Additional Reasons to Buy NOW!!!

Anyone paying attention to the housing market will realize that now is the time to buy rather than rent. For first time home buyers, the Federal government is offering up to $7500 in tax credits. This tax credit must be paid back over the first few years of home ownership, but it is a great incentive if you need assistance for a down payment or to pay closing cost.

Not only this, but the interest rates are at a low that we have not seen in many, many years. With these rates, you can easily buy a home for less than you can rent. To go a little further, there are still places where you can get 97% financing and possibly more.

If this is not enough of an incentive, the housing market in the Raleigh/Durham/Chapel Hill area that many sellers are highly motivated and will be willing to make major concessions to include price and/or terms.

For example, I represented a young couple in their purchase (it will be closing at the end of Sept), and my clients received a number of concessions to include $12,000 off the list price, $6,000 in closing cost and $4,000 for appliances on a home listed just under $300,000. My clients are very happy and are getting a beautiful home; you could be next.

For more information about the benefits of buying a home today, please call or email me as I will be happy to talk with you about it.

Not sure if you should buy! Foreclosures are up making it a great market to buy

The Triangle Business Journal reported today that North Carolina foreclosure filings make a tremendous jump in July. RealtyTrac, a California based real estate tracking company, reports that there were 4,303 foreclosure filings in North Carolina in the month of July. This is a 127 percent increase from July 2007 and up 24 percent from June 2008. These filings includes default notices, auction sale notices, and bank repossessions.

For every 936 North Carolina household, there was one foreclosure filing, which ranks North Carolina 25th in the nation. The highest foreclosure rate was Nevada, where one in every 106 households; California second with one in every 182 households, and Florida is third with one in every 186 households.

The states with the highest foreclosure totals included California (72,285), Florida (45,884) and Ohio (13,457).

Nationally, there are 272,171 foreclosures notices sent out in July which represents a 55 percent increase over last year and nearly an 8 percent increase from June, 2008.

RealtyTrac went on to say that approximately 17 percent of the national inventory of homes for sale were bank REOs (Real Estate Owned).

This is a major problem for home sellers across the Triangle and North Carolina, but a huge positive for home buyers. First of all, banks are more incline to negotiate on price to get the home off their books, even if it means taking a loss on the value of the home. Last year, I helped an investor purchase a foreclosed home in Raleigh for nearly $30,000 less than the market value at the time.

Secondly, the added competition from banked owned properties forces individual home sellers to negotiate on price or repairs in order to sell their homes. Homes in Raleigh are being reduced in price at an alarming rate in order to generate interest in the home and get it sold. Quite a few months ago, I helped a couple purchase a home that had already been reduced $30,000 dollars and we purchased it for $35,000 less than that listed price. The buyers actually purchased a home with approximately $65,000 in equity built-in.

As I mentioned, sellers are more willing to negotiate then ever before, so it is possible to get a seller to pay for you to get out of your current lease if you purchase their home. To get a seller to pay for your lease, you will most likely have to make a full price offer, but it is a small price to pay to get out of the lease and to begin to build equity in your new home.

There are many ways to get into a new home if you are currently renting and I would encourage you to contact me with any questions about purchasing a home in the Raleigh/Durham/Chapel Hill areas.

Gas Prices at 3 month low; How low can it go?

Did you hear the good news? Gas prices are down to the lowest level in 3 months. GAS PRICES ARE DOWN TO THE LOWEST LEVEL IN 3 MONTHS!!!

The average price U.S. consumers paid for a gallon of gas hit a three month low as the cost dropped 7.1 cents last week to $3.81. Yes, this is still $1.04 a gallon higher compared to a year ago, but it is moving in the right direction, primarily due to the lifting of the Executive Order by President Bush to drill off the coast.

This has caused a $33 drop in crude prices that we should expect to continue to fall over the coming weeks. According to the Energy Information Administration (EIA), every $1 price drop in crude oil results in a 2.4 cents off the price for a gallon of gasoline. If this is truly the case, then gasoline should fall about 79 cents from its peak according to the EIA. Of course, the national price has only fallen 30 cents, but common sense would dictate that the prices will decline slower then they rise due to unforeseen circumstances.

In the EIA's survey, the highest price for gas was on the West Coast at $4.06 a gallon, down 8.3 cents last week. This is the only region to remain above $4 a gallon with San Francisco having the highest big city price at $4.18, down 7.9 cents.

According to AAA Automobile Club, the average price in North Carolina has dropped dramatically over the past month from a high of $4.006 a gallon to $3.879 this month. Of course, this time last year, the price in North Carolina was $2.82 a gallon.

First-Time Homebuyers Tax Credit Enacted

The National Association of Home Builders (NAHB) has announced a major success for them as a tax credit for first time home buyers has been added to the new Housing Stimulus Package. According to the NAHB, the temporary first-time home buyer tax credit will help stimulate home buying, reduce excess supply in housing markets and shore up home prices. They go on to say that it is imperative that the word of this new tax credit get out to those who could benefit from this credit.

This milestone legislation will help provide an enormous boost to the housing industry in the form of a tax credit for first time home buyers as well as much-needed measures that will improve mortgage liquidity, foster refinancing of troubled loans and expand the supply of affordable rental housing.

A new consumer website www.FederalHousingTaxCredit.com has been introduced to give first time home buyers more information about this great product.This site includes details and a set of comprehensive questions and answers about how the credit works and how consumers can take advantage of it.

As a real estate agent, I can appreciate this program as I know many builders who have been struggling with selling homes in this current market. I am not a huge fan of the entire package, but this portion of the package will be very beneficial to help many move into home ownership.

For more information about this tax credit, please call or email me.

Executive Townhouse with Great Location

JUST LISTED!!!

This great townhouse is very conveniently located near Crabtree Valley Mall and the I-440 Beltline. This gorgeous home, built in 2006, has all the upgrades to include Corian countertops, wainscoting in the dining room and the stairs, wrought iron on the stairs, and plantation shutters in the family room. This home also has hardwood floors, and tile in this fabulous 3 story home. Not only does the family room have plantation shutters, but is also pre-wired for surround sound and a warming spiral staircase from the foyer. This home has 4 bedrooms and 2 full and 2 half baths and has nearly 2500 sqft. The master bedroom has cathedral ceilings and the bath has a separate garden tub and shower as well as a large walk-in closet.

The garage and a bedroom are located in the basement along with the utility room. The garage has epoxy flooring for long life and stain resistance. Additionally, the garage has plenty of storage room for the family bikes. The basement bedroom can be a game/entertainment room or a private bedroom for the teenage or the in-laws.

The kitchen is immaculate with plenty of counter space and an island bar for family breakfast. The kitchen also has a large pantry and is connected to the dining room. The deck overlooks the large and spacious common area shared by the surrounding neighbors. It is a great place to spend time with the children or the pets as there is a walkway completely around the common area.

Backyard Large common area for family and the pets to play, complete with a sidewalk that circles the common area.	Bedroom 2 Large bedroom with a sitting area and a good closet. This bedroom will be great for a guest room or for the teen.
Bedroom 3 Spacious bedroom on the second floor that has a good closet and place for a student's desk.	Bedroom 4 Spacious bedroom in the basement that could be an office, game/entertainment room or an in-law suite.
Deck Nice wooden deck that overlooks the common area with plenty of great foliage for your viewing. It makes for a great spot to spend the evenings with a glass of wine.	Dining Room Cozy family dining room with wainscoting whose window overlook the common backyard.
Family Room Spacious family room that has a gas fireplace, pre-wired for surround sound, and plantation shutters will be a cozy family gathering area to create family memories.	Finished Basement The finished basement includes an oversized garage with plenty of storage space, a bedroom that could have many different uses, and the utility room with a half bathroom.
Fireplace In the family room,the gas fireplace will make for cozy evenings for the entire family.	Garage Oversized garage with epoxy flooring, this garage has great storage space for all of the family toys.
Gourmet Kitchen Large kitchen that comes with Corian countertops, a large pantry, and an island bar, great for family breakfasts. This homes comes with all of the white appliances in the kitchen, including the refrigerator.	Master Bathroom The master bathroom comes complete with a large, garden tub and an oversized separate shower. This bathroom has 2 separate vanities for his/her use. Additionally, there is a large walk-in closet and a linen closet.
Master Bedroom A cathedral ceiling adorns this spacious room. It has plenty of room for a king-size bed and all of your special furniture. For more information about this beautiful home, please visit 2741LaurelCherry.com.

Announcing a great new Listing

A great home in a starter community close to Raleigh, this home offers much potential and many amenities for the 1st time home buyer or an investor. With 3 bedrooms and 2 baths, this home has the basic needs for a young family. However, this home also offers the added benefit of having a great sun room/den in addition to a large family room with a wood fireplace. This is a must see home for the investor or young family.

This home also offers a great backyard that will be great for barbecues, pool, or extended decking system. Additionally, the children will benefit from having a great yard to play as it is very clear and flat for many activities.

Little River park is approximately 1 mile from this home and offers a picturesque waterfall, a great swing set, and numerous picnic sites for the family to enjoy. Visit this great park when you visit the home as it is a quaint park with many trees.

For more information about this home and to view all the photos of this home, please visit the website 221PineviewDrive.com or email me with your questions.

Renting is more expensive than buying!!!

The National Association of Realtors recently reported that the "real reason" why home sales don't crash for too long is simply, rents. Basically, when purchase demands slow down, rentals speed up. So, rents provide the floor that stops housing prices from any major declines.

All of the national media outlets have been reporting on the fall of home prices across the nation. It has been on CNN, CBS, FoxNews, just to name a few. However, they fail to report that rental prices have actually gone up dramatically across the nation. In fact, the 1st quarter of 2008 marks the 24th consecutive quarter that rental prices have increased nationwide.

The softer home markets and the tougher lending restrictions have forced many would-be homeowners into becoming renters. This is not necessarily a good thing for the family budget as many renters are spending more than half of their income on housing, while not gaining any equity or wealth.

To compound this issue, about 40% of all potential home buyers are first time homebuyers, so eliminating them from the homebuying equation, you have successfully limited the pool of buyers for homes that are currently on the market. Add to the mix that most of the first time homebuyers purchase homes from previous first timers, who are looking to move up to a larger, more expensive home, and now you are creating a cavernous hole of unsold homes due to a lack of buyers.

A bright spot is that most mortgage lenders have found an increase in the number of loan applications, despite a slight rise in the interest rates from 5.75% to 5.78%. Another bright spot is the typical buying season is the spring and activity is bound to start up again.

In closing, if you wish to pay more for rent, then continue to rent. If you are interested in buying a home, email me and I will get to work on getting you into your new home.