So Many Expireds!

With so many homes that are not priced correctly for this market, I am seeing more and more listings expire on the Outer Banks. If you are searching for a home, it is a great idea to have your REALTOR® check expired listings too because there may be the perfect gem of a home waiting to be re-discovered.

Most likely the listing expired for one of three reasons:
1: it was not priced properly
2: it was not marketed to the right target audience of potential buyers
3: it had a negative first impression.

Just because a home expired and the sellers did not re-list the property, it doesn't necessarily mean they no longer want to sell the property. You should be asking your REALTOR® to keep you updated on these properties and if you find one of interest, your agent can be in touch directly with the sellers to help you negotiate a deal.

It is important to work with a REALTOR® on negotiations because most sellers trying to sell a home themselves have their home overpriced as they have not done the proper research to know what their comps are. If a seller is not willing to negotiate and your REALTOR® can show you comps emphasizing that the property is overpriced, it is better to leave that home off the market and move on with your search. This is such a great buyer's market because the majority of sellers are negotiable and there is a ton of inventory so you can pretty much find exactly what you are looking for...just don't forget to check the expireds!

Don't Miss the Boat!

Housing Market Conditions Favor Homebuyers

Home price affordability has improved dramatically in many U.S. cities … 53.8% of all new and existing homes sold nationwide during the first three months of 2008 were affordable to families earning the median household income of $61,500, according to the latest Housing Opportunity Index released Tuesday by Wells Fargo and the National Association of Home Builders (NAHB).

“Three factors combined to substantially increase housing affordability: mortgage rates returning to near the record low levels of a few years ago, a $2,500 rise in family income nationwide (from 2007 to 2008) and lower house prices.”

-- Sandy Dunn, NAHB president, “Homes are Biggest Bargain since 2004,” by Les Christie, CNNMoney.com, May 21, 2008.

"If you were thinking of buying a home, start looking. The latest data from the housing market shows that sellers, after months and years in denial, are finally giving in to reality and slashing prices. There is a distance still to go. There may even be a lot to go. But the process, long delayed, is now well underway."

-- “Home Buyers, Start Your Engines,” by Brett Arends, The Wall Street Journal (subscription required), May 17, 2008.

“There are many reasons for people to get into the housing market today, and very few reasons not to. With the plentiful supply of homes for sale at affordable prices, interest rates approaching 40-year lows, and the strong track record of housing as a good long-term investment, conditions are ripe for buyers. Those are the facts, plain and simple.”

-- Lawrence Yun, chief economist, National Association of Realtors®, “Home Sales, Prices to Pick Up in Second Half of 2008, Says NAR Chief Economist,” Yahoo News, May 15, 2008.

Consumers Shouldn't Wait to Buy

“I’m concerned that consumers in many markets in America are putting off buying a home because they see some of the national statistics and they forget that real estate is local.”

-- Jim Gillespie, president and CEO, Coldwell Banker, “Housing’s Rosy Outlook,” CNNMoney.com (video), May 19, 2008.

“This is the absolute best time in my 33 years in real estate to buy a home. Interest rates are still low, inventory levels are high, and prices are stable. You should not try to time the market. People who try to time the market get burned.”

-- Jim Gillespie, “Housing Slump can be a Boon to Buyers,” by Dennis Larison, Lancaster Online, May 18, 2008.

(Reported by Pam Smith, Coldwell Banker Seaside Realty Sales Manager)

Are You Pre-qualified?

One of my good friends has recently been thinking about buying her first home. Now that we are in a great buyer's market with incredible opportunities, it is the perfect time to purchase a home you may not otherwise be able to afford. So she started looking at what was available for sale and found some homes she was really interested in. I started to see her excitement and was equally excited to help her with her first home purchase, but we had not taken one of the most important steps yet. I recommended that she talk with a local lender to see what she would qualify for before falling in love with a home. After learning that it costs nothing to get pre-qualified, she met with a local lender and found out she ALMOST qualified to purchase a home. Her credit score was in the right position, her debt to income was fine, but the only thing she didn't think about was the fact that she would need down payment money. So we decided it was in her best interest to start saving and take another look in 6 months when she would have more liquid assets to put towards the sale. Being a first time homebuyer, she was amazed with the process and was excited to learn about her debt to income, credit score, liabilities, assets, etc.

The best part of the process was that she realized the importance of getting pre-qualified before looking at properties. It allows you to understand your buying power so that you don't waste time looking at properties you cannot afford or miss out on properties you didn't know you could afford. If you find yourself ALMOST qualifying like my friend, your lender can help you determine what you need to do to help your credit and financial position to qualify in the near future. The process only takes a few minutes and the best part is that if you do qualify, your lender can instantly provide you with a pre-qualification letter that you and your Realtor can present with any offers making the seller aware you are a serious buyer.

Moral of the story: get pre-qualified first and foremost to know your buying power!

I've Moved To Coldwell Banker!

I have changed companies and am now a Broker at Coldwell Banker Seaside Realty in Kitty Hawk on the Outer Banks. Please stop by and visit me for all your Buying and Selling Needs or just to say hello!

Celebrate Earth Day!

Reduce, Reuse and Recycle. The Green movement is taking over and bringing new and old products and ideas into the spotlight. Here are some ideas that you can put to use for Earth Day 2008:

*Get your car serviced so its operating at its best efficiency and clean out your car so you aren't driving around extra unnecessary weight.

*If you need to go somewhere close to home, get some fresh air and walk or ride a bike.

*Switch out your chemical cleaning supplies with earth friendly products...there are a million to choose from now!!

*Take unused clothing, furniture, etc. to your local thrift store so your unused trash can become someone else's recycled treasure.

*Plant your own vegetable garden this spring so you can have fresh veggies with no chemicals or pesticides...and you can get the seeds from the Dollar Tree!!

*If you are thinking of remodeling your home, use more earth friendly products like bamboo floors, recycled glass counter tops or other sustainable products. There are so many selections, you no longer have to sacrifice style.

It is said that it takes 21 days to make an action a habit, so make an extra effort this year to turn these other simple ideas into your habits. They not only help the environment, but save you money as well:

*Turn off your lights when you aren't in the room

*Turn off the water while brushing your teeth or even washing your hair

*Shut down your computer when you aren't using it.

These are only a few of the millions of simple little things we can do to help our earth stay cleaner and greener. I encourage you to pick at least one of these suggestions and try to stick with it! Happy Earth Day!

Thinking about Buying or Listing A Short Sale Property?

With many home owners finding themselves in sticky situations these days, it seems short sales are becoming more popular. What most people trying to purchase a short sale don't realize is that they not only have to have the acceptance of the sellers, but also the acceptance of the lender who has their best interest and the interest of the investors who may also own the loan in mind. This means instead of a normal 30 day closing, buyers may be waiting weeks or months to hear back from lenders who may reject the offer completely. Many buyers attempting short sales are finding it a frustrating and difficult process. Therefore, if you are a buyer looking at purchasing a short sale home, you need to know these realities up front and not go into the process with too high of expectations only to be disappointed. This is not to say that all short sales fall through. It is just important that you and your agent are setting correct expectations up front about the short sale process so it doesn't lead to total disaster and discourage a buyer in the process. On the seller's side, it is not as easy as it sounds to do a short sale. I have found that most lenders want an offer in hand along with your entire financial picture, including bank statements, assets, pay stubs, etc., before they will even consider a short sale. Then it is a matter of whether the seller is truly considered to be in a "financial hardship" and if the lender is willing to cut its losses. Many short sale offers are rejected after weeks or months of waiting to hear back from a lender. This needs to be taken into careful consideration if you are not only in a financial bind but a time crunch as well. This is not a quick process. The best way to approach a short sale is to contact the loss mitigation department of your lender company and get all the necessary paperwork you will need faxed or mailed to you. Then you need to pull together all your financial information needed for the short sale, so that you have your paperwork prepared when you do get an offer on your home. According to the National Association of Realtors, short sales currently account for about 18% of home sales. They can be done, but you as a buyer or seller need to have the right expectations about the process so you will not be completely frustrated and disappointed if things don't go exactly as you planned.

2007 Market Study Slideshow - Please Contact Me For A Print Version!