How to Come Up With a Convincing Purchase Offer

Dear Joan,

Our family is moving out of Eagle County to another more populated area.  The good news is that the new city has more homes for sale.  The bad news is the competition for homes seems higher also.  We have found several homes that we like and they went under contract to another buyer almost immediately.  We also have found several homes that would work for us and we have written up offers.  Unfortunately, they have been rejected and before we could put in another offer, they were quickly put under contract by someone else.  What do you suggest we do to increase our chances of securing a home as soon as possible?

Dear “Aspiring Home Owner”,

It sounds like you are in a Seller’s market in your soon-to-be new location.    Or, at least, the price range you are looking in has a lot of competition due to more buyers than Sellers right now.  This can be a frustrating experience but you can certainly

take steps to greatly increase your odds of getting an offer accepted on a home you would like to own.  First, I would try to take the mindset of the Seller, i.e. what would you be looking for if you were a Seller in a relatively low inventory market and wanted to sell your home, and be sure the offer you accepted had the best chance of making it all the way to closing?  Keeping that thought in mind, here are the 6 things I would suggest you incorporate into your offer:

1.   Make your very best offer on price.  Now is not the time to low ball or hope the Seller will counter to your offer if you are too low.  You may only have this one chance, so make your very best offer that you can and will pay for the property.  Then, if someone else gets it for more money, you can just go on to the next property, instead of wishing you had gone a little higher.


2. Make a cash offer or attach a pre-approval letter with the offer.  Of course the most convincing offer is cash, but absence of being a cash buyer is best covered by a strong pre-approval letter from your lender showing that they have verified your income and credit score and have determined that you can make payments on the amount you will need to borrow.


3. Make a statement with your earnest money deposit.  This is a place you can stand out and look like a  strong Buyer by offering at least twice what a normal earnest money deposit would be in that local area, at very little risk to you.  Colorado contracts have clauses that allow the full return of your earnest money.  Be sure to go over this with your Realtor, especially if you happen to be going to another state.


4. Make an offer that has minimal contingencies.  There are a number of standard contingencies that Sellers usually will allow.  Try not to add any more, as these become red flags to the Seller. Usually the standard contract covers the Buyer quite well.


5. Make your offer reflect that you will pay all of the normal costs associated with the sale that go to the Buyer’s side, and you might even include that you will pay some of the closing costs of the Seller.


6. Make your closing and move-in date work with the Seller’s needs and concerns.  Here I would ask your Realtor to check with the Seller’s agent to learn what the Seller’s ideal timetable is for closing.  Then find out if offering the Seller an opportunity to  lease back for a short time (usually not more than 30 days if you are getting a loan) to take pressure off their move out of the house, would be a plus to them.  This willingness to work with the Seller’s timing is often extremely attractive to a Seller and may make your offer the one they cannot refuse!

The above techniques work in almost all markets, so be sure to discuss them with your Realtor, if you have not already done so.  We hate to have you leave the Valley, but we wish you all the best!

Joan Harned is an owner/broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team of qualified experts.  Harned has been selling real estate in Eagle County for 27 years, is a past Chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes.  Contact Joan with your real estate questions at Joan@TeamBlackBear.com, 970-337-7777 or www.teamblackbear.com

Original publishing in the Vail Daily on 2/8/14 can be seen by clicking here.

Leasing a home while trying to sell it

Dear Joan,

I am very anxious to sell my townhome, but I have not even had an offer yet. I feel I have priced it right and I have taken care of every maintenance item that has come up since I have owned the property. I have two very nice tenants in the property, and I have always found them to be neat and tidy. Their lease runs out in 90 days and I have told them I will honor their lease or give them monetary compensation to move. Both tenants seem to be fine with that. The only issue I can think of is that one of them works days and one of them works nights. The listing agent has said he often has trouble accommodating showing requests with their schedules. What advice would you give to expedite a sale?

Dear Anxious to Sell,

An online real estate-related blogging platform named “ActiveRain” recently polled 1,000 Realtors and asked them the top-three mistakes sellers often make when it comes to trying to get their homes sold. Six items rose to the surface. I believe that with the information you have provided, the top two issues from the poll are the most likely reasons why your property has not sold yet.

The top mistakes made by home sellers:

• Overpriced home: 77 percent.


• Showing availability: 34 percent.


• Cluttered space: 32 percent.


• Unpleasant odors: 28 percent.


• Unwilling to negotiate: 21 percent.


• Won’t make repairs: 20 percent.

I know you believe that you have priced the home right. However, it can always be argued that a home is over-priced if it is not under contract. I would say that there are other variables, but if a house is priced low enough, then it will almost always sell despite any and all other issues. You, of course, want the highest price possible, so I would suggest you look at the second issue, “showing availability.”

Not being able to show on short notice is always detrimental to getting property sold. Now your tenants have not only made it difficult to show on short notice, but often your agent cannot set up showings even with 24 hour notice at times that are convenient for the buyer. This is very detrimental to getting your property sold because some buyers simply will not be able to look during the few times available to them. And another possible consequence could be that showing brokers may get discouraged trying to get into the property, so they pass it by on the properties they present to their buyers, if the buyers are not flexible with their viewing times.

Serious Conversation

If I were you, I would have a serious conversation with your broker and see if the broker thinks that the price is at or above market value. If you want to leave the tenants in, then you may need to go under current market value to encourage buyers to deal with the schedules and the lease that the tenants have.

If you have the ability to wait until the tenants move out, then that may be a solution also. However, you will need to deal with no rent for a few months, the time of year you are selling and whether or not the market will be going up or down at that time. I would look at the above statistics and work on the price first. Good luck with your decisions.

Joan Harned is an owner-broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at Joan@TeamBlackBear.com, 970-337-7777 or www.SkiAndTeeHomes.com.

Original publishing in the Vail Daily on 1/31/14 can be seen by clicking here.

Friend’s exclusion worries buyer

Dear Joan,

I have a home out of state and I am listing it with an agent soon. I have asked for an exclusion of a friend of mine that wants to buy my house, but my friend’s purchase is contingent upon his house selling, and it is not under contract. My friend has made an offer at an acceptable price, and now I am worried his house won’t sell and neither will mine if the listing agent has to tell clients it is under contract but there is a contingency. What do you suggest? Chuck.

Dear Chuck,

You are asking some good questions, I must first state that I am only licensed in Colorado and different states have different rules. Also, I am not an attorney and cannot give legal advice, only seasoned Realtor advice.

Those things being said, I am not certain at what stage you are in the process. If the listing agent has agreed to take the listing and exclude your friend, then it probably is not for very long. Most Realtors will only exclude a seller’s buyer for a short amount of time when they take a new listing. This actually helps you as well as your Realtor. It helps you because it forces your buyer to do a written offer right away, so that you know where you stand with him. If he does not do the offer right away, then he will become subject to the same price and conditions as any other buyer.

If, indeed, you have an already signed written offer from your friend, then hopefully you have made it for a short amount of time. Meaning that you are only giving him 30 days to get his property under contract, for example, or his offer expires (unless you both mutually agree to extend it). Hopefully you also have a clause in your friend’s contract that gives him only a few days to remove his contingency if you receive another acceptable, non-contingent offer. By having a clause that gives him, say, three business days to remove his contingency of selling his home (i.e. he gets a bridge loan, borrows from his family, can afford to have two mortgages at once, etc.) you are less likely to discourage other potential buyers. If you have not done either of the above mentioned suggestions, then see if you can get him to let you make an amendment to his offer to add the proper clauses to protect yourself.

One last item to check on — in the Vail Multiple Listing Service, if you have signed and accepted a contingent contract, then the listing agent must show the property as “under contract” and your likelihood of finding another buyer dramatically drops. Please discuss all of these items with your Realtor as soon as possible. Best of luck to you!

Joan Harned is an owner-broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team of qualified experts. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Joan with your real estate questions at Joan@TeamBlackBear.com, 970-337-7777 or www.teamblackbear.com.

Original publishing in the Vail Daily on 1/24/14 can be seen by clicking here.

Winter a good season to sell

Dear Joan,

I have finally decided to sell my outlying ranch property — but it is now the dead of winter and you can’t see the dirt anywhere! Is it possible to sell an Eagle County ranch this time of year? Am I better off to wait until spring to sell it? What has been your experience?

Dear Winter Ranch Seller,

I will give you the facts, as I see them, thorough my 27 years of real estate, including selling many ranches on the Western Slope and then you can decide.

• There are as many or more qualified buyers here in the winter as the summer. Think about how many planes, commercial and private, that frequent our Eagle County airport and Vail-Beaver Creek Jet Center. Vail is known for its premier skiing worldwide — not our wonderful summers.

• Many winter “guests” fall in love with our area and like to look at property on an off day of skiing. Once winter guests are here, they often cannot believe how beautiful our county is, and they start to think about owning property here. They may call and talk to a real estate broker and decide that they can take a day off of skiing and look and see what they might choose to own here. Some have always wanted to own a “piece of the West,” and a ranch has great appeal.

• It is important for a buyer to see the ranch they will buy in the winter (wind drifts, ice dams, accessibility, etc). If you truly want to own a Western ranch, then you need to know what it will look like in the winter, as well as summer. There are usually a lot of summer pictures that have been taken, but to truly know what it is like in the winter, including the roads to the property, you need to see it in the winter.

• If it is a very large purchase (such as a $23 million ranch we sold), then they will want to see it now, in the winter, but they may not close until they also see it in the summer. If they want to see it both times of year, then it is better to start now.

• Some buyers are considering a purchase for winter recreational use, snowmobile, cross-country skiing, snowshoeing, winter hiking, sledding etc. As you would guess, the clients that come in the winter actually like winter and winter sports. We often have the criteria given to us from clients that they want to be able to snowmobile on any ranch they would consider buying.

• You never know when your buyer will show up, so why not start working on selling it now. This is the one thing we have learned in decades of selling that we may guess the profile and timing about the client that will buy a certain property, but we are continually pleasantly surprised with who and when a client will buy a property.

If you have definitely decided to sell, then I would not miss the winter season in our resort community. Consult with your ranch broker and see what they advise. Best of luck to you!

Joan Harned is an owner-broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at Joan@TeamBlackBear.com, 970-337-7777 or www.SkiAndTeeHomes.com.

Original publishing in the Vail Daily on 1/17/14 can be seen by clicking here.

Cap rate vs. appreciation investments

Dear Joan,

I am looking for a real estate investment in your valley, and I have not decided the best way to go yet. I am considering a residential rental or maybe a commercial property. Do you have any local knowledge that I may not have thought of, as I sort through properties on the way to making my decision? I just want to make sure I end up with a sound investment here!

Dear Investor,

Let’s talk about what you consider a sound investment. Are you are looking purely to make money, or are you also buying for pleasure, with reasons such as using the property part-time for yourself or just having a possible tax write off for coming to the valley more often? Once you have decided your true goal(s) you will be able to take a better look at each opportunity.

When I am advising my clients that are looking at making a real estate investment, I have them look at two factors: Capitalization rate (cap rate) and appreciation.

You have picked a good time to look for your investment because there are options in both residential and commercial in today’s market.

Let’s look at residential first. During the height of our previous pricing boom, there were very few residential properties that would have a positive cap rate (annual net operating income divided by the cost equals capitalization rate or the percentage you will make on your money). Meaning, that you could not charge enough rent, monthly or daily to defray your initial purchase price to make the residential property have a positive cash flow. At that time, almost all of the income you could hope for was appreciation as the value of the property increased, and that increase was substantial in many cases. However, in today’s market it is possible to actually find some rental residential properties that do have good cap rates.

As far as the appreciation for a residential property goes, we are starting to see appreciation become a positive factor again as prices slowly creep up. As a licensed real estate broker, we can never state that a property will increase in value we can only give you the comparable information during a period of time and let you draw your own conclusions. Ideally, you will find a property that will cash flow and be appreciating at the same time. On the other hand, if your main goal is to enjoy the property yourself and defray some costs and some expenses, the location and your personal preferences for your family’s wants and needs will probably be the deciding factors, not necessarily the potential income.

As far as commercial opportunities that have cash flow, these were hard to find during our economic down-turn but they are also starting to appear on the horizon now. Commercial store-front property can still be purchased at a good price and we have had some multifamily properties with good cap rates plus room for “sweat equity” improvements. We have also recently had some multifamily lots become available, as well as prime locations for commercial services on our I-70 corridor in our current market.

I would recommend that you find a knowledgeable real estate broker to represent you and have them make a thorough search of the market in your ideal price range. If you get an agent that has experience and a good working knowledge of the area you would like to be in, then they may know of opportunities that will be coming available soon and can let you be one of the first to see a new listing as it hits the market. The wonderful part of Eagle County is that there are so many great choices! Best of luck to you!

Joan Harned is an owner and broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at joan@teamblackbear.com, 970-337-7777 or www.skiandteehomes.com.

Original publishing in the Vail Daily on 1/10/14 can be seen by clicking here.

How much is enough earnest money?

Dear Joan,

I just received an offer on a property I have listed for sale and I am concerned about the earnest money. First of all, the buyer has an “alternative earnest money deadline” date, saying they will provide the money in the future, not with the contract offer. Secondly, they have made the earnest money amount less than 2 percent of the purchase price, and I think that is too low. I have been told that the buyer can get their earnest money back for a lot of reasons, so not to worry about the amount. What do you think?

Dear Concerned,

In answer to your first question, it is very common to use the “alternative earnest money deadline” with a date in the future for the buyer to provide the earnest money. This is done so no one has to put up, or hold on to, a large sum of money while the buyer and seller are still negotiating back and forth hoping to work out an acceptable contract that might never happen. I think the only important consideration here is to have the money be tendered within a few business days of mutual acceptance of a contract by the buyer and seller.

Secondly, the amount of the earnest money is an important factor in a contract, in my opinion. It is true that the buyer has eight to 10 ways they can object (in a timely fashion) and be released from the contract and have all of their earnest money returned. If, however, the contract is contingent upon the buyer getting a loan, and then the buyer does not go through all the steps necessary to apply for a loan, or they fail to object to any part of the contract on or before the specified date to object in the contract, their earnest money could be at risk. Also, Paragraph 29 of your Colorado Contract to Buy states that each party has an obligation “to act in good faith” and therefore must earnestly and diligently work towards the completion of the contract. This paragraph is, of course, subject to legal interpretation, but could be cause for the buyer’s earnest money return to be put at risk for various reasons.

You should also consider Paragraph 19 of your listing agreement called “forfeiture of payments” that states that in the event that the buyer does forfeit their money, that money is to be divided 50/50 between you and your listing broker, not to exceed the commission amount that could have been earned. Therefore, unless you have made other arrangements, you need to ask the buyer for twice the amount of earnest money that you plan on retaining.

Before making your final decision, if you have a good offer and the earnest money becomes the only sticking point, you can sometimes accept less money initially and then ask for additional earnest money once all the contingencies have passed. Your listing broker can advise you on how to do this. Good luck with your sale!

A copy of the Colorado listing contract can be seen at http://tinyurl.com/colisting and the sales contract can be seen at http://tinyurl.com/cocontract.

Joan Harned is an owner/broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at Joan@TeamBlackBear.com, 970-337-7777 or www.SkiAndTeeHomes.com.

Original publishing in the Vail Daily on 1/3/14 can be seen by clicking here.

Buyer confused about survey

Dear Joan,

I am working on buying a house in the valley and the contract has a section about a survey. There are several surveys mentioned in the contract, and I have been advised to pay for an “improvement location certificate” (ILC). I’m not even sure what that is. The seller says they have a survey of the property, but my Realtor says that it is not an “ILC.” Can you please tell me the difference and why they want that certificate? My Realtor has explained it, but I am still uncertain.

Dear Uncertain,

A survey is a scale drawing of the exact location of all the borders and corners on a specific parcel of land. An improvement location certificate shows a “depiction” of the property boundaries and shows the location of all of the improvements (structures), encroachments and recorded easements pertinent to the property. An ILC used to be required by most lenders and many title companies, but rules have changed. Most companies in the valley now only require an ILC on homes over $2 million and many lenders have deleted that requirement. The ILC, though not often required, is always recommended by a competent Realtor for homes that include the surrounding land to make sure the home is actually built on the land that you will acquire in your deed at closing. Some of the older towns in the valley had lot lines that were measured incorrectly many, many years ago and consequently, all of the homes on the street actually have part of the dwelling on a neighbors property. Many of these have been straightened out over the years, but not all. Even in new subdivisions, mistakes have been made and homes have been built in the setback from the street that the town owns.

One property we sold had the barn accidently built almost entirely on the neighbor’s property. They had went off survey pins that were wrong pins. Sometimes homeowners add fences, decks, home additions, etc., that hang off the land that they own. Therefore, it is always best to spend the money to have an updated ILC so you can see the improvements or encroachments and know how far away your improvements are from your actual lot line. If there is an encroachment, it can often be legally mitigated with endorsements from the title company. However, if you purchase the property with no knowledge that part of your home or other improvements encroach on your neighbor, you could someday be forced to remove the part that encroaches. Not a pleasant thought. Take the advice you were given and have your Realtor recommend a good surveyor. An ILC from a licensed surveyors is less expensive than a full land survey and is often well worth the price. Best of luck to you.

Joan Harned is an owner and broker for Keller Williams Mountain Properties and heads up Team Black Bear. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact her at joan@teamblackbear.com, 970-337-7777 or www.skiandteehomes.com.

Original publishing in the Vail Daily on 12/27/13 can be seen by clicking here.

How is the real estate market doing?

Dear Joan,

I think I am reading good news about real estate prices and sales in our valley in the local paper. However, I am not sure enough to go ahead and put my property on the market and feel confident I can get the price that I want. Is the real estate market truly better this year? Are prices going up? What is your interpretation of the market in general?

Dear “Unsure,”

I can’t tell from the information you gave me about “the price you want,” but I will happily give you my opinion of the market in general. We have several great title companies in our valley and one of them is Land Title, which gives us sales statistic updates regularly. Land Title’s most recent report shows that we are up 8 percent in the number of transactions in Eagle County over 2012. Also, we’ve only had 120 bank owned sales this year, compared to 313 last year. Having fewer bank owned sales has helped stabilize pricing. As far as price increases go, it is difficult to assess each of the 32 areas in the county simply by taking the average price of a single family home. I say this because home sizes vary greatly and some areas have a low volume of sales, which provides less than realistic data.

Although price per square foot doesn’t tell the whole story, it might be a slightly more accurate measure. Overall, the average price per square foot for single family homes is up 1 percent year to date from 2012. But the real story is in the different areas of the valley. To determine what your neighborhood is experiencing, here are communities and the change in price per square foot from 2012: Vail Golf Course, 133 percent; Vail Village, -7 percent; Lionshead, -8 percent; Minturn/Redcliff, 36 percent; Eagle-Vail, 10 percent; Avon, -23 percent; Edwards, 27 percent; Cordillera Valley Club, 20 percent; Cordillera (south of I-70), 0 percent; Eagle, 8 percent; Gypsum, 23 percent.

Once again, this doesn’t tell the whole story, as some areas were harder hit so their increases are greater in a recovering environment. You can see that we are generally on the rise, and I can definitely say the “feeling” of stability is back.

Also, don’t forget that if you are going to buy a new property, while you are waiting for your price to go up, chances are the price of your next property is rising also. You may not end up better off financially by waiting. An experienced broker can help you interpret your neighborhood and make this decision.

Joan Harned is an owner and broker for Keller Williams Mountain Properties and heads up Team Black Bear. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned at Joan@teamblackbear.com, 970-337-7777 or www.skiandteehomes.com.

Original publishing in the Vail Daily on 12/20/13 can be seen by clicking here.

Does your listing have a ‘fatal flaw’?

Dear Joan,

My house is listed for sale with a real estate agent/friend of mine, and I am becoming disappointed in the lack of activity from buyers. This agent has my property in the paper and has done several open houses, but there have not been any offers yet. I don’t know what I should do since this person is a friend. This situation is becoming very uncomfortable for me. What do you suggest?

Dear Seller,

You definitely need to have a talk with your friend/agent as soon as possible. Retaining your friendship should be the most important factor to keep in mind. If you think your friend is not doing a good job, then ask for a frank discussion of what marketing they are doing and how they feel about the progress or lack of progress with the sale. If you don’t feel any better about the situation after this conversation, then ask your agent if they would give you a recommendation for another agent, so as not to strain your friendship. Bear in mind that you may hear some frank message(s) that your friend/agent was too polite to tell you when they first took the listing. There is a chance it may be your property and not the agent. So, if your agent is doing an excellent job of marketing on the Internet as well as local networking, along with the marketing you spoke of, then maybe you should check to see if your property has one or more of the three “fatal flaws” that will keep a property from selling.

Possible ‘flaws’
The possible “flaws” that your agent might now bring up are as follows:

• The property is priced well above today’s market pricing.


• The home has an unpleasant odor such as cigarette smoke, pet odor, etc.


• The property is messy and/or dirty.

These three factors make it very difficult to sell in today’s market. A lot of sellers think it is smart to start high with the asking price as “you can always come down.” Actually, in today’s market, buyers won’t even look, let alone make an offer if the property is significantly above market value. Check your pricing with a comparative market analysis from your agent.

As far as an odor goes, that can be very challenging to rectify, but well worth the effort. If the smell is unpleasant to the majority of buyers, then the only solutions are to fix the odor issue or sell for well below market value.

 Easy fix

Lastly, it is good news if your agent recommends cleaning and staging. If this is the case, let the agent help you find professional help and do this right away. This is an easy fix and can make a huge difference in how long it takes to sell your home and the ability to get the highest price possible.

Be sure to take action soon; waiting is not going to help in your situation. Best of luck to you in keeping a friend and getting your sale accomplished!

Joan Harned is an owner-broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at Joan@teamblackbear.com, 970-337-7777 or www.skiandteehomes.com.

Original publishing in the Vail Daily on 12/13/13 can be seen by clicking here.

Does it pay off to rent forever?

Dear Joan,

My friend had to go through a short sale on his home, and now he is renting. He told me he is going to rent for the rest of his life since he got “burned” so badly on his last home purchase. I have told him that I don’t think that he should think that way and that he should save to buy another home. He said he would rather buy boats and cars and just rent forever, like his grandfather did. What should I say to him?

Dear Friend,

You are a good friend to be concerned. You are right that he does not have a good long-range business plan. According to the chief economist of the National Association of Realtors, “on average (nationwide) homeowners have a median worth of nearly $200,000, while renters are essentially living paycheck to paycheck, with only $4,000 in net worth on average.” This is not just a problem for your friend — there are 6 million more renters today than a decade ago, according to the National Association of Realtors. Many are by choice, but many lost their homes to foreclosure and short sale. The good news is that they can check with a Realtor who will put them in touch with a caring mortgage broker who can help them get on a plan to be able to buy again in a relatively short amount of time. By planning and taking care of credit requirements, they can often shorten the time.

As far as the “desire” to buy again goes, there are many factors he needs to consider that he is not looking at right now:

• As a renter you are subject to the rental market and your landlord’s pricing. The rental market is getting tighter so rents will go up, and he has no control over that.

• Boats and cars seldom go up in value. Usually, they cost money to maintain and continue to depreciate;

• He may actually be fortunate that he is no longer paying on a home that was so overpriced for the market. He might be able to buy a comparable home for much less money next time around.

It is understandable that he is upset right now, but hopefully he will see the situation with clearer eyes in the not too distant future. Also, you could try to get him to talk to a knowledgeable Realtor to discuss his options. If not, maybe you should talk to the Realtor and see about buying some rental property that he can occupy, and then you will have a lifetime tenant to pay your mortgage!

Joan Harned is an owner/broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at joan@teamblackbear.com, 970-337-7777 or www.skiandteehomes.com.

Original publishing in the Vail Daily on 12/6/13 can be seen by clicking here.

What is the best time of year to sell?

Dear Joan,

I have been thinking about selling our home in the Edwards area, but my wife says it is the wrong “season” and we should wait at least until spring. Since we don’t have to sell now, what do you think is the best time of year to list and sell our home?

Dear Undecided Seller,

I understand what your wife is referring to. Traditionally, nationwide, the spring and summer has been considered the best time to sell. This perception was formed because buyers and sellers have not wanted to move until the school year was completed. Also many yards are more attractive and moving is physically easier in the summer in many places.

Our valley has often been considered two distinct markets. The eastern part of Vail Valley has traditionally been considered a “winter sale,” since most visitors came to Vail, Beaver Creek and Arrowhead to ski in the winter and fall in love with the beautiful surroundings and ambiance. The western part of the Valley, in Eagle and Gypsum, has been considered a little more traditional with summer sales more prevalent.

I personally think the whole valley shares both the summer and winter movement in the real estate market now. Our winter guests often come by plane and land in Gypsum (Eagle County Regional Airport) and see the western part of the valley first.

The growing numbers of summer Vail and Beaver Creek visitors often drive down to enjoy the charming town of Eagle and go to Costco in Gypsum. Also, the 14 golf course communities from Vail to Gypsum all attract players to try the various beautiful venues, causing more frequent travel throughout the valley. Since you are located in mid-valley in Edwards, you get to enjoy the best of both selling opportunities in the blended seasons.

Therefore, if you take into consideration the year round market I have described and add in: One, that the inventory of homes for sale is considered low in certain price ranges; two, that mortgage lending regulations are going to increase substantially Jan. 1 (making it more difficult for some buyers to qualify); and three, interest rates are creeping up (which decreases the buying power of non-cash buyers) ... you may be right! It might be an excellent time to put your home on the market. As each sale and seller’s situation is different, please be sure to get all of the facts and sales data for your neighborhood from an experienced, trusted Realtor. Best of luck to you!

Joan Harned is an owner and broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at joan@teamblackbear.com, 970-337-7777 or www.skiandteehomes.com.

Original publishing in the Vail Daily on 11/29/13 can be seen by clicking here.

Should I buy a house I’ve never seen?

Dear Joan,

We live out of state but come to the Vail Valley often. We have been looking for a “great deal” on a home for a couple of years now. Our Realtor has just sent us information on what she thinks is a “great deal” and has told us it will not last long at this price. We are unable to come to the valley until the end of the year, and she says it will be gone. She has sent us the MLS pictures plus more of her own pictures. Do you think it is safe to buy a property we have never seen? We are really tempted to go forward. What do you think?

Dear “Tempted,”

I have made it a policy to not sell a property that the buyer has not physically seen, with the exception of a few outlying properties. However, I broke my own policy last winter when I had a similar situation. I helped my buyers write an offer that beat out more than a half dozen other offers on a home they had never seen. We went through the whole inspection and closing and they saw the property for the first time a few weeks after they were already the owners. Here are the factors we considered and maybe they will help you with your decision:

• I knew the buyers very well, both husband and wife, after two-plus years of showing them properties when they were in town.

• I knew what they wanted, i.e. location, size, bedrooms, baths, living space inside and out.

• I knew what they wanted to pay and their ability to physically and financially make repairs, updates and any changes they would deem necessary.

• They knew me and trusted me completely and felt confident in my real estate experience and knowledge.

• The final factor that made me comfortable to go forward was the knowledge that if they did not like the home when they arrived, then I could sell it again and get them all of their money back.

So, a summary of the above information would be: Know and trust your real estate agent, know your own financial capability and your temperament, and know the area in which the property is located. Plus, I highly recommend a thorough inspection, with experts looking at the major mechanical systems and the construction. If you do not have all of these factors in place, then I would wait until you could come and personally view the property. It still might be available or if it is gone, then we always say that there will be “another deal.” And, that is true, but they do not come along every day (as you know), so it is always worth examining each one as they become available. I hope this helps. Best of luck in making your informed decision.

Joan Harned is an owner-broker for Keller Williams Mountain Properties and heads up Team Black Bear, her own real estate team. Harned has been selling real estate in Eagle County for 27 years, is a past chairman of the Vail Board of Realtors, past Realtor of the Year, past director on the Great Outdoors Colorado Board and a member of the Luxury and Land Institutes. Contact Harned with your real estate questions at Joan@TeamBlackBear.com, 970-337-7777 or www.skiandteehomes.com.

Original publishing in the Vail Daily on 11/22/13 can be seen by clicking here.