Las Vegas Real Estate Questions Episode #220
Hello! Welcome to Tod Miller TV. I wanted to go through some of the questions you had submitted. I get to see the questions when you go into search engines type it find my Blog, so I know what people are looking for. So I wanna kinda hit on these, this will give you a feel for what other people are looking for and maybe answer questions you have about Real Estate in Las Vegas. So the first question that came up was: Do I need a Las Vegas Real Estate agent to buy a house? The answer is No, you don’t. You can always just go right to a seller, for sale by owner, you can go right to a listing agent, you don’t have to have a buyer represent you. Others/Generally no cost to that. And usually we find it, you save money when you go to an agent. ‘Cause there’s usually a very small fee you have to pay. They get a commission pay from the seller and then you get someone to negotiate they knock off a bunch of things that the seller’s gonna try to stick you with, tell you it’s all normal when it’s not. The realtors know that so we get it all knocked off and as usually, makes it hassle free for you, that’s the goal at least. Second question is, Las Vegas Real Estate market outlook. Now, the outlook for the LAs Vegas Real Estate market is declining inventory, rising prices. Rents, Starting to weaken a little because a lot of investors have come in but properties are all competing rent those out. So we’ll just see how it plays out. More inventories comes in, prices go up enough that it stabilizes the inventory builds back up. But it’s just definitely subscribe to the blog, I do a market update every month, you’ll be able to get a feel for what’s going on. I’ll go through all the numbers, it’ll be pretty good. Real Estate agent’s code words. These came from freakonomics, the KKK is like a group of Real Estate agents because they saw the word charming on a listing and it was an ugly house and they said it’s a code word. It means that the seller will take $10,000 under list price. No, there’s no such thing, there’s no code words, it’s just called puffing. It’s something in the indutry we use. We don’t have anything nice to say about a house, we just create these terms and it’s important. It’s not misrepresentation. It’s aloowed. We don’t say it has 4 bedrooms if there’s 2, what we say is it’s cute or whatever ’cause we’re trying to nicely describe the house is some way. So, it’s a marketing thing, it’s allowed like licensing, states, it’s done everywhere. Standard practice and so nothing going on there. How to find a good short sale agent in Las Vegas? The best thing you can do is find somebody who’s done a lot of them. They have experienced with all the different banks and that’s you know, if they’ve done 3 or 4 then you give them bank b and they’re like “Oh, I’ve never worked with them” They’re like starting all over from scratch. Something who’sa done 50, 60 or a hundred, they are familiar with all the banks and thy can, they’ll be able to help you out the best with a short sale. Can you hire an attorney in Las Vegas for a short sale? The answer is you can, but they can’t/unless they have a real estate license they are not allowed by law to negotiate the short sale. They’re also not allowed to list properties in the MLS if they’re not a realtor. So they have to be a realtor and have a real estate license. A lot of law firms are out there are collecting upfront monies, they don’t care if you ever sell because every month they’re collecting funds from you and I did some videos with Ryan Alexander, we talked about this, you can go back and watch those videos. But you can but they have to meet all those criterias. Realtor and have a Real Estate license. Okay? Can you ask the bank for upfront cash for cash for keys? So, what the question is asking is, if you get foreclosed and then you want the relocation money first, and then move out 30 days later, they’re not gonna do that! Because what if they give you the money and you don’t move out? They have to affect to you. This is the way it works, you move out, the house is completely empty, the agent calls and say it’s completely empty, and they either send you the check, you go to a law firm, you pick it up, or you have to go back to the agent’s office and get the check. You’re not gonna get anything upfornt until the house have been turned over, keys have been handed over. Can I buy a flip with an FHA Loan? The answer is, you can! But there’s a 90 day restriction so if the property was flipped and you wanted to use an FHA loan, it just has to be 90 days from the original purchase. So/and that rule’s gonna end here pretty soon. So it’ll/that’s a short time frame, it’s a general rule it’s longer, I think it’s 6 months or a year. But with an FHA Loan, if the property was bought January 1st, you wanna close March 1st and it was a flip, it’s not gonna happen. You have to wait until 90 days have passed. Do Las Vegas Realtors charge Fees? Well here’s the simple way to put that, the average commision that was paid 6 years ago was 11 thousand dollars, the average commision today is about 3 thousand dollars. So what Real Estate companies have decided to do is charge the client, either the seller or the buyer in addition to a negotiated amount for commission an negotiated amount for some transaction fee, upfront fee, it’s commission. Nomatter what they call it, it’s commission. The answer is Yes! About every transaction we see the buyer is paying their agent some amount, we do it here, pretty much everybody does it. It’ a cost of doing business, and just a result of prices in the market mainly. Probably go away as prices go up. Next one, Las Vegas Real Estate investment homes outlook. Got this one a couple times, the outlook is prices are going up. And rents are softening so the people who bought last year, you bought in 2011, you scored. I mean you really have made out. You can till make money going forward we’re still better than a lot of markets. We’re still better than most markets. But what’s happened is people are now hearing the stories of other people who have made money and now they’re jumping in, and I predicted this 8 months ago. I called this, look at the older video, I said this was gonna happen, invetories’ gonna go down, prices’ gonna go up, and everyones’ gonna jump on the bad wagon. Bad wagon as soon as positive new came out. The very last one, how did most people become milionaires during the great depression? Well, they became millionaires because of Real Estate. They bought Real Estate and held it. They didn’t flip houses. Not saying you can’t flip houses and make money. We’ve been doing that for a couple of years with client and they’ve been doing great. But they bought because it was cheap. You know when the economy was bad, people sold land and sold things to get money and they sold it in discount. Peope bought them and waited for the economy to come back. Real Estate is a great long term investment. There were some statistic that if you look at the stock market over the like the last 70 yearsa and look at the Real Estate market, there were only 2 times when you went like 5 year periods where the real estate market has hit you and lost money if you were collecting rent and doing all that, and there were number of time in stock market when you couldn’t get the same return. The other thing is it’s a much safer investment because it tends to appreciate versus stocks which can go completely out of business and you can have a zero residual value. Home prices could go down but there almost never a zero residual value for real estate. It’s always worth something. So anyway, those were the questions, I wanted to share them with you. If you do have a specific thing you want to search and you’re looking at the blog, what you can do is, on the blog there’s a search bar. If you just type in some words like Homepath Loan, or flip houses or something, all the videos where all those words were said in it will show up and then you can watch those videos. So it’s kind of a cool way to kinda get some information and just, anyway, So that is my update for today and I hope to see you on another video, Thanks!