Fall 2008

Since my last entry, Fannie Mae and Freddie Mac made headline news.  This past week bank credit bailout or the Wallstreet rescue plan, passed into law.  This is design to help out the banks extend credit to consumers.

Meanwhile, the stock market continues its’ roller coaster ride.  The bad economy also continues to be in the news.  Despite all the bad news, if you want to Buy a house and have the means to make the mortgage payments, today remains a good time to do so.  Mortagage rates continue to be low.  HUD is still offering incentives of $2,500 for FHA loans.  First time house buyers, be sure to see your tax advisor about the $7,500 federal tax credit available to you. 

Call your favorite real estate agent and discuss your options. If you don’t have an agent, call me.  I will provide you with names and phone numbers of clients who you can call.  They will give you straight up answers regarding my services. 

If you want more information on these topics or other, please send me a note and I’ll be sure you get it. 

# of Homes Sold Last 7 Days:  37

1st Time Home Buyer Tax Credit

If you haven’t already heard about it, this is the latest act of Congress to spur the economy.  It is called The Housing and Economic Recovery Act of 2008.  The Act authorizes qualified first-time home buyers a $7,500 tax credit.  As I understand it, it is a tax credit that operates as a loan.  The buyer receives a tax credit for federal tax purposes and then begins repaying it two years later.

My suggestion is to take your questions to your tax consultant and/or use the phone number provided on the link below.  It appears to be a good deal as it will provide the first-time home buyer help today.  After two years, hopefully as the economy turns for the better, the tax credit/loan begins to be repaid.  The term is 15 years at $500 per year and no interest.  Check with your tax consulant to see if this is good for you.  There is FAQ information, 800 phone number, and more at this link http://www.federalhousingtaxcredit.com.

Foreclosure II

Foreclosures sometimes make for a good deal for Buyers.  Banks place their property up for sale at bargain prices.  Their hope is that they receive enough money to cover their expenses for the property.  Sometimes this leads to a good value for the Buyer.   But not all the time.

Consider replacement costs before bidding on a foreclosure.  Then add that amount to the bid you are going to make.  Now with that figure, see if you can find a comparable house that is not being foreclosed.  You might be in for a surprise.  It’s a fun exercise and definitely enlightening.

Mindset

Buying or Selling a house is all about mindset.  If you think you can’t buy a house in today’s real estate market, chances you won’t.  If you think you can’t sell your house, chances are you won’t.  But if you get out and make some phone calls and do some leg work, you might get a nice surprise.

It has been a neat privilege working with a Buyer recently who had been turned down by lenders a couple times.  But she kept making phone calls and looking at houses.  When she had a real estate question, she’d call me.  Some times, she would call me about houses, other times not.  If she found something that interested her, she’d call me to veiw the house.    This went on for 5 months until she found a lender that would work with her.  Matter of fact, she found two! Shortly afterwards she found her “dream house” and today has an accepted offer in escrow. 

This young woman is holding down two jobs and going to school.  She wants a better house for her family.  She has a determined mindset and about to achieve her goal.  The world pulls for these types of people.  I do.

This Week’s Tip:  If your house has not sold revisit the price with your agent.  

Last week 48 Sellers sold their house.

To Sell or Not To Sell

Recently, more than a couple times, I’ve been asked, “Izzy, should I put my house on the market now or wait?”  I believe the answer to this question has two-parts. 

Make no mistake, we do have a real estate market as houses continue to Sell and Buyers continue to buy.  In Saginaw alone,  in the past 7 days, 27 houses sold and 3 more are pending.  Part 2 of the answer is that each Seller has different circumstances.  Ask yourself, why do I want to Sell?  To some, the current house is too small for their family.  To others, it may be a that your Dream house is finally within reach.  Still others is the need for change of scenery.  Get the picture?  Find your Why am I Selling?  and you’ll have the answer; To Sell or Not To Sell. 

If you need assistance in working through the decision making process, find a real estate agent you can work with.  Of course, if you are looking for one, I’d be happy to explore options with you.

Dog Biscuits

My barber shared a story out of the California real estate market.  To get buyers to stop and look at homes for sale, some California real estate agents are offering free dog biscuits to potential buyers with dogs.  He didn’t have the full story, but one can read into this and have much of fun.  I like the story because it shows to what extremes REALTORS work to find Buyers for our Sellers.  We are hired to sell your house or assist in finding a good buy for your new home.  We try do whatever it takes to get the job done.

I hope you are finding the website changes useful.  We will continue to tweak it and bring you the tools that you can use in making your house buying or selling decisions.  Keep visiting as more changes are coming.

FYI : Since the 1st of June-to-date, 34 houses have sold. 

Houses are selling!

My website is changing.  This month I have taken time to tweak the website to provide a useful website for you as home buyers and sellers.  Soon you will see a different look and feel to this tool.  Hope you like it.  As always, if you don’t see something that might help you buying or selling, please send me a note.  I’ll do my best to obliged.

What’s happened this past month?  Well, 184 homes in Saginaw have sold and 536 new listings came on the market for sale.   In Midland, we find 85 sales and 199 new listings. 

If you must sell, it is a good time to sell.  Buyers are finding funds to buy a house.  Albeit, the house must be priced competitively.  As a buyer, there is a large number of houses for sale.  Today there are 184 new home owners happy with the real estate market.  It is a great time to buy.

Buying?  Selling?  If you are considering professional assistance, feel free to inquire about Izzy’s interviewing process.

May ‘08 – Week 1

I attended a week long land seminar this past week.  We had speakers from different backgrounds talk about Michigan’s real estate market and the economy in general.  The News was nothing you and I haven’t already heard.  But some things that are happening in some communities around the State was enlightening and encouraging.  Drop me a note if you want more information on a couple ongoing projects.

In the TriCities, Buyers are finding new homes and money to finance them.  The Saginaw Board year-to-date has sold 512 homes.  When I share this information, something I hear, “But Izzy, how many are foreclosures?”  The answer to that question is somewhere between Many and A Few…  the point is that Buyers are buying affordable housing, whatever it is.  Mr & Mrs Seller, call to your favorite agent and talk about your house.  

Here is another interesting piece of information.  Since the first of the year, the turn around of a house going to market and selling is about 77 days.  This is down from 165 days a year ago.  Of course, your house may take longer to sell but if you wish to sell your house, it must be on the market! 

Foreclosures

I get many calls on foreclosed properties.  Buyers think that there are bargains in foreclosed properties.  Truth to the matter, professional investors pore over these properties long before Buyers know about them.  Buyers have but the leftovers to choose from.  Perhaps there are bargains in the pile, perhaps not.   More times than not, the house will be bought “as is” and need major fixing up.  One doesn’t know when the Buyer can move into the newly bought house.

You may know where I am going with this. 

Let’s consider today’s real estate market that already has great buys.  These houses most likely will not need as many dollars to fix up if any at all.  They can be moved into shortly after closing.   Foreclosures may or may not be a good fit for you.  Talk to your favorite real estate agent and look at the pluses and minuses. 

 

Housing Values

There is much talk about how much houses have de-valued and how bad the housing market is.  Well yes, houses for sale out-number Buyers. But think about this.  If you have to discount your present home to facilitate a sale, remember you’ll also be buying a discounted house.  Plus, you’ll most likely be moving into a bigger house.

If you feel your house has de-valued so much that you can’t sell, call your favorite agent.  All situations are different.  A professional real estate agent can discuss options with you.  Perhaps selling now is not the thing to do.   But find out, it will cost you nothing but time.