Monday, March 19, 2018

Tip for Realtors - Forge Lasting Contractor Relationships

For your next commercial real estate transaction, house purchase, mortgage refinance, reverse mortgage, or home equity loan, contact us. We can help. Located in Fairfield, #NewJersey, we are the #titleinsurance agent that does it all for you.

From Realtor Mag

Forge Lasting Contractor Relationships

Here are eight key elements to keep in mind when you’re compiling—or updating—your list of trusted home improvement pros. We’ve also included helpful tips to share with homeowners who are vetting potential contractors, to help improve the odds that their project runs smoothly.

1. Check credentials and skills. Many trades—such as plumbing, electrical, and HVAC—require a license, insurance, and accreditation. But there’s no national accreditation system for general contractors. Furthermore, states have very different rules governing who’s allowed to work where, according to the National Association of State Contractors Licensing Agencies. Another important distinction is between being licensed and being registered to work. While some states require licensing—which tends to involve passing exams and proving reasonable competency in a trade—others only require registration, which is simply a written record of who is performing the work that doesn’t guarantee expertise.

More: Check out our customer handout, “How To Hire a Remodeling Contractor” or the National Association of Home Builders’ “Checklist for Finding and Hiring a Builder or Remodeler.”

2. Inquire about a contractor’s history and focus. Ask them what past projects they really loved working on, what their specialties are, and what type of work they tend to outsource. Also, find out what their scheduling process is like and how many jobs they typically manage at a given time. It’s far better to know that they’re too busy now but could start a new project in a month, for example, then to be surprised by calendar conflicts after the project has begun. See how they feel about taking on small handyman-type jobs, or if they’ll only agree to do so if homeowners bundle them. Finally, ask how long they’ve worked as a contractor and how long they’ve operated their own business. The two require different skill sets, says Cohen, who’s run her own firm for 22 years. While one doesn’t necessarily need to be an expert businessperson to be a skilled craftsman, the organizational skills a general contractor needs in order to get the job done on time are critical.

3. Find out how they stay in touch with clients. A lot of relationships break down not because of dishonesty or subpar skills but a lack of clear communication, says contractor Tom Sullivan, owner of T.M. Sullivan Construction in Norwell, Mass. “By communicating well, we manage expectations and help keep customers happy,” he says. Expectations need to be spelled out—for example, tell your client to relay how often they want to hear about progress and whether via email, text, or a phone call. And if you know a contractor really only responds to texts and your client needs face-to-face contact, don’t match them up as a team unless one side is willing to switch preferences.

Teach your buyers and sellers to be good clients.

Most contractors will be more flexible with and sometimes go the extra mile for homeowners who are cooperative, especially their repeat customers. So what makes for a bad client from a contractor’s point of view? Those who don’t offer flexibility when surprises occur—concealed pipes may have a leak that wasn’t visible when an estimate was provided, but now need to be repaired—can ratchet up the intensity of any given job. Homeowners who feel they’re the contractor’s most important client often don’t understand why delays should occur when emergencies require immediate attention at another job. And sometimes it just comes down to assuming the best of intentions. After all, contractors want to be treated respectfully as part of a partnership with the same end goal of getting a job done well, on time, and for the expected dollar amount. Kind words about a project’s progress often help, just as an occasional cup of hot coffee or fresh donut does.

4. Visit completed jobs in person. Explain to clients that word-of-mouth referrals are fine, as is seeing finished work on a website or in photos. But a far better way to examine results is up front and in person. Most contractors have prior clients who allow other homeowners to stop by and see their workmanship. Use your unique position as a real estate professional who spends a fair amount of time in other people’s homes as a way to get to know the handiwork of local contractors firsthand. When you see good work, ask who did it and how recently; ask about subcontractors, too. Some contractors have a regular team that works with them; other times, they assemble the right workers based on the specific project.

5. Be nosy about work ethic and attitude. It may be tempting to emphasize the final product over the process, but both are important. These workers will be inside your clients’ homes and neighborhoods, where respect is important. If the contractor or subs start showing up late or ignoring house rules—perhaps by smoking on the premises, trekking dirty shoes through an interior, or using a house bathroom when clients specified having a portable toilet set up outside—your recommendation could backfire. Ultimately, your clients will decide what works—and doesn’t—for them, but occupational habits are important elements to consider for everyone involved.

6. Bid out jobs to several contractors. Advise your client not to rush into a deal. Even if the first bid has a reasonable price and timeline and comes from a contractor with a good track record, it’s important to get another point of view or two. This is especially important for involved, costly projects where each contractor may suggest a slightly different approach. “Know what you want and convey that same information to each so they price the same job or scope,” says Sullivan. “You also may go with one, but use parts of ideas from all.” And always be sure that the contractor breaks down the estimate into fees for materials, parts, and labor, which makes it easier to compare apples to apples. Finally, convey that the cheapest isn’t always best. John Nations, chief residential real estate superintendent for T.D. Desert Development in LaQuinta, Calif., suggests homeowners “go with the lowest ‘responsible’ bid.”

7. Get everything in writing. Some contractors and homeowners are happy to start work on a verbal agreement or with a handshake. Neither may hold up if disputes arise. A written contract covers a variety of elements, from who secures the necessary permits to which manufacturer’s windows and doors are to be installed. “You want a paper trail,” Cohen says, recommending a contract even for minor jobs, such as fixing screens. Jose Oritz, project manager at Cicero’s Development Corp., a renovation company in Plainfield, Ill., says his firm’s contracts also cover assumptions such as a subfloor being in good shape and not needing patching. “And then if it isn’t, additional work needed would be billed at a time and materials charge, which is also specified,” he says. Warranties listed in the contract for labor, craftsmanship, appliances, and materials also will help if something goes awry later, or at least during a specified period. And most detailed contracts offer a way to resolve disputes.


8. Don’t pay until the punch list is fulfilled. It’s typical for homeowners to withhold 10 percent of the total cost until the contractor satisfies every point on their “punch list”—any work that wasn’t finished or hasn’t yet met the home owner’s approval when the job is close to completed. When all is finished, Cicero’s contractor in charge provides clients with a close-out package combining all signed permits, drawings, product specifications, maintenance instructions, and more. “They’re entitled to it in the same way that car owners get an owner’s manual,” Ortiz says.


For your next title order or
if you have questions about what you see here, contact
Stephen M. Flatow, Esq.
Vested Land Services LLC
165 Passaic Avenue, Suite 101
Fairfield, NJ 07004
Tel 973-808-6130 - Fax 973-227-0645
E-mail sflatow AT vested.com
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Monday, March 12, 2018

No Perfect Home Exists: What You Should Know About Home Inspections - a report from Vested Land Services LLC

As a #homebuyer, you will arrange for a #homeinspection in order to be sure your new home is in good condition.  However, as the following article from Realty Times points out, no home is perfect!  Here's what you should know about the #homeinspection.

No Perfect Home Exists: What You Should Know About Home Inspections

For many first-time buyers, buying a home can be a scary experience. They know they'll be maintaining or improving a home with little to no maintenance experience, so the solution is to buy a home in perfect condition. So they hire a home inspector to point out all the flaws.
The problem is -- no perfect home exists. Air conditioners break, plumbing pipes leak, and roof tiles blow off in the wind.
If you're buying a home, start with a reasonable expectation of what home inspectors can do. Their job is to inform you about the integrity and condition of what you're buying, good and bad.
A home inspection should take several hours, long enough to cover all built-in appliances, all mechanical, electrical, gas and plumbing systems, the roof, foundation, gutters, exterior skins, windows and doors.
An inspector doesn't test for pests or sample the septic tank. For those, you need industry-specific inspectors.
Here's what else you need to do.
1. Make sure the inspector you hire is licensed. The responsibilities of home inspectors vary according to state law and their areas of expertise.
2. Ask what the inspection covers. Some inspection companies have extensive divisions that can provide environmental for radon and lead paint. Be prepared to hire and schedule several inspectors according to your lender's requirements and to pay several hundred dollars for each type of inspection.
3. Some inspection reports only cover the main house, not other buildings on the property. For specialty inspections such as termites, make sure the inspection covers all buildings on the property including guest houses, detached garages, storage buildings, etc.
4. Attend the inspection and follow along with the inspectors. Seeing problems for yourself will help you understand what's serious, what needs replacement now or later, and what's not important.
5. Don't expect the seller to repair or replace every negative found on the report. If you're getting a VA or FHA-guaranteed loan, some items aren't negotiable. The seller must address them, but otherwise, pick your battles with the seller carefully.
A home inspection points out problems, they also point out what's working well. It can help you make your final decision about the home - to ask the seller to make repairs or to offer a little less, to buy as is or not to buy at all.
Read the full article on-line at Realty Times.

For your next commercial real estate transaction, house purchase, mortgage refinance, reverse mortgage, or home equity loan, contact us. We can help. Located in Fairfield, NJ, we are the #titleinsurance agent that does it all for you.We don't perform a #homeinpection but we do inspect the title to your new home for other problems.

For your next title order or
if you have questions about what you see here, contact
Stephen M. Flatow, Esq.
Vested Land Services LLC
165 Passaic Avenue, Suite 101
Fairfield, NJ 07004
Tel 973-808-6130 - Fax 973-227-0645
E-mail sflatow AT vested.com

@vestedland
#NewJersewy
#titleinsurance
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Tuesday, February 27, 2018

55 and Older Communities...Right for you?

Excellent article on the pros and cons of moving to a 55 and older community.  
#NewJersey has many age restricted communities and has regulations that 
impact owners and sellers.  Vested Land Services can help you when you buy.  
Give us a call.

Moving To A 55 and Older Community: 

Is It Right For You?

Moving To A 55 and Older Community: Is It Right For You?
mortgages.com
For a lot of people a 55 and older community can mean spending your retirement living with people your own age, being active, and exploring new hobbies right in your own neighborhood. It sounds a little like the social life of college without the studying. And who wouldn't want that? What should you know before you buy?
Social club
One of the benefits of a 55 and older community is the social aspect. Not only is it easy to meet people your age, but most communities also have planned events ranging from golf to art. We always talk about why location matters in real estate. And this is no different. Think about what you want to spend your days doing? If you love skiing, Florida probably isn't the best location for you.
Security
Most 55 and older communities are gated and have private security. Find out exactly what kind of security your community will offer. If this is going to be your second home, the extra security can bring big peace of mind when you're away.
No one under 55 allowed
This one is a given. If you're thinking about a 55 and older community, you probably consider this a pro. But it can quickly turn into a con. You might not realize how much you enjoyed the sound of kids playing in the street until you don't hear it anymore. And if there's a family emergency, it might mean that your adult kids or grandkids couldn't live with you. There might also be restrictions on how long younger visitors can stay. And that might mean the end of Camp Grandma during the summer.
The old neighborhood
Don't underestimate the connection you feel with your old neighborhood, especially if it's where you raised your family. If that's the case, it might be worth it to keep both homes for now and work your first home into your estate planning. That way it can stay in the family.
HOA
All those activities and amenities come a at a price, homeowners association fees. Like any home with a homeowners association, there might be strict rules about things like what color you paint your home, how many (and what type of) pets you can have, and what you can plant in your yard. That might be a fair tradeoff for you, but if you're used to making home improvements on a whim, you might want to think twice.
This article was originally published on mortgages.com.

For your next commercial real estate transaction, house purchase, mortgage refinance, reverse mortgage, or home equity loan, contact us. We can help. Located in Fairfield, NJ, we are the #titleinsurance agent that does it all for you.

For your next title order or
if you have questions about what you see here, contact
Stephen M. Flatow, Esq.
Vested Land Services LLC
165 Passaic Avenue, Suite 101
Fairfield, NJ 07004
Tel 973-808-6130 - Fax 973-227-0645
E-mail sflatow AT vested.com
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Friday, February 23, 2018

Understanding Title Insurance – and Why You Need It

Whether you are a first time #homebuyer or refinancing your #mortgage, title insurance is essential.  Here's an article from Zillow that tells you why.

You understand the benefit of car insurance and homeowners insurance, but chances are you’ve never thought about title insurance until you started the process of buying a house. What is title insurance? It’s a policy that insures that you won’t have any unknown claims made to the ownership of your home.

What could go wrong?

A clean or clear title is important because the title is what gives you ownership of a property. Imagine buying your dream home, closing the deal and then realizing the previous owner hadn’t paid property taxes for several years. Those taxes remain charged against the property and as the new owner, you are responsible. The taxing entity could even take your home. Or perhaps two sales ago someone sold the home without getting the signature of an estranged husband who now wants to stake his claim. Perhaps the previous owner didn’t pay a contractor for some work on the home and the company put a lien against the house. Or the power company shows up with a crew to take advantage of an easement though your new backyard. The scenarios are seemingly endless and tracking down every last possibility is more than you can practically do on your own. That’s where title insurance comes in.

An ounce of prevention

Unlike most insurance policies, you pay just a one-time fee and your property is covered for as long as you or your heirs own it. If you are taking out a loan to buy your home, the lender will require you to purchase lender’s title insurance to cover its investment. Essentially, the lender wants to make sure this is a legitimate deal with someone who has the full right to sell the property to you. But the lender’s policy will only cover the outstanding amount of the loan at the time a claim is made. You also want to make sure you have a policy that covers your interest, called an owner’s policy. When purchased together, the owner’s policy is a relatively inexpensive addition.
As you’ve probably guessed by the one-time fee, title insurance doesn’t work the same way most other policies do. The truth is that title insurers rarely have to pay out on claims. But that doesn’t mean you’re paying them for nothing. To the contrary, unlike other types of insurance, title insurance companies mostly incur their expenses upfront and help prevent any kind of title surprise later on.
While you are in the escrow phase of your purchase, the title insurance company will conduct a comprehensive search to make sure there are no such surprises lurking in the dusty files in some forgotten corner of the county courthouse. The title company searcher looks at deeds, wills, and trusts, tracing the history of the property back many, many years. The search can be manual or on a computer or both, depending on records in your area. Among the important questions is whether all past mortgages and liens have been paid. Does anyone hold an easement? Are there any pending legal actions? That’s where most of your insurance premium goes – to conducting that search. Then, just to make sure you’re protected in case they missed something, title insurance will cover your losses if it turns out later that they missed something.
In some areas, the cost of the title search and the title insurance are separate, while in other regions they are lumped together.

What kinds of policies are there?

What’s covered depends upon your policy. If you purchase only lender’s title insurance and end up losing your home to a previously unknown lien, your mortgage will be paid off. That’s the good news. The bad news is that you won’t get anything to cover the payments you’ve made, including the down payment. You’re out a house. That’s why experts advise buyers to get an owner’s policy as well.
Owner policies come in different flavors. A standard policy will generally cover you up to the purchase price of your home. If you want to protection that will cover inflation, you’ll want an enhanced policy or an inflation rider. That also provides coverage for liens filed after your closing date. Say, for example, you buy a new home and at closing everything is clear. The next day, a subcontractor who worked on construction of your home files a mechanic’s lien. Without an enhanced title insurance policy, you aren’t covered and may end up paying the subcontractor. It’s up to you to look at coverage and decide which owner’s policy you want to purchase.

Shop around

The only time you can purchase insurance is at closing. Whether buyer, seller or both pay for the coverage varies according to local custom. In some areas, the seller buys the owner’s policy and the buyer pays for the lender’s policy. Both policies take effect on closing day. The Real Estate Settlement Procedures Act prohibits sellers from requiring you to buy coverage from a specific title insurer. However, if the seller is paying for it, the seller can use whichever company they want.
You can purchase title insurance from whichever company you choose. But the reality is that your lender probably has a preferred title company and it is much cheaper to piggyback your policy onto the lender’s. If you have a strong preference, you may be able to convince the lender to use the company you prefer. Costs are fairly similar from company to company in any region.
If you find yourself looking at the prospect of finding a title insurance provider with dread and want to just go with your lender’s choice, don’t feel bad. You buy title insurance whenever you purchase a home. Lenders buy it several times a day. In this case, the lender’s interest – a good, solid insurance provider – lines up with yours. So don’t beat yourself up for not pushing back on selecting your own title company.

Is there anyone who doesn’t need it?

If you are buying co-op housing, cross title insurance off your list. When buying a co-op you won’t actually own real estate. Instead you’re buying shares in a corporation so no title insurance is needed. Everyone else? Pony up.

For your next commercial real estate transaction, house purchase, mortgage refinance, reverse mortgage, or home equity loan, contact us. We can help. Located in Fairfield, NJ, we are the title insurance agent that does it all for you.

For your next title order or
if you have questions about what you see here, contact
Stephen M. Flatow, Esq.
Vested Land Services LLC
165 Passaic Avenue, Suite 101
Fairfield, NJ 07004
Tel 973-808-6130 - Fax 973-227-0645
E-mail sflatow AT vested.com
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Thursday, February 22, 2018

Picture Perfect HOA Reserves - Realty Times

HOA Reserves.

Do you own a home in a condominium or planned development with an association?  The financial health of your association is crucial.  This article from Realty Times give you a good understanding of the importance of a reserve account.
A reserve study identifies a homeowner association's future repairs and replacements like a snapshot in time. Imagine that you could picture the buildings and grounds as they would be in five, ten, even thirty years. A reserve study acts just like that by estimating the useful life of the common elements and the cost to replace them in the future based on current cost adjusted by inflation.
Read the full article at Realty Times

For your next commercial real estate transaction, house purchase, mortgage refinance, reverse mortgage, or home equity loan, contact us. We can help. Located in Fairfield, #NewJersey, we are the title insurance agent that does it all for you.

For your next title order or
if you have questions about what you see here, contact
Stephen M. Flatow, Esq.
Vested Land Services LLC
165 Passaic Avenue, Suite 101
Fairfield, NJ 07004
Tel 973-808-6130 - Fax 973-227-0645
E-mail sflatow AT vested.com
Sphere: Related Content