01
Apr 13

Wyckoff Luxury Homes Need Luxury Financing

Luxury homes in Wyckoff NJ

Any home carrying a price tag of $1 million or more generally falls into the ‘luxury property’ category. To finance it, a luxury loan is called for. Since financing luxury homes in Wyckoff can be more challenging than financing run-of-the-mill properties, many prospective home owners at the luxury level seek the services of a specialist lender. Market Watch has found that the average price of luxury properties in some major US cities is well over the million dollar threshold – making care in preparing jumbo loan applications more important than ever.

Whether or not you choose to ask your REALTOR® to help you find a mortgage broker well-versed at your price point, the same guiding principles need to be followed:

Detail-Orientation

As with any credit application, you need to ensure that yours is squeaky clean. Don’t short-change any detail (even those that seem unimportant or redundant). Prepare in advance by checking your credit record with all three major bureaus to ensure there are no damaging inaccuracies. Curing them can take time, so starting early pays off.

Right-Sized Deposit

The larger your deposit, the greater the odds of approval when financing luxury homes in Wyckoff. It stands to reason. The more you can contribute above the standard deposit rate, the clearer your message: this loan will constitute less risk.

Shop Around for Good Rates

The constrained market for jumbo loan resale is one of the reasons rates are somewhat higher than those more commonly available, so keeping a shopper’s mentality is a good idea. When financing luxury area homes, keeping the rate as low as possible is only prudent. Aim to obtain good faith estimates from a few lenders to find see who is currently offering the best deal.

With luxury home prices on the rise in many areas, if you’re considering buying or selling one this season, it’s worth remembering that financing luxury homes can be the most challenging part of the process. I furnish top-notch referrals when needed. I’m here not only to help you find the home of your dreams — but also to help make it yours.


14
Jan 13

$25 Million Luxury Property Sale Turns Heads in Wyckoff

Luxury home

You could have easily missed it here in Wyckoff — an attention-grabbing event that happened just before New Years Day. One of those San Francisco Bay Area luxury properties (priced at $25 million) made headlines when it was reported to have successfully gone under contract through a little-known process…an online auction.

Come again? Luxury Homes in Wyckoff

In an increasingly digital age that instantaneously reaches buyers and sellers across the globe, online auction tools to sell luxury properties are beginning to gain credibility.

But is an auction really a new must-have tool?  Or just another gimmicky fad?

The attraction of using an online auction to sell luxury properties is the shortcut the auction companies (they usually work in tandem with a listing agent) claim to provide. It’s promoted as an alternative to what they characterize as the ponderously slow traditional channel with its hallmark of heavy negotiations.  Also claimed is how the ‘glitz and glam’ surrounding a major auction is said to create marketing buzz around luxury properties.

The concept hasn’t yet taken off in a major way — probably because just about everyone has the same thought: what if a low bidder wins and my home sells for less than it would have fetched on the traditional market?   There is also the possibility that a home may not sell at all.  One online auction agency reports that only 55% of auctioned properties are ever ultimately sold.  That means three months wasted while marketing an auction. Then, there’s this: the Belvedere-area home referenced above allegedly actually cost some $35 million to build, and was originally listed in the $45 million neighborhood. So you have to ask: was that auction truly a success?

It is my business is to know the Wyckoff real estate market inside and out.  Selling luxury properties in Wyckoff presents a unique set of challenges.  Each property is unique; each requires a different marketing plan for top success.  If you are considering selling a luxury property this year, contact me to build out a unique marketing plan for your property in 2013.