When Seniors Sell Their Home How to proceed Next to Maintain the Money That They Receive From the Sale

The problem is replacing the house will eat up all of the money that they have received from the sale of their home! Well it generally does not have to happen, there exists a way to keep the majority of your profits and live in a home of your choice without having to pay cash.

First let's consider the options

If you purchased your home 30 years ago you most likely paid much less then your neighbors in the area. So lets say you bought your house for $100,000 which twenty years ago is a higher end home. Now we went through the years of tremendous appreciation and perhaps you had the chance to sell your home in 2005 for $750,000 but, you decided that you would hold out for more. Then it hit; the devaluation period that started in late 2006 and in some areas of the united states continues to be going on today. So now you're thinking you better sell before you lose any longer money and not have any left to purchase a replacement home.

Determining today's value

You paid $100,000 for the home 20 years ago; now take that 30k and calculate 4% per year compounded over 30 years this might be about what your house should be worth today. You have calculated the value you should be looking at a house worth around $220,000 in the current real numbers predicated on 4% appreciation, or consider it this way 100% return on your own home purchase. Remember forget about what you may have gotten back in the boom most if not all of the value at that time was false or inflated. Now you have a value you can realistically depend on receiving today in the event that you sell! So now what do you do to replace your house. Well do you know the choices and what's the net that you will have to use in the end is said and done.

Time and energy to Sell First you need to have a look at your home just like you were going to buy it today! Walk around your home inside and out as if you are seeing the home for the very first time, one important things take the emotions out of everything you are considering and think buyer not you. If you think you can't do this they get your friend or bring in a Real Estate agent and tell him you want to hear the truth not just what they think you want to hear just to get the listing. Have them provide you with a honest evaluation of the problem and make suggestions they think will improve your sell ability and appeal. Again take the emotions using this it should not be taken personally this is usually a real business decision.

Now that guess what happens you someone else thinks about your home and what it could need to improve its market ability create a list with cost. Once you have the list with the cost linked to the changes determine what you are willing to do and everything you are not. Remember there are a lot of things you can do to your home that does not require a lot of capital to fix, cosmetic surgery can go quite a distance. If you really want to go one step prior to the rest of the homes available hire a reputable home inspector ahead into your house and do a complete inspection. This is going to be done by the customer so get a join it and also have it done first. In this manner you can advertise the home as an inspected home or you will have a tool in your hand in terms of negotiating the sale. Now with your repairs some should be down if they are important functionally or cosmetically to boost the value for sale. The main thing is realize what you are prepared to spend and get these exact things done before you list your home. Also you want to think what you will not do and remember if they're big expensive items then determine if you're will to credit the buyer for these items.

Given that you have gone through the list and completed the items that you are ready to do and determined just how much you have not done and if you will have a cost associated with those items, this is the time to list your home. Assuming you have not yet found a Realtor or if you're going to try to sell it yourself, that is not really a good notion unless you are experience and are ready to be considered a marketing person. So lets say you do not want to do it yourself and you also want to hire a professional. I take advantage of this word loosely I mean professional!

Top Ten Questions to Ask

If you are going to use a Realtor you then have to hold interviews with several agents and brokers to find out who can get the job done in today's markets.

Here is set of things to ask!

1. How many years are you in the business?

2. How many sales perhaps you have completed in the last year?

3. What were your average days on the market?

4. That which was the percentage of list price verses sale price?

5. What have you any idea about my home area?

6. What is your marketing program, and do you have a detailed plan?

7. Are you experiencing any suggestions on my home that may make it sell faster?

8. Do you promote my home online, real important the stats are 85% of all buyers are online looking for homes!

9. Do you have detailed report of the worthiness of my home?

10. Do you negotiate your fee if my home will not sell for your suggested list price?

This is just the very best ten things you need to ask a Realtor if you are interviewing them for the job, and remember tell them you're interviewing them before they even come your house. You now have the tools it is advisable to get not only get yourself a good agent to market your home, you also have the house cost for repairs and you also know about how much your house should sell for today. Real important also consider financing options that you will be willing to except from the buyer, do not limited the options, except almost everything that is available today. Your agent must have the knowledge of the various options, but what ever offers you want to entertain the buyer must have an approval at hand no exceptions. Do not except any offers where the buyer includes a mortgage approval contingency it should only be contingent upon an appraisal, title, and a house inspection assuming you have not offered the one that you had completed. Yet another thing always and After all always offer a Home Warranty from a good company on the house, piece of mind for a buyer will probably be worth thousands to you.

Now you have your price and you also have determined how much you will have in your pocket to get a replacement home. You know what you need and where you want to go. Now venture out and appearance at homes, do not put any offers on homes unless you have the money you will need in hand. Now here is where you can really make a great deal on a home, and keep the majority of your money in your pocket. When you find that home you want to purchase and you have determined the price that you are willing to pay and your home is under agreement to close then make your move to buy. Never get yourself caught in position you need to sell your home just to get out as you have to choose your new home, this is to stressful also it gives you a negative position with buyers of your home.

Here is where you get to keep most of the money you obtain from the sale of your house.

In the past a lot of people who were investing in a new home had basically two options they either paid cash for the home, or they put enough down and took out another mortgage with payments so when a senior neither of these options are viable for a person who is certainly going or is in retirement. Just what exactly is it possible to do! Think in Reverse today seniors will be the only ones that have a third option that is really the only solution to keep the profit their pocket. The US Government has a program which will allow you to buy a home and never make another payment for the others of your life and keep a larger portion of the proceeds you get from the sale of you home tax free. That's right the proceed or the appreciation of the worthiness of your home around $500,000 for a couple of is your to keep tax free. Now here's where you could really capitalize on your purchase and keep more of your money for you're retirement! Think Reverse Mortgage purchase mortgage, you should use the program and make your offer to purchase as an approved buyer ready to buy. Under this program you just have to have a deposit on the average at age 62 of around 40% of the purchase price or the appraised value which ever is less and finance the balance with a Reverse Mortgage and never make a mortgage repayment for the rest you will ever have. The best part is you can keep the balance of your money that you receive from the sale of your house tax free for the retirement. So when you choose to sell and buy an upgraded home think in Reverse of what you did once you purchase your house 20 year ago and go and revel in the rest of your life and truly make sure they are the golden years. Oh a very important factor I forgot to mention this mortgage have not income, credit to qualify all you need to have may be the money for the down payment and be at the very least 62 years, how easy it that to purchase your new home.

Tim Robbins,Sr I am a senior Reverse Mortgage Specialist. My main goal is to provide the best education resources available and to always place the seniors interest first and foremost. My website is made to give you all the available information which you can review either on the net or video at [1] for all your senior resources you may need for a good life. Also contact me Toll free at 800-610-3599 for a free of charge Report ABOUT Reverse Mortgages Visit me on my website there it is possible to speak to me live with a toll free call or it is possible to hook up to me live via my exclusive video live connect Ask Questions Take a look