but a few differences as well.  Talk to your Summit NJ real estate agent about what your property needs.

Occupancy
When selling a primary residence you will likely be living in the home as it is being shown.  This means someone who cares will be there to keep the home looking livable but not “lived in”.  When you have a rental property, there situation can be drastically different.

In some cases the tenant still occupies the property.  Your tenant could be a meticulous house keeper or a total slob or anything in between.  You can’t count on a renter being as conscientious as you would be when the realtor is on the way.  If you have a smoker or a slob as a tenant you may need to wait until the lease is up and the tenant has vacated to show the property.  If you have a neatnik for a tenant, count yourself lucky and show him some appreciation (perhaps in the form of discounted rent) for the trouble of dealing with showings.

Cleaning
Cleaning takes on a whole new meaning when dealing with a rental property.  Not all tenants take care of their rented home in the same manner as they would one they owned.  Even “nice” people or “good” tenants can be a little careless.  A rental property will probably need a professional cleaning from top to bottom if you want to put it on the market.

Carpets should be steam cleaned, grout whitened and exteriors pressure washed.  You may need to apply a coat of primer to cover any wall or ceiling stains before painting.  Bathroom and kitchen floors can also be professionally steam cleaned.  Don’t forget to clean up the exterior as well.

Staging
Staging may be a touch more difficult when you are preparing a rental for sale.  After all, you won’t have your own furnishing to fill the space.  If your property is still occupied, it may be impossible to really stage the home for sale.  The best you can do is to ask the renter to straighten up and minimize the clutter.  If you have waited until the property is vacant, consider renting basic furnishing or hiring a stager to give the home a cozy feeling.

Your Summit NJ real estate agent can give you more advice about getting your rental property ready for the market.  Be prepared for some hard work.  It will pay off at the closing table.

Real estate has long been a good investment.  Wise investors have been including it in their portfolios for generations.  The recent changes in the market may have made investing in real estate work a little differently but that doesn’t mean it isn’t working.  Many investors are using the current climate to acquire even more real estate.  Your Summit NJ real estate agent can give you more details on how investing in real estate can benefit you.

There are at least two different strategies for investing in real estate and the market usually decides which is more profitable at any given time.  One strategy is short-term and the other is long or medium-term.  Each has benefits and draw-backs.

Short-term real estate investment, also called “flipping”, was very popular when prices were at their peak.  It was popularized on television and praised in the press.  In this strategy, one buys a low-priced property then makes improvements quickly and resells.  The timeline must be very short to avoid paying out more in mortgage payments and construction than can be made in profit.  Typically, the turn-around between buying and selling is between a few months and a year.  Some properties can take up to two years to complete and resell and still be considered short-term investments.

Flipping makes a good strategy when the initial buying price is quite low and there is a good market for the end result.  Construction cost cannot be allowed to exceed the budget or they can eat away any potential profit.  In any market where inventory is high, flipping is a risky investment.  When inventory is low, it can yield an excellent payoff.

Medium-term or long-term investing is a “buy and hold” strategy.  Long-term investors may own rental properties or vacation homes.  A primary residence can be called a long-term investment as well.  Usually, at least 5 years is required to cover enough of the expenses to make reselling a profitable endeavor.

Making money from a long-term investment requires patience.  You may have to wait through a few bad years before finding the best market conditions for selling.  However, during that time most investors are able to enjoy the property themselves, whether it is vacation property or a private home.  The biggest risk in long-term investing is in choosing a property that will appreciate in value over time.

Investing in real estate may still be a good idea, but it’s not a strategy to be taken on without help.  An experienced Summit NJ real estate agent can guide you to the investment that’s right for you.

Once you’ve decided to make the jump into real estate investment, you may find that you need some help.  Your Summit NJ real estate agent will be able to guide you toward properties that will make good rentals. However, finding renters may be harder than you think.

There are a number of factors that make a good renter.  It’s not always easy to find these qualities on your own.  As an independent landlord, you may not have the time or resources available that will sift out the good applicant from the bad.  You’ll need to have a carefully written contract, perform a background check and secure at least a few references.

Many property owners find this process to be daunting and time consuming.  For this reason, they choose to employ a rental agency to take care of all the details.  If you intend to use a rental agency, make sure you’ve chosen one that is trustworthy and will be able to fit your needs.

Check References.
When you choose your Summit NJ real estate agent, you probably asked around for references.  You checked with coworkers, friends and family to see who had good experience and who was not happy with their realtor.  You should do the same thing with a rental agency.  Talk to both owners and tenants so you get a full picture of their services.  Ask for references and call them.

Know your Needs.
Some agencies specialize in long-term rentals while others solely serve owners of vacation properties.  Still others so double duty and serve both needs.  Be sure you are choosing the right type of agency for your property.  The agency you choose should have experience in the type of rental you own or are planning to buy.  You don’t want to be the guinea pig for a start-up operation or an expansion.

Understand the Fees.
If an agency is securing, screening and checking the backgrounds of potential renters plus collecting rent and taking care of maintenance they will naturally expect to be compensated.  Make sure you’ve discussed their fees and services and are satisfied that the charges are fair.

Stay Informed.
Many property owners make the mistake of assuming the rental agency is taking proper care of their property, renting to only the best tenants and charging only necessary fees.  They sometimes get a nasty surprise when they decide to sell and find the condition of the property has become deplorable.  Don’t fall into the trap of complacency. Check up on your property and keep an eye on the bills.  A service call or two is expected but if the same item keeps showing up month after month they could b e padding the bill.

Real estate can be a solid investment.  A rental property can help subsidize your income and give you a nice nest egg for retirement.  Be sure you leave its management in capable hands.

Claremont Realty Group joined 10,000 walkers and runners in North Jersey’s Susan G. Komen RACE FOR THE CURE on Sunday, April 26th in Essex County’s Branchbrook Park. Claremont Realty Group and their team, THE PINK WARRIORS raised $13,530.00 for the cause!

CRG’s race participants include from left: Nekki Robinson, Toni George, Kristin Balsley, Bill Webster, Janet George, Katy Roessle and Liz Parcells; missing from photo is Debby Prinzen.

Green living is at the forefront of the minds of many these days, even those buying new homes. From trying to decide whether your neighborhood association might allow solar panels to carefully evaluating your carbon footprint, buying Short Hills NJ real estate may mean making a fresh start, ecologically speaking. Luckily, this area is one of the most environmentally responsible in the country.

A recent Summit NJ Recycling Advisory Board Meeting only serves to demonstrate the area’s overall commitment to the cause. Over the course of bi-monthly meetings for the last three years, a myriad of programs have been implemented to help make the area a bit greener. From extensive Earth Day programs to recycling cans sponsored by city merchants to the famed Green Fest events, the board is attempting to change the way Summit and the surrounding areas look at their impact on the earth.

Even the public library is getting in on the act. By hosting energy expert Dr. Phillip Eisner to discuss the “Science of Sustainability,” not only can the community learn more about what’s currently being done, but also what should be done to make certain both new and old residents are continually working to build a better future.

As you select the right Summit NJ real estate to meet your needs, maybe it’s time to think about your carbon footprint as well. What can you do to pitch in?

Claremont Realty Group has joined the PINK WARRIORS team for the Susan B. Komen Race For The Cure 5K on Sunday, April 26^th, in Essex County’s Branch Brook Park, Newark. An expected 15,000 people will participate in this event to fight the battle against breast cancer.  You can join us or contribute to our team by going directly the PINK WARRIORS link on the Komen website and see our team’s progress! Or click here to view our teams progress!!