Tuesday, November 10, 2009

Google Maps Expands Real Estate Info

Google has been improving the usability of real estate information in its Google Maps function.

Users can now select the “real estate” option from the “more” button on the top right of any Google Map. They’ll automatically see balloons on the maps of listings, as well as a pop-up real estate refinement panel on the left.

From there, they can refine what they are searching for by checking the boxes for renting or buying, apartment or house, as well as price range, square footage, numbers of bedrooms and bathrooms, and foreclosure listings. Google is also inviting real estate practitioners to list homes on Google Maps.

Source: eWeek, Clint Boulton (10/30/2009)

New Rules to Clarify Fees

New regulations from the Department of Housing and Urban Development will require that closing costs be spelled out on a revised and consumer-friendly version of the good-faith estimate form that borrowers are supposed to receive within three days of applying for a mortgage.

These rules will take effect Jan. 1, 2010.Fees are divided into three categories:


  • Fees that cannot increase from upfront estimates to closing, including lender or broker's mortgage origination, processing, and underwriting charges, as well as lender or broker’s “points” based on the interest rate quoted and local transfer taxes.

  • Fees that can increase as much as 10 percent from upfront estimates, including services such as appraisals, title insurance, and recording fees from local governments.

  • Fees that can increase without limit because the amount is difficult to predict in advance, including home owners insurance, daily interest charges on the loan, and initial deposits by the borrower into an escrow account.
The new HUD-1 form will allow the borrower to easily compare what they were told the settlement fees will be with what they actually are at closing.

Source: The Washington Post Writers Group, Kenneth R. Harney (11/06/2009)

Wednesday, October 28, 2009

Senate Dems on Board with Credit Extension

Senate Banking Committee Chairman Chris Dodd (D-Conn.) says Senate Democrats have agreed to extend the first-time home buyer tax credit. The latest version extends the program to home sales signed — not closed — by April 30. Purchasers would have another 60 days to close the sale. The credit will also be expanded to include so-called step-up buyers who have lived in their current home for at least five years.

The credit would be cut nearly 10 percent to a $7,290 cap. Income eligibility for first-time home buyers would stay the same, but it would rise for step-up buyers to $125,000 for individuals and $250,000 for couples.

Source: Bloomberg News, Dawn Kopecki and Ryan Donmoyer (10/27/2009)

Monday, October 26, 2009

Tax Credit Extension Considered in Senate

Senate Majority Leader Harry Reid, a Nevada Democrat, is supporting a four-month extension of the home buyer tax credit.

Two other proposals in the Senate would, respectively, extend the credit through June and, most generously, increase the deduction to $15,000 and open it up to all home buyers and those with higher incomes.

One or more of these proposals is likely to come up for a vote in the next week attached to a measure that would extend unemployment benefits for 20 weeks.

Source: The Wall Street Journal, Corey Boles (10/23/2009)

Monday, October 19, 2009

Things Condo Buyers Should Consider


Buyers who are considering the purchase of a condominium should inspect the health of the home owner’s association before they close.

The seller should provide the buyer all financial documents relating to the association in time for an attorney for the buyer to review them before closing.Here’s some advice from Leonard Baron, professor of finance at San Diego State University, about the information that the seller should consider:
  • Does the association budget include money for operating expenses such as water, lights, elevator maintenance, and landscaping?

  • Is there extra money set aside in a reserve fund for long-term maintenance? If there is an outside reserve study, that should be provided. If not, there should be adequate money in the reserves right now to cover 50 percent of the estimated cost of repairs over the next 30 years.

  • Do the condo’s expenses exceed revenues due to a high foreclosure rate or other reasons that owners’ debts go unpaid?

  • If there is a shortfall, does the association have a plan besides cutting back on services for making it up?

Source: The Wall Street Journal, June Fletcher (10/17/2009)

Good Housing News Predicted

All the leading indicators say housing is definitely on the mend, economists reported in advance of the official release of several pieces of good news expected this week.

Bloomberg News surveyed 53 economists and asked them where they expected the numbers to fall. Here are their predictions:

  • Construction starts in September are expected to hit a 610,000 annual rate, the most since last November.
  • Sales of existing homes likely rose to a two-year high.
  • Because of fear of a relapse, the Federal Reserve is predicted to leave interest rates low for a few more months.
  • Building permits, a sign of future growth, probably rose to a 590,000 annual pace, also the highest level since November, the Commerce Department is likely to announce.

The National Association of Home Builders/Wells Fargo index is expected to rise to 20 from 19, the economists say. Google Inc. plans to resume hiring and acquisitions after its third-quarter sales beat analysts’ estimates. CFO Patrick Pichette says: “We weathered what is an incredible recession. If you have all this behind you, the only outcome you should have as management is: ‘OK, let’s build now.’”

Source: Bloomberg, Courtney Schlisserman (10/18/2009)

Friday, October 16, 2009

Construction Should Pick Up in 2010

If mortgage rates stay low and the home buyer tax credit is extended, single-family housing starts should increase 30 percent in 2010, predicted the McGraw-Hill construction forecast released Friday. The overall value of construction starts is expected to rise 11 percent to $466.2 billion in 2010, according to the survey.

This year has been a tough one for the industry, with the value of starts expected to decline 25 percent to $419 billion through December.

Source: The Wall Street Journal, Dawn Wotapka (10/16/2009)

Thursday, October 15, 2009

Congress Debating the Tax Credit

Congress is considering expanding and extending the $8,000 first-time homebuyer tax credit, which expires Nov. 30. More than 1.8 million home buyers will have used the credit by the end of November, including an estimated 355,000 who wouldn’t have bought a home without it, according to the National Association of REALTORS® and other analysts.

Mark Zandi, chief economist for MoodysEconomy.com, is among those in favor of extending the credit. Zandi would also make it available to all homebuyers. "The most fundamental argument for the credit is that nothing works in the economy if housing is falling," Zandi said. "[The credit] is a good insurance policy. It's vital to stem the housing price declines.

"Opponents argue that the tax credit is too expensive and doesn’t help enough people. Extending the credit through the end of 2010 and making it available to single filers earning up to $150,000 and joint filers earning up to $300,000 would cost an estimated $16.7 million. Some in Congress propose using unspent money from the $787 billion stimulus bill to pay for it.

Source: CNNMoney.com, Les Christie (10/14/2009)

Wednesday, October 14, 2009

Prediction: Homes Sales to Rise 11 Percent

Sales of existing homes will rise 11 percent in 2010, and sales of new homes will climb 21 percent over this year, Mortgage Bankers Association Chief Economist Jay Brinkmann predicted in a speech Tuesday at the organization’s annual meeting.

"We still see a concentration in the lower end of the market," Brinkmann said. "The entry level homes are in demand."

Brinkmann also predicted further declines in existing home prices, with the median falling to $164,200 in the first quarter of 2010.

David Stevens, commissioner of the Federal Housing Administration, concurred, adding that mortgage rates will rise to 5.6 percent by the end of 2010, though not enough of an increase to discourage a 12 percent increase in mortgage applications next year.

Source: Associated Press, Alex Veiga (10/13/2009)

Tuesday, October 13, 2009

Aides: Home Buyer Tax Credit Extension Likely

Extending the First-Time Home Buyer Tax Credit, due to expire at the end of November, is high on the Democratic Congressional to-do list, legislative aides said.

After Wednesday’s meeting with President Obama and House Speaker Nancy Pelosi (D-Calif.), Senate Majority Leader Harry Reid (D-Nev.) released a statement that the government should “continue efforts to strengthen the housing market by extending the home buyer tax credit.”

Mark Zandi, chief economist at Moody’s Economy.com, who is a consultant to Democrats in the administration and Congress, is advocating extending the credit through August and making it available to all home buyers. He said failure to extend the credit just as more foreclosures enter the market will push housing prices down.

Also, on Thursday, the House is expected pass legislation to extend the credit through 2010 for people who have been out of the country in the military, intelligence, or foreign services.

Source: The New York Times, Jackie Calmes (10/07/2009)

Banks Making Short Sales Tougher

Banks are backing away from short sales, forcing sellers to pay extra at closing or demanding a promissory note for the amount due. One-third of borrowers owe more on their mortgages than their properties are worth, according First American CoreLogic.

When their situations were really tough, most banks preferred short sales because they were their best opportunity to get the most money back. But with an improving economy, and because the losses on many of these properties have already been written off the books, banks are increasingly reluctant to negotiate a short sale.

Today, banks demand 9.5 weeks to respond to a short-sale request, compared to 4.5 weeks a year ago, according to research firm Campbell Communications. Their reluctance is frequently stymieing sales and frustrating real estate practitioners.

"It drives me up a wall," says Robert G. Hertzog of Summit Home Consultants in Phoenix. "[The bank is] holding my client hostage.

"Source: BusinessWeek, Christopher Palmeri (10/09/2009)

Monday, October 12, 2009

Bathroom upgrades pay-off


More than 80 percent of new single-family homes have at least two bathrooms, which occupy an average of 300 square feet of floor space, or 12 percent of the total area, according to a study by the National Association of Home Builders.

The home builder's study reports a major return on value for extra bathrooms: "When the number of bathrooms is approximately equal to the number of bedrooms, an additional half-bath adds about 10 percent to the home's value and one additional bath adds about 19 percent."

A mid-range bathroom remodel, which costs $10,500 on average nationwide, repays a homebuyer at least 100 percent of the outlay when the property is sold, the home buyer study concludes.

Source: Chicago Tribune

Thursday, October 08, 2009

Fall Maintenance Tips

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Wednesday, October 07, 2009

Buyers Are Cutting the Fluff, Architects say

Home buyers are scaling back, according to a quarterly survey by the American Institute of Architects, choosing energy-saving amenities over recreational ones.

Two-thirds of architects say their clients want better insulation, including double- and triple-glazed windows, water-saving devices, and solar panels. The most popular bonus room is a home office, with 46 percent of architects saying these rooms are gaining in popularity.

The architects identified a sharp decline in the demand for high-end kitchens and baths and said that there was also less interest in game and media rooms and in-law suites.

The AIA said residential billings, a leading indicator of activity, rose to 38 in the second quarter, up 20 points from the first quarter of 2009.

Source: Reuters News (10/06/2009)

Tuesday, October 06, 2009

A Historic Time to Buy


Young people just starting to invest and buying their first homes are potentially the winners in this recession.

First-time homebuyers, most between the ages of 25 and 45, accounted for about 45 percent of home sales from January through July 2009, according to the National Association of REALTORS®

"This is a historic time," says George Jaramillo, a 35-year-old business analyst in Atlanta, who recently bought three homes, two of them foreclosures. "It's a great opportunity to make some great gains in the future."

A study by investment company T. Rowe Price points out that investing when prices are low can result in amazing gains. For instance, between 1970 and 1990, the annualized rate of return for the S&P 500 was 11.5 percent.

"We need to be shouting from the rooftops that this is not the time to get out of the market if you're young," says Christine Fahlund, a senior financial planner with T. Rowe Price. "This is the time to be in the market."

Source: The Associated Press, Chip Cutter (10/05/2009)

Monday, October 05, 2009

Builders Cut Back on Incentives

Home builders are cutting back on the freebies they’ve been tacking on new homes for the last couple of years to woo buyers.

The reason is simple: Demand is almost back in sync with supply. According to Jeffrey Laverty, analyst with research firm Oscar Gruss & Son, new-home inventory has declined from 12.4 months in January to 7.3 in August, close to the six-month mark considered standard.

While eliminating incentives like free cars and free pools, some builders are continuing to offer to pay points on mortgages and discounts on upgrades—“Incentives that make sense,” says Laura VanVelthoven, Hovnanian's corporate vice president of marketing and sales.

Source: The Wall Street Journal, Dawn Wotapka (10/05/2009)

Bathroom Upgrades Pay Off


More than 80 percent of new single-family homes have at least two bathrooms, which occupy an average of 300 square feet of floor space, or 12 percent of the total area, according to a study by the National Association of Home Builders.

The home builder’s study reports a major return on value for extra bathrooms: "When the number of bathrooms is approximately equal to the number of bedrooms, an additional half-bath adds about 10 percent to the home's value, and one additional bath adds about 19 percent."

A mid-range bathroom remodel, which costs $10,500 on average nationwide, repays a home buyer at least 100 percent of the outlay when the property is sold, the home buyer study concludes.


Source: Chicago Tribune, Mike McClintock (09/21/2009)

Thursday, August 06, 2009

Weekend home upgrades: fast, affordable fix-ups

(ARA) - With today’s falling home prices, one family’s well-worn dwelling can quickly become another’s dream “starter” home. Interest rates are at historic lows, meaning buyers can get more house than they could a year ago for the same monthly mortgage payment, according to the National Association of Home Builders.

But affording a new home is one thing; affording to remodel it is another. Here are some cost-efficient upgrades that are easy enough to accomplish in a single weekend.

Start at the front door

Whether you’re fixing up a newly purchased home or upgrading your current home to attract a buyer, nothing creates a better first impression than a new front entry door. Installing a new entryway door increases the perceived value of a home by up to $24,000, according to a national valuation study conducted by Therma-Tru and TNS, an independent research organization.

Beyond adding curb appeal to your home, installing an energy-efficient door is an important consideration, if you’re fixing up an older home. Houses built before 1939 use about 50 percent more energy per square foot than those built after 2000, according to a Time magazine report. The main culprit is tiny cracks and gaps that can expand over time and let in more outside air.

One way to get both beauty and energy efficiency is to choose a door from the Therma-Tru Fiber-Classic Mahogany Collection. The collection includes new styles perfect for homes with popular architectural designs including Craftsman, bungalow, arts and crafts, mission and cottage motifs, and offer the high style, rich look and warmth of Mahogany hardwood, but at a value price compared with premium wood doors. Each door is constructed of durable fiberglass, is ENERGY STAR qualified, provides five times the insulation of a wood door and will not rot, split, crack or rot like wood, or rust, dent or ding like steel. The doors create the tightest seal possible, creating an energy efficient envelope that stabilizes interior temperature and helps you decrease your home’s energy costs.

As an added value, homeowners who purchase and install certain styles of Therma-Tru doors may be eligible for a tax credit of up to $1,500 per household through the American Recovery and Reinvestment Act of 2009 (also known as the Economic Stimulus package). Visit www.thermatru.com for more information.

Set the stage with lighting

Upgrading the interior lighting can also make a big difference in your home. Designers often use “layered” lighting -- a combination of ambient, task and accent lighting -- to create a quality of light that not only looks and feels better, but is also better-suited to activities that can take place in any given room.

While you may not be in a position to install an entirely new lighting system in your home, there is a simple and affordable upgrade within easy reach. Light dimmers are available for as little as a few dollars at local home centers and hardware stores and can be installed by any do-it-yourselfer in minutes. (Just remember to turn off the circuit breaker before starting.) Lutron Electronics offers a variety of models to suit any decor or budget, and the manufacturer’s technical support team is available 24 hours a day, seven days a week, to walk you through the installation process. Just go to lutron.com or call (800) 523-9466.

According to the Department of Energy, artificial lighting consumes almost 15 percent of a household’s electricity use. Dimming an incandescent bulb by just 15 percent reduces energy use by 15 percent and doubles the life of the bulb. The more you dim the light, the more energy you save.

Make a splash with color

Adding a new coat of paint is another easy, inexpensive upgrade. Depending on the shade you select, your room can be dramatically different or simply refreshed.

The paint you choose can also keep your home looking fresher over time. For example, Duration Home Interior Latex from Sherwin-Williams is perfect for high-traffic hallways, bathrooms, kids’ rooms and anywhere long-wearing durability, antimicrobial properties and stain resistance is a must. It’s tough enough to withstand repeated cleanings without visible wear, no matter what shade is selected (choose from 1,200 colors, including deep accent shades).

As you add color, add a splash of sustainability, too. A low-VOC (Volatile Organic Compound) and low odor paint such as Duration Home can help ensure better indoor air quality, and it’s manufactured using sustainable processes. For paint tips and ideas visit sherwin-williams.com or your neighborhood Sherwin-Williams store.

Courtesy of ARAcontent

Tuesday, August 04, 2009

6 Reasons Why Some Homes Sell

Why do some houses sell and others don’t?There’s no ultimate answer to this question, but Tribune Media Services columnist Ilyce Glink has a theory. Here are her six top reasons properties linger on the market:

*Lousy pictures on the Web.
*Priced too high for the neighborhood.
*Blah interior; ho-hum landscaping.
*Little online marketing and hard-to-find MLS listings.
*Low commissions. Practitioners make sure their customers see properties that offer a payoff.
*Miserable maintenance, including ceiling stains, leaky faucets, and ancient furnaces.


Source: Tribune Media Services, Ilyce Glink (08/02/2009)

Act Now to Take Advantage of the 8K Tax Credit



It's a great time to purchase the home of your dreams! Interest rates are low and first-time homebuyers are in luck. Congress passed an act which includes a tax credit for first-time homebuyers of up to $8,000.

In fact, you may be classified as a first-time homebuyer and not even know it. If you haven't previously owned a home, you fall into the category of first-time homebuyer. But did you know that if you haven't owned a principal residence in the past three years, you also constitute a first-time homebuyer? It's true. If you fit either of these categories, the government has created a tax credit that you can take advantage of if you choose to purchase between Jan. 1 and Dec. 1, 2009. With the deadline quickly approaching, it's important to act fast.

The government is offering lesser of 10 percent of the cost of a home or $8,000 to qualifying first-time homebuyers in the form of a refundable tax credit. That means, if you owe $5,000 in taxes, you will receive a check for $3,000. If you don't owe any taxes, you may qualify to receive the full $8,000 credit. If you're lucky enough to have the government owe you money in taxes—let's say $1,000—then you could potentially receive a credit of up to $9,000.

Qualifying for this tax credit may be easier than you think. If you're a first-time homebuyer, here are a few things to consider. First, a qualifying home must be a single-family, primary residence. This can include condos, co-ops and townhouses. Secondly, your income has a bearing on whether you're a fit for this credit. The full amount of credit is available for individuals with gross incomes of no more than $75,000 (single) or $150,000 (married). The credit phases out above those caps. Check out RealLiving.com for phase-out charts, examples and a few other stipulations.

The best part about this credit is that there's no repayment as long as you don't sell the home within three years of purchase. If you choose to do so, the entire amount of credit is due back to the government at the time of sale. But this only applies to homes purchased in 2009.

If you fit these qualifications, then congratulations! You're on your way to a great real estate deal. Contact your local real estate agent to take advantage of this offer, but act now because the deadline is quickly approaching

Friday, July 31, 2009

Top Ways to Improve Curb Appeal

When a potential buyer is in the neighborhood, it’s important for your home to look the best on the block. Here are some tips for boosting curb appeal and capturing the attention of passersby.

1. Mow the lawn and plant sod where grass is sparse.
2. Trim tree limbs that are close to the roof and power lines.
3. Weed flower beds and lay mulch.
4. Store tools and equipment in a shed or garage.
5. Add color by planting flowers.
6. Clean your windows.
7. Install lighting that illuminates the driveway and entrance of your home.
8. Wash sidewalks and driveways with a pressure washer.
9. Apply a fresh coat of paint to the front door.
10. Clean siding and apply neutral paint to the exterior of your home.

Thursday, July 30, 2009

Smart strategies to increase home sale profits

(ARA) - The proposition of selling a home is getting better with each passing day according to a recently released report from the National Association of Realtors. If you need to sell your home, a few smart strategies can help you increase your profits.

A number of real estate pundits are pointing to the recent decline in home inventory and the fact that interest rates have increased on the 30-year fixed mortgage as a positive endorsement of a healthier housing market.

Joanne Sebby, a licensed real estate broker in Chicago, and operator of a local Two Men and a Truck moving franchise, believes she’s benefitting from what could be the start of a real estate "bloom," if not a full "boom."

"Bargain hunters are beginning to make moves on homes that are still way undervalued’’ Sebby says. "The key for sellers is to get creative in marketing your home’s offerings so you can become one of those homes that get a look, and hopefully sell your house in a reasonable amount of time."

While the real estate outlook is the best it’s been in recent memory, home loans are still more difficult to come by and home values are down an average of 20 percent, according to the NAR. It’s likely that if you are selling your house today, you’ll likely do so at the cost of higher profits that you may have realized in healthier markets.

Regardless, Sebby suggests there are a number of creative ways home sellers can mitigate their losses on the sale.

Sebby suggests sellers need to think of their bottom line when selecting service companies in order to maximize profits on their home, and consider pitching in to keep costs down.

"Determine what budget you have to work with and be up front with the people providing you with estimates," Sebby says. "I’ll often counsel people who call our moving company to maybe box and label everything themselves, or have all the boxes collected in the room closest to the front door. If there’s a number we have to work with, we’ll make suggestions on how to make it work to suit their needs."

Sebby suggests using the same tactics with home inspectors, painters or other service personnel.

"Do a little research and find what portion of the work you can comfortably do yourself. If you’re saving money along the way it’s going to impact your profit on the house. A little bit here and there can really add up."

Brig Sorber, president and chief executive officer of Two Men and a Truck -- the nation’s largest franchised moving company -- believes the current housing market provides more opportunity than risk.

"As a business owner, you look at your operations a little closer and ideally come away with a clearer understanding of what your company needs to do to stay competitive," Sorber says. "The same principle applies to homeowners looking to sell. In an optimal market, a buyer may just scan the Internet, find a local mover and sign on the dotted line. Today’s customer is more aware; they’ve done competitive research on what to expect from a legitimate moving company, and that benefits those of us who value long-term relationships with our customers."

Chances are, even sellers with the best intentions won’t realize the full value of their home in today’s market. However, as Sebby suggests, there’s no harm in optimizing your profits with a little extra effort and a do-it-yourself approach.

Courtesy of ARAcontent

Selling a Home

If you are considering selling a home in the Central Ohio area be sure to see this presentation.

Wednesday, July 29, 2009

Changes That Sell, Changes That Don

Changes That Sell, Changes That Don

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Homebuyers Presentation

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Monday, July 20, 2009

Housing Experts: Now Is a Perfect Time to Buy

Don’t forget to remind potential buyers of something that is obvious to real estate professionals:

Now is the time to buy, but that opportunity may be slipping away. For people who have a job and money, a dream house is within reach, writes Marc Roth, founder of Home Warranty of America and a columnist for BusinessWeek. He points out that mortgage rates remain low, prices are still at historic lows, and the government is offering incentives for first-time homebuyers.

He also adds that the inventory of homes to buy is still large, but it is shrinking. According to the NATIONAL ASSOCIATION OF REALTORS®, the housing inventory peaked in November 2008 at an 11-month supply. At the end of May 2009, it had fallen to a 9.6-month supply.

Roth says anyone who dallies will miss a good opportunity to buy a first home at a terrific price or go shopping for a move-up property that is a great buy.

Source: BusinessWeek.com, Marc Roth (11/17/2009)

Tuesday, July 07, 2009

Walk-in Showers Gain in Popularity

Home owners are choosing showers over tubs, despite the long-standing notion that it is important to have a tub for resale value.

"We're definitely seeing a trend toward walk-in showers versus tubs," says Katie Campbell, sales manager for the Heritage of Palatine, a Chicago-area development where homes are priced from $221,900. "We used to do a lot of big soaking tubs with shower stalls in the master bathroom, but we had a lot of people eliminate the tub because they wanted a bigger shower.

"Having at least one tub in the house is still important because some buyers want them, insists Kathy Dames-Mattox, an associate with ReMax of Joliet. But she advises homeowners not to spend a lot of money on whirlpool tubs. "I don't see whirlpool tubs as being a big deal anymore," Dames-Mattox says. "Everybody who adds one says they never use it.

"Source: Chicago Tribune, Allison E. Beatty (07/03/2009)

Monday, July 06, 2009

Home Buying Assurance through Real Living Insurance

You've found the perfect home. It has the right number of bedrooms, great living spaces, and boasts prime proximity to everything you need. Now is the time to buy—or so you've heard, but what if you have reservations about plunging into such an important financial commitment in the midst of economic uncertainty?


Real Living wants to give you the opportunity to take advantage of some of the lowest interest rates today, while ensuring your financial peace of mind tomorrow. Life can be unexpected at times, and we want to protect you and your home from unforeseen financial curve balls like involuntary unemployment. As a result, Real Living has created the Peace of Mind program. We believe that, "home is where the heart is, " and that financial stability provides peace of mind.

So, here's how the Peace of Mind program works:

Peace of Mind Program
One-Year Coverage*When you are represented by a Real Living agent during the purchase of your next home, and finance through Real Living Mortgage, Real Living will provide you with one year of insurance benefits that cover a monthly mortgage payment of up to $1,500 for up to six months if you become involuntarily unemployed during the first year you are in your new home. Many buyers who purchased a home in recent years have interest rates that exceed current available rates. So, additionally, if you refinance through Real Living Mortgage, we'll also provide coverage for one year. Please refer to the terms and conditions section for more detailed stipulations.

Two-Year Coverage*

If you purchase a Real Living listing, use a Real Living agent, and finance through Real Living Mortgage, we'll extend your Peace of Mind benefits for another year (two years altogether) so you can take advantage of the up to $1,500 each month for up to six months of coverage. This means that you have coverage for up to six months of mortgage payments if you become involuntarily unemployed at any point during the two-year period.

*This program is available for Real Living HER and Real Living Realty Services customers only. Please refer to RealLivingHER.com or http://reallivingrealtyservices.com/ for detailed program terms and conditions. For more information on Peace of Mind as well as other Real Living programs call me today -- 614-565-8161 or email at teresabutler@columbus.rr.com.

Saturday, May 16, 2009

Big Improvement to First-Time Buyer Tax Credit

Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development, on Tuesday said that the Federal Housing Administration is going to permit its lenders to allow home buyers to use the $8,000 tax credit as a down payment.

Previously, most buyers wouldn't receive the funds until after they filed their tax return, and that deterred some people from using the credit. The NATIONAL ASSOCIATION OF REALTORS® has been calling for the change. “We all want to enable FHA consumers to access the home buyer tax credit funds when they close on their home loans so that the cash can be used as a down payment,” Donovan says. His remarks came in an address to several thousand REALTORS® gathered Tuesday morning at "The Real Estate Summit: Advancing the U.S. Economy," at the 2009 REALTORS® Midyear Legislative Meetings & Trade Expo in Washington, D.C..

He says FHA’s approved lenders will be permitted to “monetize” the tax credit through short-term bridge loans. This will allow eligible home buyers to access the funds immediately at the closing table.

Source: NAR

Wednesday, May 06, 2009

Five Maintenance Issues Owners Shouldn't Ignore


Consumer Reports magazine advises home owners not to put off important maintenance projects, noting that waiting until the economy rebounds could end up making the repairs more costly while putting a family's health at risk. The magazine identifies five crucial maintenance issues:

Check the gutters: Clogged gutters, broken fasteners and separations where the gutters meet the fascia board will lead to roof leaks if they haven’t already.

Inspect the roof: Cracked, curled and mussing shingles mean a roof is nearing the end of its useful life. Cracks around chimneys, skylights, and roof valleys can also suggest the roof might be leaking.

Look for bugs: Termites and carpenter ants can bore through a home in a few short years. Probe the sill plate on top of the foundation with a screwdriver to check for rotten wood. Also look for carpenter ants and termites along windowsills and walls.

Avoid mold: Mold and mildew can cause musty odors, dank air, and make residents sick. Check under carpets and around windows for visible mold or mildew.

Don’t ignore cracks: Foundation cracks wider than 3/16 of an inch can be a problem. These require examination by a structural engineer.

Source: Consumer Reports (05/04/2009)

Tuesday, May 05, 2009

Fast Fixes Can Help Sell a Home


It’s not rocket science: Houses that look fresh and attractive sell faster than beat-up homes.

Here are some cheap tricks from Money Magazine for boosting appeal:

● Buy a new mailbox, house numbers, doorbell, and knocker: $200
● Green the grass with nitrogen-rich fertilizer: $50 to $200, depending on the lawn size
● Edge and mulch the flowerbeds: $300 to $600, depending on the number of beds
● Replace the bathroom faucet: $300
● Install beadboard over dated bathroom tile: $800 to $1,000
● New paint: $60 to $100 per room, if homeowners do it themselves
● Replace switchplates and outlet covers: 50 cents each
● Install stone tile over existing Formica countertops: $500 to $1,000

Source: Money Magazine (05/04/2009)

Monday, May 04, 2009

What's Your Home Worth?

Market value is the main concept you must understand when determining the value of your home. But what is it and how it can help you price your home?


What is market value?
Market value is the amount prospective buyers are willing to pay at the time homeowners are ready to sell. The best way to find out the market value of your home is to ask me for help. I can ensure that you get the best price by providing and discussing with you the Comparative Market Analysis (CMA).

What is a CMA?
The CMA will include homes in your area that are currently on the market, expired from the market, pending a sale and already sold within the last three to six months. Of course, the best indicator of your home's value is the price for similar homes in your area that have already been sold. The comparison is based on the proximity to your home and the similarity of characteristics such as lot size, square footage, number of bedrooms and baths, etc.

It's a good idea to sit down with me to discuss how each factor of the market analysis affects your home's value. You can consider the current listings to identify the competition, recently sold homes to indicate what buyers are willing to pay, homes with a sale pending to show the current demand and expired homes to suggest what buyers are unwilling to pay.

What are the dos and don'ts?
Do obtain the CMA and discuss the findings with me. Don't price your home based on factors not affecting the market value. Those factors include how much money you need to buy your next home, how much you paid for your current home, how much you paid for home improvements, the value of similar homes in different communities, area appreciation statistics, the cost to build the same home today and personal attachment.

Discovering how much your home is worth is the first step to ensure that your home is priced correctly. So, take the time, do the research, talk with me, and together we can decide what the best price is in today's market.

Contact me for more information.

Wednesday, April 22, 2009

7 Tips to Avoid the Vacant Home Look

Selling a home that is vacant can be harder than selling a lived-in home, experts say. Here are some ideas from Pam and Dave Pettigrew, certified residential specialists with Prudential Rocky Mountain in Fort Collins, Colo., on what practitioners and sellers should consider to protect an empty property and get it sold.

Give the house a lived-in look.
Get a neighbor or family member to make the house look occupied by parking a car in the driveway, opening and closing the drapes and taking in any mail.

Groom the yard.
Use a lawn service during the summer to keep the grass cut and a snow removal service in the winter to scrape the walks and driveway.

No outstanding nicks.
Hide the effects of missing furniture. Paint and replace rugs so there are no faded spots or blemishes on the walls. Cover accent paint that alone looks odd.

Leave some furniture.
A few chairs, tables, lamps and beds (or empty mattress boxes with spreads) give buyers a sense of space.

Keep the utilities on.
Set the thermostat at a comfortable level during the winter and summer.

Hire a maid.
Make sure the home remains spotless.

Check the homeowner’s policy.
Understand the coverage when the home is vacant.

Source: Coloradoan, Pam and Dave Pettigrew (04/12/09)

Monday, March 30, 2009

6 Reasons Why It's Still a Good Time to Buy

The housing market is looking healthier. Here are six reasons why now is the time to jump into the market.

1. Uncle Sam is willing to help. First-time buyers (defined as anyone who hasn’t owned a home in the last three years) are entitled to a maximum $8,000 tax credit; interest rates are at record lows; and the Federal Reserve is doing its best to make mortgage loans available. (Sign up for a Webinar to learn more about the home buyer tax credit)

2. People have to live somewhere. About 800,000 new households are formed each year in this country, ensuring that the housing market will tighten, even if the economy doesn’t soar.

3. Borrowers leverage their investment. If you put $10,000 into the stock market and it earns 10 percent, you’ve earned $1,000. If you put $10,000 down on a home and its values increases 10 percent, you’ve made $10,000.

4. When prices come back up, you’ll have instant equity. In parts of the country where foreclosures have driven down prices, better times will mean the price of the home you buy will rise rapidly.

5. Mortgage costs stay the same. If you get a fixed-rate mortgage, the monthly payment stays the same – while everything else, including rent, goes upward.

6. You own it. There is something comforting in the notion that your home is your own. You can paint it any color you want, let the dog run in the back yard and hang a swing for the kids in the front.

Source: The Wall Street Journal, June Fletcher (03/27/2009)

Thursday, March 26, 2009

First-Time Homebuyers are in Luck

With Spring right around the corner, you may feel like it's time for a change. Have you recently considered transitioning to a new home? This is one of the best times to purchase the home of your dreams. Interest rates are low and first-time homebuyers are in luck. Congress recently passed an act which includes a tax credit for first-time homebuyers of up to $8,000.


Are you a first-time homebuyer? You may be classified as a first-time homebuyer and not even know it. If you haven't previously owned a home, you fall into the category of first-time homebuyer. But did you know that if you haven't owned a principal residence in the past three years, you also constitute as a first-time homebuyer? It's true. If you fit either of these categories, the government has created a tax credit that you can take advantage of if you choose to purchase between Jan. 1 and Dec. 1, 2009.

The government is offering lesser of 10 percent of the cost of a home or $8,000 to qualifying first-time homebuyers in the form of a refundable tax credit. That means, if you owe $5,000 in taxes, you will receive a check for $3,000. If you don't owe any taxes, you may qualify to receive the full $8,000 credit. If you're lucky enough to have the government owe you money in taxes—let's say $1,000—then you could potentially receive a credit of up to $9,000.

Qualifying for this tax credit may be easier than you think. If you're a first-time homebuyer, here are a few things to consider. First, a qualifying home must be a single-family, primary residence. This can include condos, co-ops and townhouses. Secondly, your income has a bearing on whether you're a fit for this credit. The full amount of credit is available for individuals with gross incomes of no more than $75,000 (single) or $150,000 (married). The credit phases out above those caps.

The best part about this credit is that there's no repayment as long as you don't sell the home within three years of purchase. If you choose to do so, the entire amount of credit is due back to the government at the time of sale. But this only applies to homes purchased in 2009.
If you fit these qualifications, then congratulations! You're on your way to a great real estate deal. Contact me today to take advantage of this great offer.

Thursday, March 05, 2009

Create a House Hunt Checklist

The HomeSpace is one of the first things people notice when touring a home. Are there enough bedrooms to accommodate the household? How spacious are storage closets? Square footage and the practicality of the floor plan are elements that demand major consideration. Is there a garage or a basement? These are some standards you should have set in your head before beginning your home search, but it doesn't hurt to add these elements to the checklist.


After you've evaluated the space, take time to note the condition of the home. Some suggest breaking it down further into interior and exterior conditions. Look specifically for dampness and odors in the basement, age and condition of the roof as well as the functionality of gutters and downspouts. Finally, don't forget to make note of extra perks such as a fireplace, great landscaping, fences, a patio/deck, screens and storm windows as well as overall energy efficiency.

The Neighborhood
One of the most common things homebuyers look for in a neighborhood is safety. Individuals want to feel secure in their new surroundings. Other high-ranking aspects include: traffic, noise level, parking and zoning restrictions. How close are you to police and fire stations, the hospital or schools? Does the neighborhood provide snow removal or trash services? Don't forget to investigate these issues by creating a physical or mental checklist.

Schools
For those who have children, what school district you choose is an important consideration. Feel free to further research the reputation of the schools, quality of teachers and achievement test scores for students attending these schools. Other considerations include class sizes, busing distance and the age and condition of the buildings that your children could potentially attend. Taking the time to meet with faculty, tour the school and talk with parents of pupils who attend the school will help you make an informed decision.

Convenience
Location is becoming a greater concern for many homebuyers due to increased gas prices. When looking at a home, take the time to figure out how far you would be from the grocery store, schools, child care, shopping, highways, etc. Is there public transportation in your area? How far are you willing to commute each day? These are some things you want to ask yourself as you evaluate the location of a home.

Taking the time to look at all aspects of a home—from the actual structure to the neighborhood, schools and location will help you make a more accurate and informed decision when choosing a home. Make your own checklist or go the Real Living Buyer Checklist for a pre-made list that reflects the aspects previously discussed. For additional questions on your home search, contact me today.

Tuesday, February 24, 2009

Could you use an extra $8,000?


As your Realtor and home-ownership consultant, I want to share with you one component of the recent economic stimulus package that could make a huge impact on you personally if you are considering selling or buying a home within the next year.

This package includes a tax credit of the lesser of $8,000 or 10% of the purchase price of a home for first-time homebuyers. This means it will be easier to sell your home with more buyers in the market and, if you're buying a home, you may be eligible for the tax credit too.

This tax credit is refundable, which means if you subtract your tax liability from $8,000, you receive a credit. However this is assuming you purchase a home that's at least $80,000 (since $8,000 is 10% of the purchase price). For example: If you have a tax liability of $3,000, you will receive a $5,000 credit. If you have no tax liability, you receive an $8,000 credit. If you are due a tax refund of $1,000, you'll receive a $9,000 credit.

Call me today to take advantage of this great offer.