Once we find a buyer for our home, is it safe for us to move out?

After reviewing the buyer's purchase agreement, you will most likely find that the buyer's purchase contingencies will all be removed by day 21 of the escrow period.

After all, contingencies are removed, it is fairly safe to start moving out.

I say fairly safe because a buyer could still back out of the deal after their contingencies are removed.

Most buyers don't do that because if the contingencies are removed, you as the seller can go after the buyer's deposit.

The buyer's deposit is usually 3% of the purchase price.

So if the home is $1,000,000 the deposit is $30,000.

Most buyers would continue with the purchase rather than lose $30K... but you never know.

In my opinion, it's reasonably safe to start moving out once all contingencies are removed.

When are home sales the slowest?

Although right now is typically a slow period in real estate, I am predicting a hot real estate market for the 4th quarter of 2019.

The reason is that buyers have been experiencing heavy competition for the last several months, have had their offers rejected, but are still very motivated to buy a home.

All those buyers that have not had any luck lately will be hungry and ready to pounce on any new listings that come up.

That should make for an interesting end to the year.

Home sales are the slowest in the 4th quarter

The 4th quarter of the year (October, November, December) is usually when home sales are the slowest.

The reason is that everyone is busy with the holidays that come up during those months.

A buyer may put their home search on hold because they are having their family stay at their home for #Thanksgiving.

Or maybe it's more important to a home buyer to go to all the holiday parties instead of focusing on finding a home.

No matter what the reason is, the 4th quarter is typically the slowest time of the year in real estate.

Having said that, the real motivated buyers and sellers are still out there trying to make a deal happen.

Some of the best deals I have seen have gone down during the holiday season.

Episode 30 of The #AskDanielLosAngeles Show

On this episode, I answer the following four real estate questions:

1) At what point during the year are home sales usually the slowest?

2) Now that we found a buyer for my home and we are in escrow, is it safe for us to start moving out?

3) A lot of the homes I am touring are selling for more than the list price. How am I supposed to buy a property if everything I am interested in keeps selling over the asking price?

4) I do not want to spend a dime on staging my home. What other options are out there to make my home look more attractive to buyers?

We have almost 20,000 Instagram followers... join us!

The most famous home to sell this week in Los Angeles

The Ennis House just sold for $18,000,000 in the Los Feliz hills.

The home was designed by Frank Lloyd Wright for Charles and Mabel Ennis and was built in 1924.

The design of the house was based on the ancient Maya Temples and its notable detail is the relief ornamentation on its 27,000 perforated and patterned decomposed granite blocks.

Filmmakers flocked to its location. The home shot to fame when the exterior façade was used for the House on Haunted Hill in 1958, but it is most known for being in the movie Blade Runner and the TV show Buffy the Vampire Slayer (one of my favorite shows growing up!).

The house was included as one of the top ten houses of all time in Los Angeles Times, and is a designated California Historical Landmark, and a Los Angeles Historic-Cultural Monument.

Homeowners are feeling, "house rich, cash poor"

One in five U.S. homeowners say they feel house rich but cash poor, according to the newly released Hometap Homeownership Study.

With home prices continuing to climb up, nearly 20% of 675 homeowners surveyed classify themselves as feeling “house rich, cash poor” most of the time, according to the study produced by Hometap.

Seventy-three percent of respondents say they feel “house rich, cash poor” at least some of the time.

I bet if they surveyed renters they would find similar numbers.

I believe we all face similar challenges.

After all, I think being worried about how you are going to provide shelter and food for your family is a feeling all humans have had since the cavemen times. @hometap_

Is there a certain day I should close escrow on?

If you are a buyer, the best strategy is to close escrow on any day Tuesday - Friday.

For example, have the lender fund your mortgage loan on Monday, close on Tuesday.

Or have the loan fund on Thursday, close on Friday.

Avoid having the lender fund on Friday, pay interest on the loan over the weekend, then close escrow on Monday.

There is no point to pay interest over the weekend on a home you technically don't own yet!

Avoid closing on a Monday

You usually don't close escrow the same day your lender funds your mortgage loan.

Normally the lender funds the loan, then you close escrow the next day.

Also, keep in mind you can't close escrow over the weekend, the county recorder office is closed.

Therefore, if you are scheduled to close escrow on a Monday, the lender must fund the loan the Friday before.

This should be avoided if possible. Why?

Because once the loan is funded, you start to pay interest on that loan.

It's not the best idea to pay interest on a home you technically do not own yet (it's not your home until you close escrow on Monday).

The best thing to do would be to wait and have the lender fund the loan on Monday, then close escrow on Tuesday.

That way you are not wasting money and putting more money into your lender's pockets.

How do I send my deposit money to the escrow company?

I just saw on the news that a home buyer was scammed out of her entire deposit amount.

She received fake wiring instructions and had thought the instructions came directly from the escrow company.

She wired her deposit money over to the account on the fake instructions.

The thieves took the money and were never heard from again.

The buyer is now out the money she wired over and no longer has enough money to purchase a home.

She has to wait and save up more cash.

This is a terrible story and I am warning you now to always confirm that the wiring instructions are real.

This is very easy to do!

Once you get the wiring instructions emailed to you, call the escrow company and confirm over the phone that the account number that you are wiring to is in fact their real account.

Once confirmed, then you are safe to send the money.

How long is the escrow period?

Buyers using cash to purchase a home typically close escrow in 7-14 days.

Buyers using a conventional loan to purchase a property (at least 5% down payment) typically close in 30 days.

Buyers using FHA loan to purchase a home (3.5% down payment) typically close escrow in 45 days.

Most expensive home to sell this week in Studio City

Original asking price: $4,750,000
Sold price: $4,250,000
.
After being on the market for only 25 days, the owner of this #StudioCity home decided to accept a offer that was $500,000 below asking price.
.
Do you think the owner was too quick to accept such a low offer... or should the owner have kept the home on the market a little longer in hopes of getting more money?
.
Comment "accept" or "wait".

3 years' search for this Glendale home

The buyers of this #Glendale home had been searching for a property for 3 years.
.
Their agent put in several offers on their behalf, but they could not get the job done.
.
My past client and friend referred them over to me. The buyers came by my office in the morning for my "Buyer Orientation" meeting.
.
This is where I take them through the entire purchase process, from beginning to end. 
.
In the afternoon I showed them 3 properties. They fell in love with one and immediately decided to put in an offer. 
.
After a little negotiating with the seller, my clients got the home for $1,075,000. The sellers original asking price was $1,250,000.
.
3 years of searching with another agent... and in 1 day I found them their home.
.
I hate to toot my own horn... but... TOOT TOOT!

Most expensive home to sell in Burbank this week

Original asking price: $2,399,000
.
Sold price: $1,800,000
.
Is a backyard important to you?
.
This #Burbank home does not have much of a backyard and still demanded the million dollar price tag.
.
If a small yard is a dealbreaker for you, comment below "dealbreaker".