Developers plan for Kennewick's Southridge area

By Kristi Pihl, Tri-City Herald

Published Sunday, Feb. 19, 2012

Stan Nuxall Jr. stands Thursday near the site where he is developing Villas Verde, or “Green Homes.” He plans to build 61 villa-style townhomes with stucco exteriors and some native landscaping on the southeast corner of 27th Avenue and Ely Street in Kennewick. See story this page

KENNEWICK — Where shrubs and grass now grow, Stan Nuxall Jr. sees 61 villa-style townhomes, with stucco exteriors and some native landscaping.

Nuxall is developing Villas Verde, or "Green Homes," on the southeast corner of 27th Avenue and Ely Street in Kennewick with the goal of providing homes for retirees.

Plans for new homes similar to those at Villas Verde seem to be sprouting up in Kennewick.

The city has received three applications for new subdivisions in the first two weeks of the year. Last year, six projects were proposed, said Evelyn Lusignan, Kennewick's customer service manager.

With the new development and shopping options at Southridge, the area has grown into a good spot for new homes, Nuxall said.

South Kennewick is where available land is, said Rene Dahlgren, Home Builders Association of Tri-Cities director of government affairs.

Residential and commercial development goes in waves, she said. The area has a new sports complex, and Kennewick General Hospital plans to build a new hospital in the area.

New home permits were down in January compared with last year, but the national and state housing markets have been picking up, and Dahlgren said builders expect the Tri-Cities to exceed those markets.

Villas Verde will be built in groups of three and four, Nuxall said. Most are likely to be one-story.

Nuxall said he will participate in Energy Star and the Home Builders Association of Tri-Cities "Built Green" program.

The townhomes will be near Canyon Lakes Restorative & Rehabilitation Center. And Nuxall said he hopes to attract some couples where one spouse is living in the townhome and the other in assisted living.

He hopes to have the dues for the homeowners' association to be the lowest in the Tri-Cities. The dues will pay for maintenance.

The homes will be affordable, but the exact prices have not yet been set, he said.

Fireball Investments will own the land and develop it, and Green Plan Construction LLC will build the homes. Nuxall's company, SL Nuxall Real Estate Services, will market the properties.

Villas Verde will go before the city hearing examiner on April 9 for preliminary plat approval.

Nuxall said he hopes to have the roads and first homes go up shortly after city approval is received.

Nuxall will build some homes on speculation but he also said he hopes for presales, where homeowners can pick their own floor plan and lot.

Not too far from the future site of Villas Verde, a cherry orchard on the corner of 45th Avenue and South Ely Street will be replaced with 120 new single-family homes.

Owner Dale Ross has been finding it too difficult to operate the small orchard inside city limits, said Dave Retter, Windermere Real Estate/Tri-Cities owner and broker.

Cherry Creek Estates will be along the lines of Shadow Run on 36th Avenue and Ely Street and Pheasant Run on Vancouver Street and 27th Avenue, projects that Retter said Windermere Real Estate/Tri-Cities worked on with other developers.

J-U-B Engineers of Kennewick is also involved in the Cherry Creek Estates project.

South Kennewick is a great location, with the businesses and restaurants that have opened at Southridge, Retter said.

The 33 acres are the last large piece of dirt available in that area of Kennewick for development, he said.

Cherry Creek Estates will have homes that likely will be attractive to move-up and first-time home buyers, Retter said. They hope to have homes priced between $185,000 to $275,000.

The project is scheduled to go before the hearing examiner March 12.

The soonest Retter expects the project to break ground is in late June. The first homes won't be available until late this year or early next year.

The builders for the project have not yet been chosen, but there likely will be between three to five, Retter said. The subdivision might be completed in five phases.

Presales will be available sometime this summer, after city requirements are met and the prices are determined, he said.

Windermere Real Estate/Tri-Cities agents have been seeing homes go under contract for sales at a record pace this month in all price ranges, Retter said.

"I think there has been a pent-up demand," he said.

Cherry Creek Estates is one of six applications for new subdivisions in Kennewick that came in last year, Lusignan said. Cherry Creek Estates and the three subdivisions from this year are being reviewed by the city before they head to the hearing examiner.

After the city hearing examiner gives pre-plat approval, developers put in the required utilities and streets, she said. Then the subdivision heads to Kennewick City Council for final approval.

The other two new subdivisions proposed in Kennewick are:

* Southcliffe, 408 single-family homes on Sherman Road in the Thompson Hill area, by developers Milo Bauder and Grant Young.

* Grandridge Meadows South, 24 single-family homes proposed by Monogram Homes north of Clearwater Avenue near the future expansion of Steptoe Street.

Read more here: http://www.tri-cityherald.com/2012/02/19/1832376/developers-have-big-plans-for.html#storylink=mirelated#storylink=cpy

Bargain hunters boost home sales

By The Associated Press

Published Saturday, Feb. 11, 2012

SPOKANE -- Sales of existing homes in Washington rose in the final quarter to 2011, but prices continued to drop.

A report by the Runstad Center for Real Estate Studies at the University of Washington found the rise in sales reflects bargain hunting and the large number of distressed properties in lower-priced neighborhoods.

Sales of homes were 9.6 percent higher than in the fourth quarter of 2010, the report found.

But the median price was down 8 percent from 2010, to $219,700. That's the lowest fourth-quarter price since 2003, when the median was $205,700.

"The 2012 market will continue to challenge sellers trying to preserve their equity," said Glenn Crellin, associate director of the center.

The low interest rates would ordinarily have created a much stronger real estate market, Crellin said. Rates in the fourth quarter were the lowest ever recorded, he said.

Low prices and interest rates did mean that housing affordability indexes reached record highs for the eighth consecutive quarter, he said.

Home prices were up in the Tri-Cities last year. The average sale price last year was $200,291, up from $196,833.

In Washington's urban counties, the greatest quarterly gain in sales was 17 percent in Snohomish County, while the greatest decline, 9.7 percent, was in Cowlitz County.

The biggest year-to-year drop was 13.5 percent in King County; the smallest was 2.5 percent in Kitsap County.

In nine rural counties, median prices increased from the closing quarter of 2010.

"This indicates that the housing market is uneven, with some areas, or neighborhoods, seeing price stabilization, while others have many distressed and foreclosure properties," Crellin said.

In November, there were more than 76,000 Washington homes with mortgage payments at least 90 days past due. That's enough to feed the housing market for three quarters, Crellin said.

Read more here: http://www.tri-cityherald.com/2012/02/11/1824570/bargain-hunters-boost-home-sales.html#storylink=mirelated#storylink=cpy

The hunt for homes is on in the Tri-Cities

By Kristi Pihl, Tri-City Herald

Published Saturday, Mar. 24, 2012

Bob Brawdy/Tri-City Herald - Hillary Templin, a real estate broker with Coldwell Banker, points out features of a home under construction in Southridge Estates on Friday to Michelle Mainwaring, middle. Her mother, Sandy Mainwaring, left, and Michelle Mainwaring’s son, Caleb Hamilton, 14, also join the tour. The family stopped at an open house of a model home Templin was showing and she walked them to the nearby house so they could view the floor plan. Local real estate agents say they are noticing more people coming to open houses. See story below.

More Tri-City families are starting to get off the sidelines and hunt for new homes.

Area real estate agents said more buyers are checking out homes during open houses than they have seen in a long time.

The nationwide rebound of the housing market helps increase the confidence of Tri-Citians and makes them more comfortable about making a decision about the size of a new home, said Dave Retter, Windermere Real Estate/Tri-Cities owner and broker.

There is more optimism from buyers, real estate agents and builders, said Paul Roy, Tri-City Association of Realtors past president.

All the economic indicators seem to be showing that the nation is on an upswing from the recession.

There is some pent-up demand from buyers who took a wait-and-see stance, said Roy, managing broker with Coldwell Banker Tomlinson Associated Brokers of Kennewick.

Some Tri-Citians who have been living in apartments waiting for their homes in other areas to sell are selling those houses, Retter said.

Real estate agents also are seeing some of the types of buyers -- move-up buyers and upper-end buyers -- who have been missing from the Tri-City market in the past three years, he said.

The area needs a variety of people looking to buy new homes to be healthy, from first-time buyers to retirees looking to downsize, Retter said.

First-time home sellers are like the beginning of a domino effect, Roy said. Their decision to sell their home and buy a new home gives first-time home buyers more choices, and it lets the seller of their new home have the same chance to move up to a new home.

"Last year we were very optimistic. This year we are seeing the reality," Roy said.

There were 326 homes sold during January and February this year, compared with 330 sold in the same two months of last year.

The average price is up to about $203,400, compared to about $198,400 during the same months last year, Retter said. That's a combination of the value of homes going up, and some higher value homes being sold.

The median sale price is about $184,400, which means an equal number of homes have been sold for more than $184,400 and for less than that amount, he said. Last year, the median was $175,000 for January and February.

That is one of the highest medians seen recently, and is a good sign, he said.

There were 1,152 homes on the market in Kennewick, Richland, West Richland and Pasco earlier this week, Retter said. That compared with about 1,212 in October, and is a fairly good number for the cities.

Carol Bird, Tri-Cities Realty Group co-owner, said she is seeing more new homes where contractors have the land and then the buyer picks the home that will be built on the lot. It can take at least 90 days for the home to be finished.

In general, buyers are looking for new homes rather than older, existing homes, she said.

Bird said she thinks the local real estate market will stay fairly stable this year. Interest rates still are low, and that can make the difference on what home a family can afford.

While home sales remain similar, the number of building permits issued for new homes in the Tri-Cities is about 30 percent lower than those issued last year.

In January and February, 157 building permits were issued, compared to 222 during the same two months in 2011, according to the Home Builders Association of Tri-Cities.

Rene Dahlgren, the association's director of government affairs, said she is not sure exactly why fewer homes have received permits so far this year.

Pasco issued 46 permits for new single-family homes in January and February, compared to 82 during the same months last year. Dahlgren said she expects the city's consideration of school impact fees caused some builders to look elsewhere.

The next few months will be telling in how the year will shape up, she said.

"I really expect it to even out for the most part," Dahlgren said.

Roy expects home prices to increase as the economy improves. And he said he would encourage buyers to take advantage of the low interest rates now, since those rates will rise as the economy improves.

"Now is the time to get out there," Roy said.

Read more here: http://www.tri-cityherald.com/2012/03/24/1877504/the-hunt-for-homes-is-on-in-the.html#storylink=mirelated#storylink=cpy

On the Market: Is This the Time to Buy?

On the market: Is this the time to buy?: MyFoxBOSTON.com

Home Sales on the Rise: Ready for Spring Buying Season?

DAILY REAL ESTATE NEWS | THURSDAY, FEBRUARY 23, 2012

Existing-home sales rose 4.3 percent in January to a seasonally adjusted annual rate of 4.57 million, marking the third gain for home sales in the last four months, the National Association of REALTORS® reports.  

“The uptrend in home sales is in line with all of the underlying fundamentals – pent-up household formation, record-low mortgage interest rates, bargain home prices, sustained job creation and rising rents,” NAR’s Chief Economist Lawrence Yun says.

While sales ticked up, inventories of for-sale homes also continued to show improvement, NAR reported. At the end of January, total housing inventory fell 0.4 percent to 2.31 million existing homes for sale, which represents a 6.1-month supply at the current sales pace. 

“The broad inventory condition can be described as moving into a rough balance, not favoring buyers or sellers,” Yun says. “Foreclosure sales are moving swiftly with ready home buyers and investors competing in nearly all markets. A government proposal to turn bank-owned properties into rentals on a large scale does not appear to be needed at this time.”

Unsold listed inventory has steadily dropped since reaching a peak of 4.04 million in July 2007. It now is 20.6 percent below where it was a year ago, NAR reports. 

Housing Affordability Improves

As home prices have fallen and mortgage rates at all-time record lows, housing affordability is at some of its highest levels on record. 

“Word has been spreading about the record high housing affordability conditions and our members are reporting an increase in foot traffic compared with a year ago,” says NAR President Moe Veissi. “With other favorable market factors, these are hopeful indicators leading into the spring home-buying season. We’re cautiously optimistic that an uptrend will continue this year.”

The national median existing-home price for all housing types in January was $154,700, which is down 2 percent year-over-year. 

Distressed sales, which tend to sell at steep discounts, continue to hamper home prices nationwide. Foreclosures and short sales accounted for 35 percent of all January home sales, which is up slightly from 32 percent in December. 

Still, “home buyers over the past three years have had some of the lowest default rates in history,” Yun said.  “Entering the market at a low point and buying at discounted prices have greatly helped in that success.”

Breakdown by Housing Type

Here’s a closer look at how home sales fared by housing type in January: 

Single-family home sales: increased 3.8 percent to a seasonally adjusted annual rate of 4.05 million in January from 3.90 million in December. They are 2.3 percent above the 3.96 million-unit pace a year ago. Median price: $154,400 in January, down 2.6 percent from January 2011.

Existing condominium and co-op sales: rose 8.3 percent to a seasonally adjusted annual rate of 520,000 in January from 480,000 in December. They are 10.3 percent lower than the 580,000-unit level in January 2011. Median price: $156,600 in January, up 2 percent from a year ago.

Home Sales by Region

The following is a breakdown of existing-home sales in January by region: 

• Northeast: increased3.4 percent to an annual pace of 600,000 in January and are 7.1 percent above a year ago. Median price: $225,700, which is 4.2 percent below January 2011.
• Midwest: increased 1 percent in December to a level of 980,000 and are 3.2 percent higher than January 2011. Median price: $122,000, down 3.9 percent from a year ago.
• South: rose 3.5 percent to an annual level of 1.76 million in January but are unchanged from a year ago. Median price: $134,800, which is 0.3 percent below January 2011.
• West: increased 8.8 percent to an annual pace of 1.23 million in January but are 3.1 percent below a spike in January 2011. Median price: $187,100, down 1.8 percent from a year ago.

Contract Delays, Cancellations Remain High

Twenty-one percent of NAR members in January reported delays in contracts, and 33 percent said contracts fell through, according to NAR. The number of contract cancellations remains mostly unchanged from December. 

The increase in the past year of contract cancellations or delays has been blamed on more lenders declining mortgage applications from stricter underwriting standards and low appraisals coming in under the agreed upon contract price. 

Source: National Association of REALTORS®

Rent vs. buy: Decision comes down to job, finances

February 19, 2012|By Paul Owers, Sun Sentinel

South Florida renters constantly hear jeers that they're paying somebody else's mortgage.

They feel pressure to escape rent increases and take advantage of low home prices last seen a decade ago.

But a home still may be a stretch financially. And prices may decline further, embittering new owners who see their prized asset lose value.

For most, the decision boils down to whether their jobs are stable, how much savings they'd have after buying and how long they intend to stay in the area.

"No one thinks of housing as a risk-free investment anymore," said Jed Kolko, chief economist for real estate website Trulia.com. "If you're going to buy, you need to be in a financial position where you're able to deal with the risks of prices going down."

Housing industry experts weigh in on the rent vs. buy debate in three hypothetical South Florida case studies.

Scenario One: A police officer making $60,000 a year, newly married, currently renting a two-bedroom apartment for $1,500, never owned a home before.

Jim Flood, regional manager for Supreme Lending in Boca Raton, said he'd work with the officer to determine his cash position.

A new homeowner still should have at least two to four months' of cash in savings after buying, Flood said. Assuming he has the appropriate savings and his job is safe, the officer is a good candidate to own, Flood said.

If he put down 3.5 percent on a $150,000 home and had an interest rate of about 4 percent, his total monthly payment (principal, interest, taxes and insurance) would be roughly $1,100 — a savings of $400 from what he pays in rent.

Bottom line: Easy call. Buy.

Scenario Two: Recent college graduate, living with her parents, monthly payments of $300 for a car and $400 for student loans, has minimal savings and a $40,000-a-year job, but is willing to relocate for another.

The car and student loan debts are the biggest obstacles to buying, Flood said. She'd have to buy a small home or condominium, but she's likely better off staying a renter.

"If it was my daughter, I'd tell her to pay off the car or student loans and save more money for a rainy day," Flood said.

Randy Bianchi, co-owner of Paradise Properties of Florida in West Palm Beach, agrees, adding that the uncertainty over how long she'll be in the area is another concern. Plan to live in a home you buy for at least five years, experts say.

"Homes are cheap right now, but owning will tie you down," Bianchi said.

Kolko offers another consideration: If she's still living with her parents, she'd be a first-time homeowner with little or no experience in maintaining a house by herself. She'd have to cut the grass and deal with the occasional broken dishwasher. "That's a lot of firsts all at once," Kalko said.

Bottom line: Stay with parents or rent cheaply

Scenario Three: Retired couple in their mid-60s, small pension, just sold their house for a $15,000 profit, looking to stay in the area and downsize.

The major factor here is the modest profit on the home sale. It's not enough to buy another home or condo outright or to significantly pay down a mortgage on a new place, said Michael Citron, a real estate agent in Broward County.

The couple likely would spend $1,200 to $1,500 a month on a mortgage and association dues, but probably only about half that amount if they moved into a 55-and-over rental community, Citron said.

"That's much more manageable for them," he said. "The lawn is taken care of and they can call maintenance if anything needs to be fixed. They just don't have enough money to buy a home."

Bottom line: Rent

powers@tribune.com, 561-243-6529 or Twitter @paulowers

6 tips for timing a real estate purchase

How fence-sitters can get a jump on the competition

By Dian Hymer / Inman News®

In mid-June, interest rates on home loans were lower than they were a year ago. However, this failed to ignite the housing market. Many buyers and homeowners would like to make a move, but some find it impossible to make a decision. They are commonly referred to as fence-sitters, poised to make a move when the time seems right.December 28, 2011

The housing market is unlikely to turn around soon, but this doesn't mean that now is not a good time to buy or sell. It depends on your personal situation and market conditions in the area where you plan to buy or sell.

Become an expert on your local market. Knowing a good deal when you see it or what price to ask if you decide to sell depends on having a good understanding of how much properties are selling for in your neighborhood.

While you're trying to decide what to do, line up a team that can help you accomplish your goal when you decide to move ahead. You can do this by researching online, attending open houses in the area and asking a real estate agent to keep you on top of market fluctuations.

Your decision to buy should be based on your personal financial situation, not on the national or global economy. For example, if you bought during the bubble market and are now getting divorced, you'll probably sell for less than you paid.

But, if the house is too expensive for one to support, it may be cheaper in the long run to cut your losses and sell now. No one knows how long the housing downturn will last. Prices could move lower before rebounding. This is not an ordinary recession.

HOUSE-HUNTING TIP: Don't get caught up following the herd. Just because most people in your area aren't buying or are having difficulty selling doesn't mean that you shouldn't make a move. Just make sure if you're a buyer that you have job security, a relatively healthy economy in your local area and a plan to stay put for at least 10 years.

The housing market will be volatile going forward. Good economic news will help fence-sitters make the decision to get serious about moving. Bad news of any sort can cause the market to stall. To take advantage of the upticks in the market, you need to be prepared in advance.

Find a good local real estate agent to work with who understands your needs, and wait to buy or sell until the time is right for you. It could take you a year or so to make the final decision. Some agents don't have the patience to stick it out.

Select an agent who will educate you about the market and the idiosyncrasies of the home-sale business in your area. Ask to be kept informed about sales in the area. Many agents are set up to do this electronically, which is an easy way to keep you informed without taking up a lot of the agent's time.

One of the most difficult aspects of the current home-sale business is financing the transaction. Find a loan agent or mortgage broker who is a real professional, has been in the business for years and who understands what current underwriters will require from you to process your loan.

Assemble all the financial documents you'll need for loan approval even before you start looking. Ask your agent or broker to have your loan package previewed by an underwriter so that you know beforehand if there are any problems.

THE CLOSING: Remedy these in advance so that they don't cause last-minute delays in closing.

Dian Hymer, a real estate broker with more than 30 years' experience, is a nationally syndicated real estate columnist and author of "House Hunting: The Take-Along Workbook for Home Buyers" and "Starting Out, The Complete Home Buyer's Guide."

When It Pays to Do It Yourself

By:Oliver Marks

Published: March 8, 2011

Doing home improvement jobs yourself can be a smart way to save money, but choose the right DIY projects or you’ll end up paying dearly.

Why pay someone to do something you can do yourself? Because sometimes doing it yourself costs more than it saves.

More than 100,000 people injure themselves each year doing home improvement jobs. So add medical bills to your DYI budget, and you ending up spending the same, or more, than if you hired a pro.

We’re not suggesting that you call a plumber each time you need to plunge a toilet. But think twice about what DYI might really cost you. Here’s how to decide.

Stick to routine maintenance for savings and safety
Seasonal home maintenance is ideal work for the weekend warrior because you can tackle these jobs when your schedule permits. Because these are routine maintenance projects, your savings will add up. Mowing your own lawn, for example, saves $55 to $65 a week for a half-acre lawn. The bigger the lot, the bigger the savings: with two acres, you’ll pocket around $150 per week.

When it pays:

• Snow removal

• Pruning shrubs

• Washing windows (be careful on that ladder)

• Sealing decks

• Painting fences

• Fertilizing lawns

• Replacing air conditioner filters

• Cleaning gutters

When it costs:

Unless you have skill and experience on your side, stay off any ladder taller than six feet; according to the U.S. Consumer Product Safety Commission, emergency rooms are filled with people with ladder injuries. The same goes for operating power saws or attempting any major electrical work—it’s simply too risky if you don’t have the experience.


Become your own general contractor
If you’re more comfortable operating an iPhone than a circular saw, you could act as your own general contractor on some home improvement projects. That means you hire, schedule, and pay the carpenters, plumbers, and other tradesmen yourself. You’ll save 10% to 20% of the job cost, which is the contractor’s typical fee.

When it pays:

If it’s a small job that requires only two or three subcontractors, and you have good relationships with top-quality professionals in those fields, consider DIY contracting.

When it costs:

When you don’t have an established network of reliable workers, time to supervise, construction experience to spot problems, and the skill to negotiate disputes between subcontractors, your project and budget are at risk.


Invest sweat equity on big jobs
Contribute your own labor to big jobs being handled by a professional crew and cut hundreds, even thousands, off construction costs. For instance, tear out kitchen cabinets and appliances before the contractor gets started, and you might knock $800 off the cost of your remodel. Make sure you negotiate cost savings with your contractor before pitching in.

When it pays:

Jobs that are labor-intensive but require relatively little skill make perfect sweat equity jobs. Perform minor interior demolition, such as pulling up old flooring, daily job site cleanup, product assembly, and simple landscaping.

When it costs:

If you get in the crew’s way, you may slow them down far more than you help. Make your contributions when the workers aren’t around; mornings before they arrive, or nights and weekends after they’ve left.


Add finishing touches
Unlike the early phases of a construction job—which require skilled labor to frame walls, install plumbing pipes, and run wires—many finishing touches are comparatively simple and DIY-friendly. If you paint a basement remodel yourself, for instance, you can save up to $1,800.

When it pays:

If you have skill, patience, or an experienced friend to teach you, setting tile, laying flooring, painting walls, and installing trim are good DIY jobs.

When it costs:

The downside to attempting your own finish work is that the results are very visible. Hammer dents in woodwork, or sander ruts in hardwood floors will annoy you every time you see them. So unless you have a sure eye and a steady hand, don’t perform the tasks that only a skilled tradesperson will get right.

A former carpenter and newspaper reporter, Oliver Marks has been writing about home improvements for 16 years. He’s currently restoring his second fixer-upper with a mix of big hired projects and small do-it-himself jobs.

7 Steps To A Stress-Free Home Closing

By: G. M. Filisko

Published 2010-02-10 09:27:33

By doing homework in advance, you’ll understand what you’re asked to sign when you close the sale of your home.

You’ve already cleared several hurdles by finding the right home, negotiating the best price, and securing favorable financing. The last obstacle on your homebuying track is the closing, which can be both tedious and tense. By knowing what to expect and doing some legwork, you can put your closing behind you. These seven steps will guide you through a smooth closing.

1. Set a closing date

Your real estate agent will work with the seller’s agent and title company to schedule your closing date. Be sure it meshes with the end of your lease or the sale of your existing home and a time when you’ll able to play hooky from work. If you’re tight on cash, schedule your closing for the end of the month because that’s when you’ll have to pay the least amount of interest at the closing table.

2. Gather your funds

You may be required to bring funds to the closing. If they’re not easily accessible, arrange early to transfer them to a liquid account to avoid last-minute problems. If the title company requires the funds in the form of a cashier’s check, also leave time to stop by the bank and pick one up.

3. Purchase title insurance

Title insurance protects the policyholder against trouble with a home’s title. Your lender will insist that you purchase a policy to protect it. You should also consider purchasing what’s called an owner’s title policy from the same insurer, which protects you from fraudulent claims against your ownership and errors in earlier sales. In some areas, sellers traditionally pay for the buyer’s title policy. Shop online at Closing.com, EasyTitleQuote.com, and FreeTitleQuote.com. If your home has been sold within the past few years, ask the prior owner’s insurance company for a reissue discount.

4. Line up homeowners insurance

Get quotes and compare policies to be sure coverage will be in effect by your closing date. An annual policy should run $500-$1,000, depending on your home’s size, age, and amenities. If you live in an area where natural disasters occur, like earthquakes, floods, or hurricanes, you’ll need separate insurance to protect your home.

5. Review your good-faith estimate and HUD-1 settlement sheet

Your lender must provide a good-faith estimate of your closing fees. Some of those fees can’t change, and others can rise by 10%. Before you go to the closing, read your good-faith estimate, compare it with your HUD-1 settlement statement, and question any fees that increased.

6. Do a walk-through

Schedule an appointment to walk through the home one last time just before your closing. Make sure repairs you requested have been made, no major changes have occurred since you last viewed the property, and that the sellers left anything they agreed to leave and took all their belongings.

Also test electronics and appliances, such as the doorbell, dishwasher, washer and dryer, and oven, to ensure they’re functioning properly. Do the same with the hot water heater and heating and air conditioning systems. Walk the yard to be sure no plants or shrubs have been removed.

7. Resolve issues identified in your walk-through

If your walk-through uncovers problems, in some states you can delay the closing until the seller corrects them. But that’s often not feasible because your lease is probably over and you’ve already scheduled movers. Another option is to negotiate a discount to your sales price to cover the cost of the work needed. If the air conditioning is on the fritz and a contractor says the repair will cost $500, ask that the sales price be reduced by that amount. If you make that request at closing, however, be ready for a delay while the title company redoes the paperwork.

A third option: Have the title company hold a portion of the seller’s proceeds in escrow until the dispute is resolved. Once that happens, the funds will be released to you or the seller, depending on the outcome.

More from HouseLogic

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Shop for an umbrella policy when you shop for homeowners insurance

G.M. Filisko is an attorney and award-winning writer who has endured several property closings, but the easiest was done through the mail. A frequent contributor to many national publications including Bankrate.com, REALTOR® Magazine, and the American Bar Association Journal, she specializes in real estate, business, personal finance, and legal topics.

Read more: http://buyandsell.houselogic.com/articles/7-steps-stress-free-home-closing/#ixzz1HkZIjs6z