Colorado Real Estate News

CEO Reflections

Rooted in Value

Accolades vs. Action

We have many accolades to tout at Kentwood Real Estate, but we’re laser-focused on the customer service actions needed to meet both our clients’ expectations and their goals. Without a deep concentration on the excellence of service, we would never get to the point of raving fans, testimonials, and accolades.

Consumers today have a plethora of models, systems, portals, and personalities to choose from as they embark on their real estate journey. Our team of commercial and residential brokers are at the top of their game because they recognize that we’re in a service business. Real estate “sales” is customer service and expert problem-solving at its core.

Service as Value

I used to joke with clients when I was still in sales that I did a lot more than the average broker. Unlike agents who used the “Three P’s” as a marketing plan, (Put out a sign, Put it in the MLS and Pray,) I offered my clients a list of over 40 behind the scenes activities that they may not have realized their real estate broker should be accomplishing for them.

Does your broker conduct an ownership and encumbrance and tax search on your property or the property you’re making an offer on? Research the condition of the title and zoning? Make sure the HOA covenants and declarations are in your hands for review? 

Does your broker complete a well-considered market analysis for the commercial property or home you’re selling and buying? (And explain how their knowledge and expertise informs that report?) How does your broker expose your property? Qualify prospects? Protect you from shady inquiries or unhealthy/unsafe showings?

Does your broker consistently seek feedback and provide it to you in a timely and valuable way? Negotiate on your behalf? Represent your best interests while balancing the needs of both buyer and seller to get to the end game desired? 

Have you received an estimated net proceeds for a variety of prices? Been guided through the maze of legal documents and referred to an attorney if needed? Do you know if a complete appraisal package has been prepared and provided to the appraiser? Have you been guided through the inspection process and informed on how to best tackle these secondary negotiations?

But Wait! There’s More!

The list of what your Kentwood Real Estate broker can and will provide you in terms of service and support during your transaction continues. It’s so robust that you should make an appointment with a Kentwood broker for more detail soon.

Now is a great time to be a seller, and many buyers are looking for property to purchase. Reach out and learn about why we consistently earn awards and accolades at Kentwood. It’s because we make it about YOU!

Colorado Real Estate News

Understanding and Building Home Equity

What exactly is home equity? Equity is the amount of the home or property that you actually own. Take the difference between your loan balance and your home’s market value to estimate the amount you have in equity. One of the major benefits of home ownership is the opportunity to build equity. Essentially, equity is an asset and if you were to sell your home it would also become a profit. There are a few different ways you can go about building your home’s equity.

Mortgage Payments

A mortgage payment is made up of two parts: principal and interest. When you make mortgage payments each month you are paying off a portion of interest and a portion of principal. The principal portion goes toward building home equity. If you begin to make larger payments each month you will pay down your mortgage in less time and also build equity faster.

EquityYou could also choose to refinance your home into a shorter term mortgage, such as a 15-year fixed. This would increase the amount of your payments but allow you to build equity much faster than a traditional 30-year mortgage as you decrease your loan to equity ratio faster. Finally, you could choose to make a larger down payment at the outset to automatically earn equity. More equity equates to lower interest rates and easier to obtain finances.

Home Improvements

A second way to build equity is to make home improvements. These can be anything from making small repairs to upgrading your home. But keep in mind that very few major home renovations offer more return than the cost you put into them. Generally, the renovations with the biggest pay off are those that correct defects which make your home less desirable than other homes in your neighborhood. So be smart and make improvements where the expected value exceeds the cost. Some improvements that offer the greatest returns include: replacing or cleaning carpets, refinishing damaged flooring, updating the kitchen and bathrooms, touching up the interior paint or hiring a landscaper to freshen up your yard.

Market Value

Home appreciation, or the increase of market value on real estate, is a third way to build equity that many people tend to overlook. When the rate of appreciation goes up, so does the value of your home. Home values tend to increase at a similar rate as inflation, which is generally an annual rate of 5%. Unless you are in a boom or bust area, those steady increases are typical over time.

As a home owner, there are many ways to build your home equity. Take charge of what you can control to improve your financial future.