Tag: beach homes

Whiteboard Topics: 6 Tips to Avoid Scams in Beach Real Estate

Posted on Chris Melton

Whether you’re buying or selling, you want to protect yourself and your property from scams. Luckily, there are steps you can take to achieve this. Glenn Phillips, CEO of Beach Homes Realty, discusses 6 tips to avoid scams in beach real estate.

  1. Never Buy Without Title Insurance: Sometimes, the party who listed the property doesn’t actually own it. The actual owner lives some distance away and is unaware that their property has been listed. Scammers use this tactic to trick people excited to buy a beach home into buying it without doing their research. Title insurance helps to protect against this; it researches and assures reimbursement if there is a scam.
  2. “Check In” on Your Property (Including Lots!): If you’re not using your home or property full-time, check in on it occasionally. If you can’t do it, have somebody you trust to check in on it for you. Make sure they know which property is yours and whether or not you listed it. Checking in on your property helps avoid scammers as well as squatters.
  3. Verbally Confirm All Payment Instructions: Particularly for buying property, scammers sometimes change payment methods and instructions at the last minute. Buyers who want to be helpful may not question this and go along with it. Before agreeing to these changes, think about who’s contacting you and the nature of the message. Additionally, you should research the phone number or email address and contact them during business hours to confirm.
  4. Do Your Due Diligence: When buying beach property, do your due diligence in knowing everything about the property. This helps you know where your property boundaries are, what type of beach access you have, and more. Additionally, it uncovers information that detriments the property value, even if it isn’t necessarily a scam.
  5. Be Wary of Haste: Scammers frequently try to rush the process of real estate. They make “too good to be true” offers and try to hurry you along. They want you to go through with the transaction before thinking about it, talking to someone else about it, or researching it.
  6. Confirm Funds Have Cleared: No matter if you’re paying or receiving funds, there needs to be time for banks to clear the funds. Allowing a time frame for the funds to clear helps confirm that they are legitimate.

Buying a beach home should be an exciting process. However, scammers work to ruin the wonder of it. So, buyers and sellers alike should keep their guard up when conducting transactions. Be sure to visit beach-homes.com, where you can find agents willing to guide you through the process and protect you and your money.

Whiteboard Topics: 5 Costly Mistakes Agents Make at the Beach

Posted on Chris Melton

Agents who aren’t experienced in beach real estate often make mistakes. While they may mean well and wish to help you, their mistakes impact you. Glenn Phillips, CEO of Beach Homes Realty, discusses 5 costly mistakes agents make in beach real estate.

  1. Agreeing to Overprice a Beach Home: Listing agents want you to get the most money that you can. However, pricing above the market causes homes to sit on the market. Eventually, these overpriced homes sell for less than an appropriately priced home. Appropriately priced houses bring in the most money. They generate quick interest and better transactions.
  2. Missing Phone Calls: Agents missing a phone call end up costing you money. If you can’t get in touch with an agent to list, your house won’t sell. Additionally, an agent missing phone calls in the middle of transactions prolongs the entire process.
  3. Only Marketing Listed Property Locally: Most beach property buyers come from somewhere outside the local market. Advertising locally only shows your home to people who already have one. Marketing your property to people outside the local market grows your pool of potential buyers.
  4. Not Thinking Long-Term: Beach homes are discretionary property. That means that people don’t have to buy them. Buyers may look for beach property for years before buying. Expert beach agents understand they need to play the long game for buyers.
  5. Lacking Beach Expertise: Beach property is completely different from typical property. Agents not familiar with the beach market may be lured by the potential lucrative earnings. However, the beach comes with regulations, nuances, and other differences that require expertise to navigate.

These 5 mistakes agents make at the beach cost you money. Without beach real estate experience, navigating this market will be difficult Be sure to visit beach-homes.com to find expert beach agents to help guide you through the process.

Whiteboard Topics: 5 Pricing Errors Made By Beach Home Sellers

Posted on Chris Melton

When selling your home, knowing how to price it is essential. Understanding what to look for and how to avoid mistakes helps you have a better transaction. Beach Homes Realty CEO Glenn Phillips discusses 5 pricing errors made by beach home sellers.

  1. Trusting Websites Offering AVMs: AVM stands for automated valuation models. Websites that utilize AVMs give you an estimated value of your home based on the information you put in. However, due to the unique nuances of beach properties, AVMs struggle to price them accurately. These automated systems aren’t built for niche and unusual properties, and many features often go under the radar. Many factors, such as modernity, upgrades to the home, location, and more, aren’t typically factored in by the AVMs.
  2. Using Prices of Currently Listed Properties: Just because you see a property listed for a certain price doesn’t mean you should list it at the same price. The homes currently on the market that haven’t sold could be overpriced. Using the same pricing could lead to your home sitting on the market as well. Instead, doing a market analysis of properties that have sold will give you a better idea of appropriate pricing.
  3. “I Need to Get…”: Be weary of thinking you need to get a certain price. This line of thinking disconnects you from the current market. Thinking like this ignores the home’s actual value. Try to put yourself in the buyer’s position. They aren’t concerned with what you “need” to get, but with what the home is actually worth.
  4. Emotional Reasoning: Living in your home can make you very attached to it. In fact, there are even studies showing that we tend to value things we own more than someone else’s. This happens even more so with beach property. You may have attached your feelings, memories, and experiences to the house. However, selling a house is a business transaction, and emotions shouldn’t affect pricing.
  5. Failing to Consult a Beach Expert Agent: Beach real estate is different from typical residential real estate. An expert beach agent understands the nuances of beach real estate. Agents who aren’t experts in beach properties may not know what questions to ask during the transaction. Knowing the nuances and differences of beach real estate will save you money when selling.

Setting a fair price for your house is crucial when selling. A better transaction results from knowing what to look for and how to avoid errors. Avoiding these errors will help you save money and sell your home faster. Visit beach-homes.com, where you can find expert beach agents who will help you price your home.

Whiteboard Topics: What Are 6 Of The Worst Mistakes Made By Beach Home Sellers?

Posted on Chris Melton

Selling your beach home can be an emotional time. You’re saying goodbye to your dream home and starting the next chapter of your life. However, don’t let these emotions impact your decision-making. Glenn Phillips, CEO of Beach Homes Realty, discusses 6 mistakes made by beach home sellers.

  1. Failure to Truthfully Disclose: If you know of issues your home has, you need to truthfully disclose that information. It isn’t just ethical; it’s the law. These issues won’t be hidden from buyers for long, and they may sue you if they find out you knew.
  2. Overpricing: Overpricing your home causes it to sit on the market. After it sits on the market for a while, buyers begin to question if the house has issues, cautioning them from buying. Additionally, several consistent price cuts lead buyers to offer lower prices than the current price.
  3. Agent is not a Beach Expert: Beach property is completely unique from other real estate. An agent who knows the beach home market knows how to navigate the nuances of beach real estate.
  4. Picking Agent Based on Large Number of Listings: Having numerous listings isn’t a problem in and of itself. However, if those listings aren’t moving, the agent may have difficulty selling their listings. The best agents can both list and sell property.
  5. Refusing to Counter an Offer: A low offer is less insulting than not getting an offer. An offer is the start of a discussion. Refusing to communicate or counter an offer stops a deal from happening before it begins.
  6. Selling in 1 Day or 1 Weekend: Beach property buyers often live hours or states away. They often can’t come to see a house on any given day. Additionally, taking offers for a few days or weekends grows your pool of potential buyers who might pay more.

Avoiding these mistakes can bring you more money from selling your beach home. Don’t let urgency and emotions prevent you from getting the most money out of your home. Visit beach-homes.com to find expert beach agents who will guide you through the process of selling your beach home.

Whiteboard Topics: What Beach Home Buyers Should Know About Speculative Sellers

Posted on Chris Melton

When buying a beach home, you should be aware of speculative sellers. Glenn Phillips, CEO of Beach Homes Realty, explains what speculative sellers are and what you should know about them.

  1. Two Types of Sellers:
    • Motivated: Life circumstances push motivated sellers, such as a job in a different city, to sell their house. The time it takes to sell their house matters to them.
    • Speculative: Speculative sellers may not be in a hurry to sell. Dealing with these types of sellers requires a different mindset than with motivated sellers.
  2. Speculative Sellers: When speculative sellers list their home, they’re listing it in a different way than other sellers.
    • Overprice: Speculative sellers tend to overprice their homes for the current market. When this happens, the home sits on the market for several weeks or even months.
    • Lack of Urgency: Speculative sellers are fine with waiting to get their desired price, as they aren’t motivated to sell quickly.
    • May Lack Market Understanding: Sometimes, speculative sellers aren’t being deliberate in their methods. They may simply lack an understanding of the current market conditions. They may list their home at what they see other houses listed for, even if those houses aren’t selling.
    • Emotionally Driven: Oftentimes, sellers get emotionally attached to certain aspects of the home. This could be certain customized decor or installations added to the home. Home sellers might perceive them as added value, but buyers don’t care about them.
    • Frustrated by “Low” Offers: Speculative sellers become frustrated by “low” offers when the house sits on the market for a while. Even if the offer is at market price, speculative sellers can take that offensively.

As a buyer, you need to be able to recognize when you’re dealing with a speculative seller. Understanding how these types of sellers work is crucial in the beach real estate market. It often requires you to think outside the box and create a sense of urgency for the seller. Visit beach-homes.com, where you can find agents who will help you through the beach real estate homebuying process.

Whiteboard Topics: What Are 4 Expensive Mistakes Made By Beach Home Buyers?

Posted on Chris Melton

Buying a beach home is an exciting investment. However, getting caught up in the excitement often leads to costly mistakes. Glenn Phillips, CEO of Beach Homes Realty, reviews mistakes beach home buyers should avoid.

  1. Lack of Due Diligence: Buyers may think everything will turn out fine during the buying process. Not doing due diligence often comes back to haunt buyers. Here are a few things you must investigate when buying a home:
    • Home Inspection: First, a home inspection reveals things previously looked over. Additionally, the cost of a home inspection is always cheaper than unaccounted-for repairs.
    • Survey: Second, surveying property lines helps buyers understand their property line boundaries. Understanding these boundaries prevents future frustration and property disputes.
    • Geologic Report: Third, a geologic report shows the situation of the foundation beneath the house.
    • Clear Title: Next, a clear title, along with title insurance, guarantees the property belongs to the seller. It also ensures no liens or claims exist against the property. Oftentimes, sellers sell property that isn’t legally theirs. They may do this deceitfully, or they may just not know. Proper title research reveals the true owner of the property.
    • Beach Regulations: Finally, understand the regulations for the beach property. Almost every beach has regulations, and they vary between cities and towns. You should also know who makes the regulations.
  2. Forgetting to Consider Maintenance: The beach puts more wear and tear on properties than typical residential houses. This means beach homes come with additional maintenance costs and repairs. Knowing this ahead of time helps you plan for costs.
  3. Failing to Research Insurance Costs: Beach properties come with additional insurance expenses compared to regular real estate.
  4. Agent is not a Beach Expert: Lastly, you need an expert beach agent. Expert beach agents understand the beach environment, regulations, and market. Additionally, they know which questions to ask during the buying process.

Making these mistakes when buying a beach home can be costly. By following this guide, you’ll be better equipped if you decide to purchase a beach home. Visit beach-homes.com, where you’ll find expert beach agents who will help you avoid these mistakes.

Whiteboard Topics: Are There Fewer Beach Home Buyers?

Posted on Chris Melton

Some sellers and agents might think that the beach home market has fewer buyers right now. While it might look that way, that isn’t the case. Beach Homes Realty CEO, Glenn Phillips, explains why there are not fewer beach home buyers.

  1. Insights from Beach-Homes.com: Insights from Beach Homes Realty’s website show buyers still look at listings. However, they may not always reach out to express interest or make an offer. This makes it seem like they’ve lost interest.
  2. “I’m not hearing from as many buyers.” This may be true, but not hearing from them doesn’t mean they have no interest.
  3. Inventory Problem: Appropriately priced available inventory is in short supply. If a grocery store doesn’t have what you want, would you bother going there or calling? It’s the same way with the beach home inventory.
    • Appropriately Priced Sell Fast: Homes with appropriate pricing sell quickly. This means that you likely don’t see it when you look at listings online.
    • “Phantom Inventory”: This is a property listed by speculative sellers who think the market is still going up. However, the market has begun to level off. Instead of listing at the current steady market price, speculative sellers price their homes as if the market price will increase. This “phantom inventory” inflates the market.
  4. Buyers Not Gone: Watching & Waiting: Buyers today are more informed than ever. They watch and wait online for speculative sellers to bring down their prices. They also wait for more appropriately priced homes to come into inventory.

Whether you’re buying or selling, being informed about current market trends is essential. As sellers, you need to understand why you’re not getting offers right now. Even though it looks like there aren’t as many buyers, studying market trends reveals that isn’t true. Visit beach-homes.com to connect with agents who can help you list your home as well as explain current market trends.

Whiteboard Topics: Beach Home Sellers: Understand the Risks of Speculative Selling

Posted on Chris Melton

Speculative selling comes up when discussing selling investments. While this can apply to beach homes, it also means more. Glenn Phillips, CEO of Beach Homes Realty, discusses what speculative selling means for beach homes and the risks it brings.

  1. Two Types of Sellers: Two types of sellers prevail in discretionary property markets.
    • Motivated: Motivated sellers have a life event pushing them to sell a home. This could be a job change, an increase or decrease in household size, or more. They want the maximum amount of return in the shortest amount of time possible.
    • Speculative: These sellers wait for a high offer before selling. They may not need or even want to sell it, but they would consider it for a high price. Most people haven’t experienced this type of seller, especially if you’re new to the beach market.
  2. Speculative Selling Risks: Attempting to be a speculative seller can cost you money.
    • Increased Time on Market: Overpriced homes tend to stay on the market longer. Informed buyers will look over your house if it’s overpriced. If your home sits on the market for a while, buyers may start believing there is something wrong with the house itself. This increased time on the market can cost you if you aren’t living at the house and have to pay maintenance, HOA, or utility fees.
    • Lack of Urgency: Speculative selling also leads to a lack of urgency. Waiting around for the highest possible offer can make you feel unmotivated to sell, even if you have offers and showings scheduled.
  3. Consequences:
    • Increased Time-on-Market Creates Buyer Doubt: When a house stays on the market too long, buyers begin to wonder why it hasn’t sold. It also makes deals more likely to fall through.
    • Repeated Price Cuts Teach Buyers to Offer Low: Continuously cutting the price by small increments tells buyers to offer lower than the listing price. Even if you’ve already cut it several times, you’ve trained the buyer to expect price cuts.
    • Eventual Sale Price Often Less Than Market: Long time on the market and multiple price cuts lead to lower-than-market sale prices. Even if the house sells for market price, the extra time spent on the market has likely cost the seller money.

When selling your beach home, it’s important to understand if you’re a motivated seller or a speculative seller. Speculative selling comes with risks and consequences not found in motivated selling. Visit beach-homes.com to see what the market is like right now and find agents who will help you understand the selling process.

Whiteboard Topics: Picking the Best Beach Real Estate Agent When Selling

Posted on Chris Melton

Selecting the best real estate agent isn’t always a simple task. There are plenty of agents to choose from, and many can help you in different ways. A good place to start when choosing is to think of your goals and what you want from a real estate agent, as well as your house as a seller. Motivated sellers want to sell their homes for as much as the current market will support in a reasonable time frame. Glenn Phillips, CEO of Beach Homes Realty, gives three right and wrong questions to ask when looking for an agent.

  1. Wrong Questions:
    • Which agents have the most listings? Sometimes an abundance of listings is an indicator of success, but not always. An agent’s job is to sell the house, so having many listings could be a sign they aren’t equipped to sell houses on time.
    • Which agent do I really personally like? Getting along with your agent is important. However, it’s important to remember that liking your agent isn’t the only reason you chose them.
    • Do they have an office nearby? There are several cases where buyers of beach homes are coming from out of town or even states away. This means that when they come into town, they aren’t concerned with looking at an office. They will want to see the house instead.
  2. Better Questions:
    • Are all agents the same? Not every agent is the same as each other. Exclude under-equipped agents from consideration when selling.
    • Which agents are focused on beach real estate? Beach property presents nuances, regulations, and other stipulations not common to typical property. Because of this, choosing an agent who primarily focuses on beach property will be more effective.
    • Which agents can prove they have a pipeline of out-of-town buyers? Good beach agents can show you where buyers are coming from, even if they’re from out of state. They will also be able to market your home in those areas.

There are several questions to ask when selling your beach home. It’s important to ask the right questions and not the wrong ones when looking for a real estate agent. Visit beach-homes.com to find beach-focused agents equipped to sell your home.