This has been a tough year for real estate agents, home buyers and home sellers.  I have had approx., a dozen potential home buyers denied for housing loans thus far in 2009. That is quiet possibly a dozen homes that could have come out of the inventory; or a dozen sellers that would have happily sold their house and maybe moved into another one in our area; And that is just me, if every agent has a similar story, then the numbers really start to add up. It's not that there aren't enough buyers, there are not enough qualified buyers; and our economy is also lacking in confidence. Too many buyers are sitting on the bench, worried and uncertain as to how to get into the buyer's market. In an earlier post I mentioned how the market is going up and back down, this is a normal pattern. But we haven't seen all of the foreclosures that are about to take place, and we already have a lot of foreclosures on the market. This can be  tough for our sellers of resale homes. It does impact their selling price and days on market. However, there is a good side to this. Now, HUD's FHA 203k  program is open to more buyers, on distressed properties in foreclosure, allowing buyers to purchase AND renovate these homes. The good news, with a little less than perfect credit and 3-3.5% of the purchase price down, more buyers will be able to qualify for FHA and possibly a 203k loan. It's all about a little TLC. True, the property has to meet certain criteria to qualify, but there are some very decent homes in nice areas that need just the right owner to come in with some elbow grease and tlc, and make it a great housee once again. Sellers shouldn't worry that there won't be enough buyers for their resale homes, those thatt are not foreclosures or distressed properties. Most buyers do not want a fixer upper. They want a house ready to move into. And  203k approval is more complicated than the traditional loan process, which means buyers really need the help of an expert to guide them through the process, and there are more people who would rather not go through the lengthier process of buying a home in need of renovation, thus I tell the sellers, hang in there and get your house in good shape, price it right and hire a Realtor. Buyers, if you have been thinking about trying to buy a house, consider this option of utilizing the 203K plan, get in touch with a Realtor and a lending company and set the ball in motion.
 
 

Most real estate agents will agree, our market is like a roller coaster, only not a fast paced one. We have seen a rise in home sales and pending sales,  I think the tax credit had a part in helping the numbers, and there is a legislative push to increase the tax credit for next year. This will be good for the housing market. An even better incentive would be to offer something for families who need to move, not just first time homebuyers. This would spawn a tremendous increase in houses sold, but would add to the list of houses already on the market, as a large percentage of families already own a home , and our market has a large inventory of houses for sale already. As of yet, we do not know what next year will bring as far as incentives for homebuyers, but  hopefuly we will continue to see a steady improvement in home sales. Like a roller coaster, though, we currently experience a rise and then a slight fall, and that has been the pattern all year.  But the good news is that the fall is very slight, while the rise is outpacing any decrease.  If you have a house on the market, don't despair, the current tax credit for first time home buyers still has a little over one month to encourage buyers to make an offer and close the house of their dreams before that deadline. While it is true that houses don't get as much activity during the holiday season, when buyers are looking around that time, these are usually the serious buyers who have to move, so their motivation is strong.
Though there are a lot of houses competing for fewer qualified buyers, the fact remains, people relocate and people need to buy and sell houses. My advice would be to make your home an attractive competitor if you are a seller, and if you are a buyer, get preapproved immediately and take aggressive action to find the home of your dreams.
 
 
One of the best reasons to live in East Tennessee is that we truly  have 4 individual seasons. I must admit, Fall may be my favorite.The climate is usually comfortable, the air is crisp and refreshing. The most beautiful colors astound our senses. As the leaves fall to the earth and crunch beneath our steps, we can appreciate this season as a time to slow down and reflect. Vacations are behind us, the kids are back in school, and the holidays aren't creating a sense of urgency. This is the time of the year to take just for yourself. Relax on your deck, or your covered front porch. Watch the rain from your favorite chair. Open the windows and let in some fresh air. Go treat yourself to something special this month. I just got a facial, and it was very relaxing. I took one hour just for myself, turned off the cell phone and  was pampered. The world would be a better place if we each took some time to enrich our personal lives every once in awhile. Especially if we gazed upon our surroundings, this beautiful time of the year, and embraced a less hectic schedule before the holidays do approach.
 
 
School is underway here in East Tennessee and it IS time to buy a house.
Why now?
As Winter months approach, sellers who haven't secured a bid are now a little more motivated. So I say, let the negotiations begin!
Also, many people want to get their houses sold BEFORE the holidays. As well, motivated buyers want to BUY their next home before Christmas. What a great gift from Santa, right?
Not only this, but as buyers/sellers start thinking about the upcoming holidays, they also think about a brand new year, and we aren't that far from 2010. Each New Year brings hope and promise, and possibly a time for change.
Lastly, but probably most importantly, the tax credit we have all heard so much about; It isn't going to last forever. You have to close on your new home before Dec 1st to benefit from the $8000 first time home buyer's tax credit, and as we all know, you may qualify even if you have owned a home before. Check with your favorite realtor(R) for more details.
I repeat... Let the negotiations begin!
 
 

Spring is the annual kick off for the home shopping season. Many families anticipate buying their new home before the beginning of the next school year. As of this writing, school begins approx one month from now. Are you in your new home?
If not, why?

Did you have a house for sale that hasn't sold? In today's market, it is wise to allow 9 months to 1 year to get your house sold. Each month our office reviews average days on market for our listings. In June, we averaged 142 days on market. That's the average, folks. Many homes took 6-9 months to sale. Sure, quiet a few listings  closed in less time, but that is no longer the norm. And depending on when you list, determines how long the house might have to wait for an acceptable offer. Also, the price of the house is a large factor in determining days on market. The higher the asking price, the longer you may have to wait for a qualified buyer to actually choose your house among the competition.  So if your house hasn't sold, don't despair, you aren't alone.

If your goal is to be in a new home before the start of the next school year, what can you do if you have a house to sale? Consider a bridge loan. ONLY after you know that you have an acceptable offer. Review with your agent if the house is priced right, and if it isin "saleable" condition. If you can't answer yes to these 3 questions, maybe you should consider other options, but don't remove your house from the market. There are still several great selling months ahead of us, and the $8000 tax credit is in place until December 1st. You don't want to lose any potential buyers.

The fact is, our market is improving. But buyers are more cautious than ever. And can you blame them? If you are an anxious buyer, be patient. Know that there are many houses in inventory, and selecting a home is a big decision. One of the most important decisions you may make.



 



 
 

I guess everyone knows by now that 2009 is a perfect time to be a first time home buyer. With low interest rates and an $8,000 tax credit, you may want to put your thoughts to action and get in contact with your Realtor(R) today.

Are you a first time home buyer? Maybe you are and you didn't even realize it. If you haven't owned a home in the past 3 years, you may qualify as a first time home buyer and can benefit from the tax offer.

Call a lender, an agent or your tax advisor and find out all the details. And yes, I would be happy to assist you, too.

 
 

I can definitely see an increase in house hunting. More buyers are emerging. I think the promise of warmer weather is part of that reason. Plus, income tax refunds, great interest rates and the fact that lenders are lending.  I don't believe we will see a big increase in home sells  resembling the market of a few years ago, but I think we ARE going to see an increase.

If you feel it is time to house hunt, take that first step and get pre-approved. Hire a Realtor(R) and let the hunting begin!

Be prepared that your lender may require a downpayment. You  may need 3-5% down payment, or maybe you can do 20%+ down.  You may qualify for a government loan with little or no money down. That's why you need to call a lender before you actively look for houses.

Also know that you should have enough in reserve to put earnest money down when you make an offer, hire a home inspector, (I can't tell you how important this is), and pay for an appraisal. Most lenders now require that the appraisal be paid up front.

Earnest money shows a seller that you are sincere with your offer. This money will be applied towards your loan, and is refundable if the deal fails through no fault of your own. The more you can put down, the better, and is also dependent upon the price of the house you are buying. But could be as little as $500. Some sellers will require more.

A home inspection may average $300-$400, this varies and is dependent upon the size of the house. It is not refundable, but is a wise investment to let you know the condition of the house you are buying. It is optional, but I ALWAYS recommend having one.

An appraisal will average $400, and is required by your lender. This money is not refundable if the deal fails. Again, it is in your best interest to buy a house that appraises for the purchase price.

A Realtor(R) will help you to understand this and more, and will also be on the lookout for your best interests. Of course, I am a Realtor(R), but my blog is about helping YOU. So Happy House Hunting!

 
 

Many sellers provide a home warranty with the purchase of their home, in an effort to make the house more "buyer friendly".  Most of my buyer clients ask for, or buy a home warranty themselves when purchasing a house.  You can't imagine how many times a client has called or emailed me after a period of time and thanked me for recommending, or helping them with the warranty purchase. It usually pays for itself within that first year in savings, since some major appliance almost always breaks down, tears up or quits working after the purchase. I think it is simply Murphy's Law.
I am not trying to sell a home warranty, just give you a link to one of the warranty providers that made a short video explaining how a home warranty works. This way, you can make an informed decision if it is worth it as  a buyer, and also, if it could help attarct buyers to a house for sell if you are the seller.  There are a few warranty companies I recommend, I am not pushing any one company. But I am always available to anyone requesting information on every aspect of  real estate, so if you need names of companies that have provided satisfactory service to people I know, just ask. Note:  I suggest you always gather as much info about a company as you can before entering into any agreement with them. This link has a cute video about home warranties.   www.hwaHomeWarranty.com/owners/video/ 

 
 

We all know it is time to make resolutions. And it feels good to start the New year with many goals, and positive thoughts. The trick is to stay motivated. In tough times, that can be a real challenge. I am hoping to set small goals, I can always upsize them, right? Instead of making my resolutions very challenging, I will take baby steps, and when I reach a goal, I can set a new one, if needed.

One of my personal goals will be to improve my overall health. (This will not include eating as much fast food.) This will be my biggest hurdle. So many days are spent on the road, and I am suffering "time deficit disorder".  Getting something on the run has been too easy in the past, and has had negative side effects.  Sound like anyone you know?  I will try to bypass the fast food chains as much as is possible and carry snacks and fruit with me. Oh, and eat leftovers when I can. But I am not always near a microwave... that's ok, where there is a will, there is a way! See, I am thinking positive. What are some of your goals?

I encourage you to think positive,  too, and stay realistic with goal setting. If and when you lose your momentum, drop me a line, I will cheer you on. 

Take care and best wishes.

 

 
 

I should have posted this sooner. But the holidays have kept me so busy, I just didn't make the time. My apologies. But if you adore seeing Christmas Lights, and want to spend some family time next holiday season looking at a spectacular display of lights, gather a car load,or van load, and head to Christmas Wonderland. I just learned about it 2 weeks ago, and the weekend before Christmas we took our family through the "largest drive-through fully computerized, LED light and music show of its kind in the world!" It was wonderful! And the cost per car went towards Second Harvest Food Bank,to help with the food supply. I can also applaud Shadrack for putting "Christ" back in Christmas, and will most certaintly visit next Christmas. Off of interstate 40, take exit 369 in Knoxville, TN. All I can say is "WOW", it was lovely and the kids were content through the 5 song-long light show synced to the music. www.shadrack.com. This is a boat and RV dealership, that really goes all out at Christmas. Highly recommended.